THE GOVERNOR'S BUDGET REPORT _______________________________________________________________________________ FISCAL YEAR 2002 ROY E. BARNES GOVERNOR STATE OF GEORGIA THE GOVERNOR'S BUDGET REPORT Fiscal Year 2002 Ending June 30, 2002 Roy E. Barnes, Governor Director of the Budget Bill Tomlinson, Director Office of Planning and Budget CONTENTS Governor's Introduction..............................................................................................................................4 Budget Highlights.........................................................................................................................................6 Special Initiatives........................................................................................................................................15 An Economic Report ..................................................................................................................................32 Results-Based Budgeting...........................................................................................................................40 State Strategic Plan.....................................................................................................................................41 Reader's Guide............................................................................................................................................43 FINANCIAL SUMMARIES Estimated State Fund Availability, Budget and Surplus......................................................................48 Georgia Revenues, Actual and Estimated ..............................................................................................49 Expenditures and Appropriations by Department State Funds........................................................50 Expenditures and Appropriations by Department Total Funds .......................................................52 Sources of State Revenue by Percentage................................................................................................54 Sources of State Revenue by Amount.....................................................................................................55 How State Dollars are Spent .....................................................................................................................56 Statement of Financial Condition.............................................................................................................57 Projected Changes in Fund Balances ......................................................................................................58 Revenue Shortfall Reserve........................................................................................................................59 Lottery Reserves .........................................................................................................................................60 Lottery Recommendations........................................................................................................................61 Recommended Salary Adjustments.........................................................................................................64 DEPARTMENT SUMMARIES State Organization Chart ...........................................................................................................................70 LEGISLATIVE BRANCH General Assembly ...............................................................................................................................72 Department of Audits and Accounts ...............................................................................................73 JUDICIAL BRANCH................................................................................................................................74 EXECUTIVE BRANCH Department of Administrative Services ..........................................................................................79 Department of Agriculture ................................................................................................................97 Department of Banking and Finance............................................................................................ 111 Department of Community Affairs ............................................................................................... 119 Department of Community Health................................................................................................ 135 Department of Corrections............................................................................................................. 153 Department of Defense................................................................................................................... 165 State Board of Education................................................................................................................ 175 Employees' Retirement System .................................................................................................... 211 State Forestry Commission............................................................................................................ 219 1 CONTENTS Georgia Bureau of Investigation................................................................................................... 229 Georgia State Financing and Investment Commission ............................................................. 241 Office of the Governor.................................................................................................................... 247 Department of Human Resources ................................................................................................. 263 Department of Industry, Trade and Tourism............................................................................... 315 Department of Insurance ................................................................................................................ 327 Department of Juvenile Justice...................................................................................................... 337 Department of Labor....................................................................................................................... 347 Department of Law.......................................................................................................................... 359 Merit System of Personnel Administration................................................................................. 367 Department of Natural Resources................................................................................................. 377 State Board of Pardons and Paroles.............................................................................................. 397 Department of Public Safety.......................................................................................................... 405 Public School Employees' Retirement System .......................................................................... 422 Public Service Commission........................................................................................................... 425 Regents, University System of Georgia ....................................................................................... 435 Department of Revenue.................................................................................................................. 477 Office of Secretary of State............................................................................................................ 487 State Soil and Water Conservation Commission........................................................................ 501 Georgia Student Finance Commission......................................................................................... 509 Teachers' Retirement System........................................................................................................ 523 Department of Technical and Adult Education .......................................................................... 529 Department of Transportation........................................................................................................ 543 Department of Veterans Service.................................................................................................... 555 State Board of Workers' Compensation...................................................................................... 563 State of Georgia General Obligation Debt Sinking Fund ......................................................... 572 CAPITAL OUTLAY Summary of Funds Recommended by the Governor......................................................................... 576 CAPITAL OUTLAY PROJECTS FOR FY 2002 Department of Administrative Services ....................................................................................... 577 Department of Agriculture ............................................................................................................. 578 Department of Community Affairs ............................................................................................... 579 Department of Corrections............................................................................................................. 580 Department of Defense................................................................................................................... 582 State Board of Education................................................................................................................ 583 State Forestry Commis sion ............................................................................................................ 585 Georgia Bureau of Investigation................................................................................................... 586 Georgia State Financing and Investment Commission ............................................................. 587 Department of Human Resources ................................................................................................. 588 Department of Industry, Trade and Tourism............................................................................... 590 Department of Juvenile Justice...................................................................................................... 591 Department of Labor....................................................................................................................... 593 2 CONTENTS Department of Natural Resources................................................................................................. 594 Department of Public Safety.......................................................................................................... 596 Regents, University System of Georgia ....................................................................................... 597 Office of Secretary of State............................................................................................................ 603 State Soil and Water Conservation Commission........................................................................ 604 Department of Technical and Adult Education .......................................................................... 605 Department of Transportation........................................................................................................ 610 Department of Veterans Service.................................................................................................... 612 CAPITAL OUTLAY PROJECTED NEEDS FOR FISCAL YEARS 2003-2006 Department of Agriculture ............................................................................................................. 613 Department of Community Affairs ............................................................................................... 614 Department of Corrections............................................................................................................. 615 State Board of Education................................................................................................................ 616 Georgia Bureau of Investigation................................................................................................... 617 Georgia State Financing and Investment Commission ............................................................. 618 Department of Human Resources ................................................................................................. 619 Department of Industry, Trade and Tourism............................................................................... 621 Department of Juvenile Justice...................................................................................................... 622 Department of Labor....................................................................................................................... 623 Department of Natural Resources................................................................................................. 624 Department of Public Safety.......................................................................................................... 626 Regents, University System of Georgia ....................................................................................... 627 State Soil and Water Conservation Commission........................................................................ 634 Department of Technical and Adult Education .......................................................................... 635 Department of Transportation........................................................................................................ 639 APPENDIX State Funds Surplus......................................................................................................................... 642 Summary of Positions ..................................................................................................................... 643 FY 2003 Budget Estimates............................................................................................................. 644 Impact of Capital Outlay Program on the FY 2002 Recommended Budget......................... 646 Financing Capital Outlay Needs - Issuance of Debt.................................................................. 647 Total Debt Authorized by State in General Obligation and Revenue Bonds........................ 649 Outstanding Debt Owed by State of Georgia .............................................................................. 650 Principal and Interest Owed on Outstanding Bonds.................................................................. 651 State Debt by Percentage of Treasury Receipts.......................................................................... 652 Basis of Budgeting and Accounting............................................................................................. 653 The Budget Process in Georgia ..................................................................................................... 654 Georgia Statistics ............................................................................................................................. 657 Acronyms .......................................................................................................................................... 659 Glossary............................................................................................................................................. 665 3 TO THE MEMBERS OF THE GENERAL ASSEMBLY: It is my pleasure to present this FY 2002 Budget Recommendation for the continued improvement of services to the citizens of our state. This budget reflects the continuation of initiatives implemented last year and enhancements that our continued economic growth allows to be funded. We are indeed in a very fortunate position. While we have continued to experience rapid growth and an expanding economy, we must target our resources in all areas of state government to those citizens in the greatest need. From the students in our public schools that must improve their overall academic achievement, to the child or family who does not have health insurance coverage, to the rural areas that are clamoring for economic revitalization, we must direct our resources to obtain the maximum impact. I believe that this budget brings us closer to that goal and to a brighter future for Georgia. As a normal precaution, I have established a conservative revenue estimate of $14,433,000,000 for FY 2002. First, to fulfill my promise, I am including $249 million for property tax relief for the citizens of Georgia. Second, education reform must continue to be at the forefront of our investments for Georgia's future. This budget proposes the continuation of implementation of initiatives created in the A+ Education Reform Act of 2000 and additional proposals made by the Governor's Education Reform Study Commission (GERSC) in their second year of work. I am recommending $18.9 million to establish an Early Intervention Program (EIP) for students below grade level in grades 4-5. I am recommending $7 million to provide additional funds for statewide reading programs combined with $27.8 million for existing programs and allow the local systems to choose the reading programs they desire. Also, I am adding $7 million to increase funding for school improvement teams bringing the total number of teams to 20 that will be available to assist local schools that need assistance. I am recommending $3.5 million to provide funds to pilot voluntary extended day middle schools. And to assist kindergarten teachers in starting our young students on a strong academic path, I am recommending $68.5 million to fund paraprofessionals in kindergarten at a ratio of 1 paraprofessional to 18 pupils. I am also including $31.9 million to provide funds for equalization grants with local systems limited to 40% of the gain or loss from the prior year. In recognizing the importance of improving our teaching workforce and attracting and retaining great teachers, I am recommending $500,000 to create alternative certification programs to address critical teacher shortages in certain fields. Another $500,000 will fund the creation of distance learning courses to help end out of field teaching in critical shortage fields. I am also requesting $200,000 for planning and implementing an Education Leadership Training Institute and another $200,000 to develop a plan to market teaching in Georgia. I am recommending $1.79 million for additional Promise Scholarships due to higher demand as a result of lowering the GPA requirement from 3.6 to 3.2. And also, almost $1 million is being requested for additional Promise II Scholarships to assist an estimated 350 teacher's aides/paraprofessionals in becoming certified teachers. The health and well-being of our citizens must always carry the highest priority. Because Georgia has such a high incidence of cancer and many of our citizens leave the state to acquire treatment, we must improve the early detection and the treatment of this dreaded disease. For these reasons, I am recommending the creation of the Georgia Cancer Coalition and providing $21.9 million to fund a variety of initiatives in cancer detection, research and treatment. We must also target state services to the children and families of the state who are most in need. I am recommending $3 million to provide Medicaid coverage for children in families with incomes up to 150% of the federal poverty level. Also, another $1.3 million will provide PeachCare for Kids eligibility the first day of the month of initial eligibility. There is $2.5 million for Babies Born Healthy to increase services to women who are poor, but ineligible for Medicaid. I am also adding $4.3 million in additional funding for the AIDS Drug Assistance Program. I am requesting $7.1 million to increase salaries for child protective services staff engaged in investigation and placement activities as well as another $3.6 million to add 100 child protective services caseworkers and supervisors. I am recommending $5.2 million to raise the foster care and adoption assistance per diem based on the age of the child as well as another $4 million to fund a 5% caseload increase for family foster care and a 10% caseload increase in adoption assistance. I have included also $1.4 million to fully fund the cost of Family Connection implementation grants. And to support the administration of Medicaid services I am transferring $88.4 million from the Department of Community Health to the Department of Human Resources. I am also recommending $11.2 million to reduce the Mental Retardation waiting list. Our economy remains strong and continues to grow. To enhance this growth and target the areas of the state most in need, I am recommending $2.8 million in increased state general funds for the Regional Economic Business Assistance grant program for an annual appropriation of $5 million. These funds are added to the OneGeorgia Authority where an additional $10 million is provided from Tobacco Settlement Funds. To keep our business incubation efforts strong, I am also recommending $4.5 million for additional faculty, research, space needs, commercialization and a new effort to mentor faculty at non-research institutions for the Yamacraw Project. In transportation, I am recommending $1.4 million to continue planning, engineering and program assistance for implementation of the Georgia Rail Passenger Authority's programs that will support $1.4 million that was provided in the FY 2001 Amended Budget for this purpose. And, I am recommending that we authorize the use of $31 million in motor fuel funds as debt service payments for revenue obligations of the State Tollway Authority to support a comprehensive transportation package. Georgia's natural resources are one of our greatest assets. However, with our expanding growth these assets are coming under increasing stress and we must focus on the areas that have the greatest needs. I am recommending again this year $30 million to support communities in preserving 20% of their land as green space that will not be developed. To address our environmental regulatory issues, I am recommending an increase in the staffing of 70 positions for the Environmental Protection Division with $3.9 million. All Georgians deserve safe and secure communities and roads, and this budget increases prison programs and facilities and the staff of our State Patrol. I am including operating and startup funds of $34.5 million for additional diversion, transition, probation center and prison beds. I am also recommending $4.8 million to increase our sworn count of state patrol officers by 75 positions. In technology, I am recommending $3 million in state funds and authorization for the Georgia Technology Authority to use $5 million in agency funds to complete Phase 1 of 3 empowerment projects. We have great challenges before us and I am excited about all of these initiatives and proposed improvements for Georgia. As always, I am looking forward to working with you during this legislative session as we craft the future of Georgia. Sincerely, REB Roy E. Barnes Governor FY 2002 BUDGET HIGHLIGHTS Governor's Recommendations APPROPRIATIONS AND REVENUES Appropriations totaling $15,446,828,905 are recommended for FY 2002, which begins July 1, 2001 and ends June 30, 2002. The appropriations would be funded from the following sources: - $14,433,000,000 from taxes and fees as estimated by the Governor, an increase of $976,000,000 or 7.3% over the FY 2001 budget of $13,457,000,000. - $550,000,000 from lottery proceeds. - $148,828,880 from the Indigent Care Trust Fund. - $166,000,000 from the FY 2000 surplus. - $149,000,025 from the Tobacco Settlement Fund. RECOMMENDED EXPENDITURES PROPERTY TAX RELIEF $249,000,000 to continue the Governor's Property Tax Relief Program, which will raise the statewide homestead exemption value from the current $6,000 to $8,000. This will result in no general county and school property tax liability for the first $20,000 of fair market value on homesteads. SALARY ADJUSTMENTS $351,586,142 to provide for the following salary increases: Public School Employees - 4.5% for public school teachers effective, September 1, 2001. - 3.5% for school bus drivers and lunchroom workers, effective July 1, 2001. State Employees - 4.5% funding level for merit increases for Board of Regents faculty effective fall semester 2001 and nonacademic staff, effective October 1, 2001. - 4.5% for public librarians effective September 1, 2001. - 4.5% for technical college teachers and adult literacy instructors, effective September 1, 2001; 3.5% for technical college support staff, effective October 1, 2001. - Performance based increase range (0% or 3.5%) for state employees except as noted within the Executive Branch, effective October 1, 2001. This includes employees of the Department of Education, Central Office personnel of the Department of Technical and Adult Education and employees of the Georgia Public Telecommunications Commission. - Raise the current salary of employees to the target hire rate of the Statewide Salary Plan for their respective job classification. This adjustment is in addition to the performance-based increase. - Provide 4% increase to the structure of the Statewide Salary Plan, and adjust salaries to conform to the new target hire and maximum rates, where applicable. - Provide for a 2% one-time lump sum payment for Executive Branch employees receiving at least "exceed expectations" on their annual performance appraisal, effective October 1, 2001. - 3.5% for staff employees of the Legislative Branch and the Judicial Branch, effective October 1, 2001. - 3.5% for each state official (excluding members of the General Assembly) whose salary is set by Act 439, effective October 1, 2001. - 3.5% cost of living adjustment for members of the General Assembly, effective October 1, 2001. Special Salary Adjustments for Certain Employees - Georgia Bureau of Investigation - State Forestry Commission - Department of Human Resources - Department of Public Safety - Department of Law - Public Service Commission - Employees successfully completing the primary accounting series of courses offered through the State Financial Management Certificate Program. (See pay raise section for details.) 6 FY 2002 BUDGET HIGHLIGHTS EDUCATION (LOTTERY FUNDS) Office of School Readiness $31,873,844 to provide equalization grants with local systems limited to 40% of the gain or loss from the prior year. $5,314,225 to provide funds for a 4.5% salary increase for certified Pre -Kindergarten teachers and a 2.5% salary increase for non-certified Pre-Kindergarten teachers and to provide additional at-risk services. $232,312,901 to serve 4-year olds through the Voluntary Pre -Kindergarten Program. Public Schools $35,663,350 for technology in the classroom at $25 per full-time equivalent (FTE). $20,000,000 in additional funds for the Pupil Transportation grant. $68,522,643 to provide funds for paraprofessionals for Kindergarten at a ratio of 1 paraprofessional to 18 pupils. $18,928,644 to establish Early Intervention Program (EIP) for students performing below grade level in Grades 4-5 at a teacher-pupil ratio of 1:11. An estimated 8% of students in Grade 4-5 are below grade level. The total cost of $28,183,433 netted against elimination of remedial programs in Grades 4-5 results in a savings of $9,254,789. Student Finance $223,443,983 for the HOPE Scholarship to provide tuition, mandatory fees and a book allowance to approximately 104,000 students enrolled in public colleges and technical colleges. $33,311,070 for the HOPE Private College Scholarships. $1,792,000 in funding for Promise Scholarships. The number of eligible students has doubled due to the change in grade point average (GPA) requirement from 3.6 to 3.2. $932,666 for Promise II Scholarships to assist an estimated 350 teacher's aides in becoming certified teachers. $7,132,668 to provide funds to increase Maintenance and Operations by $5 per FTE. $7,000,000 to provide additional funds for special assistance reading programs which will be combined with $27,760,185 for existing programs. Local systems will choose the qualified reading programs they desire. $7,000,000 to increase funding for school improvement teams. This additional funding plus the $4,000,000 in the base provides $11,000,000 for 20 improvement teams. An additional $360,000 is recommended to fund an additional 5 positions to assist low performing schools and the improvement teams. $3,500,000 to provide funds to pilot extended day middle schools. $760,000 for the Engineer Scholarships including an increase from $3,000 to $3,500 and an increase in the number of scholarships from 200 to 220. $3,390,910 to provide funds for sparsity grants to guarantee an Alternative Education program for systems below 100 alternative education FTEs. $300,000 to allow rising seniors at private colleges to regain HOPE if they have earned a "B" average. University System $283,267 to provide additional funds for a 10% supplement to the salary of teachers receiving National Board Certification, and $290,000 to pay fees for candidates for National Board Certification. $7,466,000 to continue funding several of the Chancellor's Special Funding Initiatives. $1,327,310 to provide funds for extended day and Grades 9-12 vocational lab instructors per House Bill 1187. $1,500,000 for Internet connections and technology. EDUCATION (State General funds) Public Schools $121,064,651 to provide funds for QBE formula grants based on enrollment growth of 2.2%. $339,506 to increase funds to Regional Education Service Agencies for services to additional school systems required to be members under House Bill 1187. Student Finance $27,886,156 for Tuition Equalization Grants. 