FY 1997 Appropriations Report - Economic Development and Human Resources

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Economic Development and Human Resources

    The Economic Development and Human Resources Joint Appropriations Subcommittee provides legislative oversight, program review and/or budget recommendations for the State's Department of Community and Economic Development, Department of Human Resource Management, Career Service Review Board, Utah Technology Finance Corporation, State Fair Corporation, Utah Science Authority, and Utah Housing Finance Agency. The Subcommittee also reviews all expenditures of Mineral Lease Funds. The overall goal of the agencies and programs is to improve and enhance the economic well-being and the quality of life for all Utahns and to develop the State's human resources.

Funding Overview

    The Legislature appropriated a total of $108,063,200 to the Department of Community and Economic Development, the Department of Human Resource Management, the Utah Technology Finance Corporation, the Career Service Review Board, the Utah Science Authority, and the Utah State Fair Corporation. The FY 1997 General Fund appropriation of $45,177,700 includes $11,445,000 in one-time funding. An appropriation of $860,000 one-time Uniform School Fund was also made. The Subcommittee's ongoing base General Fund budget allocation was increased 2.05 percent, not including the compensation package.

    The Subcommittee reallocated $980,200 of nonlapsing balances for FY 1996 and FY 1997. The Centers of Excellence Micron Business Resource set-aside of $500,000 was added back to the State General Fund. Base FY 1997 General Fund of $811,900 was shifted between line item programs within the Departments and Programs reviewed by the Subcommittee.

New programs to be started in FY 1997:

  • The Department of Community and Economic Development will start its Electronic Business Services with an ongoing appropriation of $300,000. Additional base General Fund has been shifted between programs to support this effort.

  • The Division of Business and Economic Development received $250,000 one-time General Fund through House Bill 62, "Community Economic Development Project Fund," to start a Project Fund within the Division.

  • Recycling Market Development Zones were started in the Division of Business and Economic Development with an appropriation of $40,000 ($38,000 General Fund and $2,000 Dedicated Credits) through House Bill 249, "Recycling Market Development Zones."

  • The Division of Community Development has been charged with starting a "Healthy Community" program with $300,000 through House Bill 306, "Antiviolence Funding."

    FY 1997 ongoing funding increases for the growth of existing programs will be:

  • The Department of Human Resource Management was appropriated $325,700 to operate and maintain the new Human Resource Streamline statewide management information system.

  • The Single Head of Household Job Training Program received an increase of $300,000 ongoing General Fund.

  • The Division of Fine Arts was appropriated an additional $101,800 from the General Fund to supplement the Fine Arts Grants Program.

  • An Export-Import Promotion Program was established within the Utah Technology Finance Corporation with $146,500 General Fund.

  • The Homeless Trust Fund was increased by $100,000 General Fund.

  • The Zoo received a base General Fund increase of $50,000.

  • The Film Commission ongoing base budget was increased by $10,400 General Fund in addition to $20,000 one-time funding.

  • The Division of Energy Services Weatherization Program received an ongoing base increase of $15,800 General Fund and $65,000 in one- time funding.

    Legislation affecting the Department includes:

  • Appropriation of $350,000 General Fund for the Golden Spike Heritage Foundation. (Senate Bill 15, "Promontory Rail Restoration Project")

  • Housing Trust Fund appropriation of $1,000,000 from the General Fund. (House Bill 111, "Housing Trust Fund Appropriation")

  • House Bill 230, "Severance Tax - Indian Tribes," creates a Revitalization Fund for San Juan County similar to the one established for the Uintah Basin. Ongoing funding will be from Severance Tax revenue.

  • A Community Economic Development Project Fund was started with House Bill 62, "Community Economic Development Project Fund." (See new programs)

  • House Bill 249 established "Recycling Market Development Zones" with $40,000. (See new programs)

  • House Bill 306, "Antiviolence Funding," creates a "Healthy Communities" Program with $300,000 one-time General Fund. (See new programs)

  • House Bill 241, "Transient Room Tax Amendments," expands the purposes for which Transient Room Tax can be expended by local government.

  • Senate Bill 68, "Clean Fuels Loan Program Amendments," appropriates $330,000 one-time General Fund for the Alternative Fuels Program in the Office of Energy Services.

    The One-time Appropriations for FY 1997 (not including legislation) are:

  • Special Initiatives - Totaling $6,930,000 General Fund and $860,000 Uniform School Fund - See Table 18.

  • Hogle Zoo Capital Facilities and Promotion ($660,000 General Fund)

  • Base FY 1996 funding for the Utah State Fair Corporation of $666,900 was shifted from the Corporation to other line items. A one-time General Fund appropriation of $595,000 was made for FY 1997.

  • Division of Business and Economic Development Defense Conversion Fund ($200,000 General Fund.)

