Senate/Legislature: Require the Secretary of the Department of Administration (DOA) to propose reductions in sum certain appropriations in any fund or reestimates of expenditures to be made from sum sufficient appropriations from the general fund for the 1999-01 biennium in an amount equal to $410 million. Direct the Secretary to make this proposal no later than January 1, 2001, and to report these reductions and reestimates to the Joint Committee on Finance for passive review. Specify that if the cochairpersons of Joint Finance do not notify the Secretary of DOA that the Committee has scheduled a meeting for the purpose of reviewing the proposal within 14 working days, the Secretary would be required to lapse or transfer the amount of the proposed reductions to the general fund or reestimate the expenditures to be made from the sum sufficient appropriations. If the cochairpersons notify the Secretary of DOA within 14 working days that the Committee has scheduled a meeting, the Secretary would be required to lapse or transfer to the general fund or reestimate the amounts specified by Joint Finance.
Veto by Governor: Delete provision.
[Act 10 Vetoed Section: 6(2)]
ADMINISTRATION
Budget Change Items
General Agency Provisions
1. STANDARD BUDGET ADJUSTMENTS
Funding Positions
GPR $507,500 0.00
FED 29,100 - 1.00
PR - 6,260,200 - 2.00
SEG 81,400 0.00
Total - $5,642,200 - 3.00
Governor/Legislature: Provide adjustments totaling $250,200 GPR, $12,700 FED, -$3,130,100 PR, and $40,700 SEG in 1999-00 and $257,300 GPR, $16,400 FED, -$3,130,100 PR, and $40,700 SEG in 2000-01 and -3.0 positions (-1.0 FED and -2.0 PR) for: (a) turnover reductions (-$150,900 GPR and -$745,600 PR annually); (b) removal of non-continuing elements from the base (-$35,700 FED and -$4,921,300 PR annually, and -1.0 FED and -2.0 PR positions); (c) full funding of salary and fringe benefit costs ($320,900 GPR, $39,000 FED, $1,818,900 PR, and $39,300 SEG in 1999-00 and $324,900 GPR, $39,000 FED, $1,818,900 PR, and $39,300 SEG in 2000-01); (d) full funding of financial services charges ($4,400 GPR, $30,800 PR, $1,000 SEG annually); (e) reclassifications ($8,000 GPR and $8,400 FED in 1999-00 and $11,100 GPR and $12,100 FED in 2000-01); (f) overtime ($15,500 GPR and $572,300 PR annually); (g) night and weekend differential ($1,400 GPR and $74,400 PR annually); (h) fifth vacation week as cash ($23,300 GPR, $1,000 FED, $40,400 PR and $400 SEG annually); (i) full funding of lease costs ($27,600 GPR annually); and (j) minor transfer within the same appropriation (no net fiscal impact).
2. REQUIRED BASE LEVEL STATE OPERATIONS FUNDING LAPSE
Funding Positions
GPR - $406,000 - 0.20
FED 9,000 0.00
PR 48,400 0.20
Total $348,600 0.00
Governor/Legislature: Reduce base level funding by $203,000 GPR annually and 0.2 GPR positions to make permanent a 2% annual lapse requirement imposed by 1997 Wisconsin Act 27. Annual reductions are made in the following programs: (a) DOA's general program operations appropriation (-$120,900); (b) special and executive committees appropriation (-$7,300); (c) Women’s Council (-$1,500); (d) Division of Hearings and Appeals (-$30,500); (e) Office of Justice Assistance (-$4,500); (e) Tax Appeals Commission (-$8,300); and (f) Division of Housing (-$30,000).
Also, provide increases of $4,500 FED and $24,200 PR annually and 0.2 PR positions to offset a portion of the required 2% GPR reduction. The increase of $4,500 FED annually would be used by OJA to fund existing staff. The increase of $24,200 PR annually and 0.2 PR positions would offset the reduction to DOA's general program operations GPR appropriation. Revenue for the PR increase comes from charges to other agencies for DOA services.
3. DEBT SERVICE REESTIMATES
GPR $156,800
PR - 4,078,900
Total $3,922,100
Governor/Legislature: Provide adjustments of $21,700 GPR and -$1,847,600 PR in 1999-00 and $135,100 GPR and -$2,231,300 PR in 2000-01 for debt service costs associated with state office building and other facility construction projects. The changes are for the following:
a. Funding increases ($21,700 GPR in 1999-00 and $135,100 GPR in 2000-01) associated with the principal and interest costs on bonding used for adapting for public use the Black Pointe Estate in Lake Geneva.
b. Funding decreases (-$208,300 PR in 1999-00 and -$204,900 PR in 2000-01) associated with the principal and interest costs for the financing of land acquisition for and construction of parking facilities in Madison. Total debt service for parking facilities would be $1,251,800 PR in 1999-00 and $1,255,200 PR in 2000-01. Funding for the parking facility debt service costs are provided from charges assessed for parking in state-owned parking spaces in Madison.
c. Funding decreases (-$1,639,300 PR in 1999-00 and -$2,026,400 PR in 2000-01) associated with the principal and interest costs for the financing of the acquisition, construction, development, enlargement, or improvement of facilities housing state agencies. Total debt service costs for construction and remodeling costs associated with state office buildings managed by DOA would be $9,509,600 PR in 1999-00 and $9,122,500 PR in 2000-01. Funding for these debt service costs are provided from charges assessed state agencies for renting space in state office buildings.
