Dec 20, 2016 - 51020 COMMISSIONER OF HIGHER EDUCATION. 22,970,463. 22,325,806. (644,657). 12,488,916. 13,299,442. 22,970
HOUSE APPROPRIATIONS AND SENATE FINANCE AND CLAIMS 65TH Legislature
December 20, 2016
Dear Agency Director, As you know, there are substantial challenges with the 2019 biennial general fund budget. In order to balance the budget and find the best solution possible for the state of Montana, several steps will be taken. HB 2 subcommittees In subcommittees, the starting point motion will include all negative change packages in the Governor’s budget plus additional reductions. These reductions include statutory calculations of the 5% plans, with some exceptions, and an additional 2% vacancy savings. If the Governor recommended greater than these amounts, only the Governor’s recommendations and the additional 2% vacancy savings will be included in the starting point motion. Table A illustrates these figures for general fund, state special funds subject to the 5% plans will also be included in the motion. Agencies will be asked to explain the impact of these reductions to the subcommittees during the HB 2 hearings. An opportunity for agencies to minimize the FY 2019 starting point reductions is shown below under the paragraph titled “Saving for 19 Option”. If you have questions, please contact your Fiscal Analyst within the Legislative Fiscal Division or your subcommittee chair. House Appropriations joint hearing with Senate Finance and Claims The general fund budget in the long term is not causing the budget concerns. The problem arises in FY 2016 and continues through FY 2018. In order to minimize the amount of reductions necessary in the 2019 biennium, the House Appropriations Committee will research decreasing the 2017 biennium appropriations in concert with the HB 3 Supplemental Bill hearing on January 5th at 8:00 am. At this hearing, House Appropriations Committee and Senate Finance and Claims will review all general fund appropriations. Please prepare a brief presentation regarding the following reduction options. Three general fund spreadsheets are attached: 1) Table 1 HB 2 Ongoing: Column A includes the current SABHRS HB 2 ongoing appropriations, including the implied ongoing appropriations for the Department of Livestock and the Office of the Public Defender. Column B is 5% of Column A. Column C contains the DP 555 change packages submitted by the Governor for the 2019 Biennium. Please describe the impacts to the agency if the agency FY 2017 appropriation were reduced by either Column B or Column C. 2) Table 2 HB 2 One-time only: Column D is the December 8th SABHRS one-time only appropriation level. Column E is the December 8th appropriation balance. Please describe the impacts to the agency if the agency FY 2017 remaining appropriation authority were reduced or eliminated. 3) Table 3 Non-HB 2 appropriations: Column F is the December 8th SABHRS appropriation level. Column G is the actual expenditures to December 8th. Column H is the December 8th appropriation balance. Please describe the impacts to the agency if the agency FY 2017 remaining appropriation authority were reduced or eliminated.
Page 1 of 5
