7. STATE FACILITIES MANAGEMENT -- OPERATIONAL COSTS OF STATE BUILDINGS
PR $744,400
Governor: Provide $242,800 in 1999-00 and $501,600 in 2000-01 for increased maintenance and operation costs of state-owned buildings related to: (a) maintenance costs, including elevator maintenance, boiler testing, electricians, plumbers, snow removal, and other maintenance ($124,500 in 1999-00 and $249,000 in 2000-01); (b) janitorial services contracts ($92,000 in 1999-00 and $184,100 in 2000-01); and (c) increased utility costs ($26,300 in 1999-00 and $68,500 in 2000-01). Funding would be provided from fees assessed state agencies for rental of space in state office buildings.
8. STATE FINANCIAL SERVICES -- ACCOUNTING AND PAYROLL SYSTEMS OPERATING COSTS
PR $1,566,800
Governor: Provide $766,200 in 1999-00 and $800,600 in 2000-01 for increased data processing charges which are associated with operation of the state accounting (WISMART) and payroll systems and for increased costs of programming services, provided by the Department’s Division of Administrative Services for changes in the operating programs for these two systems. These systems are managed by the State Controller’s Office. The funds would be used as follows: (a) $486,200 in 1999-00 and $520,600 in 2000-01 for increases in computer programming needs based upon actual services provided to agencies; and (b) $280,000 annually to fund higher processing volume and provide new reporting services. Funding would be provided from charged assessed to state agencies for financial services provided by the State Controller’s Office.
9. STATE FINANCIAL SERVICES -- WISMART MASTER LEASE COSTS
PR - $800,600
Governor: Provide a decrease of $800,600 in 2000-01 to reflect a reduction in master lease payments as financing costs associated with the purchase and installation of WISMART (the state accounting system) are paid off. Beginning in 2000-01, the master lease debt incurred to establish the WISMART system will begin to be retired which will result in a reduced cost of $800,600 in 2000-01. These master lease costs are paid from charges assessed state agencies for financial services provided by the State Controller’s Office.
10. STATE TRANSPORTATION SERVICES -- VEHICLE REPLACEMENT AND AIRCRAFT OVERHAUL
PR $3,386,900
Governor: Provide $1,175,500 in 1999-00 and $2,211,400 in 2000-01 for vehicle replacements and aircraft engine and propeller overhauls. Utilizing base funding ($6,657,900 annually) plus the requested increased funds, DOA would perform the aircraft overhauls and purchase 502 vehicles in 1999-00 and 511 vehicles in 2000-01. Of the total funding that would be available with the addition of these funds, $7,662,000 in 1999-00 and $8,125,500 in 2000-01 would be used for purchase of replacement vehicles and $171,400 in 1999-00 and $743,800 in 2000-01 would be used for aircraft engine and propeller overhauls. Funding would be provided from charges assessed against state agencies for use of state vehicles and airplanes.
Of the increased expenditure authority for aircraft maintenance, $27,000 in 1999-00 and $660,000 in 2000-01 is one-time financing provided for maintenance on a Beechcraft King Air 200 aircraft subsequently identified by DOA for replacement. A request for funding of $3.7 million in 1998-99 to replace the plane was approved by the Joint Committee on Finance under the s. 16.515 process in February, 1999.
11. STATE TRANSPORTATION SERVICES -- PURCHASE OF ADDITIONAL VEHICLES
PR $2,731,400
Governor: Provide $1,367,700 in 1999-00 and $1,363,700 in 2000-01 for the purchase of 152 additional vehicles and to pay associated maintenance, fuel and insurance costs. The funds would be used as follows: (a) one-time funding of $1,255,200 in 1999-00 to purchase 80 additional vehicles and of $1,150,000 in 2000-01 to purchase 72 additional vehicles; (b) $112,500 in 1999-00 and $213,700 in 2000-01 for associated operating costs for these additional vehicles. The departments requesting additional vehicles include DOC (95 vehicles), DHFS (18 vehicles) and Commerce (16 vehicles). Funding would be provided from charges assessed against state agencies for use of state vehicles.
12. CONSOLIDATION OF STATE VEHICLE FLEET MANAGEMENT FUNCTIONS
Governor: Require the Department to submit to the Co-chairs of Joint Finance Committee (JFC), for approval by the Committee, two implementation plans for consolidating certain state vehicle fleet management activities. Provide that the first implementation plan would be due at the fourth quarterly meeting in CY 1999 of the Committee under section 13.10, and would be for the consolidation of DNR vehicle fleet activities with corresponding DOA activities. Provide that the second implementation plan would be due at the third quarterly s. 13.10 Committee meeting in CY 2000 and would be for the consolidation of the DOT and UW-Madison vehicle fleet management activities with corresponding DOA activities. Create session law language specifying that JFC may disapprove, approve with modification, or approve one or both plans and that if approved, DOA is authorized to implement the plans on the date specified in the plans.