7 FY 2002 BUDGET HIGHLIGHTS $3,693,967 for the Governor's Scholarship Program and transfer from the Department of Education to the Georgia Student Finance Commission. $1,013,712 for the Leveraging Educational Assistance Partnership (LEAP) Program, which will be matched with federal funds. $513,712 will be transferred from the Work Incentive for Student Education program. $228,152 to provide funds for 76 additional Nursing Service Cancelable Loans to assist a total of 353 nursing students. University System $1,000,000 for the Teacher Center at Kennesaw State University to train master teachers. $333,000 to match a $6,500,000 grant that will provide funding for training mentor teachers. $500,000 for the Georgia Institute of Technology Center for Education Integrating Science, Mathematics, and Computing (CEISMC) to take the lead in training math and science teachers. $500,000 to the Office of Minority Business Enterprises (OMBE) to increase access to surety bonding for small and minority businesses. $35,016,481 for funding formula adjustments to reflect a projected 1.5% increase in student enrollment. $10,000,000 to provide additional funds to pay anticipated health insurance claims and maintain an adequate health insurance reserve. $18,000,000 to provide additional funding to meliorate the effects of an enrollment decline after the conversion to the semester system in FY 2001. $107,537 to provide funds to public libraries for materials, ma intenance and operations to reflect a population increase of 1.65%. $2,391,580 to provide the State Data Research Center additional funding for staff ($967,955) and operating expenses ($1,660,181). $695,040 to provide Agricultural Experiment Stations additional funds for maintenance and operation of facilities. $6,064,938 to implement a 1.75% technology factor within the funding formula to fund University System technology needs. Previously, technology funding came from the Special Funding Initiative and was not tied to enrollments and credit hours. $500,000 in additional funding for the Intellectual Capital and Partnership Program (ICAPP Advantage) to meet estimated increases in project activity levels. $1,000,000 to provide funds for a medical and health sciences collaborative between the University of Georgia and the Medical College of Georgia. The Governor recommends $1,000,000 to be matched by $1,000,000 in internal funds from the Board of Regents. $600,000 to expand and support the PREP Program (P-16/Postsecondary Readiness Enrichment Program) at Historically Black Institutions. $1,500,000 to enable Georgia College & State University to achieve its mission as Georgia's designated liberal arts university, consistent with similar institutions nationally - contingent upon student approval of a tuition increase and the institution's commitment to raise $1,000,000 per year for the mission. The state funds would be used to lower class size. $1,000,000 for the University System to develop a system for ongoing assessment (Accountability Plus). $401,668 to provide the Cooperative Extension Service additional funding for maintenance and operations including 4-H camp facilities. $179,871 to provide Veterinary Medicine Experiment Stations funds to continue the implementation of a program to address non-poultry health and food safety issues (Year 3 of 3). $1,078,640 to provide the Medical College of Georgia Hospitals and Clinics funds for a 3% increase to the Medical College of Georgia Health Incorporated contract. $350,000 to provide funds to the Agricultural Experiment Stations for a study of the potential for mushrooms as a cash crop. Yamacraw $4,543,267 for additional faculty, research, space needs, commercialization, and a new effort to mentor faculty at non-research institutions. Professional Standards Commission (Office of the Governor) $500,000 to create alternative certification programs to address critical teacher shortages in certain fields. 8 FY 2002 BUDGET HIGHLIGHTS $500,000 to create distance learning courses in shortage fields to help teachers teaching out of field to receive in-field certification. $200,000 to develop a plan to market teaching. $200,000 for planning and development of an Education Leadership Training Institute. Technical and Adult Education $11,102,580 in formula-related increases for personal services at technical colleges. $1,327,975 in formula-related increases for operating expenses and major repairs and rehabilitation at technical colleges. $2,580,582 in additional funds for Quick Start for a total of $12,376,318 to support services to new and expanded industries based on current activity levels. GEORGIA CANCER COALITION (TOBACCO FUNDS) $921,821 to fund the core staff for the Georgia Cancer Coalition, along with operating expenses. $2,237,500 to create a public education program to promote prevention and early detection of cancer. $5,000,000 to continue the state's efforts to promote smoking prevention and cessation, targeting Georgia's youth. $872,625 to fund cancer screening and prevention services for uninsured persons with incomes under 200% of the federal poverty level. $5,000,000 to provide cancer treatment for uninsured cancer patients below 200% of the federal poverty level. $3,340,000 to establish programs and funding incentives to support 17 new eminent cancer researchers in addition to 13 eminent researchers funded in FY 2001. $2,125,000 to identify and develop training for cancer caregivers. $2,400,000 to provide equipment for 5 Georgia Research Alliance bioinformatics eminent scholars funded in FY 2001. GEORGIA'S PLAN FOR THE UNINSURED $90,000 for 1 position in the Governor's Office of Consumer's Insurance Advocate to investigate compliance with state and federal laws. Local governmental entities will be allowed to contribute to the Indigent Care Trust Fund to increase reimbursement rates for emergency ambulance service providers to support county EMS systems. $3,009,097 to provide Medicaid coverage for children in families with incomes up to 150% of the federal poverty level. The state will pay COBRA premiums of individuals with incomes up to 150% of the federal poverty level in lieu of Medicaid fee-for-service where determined costeffective. $1,188,639 to reimburse 100% of cost for cost-based outpatient services for hospitals providing a certain level of indigent care. $1,500,000 to expand community health, rural health, and migrant health centers. $1,282,621 to begin PeachCare for Kids eligibility the first day of the month of application. $4,300,000 in additional funding for the AIDS Drug Assistance Program. $1,949,760 to implement a Medicaid waiver to provide services to persons with Sickle Cell Anemia who are over age 18 with incomes under 235% of the federal poverty level. $1,631,476 to implement a Medicaid waiver to provide services to persons with Cystic Fibrosis who are over age 18 with incomes under 235% of the federal poverty level. $2,537,000 for Babies Born Healthy to increase prenatal services to women who are poor, but ineligible for Medicaid. $150,000 to provide language access services for clients accessing medical assistance who are hearing impaired or have limited English proficiency. $800,000 to provide matching grants to communities or local initiatives to eliminate disparities, including support for homeless programs. 9 FY 2002 BUDGET HIGHLIGHTS $44,829 to increase reimbursement rates by 5% for Home Health providers who deliver a certain level of indigent care and participate in the Community Care Services Program. CHILD PROTECTIVE SERVICES $7,063,124 to increase salaries for child protective services staff engaged in investigation and placement activities, including adjustments based on education or certification levels. $3,567,015 to add 100 child protective services caseworkers and supervisors. $638,786 to add 12 specially trained staff to investigate child fatalities and cases of alleged abuse in foster homes. $845,098 to fund 4 training staff and costs associated with curriculum development and training sessions. $760,000 to purchase computers and equipment for the 100 new child protective services staff. $93,516 to purchase computers and equipment for the 12 new child fatality investigators. $751,000 to raise the hourly rate for Special Assistants to the Attorney General who provide legal assistance for Child Protective Services cases to the Department of Human Resources (DHR) to $60 per hour. $151,238 to add 3 positions and operating costs to the Office of Child Fatality Review of the Statewide Child Abuse Prevention Panel. $250,000 to evaluate strategies that aim to prevent child abuse by offering in-home visitor services to at-risk families. $100,000 for child advocacy centers. $5,000,000 to eliminate the Multiple Agency Team for Children (MATCH) waiting list of 134 children. $1,736,847 for a 4% rate increase for MATCH providers. $225,917 for 135 institutionally supervised family foster care placements. $223,129 to purchase 50 emergency beds for children entering foster care. $312,379 to purchase emergency in-home respite services for 350 foster parents. $5,241,723 to raise the foster care and adoption assistance per diem based on the age of the child including an increase to $12.75 for infants through age 5; an increase to $13.50 for ages 6 through 12; and an increase to $14.25 for ages 13 through 18. $566,957 to provide a 4% rate increase for institutional foster care. $4,025,855 to fund a 5% caseload increase for family foster care and a 10% caseload increase in adoption assistance. $56,154 to provide one-time graduation expense reimbursement for adopted or foster children. $250,000 for respite care for 1,600 foster families. $100,000 in additional funds for the Court Appointed Special Advocate (CASA) program. $144,000 to pilot a substance abuse treatment program targeting adult males with a history of domestic, child or spousal abuse and who are part of an active child protective services case. HUMAN RESOURCES $400,000 for 4 district epidemiologists. $399,000 to increase payments to labs for pap smear readings. $972,044 to enhance the metabolic newborn screening program. $5,993,099 for department computer operations. $432,690 to fund 3 positions to handle extra work due to the PeopleSoft system, 3 positions to ensure department contracts meet all state and other requirements, and 1 consultant to work on the re-bid of the Electronic Benefits Transfer contract. $1,425,000 to fully fund the cost of Family Connection implementation grants. $185,307 for education sessions on legal issues for elderly Georgians. 10 FY 2002 BUDGET HIGHLIGHTS $249,000 to raise the hourly rate for Special Assistants to the Attorney General who provide legal assistance for Child Support Enforcement cases to DHR to $60 per hour. $150,000 to offset the loss of federal funds and continue the Elder Abuse Senior Legal Hotline. $112,014 to match federal funds and add 7 positions to enhance regulatory oversight of nursing homes. $1,038,500 to provide substance abuse treatment to an additional 108 adolescents per month. $796,355 to pilot a program targeted to mentally retarded adolescents found incompetent to stand trial. $100,000 to fund 2 pilot programs that provide children of women in residential substance abuse treatment with academic and life skills. $636,916 to pilot 3 different jail diversion programs in DeKalb County. $300,000 to pilot a drug court substance abuse treatment program. $88,385,254 in state matching funds, including $51,246,606 for mental retardation waiver services and $37,138,648 for community mental health services, is being transferred to the Department of Human Resources (DHR) from the Department of Community Health to support DHR administration of Medicaid services. $27,815,000 transferred from the Department of Human Resources to the Department of Labor (DOL) for the transfer of the Division of Rehabilitation Services (from DHR to DOL), including departmental operating costs associated with the administration of the division. $4,598,636 to provide administrative resources to support revenue maximization efforts, including $2,245,000 in one-time implementation costs. $883,000 to update medical equipment for Mental Health, Mental Retardation and Substance Abuse facilities serving clients with developmental disabilities and severe mental illness. $1,127,589 in enhanced funding for updated equipment and furniture for the Binion Building at Central State Hospital. $585,000 to provide specialized training of clinical staff in treatment of co-occurring substance abuse and mental illness. $541,000 to provide funds for the Chatham County Department of Family and Children Services office. $236,208 to fund 4 new positions and operating costs for the regulation and licensure of kidney dialysis facilities. $250,000 to contract for a statewide end-of-life decisions program. $264,089 to fund operational costs for the new Fulton County Department of Family and Children Services office. $300,000 for Books for Babies. GEORGIA EARLY LEARNING INITIATIVE $4,500,000 in new funds, combined with $1,500,000 in continuation funding, to enhance childcare quality. MEDICAID $8,780,432 to adjust nursing home rates to recognize the increasing cost of liability insurance to providers. $11,179,898 to reflect a reduction in the Federal Financial Participation rate for Medicaid. $90,321,672 to cover growth and utilization in Medicaid Benefits. $6,136,357 to reimburse physicians and related providers based on 90% of the 1999 Resource Based Relative Value Scale (RBRVS) data with one year's medical care inflation. $8,349,924 to adjust reimbursement rates for nursing home providers using the base year 2000 cost report and a growth allowance of one year. $7,731,173 to increase reimbursement rates for inpatient hospital providers by adding an additional year of DRI inflation to the base rates. $343,426 to increase Perinatal Case Management rates by 10% to assist eligible pregnant women in gaining access to needed medical care. $572,490 to increase pediatric newborn visits in hospitals to 1 per day. $794,152 to increase health-check screens from $55 to $60 per visit. 11 FY 2002 BUDGET HIGHLIGHTS The department is directed to fund research, publication and distribution of the State of Georgia's Minority Status Reports produced by the Office of Minority Health within its existing budget. $214,536 to add 5 positions to the Composite Board of Medical Examiners. $88,385,254 in state matching funds, including $51,246,606 for mental retardation waiver services and $37,138,648 for community mental health services, is being transferred from the Department of Community Health to the Department of Human Resources (DHR) to support DHR administration of Medicaid services. BLUE RIBBON TASK FORCE ON COMMUNITYBASED SERVICES $11,248,661 to reduce the Mental Retardation (MR) waiting list including funding 366 Residential Care slots, 324 Family Support slots, 542 Supported Employment/Day Habilitation slots, and to fund Clinical Evaluation Team assessments for the new slots. $2,316,421 for a 4% rate increase for Mental Retardation waiver providers. $1,224,595 to fund Family Support Services for families having a member with autism living with them (85 slots). $4,000,000 to provide home and community-based services to an additional 2,000 clients who are not Medicaid eligible. $6,502,923 to serve an additional 2,000 clients in the Community Care Services Program. $1,294,597 to provide a 4% rate increase for providers of community-based services for aging clients. $261,013 including $200,000 to help prevent Adult Protective Services clients from being removed from their homes or helping them relocate, and $61,103 for 1 program consultant. $3,862,609 to increase Mental Health, Mental Retardation and Substance Abuse Grant-in-Aid reimbursement by 4%. $2,816,064 to expand community services for youth with severe emotional disturbance. $700,000 to pilot programs in Fulton and Chatham counties targeting the homeless with mental illness or cooccurring disorders. $2,132,851 to reduce the Independent Care Waiver Program waiting list by 85 slots. $353,673 for a 4% rate increase for Independent Care Waiver Program providers. $500,000 to pilot a program allowing working people with disabilities to receive health care through Medicaid. JUVENILE JUSTICE $3,861,970 to fund 108 Juvenile Probation and Parole Specialist, supervisory and clerical support positions. $72,688 to fund 2 positions and operating expenses associated with the Savannah Impact Project. $1,500,000 to fund an additional 90 youth in contracted residential youth homes. $1,074,604 to fund 34 additional Juvenile Correction Officers. $245,000 to add 6 Youth Benefit Workers to perform eligibility determinations on out of home placements for youth in Community Corrections. $1,072,711 to provide inflationary increases for contracted services. $499,000 to provide regular operating expenses and equipment to cover basic needs of youth in regional youth detention centers and youth detention centers. $491,711 to fund a transitional program at Bill Ireland Youth Detention Center to prepare youth near the end of their sentence to transition back to the community. $730,000 in increased funds for youth day treatment. $602,015 to raise MATCH provider rates by 4%. $242,8212 to fund a 4% provider rate increase for Institutional Foster Care. VETERANS SERVICE $3,000,000 to increase the contract to operate the Milledgeville Veterans Home. 12 FY 2002 BUDGET HIGHLIGHTS ECONOMIC DEVELOPMENT $2,847,147 in increased state general funds for the Regional Economic Business Assistance (REBA) grant program for an annual appropriation of $5,000,000. These funds are added to the OneGeorgia Authority where an additional $10,000,000 is provided from Tobacco Settlement Funds. $500,000 for the Department of Community Affairs to establish the Quality Growth Program to provide flexible funding to promote quality growth initiatives throughout the state. $400,000 in additional funds for the Georgia Allies program for a total of $1,000,000 to match private funds for this economic development marketing effort. $14,858,000 authorized for the Georgia Ports Authority to retain funds scheduled for payments to the state treasury. These funds will allow the authority to continue the acquisition of equipment and land necessary to sustain future growth and to ensure adequate resources for the maintenance of current assets. NATURAL RESOURCES $30,000,000 to continue the Governor's Community Green Space initiative to encourage communities to preserve 20% of their land as green space that will not be developed. $4,136,203 to continue water quality and protection initiatives relating to saltwater intrusion into underground water resources along the coast, negotiations with neighboring states over management of shared resources, inclusion of agricultural water use in statewide planning, and the development of maximum contaminant limits for state waters. $900,000 to match $3,600,000 in federal funds to continue the public/private Partnership for Smog-free Georgia and the State Employees Commuter Assistance Program to improve air quality in metropolitan Atlanta. $3,958,774 for 70 additional positions for the Environmental Division to meet current demands under programs related to water pollution control, water allocation, hazardous waste management, surface mining, and ozone standard attainment. This includes $300,000 for a water quality data management study. TRANSPORTATION $1,350,000 to continue planning, engineering, and program assistance for implementation of the Georgia Rail Passenger Authority's programs. An additional $1,350,000 is provided to the Georgia Regional Transportation Authority in the FY 2001 Amended Budget for this purpose. $1,000,000 to begin improvements to railroad trackwork and for rail-related road crossings and closings in Ware County. Authorize the use of $31,000,000 in motor fuel funds as debt service payments for revenue obligations of the State Tollway Authority. PUBLIC SAFETY Department of Corrections $7,452,040 to annualize the operating cost of 676 beds at Augusta Diversion Center (50 beds), Athens Diversion Center (25 beds), Helms Diversion Center (25 beds), Bainbridge Substance Abuse Treatment Center (192 beds), Dodge Fast Track (192 beds) and Terrell Detention Center (192 beds). $2,431,099 to annualize the operating cost of expanding the private prisons bed space from 1,000 beds to 1,500 beds. $6,304,585 to provide start-up and operating cost for 625 new diversion and transitional center beds at Atlanta Male Transitional Center (200 beds), Atlanta Female Transitional Center (100 beds), Savannah Transitional Center (200 beds), Rouse Diversion Center (25 beds), Columbus Diversion Center (25 beds), Griffin Diversion Center (25 beds) and Rome Diversion Center (50 beds). $1,334,873 to expand the department's vocational education program by 17 programs. This is the first phase of a 3-phase expansion. $1,915,836 to expand the mental health program by providing 2 96-bed mental health level III units, 1 30-bed mental health level IV unit and 8 crisis stabilization beds, including an additional 16 correctional officers. $11,746,144 to fund start-up and operating cost for 1,100 beds at Johnson State Prison. 13 FY 2002 BUDGET HIGHLIGHTS $6,594,485 to fund start-up and operating cost for 300 beds at Irwin Probation Detention Center. Department of Defense $1,415,000 to provide for an increase in the state match for the Youth Challenge Academy at Fort Gordon and Fort Stewart. Georgia Bureau of Investigations $670,106 to provide an enhanced salary package by reassigning the sworn personnel series one pay grade, which establishes an increased target salary, or by providing a minimum of an additional 4%, whichever is greater. This is in conjunction with the performance-based increases and the statewide structure adjustment. Department of Public Safety $4,803,650 to increase the sworn count for the State Patrol by 75 officers, from 914 to 989. $1,465,639 to provide an enhanced salary package by reassigning the sworn personnel series one pay grade, which establishes an increased target salary, or by providing a minimum of an additional 4%, whichever is greater. This is in conjunction with the performance-based increases and the statewide structure adjustment. Department of Law $122,176 to fund 2 additional attorneys. $130,012 to provide an additional 3% salary increase to mid-level attorneys. This is in addition to the performancebased increases. Public Service Commission $230,809 to fund 3 new positions that will aid enforcement of the Georgia Utility Facility Protection Act of 2000. $59,730 to provide an additional 4% salary increase for selected employees in the Utilities Division. This is in addition to the performance-based increases. Department of Revenue $4,168,880 to fund relocation expenses. Office of Secretary of State $100,000 to fund 1 position and to establish the State Office of Citizenship Assis tance. $150,000 for 4 new positions for the Professional Licensing Customer Service Center in Macon. GENERAL GOVERNMENT Department of Administrative Services $4,000,000 in state funds and authorization for the Georgia Technology Authority to use $5,000,000 in agency funds to complete Phase I of 3 empowerment projects: Interoperability, Customer Resource Management, and Security/Digital Signature. 14 SPECIAL INITIATIVES The following major initiatives presented here and detailed in this budget are related to the Governor's Education Reform Study Committee, Tobacco Settlement Funds, the Georgia Business Plan for the Uninsured, Children's Protective Services, Revenue Maximization, Intergovernmental Transfers, and the Governor's Blue Ribbon Task Force. Education Reform The Governor's Education Reform Study Commission (GERSC) began its second year of deliberation June 12, 2000. The commission worked diligently during the summer and fall of 2000 to study issues not fully addressed in the first year or by House Bill 1187 (The A+ Education Reform Act of 2000). Governor Barnes reconstituted the Commission into 4 new committees: Educational Facilities, Educational Programs , Educational Personnel, and Roles and Responsibilities. EDUCATIONAL FACILITIES One of the major impacts of HB 1187 is the need for additional classrooms due to the reduction in the teacher pupil ratios at all grade levels. More than 6,000 additional classrooms may be needed to meet the smaller class size requirements. In addition to the impact of lower teacherpupil ratios on facilities, net growth in student population in the state continues to drive the on-going need for additional facilities. Because of the urgent need for facilities, the GERSC Educational Facilities committee looked at ways to construct schools better, faster and for less expense. The committee found that Georgia has one of the lowest costs of school construction in the nation. However, many systems do not have an adequate tax base or wealth to provide matching funds to state dollars as required. The committee reviewed alternatives to help local systems with school construction including increasing the state funding per square foot as well as raising the $100,000,000 entitlement cap on capital outlay. The committee also found that the current process of each local system developing a 5-year facilities plan to be effective. To qualify for state capital outlay funds, a local system is required to prepare a 5-year local facilities plan. The plan addresses the system's facility needs due to changes in population or programs. Based on the estimated student population projected forward 5 years, the local system determines the number of new schools, additions, renovations, and modifications needed as well as redistricting or closing schools if the population is decreasing. In reviewing the planning process, the committee found that the current program has no financial incentive for school systems to choose non-construction alternatives such as leasing or alternative calendars like year around school. Management of construction and expertise varies across the state. School systems that do not have an ongoing construction program may need more assistance in the design and management of construction of school facilities. The committee proposed the development of a best practices informational program in planning, design, and construction that will be easily accessible to all local systems and provides technical assistance to systems that construct schools infrequently. To further assist local systems and control costs, the Facilities Committee proposed that the state develop educational specifications for facilities and base state funding on prototypical designs. Timely and accurate data is needed to make good management and funding decisions regarding school facilities and improve local accountability for state funds. The committee found that the current data systems do not provide sufficient information for good analysis. The committee reviewed studies that show that the condition of facilities impacts student performance and morale. Many facilities in the state are in disrepair. The committee found that a good maintenance program could correct problems before the problem deteriorates and requires an expensive major repair. Regardless of the materials or age of a facility, regular maintenance can reduce the need for costly renovations. Governor Barnes recommends a special appropriation of $468,000,000 in the FY 2001 Amended Budget to help local school systems construct needed additional classrooms based on lowered pupil/teacher ratios. To improve facilities information systems, the Governor recommends $1,015,292 for a state computerized database to compile, monitor, and analyze all aspects of facilities planning, construction, and operations. Also related to facilities, the Governor recommends $7,132,668 be provided to increase Maintenance and Operations funds by $5 per FTE. Maintenance funds are intended for preventive and corrective maintenance. 