Compendium of Budget Information for the 2009 General Session
| Capital Facilities & Government Operations Appropriations Subcommittee | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Subcommittee Table of Contents | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency: ISF - Human Resource Management Function The Department of Human Resource Management (DHRM) Internal Service Fund (ISF) was established by House Bill 269 in the 2006 General Session. Upon establishing the ISF, DHRM consolidated all human resource employees statewide. Whereas previously most HR staff in the 'field' worked for the agency where they were housed, they now work for DHRM. The consolidation should allow for efficiencies by avoiding duplication of effort, particularly in rural or remote locations. Consolidation should also result in better control and coordination over HR functions. The ISF operated by DHRM provides consolidated services to all state agencies. The ISF has two programs: Field Services and Payroll Field Services. Statutory Authority UCA 67-19-5 (6) allows the department to operate an internal service fund in accordance with Section 63-38-3.5 for the human resource functions the department provides. In order to control the size, mission and fees charged to state agencies, the Legislature imposed statutory controls (UCA 63-38-3.5) that require ISFs to respond to the legislative budget process. No ISF can bill another agency for its services unless the Legislature has: approved the ISF's budget request, FTE, capital acquisitions, rates, fees, and other charges; published the annual rates and fees in an appropriations act; and appropriated the ISF's estimated revenue. Working capital for operations must be provided from the following sources in the following order: 1. operating revenues, 2. long-term debt, and 3. appropriation from the Legislature. To eliminate negative working capital, an ISF may borrow from the General Fund as long as the debt is repaid over the useful life of the asset and the deficit working capital is greater than ninety percent of the value of the ISF's fixed assets. Funding Detail Rates are based on a detailed analysis of the costs of providing human resource functions statewide. The intent behind creation of the ISF was to save money or at worst be revenue neutral with improved coordination and control.
|