4. REPEAL OF SEPARATE STATE PROSECUTORS OPERATIONS APPROPRIATION
Governor/Legislature: Repeal the sum certain GPR appropriation for the State Prosecutor's Office and instead include funding for that Office within the GPR sum certain general program operations appropriation for DOA. The 1998-99 base level funding for the office was $203,500, which would be combined with DOA's general program operations that had 1998-99 base level funding of $8,582,400 GPR.
[Act 9 Sections: 508 and 509]
5. CRIMINAL PENALTIES STUDY COMMITTEE
Funding Positions
GPR - $400,000 - 1.00
Governor/Legislature: Delete $200,000 annually and 1.0 position to reflect termination of the activities of the Criminal Penalties Study Committee. This Committee was established by 1997 Wisconsin Act 283 to study the classification of criminal offenses and is required to submit its report not later than April 30, 1999. The Committee will complete its activities prior to the beginning of the next fiscal year.
6. BADGER STATE GAMES [LFB Paper 135]
GPR $50,000
Governor/Legislature: Provide $25,000 annually to double the amount of annual funding provided for assistance to Badger State Games.
7. REPEAL THE ENERGY DEVELOPMENT AND DEMONSTRATION PROGRAM AND MEDIATION OFFICE OPERATIONS APPROPRIATION
Governor/Legislature: Repeal the authorization for the energy development and demonstration program in DOA and the associated annual GPR appropriation. The program was established to promote the development and demonstration of renewable energy resources available in Wisconsin and energy conservation methods appropriate for the state. The last time monies were provided to this appropriation was in fiscal year 1983-84.
Repeal the annual GPR appropriation for mediation office operations. The appropriation was established to fund a mediation office to assist in the resolution of disputes having statewide significance if a Governor elected to establish such an office by executive order. Funds were last appropriated for this activity in the 1985-87 biennium. In addition to repealing the mediation office operations appropriation, a DOA gifts and grants appropriation is modified to eliminate the reference to the office of mediation.
[Act 9 Sections: 109, 510, 530 and 531]
8. HOUSING -- OPERATION FRESH START REPLICATION FUNDING [LFB Paper 136]
Governor: Provide $232,000 annually to the Division of Housing's grants to local housing organizations appropriation to fund replication of projects similar to Madison's Operation Fresh Start program. This program assists youth and adults (ages 16 to 24) with alcohol and other drug abuse problems, poor health and nutrition, low educational achievement, poor employment history, physical, sexual and emotional abuse or a criminal history to become self-sufficient. During the 1998-99 fiscal year, base level funding in the Division of Housing and WHEDA totaling $530,000 was reallocated at the direction of the Governor to fund two Operation Fresh Start replication projects. The additional funding provided under the Governor's recommendation would support two more replication projects during the 1999-01 fiscal biennium.
Joint Finance: Delete the $232,000 provided in each fiscal year for Operation Fresh Start replication projects from DOA and instead place the funds in the Joint Committee on Finance's GPR supplemental appropriation to be reserved for possible future release to the Division of Housing under s. 13.10 procedures, once the total actual funding commitments for these replication projects are known and have been secured.
Assembly: Modify Joint Finance provision by deleting $92,000 annually of the amounts reserved in the Committee's appropriation for Operation Fresh Start replication projects and transferring the remaining balance ($140,000 annually) from the Committee's appropriation to DOA's grants to local housing organizations appropriation. Under this modification, funding sufficient for four Operation Fresh Start replication projects annually would be provided, based on the current level of firm funding commitments to the program from other sources.
Senate/Legislature: Restore Joint Finance provision.
9. HOUSING -- ELIMINATE MAXIMUM AMOUNT FOR TRANSITIONAL HOUSING GRANTS [LFB Paper 137]
Governor: Eliminate the current $50,000 individual grant maximum on awards under the transitional housing grant program. This program provides grants to counties, municipalities, community action agencies and private, nonprofit organizations to operate transitional housing and related supportive services for the homeless. The purpose of the program is to facilitate the movement of homeless persons to independent living. During the 1997-99 biennium, grants totaling $900,000 were awarded under the program to 20 different agencies assisting the homeless.
Joint Finance/Legislature: Modify the Governor's recommendation by including a provision to direct the Division of Housing to ensure that transitional housing grant funds be reasonably balanced among geographic areas of the state, consistent with the quality of applications submitted.