15 SPECIAL INITIATIVES EDUCATIONAL PROGRAMS The Educational Programs Committee revisited the issues of students at risk and school failure. Georgia's dropout rate remains one of the highest in the nation. The committee found that about 20% of 9th grade students in Georgia do not go to the 10th grade the following year because they dropout or are retained. Additionally, student performance in math, science and reading still trails NAEP Grade 8 Mathematics Percent Below Basic 60 50 40 30 20 10 0 NATION SOUTHEAST GEORGIA 1990 1992 1996 national averages. For example, the most recent data from the National Assessment of Educational Progress (NAEP) Grade 8 Mathematics test shows that 39% of the students in the nation are below the basic level. The percent of students in Georgia below basic is 49%. In science, 40% of students in the nation are below the basic level. In Georgia, 51% are below basic. Finally, the 1998 NAEP Grade 8 Reading Scores showed that nationally, 28% of students are below basic. The percent below basic in both the southeast and Georgia are the same at 32%. critical early years of their public education. The Governor recommends $68,522,643 for paraprofessionals for kindergarten at a ratio of 1:18 pupils to assist kindergarten teachers. It is in kindergarten that teachers need the most help in dealing with students, since a number of students may never have had previous experience in a formal classroom setting. Local systems still have the ability to fund additional paraprofessionals using the 20% variance between formula funding size for classes and the maximum class size. The Governor also recommends a net increase of $18,928,644 to change the Grades 4-5 remedial program to an EIP program. The funding is based on a class size for Grade 4-5 EIP of 1 teacher for every 11 students. An estimated 8% of students in Grades 4-5 are eligible to be part of the EIP program because they are below their grade level and will need additional assistance. This change will provide systems help in preparing students for the middle grades, which is where most school systems have their greatest educational challenge. Fall 1999 9th Grade Retention Withdrew (non- dropout) 13% Retained in 9th Grade 13% Dropout 6% Enrolled in 10th Grade 68% The emphasis of this committee was to focus resources on improving middle grade programs, expanding the Early Intervention Program (EIP) beyond the 3rd grade and strengthening school improvement teams for low performing schools as recommended by GERSC last year. The committee suggested that all students have a minimum of 5 hours of instruction in the academic core block each day. One alternative the committee suggested was to fund a small sample of demonstration schools (i.e., minimum of 5 schools) serving Grades 6-8 to implement an 8am-5pm school day. The Commission discussed various alternatives for extending the day including shifting from a 6 period day to a 7 period day. The Governor recommends $3,500,000 to fund grants to middle schools that want to try alternative programs that extend the day. Last year the Governor funded the Early Intervention Program (EIP) in K-3 to provide additional assistance to students performing below grade level. The Governor recognizes that need for more attention to students in the EDUCATIONAL PERSONNEL The Educational Personnel Committee found that the responsibilities of teachers have changed from covering material to student learning, however, teacher preparation programs have not yet implemented changes to meet these expectations. Additionally, the roles of the principal and superintendent have changed, with much greater responsibility for instructional leadership and for application of more current business practices. Preparation programs have not kept pace with the changing expectations for administrators either. Institutions that prepare teachers and administrators have focused on inputs (credit hours completed, number of hours of field experiences, etc.). These institutions have not yet been held accountable for the success of their graduates to increase student achievement. The committee concluded that professional development programs for teachers are inconsistent in their effectiveness. Approximately 75% of Georgia's teachers reported no professional development in 16 SPECIAL INITIATIVES their content field. Neither teacher/administrator preparation programs nor professional development programs are focused sufficiently on the knowledge and skills educators need to increase student achievement or improve schools. The committee suggested that partnering with universities and colleges is one alternative to strengthening student learning and on improving the preparation and development of teachers. Partnering is effective because it brings school and university resources together to strengthen student learning and teacher preparation. Partner schools also help college faculty continue their development in that they spend many more hours in the schools than in the past. The committee proposed expanding the Partner School Model between schools and universities to provide greater help to schools, mentor new teachers, increase P-12 school involvement in preparing new teachers, and increase the amount of time college faculty spend in a P-12 classroom. The Personnel Committee proposed induction/mentoring programs for all new teachers and administrators and experienced educators who are having difficulty. The current mentoring program is a 1-year voluntary program for teachers and there are a few voluntary programs for administrators. The committee found that mentoring programs reduce attrition of educators and school leadership is a key to successful schools. The committee suggested that the Professional Standards Commission (PSC) be given responsibility to set standards for both the preparation and development of education professionals. Education reform and improving student achievement will rely heavily on improving leadership at all levels. However, if improving schools and student achievement are goals for success, then improving administrative leadership at the school level is a critical issue. The committee found that there is a growing shortage of qualified principals and superintendents at all grade levels and in all communities. Additionally, many people certified to be principals never actually apply for positions. The committee proposed the creation of a training center or institute for the preparation and development of school principals and superintendents and for leadership development of teachers. This would combine statewide resources for leadership and professional development. The Governor recommends $200,000 for an Education Leadership Training Institute for training principals, assistant principals, and superintendents. The committee found that other states are beginning to recognize the need for creating advancement levels for classroom teachers based on: specific preparation, performance standards, evaluation trends, and requirements of service within the school, across the district, and at the state level. The committee presented the concept of a career ladder for teachers and administrators. Possible career ladders were discussed including one version with four stages of (1) Beginning Teacher (induction period), (2) Teacher, (3) Mentor Teacher, and (4) Master Teacher. A similar version of this career track concept was discussed for principals and superintendents with three stages: (1) Beginning Principal (or Superintendent), (2) Principal (Superintendent), (3) Master Principal (Superintendent). The committee proposed that teacher promotions should be based upon explicit performance standards and assessments for each level, including evidence of accomplishment in promoting student learning. The Governor recommends several programs to improve teacher development and training. To train master teachers, the Governor recommends $1,000,000 for the Georgia Teacher Center at Kennesaw State University. The need for teacher mentoring is to be addressed by providing $333,000 to the Georgia Systemic Teacher Education Program (GSTEP), a partnership with the University of Georgia, Valdosta State University, and Albany State University, to match a $6.5 million grant for training and mentoring new teachers. The current definition of out-of-field teaching allows teachers to be assigned to teach classes in which they have little or no background 2 out of 5 periods every day. The committee suggested as an alternative to enact a new policy that redefines and eliminates out-of-field teaching at the middle and high school levels so that a qualified teacher teaches every student. The commission suggested that school systems be required to submit a plan for meeting requirements of a new policy ending out-of-field teaching and limit all instances of out-of-field teaching to a single year. When schools fail to meet this new policy, then the state should publish credentials of teachers and their assignments (public's right to know). To help parents know the level of out-of-field teaching, the Office of Educational Accountability may monitor incidents of out-of-field teaching on the system's report card. The Governor recognizes the need to provide staff development to end out-of-field teaching and proposes $500,000 for PSC to use distance learning to quickly train and certify teachers in fields in which they may be teaching. The committee found that more assistance for teachers who wish to become National Board Certified (NBC) would be helpful. The National Board Certification (see www.nbpts.org for more information about the certification process) process costs approximately $2,300. Teachers are currently required to pay the full $2,300 unless they receive a portion from the Georgia Department of Education (federal funds), Georgia Association of Educators (GAE), or Professional Association of Georgia Educators (PAGE) 17 SPECIAL INITIATIVES and limited funds are available. A recent public-private partnership has been initiated to dramatically reduce the cost to teachers. Through this partnership, teachers may be eligible to receive a $1,000 grant from the state and then the Georgia Partnership for Excellence in Education (GPEE) or other non-profit and private companies may match the state with an additional $1,000. Teachers are then responsible for $300 of the total fees. The teacher is eligible for a 10% salary increase based on state salary and fringes at the time of certification. The Governor recommends $290,000 in both the Amended FY 2001 Budget and the FY 2002 budget to initiate this matching program. To increase the certification rate of Georgia teachers, the Professional Standards Commission will be developing ways to mentor and advise teachers. The Governor recommends $200,000 for the PSC to mentor and assist teachers seeking National Board Certification. Evidence suggests this assistance can increase the pass rate from around 40 - 45% to 70 - 75%. To improve the pedagogy and content knowledge of math and science teachers across the state, the Governor is recommending $500,000 to the Georgia Institute of Technology Center for Education Integrating Science, Mathematics, and Computing (CEISMC) to train math and science teachers (see www.ceismc.gatech.edu). Georgia needs more teachers. Currently Georgia produces less than one-third of the teachers hired in the state each year and these teachers just meet the need created by teacher attrition and retirement. Georgia is not able to meet demand that results from growth in the number of students. For every 10 college graduates prepared to teach, only 6 actually enter the teaching force and only 4 are still teaching after 5 years. Additionally, there are too few teachers prepared to teach Mathematics, Science, Foreign language, and special education in hard-to-staff schools. To help meet the teacher shortfall, the Governor recommends $500,000 to develop an alternative certification program to certify teachers more quickly for critical shortage fields. These funds would provide means for retired professionals and persons with significant work experience in areas such as math and science to certify as a teacher. The Professional Standards Commission would administer this program. The work of teaching and administering schools is not sufficiently attractive to recruit needed numbers of new college graduates and individuals seeking second careers, or to retain current teachers and administrators. The Governor recommends $200,000 to develop a plan for marketing teaching and school administration. The committee suggested that the market for potential teachers may be high school sophomores who score well on PSAT, paraprofessionals, individuals in other fields ready to enter teaching, minority teachers, and parttime teachers. ROLES AND RESPONSIBILITIES The Roles and Responsibilities committee identified numerous stakeholders in education. The committee highlighted numerous overlaps in the areas of curriculum, staff decisions, final decisions, testing, and facilities. The committee and the Commission were very supportive of the Education Coordinating Council (ECC) created by HB 1187 and decided to forego significant organizational change proposals at this time. The Governor does recommend that the University System and the Professional Standards Commission provide more services related to teacher training and certification. IMPLEMENTING HOUSE BILL 1187: THE A PLUS EDUCATION REFORM ACT OF 2000 As part of GERSC last year and HB 1187, school improvement teams are funded to help low performing schools. As part of the FY 2002 Budget, the Governor recommends an additional $7,360,000 for a total of $11,360,000 for school improvement teams and central office staff. This additional funding increases the number of teams from 7 to 20 and provides grants to help a local systems address problems and improve performance. The Governor recommends $3,390,000 in sparsity grants for alternative education programs. Funding is recommended to guarantee a principal and counselor for an alternative education program that has less than 100 FTE. As mentioned previously, the Governor is also recommending $468,000,000 for the construction of additional classrooms due to the reduction in teacher-pupil ratios in HB 1187. A more detailed description of the results of the work of GERSC is available on the Internet at http://www.gagovernor.org/governor/edreform_2000/comm ittees.html. 18 SPECIAL INITIATIVES GOVERNOR'S EDUCATION REFORM STUDY COMMISSION FY 2001 - FY 2002 Budget Summary Use of State General Funds Agency Educational Facilities - Construct additional classrooms due to reduction in teacher-pupil ratios (more than 6,000 classrooms needed). This is special supplementary appropriations bill. - Facilities planning and construction and management computer database. - Increase maintenance and operations funds by $5 per FTE. Subtotal - Educational Facilities DOE DOE FY 2001 Current Proposed FY2001 Revised 468,000,000 1,015,292 $469,015,292 Educational Programs - Paraprofessionals in Kindergarten (1:18 ratio) - Implement EIP in Grades 4-5. - Pilot extended day in middle schools. - Provide sparsity grants to alternative education programs with fewer than 100 FTE. Subtotal Educational Programs DOE DOE DOE Educational Personnel - Create five alternative certification programs to address critical teacher shortages in certain fields. - Use distance learning to train and certify teachers in fields in which they are not certified. - Train math and science teachers through the Center for Education Integrating Science, Mathematics, and Computing (CEISMC) at the Georgia Institute of Technology. - Master teacher training at the Georgia Teacher Center at Kennesaw State University. - Match a $6.5 million grant for training and mentoring new teachers through the Georgia Systemic Teacher Education Program (GSTEP). - Education Leadership Training Institute. - Assistance and mentoring of candidates for National Board Certification. - Matching grants for National Board Certification. - Develop plan to market teaching and school administration. PSC PSC Regents Regents Regents PSC PSC PSC 290,000 FY 2002 Proposed 7,132,668 $7,132,668 68,522,643 18,928,644 3,500,000 3,390,910 $94,342,197 500,000 500,000 500,000 1,000,000 333,000 200,000 200,000 290,000 200,000 Subtotal Educational Personnel $290,000 $3,723,000 Total State General Funds $469,305,292 $105,197,865 19 SPECIAL INITIATIVES Tobacco Settlement Funds As a participating state in the master settlement agreement with five cigarette manufacturers, the State of Georgia is slated to receive over $4.8 billion in payments throughout the next 25 years. Upon receipt of the state's first payment in December 1999, Governor Barnes committed that, over time, one-third of the funding would be dedicated to Rural Economic Development, while the remaining two-thirds would be committed to Healthcare. The Governor's recommendation for the use of the tobacco funds in FY 2001 and in FY 2002 honors that commitment as presented in the following graph. Recommended Use of Funds FY 2001 - FY 2002 Healthcare 68% Rural Economic Development 32% the location and expansion of firms in rural Georgia. Eligible uses of EDGE funds are the development of public infrastructure, land acquisition and site development. Financial assistance is provided only in instances where a project would not come about in the absence of the assistance. The Equity fund, which is the infrastructure and capacity building portion of the OneGeorgia Authority, is centered on the principle that Georgia's communities must be empowered to help themselves. Equity fund regulations were written to be very broad and flexible and can be used for a variety of activities to assist in preparation for economic development. Eligible projects include traditional economic development projects such as water and sewer projects, road, rail and airport improvements and industrial parks as well as workforce development projects, technology development or tourism development proposals, just to name a few. The Governor's FY 2002 Budget includes $34,131,677 for rural development through the OneGeorgia Authority. An additional $17,871,416 is recommended in the Amended FY 2001 budget. The following describes the use of the tobacco settlement funds as recommended in the Governor's amended FY 2001 and FY 2002 appropriations. RURAL ECONOMIC DEVELOPMENT THE ONEGEORGIA AUTHORITY The latest tool in Georgia's effort to support local and regional economic development efforts was rolled out in FY 2001 with the creation of the OneGeorgia Authority. The authority will utilize one third of the state's tobacco settlement to assist the state's most economically challenged areas. An estimated $1.6 billion in funding for rural development is anticipated over the 25-year term of the settlement. OneGeorgia tobacco-funded investments will be targeted towards Georgia's poorest counties. The two major types of assistance that the OneGeorgia Authority will provide to rural communities are in the areas of business development and infrastructure projects. Two funds have been set up to provide this aid: the EDGE (Economic Development, Growth and Expansion) fund and the Equity fund. Recognizing the importance of recruiting companies to provide jobs in rural Georgia, Governor Barnes set up the EDGE fund within the OneGeorgia Authority to facilitate HEALTHCARE POPULATION BASED HEALTHCARE In FY 2001, Governor Barnes utilized the first receipts from the master agreement to enhance several populationbased healthcare programs. These enhancements were funded to increase the numb er of Georgians receiving statesponsored healthcare and to create new healthcare initiatives to support the general well being of Georgia's citizens. Medicaid and PeachCare for Kids Eligibility Expansions As of July 1, 2000, pregnant women and children in families with incomes between 200% ($34,100 for a family of four) and 235% ($40,072) of the federal poverty level became eligible for Medicaid (pregnant women and infants up to age 1) or PeachCare for Kids (children ages 1 through 17). This expansion is expected to serve 3,400 pregnant women and 18,300 children in FY 2002. Home and Community-Based Waivers - In FY 2001, tobacco settlement funds were used to help address the waiting lists for home and community based services. These services, provided through Medicaid waivers, seek to prevent hospitalization or institutionalization for persons with physical and/or mental disabilities. Funding was 20 SPECIAL INITIATIVES appropriated to serve an additional 4,311 clients and reduced the waiting list at that time by 39%. Rural Health - Tobacco settlement funding was appropriated in FY 2001 to support Federally Qualified Health Center (FQHC) expansion and rural health system development. The Department of Community Health utilized the funding to award grants to local collaboratives to identify and implement initiatives that ensure that citizens have access to affordable health care in rural areas. School Nurses - An identified need by the Governor's Education Reform Study Committee, the Governor and General Assembly appropriated tobacco settlement funds to provide nursing services for each school system. Newborn Hearing Screening - In FY 2001, the Newborn Hearing Screening Program utilized tobacco settlement funding to purchase hearing screening equipment for hospitals and to provide follow-up audiological evaluation and treatment for newborns identified with possible hearing problems. Additional funding has been recommended in FY 2002 to cover the costs of additional screening and treatment. AIDS Drug Assistance Program - Funds appropriated for the ADAP program provide persons HIV positive or in the early stages of AIDS with the drug therapy necessary to prevent further progression of the AIDS virus. In FY 2001, tobacco settlement funds were appropriated to serve an additional 400 clients. Early Intervention for At-Risk Families - Tobacco settlement funds were appropriated in FY 2001 to help reduce child abuse and to promote successful family functioning before abuse occurs. The program targets first time parents of newborns in economically disadvantaged counties, whose family profile indicates a high risk for child maltreatment. GEORGIA CANCER COALITION In May 2000, Governor Barnes announced his intent to make Georgia a leading contributor in the effort to eradicate cancer. As such, the Governor convened a group of state and national experts to develop a strategic plan to guide the state's effort to become a world-class leader in cancer prevention, research and treatment. Those planning efforts created the following vision for Georgia's cancer initiative: "Georgia's population will have the lowest incidence, morbidity, and mortality rates for cancer in the nation. Georgians will know and practice cancer-preventing behaviors. We will know about and have access to early cancer detection and screening. Georgia will be a nationally recognized center for cancer research and will have a network of unparalleled, state-of-the-art cancer treatment facilities." To move toward the vision, the state is expected to commit $300 - $400 million over the next 7 years. The state's cancer initiative will be supported through tobacco settlement funds, state funds, and federal funds. The state expects to leverage as much as 60% with investments from foundations, private pharmaceutical and biotechnological firms, and venture capital firms. To support the effort to eradicate cancer, the state will sponsor the creation of the Georgia Cancer Coalition (GCC) to provide a comprehensive, statewide consortium of all public and private sector cancer stakeholders. The vast statewide network of existing resources, as well as new and leveraged investments in cancer, will be linked together, and collectively will form Georgia's comprehensive cancer system. Initially, the GCC will operate under the guidance of the Georgia Research Alliance and its board of directors. During FY 2002, the Coalition will establish advisory committees and its own governance structure to promote and foster collaboration. As a part of the state's commitment to the cancer initiative, the Governor is recommending the use of $78 million in tobacco settlement funds in the amended FY 2001 budget and the FY 2002 appropriation. These funds will be added to $17 million already appropriated in FY 2001 for items that support the GCC's mission, such as breast and cervical cancer screening for women, smoking prevention and cessation services, and the Georgia Cancer Registry. All uses of funding (both current and proposed) are directly tied to the following goals of the initiative: Prevent cancer and detect existing cancer early reduce the number of cancer deaths through a focused education and screening effort. ($42.8 million) Improve access to quality care for all Georgians with cancer ensure that basic cancer care is available anywhere in the state. Provide more advanced treatment at regional medical centers and at three cancer centers of excellence where citizens can participate in clinical trials. ($35.6 million) Save more lives in the future recruit 150 eminent scientists and clinicians to Georgia universities and medical centers and coordinate clinical research efforts. ($4.8 million) Train future cancer researchers and caregivers develop curriculum standards for training future clinicians and continuing education for practicing clinicians. ($2.1 million) Realize economic benefits from eradicating cancer build partnerships with pharmaceutical and biotechnology 21 SPECIAL INITIATIVES companies to provide quality jobs to Georgians. ($6.5 million) An additional $3.4 million will be appropriated to support the core staff of the Georgia Cancer Coalition as well as fund an evaluation to determine information technology necessary to support the GCC infrastructure and the Cancer Registry. TOBACCO SETTLEMENT FUNDS FY 2001 - FY 2002 Budget Summary Use of Tobacco Settlement Funds Rural Economic Development OneGeorgia Authority Appropriated to Reserves Subtotal - Rural Economic Development Agency DITT DITT FY 2001 Current Proposed 40,000,000 22,082,213 $62,082,213 17,871,416 $17,871,416 Healthcare POPULATION BASED HEALTHCARE: Medicaid Expansion for Pregnant Women and Infants PeachCare for Kids Expansion for Children Independent Care Waiver Program Community Care Services Program Home and Community Based Services for the Elderly Mental Retardation Waiver Programs Federal Financial Participation Reduction Rural Health Infrastructure Development School Nurses Chronic Disease Prevention Program Newborn Hearing Screening AIDS Drug Assistance Program Early Intervention for At-Risk Families Subtotal Population-Based Healthcare DCH DCH DCH DHR DHR DHR DCH/DHR DCH DOE DHR DHR DHR DHR GEORGIA CANCER COALITION: Public Education Campaign Smoking Prevention and Cessation Cancer Screening Cervical Cancer Detection Equipment Evaluation of Cancer Standards of Care Cancer Treatment for Low-Income Uninsured GCC Cancer Center of Excellence at Grady Hospital Eminent Cancer Scientists and Clinicians Training for Cancer Caregivers Endowments for Eminent Cancer Scholars Coalition Staff Cancer Registry Evaluation of GCC Information System requirements Subtotal Georgia Cancer Coalition DHR DHR DHR DHR Regents DHR Regents Regents DCH Regents Regents DHR Regents 4,983,896 2,756,037 2,143,025 4,190,586 3,808,586 10,251,882 3,500,000 30,000,000 1,350,000 2,000,000 1,226,667 3,341,218 $69,551,897 15,765,890 1,250,000 350,000 $17,365,890 $0 655,000 1,500,000 1,000,000 28,350,341 1,500,000 4,000,000 249,554 1,500,000 $38,754,895 Subtotal Healthcare $86,917,787 $38,754,895 Total Tobacco Settlement Funds $149,000,000 $56,626,311 FY2001 Revised 40,000,000 39,953,629 $79,953,629 4,983,896 2,756,037 2,143,025 4,190,586 3,808,586 10,251,882 3,500,000 30,000,000 1,350,000 2,000,000 1,226,667 3,341,218 $69,551,897 15,765,890 1,250,000 655,000 1,500,000 1,000,000 28,350,341 1,500,000 4,000,000 249,554 350,000 1,500,000 $56,120,785 $125,672,682 $205,626,311 FY 2002 Proposed 32,000,000 2,131,677 $34,131,677 8,193,814 4,539,084 2,143,025 4,190,586 3,808,586 10,251,882 220,650 3,500,000 30,000,000 1,350,000 2,840,000 1,226,667 3,341,218 $75,605,512 2,237,500 20,765,890 2,122,625 5,000,000 3,340,000 2,125,000 2,400,000 921,821 350,000 $39,262,836 $114,868,348 $149,000,025 22 SPECIAL INITIATIVES Business Plan for the Uninsured Legislation created and passed by Governor Barnes and the General Assembly charged the Department of Community Health (DCH) to investigate solutions to the problem of 1.2 million Georgians who lack health insurance. As part of the preliminary research necessary to make policy and fiscal recommendations to the Governor, the Department had to first develop a profile of the uninsured population...Who are they? Where do they live? Where do they work? Here's what they found. The uninsured: Earn less than 200% of the federal poverty level, or for a family of four, less than $34,100 per year. Live in families where the main wage earner works for a business with less than 100 employees. Work in agriculture, construction, or service industries. Live in a rural county. Are adults over 25 years of age. Are more than likely minorities, especially Latino. The Department determined that most of Georgia's uninsured use the emergency room for primary care and are significantly less likely to obtain routine, preventive care through a primary care physician. Children of the uninsured are 4 times more likely to miss school as compared to their insured counterparts. Subsequent to their base research, the Department convened groups of advocates, providers, and business/insurance communities to seek input on how to address the uninsured problem. Additionally, the Department held hearings around the state to solicit ideas and comments from the public. The outcome of this public input helped to shape the Department's "Business Plan for the Uninsured," a plan designed to increase access to health insurance for Georgians, to capitalize on the efficiencies of the public and private sectors, to maximize federal funds, and to enhance the safety net infrastructure. The plan reflects three primary areas of focus: Private Sector, Public Sector, and Community-based initiatives. The plan suggests that private sector initiatives should concentrate on tax credits for employers and insurers to encourage the provision of affordable health insurances, particularly to employees in small businesses and the selfemployed. Public sector initiatives should target improvements to Medicaid and PeachCare for Kids and support health services provided by local governments. Community-based initiatives should support the existing health care safety net and promote rural health system development. To begin to assist Georgia's uninsured citizens, the Governor is recommending several items in the amended FY 2001 and FY 2002 budgets that follow the recommendations made by DCH in their Business Plan for the Uninsured. Beginning in April 2000, the Governor's recommendations will fund mainly public sector initiatives. Although a few community-based and private sector initiatives are also recommended, the bulk of those initiatives will remain under consideration and will be addressed in subsequent years. The public sector initiatives recommended by the Governor can be categorized in four areas: access, special populations, children, and indigent providers. Access initiatives will add additional staff to the Governor's Office of Consumers' Insurance Advocate to ensure citizens receive the healthcare coverage they purchase from insurance companies. The access initiatives also include funding for language assistance services to citizens applying for state medical assistance. Initiatives related to special populations will allow the working disabled to maintain their Medicaid coverage by contributing toward the cost of their care. Related funding will also serve additional citizens HIV-positive or diagnosed with AIDS through the AIDS Drug Assistance Program. The initiatives will additionally support two new programs that will help adults with Sickle Cell Anemia or Cystic Fibrosis get the specialized medical services necessary to treat those chronic diseases. Children's initiatives will expand Medicaid to cover children in families with incomes up to 150% of the federal poverty level and will change PeachCare for Kids eligibility to the first day of the month of application, rather than the month subsequent to the application date. The children's initiative also covers additional funding to public health clinics to provide prenatal care and well-baby care to pregnant women not eligible for Medicaid and their infants. Indigent Provider initiatives will increase Medicaid reimbursement to hospitals and Home Health agencies providing a certain level of indigent care. They will also create a mechanism that would allow counties to utilize available federal Medicaid funding to support their local EMS systems. The community initiative recommendations will include matching grants to communities to support homeless programs and will bolster the healthcare safety net by providing additional resources to community health, 23 SPECIAL INITIATIVES rural health, and migrant health centers. The recommended private sector initiative will pay COBRA premiums of individuals with incomes up to 150% of the federal poverty level and will take advantage of federally sponsored health insurance for persons between jobs. BUSINESS PLAN FOR THE UNINSURED FY 2001 Amended - FY 2002 Budget Summary Use of State General Funds Agency FY2001 Proposed PUBLIC SECTOR INITIATIVES Access Governor's Office of Consumers' Insurance Advocate Language services for clients accessing medical assistance Special Populations Medicaid Buy-In for working people with disabilities AIDS Drug Assistance Program Sickle Cell Medicaid Waiver for individuals with incomes up to 150% FPL Cystic Fibrosis Medicaid Waiver for individuals with incomes up to 150% FPL OPB DHR DCH DHR DCH DCH 22,500 37,500 125,000 1,075,000 Children Medicaid coverage for children in families with incomes up to 150% FPL PeachCare for Kids eligibility to first day of application month Babies Born Healthy Indigent Providers Reimbursement rates for EMS ambulance services* Reimbursement at 100% cost for outpatient services provided by indigent hospitals Reimbursement rates for indigent Home Health providers DCH DCH DHR DCH DCH DCH 320,655 634,250 Yes 297,160 11,207 COMMUNITY INITIATIVES Matching grants to communities to support homeless services Community health, rural health, migrant health centers PRIVATE SECTOR INITIATIVES Pay COBRA premiums of individuals with incomes up to 150% FPL** DCH DCH DCH 200,000 375,000 Yes Total State General Funds * Federal matching funds to be provided by local governments supporting county EMS systems. ** State funds to be redirected from current Medicaid fee-for-service payments to purchase health insurance sponsored through COBRA 3,098,272 FY 2002 Proposed 90,000 150,000 500,000 4,300,000 1,949,760 1,631,476 3,009,097 1,282,621 2,537,000 Yes 1,188,639 44,829 800,000 1,500,000 Yes 18,983,422 24 SPECIAL INITIATIVES Children's Protective Services The Division of Family and Children Services in the Department of Human Resources (DHR) investigated nearly 47,000 allegations of child abuse and neglect in calendar year 1999. Of these allegations, approximately 26,000 incidents were confirmed as cases of child abuse and neglect. In addition, almost 13,000 children were in the custody of the department at the end of June 2000. The Department of Human Resources, with Governor Barnes' approval, appointed the Georgia Child Protective Services Task Force in January 2000 to examine and make recommendations regarding issues within and outside DHR that would improve the state's ability to protect Georgia's children. The task force made a number of recommendations that were forwarded to the Governor for his consideration. Recognizing the need for a strong child protection system that should safeguard Georgia's most vulnerable citizens, Governor Barnes agreed with and is recommending a number of improvements for FY 2002. Recruitment and Retention of CPS Caseworkers Funding is recommended to increase salaries of existing Child Protective Services (CPS) caseworkers as well as to increase starting salaries for vacant positions. For examp le, the average entry-level salary for a CPS worker, regardless of degree or specialty is $26,646. Under the new salary plan, a new CPS worker with a Master of Social Work (MSW) would receive an average starting salary of $31,500, an 18% increase. CPS wo rkers with Bachelor degrees out of field would start at an average of $28,350, or a 6% increase. Existing workers with a Master of Social Work are slated to receive at least a 15% increase in their current salaries in FY 2002, while the remaining CPS worke rs will receive a 5% increase in FY 2002. The Governor additionally recommends 70 new CPS staff and 30 new supervisors to help reduce the average caseload per worker. All CPS workers will have additional training opportunities, as the Governor has recommended funding trainers specifically dedicated to CPS training as well as a review of the CPS training curriculum. Prevention The Governor supports the prevention of abuse before it occurs. In addition to an Early Intervention Program funded in the FY 2001 budget with tobacco funds, the Governor recommends new funding to evaluate strategies that would prevent child abuse through the use of in-home visits to at-risk families. The Governor also supports the implementation of a pilot program designed to target adult males in active CPS cases who have substance abuse problems. Advocacy/Legal Support Since children are one of the more vulnerable groups of citizens in Georgia, the Governor recommends funding to start 10 additional child advocacy centers around the state and to provide additional funding to expand services offered by the Court Appointed Special Advocate (CASA) program. Additionally, Governor Barnes recommends an increase in the hourly rate paid to Special Assistant Attorneys General (SAAG) to represent the department in cases of child abuse and neglect. Capacity for Out-of-Home Services When CPS caseworkers have determined that a child resides in a dangerous home setting, they must have resources available to place the child in a safe and protected place. The Governor recommends funding for several items that will provide capacity in out-of-home programs for children. 50 emergency beds for children entering foster care 5% increase in foster care placements 135 institutional foster care placements 134 MATCH program placements for severely emotional disturbed (SED) children 10% increase in adoptions Foster Care/Adoption Support When Georgia families graciously agree to provide shelter for abused and neglected children, either through foster care or adoption, the financial cost to these parents is supplemented by the state. The Governor recommends increasing foster care and adoption assistance from $12.00 per day and moving to a graduated scale, so that the per diem is higher for older children. The new per diems would be (by age group): Infants through age 5: $12.75 Ages 6 through 12: $13.50 Ages 13 through 17: $14.25 The Governor also recommends an additional one-time reimbursement of $200 for graduation expenses for children in foster care or adoption. The Governor also supports respite care for foster families to prevent disruptions in foster placements and recommends funding emergency respite services for 350 foster families and standard respite services for 1,600 foster families. Fatality Review In the extremely unfortunate incident of a child's death, the state has an obligation to thoroughly investigate the case to identify the cause of death and, if appropriate, to legally build a case for prosecution of the person(s) allegedly responsible. To make certain that fatality investigations are handled correctly, the Governor recommends adding 12 specially trained staff to help 25 SPECIAL INITIATIVES investigate child fatalities and funding an additional 3 positions for the Office of Child Fatality Review. Provider Compensation The Governor's recommendation includes 4% rate increases for institutional foster care and MATCH providers. These rate increases are expected to support the provider network and maintain out-of-home placement capacity. DEPARTMENT OF HUMAN RESOURCES CHILDREN'S PROTECTIVE SERVICES FY 2002 Budget Summary Use of Funds FY 2002 Total Funds FY 2002 State Funds RECRUITMENT AND RETENTION OF CPS CASEWORKERS Salary increases for CPS investigation and placement staff 70 new child protection caseworkers and 30 new supervisors Staff Training (4 trainers, curriculum development, training sessions) Computers and equipment for new staff PREVENTION Substance abuse pilot program for adult males in an active CPS case Evaluation of strategies to prevent child abuse through in-home visitor services ADVOCACY/LEGAL SUPPORT Increase funding for Court Appointed Special Advocate (CASA) program Support for Child Advocacy Centers Special Assistant Attorney General (SAAG) hourly rate increase to $60 CAPACITY FOR OUT-OF-HOME SERVICES 5% caseload increase for family foster care 10% caseload increase for adoption assistance 50 emergency beds for children entering foster care 135 institutionally supervised family foster care placements 134 slots in Multiple Agency Team for Children (MATCH) Program FOSTER CARE/ADOPTION SUPPORT Increased foster care and adoption assistance per diems Emergency In-Home respite services for 350 foster families Respite care for 1,600 foster families $200 reimbursement for graduation expenses for foster care and adoption assistance FATALITY REVIEW 12 specially trained staff to investigate child fatalities and alleged abuse in foster care 3 New positions for Office of Child Fatality Review PROVIDER COMPENSATION 4% Rate increase for institutional foster care providers 4% Rate increase for MATCH providers Total Funds 8,414,503 4,186,637 1,574,798 853,516 144,000 250,000 100,000 100,000 1,255,852 1,816,975 3,573,445 360,000 364,500 6,944,445 7,018,441 504,000 403,356 90,600 749,748 151,238 810,537 2,412,288 42,078,879 7,063,124 3,567,015 845,098 853,516 144,000 250,000 100,000 100,000 751,000 1,417,240 2,608,615 223,129 225,917 5,000,000 5,241,723 312,379 250,000 56,154 638,786 151,238 566,957 1,736,847 32,102,738 26 SPECIAL INITIATIVES Revenue Maximization To provide the increased services and program reforms needed in the state's human services agencies, Governor Barnes has sponsored a major effort to ensure that all federal reimbursement programs, for which Georgia citizens are entitled to, are utilized to the fullest extent possible. While some funding initiatives have been previously implemented to increase federal funding for the state, Georgia, for the most part, has not taken full advantage of all available federal funds for programs and services needed by state-funded clients. For illustrative purposes, the following table demonstrates how revenue maximization works. If the current funding level of a program eligible for federal funding is $100 and federal funding will pay 60% of the program cost, then the amount of state funds necessary to maintain a $100 spending level can be reduced to $40, while $60 of federal funding is added. This releases $60 in state funds that can be reinvested in other programs. Fund Use Current: Proposed: Change: State Funds $100 $40 -$60 Federal Funds $0 $60 +$60 Total Funds $100 $100 $0 The Governor has recommended the following revenue maximization initiatives to target areas where federal funding is available for services currently 100% statefunded. These federal funds, provided through the Social Security Act, include Title IV-E (child welfare), which supports the program needs of children in the custody of the departments of Juvenile Justice (DJJ) and Human Resources (DHR), and Title XIX (Medicaid) which supports mental and physical health services provided through the departments of Community Health (DCH), Human Resources, Juvenile Justice, and Education (DOE). The effort to maximize federal revenue is estimated to net an additional $100 million in federal funds in FY 2002 as shown in the table on the following page. State Nursing Facilities This revenue maximization initiative will increase federal Medicaid reimbursement to 100% of cost for state-owned nursing facilities and will include review and amendment of cost reports completed by DHR and submitted to DCH for rate-setting purposes. Community Service Boards The state can maximize federal Medicaid funding by increasing the scope and availability of services for children and adults with mental illness, mental retardation, and/or substance abuse provided through Community Service Boards and private providers of community services. These service expansions are proposed under the optional Rehabilitation Services Medicaid program. This initiative will also explore the implementation of the optional Personal Care Medicaid program, as recommended by the Blue Ribbon Task Force. Additionally, this initiative includes fiscal and programmatic redesign to give DHR and DJJ greater control and program direction over community programs. Foster Care/Out-of-Home Placements Increased federal funds will be realized as both child welfare (Title IV-E) and Medicaid funding are used to support and expand services to children and youth in the custody of DJJ and DHR. This initiative will ensure that all children placed in out-of-home settings have federally funded treatment programs to meet their needs. Targeted Case Management Improved eligibility determination for Medicaid will increase the number of adults and children eligible for federally funded case management services. State Agency Administration With the increase in the scope of services billable to Medicaid and child welfare (Title IV-E), additional staff time spent on eligible services is subject to federal administrative claiming. This initiative will evaluate the current methodology for identifying eligible administrative costs as well as claim the amount of extra time staff spend administering federal programs. School Systems Therapy services provided by local school systems for Medicaid eligible children are reimbursable by Medicaid through the Children's Intervention School Services program (CISS). Although many school systems are currently participating in CISS, this initiative seeks to have all school systems participate in the program and will evaluate the program's scope of services and reimbursement to ensure that systems are collecting the appropriate federal reimbursement. Local Health Departments This initiative seeks to increase federal Medicaid income generated locally by county health departments. County health departments will require less state grant-in-aid funding to support local health department operations because they will get increased federal Medicaid funding for health services they are currently providing. While the receipt of federal funds maintains spending in federally maximized programs at current spending levels, the state funds released by these initiatives can be reinvested in needed health and human services for Georgia citizens. The Governor's FY 2002 budget recommendations utilize these newly available state funds to invest in the 27 SPECIAL INITIATIVES state's child welfare system and to implement recommendations made by the Governor's Blue Ribbon Task Force on Community-Based Programs. The Governor also recommends these funds be used to pay for many of the budget priorities identified by the human services agencies and submitted as part of their annual budget requests. REVENUE MAXIMIZATION Amended FY 2001 - FY 2002 Budget Summary Source of Funds Agency FY2001 State Funds* FY2001 Amended Total Funds Recommended FY 2001 Amended Federal Funds FY 2001Amended State Funds TITLE XIX - MEDICAID State-Owned Nursing Facilities** Out-of-Home Placements for Children in DHR Custody Targeted Case Management for DHR clients Targeted Case Management for children in DJJ Custody DHR DHR DHR DJJ 9,550,000 2,854,563 990,465 333,333 9,550,000 2,854,563 990,465 333,333 5,730,000 1,712,738 594,279 200,000 (5,730,000) (1,712,738) (594,279) (200,000) Total Recommended Amended Fund Sources 13,728,362 13,728,362 8,237,017 (8,237,017) Source of Funds Agency FY2001 State Funds* TITLE XIX - MEDICAID State-Owned Nursing Facilities** Local Health Departments Community Service Boards DHR Agency Administration Out-of-Home Placements for Children in DHR Custody Out-of-Home Placements for Children in DJJ Custody Targeted Case Management DHR DHR DHR DHR DHR DJJ DHR 24,552,500 5,411,260 39,299,908 13,992,882 55,225,162 8,895,312 1,665,020 FY2002 Total Funds 24,552,500 5,411,260 39,299,908 13,992,882 55,225,162 8,895,312 1,665,020 TITLE IV-E - CHILD WELFARE Out-of-Home Placements for Children in DHR Custody Out-of-Home Placements for Children in DJJ Custody DHR DJJ 12,886,250 7,070,520 12,886,250 7,070,520 Total Recommended Fund Sources 168,998,814 168,998,814 * reflects state funds subject to revenue maximization ** includes $5,230,000 in new federal funding already reflected in the FY 2001 Appropriation Recommended FY 2002 Federal Funds 14,731,500 3,246,756 23,579,945 6,996,441 33,135,097 5,337,187 999,012 7,731,750 4,242,312 100,000,000 FY 2002 State Funds (14,731,500) (3,246,756) (23,579,945) (6,996,441) (33,135,097) (5,337,187) (999,012) (7,731,750) (4,242,312) (100,000,000) 28 SPECIAL INITIATIVES Upper Payment Limit Credits and Intergovernmental Transfers In the amended FY 2001 and FY 2002 appropriation recommendations, the Governor plans to increase contributions from governmental entities participating in the Medicaid program by utilizing upper payment limit credits to obtain federal matching funds. The following are questions and answers that explain this revenue maximization initiative. What is an upper payment limit credit? As a condition of the receipt of federal Medicaid funds, the state must demonstrate a Medicaid service has been provided to an eligible recipient. The state has latitude in terms of the reimbursement paid to providers of care; however, the receipt of federal matching funds is capped at the upper payment limit (UPL), or the amount equal to what Medicare would have paid for the same service. The difference between what the state pays and the amount of the UPL is known as the UPL credit. Why can the state do this? Historically, Medicaid payments to certain providers such as hospitals and nursing homes have been lower than the UPL, thus creating UPL credits. The Health Care Financing Administration (HCFA) allows Georgia to use state funds or intergovernmental transfers (IGTs) to obtain the UPL credits. What is an intergovernmental transfer (IGT)? To receive federal Title XIX (Medicaid) funds, the state must provide state matching funds. In FY 2002, the state must contribute about $0.40 of every dollar spent or 40% of the cost of a Medicaid service. The state can generate the matching funds by either directly appropriating the funds from state general revenues or by soliciting intergovernmental transfers (IGTs) from public Medicaid providers (e.g., public hospitals, nursing homes, etc.). Upon agreement by the providers to contribute an IGT, the intergovernmental transfer can be used in a manner similar to state general funds. What happens to the UPL credits? With receipt of the UPL credit, the state must reimburse any IGT contributor the amount of their contribution in a combination of state and federal funds. After reimbursement to the contributor, the state may use the remaining amount to reinvest in new healthcare initiatives. If the initiative is related to Medicaid-eligible services, the state may receive federal matching funds. Where do the remaining UPL credits go? In the amended FY 2001 and FY 2002 budgets, the Governor recommends the use of $57.5 million and $69.7 million in intergovernmental transfers, respectively. These transfers will fund many of the Department of Community Health's budget priorities as submitted in their amended FY 2001 and FY 2002 annual budget requests, and will implement Georgia's Business Plan for the Uninsured, the department's plan to help make affordable healthcare accessible to 1.3 million uninsured Georgians. Blue Ribbon Task Force on Community-Based Services Because the provision of health and human services has changed in recent years, the concept of care for the physically and mentally disabled has evolved toward services and programs designed to prevent early and unnecessary institutionalization and to allow persons with widely varying needs to receive the support necessary to live independent and productive lives in the community, when appropriate. As recognition of this change in long-term care philosophy, Governor Barnes created the Governor's Blue Ribbon Task Force on Community-Based Services (BRTF) to advise his administration and the General Assembly on the state of Georgia's community-based programs. A seventeen-member panel of consumers, parents, advocates and providers, the BRTF was required to evaluate and make recommendations concerning the following: Current status of and future need for communitybased services; Barriers that prevent access to existing communitybased services; General funding recommendations based on current actual funding and limited new funding; and Prioritization of services and possible criteria for waiting lists with fixed or limited additional funding. In response to their charge, the BRTF created three committees to make general recommendations to the full Task Force on particular aspects of community-based 29 SPECIAL INITIATIVES services. The Values and Principles Committee recommended the rights and responsibilities of consumers, providers, and the state in establishing an accountable and effective system. The Structures Committee reviewed the current administration and oversight of community-based services. The Previous Studies Committee examined ten years of prior studies to identify prior recommendations related to home and community-based services and to evaluate the status of their implementation. In addition to 10 public meetings, the BRTF held several public hearings throughout the state and conducted a statewide survey of concerned individuals and groups. The BRTF received an overwhelming number of concerns, ideas, and suggestions to improve Georgia's communitybased services. Based on this input, the BRTF members presented recommendations in three categories: Accountability - There is a need for quality improvement, monitoring standardization, and complaint resolution. Services and Supports Stakeholders desire consumer-directed care, an expanded scope of service, presumptive eligibility, and service parity among disability types and age groups. Funding The state should invest new resources to eliminate planning lists, support provider reimbursement, maximize federal funds, and supplement SSI payments. The Task Force made other recommendations with a specific age and/or disability focus that were presented separately for older adults, people with disabilities, and people with mental illness. In response to the BRTF final report, the Governor is proposing a significant investment in state funds related to the recommendations of the Task Force. In FY 2002, the Governor's budget reflects new funding of $36.7 million in state funds to address community-based service planning lists and to support provider infrastructure. Since many of the services recommended for funding are eligible for federal Medicaid reimbursement, the total new investment in Georgia's home and community-based services exceeds $67 million. Specifically, the Governor recommends: $49.1 million in additional funds to create new capacity of over 5,300 slots in community-based programs, representing the largest cumulative effort in history to address the planning lists for services for the mentally retarded, frail elderly, and physically disabled. $13.6 million in provider rate increases to support provider infrastructure and expand network capacity to serve additional clients; $2.8 million for community-based crisis services for severely emotionally disturbed children; $1.2 million in new funding to support families with members with developmental disabilities; $700,000 to create pilot programs in Chatham and Fulton counties to provide services to the homeless with mental illness or co-occurring disorders; $261,013 in relocation funding for adults in abusive or neglectful home settings; Support for the use of the Medicaid rehabilitation option to provide mental health, mental retardation, and substance abuse services in all types of community settings; and Direction to DHR and DCH to evaluate the policy and fiscal impact of providing personal care services outside of waiver programs, as part of the Medicaid state plan. Although the Governor has addressed many of the BRTF recommendations in his FY 2002 budget recommendations, remaining Task Force suggestions will be evaluated and addressed in the coming year by a steering committee appointed by the Governor and comprised of representatives from the BRTF as well as state agency staff. 