Saving for 19 Option In the “saving for 19” option, agency general fund reductions in FY 2017 will get 30% credit in FY 2019. Meaning that 30% of the amount of agency general fund reductions in HB 3 to the FY 2017 appropriation level will reduce the reductions in the FY 2019 starting point motion. Non-HB 2 and one time only appropriations will be handled on a case by case basis. For example, if an agency receives a $1 million reduction to a regular FY 2017 HB 2 appropriation in HB 3, the FY 2019 starting point motion would be higher (less of a reduction) by $300,000. Please note that this only applies to FY 2019 and will not impact the starting point motion for FY 2018. The January 5th hearing of the Joint House Appropriations and Senate Finance and Claims Committees will have a typical Section by Section hearing. Your fiscal analyst from the Legislative Fiscal Division will contact you with the specific time of the hearing on your section. If you have questions regarding this process, please contact Joe Triem with the Legislative Fiscal Division. Sincerely,
Chairman Nancy Ballance, House Appropriations Committee
Chairman Llew Jones, Senate Finance and Claims
Page 2 of 5
Table A: General Fund only shown here, also applies to specific state special funds All values biennial, unless specifically stated otherwise Submitted Executive Decreases HB 2 Plan Biennial***
Starting Point Motion Calculations
State Agency
5% plan statutory calculation on FY 17 base
Executive calculated 5% plan on FY 16 actual exp
11040 LEGISLATIVE BRANCH
$1,316,598.10
$1,190,212
($126,386)
$659,378
659,378
1,316,598
657,220
4,910,747
4,680,232
(230,515)
2,044,288
2,044,288
4,910,747
2,866,459
670,562
643,138
(27,424)
356,298
356,298
670,562
314,264
21100 JUDICIAL BRANCH 31010 GOVERNOR'S OFFICE 32020 COMMISSIONER OF POLITICAL PRACTICES* 35010 OFFICE OF PUBLIC INSTRUCTION 41070 CRIME CONTROL DIVISION* 41100 DEPARTMENT OF JUSTICE
79,200,670 251,308 3,566,870
51010 BOARD OF PUBLIC EDUCATION* 51020 COMMISSIONER OF HIGHER EDUCATION 51130 SCHOOL FOR THE DEAF & BLIND
3,451,834 -
(1,295,152) (115,036) -
DP 555
Total Exec Decreases
-
-
1,096,570
21,277,096
820,216
820,216
3,016,365
3,065,225
-
-
5% from FY 17 Additional 5% Base with reduction from exceptions Exec
23,760,201
2,483,105
3,566,870 -
501,645
12,488,916
13,299,442
22,970,463
9,671,021
717,729
652,374
(65,355)
656,088
656,088
717,729
61,641
311,076
298,834
(12,242)
298,834
316,880
4,910,747 211,635
882,197
224,029
23,984,230
-
311,076
932,732
4,499,602
116,756
23,087,219
-
717,729
-
81,293
398,173
51170 MONTANA HISTORICAL SOCIETY
354,397
335,674
(18,723)
335,674
353,720
354,397
677
144,019
498,416
53010 DEPARTMENT OF ENVIRONMENTAL QUALITY
554,064
535,778
(18,286)
438,720
438,720
554,064
115,344
138,324
692,388
56030 DEPARTMENT OF LIVESTOCK**
18,874
242,000
241,990
241,990
18,874
2,880,109
2,803,494
(76,615)
2,069,670
2,119,670
2,880,109
3,000,000
150,000
5,536,437
5,240,086
(296,351)
2,116,508
2,556,508
5,536,437
61010 DEPARTMENT OF ADMINISTRATION
581,729
515,948
(65,781)
436,992
667,348
581,729
-
61080 OFFICE OF STATE PUBLIC DEFENDER**
281,364
3,502,176
1,225,762
1,225,762
281,364
-
95,970
2,206
-
-
57060 NATURAL RESOURCES AND CONSERVATION 57060 CSKT alone 58010 DEPARTMENT OF REVENUE