Provide that the respective plans could include provisions for DNR, DOT and/or the UW-Madison relating to vehicle fleet management functions for any of the following on the effective date specified in the plan:
a. the transfer of all assets and liabilities from the respective agency to DOA;
b. the transfer of all tangible personal property, including records from the respective agency to DOA;
c. the transfer of all contracts of the agency from the respective agency to DOA with the provision that contracts that were in effect on the effective date of the bill would remain in effect until their specified expiration date or until they were rescinded or modified by DOA to the extent allowed in the contract;
d. the transfer of all rules promulgated and orders issued by agency that were in effect on the effective date of the plan to DOA with the provision that they would remain in effect until their specified expiration date or until they were amended or repealed by DOA;
e. the transfer of all pending matters and all materials submitted to the agency to DOA with the specification that all materials submitted to or actions taken by the respective agency concerning the pending matter would be considered as having been submitted to or been taken by DOA;
f. the transfer of any FTE positions of the agencies relating to its vehicle fleet management functions from the related agency to DOA, with an identification of the numbers, revenue sources and types of the positions to be transferred; and
g. the transfer to DOA of any incumbent employes holding those positions with the specification that any employes transferred would retain all employment rights and status they held prior to the transfer and that no transferred employe who had attained permanent status in the classified service would be required to serve a new probationary period.
Require that DNR, DOT and the UW Board of Regents to submit, as a part of their 2001-03 biennial budget request, information reflecting any savings incurred from any consolidation of vehicle fleet management functions approved under these provisions. Finally, direct that these agencies fully cooperate with DOA in implementing any plan approved by the Joint Committee of Finance.
[Bill Section: 9158(4)]
13. RISK MANAGEMENT PROGRAM -- CLAIMS PAYMENTS REESTIMATE
PR - $350,000
Governor: Adjust estimated risk management claims payments by -$425,000 in 1999-00 and $75,000 in 2000-01 to reflect the following program changes: (a) an increase of $200,000 in 1999-00 and $400,000 in 2000-01 to increase total estimated property claims payments to $2,800,000 in 1999-00 and $3,000,000 in 2000-01; (b) a increase of $900,000 in 1999-00 and $1,100,000 in 2000-01 to increase total estimated liability claims payments to $6,400,000 in 1999-00 and $6,600,000 in 2000-01; (c) an increase of $100,000 in 2000-01 to reflect total estimated workers compensation claim payments of $10,425,000 in 1999-00 and $10,525,000 in 2000-01; (d) a decrease of $1,525,000 annually to reduce total estimated claims payments associated with hazardous waste cleanups to $275,000 annually. Funding would be provided from charges assessed state agencies for the operation of the self-insured state risk management program.
14. RISK MANAGEMENT PROGRAM -- REALLOCATION OF EXPENDITURE AUTHORITY
Governor: Transfer $175,000 in expenditure authority from the workers compensation claims appropriation account to the Risk Management Division's administrative appropriation. Previously accounted for as claims, these are costs assessed by DWD's Worker's Compensation Division to the state that are currently charged to the claims appropriation for DWD's provision of regulation, hearings and appeals of disputed claims and technical assistance for state employe worker's compensation cases. The Legislative Audit Bureau recommended treating these costs as administrative costs rather than claims costs. According to DOA, this will have no effect on premiums charged to state agencies, but may affect the relative portion paid by individual agencies.
Division of Gaming
1. TRIBAL GAMING REVENUE ALLOCATIONS
PR-REV
1998-99 $172,500
1999-00 21,538,700
2000-01 24,025,000
Total $45,736,200
Governor: Create a program revenue appropriation to receive all state receipts relating to Indian gaming, less the amounts appropriated to DOA for general program operations relating to Indian gaming and the Department of Justice for Indian gaming law enforcement. Modify the statutory definition of "Indian gaming receipts" to include monies received by the state from Indian tribes pursuant to an Indian gaming compact, except monies received as direct reimbursements to the Department of Justice. Allocate, from the newly-created appropriation, approximately $20.6 million PR in 1999-00 and $22.1 million PR in 2000-01 for a variety of purposes (not including regulation and enforcement). The revenue derives primarily from tribal gaming revenue provided to the state under state-tribal gaming compact amendments. Under the recently signed compact amendments, each tribe will make additional annual payments to the state, not required under the original compacts, over a five-year period. The amounts vary by tribe and reflect the variation in total net revenue among the tribes. Revenue provided to the state is estimated to total $21.5 million in 1999-00 and $24.0 million in 2000-01. The following table shows state revenue for fiscal years 1998-99 through 2003-04.