[Act 9 Section: 64]
10. HOUSING -- TRANSFER MOBILE HOME REGULATORY PROGRAMS TO COMMERCE
Funding Positions
PR-REV - $160,000
PR - $142,300 - 3.00
Joint Finance/Legislature: Delete $142,300 and 3.0 positions in 2000-01 from the mobile home park regulatory appropriation. Effective July 1, 2000, transfer 3.0 PR positions in the Division of Housing that are currently responsible for the regulation of mobile home parks and mobile home dealers to the Department of Commerce. Provide that the DOA incumbents would be transferred to Commerce with any rights and benefits previously earned. Repeal the program revenue mobile home appropriation, effective July 1, 2000, and transfer the unencumbered appropriation account balance to the safety and buildings operations program revenue appropriation under Commerce. The estimated reduction in DOA mobile home program revenue would be $160,000 annually, beginning in 2000-01. [See the entry under "Commerce" for a description of the Commerce provisions.]
[Act 9 Sections: 64g, 64m, 64r, 544m, 9101(3x), 9201(2x) and 9410(5x)]
11. TRANSFER OF COMPUTER-RELATED SUPPLIES AND SERVICES FUNDS TO THE OFFICE OF THE GOVERNOR [LFB Paper 466]
GPR - $250,000
Joint Finance/Legislature: Delete $125,000 annually from DOA's s. 20.505(1)(a) general program operations appropriation and increase the Office of the Governor's s. 20.525(1)(a) general program operations appropriation by an equal amount annually to reflect the transfer to that Office of base level funds currently budgeted under DOA for computer-related costs incurred by the Executive Office.
12. FREE BOOKS FOR ORGANIZATIONS [LFB Paper 138]
GPR - $200,000
Joint Finance/Legislature: Repeal the free books for organizations program and delete funding of $100,000 GPR annually.
[Act 9 Sections: 11d, 11n, 51m, 511d, 516m, 517m and 3261g]
13. PAYMENT OF REMAINING WISCONSIN SESQUICENTENNIAL COMMISSION EXPENSES
Assembly/Legislature: Create a SEG-funded continuing appropriation under DOA to be funded from residual Wisconsin Sesquicentennial Commission monies from gifts, donations and royalties that have been transferred to the historical legacy trust fund since October 1, 1998. Provide that the appropriation would be used for the payment of any Commission obligations that remain unpaid as of the effective date of the biennial budget act. Include a nonstatutory provision authorizing the Secretary of DOA to make appropriate adjustments to the amounts required to be transferred under current law from residual Commission balances to the transportation fund, if the Commission received more than a total of $4,150,000 from license plate revenues. This provision would result in the transfer of an additional $83,300 from the historical legacy trust fund to the transportation fund in 1999-00. [Under current law, the amounts received in excess of $4,150,000 must be returned to the transportation fund from the historical legacy trust fund.] It is estimated that unpaid Commission obligations (primarily unpaid grant awards) will total at least $393,000.
[Act 9 Sections: 11p, 528p and 9101(21g)]
14. UTILITY PUBLIC BENEFITS PROGRAM AND ADMINI-STRATION
SEG-REV $55,500,000
SEG $55,500,000
Senate: Direct DOA, in consultation with a new Council on Public Benefits, to establish low-income energy assistance and energy conservation and efficiency services public benefit programs.
Public Benefits Program Elements
Low-Income Energy Assistance Programs. Create a program for awarding grants to be administered through DOA's Division of Housing to provide assistance to low-income households for weatherization and other energy conservation services, payment of energy bills and the early identification and prevention of energy crises. Specify that in each fiscal year, the amount awarded under the program for weatherization and other energy conservation services would have to be sufficient to equal 47% of the sum of the federal low-income weatherization and energy conservation funds received by the state, all revenues spent by continuing low-income programs established by utilities, all funds expended under this new DOA program and 50% of the public benefits funds received from municipal utilities.
Energy Conservation and Efficiency and Renewable Resources Programs. Create a program to be administered by DOA for awarding grants for energy conservation and efficiency services and for renewable resources programs directed at: (a) the least competitive sectors of the energy conservation and efficiency services market; and (b) promoting environmental protection, electric system reliability or rural economic development. Specify that 4.5% of the funds for this program be expended for renewable resources and 1.75% of the funds be used for research and development proposals. Require DOA to establish requirements and grant application procedures for grants by rule.
Program Administration
DOA Administrative Responsibilities. Provide that DOA's Division of Housing would have to contract with: (a) community action agencies, nonprofit corporations or local units of government to provide the low–income program services; and (b) with one or more nonprofit corporation to administer the energy conservation and related programs. Require that DOA, beginning in the 2004-05 fiscal year, determine whether to continue, discontinue or reduce any of the programs related to energy conservation and efficiency and renewable resources. Provide that DOA would have to determine the amount of funding necessary for the programs that are continued or reduced and notify the PSC of this funding determination.
Other DOA Duties. Direct DOA to encourage utility customers to make voluntary contributions to support public benefit programs. Specify that DOA would have to conduct an annual independent audit of the public benefits programs for submission to the Legislature and Governor.
Emergency Rules. Specify that DOA would have to promulgate emergency rules for the public benefits programs within 60 days of the general effective date of the biennial budget act and that draft permanent rules would have to be submitted to the Legislative Council within six months of the general effective date of the biennial budget act.
Council on Public Benefits. Create an 11-member Council on Public Benefits, attached to DOA and require DOA to consult with the Council in the development of public benefits programs.
Revenue Sources for Public Benefits Programs