223,126
150,000
3,220,812
62010 DEPARTMENT OF AGRICULTURE
95,970
93,764
(2,206)
93,764
93,764
64010 DEPARTMENT OF CORRECTIONS
20,047,215
19,828,026
(219,189)
1,000,000
1,000,000
358,178
334,254
(23,924)
334,254
334,254
65010 DEPARTMENT OF COMMERCE
358,178
-
760,439
3,249
767,833
2,979,929
23,924
Note that full reductions will 245,239 need to come off of PL instead of starting point motion Excluded CSKT in DNRC 5% 3,647,942 plan, if included, it skews results 3,000,000
1,697,218
7,233,654
201,101
868,449
1,225,762
12,695
108,665
2,442,105
3,442,105
48,176
406,354
66020 DEPARTMENT OF LABOR AND INDUSTRY
194,078
187,514
(6,564)
187,514
187,514
194,078
6,564
48,020
242,097
67010 DEPARTMENT OF MILITARY AFFAIRS
663,232
622,312
(40,920)
326,048
326,048
663,232
337,184
164,316
827,548
52,070,029
48,578,352
(3,491,677)
17,261,762
18,904,234
33,845,519
14,941,285
3,354,341
37,199,859
$193,967,326 ($3,333,063)
$47,505,611
$73,944,443
$103,738,195
$35,722,905
$10,587,843
$120,255,191
69010 DEPT PUBLIC HEALTH & HUMAN SERVICES Total
$197,701,697
Grand total reductions * Statute specially exempts these agencies from the requirement to submit a 5% pla ** Base budget is nearly zero for both OPD and Dept. of Livestock *** OBPP used FY 2016 actual spending with one-time-only spending removed for the calculation of the 5% reduction rather than the Base
K
limit to 1.5% instead of 5%
820,216
-
(644,657)
Exceptions to 5%
1,316,598
-
22,325,806
-
Additional 2% Vacancy Savings
-
22,970,463
51140 MONTANA ARTS COUNCIL* 51150 MONTANA STATE LIBRARY
77,905,518
Difference
Amount of reductions to the Base in the starting point motion
P Q Overall GF % reduction Annual reduction
3.0% 60,127,596
Note difference between Base and total present law causes large difference to Executive Same 5% as Executive
limit to 3.25% instead of 5% (total of columns K, P, Q)
Page 3 of 5
2019 Biennial
Table 1: HB 2 GF Appropriations as of 12/8/2016
11040 LEGISLATIVE BRANCH 21100 JUDICIAL BRANCH 31010 GOVERNOR'S OFFICE 32020 COMMISSIONER OF POLITICAL PRACTICES* 34010 INSURANCE COMMISSIONER 35010 OFFICE OF PUBLIC INSTRUCTION 41070 CRIME CONTROL DIVISION* 41100 DEPARTMENT OF JUSTICE 51010 BOARD OF PUBLIC EDUCATION* 51020 COMMISSIONER OF HIGHER EDUCATION 51130 SCHOOL FOR THE DEAF & BLIND 51140 MONTANA ARTS COUNCIL* 51150 MONTANA STATE LIBRARY 51170 MONTANA HISTORICAL SOCIETY 52010 DEPARTMENT OF FISH, WILDLIFE, AND PARKS 53010 DEPARTMENT OF ENVIRONMENTAL QUALITY 56030 DEPARTMENT OF LIVESTOCK** 57060 NATURAL RESOURCES AND CONSERVATION 58010 DEPARTMENT OF REVENUE 61010 DEPARTMENT OF ADMINISTRATION 61080 OFFICE OF STATE PUBLIC DEFENDER** 62010 DEPARTMENT OF AGRICULTURE 64010 DEPARTMENT OF CORRECTIONS 65010 DEPARTMENT OF COMMERCE 66020 DEPARTMENT OF LABOR AND INDUSTRY 67010 DEPARTMENT OF MILITARY AFFAIRS 69010 DEPT OF PUBLIC HEALTH & HUMAN SERVICES
A FY 2017 Appropriation Base like appropriations 14,041,981 49,137,673 6,735,831 693,636 796,330,888 2,513,078 35,738,304 157,121 230,446,425 7,189,600 517,020 3,111,173 3,559,986 5,540,643 2,763,068 30,358,498 55,152,246 5,847,373 35,010,161 977,548 200,639,582 3,691,238 1,938,755 6,659,790 521,961,240 2,020,712,857
B
C