Tribe or Band 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04
Bad River 1 $172,500 $230,000 $230,000 $230,000 $230,000 $57,500
Ho-Chunk 0 6,500,000 7,500,000 7,500,000 8,000,000 8,000,000
Lac Courte Oreilles 2 0 420,000 420,000 420,000 420,000 420,000
Lac du Flambeau 3 0 0 738,900 738,900 738,900 738,900
Menominee 2, 3 0 0 747,371 747,371 747,371 747,371
Oneida 4 0 4,850,000 4,850,000 4,850,000 4,850,000 4,850,000
Potawatomi 0 6,375,000 6,375,000 6,375,000 6,375,000 6,375,000
Red Cliff 5 0 64,685 64,685 64,685 64,685 64,685
Sokaogon 2 0 258,000 258,000 258,000 258,000 258,000
St. Croix 0 2,191,000 2,191,000 2,191,000 2,191,000 2,191,000
Stockbridge-Munsee 0 650,000 650,000 650,000 650,000 650,000
Total $172,500 $21,538,685 $24,024,956 $24,024,956 $24,524,956 $24,352,456
1 Bad River Band makes quarterly payments instead of annual payments; based on the compact's term, three quarterly payments will be made in 1998-99 and one quarterly payment will be made in 2003-04.
2 The Lac Courte Oreilles, Menominee and Sokaogon agreements contain an escalator payment clause that provides for an additional 1% payment to the state ($4,200 for the Lac Courte Oreilles, $7,473 for the Menominee and $2,580 for the Sokaogon) for each 1% increase in net win in the base year for which the payment applies as compared to the net win in the immediately preceding base year.
3 The Lac du Flambeau and Menominee make their final annual payments under the current compact amendments in 2004-05.
4 The Oneida agreement specifies a total annual payment to the state of $5,400,000, adjusted by a reduction of $550,000 in direct recognition of existing municipal service agreements (for a net payment of $4,850,000).
5 The Red Cliff agreement includes a provision that, if net revenue is less than $3,000,000 for any one-year period, the tribe may petition the state to reduce its payment.
Eight of the 11 amended agreements contain government-to-government memoranda of understanding (MOU) relating to the use of the additional payments. While the MOU have some significant differences, their most important common element is a provision that the Governor must undertake his best efforts, within the scope of his authority, to assure that monies paid to the state under the agreements are expended for specific purposes. In most of the MOU, the specified purposes include: (a) economic development initiatives to benefit tribes and/or American Indians within Wisconsin; (b) economic development initiatives in regions around casinos; (c) promotion of tourism within the state; and (d) support of programs and services of the county in which the tribe is located. Several of the MOU add a fifth purpose relating to either law enforcement or public safety initiatives on the reservations.
Under the bill, the Governor is proposing an allocation package that the executive budget summary terms the "Native American Gaming Initiative." The initiative would allocate tribal gaming revenues to 14 state agencies in 31 program areas. These allocations are listed in the following table. Each item is also summarized in greater detail, including any modifications to position authority, under the respective agency summaries.
In two instances (items 25 and 30), one-time funding is provided under the bill. In one instance (item 28), the appropriation structure for the use of the tribal gaming revenue would be established, but no tribal gaming funding would be provided in the 1999-01 biennium. For one provision (Item 7), a technical modification to the bill is required because funding for this purpose is not reflected in the DHFS budget. Finally, in some areas, the tribal gaming revenue would supplant or otherwise affect, in whole or in part, existing funding. These instances are explained in the footnotes to the table.
Program Revenue
Department 1999-00 2000-01 Purpose
1. Administration --
Office of Justice Assistance $200,000 $600,000 Tribal law enforcement assistance grant program.
2. Arts Board 25,200 25,200 Grants-in-aid to, or contracts with, American Indian individuals or groups for services furthering the development of the arts and humanities.
3. Commerce 2,500,000 3,000,000 Gaming economic development grants and loans, including grants to Brown County to support construction of a new arena.
4. Commerce 0 2,500,000 Gaming economic diversification grants and loans
5. Commerce 1 388,700 388,700 Physician Loan Assistance Program (PLAP), Health Care Provider Loan Assistance Program (HCPLAP) and a related contract.