30 SPECIAL INITIATIVES BLUE RIBBON TASK FORCE ON COMMUNITY-BASED SERVICES FY 2002 Budget Summary Use of Funds Agency Mental Retardation/Developmental Disabilities Mental Retardation Waiver Program Slots (Total slots = 1,232) - Residential Care (366 slots) - Family Support (324 slots) - Supported Employment/Day Habilitation (542 slots) - CET Assessments for waiver program placement 4% Rate increase for MRWP Providers Family Support services for families with a member developmentally disabled DHR DHR DHR Aging Services Home and Community Based Services for clients not Medicaid eligible (2,000 slots) Community Care Services Program (2,000 slots) 4% Rate increase for Aging Services Providers Single Point-of-entry to community-based services Adult Protective Services relocation funds DHR DHR DHR DHR DHR Mental Health/Mental Illness 4% Rate increase in MH/MR/SA Grants to Counties DHR Crisis services in community-settings for severely emotionally disturbed (SED) children DHR Assertive Community Treatment (ACT) teams for homeless with mental illness DHR Explore use of rehabilitation option for MH/MR/SA services in Medicaid state plan DCH/DHR Physically Disabled Independent Care Waiver Program Slots (Total slots = 85) 4% Rate increase for ICWP Providers Explore feasability of personal care services as part of the Medicaid state plan DCH DCH DCH/DHR Recommended FY 2002 FY 2002 Total Funds State Funds 25,510,252 11,248,661 5,702,662 1,224,595 4,000,000 14,436,351 3,187,092 Yes 261,013 3,862,609 2,816,064 700,000 Yes 5,250,741 870,687 Yes 2,316,421 1,224,595 4,000,000 6,502,923 1,294,597 Yes 261,013 3,862,609 2,816,064 700,000 Yes 2,132,851 353,673 Yes Total Funds $67,822,066 $36,713,407 31 AN ECONOMIC REPORT Public-Private Sector Interaction in the Budget I. A BUDGET PERSPECTIVE Georgia's productive capacities are activated by businesses who sense prospects of spending by consumers, businesses, and governments. Except for adjustment lags, Georgia's output mixes and levels then reflect the judged preferences of private purchasers, both inside and outside the state, and of elected officials who orient government buying to satisfy the demands of their constituents. Accordingly, households influence resource use both directly and indirectly. Their actions as buyers of output, suppliers of productive services, and voters make the public and private sectors of Georgia's economy overlap. More important, they force the government and private sectors to interact. Activity in the private sector induces voters to demand government outputs. But, government markets no productive services of its own and so has no self-generated purchasing power with which to respond. To meet calls from constituents, consequently, elected officials maintain routines which allow purchasing power to be drawn from individuals and businesses, which permit this purchasing power to command the resources for production of wanted government goods and services, and which allow for a politically -rewarding distribution of the resulting outputs within the private sector. For Georgia's state government and the year ending June 30, 2002 (FY 2002), the Governor's Budget Report: Fiscal Year 2002 captures the financial essence of these routines and of the complex public-private exchanges in which they play a part. The Budget Report makes specific the yield of the state's reach into the private sector with taxes and fees. It reviews the performance of these revenue generators in the immediate past and provides estimates of their revenue yields in the immediate future. On the basis of these estimates, government can plan purchases from the private sector of the productive factors and services required to fashion and deliver its set of politically -chosen programs. In the private economy, value added by an activity is measurable by subtraction of factor costs from final sales. Outputs which risk adding less to receipts than to costs will be resisted. In the government economy, in contrast, the created outputs are typically not "sold." To decide the merit of a product or service, government takes its revenues to be reflective of costs (private sacrifices) and its expenditures on the production of government outputs to be reflective of benefits. The Budget Report builds in this approach. Government's programs, projects, and products have competed with one another for shares of the anticipated revenues. In total, a year's expected revenues limits the same year's expenditures. That is, the budget is "balanced." Such balance insures that, pecuniarily at least, the total withdrawal from the private sector is matched by the total return. Beyond such rough weighing of participation, government's economic net value-added is not evaluated. Instead, political competition for the favor of the electorate is simply trusted to make government's use of withdrawn funds more beneficial on balance to the economic community than the use which the private sector would otherwise have chosen. Were government's value-added measurable, it would be sought in the increased output, productivity, and wellbeing which government's actions promoted. Sometimes, government services are tantamount to "income" for selected recipients. Direct benefits are received without any specific exchanges. When government programs first have their impacts upon businesses rather than households, contributions to individual wellbeing become indirect. Besides services, government infrastructures (like roads, ports, and even educated persons) can add to the utility and productivity of the private sector. Often, government's influence will involve neither direct services nor goods but will reinforce the economic incentives of households and businesses. Regulation has this characteristic. The Budget Report does not track the various returns which can be expected to flow from government activities. However, it carefully delineates the many types of programs which are recommended for financing and announces the principal outcomes which are anticipated. The Budget Report's emphasis upon res ults -based-budgeting affirms that the state is striving for a better quantification of all effects. II. AN ECONOMIC BACKGROUND An economic background for the expenditure allocations of the Budget Report is presented in this section on public-private sector interaction. Emphasis is upon the way in which private-sector conditions constrain the power of taxes and fees to generate revenues. First, the pattern and level of revenues yielded by Georgia's taxes and fees in the past decade and in the past few quarters are outlined. Second, the sensitivity of the revenue yield to the characteristics of the private economy in both the long-term and the short-term are considered. Third, the characteristics of the private economy associated with variations in yields of taxes and fees are depicted. Finally, the properties of the economy which define the revenue-expenditure balance featured in the Budget Report for FY 2002 are outlined. 32 AN ECONOMIC REPORT III. STATE GOVERNMENT REVENUES Aggregate revenues . During the decade of the nineties, government's taxes and fees provided a neardoubling of collections. In FY 1990, the high-mark and end of the expansion of the eighties, the revenue yield was $7.2 billion. In FY 2000, revenues climbed to $13.8 billion. Despite the meager advances registered in the first two years, the average annual rate of increase over the ten years rose to 6.7%. Significantly, the gain did not reach to the average advances of 9.9%, 11.4%, and 8.5% of the sixties, seventies, and eighties respectively. Inflation could be partially to blame. After adjustment for price changes, the average annual revenue growth in the nineties (3.7%) did inch above that of the eighties and seventies (3.6% and 3.4%). Nevertheless, it still fell short of that in the sixties (5.7%). In terms of variability of growth, a serious constraint on government's financial planning, unadjusted revenues in the nineties were more volatile than in any of the three preceding decades. In price-adjusted terms, nevertheless, revenue growth in the nineties was more stable than in the seventies or eighties. Yet, it remained less stable than in the sixties. The growth record for FY 1989 through FY 2000 is represented in the panels of Figure 1. The first panel provides a reminder that, in years when the private economy weakens substantially, the reach-in of Georgia's tax-and-fee system may achieve little revenue growth. In fact, in recessions, revenues may grow by less than the rise in private personal income. Obviously, when growth dropped from around 10% in FY 1989 and FY 1990 to around 1% in FY 1991 and FY 1992, the challenge to program financing was considerable. Although a smaller drop, the slippage in revenue growth from above 8% over the years FY 1994 through FY 1996 to only 6.6% and 5.3% in FY 1997 and FY 1998 respectively likewise undermined planned (economical) service delivery. When allowance is made for increases in the prices which were faced (panel 3), government's purchasing power actually declined in both 1991 and 1992. In such years, maintenance of the quality and extent of government services becomes virtually impossible. Should financial plans be tied to "new monies," the second panel carries the same warning as do the first and third. In two successive years, revenue gains fell below $100 million even though the average increase over the eleven-year span was $658 million. Because of revenue's upward trend, the dollar gain in FY 2000 was the largest of the period ($1,086 million). Government's ultimate interest is in individuals. Consequently, the record of gains in inflation-adjusted 33 FIGURE 1 GROWTH IN GEORGIA'S REVENUES I. Net Revenues (Current Dollars): Percent Change 12 10 8 6 4 2 0 II. Net Revenues (Current Dollars): Mils. $ 1,200 1,000 800 600 400 200 0 III. Net Revenues (FY 2000 Dollars): Percent 10 8 6 4 2 0 -2 -4 IV. Net Revenues Per Capita (FY 2000 Dollars): Percent 10 8 6 4 2 0 -2 -4 89 90 91 92 93 94 95 96 97 98 99 00 Fiscal Year AN ECONOMIC REPORT revenues per capita (panel 4) perhaps best signals the change in the value of services which government can deliver. In this series, the variability in growth noticed for the revenue aggregates has carried over; the declines in FY 1991 and FY 1992 reappear but are exaggerated. Moreover, in the final three years of the period, per capita revenues picture relative weakness rather than relative strength. Growth in FY 1998 through FY 2000 dropped well below that of the years FY 1993 through FY 1997; in FY 2000, growth slipped below that of FY 1999 and, save for the gain in FY 1998, was less than any positive increment in other years in the period income taxes have risen year by year through FY 2000. In fact, their path has been marked by accelerating growth. In contrast, revenues from sales taxes were slow to advance following the dip in private-sector output starting in FY 1990; upon economic recovery, they rose strongly for only four years. Their weakening in FY 1997 and slight decline in FY 1998 reflected in part the phased exemption of food for off-the-premises use from the base of the sales tax. Significantly, the contribution of the Olympic Games to sales activity within the state was insufficient to overcome the opposing effect of the tax change. Among the major Revenue sources . Throughout the nineties, the state's revenue collections came mainly from individual income, sales, and corporate income taxes. As shown in Table 1, the proportion of total revenues originating in individual income taxes has risen from 39.8% in FY 1990 to 46.2% in FY 2000. Most of this share gain has come at the expense of the sales tax. Collections of sales taxes as fractions of total collections have dropped from 38.8% to 24.5% over the decade. In contrast, the shares of total revenues generated by the corporate income tax and by other lesser sources have changed little. Significantly, the share claimed by the corporate income tax has varied considerably. TABLE 1 SHARES OF REVENUE BY SOURCE (Percent of Total) Fiscal Year Individual Income Tax 1990 39.8 Corporate Income Tax 6.6 Sales Tax 38.8 Other Sources 14.8 89 90 91 92 93 94 95 96 97 98 99 00 99-1 99-2 99-3 99-4 00-1 00-2 00-3 00-4 01-1 FIGURE 2 TIME PATHS OF MAJOR SOURCES OF REVENUE: GEORGIA (FY89 FY00; 1 Q 99 1 Q 01) Revenue Index FY 89 = 100 275 Long -t e r m 250 225 200 175 150 125 100 75 Short-term Individual Income Tax Sales Tax Corporation Income Tax Fiscal Years 1992 41.9 1994 40.2 1996 40.4 1998 45.4 2000 46.2 5.4 37.9 14.8 5.5 37.9 16.4 6.7 37.8 15.1 6.7 34.2 13.7 5.4 34.5 14.9 Revenue paths. The changed revenue shares fit the revenue paths of major sources which are depicted in Figure 2. Taking FY 1989 as base, collections of individual sources, growth in revenues generated by the corporate income tax has been least regular. Yields declined before the private economy reached its 1990 activity peak and did not regain their FY 1989 level before FY 1996. While increases in FY 1998 and FY 1999 were strong, collections in FY 2000 dropped by 10 %. The quarterly paths from 1 Q 99 through 1 Q 01 conform to the annual patterns. Despite considerable "noise" in each of the paths, individual income taxes maintained a clear upward trend, sales taxes rose as well but at a slower rate, and corporate income taxes were generally headed downward. In 1 Q 01, collections of individual income taxes declined. Since deviations from 34 AN ECONOMIC REPORT trend occurred in both 4 Q 99 and 2 Q 00, the decline in 1 Q 01 need not point to a turning point in the growth path. IV. REVENUE LINKAGES The growth record for aggregate revenues and its components does not distinguish between gains arising from peculiarities of tax-and-fee structures and those arising from the behavior of tax-and-fee bases. To test for reliability in the linkage of revenues to private-sector activity, three cobehaviors are considered. First, the connection between aggregate revenues, the most general measure of yield, and personal income, the most general measure of private income, is assessed from two perspectives. The share of personal income absorbed FIGURE 3 DOMINANCE OF GEORGIA REVENUES1 Percent government's reach-in has never accounted for more than 6.4% (FY 1974) or less than 5.6% (FY 1984). Admittedly, legislation has regularly "fine tuned" the tax-and-fee structure and helped achieve this result. The preferences of elected officials might then be claimed to be of greater account for participatory stability than the tax-and-fee structures which were once introduced and subsequently modified. In any case, the 6.1% share of personal income going to government in FY 2000 complies with the thirtyyear pattern. Interestingly, that share matches the FY 1970 fraction. Another way of seeing aggregate stability in revenue generation appears in Figure 4. There, the quarterly revenue-income connection is viewed over four fiscal years. In such a short period, distortions from temporary influences implicit in personal income give rise to variability. Afterall, personal income is not the base for any tax or fee and so revenue likely will no more than approximate its path. Significantly, the variability of the relationship shows no signs of increasing. An "elasticity" of 1.10 marks the period relationship. Were this sensitivity to persist, dominance would obviously climb. Since it has not (Figure 3), elasticity probably has been offset by cyclical influences and by legislative adjustments of taxand-fee structures. 6.4 6.2 6.0 5.8 5.6 Fiscal 5.4 Year 70 72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 FIGURE 4 REVENUE RESPONSE TO GEORGIA'S PERSONAL INCOME (1 Q FY97 2 Q FY00) Revenue (Bils. $) (Ratio Scale) 3.5 3.3 REV = 1.37 (INC) 1.10 3.1 1Ratio of State Net Revenues to Georgia Personal Income (Current Dollars) by government is depicted in Figure 3. While there has been variation in the proportions of income going to government over the FY 1970-FY 2000 span, there has been no obvious trend in participation. Even the variations around the average share (5.98%) have been small (coefficient of variation of 0.26). Although personal income has risen by a multiple of 14.5 in the thirty years, 2.9 2.7 35 (Ratio Scale) 185 195 205 215 225 Income (Bils. $) AN ECONOMIC REPORT Second, since income taxes have had the most robust growth, a check on the linkage of tax withholding, a revenue element, to wages and salaries, a private-sector income, is instructive. Withholding is the principal component of the income tax; wages and salaries dominate taxable incomes. As Figure 5 reveals, the connection between yield and base has been close over the four years. The relationship shows withholding to be slightly progressive relative to personal income. A 10% increase in wages and salaries yields a 12% increase in taxes. Although the sensitivity (slope) appears not to have changed, an unexplained upward shift (intercept change) in the withholding-wage function occurred in 2 Q 97 and has persisted. FIGURE 5 ALIGNMENT OF WITHHOLDING WITH WAGES AND SALARIES: GEORGIA (Calendar Quarters: 1 Q 96 2 Q 00) Withholding (bils. $) (Ratio Scale) 1.5 1.4 1.3 FIGURE 6 RESPONSE OF CORPORATE TAX LIABILITY TO CORPORATE PROFITS: U.S.A. 1990 -- 1999 Corporate Tax Liability (bils $ ) 260 240 220 200 180 160 140 Corporate 120 Profits (bils. $ 300 400 500 600 700 800 900 1.2 WH = 0.76 (WAS)1.12 1.1 1.0 100 (Ratio Scale) Wages and Salaries 110 120 130 140 (bils. $) FIGURE 7 CORPORATE INCOME TAX RECEIPTS: U.S.A. AND GEORGIA (2 Half -year Moving Average) Tax Index 2 H95=100 130 U.S.A. (Treasury) 120 Third, because of the variability exhibited by the yield 110 of the corporate income tax, influences other than the behavior of corporate income may be suspected. 100 Government's reach to corporate income might not be reliable. Unfortunately, measures of corporate profits for Georgia are not available to test for confounders. However, 90 for the U.S., both corporate tax liabilities and corporate profits are reported by the U.S. Treasury. Using this data, Figure 6 indicates that corporate tax liability has stayed in close relationship to corporate profits. Over the nineties, the average marginal tax rate has been about 28.5%. Since 36 95-2 96-1 96-2 97-1 97-2 98-1 98-2 99-1 99-2 00-1 Ga. (Rev. Dept.) H a l f -Y r s Calendar Yrs. AN ECONOMIC REPORT Georgia's corporate income taxes usually follow the pattern of those in the nation (Figure 7), it can be supposed that Georgia's corporate profits are generally aligned with national profits as well. More particularly, it is reasonable to believe that collections of corporate income taxes by Georgia's Department of Revenue reflect the behavior of corporate income associated with or originating in Georgia. V. THE PRIVATE ECONOMY Output performance. In the government sector, the lack of an output measure has shifted the emphasis to spending on inputs as a measure of performance. In the private sector, the same approach would give prominence to absorption of major inputs like labor, capital, and managerial services. Certainly the popular attention given to unemployment and employment rolls affirms that input use matters. However, the private sector's periodic product is sold to someone (even the producer) and so its output can be gauged. For Georgia, output can be assessed in terms of gross state product or, with slight distortion, total personal income. Since personal income is reported more frequently and with a shorter time lag, it becomes the preferred gauge. Of course, since wellbeing is FIGURE 8 GROWTH IN PERSONAL INCOME: GEORGIA AND U.S.A. (Current Dollars; Percent) fundamentally an individual characteristic, per capita income commonly becomes the performance measure of rank. Georgia's personal income has grown more strongly, but also more erratically, than U.S. personal income over the nineties (Figure 8). The average annual rate of increase of 7.0% was below the averages of 9.5% , 11.5%, and 9.1% of the prior three decades. After adjustment for price changes, the gain of the nineties slipped to 3.7%, about four-fifths of the 1960-1990 gain. In the most recent two years, growth in Georgia's personal income has stayed roughly in step with that in the nation, but, once again, has varied more. FIGURE 9 GROWTH IN PER CAPITA INCOME: GEORGIA AND U.S.A. (Current Dollars; Percent) Percent 7.0 6.0 5.0 4.0 3.0 Long-term Short-term Georgia U.S.A 89 99 91 92 93 94 95 96 97 99 00 99-1 99-2 99-3 99-4 00-1 00-2 00-3 00-4 89 90 91 92 93 94 95 96 97 98 99 99-1 99-2 99-3 99-4 00-1 00-2 00-3 00-4 Percent 10.0 9.0 8.0 7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 Calendar Years 2.0 1.0 Georgia 0.0 U.S.A Calendar Years As evident in Figure 9, Georgia's per capita income rose in each year of the nineties. Climbing by an average rate of 4.9% per year, per capita income in 1999 was 1.5 times that of 1990. From 1993 through 1999, the percentage increase exceeded that for the United States. Nevertheless, the average rate of increase was barely two-thirds of Georgia's rate for the sixties and eighties and only half of that for the seventies. When adjusted for price changes so as to give a 37 AN ECONOMIC REPORT measure of per capita purchasing power, the gain in the nineties averaged 2.0% per year, well below that of sixties (4.5%) and eighties (2.9%) but above the recession-plagued years of the seventies (1.6%). Per capita income's growth in the nineties was slightly below the 2.2% growth in government's per capita revenues. In the most recent two fiscal years, Georgia's per capita income continued its climb. During 3 Q FY00 and 4 Q FY00, in fact, per capita income (current dollars) rose more rapidly than in the preceding six quarters. FIGURE 10 CHANGES IN EMPLOYMENT:GEORGIA1 (1 Q 1991 3Q 2000) I. Total Non-agricultural Employment Percent 6.0 4.0 2.0 0.0 -2.0 -4.0 Employment of labor. The noted increases in Georgia's personal income have been possible because of increased productivity and increased inputs. Nonagricultural employment climbed by an annual average rate of 2.7% in the nineties. In the three preceding decades, average gains per year were 4.3%, 3.0%, and 3.3% respectively. The growth pattern for the most recent decade is represented in Figure 10. Growth in total nonagricultural employment reached a peak in early 1994 and has followed a declining trend in the years following. Growth in employment in services has been particularly strong but volatile. Annual rates of gain in employment in retail trade have reached higher levels (7.8%) but have also shown greater variation. Still, the strongest (and weakest) growth in the decade has been reflected by employment in construction (12.1% and 17.2% respectively). Manufacturing employment has displayed modest gains. Especially in the last four years, this industry's growth has been the most stable. VI. PROSPECTS Indicators: revenues . Among the time paths of Georgia's revenue sources, the most recent data (1 Q FY01) suggests slackening growth for both individual income taxes and corporate income taxes. Because the growth slippage (2.8%) in individual income tax revenues has been for only one quarter, "noise" in collections could be all that is reflected. However, individual taxes account for a far greater proportion of revenue growth than their proportion of revenue yield. In FY 2000, the proportions were 61% and 46% respectively as compared with 34% and 29% for sales taxes. Consequently, even a slight easing of gains in individual income taxes would have significant bearing on growth in revenues. II. Services Employment Percent 8.0 6.0 4.0 2.0 0.0 -2.0 -4.0 III. Retail Trade Employment Percent 8.0 6.0 4.0 2.0 0.0 -2.0 -4.0 IV. Manufacturing Employment Percent 4.0 2.0 0.0 -2.0 -4.0 -6.0 V. Construction Employment Percent 10 6 2 -2 -6 -10 -14 -18 92 94 96 98 00 The slippage in corporate income taxes is of longer duration (one year) than in individual income taxes. It is also deeper (14.2%). Moreover, in view of the tight relationship between tax liabilities and profits for corporations in the nation (Figure 6), the decline in collections most probably points to weakness in the profits 38 Fiscal Year AN ECONOMIC REPORT of corporations paying taxes to Georgia. In past recessions, Georgia's corporate tax collections have fallen sharply (30% in the 1990 recession) and ahead of the general slippage of revenues. Indicators: economy . Wages and salaries, accounting for most of the changes in withholding (Figure 5), continue to climb sharply over year-ago levels (9%). However, when quarter-to-quarter advances are considered, wages and salaries were rising less rapidly in 2 Q FY00 than in any quarter in the preceding year. With non-agricultural employment increasing in 1 Q FY01 at half the pace of a year earlier, the slowing of growth in wages and salaries should be expected. Only productivity gains high than currently experienced could keep wages and salaries rising while employment slips. The surge in employments in the retail trade and service industries, close to a 7% rate in the past two years, hints of growth well in excess of industry sales. Increments of this size will then not continue even if retail sales and services deliveries were to be sustained. Already, employment in services (1 Q FY01) has fallen from 7.1% in the middle of 1999 to around 3.3% in the middle of 2000. In construction, an indicator of forthcoming purchases of equipment and appliances, the growth in employment of roughly 9% in 1998 and 1999 was followed by a shrinkage to between 0% and 2% in 2000. Significantly, construction gains in Georgia were far weaker than for the U.S. as a whole. Major risks. Both the Georgia and U.S. private economic sectors have been spurred by nearly 5 years of double-digit advances in business purchases of information processing equipment and software. As a share of U.S. gross private domestic investment, purchases of equipment and software have climbed to outrank structures and residential investment. Anecdotal evidence suggests that businesses are now hesitating to continue investments in short-life capital with small marginal gains in performance. A slowing of growth in investment would feed through the private sector to ease expansions in income and employment. Prospects . Given clear signs of weakening revenue and employment growth and of threats to income gains from investment slackening, the increment in state revenues expected for FY 2002 is smaller than in the two prior fiscal years. The level of state general funds is expected to rise to $14.4 billion in FY 2002, an increase of 7.3%. 