5% 702,099 2,456,884 336,792 34,682 39,816,544 125,654 1,786,915 7,856 11,522,321 359,480 25,851 155,559 177,999 277,032 138,153 1,517,925 2,757,612 292,369 1,750,508 48,877 10,031,979 184,562 96,938 332,990 26,098,062 101,035,643
DP 555 329,689 1,022,144 178,149 548,285 410,108 1,508,183 6,244,458 328,044 149,417 167,837 219,360 120,995 1,034,835 1,058,254 218,496 612,881 46,882 500,000 167,127 93,757 163,024 8,630,881 23,752,806
Table 2: HB 2 GF OTO Appropriations D E OTO OTO Appropriations Appropriation (non-base) Balance 11040 LEGISLATIVE BRANCH 21100 JUDICIAL BRANCH 31010 GOVERNOR'S OFFICE 32020 COMMISSIONER OF POLITICAL PRACTICES* 34010 INSURANCE COMMISSIONER 35010 OFFICE OF PUBLIC INSTRUCTION 41070 CRIME CONTROL DIVISION* 41100 DEPARTMENT OF JUSTICE 51010 BOARD OF PUBLIC EDUCATION* 51020 COMMISSIONER OF HIGHER EDUCATION 51130 SCHOOL FOR THE DEAF & BLIND 51140 MONTANA ARTS COUNCIL* 51150 MONTANA STATE LIBRARY 51170 MONTANA HISTORICAL SOCIETY 52010 DEPARTMENT OF FISH, WILDLIFE, AND PARKS 53010 DEPARTMENT OF ENVIRONMENTAL QUALITY 56030 DEPARTMENT OF LIVESTOCK** 57060 NATURAL RESOURCES AND CONSERVATION 58010 DEPARTMENT OF REVENUE 61010 DEPARTMENT OF ADMINISTRATION 61080 OFFICE OF STATE PUBLIC DEFENDER** 62010 DEPARTMENT OF AGRICULTURE 64010 DEPARTMENT OF CORRECTIONS 65010 DEPARTMENT OF COMMERCE 66020 DEPARTMENT OF LABOR AND INDUSTRY 67010 DEPARTMENT OF MILITARY AFFAIRS 69010 DEPT OF PUBLIC HEALTH & HUMAN SERVICES Totals
Page 4 of 5
205,841 604,138
136,284 604,138
933,808
201,808
99,911 30,000 1,872,425 69,438 25,000
34,241 20,056 1,419,632 53,442 -
974,000
510,334
148,950 446,855 1,987,512
112,692 446,855 1,171,419
572,355 3,787,500
532,344 2,514,305
1,624,562 13,382,295
201,447 7,958,997
Table 3: Non-HB 2 GF Appropriations F
G
H
Actuals 962,278 177 3,903 8,070 7,353 358,655 584,120
Remaining Authority 1,070,117 14,752 4,466 4,602 203,203 395,092 448,002
258,112 258,112
6,355 6,355
251,757 251,757
35010 OFFICE OF PUBLIC INSTRUCTION 160J2 HB 356 VOCATIONAL ED 6/30/17 160J3 SB 272 INDIAN LANG 6/30/17
1,034,097 1,000,000 34,097
1,033,508 1,000,000 33,508
589 589
41100 DEPARTMENT OF JUSTICE 170J4 HB 244 MAJOR LIT 6/30/17 225I1 HB 512 FSD YELLOWSTONE 6/30/17 225I2 HB 512 FSD EQUIP 6/30/17
1,512,385 1,000,000 208,266 304,119
96,699 91,669 5,030
1,415,686 1,000,000 116,597 299,089
57060 NATURAL RESOURCES AND CONSERVATION 555J2 HB510 FOREST ADVISOR 6/30/17
205,644 205,644
34,034 34,034
171,610 171,610
58010 DEPARTMENT OF REVENUE 560I2 SB405 2015 SESSION 580I2 SB405 2015 SESSION
361,494 266,337 95,157
-
361,494 266,337 95,157
Agency Subclass Appropriation 11040 LEGISLATIVE BRANCH 2,032,395 005J4 HB430 JUD REDISTRICTNG 6/30/17 14,929 005J5 HB 627 OPD TASK FORCE 6/30/17 8,370 005J6 SB128 SCHOOL FUND STDY 6/30/17 12,671 010J5 2015 HB1 LSD 06/30/17 210,555 015J5 2015 HB1 SEN 06/30/17 753,747 020J5 2015 HB1 HOU 06/30/17 1,032,122 21100 JUDICIAL BRANCH 040J1 HB612 CHLD ABUSE CT DIV6/30/17
Page 5 of 5
69010 DEPARTMENT OF PUBLIC HEALTH & HUMAN S 885JM TSD HB10 MMIS AUDIT LRIT 890JB HB 47 YTH CRISIS DIV 6/30/17 900J3 HB 33 JAIL DIVERSION 6/30/17
2,170,940 50 950,182 1,220,708
Grand Total
7,575,067
95,800 176,576 (80,776) 2,228,674
2,075,140 50 773,606 1,301,484 5,346,393