  • Housing Development / Low Income Housing ($750,000 General Fund)

  • County Centennial History ($150,000 General Fund)

  • Homeless Trust Account ($25,000 General Fund)

  • Utah Pioneer Sesquicentennial Coordinating Council ($80,000 General Fund)

  • Division of Business and Economic Development Film Commission ($20,000 General Fund)

  • Division of Community Development Museum Services Grants ($50,000 General Fund)

  • Single Head of Household Job Training Program ($27,100 General Fund)

  • Job Training Coordination ($15,100 General Fund)

  • Community Development Utah Food Network Support ($60,000 General Fund)

    Supplemental FY 1996 One-time Funding

        The Legislature appropriated $1,500,000 General Fund in FY 1996 projects with one-time Supplemental Appropriations. Transfers totaling $540,200 were also made between line items.

    The One-time Appropriations for FY 1996 are:

  • Industrial Assistance Fund credit replenishment ($1,148,500 General Fund)

  • Low Income Affordable Housing through the Housing Trust Fund ($250,000 General Fund)

  • Special Initiatives - Tuacahn ($50,000 General Fund)

  • Job Training Coordination ($51,500 General Fund)

  • Transfers of Nonlapsing Balances from the Division of Business and Economic Development totaling $381,200 for FY 1996 were transferred from the Division of various other line items, including: Special Initiatives - Shakespearean Festival Land Purchase and Preparation ($319,000) and the Office of Energy Services Weatherization Program ($62,200).

  • A transfer of General Fund of $60,000 from the DBED Technology Alliance Program to the Department Administration Information Technology Program

  • The Disaster Relief Program transferred $99,000 to the Governor's Emergency Fund.

  • The Division of Community Development Assistance Program was increased $42,000 of Permanent Community Impact Fund due to an increase in the FY 1996 Mineral Lease projections.

  • The Department of Human Resource Management Training Program was appropriated an additional $55,000 Dedicated Credits due to expected revenue increases from state sponsored training programs.

    FY 1997 Intent Language for the Department of Human Resource Management

        It is the intent of the Legislature that the Governor's Office of Planning and Budget do an in-depth review of Statewide Agency Human Resource Offices according to Utah Code 63-38-(14,15, and 16) to evaluate the impact of Human Resource Streamline and to determine if staff and resources could be reallocated between Agencies for more efficient operations of State human resource management functions.

        It is the intent of the Legislature that FTEs assigned to Human Resource Streamline be absorbed within the Department of Human Resource Management through attrition with no new hiring until the employee number is back to the current approved level. The Department shall have the discretion to replace employees in critical positions as needed.

         It is the intent of the Legislature that the Department of Human Resource Management reexamine the salary range of Highway Patrol Troopers and make appropriate adjustments.

        It is the intent of the Legislature that the compensation adjustment for FY 1997 is to be 4 percent and allocated as follows: first priority is the benefit rate adjustments except for retirement rate increases which are funded separately; second priority, the remainder of the funds are to be used for a cost-of-living adjustment.

    FY 1996 Intent Language for the Department of Human Resource Management

         It is the intent of the Legislature that funds for the Human Resource Streamline Project are nonlapsing and are to be used to complete a phased implementation of the human resource management system and associated streamlining systems.

    FY 1997 Intent Language for the Department of Community and Economic Development

         It is the intent of the Legislature in order to produce a cost savings that the Office of Child Care prepare and implement a program for parental payment for services provided in the Before and After School Program.

         It is the intent of the Legislature that these funds be used to establish a cooperative agreement with Midvale City for improvements including a golf course at the Sharon Steel site.

         It is intent of the Legislature that funding of the Special Opportunities Fund be used to fund a truck at the State Fair Park and the ZiNj Project request.

         It is the intent of the Legislature that the Department of Community and Economic Development evaluate the viability of implementing a performance based funding system in which a portion of tourism industry growth sales tax would be reinvested in tourism marketing and development programs, similar to the Missouri model of performance based funding.

        It is the intent of the Legislature that the Library Grant funds be used to improve basic library services and for material over and above current levels of local financial support.

         It is the intent of the Legislature that the appropriation for the Utah Food Network be administered by the Office of Community Services of the Department of Community and Economic Development.

        It is the intent of the Legislature that the Office of Community Services shall act as the State Agency responsible for the evaluation and improvement of emergency food assistance services in Utah.

    Related Tables in this section> Table 14 - Summary of Financing

    Table 15 - Summary of Programs

    Table 16 - Department of Human Resource Management

    Table 17 - DCED Administration

    Table 18 - Special Initiatives

    Table 19 - Office of Job Training for Economic Development

    Table 20 - Division of Business and Economic Development

    Table 21 - Travel Development

    Table 22 - Energy Services

    Table 23 - Community Development

    Table 24 - Utah State Fair Corporation

    Table 25 - Utah Technology Finance Corporation

    Table 26 - Community Development Capitol Budget