39 RESULTS-BASED BUDGETING Mandated by the 1993 Budget Accountability and Planning Act, Results-Based Budgeting provides a concise overview of the progress that state programs are making in addressing the economic, education, social, and service needs of the citizenry. Results-Based Budgeting reports on the impact of state programs. This information enables state policy-makers, agency managers, OPB, and the public to identify effective program strategies and those strategies that need improvement or total revision. Now in its fifth year of implementation, RBB offers decision-makers, program managers, and OPB with state government's first archive of trend data by which to assess the outcomes of programs financed by Georgia's taxpayers. These trends in program outcomes help "red flag" programs for further review so that the reasons for substandard performance can be identified and corrected. Thus, policymakers can determine whether the apparent lack of program impact has resulted from such problems as: poor planning; faulty progra m design; ineffective management; inadequate resources; missing, inaccurate, and/or noncurrent data; or extraneous conditions outside the program's control. Results-based budgeting information allows the Governor, the General Assembly, program managers, and the public to relate program results to program expenditures. This information will assist the Governor and the General Assembly in allocating scarce resources to best benefit the citizens of Georgia by: Focusing the legislative process upon the policy implications of funds spent in state agency programs and services. Identifying similar programs across state agencies and assessing their combined impact. Identifying successful and unsuccessful programs. Determining when environmental influences indicate changes in program strategies because current strategies no longer meet existing needs. Enabling programs to be evaluated and funded according to their actual benefit to program customers and taxpayers. Aiding policy makers in determining if it is in the best interests of the state to expend funds to achieve a program's identified result. Enhancing the ability of the Office of Planning and Budget to track funding in policy areas across agency boundaries. Enabling program managers to compare the results of different strategies and program sites to identify superior performance, ascertain the reasons for the enhanced performance, and transfer successful strategies to other sites throughout the state. For the FY 2001 and FY 2002 State Budget Reports, many programs began compiling and using results data for the first time. This process has resulted in significant changes in the types of data collected and the methods for compiling, verifying, analyzing, and reporting information. These modifications, along with the agencies' efforts to improve the types and quality of data collected, have been one of the most noteworthy achievements of the RBB endeavor. By focusing on outcomes, RBB has encouraged state government to be more accountable to Georgia's citizens. Taxpayers can now see how public policy is operationalized into state government programs; which programs have the highest priorities, and how well these programs are serving their customers. Program managers are using RBB information to better plan, set priorities, manage, and provide services to the public. Thus, Results-Based Budgeting has not only made government more accountable to its citizens, but also has had a positive impact on government programs. The FY 2002 Results-Based Budget includes a comparison of FY 2000 desired results and actual performance. It also shows program's FY 2001 and FY 2002 desired results and the most comprehensive explanation of actual results to date. This year's RBB will be used as the basis for developing a valid, reliable, and meaningful "report card" on government performance. While many programs have already begun to both modify and improve their data collection systems and identify more valid and reliable measures for program results, OPB will work with major state programs during FY 2001 to finalize these improvements. This coming year, OPB also will use RBB information to identify programs for more intensive evaluation to determine the reasons for problematic performance. During FY 2001, OPB will begin integrating RBB with the state's strategic planning efforts, program evaluation, management studies, and policy research to establish a platform by which the Governor and other policymakers can strategically manage state services. 40 STATE STRATEGIC PLAN Vision for Georgia Georgia is a state blessed with bountiful resources and great people. It is the fastest growing state east of the Mississippi River and is known worldwide as a place in which the environment for business is positive and the quality of life for its citizens is excellent. However, no state can rest on its laurels and expect its economy to continue to flourish and its citizens to grow and prosper. We must maintain our positive national status, but we have new work that must be done to expand our prosperity to all regions of the state and solve issues that threaten our continued success. There are eight areas upon which state government and the people of Georgia must focus to achieve a better Georgia in the new millennium. We start from a great position. We also have formidable challenges. Together we can build the Georgia of the new century by focusing on the education of our people, the health of our citizens, the health of our economy, the stewardship and smart management of our growth, the improvement of our environment, the safety of our communities and a government that is accountable to the taxpayers, the citizens whom government serves. Finally, we must embrace and expand the capacity and the use of all forms of technology, part icularly information technology, to achieve success in all elements of our society. Education for Georgia's Future Our state has a strong foundation for educating all of our citizens. However, we must do better. We must act upon our belief that every child in our state can learn, and that no child should be left behind. In the global marketplace of the new millennium, Georgia must improve the education services that we provide our citizens, from birth through lifelong learning opportunities and all education components in between. To improve these education services, the state must focus upon the results that we want our education programs to produce. To make this progress in education results, we must have improved cooperation and communication among all education components at the state, regional and local levels. Additionally, we must develop a system of accountability for all components of the education system. This focus upon accountability will require the development of a measurement system and a student information system that track the progress of every student, at every level of their education experience. The final outcome will be a dynamic education system that delivers on the promise of a quality education for every citizen. Every citizen, our economy, our communities and our society will be the winners for this focus and effort. Safe Communities and Safe Citizens Our state and its citizens enjoy a superior quality of life. However, we must be ever vigilant to provide each citizen and community with a sense of security and real safety. No citizen or visitor to this state should fear for his or her safety on our streets, in our neighborhoods or in any community anywhere in Georgia. This requires Georgia to first focus upon the prevention of crime. When crime does occur, however, we must demand and produce swift and accurate justice and provide appropriate sanctions for those offenders who chose to commit crime against the citizens of this state. Our judicial system must be well equipped and staffed to ensure that justice is swift and fair. Our law enforcement community must have the tools and the manpower to prevent crime by its presence and interaction with the community. There must be adequate staffing and equipment to respond quickly and efficiently to crime when it occurs. Finally, we must provide sufficient secure facilities to protect society from violent and dangerous felons. Statewide Economic Prosperity Georgia has enjoyed rich economic growth over the past several years. It is imperative that we continue to enhance the business environment of the state to compete in the global economy. As a regional leader in the South, Georgia must capitalize on the technology resources and infrastructure that we now have to attract new businesses and to keep and expand existing business. As the global and national economies become increasingly knowledge-based, information-driven, and service deliveryfocused, we must position Georgia and its citizens to take advantage of these new and emerging markets. We must also focus on bringing economic vitality to all of rural Georgia by investing in economic development strategies and the infrastructure that value innovation, attract businesses and keep communities vital and viable. With the entire world as a market, we must help localities formulate ideas and create businesses and strategies that meet this new international market for products and services. In concert with the state's education reform efforts, we must ensure that Georgia's workforce is well prepared, educated and trained. New and existing businesses must have a qualified workforce to create economic prosperity for Georgia. We must always provide a positive environment for business to flourish and ensure a quality of life that will attract companies to locate and thrive here. Transportation and Land Use Planning The metropolitan areas of Georgia have experienced remarkable and prosperous economic and physical growth over the past two decades. Many of this state's metropolitan counties are among the fastest growing counties in the United States. While this has been a blessing for the economic prosperity of our citizens, it has also created challenges for the continued exceptional quality of life that we enjoy throughout Georgia. The orderly development of our metropolitan communities is required to protect our water and air quality, to improve our commute times and reduce traffic congestion, to protect our "green spaces" and to promote our overall quality of life that every citizen demands and deserves. The balancing of growing our economy and building businesses while ensuring a good quality of life for each citizen must be carefully managed for `good' growth. With better coordination and collaboration between local entities and the state, we must ensure that wise transportation and land use decisions are made when we add housing and business developments and new business centers. Our cities and communities in the metropolitan areas of Georgia must be livable, prosperous, clean, safe and places where people want to work and can enjoy their lives in the way they choose. These are communities where commerce can thrive. 41 STATE STRATEGIC PLAN Clean Environment and Water Stewardship Georgia's natural resources are vast and impressive. We must never reduce our commitment to keeping these resources clean and wholesome for our present citizens as well as for future generations. This will require a united front from government, business, communities and individual citizens. Clean air, water and soil are critical components of a successful state and a positive quality of life. We must conserve when needed. We must clean up our mistakes of the past. We must ensure that the infrastructure for water and sewer statewide is modern and safe. Our rivers and lakes must be clean, and our water sources must be protected and preserved. And we must be vigilant in our wastewater management to support our overall water resource management. Without clean air, water and soil, we cannot have healthy citizens and our ability to attract and keep business will be negatively impacted. We must have the resolve to be vigilant in balancing our needs for growth with our needs to have healthy citizens and communities. We must forever protect our natural resources for today and in the future. Community Health A strong state is made up of strong and healthy citizens and communities. The continuing shift in healthcare delivery across America has created challenges for our state to ensure that all citizens receive the healthcare that they need. With pressing issues of healthcare costs and medical insurance coverage for all citizens, the state must continue its efforts to control state associated healthcare costs and provide the necessary insurance coverage to indigent children who are not insured. Georgia needs a healthcare system that works in the marketplace but also provides medical care for every Georgian who needs that care. This requires a strong partnership among the medical delivery system, the insurance industry and the state to maximize citizens access to comprehensive healthcare. Good healthcare systems that provide comprehensive, accessible and efficient medical care for citizens are important to the economic vitality of the state. Accountable Government Good government is an important component of a successful state and community. Government can broker alliances with the private sector and citizens to foster solutions to many issues. A successful state government should not get in the way of its lawabiding, tax-paying citizens. Georgia's state government must be managed to provide the maximum of responsive, useful and excellent services for the minimum, most efficient cost. Citizens trust government that provides services they need and that can show results of the programs that are provided. In education, every citizen should know if our children and students have learned the curriculum that they are expected to learn. In the environment, citizens want to know if the air and water is cleaner. If targets and improvements are not achieved in these and other areas, then strategies can be implemented to get the results that citizens need and demand. State government can manage its programs more effectively and efficiently if it measures results for accountability purposes. The taxpayers must always be able to determine the value of what they get for their tax investment. Technology Every other component discussed in this vision cannot be achieved without the integrated use of technology throughout Georgia and at all levels of government in our state. The global marketplace is becoming a knowledge-based economy. Information and the quick access to that information will be the critical component in achieving the success we have outlined in education, community and citizen safety, statewide economic development, well managed growth for Georgia, a clean environment and water stewardship, community health and finally, an accountable and good government. Technology will provide the connectivity between all elements of government, the private sector and Georgia's citizens. Georgia must build the technology infrastructure and capacity to compete in this new global marketplace. Georgia must also ensure that we have a technology -literate citizenry and workforce. The new millennium will bring enormous challenges but also remarkable opportunities for Georgia. Our state, its businesses and its citizens must be connected to that world of the 21st century to prosper, and technology will provide that connection. Conclusion The future of Georgia is bright and full of promise. We must rededicate our efforts to provide quality education for all Georgians of all ages. We must provide for the safety of all our citizens and communities. We must foster a prosperous economic environment. Because of our successes in economic development, we must manage the development and population growth through good transportation and land use planning. We must ensure a clean environment and proper stewardship of all of our water resources. We must enable a comprehensive healthcare process that provides access to adequate healthcare to all Georgians. We must demand and deliver a good and accountable state government that provides effective and efficient services and programs. And, finally, we must embrace and expand technology in the lives of all citizens to achieve all of the above goals. 42 READER'S GUIDE The FY 2002 Budget Report for the State of Georgia is one of three publications that deal with the Governor's budget recommendations to the 2001 General Assembly and subsequent appropriations. This Budget Report presents the Governor's detailed budget recommendations for FY 2002, which begins July 1, 2001 and ends June 30, 2002. It also includes detailed information about past, current and projected revenue collections; past expenditures and budgets; program policies; and state organizational structures. This document is released in connection with the Governor's budget message to the Georgia General Assembly during the first week of its annual session. An Amended Budget Report, released during the week prior to the session, details spending changes recommended by the Governor for the fiscal year underway when the General Assembly meets in regular session in January of each year. The Amended Budget Report presented to the 2001 General Assembly recommends amendments to the state's budget for the fiscal year that ends on June 30, 2001. The Budget in Brief is published in May after the legislative session ends and covers all expenditures authorized by the General Assembly for the upcoming fiscal year and for the current fiscal year in effect. THE FY 2002 BUDGET REPORT Departments can have as many as 9 separate sections in this FY 2002 Budget Report with each section providing a different level of information about the Governor's proposed spending program for the upcoming year. Following is an explanation of each section. ORGANIZATION CHART Each department's section starts with an Organization Chart that displays the major divisions comprising each department. Agencies, commissions, and authorities attached to that department for administrative purposes are also identified. The numbers in each block represent budgeted state positions for each division. Positions counts are also provided for those attached agencies, commissions, and authorities that receive direct state appropriations for their operations. The total number of positions budgeted for each department and attached entities is listed underneath each department's title at the top of the page. FINANCIAL SUMMARY The Financial Summary for each department budget unit provides up to 11 different levels of budget information by object class, including expenditures for 2 prior years, the current budget, agency requests and the Governor's recommendations. The first page of each summary includes the following information concerning expenditures, current budget and agency requests: FY 1999 and FY 2000 actual expenditures; FY 2001 current operating budget; and FY 2002 agency requests by adjusted base, enhancements (limited to 3% of the adjusted base), and totals. The second page of each summary includes the following information concerning the FY 2002 Governor's budget recommendations: Current Budget The annual operating budget including approved amendments. Annualizers and Adjustments Includes 3 months funding for pay for performance not funded in FY 2001 and partially funded enhancements from FY 2001. Previous non-recurring and one-time expenditures are deducted, and other adjustments such as transfer of funds among object classes are incorporated. Workload Captures funding increases due to changes in activity levels such as student enrollment or other similar situations. Adjusted Base - Consists of the summation of the Current Budget, Annualizers and Adjustments, and Workload recommendations. Enhancements Consists of new programs or expansions of existing programs. Each Financial Summary includes the total funds recommended or appropriated to each department, including state general funds, federal funds, funds collected and retained by departments, and any other funds available to them. The totals for each category of fund sources are shown at the bottom of the tables. Total State Funds, displayed in bold type, represents state general funds either recommended or appropriated to the departments. The number of positions and motor vehicles are the last items displayed under each table. 43 READER'S GUIDE BUDGET SUMMARY The Budget Summary explains the Governor's recommendations, as displayed by object class on the second page of the Financial Summary section, from the perspective of budget initiatives being recommended by the Governor concerning new or expanded programs and services that are to be funded. Each column of the Governor's Recommendations page of the Financial Summary is explained in sequence in the Budget Summary. Adjustments to Current Budget Adjusted Base - The first line lists the existing state appropriations for FY 2001, adjusted to include budget transfers between appropriations that were necessary before work could begin on developing recommendations for FY 2002 spending. These adjustments include additional funds to annualize salary increases, reductions for non-recurring expenditures, and for increased workload activities. These annualizers and adjustments to the 2001 appropriation total provide the Adjusted Base. This is the starting point for the Governor in making decisions on his FY 2002 budget recommendations. Enhancement Funds - The section explains the various enhancement recommendations. Capital Outlay This section provides descriptions of recommended capital outlay projects and programs. Capital outlay may include property acquisition, construction, renovation, major repair, and unique equipment needs generally outside of the ability of agencies to fund within their operating budgets. FUNCTIONAL BUDGET SUMMARY Functional budgets by total and state funds are displayed in this section for the current year's appropriations and recommendations by the Governor for the upcoming fiscal year. ROLES AND RESPONSIBILITIES This page describes bas ic department responsibilities as determined by law, policy or mandate. It also describes how departments are organized to carry out their missions. STRATEGIES AND SERVICES This section discusses the major budget and policy changes taking place in each department. The discussion focuses on major initiatives that are in the final stages of implementation, those that are currently being implemented and possibly expanded, and new initiatives that are being proposed for the future. RESULTS-BASED BUDGETING Results-Based Budgeting (RBB), which first began in FY 1998, was created to make state agencies more accountable to Georgia's taxpayers. Executive-branch agencies identify key programs, set long-range goals for the programs, and establish and measure the results that programs achieve each year in progress toward meeting the goals. By comparing the actual results to desired results and by examining the trends in achievement, state decisionmakers, the Governor's Office of Planning and Budget (OPB), agency staff, and the public are able to identify effective and ineffective programs. OPB follows up on this information to determine the reasons for both problems and successes. The Governor, the General Assembly, and OPB then use this information to inform policy-makers and support the state's budget and appropriation process. RBB information is presented in two parts --Program Summaries and Program Fund Allocations. Program Summaries - The first phase was initiated in the FY 1998 Budget Report and provided information on each program by name, purpose and goals. The second phase, documented in the FY 1999 Budget Report, identified desired results expected from each program during FY 1999. The second phase also refined and identified programs more in line with the state's original expectations. The FY 2000 Budget Report started phase three by beginning the collection of multi-year data for actual results. The FY 2001 document completes phase three by including actual results for RBB programs against previously identified desired results. The FY 2002 Budget Report provides the beginning of trend data by which to assess program impact. Program Fund Allocations - The Program Fund Allocations summary provides the FY 2000 actual expenditures, FY 2001 current appropriations, and the Governor's FY 2002 budget recommendations for each program. Total and state funds are shown separately. This display provides a fuller accounting of an agency's mix of funds than previously provided in the state's budget docume n t s . CAPITAL OUTLAY SECTION The state's Capital Improvement Program was expanded to 5 years to be more consistent with the timeframe of the State Strategic Plan and most agencies strategic plans. In addition to listing each agency's capital outlay requests and the Governor's recommendations for FY 2002 Capital Outlay Projects, the Capital Improvement Program also displays Capital Outlay Projected Needs for FY 2003 through 2006, as identified by the agencies. 44 READER'S GUIDE The multi-year Capital Improvement Program recognizes that most major capital projects should have sufficient planning, analysis, and predesign work completed prior to a formal request for design and construction funds. It also requires agencies to view the budget requests as the first year of their multi-year capital plan. Both the FY 2002 capital requests and recommendations and the FY 2003-2006 projections are organized and displayed by groups of projects with a common interest, with each group being subdivided using 5 project type categories. First, projects are grouped by such general or common subject areas as institutions, authorities, commissions, centers, or by common relationships, such as Major Markets, Wildlife Resources, Local School Systems, or Regional Youth Development Centers. Second, the major groupings are subdivided into the following capital project type categories: Property Acquisition, New Construction, Renovations and Improvements, Major Repairs, and Equipment. The Governor's recommendation for amount and type of funding is provided for each requested project. APPENDIX Several items of supplemental and general background information are displayed in this section, including the state surplus for the prior 2 years, a 3-year record of budgeted positions, historical and current data about state bonds and debt, an explanation of the basis of budgeting and accounting, an overview of Georgia's budget process, a statistical overview of the state, the identification of acronyms, and a glossary of budget-related terms. 45 [This page intentionally blank] 46 Financial Summaries ESTIMATED FUND AVAILABILITY, BUDGETS AND SURPLUS SURPLUS: State Funds Surplus House Bill 1162 Veto House Bill 1162 De-Allotments Audited Agencies' Lapse - State Funds Lottery Surplus House Bill 1162 Veto Estimated Agencies' Lapse - Lottery Prior-Year Surplus: FY 1999 Appropriated in HB 1160 FY 1998 Medicaid Reserves RESERVES: Midyear Adjustment Reserve Motor Fuel Tobacco Settlement TOTAL SURPLUS, LAPSES AND RESERVES REVENUES: State Revenue Estimate FY 2000 Carry Forward Suplus for Property Tax Relief Indigent Care Trust Fund Lottery Proceeds Tobacco Settlement Funds TOTAL STATE FUNDS AVAILABLE Fiscal Year 2001 Fiscal Year 2002 241,252,307 30,000,000 885,907 67,304,653 147,304,968 20,000,000 6,438,327 166,000,000 9,388,495 137,819,375 85,250,195 55,626,311 $967,270,538 13,457,000,000 148,828,880 550,000,000 150,000,000 $15,273,099,418 14,433,000,000 166,000,000 148,828,880 550,000,000 149,000,025 $15,446,828,905 48 GEORGIA REVENUES: FY 1998 - FY 2000 AND ESTIMATED FY 2001-FY 2002 FY 1998 Reported 1. General Funds Income Tax - Corp. & Indiv. 6,114,406,865 Sales Tax - General 3,859,803,737 Motor Fuel Tax - Gals. & Sales 554,725,666 Insurance Premium Tax 223,907,993 Motor Vehicle License Tax 170,257,458 Inheritance Tax 84,808,642 Cigar and Cigarette Tax 89,330,714 Malt Beverage Tax 75,817,991 Property Tax 37,444,775 Alcoholic Beverage Tax 35,381,984 Wine Tax 18,278,223 Total Taxes $11,264,164,048 Administrative Services: Interest on Deposits 161,957,307 Other Fees and Sales 9,329,245 Revenue: Peace Officer Training Funds 18,395,768 Other Fees and Sales 33,757,627 Natural Resources: Game and Fish 20,534,563 Other Fees and Sales 20,133,068 Public Safety 38,104,076 Human Resources 24,341,050 Labor Department 20,449,274 Secretary of State 34,550,568 Georgia Net Authority 16,500,000 Corrections 14,137,171 Banking and Finance 11,593,564 Workers' Compensation 10,647,198 Agriculture 6,228,602 All Other Departments 13,359,190 Total Regulatory Fees & Sales 454,018,271 2. Net Revenues $11,718,182,319 3. Lottery Funds 566,294,882 4. Indigent Care Trust Funds 194,125,743 5. Tobacco Settlement Funds 6 Gross Revenues $12,478,602,944 7. Surplus Carried Forward 8. Reserves Requirement 9. Funds Available For Expenditures Components of Funds Available for Expenditures: State General Funds Surplus Carried Forward for Tax Relief Tobacco Settlement Funds Lottery Indigent Care Trust Fund Total Funds Budgeted FY 1999 Reported 6,513,930,191 4,297,050,927 565,702,914 230,461,624 217,607,546 111,192,262 92,153,743 80,526,316 42,438,170 35,923,211 18,886,226 $12,205,873,130 174,264,813 11,862,060 19,373,457 50,083,553 21,622,626 18,532,668 40,305,463 25,930,619 21,946,767 32,065,156 16,500,000 14,762,266 12,299,576 11,352,311 6,403,947 12,931,384 490,236,666 $12,696,109,796 662,641,825 181,164,882 $13,539,916,503 FY 2000 Reported 7,101,802,583 4,567,483,133 635,542,073 256,956,412 235,327,537 148,254,987 87,056,144 83,423,542 46,607,290 37,418,861 21,099,138 $13,220,971,700 220,747,799 9,299,556 20,217,155 81,619,196 23,518,970 20,492,080 33,277,205 25,441,081 24,512,733 21,815,510 14,648,447 16,097,646 12,980,141 11,422,706 6,906,588 17,968,979 560,965,792 $13,781,937,492 710,516,542 261,900,357 205,626,311 $14,959,980,702 FY 2001 Estimated 7,022,782,632 4,541,188,421 616,000,000 242,000,000 240,000,000 120,000,000 87,000,000 82,000,000 50,000,000 38,000,000 21,000,000 $13,059,971,053 200,000,000 11,000,000 20,000,000 63,000,000 25,000,000 22,000,000 33,000,000 25,000,000 22,000,000 25,000,000 15,000,000 17,000,000 13,000,000 12,000,000 7,000,000 15,000,000 525,000,000 $13,584,971,053 550,000,000 148,828,880 150,000,000 $14,433,799,933 166,000,000 (127,971,053) $14,471,828,880 13,457,000,000 166,000,000 150,000,000 550,000,000 148,828,880 $14,471,828,880 FY 2002 Estimated 7,625,179,679 4,919,453,119 610,000,000 252,000,000 245,000,000 128,000,000 88,000,000 84,000,000 54,000,000 39,000,000 22,000,000 $14,066,632,798 210,000,000 11,000,000 21,000,000 70,000,000 26,000,000 21,000,000 37,000,000 26,000,000 24,000,000 27,000,000 16,000,000 18,000,000 13,000,000 12,000,000 7,000,000 15,000,000 554,000,000 $14,620,632,798 550,000,000 148,828,880 149,000,025 $15,468,461,703 166,000,000 (187,632,798) $15,446,828,905 14,433,000,000 166,000,000 149,000,025 550,000,000 148,828,880 $15,446,828,905 49 EXPENDITURES AND APPROPRIATIONS STATE FUNDS Departments/Agencies FY 1999 Actual General Assembly Audits and Accounts, Department of 24,153,344 23,725,151 Judicial Branch 107,864,684 Administrative Services, Department of 53,580,348 Georgia Building Authority - Unit B Agriculture, Department of 48,305,329 Agrirama Development Authority, Georgia Banking and Finance, Department of 9,710,442 Community Affairs, Department of 35,846,076 Community Health, Department of - Unit A 1,218,409,731 Indigent Care Trust Fund - Unit B 179,562,182 PeachCare for Kids - Unit C 1,059,090 Corrections, Department of 776,032,405 Defense, Department of 5,576,155 Education, State Board of - Unit A 4,827,691,716 Lottery for Education - Unit B 105,816,919 School Readiness, Office of - Unit C 216,452,413 Employees' Retirement System 673,425 Forestry Commission, State 37,126,991 Georgia Bureau of Investigation 56,319,059 Georgia State Financing and Investment Commission Governor, Office of the 30,196,173 Human Resources, Department of 1,213,602,235 Industry, Trade and Tourism, Department of 25,149,533 Insurance, Office of Commissioner of 15,572,668 Juvenile Justice, Department of 209,954,255 Labor, Department of 21,251,054 Law, Department of 13,854,930 Merit System of Personnel Administration 32,500,000 Natural Resources, Department of - Unit A 105,446,756 Ga. Agricultural Exposition Authority Pardons and Paroles, State Board of 46,777,679 Public Safety, Department of - Unit A 105,093,166 Units Attached for Administrative Purposes - Unit B 14,556,364 Public School Employees' Retirement System 17,642,000 Public Service Commission 9,945,593 Regents, Board of - Unit A 1,411,129,953 Regents Central Office - Unit B 191,914,710 Ga. Public Telecommunications Commission - Unit C Lottery for Education - Unit D 26,885,000 Revenue, Department of 111,649,508 Secretary of State, Office of 31,063,925 Real Estate Commission - Unit B 2,224,416 [Continued on next page] FY 2000 Actual 27,052,588 27,220,352 118,038,289 44,651,743 10,151,615 86,307,049 1,392,226,007 261,264,459 14,796,156 855,315,539 6,861,252 5,111,284,113 42,804,684 226,169,231 35,752,878 61,417,147 47,921,794 2,508,244,010 29,266,025 15,138,564 244,981,361 21,854,272 15,468,081 115,725,338 48,073,646 107,315,938 14,630,089 18,602,000 9,218,066 1,450,049,225 185,482,556 92,790,980 180,838,678 29,133,937 2,214,673 FY 2001 Budgeted 33,849,106 27,645,099 119,947,645 46,230,008 45,973,138 11,171,827 66,242,342 1,338,168,797 148,828,880 19,929,611 893,313,467 6,904,850 5,497,723,325 45,274,375 233,915,184 2,992,000 37,428,116 61,790,274 44,695,019 1,322,904,619 92,559,632 15,444,531 271,907,321 23,481,779 15,398,545 142,976,287 49,808,029 112,978,775 15,485,362 17,642,000 9,231,013 1,434,370,525 247,172,285 31,947,000 267,940,827 31,622,959 2,336,433 FY 2002 Department's Governor's Requests Recommendations 35,205,028 31,741,358 35,205,028 31,741,358 152,737,244 152,737,244 73,140,110 45,500,775 51,193,414 46,903,671 11,559,904 63,639,823 1,455,118,409 148,828,880 32,607,617 936,801,088 11,864,047 5,706,966,038 38,310,000 251,317,174 11,252,170 28,806,163 1,333,820,624 148,828,880 34,055,598 928,744,545 8,481,209 5,733,141,679 38,223,350 239,145,878 39,091,341 63,575,123 5,399,485 51,195,630 1,370,655,098 93,664,126 16,073,934 286,512,668 65,310,315 15,969,495 37,372,198 64,597,277 47,092,594 1,415,636,684 68,394,832 15,801,329 275,436,203 54,544,494 15,751,643 145,949,402 148,782,658 52,289,665 124,983,855 15,805,752 13,499,104 10,994,834 1,523,875,215 250,190,083 51,545,454 119,144,050 15,345,116 13,499,104 9,901,474 1,462,215,806 224,036,357 26,966,000 271,523,118 33,472,892 2,347,683 8,966,000 360,123,366 31,362,033 2,347,683 50 EXPENDITURES AND APPROPRIATIONS STATE FUNDS [Continued] Departments/Agencies FY 1999 Actual FY 2000 Actual FY 2001 Budgeted FY 2002 Department's Governor's Requests Recommendations Soil and Water Conservation Commission, State Student Finance Commission, Georgia - Unit A Lottery for Education - Unit B Teachers' Retirement System Technical and Adult Education, Department of - Unit A Lottery for Education - Unit B Transportation, Department of Veterans Service, Department of Workers' Compensation, State Board of General Obligation Debt Sinking Fund Salary Adjustments 2,160,747 33,400,288 193,532,489 3,320,574 271,137,245 13,487,213 670,221,713 19,222,324 11,244,546 562,616,689 2,249,982 33,818,717 220,108,378 3,154,373 263,408,619 19,638,183 617,455,968 18,720,963 11,462,015 624,360,495 2,367,699 35,041,906 225,882,697 3,270,000 251,594,994 12,500,000 591,784,309 20,249,916 11,949,645 526,706,729 2,479,499 36,234,050 284,591,793 3,090,000 272,477,628 13,843,752 1,262,262,841 25,056,981 12,262,822 580,920,721 2,416,248 39,623,327 264,942,647 3,090,000 266,904,357 643,497,438 23,206,790 12,156,708 580,920,721 351,586,142 TOTAL STATE FUNDS $13,144,659,206 $15,272,640,028 $14,468,578,880 $15,973,595,039 $15,446,828,905 51 EXPENDITURES AND APPROPRIATIONS TOTAL FUNDS Departments/Agencies General Assembly Audits and Accounts, Department of Judicial Branch Administrative Services, Department of - Unit A Georgia Building Authority - Unit B Agriculture, Department of - Unit A Agrirama Development Authority, Georgia Banking and Finance, Department of Community Affairs, Department of Community Health, Department of - Unit A Indigent Care Trust Fund - Unit B PeachCare for Kids - Unit C Corrections, Department of Defense, Department of Education, State Board of - Unit A Lottery for Education - Unit B School Readiness, Office of - Unit C Employees' Retirement System Forestry Commission, State Georgia Bureau of Investigation Georgia State Financing and Investment Commission Governor, Office of the Human Resources, Department of Industry, Trade and Tourism, Department of Insurance, Office of Commissioner of Juvenile Justice, Department of Labor, Department of Law, Department of Merit System of Personnel Administration Natural Resources, Department of - Unit A Ga. Agricultural Exposition Authority Pardons and Paroles, State Board of Public Safety, Department of - Unit A Units Attached for Administrative Purposes - Unit B Public School Employees' Retirement System Public Service Commission Regents, Board of - Unit A Regents Central Office - Unit B Ga. Public Telecommunications Commission - Unit C Lottery for Education - Unit D Revenue, Department of Secretary of State, Office of Real Estate Commission - Unit B [Continued on next page] FY 2001 Appropriations 33,849,106 27,645,099 119,947,645 284,940,232 37,051,312 53,819,997 1,716,718 11,171,827 169,456,368 4,878,795,008 368,267,504 71,398,026 916,078,271 31,703,336 6,285,879,143 45,274,375 368,188,939 10,899,242 42,793,746 61,790,274 14,126,769 55,351,178 2,512,634,178 92,559,632 17,229,017 278,250,902 163,885,129 36,591,536 13,330,752 177,311,998 6,215,409 49,808,029 114,628,775 19,689,660 17,642,000 12,071,488 3,104,084,201 626,812,188 36,668,463 31,947,000 273,319,282 32,667,959 2,336,433 F Y 2002 R e c o m m e n d a t i o n s State Funds Federal Funds Other Funds 35,205,028 31,741,358 152,737,244 45,500,775 46,903,671 11,252,170 28,806,163 1,333,820,624 148,828,880 34,055,598 928,744,545 8,481,209 5,733,141,679 38,223,350 239,145,878 37,372,198 64,597,277 47,092,594 1,415,636,684 68,394,832 15,801,329 275,436,203 54,544,494 15,751,643 148,782,658 51,545,454 119,144,050 15,345,116 13,499,104 9,901,474 1,462,215,806 224,036,357 8,966,000 360,123,366 31,362,033 2,347,683 6,630,055 107,405,258 2,450,959,502 219,438,624 84,612,732 7,625,794 24,427,950 779,539,324 134,303,988 822,000 35,805,994 829,183,915 1,682,020 257,231,965 10,040,193 37,000 2,930,298 2,770,306 238,509,377 42,461,560 1,194,332 1,730,327 8,623,592 1,662,745,984 14,707,010 403,215 8,504,564 6,929,705 4,699,106 6,707,366 2,728,375 461,657,262 102,466 15,675,429 38,995,034 21,306,426 13,256,759 22,963,587 6,822,283 1,650,000 1,274,000 1,608,956,879 379,784,560 36,789,832 5,378,455 1,045,000 Total Funds 35,205,028 31,741,358 152,737,244 284,010,152 42,461,560 54,728,058 1,730,327 11,252,170 144,835,013 5,447,526,110 368,267,504 118,668,330 951,077,349 33,312,374 6,521,185,567 38,223,350 373,449,866 6,929,705 42,893,304 64,597,277 6,707,366 85,626,963 2,706,477,861 68,394,832 17,585,815 291,111,632 350,771,493 37,058,069 13,256,759 181,786,438 6,822,283 51,545,454 120,831,050 19,549,414 13,499,104 12,671,780 3,071,172,685 603,820,917 36,789,832 8,966,000 365,501,821 32,407,033 2,347,683 52 EXPENDITURES AND APPROPRIATIONS TOTAL FUNDS [Continued] Departments/Agencies Soil and Water Conservation Commission, State Student Finance Commission, Georgia - Unit A Lottery for Education - Unit B Teachers' Retirement System Technical and Adult Education, Department of - Unit A Lottery for Education - Unit B Transportation, Department of Veterans Service, Department of Workers' Compensation, State Board of General Obligation Debt Sinking Fund Salary Adjustments TOTAL APPROPRIATIONS FY 2001 Appropriations 3,287,992 35,041,906 225,882,697 14,829,726 327,342,111 12,500,000 1,478,944,897 29,952,240 12,209,645 526,706,729 $24,176,526,089 F Y 2002 R e c o m m e n d a t i o n s State Funds Federal Funds Other Funds 2,416,248 39,623,327 264,942,647 3,090,000 266,904,357 476,405 19,814,459 164,000 11,682,626 55,932,658 643,497,438 23,206,790 12,156,708 580,920,721 351,586,142 865,146,640 9,859,717 22,458,553 260,000 $15,446,828,905 $5,850,744,139 $4,706,100,322 Total Funds 3,056,653 39,623,327 264,942,647 14,772,626 342,651,474 1,531,102,631 33,066,507 12,416,708 580,920,721 351,586,142 $26,003,673,366 53 SOURCES OF STATE REVENUE BY PERCENTAGES Reported and Estimated FY 1999 through FY 2002 Percent of Total Revenue 100% 90% 80% 1.3% 3.6% 4.9% 6.1% 4.2% 1.4% 1.8% 3.7% 4.7% 6.1% 4.2% 1.0% 1.0% 3.6% 3.8% 6.1% 4.3% 1.0% 1.0% 3.6% 3.6% 5.9% 3.9% 70% 60% 50% 48.1% 47.5% 48.7% 49.3% 40% 30% 20% 10% 31.7% 30.5% 31.5% 31.8% 0% FY 1999 Reported FY 2000 Reported FY 2001 Est. FY 2002 Est. Tobacco Settlement Indigent Care Fees & Sales Lottery All Other Taxes Motor Fuel Tax Income Tax Sales Tax 54 SOURCES OF STATE REVENUE BY AMOUNT Reported and Estimated FY 1999 through FY 2002 16,000 15,000 14,000 13,000 12,000 11,000 10,000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 181 490 663 829 566 6,514 4,297 FY 1999 Reported 149 149 206 554 262 150 561 149 550 525 711 912 550 916 880 610 636 616 7,102 7,023 7,625 4,567 4,541 4,919 FY 2000 Reported FY 2001 Est. FY 2002 Est. Tobacco Settlement Indigent Care Fees & Sales Lottery All Other Taxes Motor Fuel Tax Income Tax Sales Tax Revenue [$M] 55 HOW STATE DOLLARS ARE SPENT FY 2001 Operating Budget and FY 2002 Governor's Recommendations Education ~, 3,329.3 Human Services 3,145.5 8,562.6 8,036.3 ~ Public Safety 1,299.2 1,222.0 Transportation 643.6 591.8 1B Debt Service 580.9 526.7 f ' General Government 472.6 377.3 ,fjI Legislative / Judicial 220.2 181.4 192.7 Natural Resources 182.8 A_ Economic ;~.:: 145.7 Development 204.8 ~ FY 2002 Governor's Recommendations FY 2001 Operating Budget 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 Budget Amount [$ Millions] 56 STATEMENT OF FINANCIAL CONDITION STATE OF GEORGIA ASSETS: Cash and Cash Equivalents Investments Accounts Receivable State Appropriation Amount Available in Debt Service Fund Amount to be Provided for Retirement of General Long-term Debt Total Assets LIABILITIES AND FUND EQUITY: Liabilities: Undrawn Appropriation Allotments Undistributed Sales Tax Unclaimed Bonds and Interest Cash Overdraft Funds Held for Others General Obligation Bonds Payable Total Liabilities Fund Equity: Fund Balances Reserved Appropriation to Department of Transportation Midyear Adjustment Reserve Revenue Shortfall Reserve Discretionary Revenue Shortfall Reserve Debt Service Lottery for Education Restricted Unrestricted Old State Debt Tobacco Settlement Funds Guaranteed Revenue Debt Common Reserve Fund Total Fund Equity Unreserved Designated - Homeowner Tax Relief Grants Undesignated Total Fund Equity June 30, 1999 June 30, 2000 2,015,277,088.56 6,533,499,984.63 212,103,697.19 212,076,717.19 4,567,653,282.81 $13,540,610,770 3,422,803,118.52 5,523,912,207.86 118,040,965.19 118,013,985.19 5,021,556,014.81 $14,204,326,291.57 1,933,870,124.78 56,741,145.19 178,400.00 194,155,617.19 4,776,488,016.19 4,779,730,000.00 $11,741,163,303.35 1,755,038,597.36 72,616,427.38 518,972.50 100,189,060.19 4,627,673,420.34 5,139,570,000.00 $11,695,606,477.77 5,870,997.61 126,961,097.96 380,883,293.88 212,076,717.19 133,225,786.00 136,672,034.40 26,980.00 17,921,100.00 $1,013,638,007.04 83,000,000.00 702,809,459.99 $1,799,447,467.03 85,250,194.75 137,819,374.92 413,458,124.77 137,819,374.92 118,013,985.19 153,437,361.22 167,304,967.75 26,980.00 205,626,310.87 17,824,925.00 $1,436,581,599.39 166,000,000.00 906,138,214.41 $2,508,719,813.80 TOTAL LIABILITIES AND FUND EQUITY $13,540,610,770.38 $14,204,326,291.57 57 CHANGES IN FUND BALANCES STATE OF GEORGIA FUND BALANCES - JULY 1 Reserved Unreserved Designated Undesignated ADDITIONS Excess of Funds Available over Expenditures Actual Fiscal Year 2000 Estimated Fiscal Year 2001 Projected Fiscal Year 2002 1,013,638,007 83,000,000 702,809,460 $1,799,447,467 1,436,581,600 166,000,000 906,138,214 $2,508,719,814 962,153,251 166,000,000 $1,128,153,251 1,723,903,550 $1,723,903,550 56,015,037 $56,015,037 857,950,751 $857,950,751 DEDUCTIONS Unreserved Fund Balances (Surplus) Returned to Office of Treasury and Fiscal Services (General Fund) Year Ended June 30, 2000 Reserved Fund Balances Carried Over from Prior Year as Funds Available 993,196 1,013,638,007 $1,014,631,203 1,436,581,600 $1,436,581,600 962,153,251 $962,153,251 FUND BALANCES - JUNE 30 $2,508,719,814 $1,128,153,251 $1,023,950,751 Note: This schedule assumes that actual revenues equal budgeted revenues in FY 2001 and FY 2002; that agencies have no unexpended state funds appropriations at the end of FY 2001; that 1% is available for the mid-year adjustment reserve at the end of FY 2001 and FY 2002; and that the revenue shortfall reserve and discretionary revenue shortfall reserve remain full at the end of FY 2001 and FY 2002. 58 REVENUE SHORTFALL RESERVE The 1976 Session of the General Assembly created the Revenue Shortfall Reserve in lieu of the Working Reserve. This reserve acts as a savings account or "rainy day" fund for the state should revenue collections decline unexpectedly or uncontrollably. The reserve is created and maintained by allocating any surplus revenue collections of the state to this account up to 3% of net revenue collections, excluding lottery funds and the Indigent Care Trust Fund. The 2000 Session of the General Assembly authorized an additional 1% to the Revenue Shortfall Reserve to be made at the Governor's discretion. The Governor authorized an additional $137,819,375 at the end of FY 2000. Additional surplus above the reserve is available for appropriation. The status of the reserve, as of the end of the fiscal year, for the last 15 years is as follows: FY 2000 FY 1999 FY 1998 FY 1997 FY 1996 FY 1995 FY 1994 FY 1993 FY 1992 FY 1991 FY 1990 FY 1989 FY 1988 FY 1987 FY 1986 $551,277,500 380,883,294 351,545,470 333,941,806 313,385,534 288,769,754 249,484,896 Partially filled 85,537,891 Partially filled -0-0-0- 194,030,593 176,727,306 162,639,563 150,621,753 Amount [Millions] Revenue Shortfall Reserve Amounts $600 $500 $400 $300 $200 $100 $0 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 Fiscal Year Revenue Shortfall Reserve funded Unfunded portion of 3% of net revenue 59 LOTTERY RESERVES Georgia's lottery laws require the establishment of two reserves that are funded as a percentage of lottery collections to avoid disruption in programs should collections fall short of annual appropriations. The Shortfall Reserve Subaccount was included in the original law and required that an amount be set aside each year equal to 10% of the total lottery proceeds deposited into the Lottery for Education Account for the preceding year. If net funds in the account are not sufficient to meet appropriations, funds shall be drawn from the reserve to make up the shortage. Funds have been set aside for the reserve each year and totaled $64,670,500 on June 30, 2000. The lottery law was amended during the 1994 legislative session to require that a Scholarship Shortfall Reserve Subaccount also be maintained within the Lottery for Education Account. The scholarship reserve law requires that the subaccount be fully established over five years at a rate of 10 percent a year until the reserve equals 50% of the amount of scholarship proceeds disbursed during the preceding year. Lottery surplus available at the end of FY 1995 was sufficient to meet immediate needs in the amended FY 1996 budget and left enough funds to fully fund the scholarship reserve in its first year. The State Auditor, at the request of the Governor, fully funded the Scholarship Shortfall Reserve Subaccount from the 1995 surplus. The subaccount balance on June 30, 2000 totaled $88,766,861, as compared to the statutory requirement of $65,706,349. The two lottery reserves as of June 30, 2000 total as follows: Shortfall Reserve Subaccount $ 64,670,500 Scholarship Shortfall Reserve Subaccount 88,766,861 TOTAL LOTTERY RESERVES $ 153,437,361 Lottery Reserves $100 Amount [Millions] $75 $50 $25 $0 1996 1997 Shortfall Reserve Subaccount 1998 1999 Fiscal Year 2000 Scholarship Shortfall Reserve Subaccount 60 RECOMMENDED DISTRIBUTION OF LOTTERY PROCEEDS BY PROGRAMS State law (50-27-1 et seq. O.C.G.A.) provides that the proceeds from the lottery be appropriated for programs in four areas: voluntary pre-kindergarten for four-year-olds; scholarships and student loans; capital improvements for education; and costs of providing technology training to teachers and repairing and maintaining instructional technology. Available lottery funds are now projected to be $550,000,000 for FY 2002. The Governor recommends $550,000,000 for the following programs. VOLUNTARY PRE-KINDERGARTEN FOR FOUR-YEAROLDS This program is designed to give Georgia's four-year-olds developmentally appropriate programs to enable them to begin kindergarten ready to learn. The Governor recommends funding of $237,868,003 in FY 2002 to serve 63,500 four-yearolds. This funding is based on public school programs serving 27,940 four-year-olds and all other private providers serving 35,560 four-year-olds. Public schools will receive $3,500.58 in base earnings per student. The reimbursement rates for private providers are based on region due to varying costs of providing services. Weekly rates for FY 2002 for the 36-week program represent a 2.5% increase over the FY 2001 rates and are as follows: The total funding includes $20,247,000 for at-risk services With a State-Certified Teacher: Zone 1*$96.52 Zone 2*$87.84 With a Non-Certified Teacher: Zone 1*$86.05 Zone 2*$77.37 * These zones are based on the 1994 survey of local market rates for childcare sponsored by the Georgia Department of Human Resources, Division of Family and Children's Services in accordance with federal regulations. The zones are as follows: Zone 1 - Metro Atlanta and Zone 2 - All Other. including resource coordination services and transportation for at-risk four-year-olds and their families. Governor Barnes recommends $4,839,913 to provide for a 4.5% salary increase for certified Pre-K teachers and a 2.5% increase for noncertified teachers. The Governor also recommends $675,000 to continue funding for Head Start projects. HELPING OUTSTANDING PUPILS EDUCATIONALLY (HOPE) AND OTHER SCHOLARSHIP PROGRAMS These programs are designed to increase higher education participation and comp letion rates for Georgia students. The Governor's recommendation for the HOPE program for FY 2002 consists of the following components. Governor Barnes recommends additional funding to reflect an increase in the number of students graduating from a Georgia high school with a "B" average in core curriculum high school courses. The Governor also recommends that rising seniors at private colleges who attain a cumulative "B" average at the end of their junior year receive HOPE for their senior year. HOPE scholarship awards for eligible students attending public institutions will be equal to the cost of tuition and eligible fees plus an allowance for textbooks. HOPE scholarship awards for freshmen, sophomores and juniors enrolled at eligible private colleges in Georgia, who meet the academic requirements described above, will equal the cost of tuition and mandatory fees up to $3,000. HOPE scholarships will be awarded in addition to existing Tuition Equalization Grants (TEG). All students working toward a diploma or certificate at public technical institutes and colleges in the state will receive a grant equal to the cost of tuition and eligible fees, plus an allowance for textbooks. Students who are working towards a degree at a technical college must meet the same requirements for HOPE as a student enrolled in a public or private college. Each grant will be equal to the cost of tuition and eligible fees, plus an allowance for textbooks. HOPE grants will be paid to the technical institutes. For any Georgia resident who earns a GED, the HOPE program provides a certificate worth $500 which may be spent for education-related purposes such as tuition, books, supplies or expenses related to the furtherance of the resident's postsecondary education. The HOPE program is administered by the Georgia Student Finance Commission. All non-administrative costs are distributed to the University System, technical institutes and eligible private colleges. The cost for this program in FY 2002 is projected to be $257,055,053. The Georgia Military Scholarship Program provides up to 66 military scholarships for Georgia Military College students. Eligible students receive a low interest loan, which will be forgiven if the individual participates in the reserve or in active duty in the United States armed forces. Total cost for FY 2002 is $663,960. The Law Enforcement Personnel Dependents Scholarship provides a full scholarship to the dependent children of public safety officers killed or permanently disabled in the line of 61 RECOMMENDED DISTRIBUTION OF LOTTERY PROCEEDS BY PROGRAMS duty. The cost of this program in FY 2002 is $238,968. The HOPE Teacher Scholarship Program provides forgivable loans to teachers who desire to obtain advanced degrees in teaching areas in which the supply of prospective teachers is in critical shortage, or who desire to enhance their critical teaching skills. Recipients who teach four years in Georgia public schools after receiving the loan will have their loans forgiven. Others will have one-fourth of the loan forgiven for each year they teach in Georgia public schools. The cost of this program in FY 2002 is projected to be $3,500,000. The Promise Scholarship program provides forgivable loans of $3,000 per year to eligible, high achieving students who aspire to be teachers in Georgia public schools. Students, both resident and non-resident, who have completed their first two years of coursework in public or private colleges with a minimum cumulative grade point average of 3.2 will be eligible to receive the loans. For each year a Promise scholar teaches in the public schools after graduation, one-fourth of the loan will be considered repaid, so that after four years of teaching the loan will be repaid in full. Loan funds may be used at the student's discretion for tuition, dormitory fees, childcare, transportation or other expenses related to education. State funds recommended for this program total $1,792,000 for FY 2002. The Promise II Scholarship provides forgivable loans to teacher aides or paraprofessionals displaced when class sizes were lowered. This year 793 paraprofessionals are taking advantage of this program. The FY 2002 cost of this program is projected to be $932,666. The Engineering Scholarships are provided as service cancelable loans to Georgia residents, who are engineering students at private accredited engineering universities in Georgia, and to retain them as engineers in the state. The Governor is recommending an increase in the annual loan from $3,000 to $3,500. Recipients must work in an engineeringrelated field one year for each $3,500 received. The cost of this program in FY 2002 is $760,000. The total cost of all scholarship, loan and grant programs recommended by the Governor is $264,942,647. CAPITAL AND TECHNOLOGY EXPENDITURES FOR EDUCATION For FY 2002, the Governor recommends a total of $38,223,350 for the State Board of Education, $35,663,350, or $25 per FTE, for local school technology, teacher training, and equipment, $60,000 for computer equipment for the three state schools, and $2,500,000 to purchase Assistive Technology for special needs students. The Governor recommends $8,966,000 for the University System of Georgia, $7,466,000 to continue funding for the Chancellor's Initiatives, and $1,500,000 to continue the Internet Connection initiative. 62 GOVERNOR'S RECOMMENDED LOTTERY EXPENDITURES By Agency and Program, FY 2002 $8,966,000 Regents, University System of Georgia 2% $264,942,647 Georgia Student Finance Commission 48% $276,091,353 State Board of Education 50% $47,189,350 Capital and Technology Expenditures 9% $237,868,003 Pre-Kindergarten 43% $264,942,647 Scholarships 48% 63 RECOMMENDED SALARY ADJUSTMENTS Description 1. Provide for general salary adjustments of 3.5% for employees of the Judicial, Legislative and Executive branches. The proposed salary adjustment for Executive branch employees will be in conformance with the compensation and performance management plans promulgated by the State Personnel Board or as otherwise provided by law. Provide also for a cost-of-living adjustment of 3.5% for each state official whose salary is set by Code Sections 45-7-3, 45-7-4, 45-7-20 and 45-7-21. This includes a cost-of-living adjustment of 3.5% for members of the General Assembly. The amounts for all these adjustments are calculated according to an effective date of October 1, 2001. 2. Provide a 4.5% increase to the state base salary on the teacher salary schedule for the State Board of Education effective September 1, 2001. This proposed 4.5% salary improvement is in addition to the salary increases awarded to certificated personnel through normal progression on the teacher salary schedule. Provide for a 3.5% increase for bus drivers and lunchroom workers effective July 1, 2001. 3. Provide a 4.5% funding level for increases for Regents faculty effective fall semester 2001, and Regents non-academic personnel effective October 1, 2001. Provide a 4.5% salary increase for public librarians effective September 1, 2001. These adjustments are in lieu of all other paragraphs. 4. Provide a 4.5% salary increase for teachers with the Department of Technical and Adult Education effective September 1, 2001, and a 3.5% salary increase for support personnel, effective October 1, 2001. These adjustments are in lieu of all other paragraphs with the exception of paragraph #14. 5. Adjust the annual salaries for Executive Branch employees earning below the Statewide Salary Plan target hire to the target hire rate for their respective job classes, effective October 1, 2001. This adjustment is in addition to any adjustment received under provision #1 above. 6. Provide for a structural adjustment of minimumand maximumrates on the Statewide Salary Plan by 4% and adjust the annual salaries of Executive Branch employees earning below the adjusted structure target hire rate to the new target hire rate for their respective job classes, effective October 1, 2001. This adjustment is in addition to any salary adjustment received under provision #1 and any adjustment to the target hire rate received in #5 above. [Continued on next page] FY 2002 Governor's Recommendations 62,541,997 194,516,678 64,645,637 7,940,718 4,661,678 779,861 64 RECOMMENDED SALARY ADJUSTMENTS [Continued] Description FY 2002 Governor's Recommendations 7. Provide for a 2% one-time lump sum payment, to be delivered the first pay period following October 1, 2001, for Executive Branch employees who "exceed expectations" under compensation and performance management plans promulgated by the State Personnel Board or as otherwise provided by law. 8. Provide salary increases, effective October 1, 2001 for the Department of Human Resources social service case managers and supervisors employed by the Division of Children and Family Services as follows: increase entry level salaries; provide a 5% supplemental in-range salary adjustment; provide a 5% salary adjustment for all case managers who perform child protection investigations and placement activities; and provide an additional 10% salary adjustment for social service case managers with a Masters Degree in Social Work. These adjustments are in addition to any salary adjustment received under provision #1 above. 9. Provide supplemental salary adjustments, effective October 1, 2001, to assign Department of Public Safety sworn personnel job classes to the indicated pay grade as follow: Police Corporal (grade 11), Process Server 2 (grade 11), Trooper Cadet (grade 11), Trooper (grade 14), Trooper First Class (grade 15), Corporal (grade 16), Sergeant (grade 17), Sergeant First Class (grade 18), First Lieutenant (grade 19), Captain (grade 20) and Major (grade 23). These adjustments will, at a minimum, raise the salaries of the affected employees to the target hire rates of the new pay grade or by 4%, whichever is greater, and are in addition to any salary adjustments received under provision #1 above and any adjustment to the target hire rate received in #6 above. 10. Provide supplemental salary adjustments, effective October 1, 2001, for Georgia Bureau of Investigation sworn personnel job classes of Narcotic Agent, Special Agent, Senior Special Agent, Principal Agent, Assistant Special Agent in Charge and Inspector. Included is funding to raise these sworn personnel job classes by one pay grade. These adjustments will, at a minimum, raise the salaries of the affected employees to the target hire rates of the new pay grade or by 4%, whichever is greater, and are in addition to any salary adjustments received under provision #1 above and any adjustment to the target hire rate received in #6 above. [Continued on next page] 6,483,710 7,063,134 1,465,639 670,106 65 RECOMMENDED SALARY ADJUSTMENTS [Continued] Description 11. Provide a 3% supplemental salary adjustment, effective October 1, 2001, for selected attorneys employed by the Department of Law. These adjustments are in addition to any salary adjustment received under provision #1 above. 12. Provide funds for supplemental in-range salary adjustments, effective October 1, 2001, for State Forestry Commission employees in ranger job classes, based on certification standards of the Commission. These adjustments are in addition to any salary adjustments received under provision #1 above and any adjustment to the target hire rate received in #6 above. 13. Provide a 4% funding level for supplemental salary adjustments for selected Public Service Commission employees in the Chief Public Utilities Engineer, Pipeline Safety Inspector 1, Pipeline Safety Inspector 2, Pipeline Safety Inspector 3, Utilities Analyst 1, Utilities Analyst 2, and Utilities Director job classes, effective October 1, 2001. These adjustments are in addition to any salary adjustment received under provision #1 above and any adjustment to the target hire rate received in #6 above. 14. Provide a supplemental salary adjustment for employees successfully completing the primary accounting series of courses offered through the State Financial Management Certificate Program. These adjustments are in addition to any salary adjustments received under provision #1 above and any adjustment to the target hire rate received in #6 above. FY 2002 Governor's Recommendations 130,012 127,242 59,730 500,000 TOTAL $351,586,142 66 RECOMMENDED SALARY ADJUSTMENTS Agency Allocation Executive, Legislative and Judicial Branches I. Executive Branch Administrative Services, Department of Georgia Building Authority Agriculture, Department of Agrirama Development Authority, Georgia Banking and Finance, Department of Community Affairs, Department of Georgia Sports Hall of Fame Authority Community Health, Department of Corrections, Department of Defense, Department of Education, Department of School Readiness, Office of Forestry Commission, State Georgia Bureau of Investigation Governor, Office of Human Resources, Department of Industry, Trade and Tourism, Department of Commissioner of Insurance, Office of Juvenile Justice, Department of Labor, Department of Law, Department of Natural Resources, Department of Agricultural Exposition Authority, Georgia Pardons and Paroles, Board of Public Safety, Department of Public Service Commission Public Telecommunications Commission, Georgia Regents, University System of Georgia Revenue, Department of Secretary of State Soil and Water Conservation Commission, State Student Finance Commission, Georgia Technical and Adult Education, Department of Transportation, Department of Veterans Services, Department of Workers' Compensation, State Board TOTAL - (To be transferred to the appropriate budget units) [Continued on next page] 67 FY 2002 Governor's Recommendations 534,070 539,022 862,449 20,470 276,289 253,441 20,104 446,218 18,776,393 185,948 195,690,073 36,448 1,292,294 2,015,441 630,265 36,982,884 390,920 430,028 5,226,777 752,087 533,178 2,766,387 26,411 1,189,088 4,389,621 259,615 258,324 64,645,637 1,812,523 575,533 43,212 16,088 8,152,088 63,731 195,078 279,621 $350,567,756 RECOMMENDED SALARY ADJUSTMENTS Agency Allocation [Continued] II. Judicial and Legislative Branches Judicial Branch Legislative Branch: Department of Audits Legislative Staff General Assembly Members See Agency Request See Agency Request 381,898 136,488 TOTAL - (To be transferred to the appropriate budget units) III. Primary Accounting Series Graduates $518,386 500,000 TOTAL $351,586,142 68 Department Summaries GEORGIA ELECTORATE SUPREME COURT COURT OF APPEALS COMMISSIONER OF LABOR DEPARTMENT OF LABOR _____________________ | | | | | SUPERIOR DISTRICT | | COURTS ATTORNEYS | | | | 45 SUPERIOR COURT CIRCUITS | _____________________ STATE SUPERINTENDENT OF SCHOOLS STATE BOARD OF EDUCATION DEPARTMENT OF EDUCATION OFFICE OF SCHOOL READINESS GOVERNOR COMMISSIONER OF INSURANCE DEPARTMENT OF INSURANCE COMMISSIONER OF AGRICULTURE DEPARTMENT OF AGRICULTURE GEORGIA SEED TECHNOLOGY AND DEVELOPMENT COMMISSION GEORGIA AGRIRAMA DEVELOP- MENT AUTHORITY GEORGIA DEVELOPMENT AUTHORITY CHILDREN AND YOUTH COORDINATING COUNCIL COMMISSION ON EQUAL OPPORTUNITY CRIMINAL JUSTICE COORDINATING COUNCIL GEORGIA EMERGENCY MANAGEMENT AGENCY HUMAN RELATIONS COMMISSION OFFICE OF THE CHILD ADVOCATE OFFICE OF CONSUMER AFFAIRS OFFICE OF EDUCATION ACCOUNTABILITY PROFESSIONAL STANDARDS COMMISSION | _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ _ | | | | OFFICE OF OFFICE GOVERNOR'S | | PLANNING OF THE OFFICE | | AND BUDGET GOVERNOR | |_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ | AGRICULTURE COMMODITY COMMISSIONS -----------------------PEACHES-SWEET POTATOESTOBACCO-APPLES-COTTONSOYBEANS-MILK-EGGSCANOLA-PECAN-CORN DEPARTMENT OF ADMINISTRATIVE SERVICES DEPARTMENT OF BANKING AND FINANCE BOARD OF COMMUNITY AFFAIRS DEPARTMENT OF COMMUNITY AFFAIRS BOARD OF CORRECTIONS DEPARTMENT OF CORRECTIONS GEORGIA BUILDING AUTHORITY STATE PROPERTIES COMMISSION HEALTH PLANNING REVIEW BOARD OFFICE OF STATE ADMINISTRATIVE HEARINGS OFFICE OF TREASURY AND FISCAL SERVICES GEORGIA GOLF HALL OF FAME GEORGIA TECHNOLOGY AUTHORITY GEORGIA ENVIRONMENTAL FACILITIES AUTHORITY GEORGIA MUSIC HALL OF FAME AUTHORITY GEORGIA SPORTS HALL OF FAME AUTHORITY GEORGIA HOUSING AND FINANCE AUTHORITY HOUSING TRUST FUND FOR THE HOMELESS COMMISSION GEORGIA REGIONAL TRANSPORTATION AUTHORITY DEPARTMENT STATE OF REVENUE PERSONNEL BOARD BOARD OF NATURAL RESOURCES BOARD OF PUBLIC SAFETY STATE MERIT SYSTEM OF PERSONNEL ADMIN. DEPARTMENT OF NATURAL RESOURCES DEPARTMENT OF PUBLIC SAFETY GEORGIA BUREAU OF INVESTIGATION BOARD OF PARDONS AND PAROLES DEPARTMENT OF DEFENSE BOARD OF REGENTS UNIVERSITY SYSTEM OF GEORGIA BOARD OF COMMUNITY HEALTH DEPARTMENT OF COMMUNITY HEALTH LAKE LANIER ISLANDS DEV. AUTHORITY STONE MOUNTAIN MEMORIAL ASSOCIATION JEKYLL ISLAND STATE PARK AUTHORITY AGRICULTURAL EXPOSITION AUTHORITY GEORGIA STATE GAMES COMMISSION CIVIL WAR COMMISSION GEORGIA POLICE ACADEMY OFFICE OF HIGHWAY SAFETY GEORGIA FIRE ACADEMY GEORGIA PEACE OFFICER STANDARDS AND TRAINING COUNCIL GEORGIA FIREFIGHTER STANDARDS AND TRAINING COUNCIL GEORGIA PUBLIC SAFETY TRAINING CENTER 70 PUBLIC TELECOMMUNICATIONS COMMISSION STATE AGENCY COORDINATING COMMITTEE ATTORNEY GENERAL DEPARTMENT OF LAW PUBLIC SERVICE COMMISSION SECRETARY OF STATE LIEUTENANT GOVERNOR OFFICE OF THE SECRETARY OF STATE GENERAL ASSEMBLY PRESIDENT OF THE SENATE SPEAKER OF THE HOUSE SENATE HOUSE OF REPRESENTATIVES STATE ETHICS COMMISSION DRUGS AND NARCOTICS AGENCY REAL ESTATE COMMISSION HOLOCAUST COMMISSION LEGISLATIVE SERVICES COMMITTEE DEPARTMENT OF AUDITS AND ACCOUNTS OFFICE OF THE LEGISLATIVE FISCAL OFFICER OFFICE OF THE LEGISLATIVE BUDGET ANALYST OFFICE OF LEGISLATIVE COUNSEL STATE TRANSPORTATION BOARD BD. OF TRUSTEES-STATE EMPLOYEES' RETIREMENT SYSTEM BD. OF TRUSTEES-PUBLIC SCHOOL EMPLOYEES' RETIREMENT SYSTEM STATE EMPLOYEES' RETIREMENT SYSTEM OF GA./PUBLIC SCHOOL EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA STATE PERSONNEL OVERSIGHT COMMISSION STATE FORESTRY COMMISSION STATE FORESTRY COMMISSION HERTY FOUNDATION GEORGIA STATE FINANCING AND INVESTMENT COMMISSION BOARD OF HUMAN RESOURCES DEPARTMENT OF HUMAN RESOURCES CHILDREN'S TRUST FUND HEALTH PLANNING AGENCY DEVELOPMENTAL DISABILITIES COUNCIL BRAIN AND SPINAL INJURY TRUST FUND AUTHORITY GEORGIA CHILD CARE COUNCIL BOARD OF INDUSTRY, TRADE AND TOURISM DEPARTMENT OF INDUSTRY, TRADE AND TOURISM BOARD OF JUVENILE JUSTICE DEPARTMENT OF JUVENILE JUSTICE WORLD CONGRESS CENTER/GEORGIA DOME GEORGIA PORTS AUTHORITY ONE GEORGIA DEPARTMENT OF TRANSPORTATION GEORGIA RAIL PASSENGER AUTHORITY STATE SOIL AND WATER CONSERVATION COMMISSION GEORGIA STUDENT FINANCE COMMISSION GEORGIA STUDENT FINANCE AUTHORITY GEORGIA HIGHER EDUCATION ASSISTANCE CORPORATION BOARD OF TRUSTEES TEACHERS' RETIREMENT SYSTEM TEACHERS' RETIREMENT SYSTEM OF GEORGIA BOARD OF TECHNICAL AND ADULT EDUCATION DEPARTMENT OF TECHNICAL AND ADULT EDUCATION NONPUBLIC POSTSECONDARY EDUCATION COMMISSION VETERANS SERVICE BOARD STATE DEPARTMENT OF VETERANS SERVICE STATE BOARD OF WORKERS' COMPENSATION BOARD OF GEORGIA LOTTERY CORPORATION GEORGIA LOTTERY CORPORATION STATE COMMISSION ON THE CONDEMNATION OF PUBLIC PROPERTY 71 GENERAL ASSEMBLY -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services - Staff Personal Services - Elected Officials Personal Services - Combined 17,050,141 Regular Operating Expenses 1,841,880 Travel - Staff Travel - Elected Officials Travel - Combined 40,429 Equipment 360,434 Real Estate Rentals 3,680 Per Diem, Fees & Contracts - Staff Per Diem, Fees & Contracts - Elected Officials Per Diem, Fees & Contracts - Combined 2,174,652 Per Diem Differential 456,188 Computer Charges 882,549 Telecommunications 437,039 Photography 73,956 Expense Reimbursement 832,396 Total Funds $24,153,344 FY 2000 Expenditures 17,972,112 1,855,355 51,928 1,210,422 3,680 FY 2001 Current Budget 17,307,651 4,747,104 2,668,752 121,000 7,000 1,315,000 5,000 164,115 3,956,984 FY 2002 Agency Requests Adjusted Base Enhancements Totals 18,192,520 5,442,169 18,192,520 5,442,169 2,640,384 135,000 3,500 2,640,384 135,000 3,500 1,330,000 5,000 184,767 1,330,000 5,000 184,767 4,431,488 4,431,488 3,829,007 66,901 568,219 464,822 81,746 948,396 $27,052,588 1,112,000 692,500 100,000 1,652,000 $33,849,106 390,200 693,000 105,000 1,652,000 $35,205,028 390,200 693,000 105,000 1,652,000 $35,205,028 TOTAL STATE FUNDS $24,153,344 $27,052,588 $33,849,106 $35,205,028 $35,205,028 The budget request for the General Assembly has been included in the Governor's recommendation in estimating the total financial needs of the state for FY 2002. EXPLANATION OF REQUEST: The General Assembly requests an increase of $1,355,922 for operations in FY 2002. DESCRIPTION: The Constitution provides that the legislative power of the state shall be vested in the General Assembly, which consists of the Senate and the House of Representatives. The General Assembly convenes in regular session annually on the second Monday in January. With two exceptions, all bills may originate in either the Senate or the House of Representatives, but all bills must be passed by both branches and signed by the Governor before becoming law. The exceptions are bills raising revenue and bills that appropriate money, which can originate only in the House. In the event of the Governor's veto of any bill during a session, it can be overridden by a two-thirds majority vote of both houses. REQUESTED APPROPRIATION: The General Assembly is the budget unit for which the following State fund Appropriation for FY 2002 is requested: $35,205,028. 72 DEPARTMENT OF AUDITS AND ACCOUNTS -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds FY 1999 Expenditures 19,190,676 729,652 491,081 310,180 17,115 958,707 504,217 1,236,729 281,794 5,000 $23,725,151 FY 2000 Expenditures 22,182,698 755,876 501,911 389,215 127,442 1,010,715 281,933 1,547,007 296,795 126,760 $27,220,352 FY 2001 Current Budget 23,516,499 768,200 601,000 49,000 20,000 1,072,400 87,000 1,194,000 337,000 $27,645,099 FY 2002 Agency Requests Adjusted Base Enhancements Totals 26,252,806 792,400 560,000 262,000 180,000 1,112,652 245,000 1,999,500 337,000 26,252,806 792,400 560,000 262,000 180,000 1,112,652 245,000 1,999,500 337,000 $31,741,358 $31,741,358 TOTAL STATE FUNDS $23,725,151 $27,220,352 $27,645,099 $31,741,358 $31,741,358 The budget request for the Department of Audits has been included in the Governor's recommendation in estimating the total financial needs of the state for FY 2002. FY 2002 Budget Summary FY 2002 STATE APPROPRIATIONS 27,645,099 FUND CHANGES REQUESTED: 1. Fund basic current services 4,096,259 TOTAL FUND CHANGES $4,096,259 TOTAL BUDGET REQUEST - FY 2002 $31,741,358 The Department of Audits and Accounts performs the following functions: (1) annual audits and reviews of state agencies, authorities, retirement systems, and state colleges and universities; (2) annual financial audits of local boards of education, regional and local libraries; (3) develop and maintain a uniform chart of accounts; (4) performance audits on the efficiency and effectiveness of state programs and activities; (5) program evaluations to assist the General Assembly in establishing an ongoing review and evaluation of all programs and functions of state government; (6) financial and program audits on Medicaid providers; (7) desk reviews of city and county financial audits; (8) prepare fiscal notes that estimate the financial impact of proposed legislation; and (9) prepare an equalized property tax digest for public school funding. REQUESTED APPROPRIATION: The Department of Audits and Accounts is the budget unit for which the following State Fund Appropriation for FY 2002 is requested: $31,741,358. 73 JUDICIAL BRANCH -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Other Operating Prosecuting Attorney's Council Judicial Administrative Districts Payment to Council of Superior Court Clerks Payment to Resource Center Computerized Information Network Total Funds 13,168,783 87,707,336 4,410,088 2,434,467 40,498 500,000 740,997 $109,002,169 Less Federal & Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS 1,137,485 $1,137,485 $107,864,684 FY 2000 Expenditures FY 2001 Current Budget 16,177,862 100,760,805 2,833,325 FY 2002 Agency Requests Adjusted Base Enhancements Totals 18,320,644 115,612,530 3,837,200 7,291,417 3,736,660 217,300 25,612,061 119,349,190 4,054,500 1,837,763 2,010,229 105,400 2,115,629 34,284 67,405 67,405 700,000 600,000 900,000 638,459 900,000 638,459 $122,944,039 $141,386,467 $11,350,777 $152,737,244 2,996,394 $2,996,394 * $119,947,645 $141,386,467 $11,350,777 $152,737,244 The budget request for the Judicial Branch has been included in the Governor's recommendation in estimating the total financial needs of the state for FY 2002. * Data not available. 74 JUDICIAL BRANCH FY 2002 Budget Summary ADDITIONAL FUNDS REQUESTED FOR CURRENT SERVICES FY 2001 STATE APPROPRIATIONS 1. Supreme Court 2. Court of Appeals 3. Superior Courts - Judges 4. Superior Courts - District Attorneys 5. Juvenile Court 6. Institute of Continuing Judicial Education 7. Judicial Council 8. Judicial Qualifications Commission 9. Indigent Defense Council 10. Georgia Courts Automation Commission 11. Georgia Office of Dispute Resolution ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS Superior Courts - Judges 1. Provide funds for 4 new judgeships. 2. Add 50 additional law assistants. 3. Fund technological and automation needs for the courtroom. 4. Increase funding for Judicial Administrative Districts for 10 computer technicians. Superior Courts - District Attorneys 5. Add 16 drug prosecutors and fund travel expenses. 6. Add 28 administrative staff, fund travel expenses for each Superior Court Judge and allow for operating expenses. 7. Fund real estate rental increase ($135,600) and add 1 analyst position for the Prosecuting Attorneys Council ($81,700). Juvenile Court 8. Add a model court coordinator position and related expenses for the Council of Juvenile Court Judges. Judicial Council 9. Add 5 positions ($216,014) and contract funds ($100,000) to create a statewide Protective Order Registry for the Commission on Family Violence. 10. Fund 3 workshops, 3 examinations, and operating expenses for the Office of Equality Commission. 11. Provide funding for the Georgia Law School Consortium. 75 Agency's Request 119,947,645 901,301 1,028,757 3,201,521 9,397,026 100,653 884,150 5,572,116 95,256 68,703 88,942 100,397 $141,386,467 840,596 2,394,144 2,000,000 105,400 1,258,200 1,642,700 217,300 60,763 316,014 60,000 219,000 JUDICIAL BRANCH -- FY 2002 Budget Summary Indigent Defense Council 12. Increase subsidies to the counties from 12.05% to 15% of actual expenses. 13. Fund the new Improvement Grant program allow counties to apply to for a grant for indigent defense system improvement grant. Georgia Courts Automation Commission 14. Add 7 positions for the Commission. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Agency's Request 1,198,714 537,946 500,000 $11,350,777 $152,737,244 76 JUDICIAL BRANCH Functional Budget Summary 1. Supreme Court FY 2001 Appropriations Total State 7,922,514 7,094,074 FY 2002 Recommendations Total State 9,215,687 7,995,375 2. Court of Appeals 10,698,953 10,602,953 11,721,710 11,631,710 3. Superior Courts - Judges 4. Superior Courts - District Attorneys 46,040,674 38,363,155 46,040,674 36,537,424 54,582,335 49,052,650 54,582,335 49,052,650 5. Juvenile Court 1,383,075 1,383,075 1,544,491 1,544,491 6. Institute of Continuing Judicial Education 7. Judicial Council 8. Judicial Qualifications Commission 1,113,081 8,272,330 215,197 1,066,142 8,089,207 215,197 1,950,292 14,256,337 310,453 1,950,292 14,256,337 310,453 9. Indigent Defense Council 5,909,388 5,893,227 7,698,590 7,698,590 10. Georgia Courts Automation Commission 11. Georgia Office of Dispute Resolution 2,682,982 342,690 2,682,982 342,690 3,271,924 443,087 3,271,924 443,087 TOTAL APPROPRIATIONS $122,944,039 119,947,645 $154,047,556 $152,737,244 REQUESTED APPROPRIATION: The Judicial Branch is the budget unit for which the following State Fund Appropriation for FY 2002 is requested: $152,737,244. 77 [This page intentionally blank] 78 DEPARTMENT OF ADMINISTRATIVE SERVICES Total Budgeted Positions -- 1,703 Attached for Administrative Purposes Only Georgia Building Authority 551 Georgia Technology Authority 3 State Properties Commission 7 Health Planning Review Board Georgia Golf Hall of Fame 4 Office of State Administrative Hearings 65 Office of Treasury and Fiscal Services 14 Commissioner's Office 36 Deputy Commissioner 9 Internal Administration Division 65 Statewide Business Services Division 102 Customer Service Division 68 Support Services Division 121 Information Technology Division 658 79 DEPARTMENT OF ADMINISTRATIVE SERVICES -- Financial Summary Unit A - Department of Administrative Services Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Rents and Maintenance Telephone Billings Radio Billings Materials for Resale Year 2000 Project Payments to Georgia Building Authority Police Officers Indemnity Fund Health Planning Review Board Aviation Hall of Fame Golf Hall of Fame Alternative Fuel Grants Payments to Georgia Technology Authority State Self Insurance Fund Removal of Hazardous Waste Total Funds 56,182,376 13,565,861 546,133 930,718 2,409,003 3,836,497 38,589,460 5,287,176 398,388 21,422,907 78,588,034 558,845 33,860,815 44,280,518 1,445,158 550,000 58,495 48,500 75,000 232,500 $302,866,384 FY 2000 Expenditures 61,011,383 14,160,236 598,900 1,003,160 4,505,891 3,141,363 43,354,422 1,882,784 206,337 26,444,357 83,940,676 481,519 19,508,025 22,203,394 2,317,419 522,500 41,360 48,500 75,000 382,900 66,034,595 $351,864,721 FY 2001 Current Budget 67,310,239 14,713,957 572,471 744,834 3,522,002 4,499,116 47,146,118 2,343,912 425,866 25,110,400 84,209,325 683,484 26,939,840 563,793 496,375 35,000 48,500 75,000 500,000 5,000,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 67,812,473 14,569,580 572,471 744,834 3,508,774 4,499,116 46,752,718 2,343,912 425,866 25,110,400 84,209,325 683,484 26,939,840 190,840 1,732,257 175,000 3,745,493 300,000 50,000 2,314,804 68,003,313 16,301,837 572,471 919,834 7,254,267 4,499,116 47,052,718 2,393,912 425,866 27,425,204 84,209,325 683,484 26,939,840 563,793 27,158,000 27,721,793 496,375 35,000 48,500 75,000 500,000 708,527 496,375 35,000 48,500 75,000 500,000 708,527 $284,940,232 $280,599,988 $35,666,394 $316,266,382 Less Federal & Other Funds: Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 249,286,036 $249,286,036 $53,580,348 233,826,432 $233,826,432 $118,038,289 238,680,224 30,000 $238,710,224 $46,230,008 238,946,372 $238,946,372 $41,653,616 4,179,900 243,126,272 $4,179,900 $31,486,494 $243,126,272 $73,140,110 Positions Motor Vehicles 925 1,113 1,152 1,149 337 338 339 339 1,149 339 80 DEPARTMENT OF ADMINISTRATIVE SERVICES -- Financial Summary Unit A - Department of Administrative Services Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Rents and Maintenance Telephone Billings Radio Billings Materials For Resale Year 2000 Project Payments to Georgia Building Authority Police Officers Indemnity Fund Health Planning Review Board Aviation Hall of Fame Golf Hall of Fame Alternative Fuel Grants Payments to Georgia Technology Authority State Self Insurance Fund Removal of Hazardous Waste Total Funds 67,310,239 14,713,957 572,471 744,834 3,522,002 4,499,116 47,146,118 2,343,912 425,866 25,110,400 84,209,325 683,484 26,939,840 563,793 496,375 35,000 48,500 75,000 500,000 5,000,000 $284,940,232 353,194 (136,321) (20,330) (157,335) (101,578) 1,389,813 (314,400) (1,000) (11,335) (563,793) (5,000,000) ($4,563,085) Less Federal & Other Funds: Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 238,680,224 30,000 $238,710,224 $46,230,008 296,148 (30,000) $266,148 ($4,829,233) Positions Motor Vehicles 1,152 (3) 339 (1) FY 2002 Governor's Recommendations Workload (496,995) (20,000) Adjusted Base 67,663,433 14,577,636 552,141 90,504 3,400,424 5,888,929 46,831,718 2,342,912 414,531 25,110,400 84,209,325 683,484 26,939,840 Enhancements 50,000 Totals 67,663,433 14,577,636 552,141 90,504 3,400,424 5,888,929 46,831,718 2,392,912 414,531 25,110,400 84,209,325 683,484 26,939,840 496,375 35,000 48,500 75,000 500,000 4,000,000 496,375 35,000 48,500 75,000 500,000 4,000,000 100,000 ($416,995) 100,000 $279,960,152 $4,050,000 100,000 $284,010,152 (516,995) 238,459,377 ($516,995) $100,000 $238,459,377 $41,500,775 1,149 338 50,000 238,509,377 $50,000 $4,000,000 $238,509,377 $45,500,775 1,149 338 81 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Increase personal services for the State Properties Commission ($7,000) and Office of State Administrative Hearings ($200,000). 3. Reduce payments to the Georgia Building Authority. Reduce non-recurring items: 4. Reduce per diem, fees and contracts by outsourcing surveys, appraisals and other real estate services for the State Properties Commission. 5. Remove start-up funds for the Georgia Technology Authority. 6. Delete equipment purchases ($82,000) and motor vehicle purchases ($157,335) in the Information Technology functional budget. 7. Reduce travel in the Office of State Administrative Hearings. Workload: 8. Increase personal services in the Office of the Treasury to meet current workload requirements. 9. Provide funds for the Agency for the Removal of Hazardous Materials to meet current workload requirements. 10. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE 46,230,008 76,168 7,000 200,000 (563,793) (18,400) (5,708,527) (239,335) (14,830) 27,671 100,000 1,404,813 $41,500,775 ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide $4,000,000 in state funds and authorization for the Georgia Technology Authority to use $5,000,000 in agency funds to complete Phase I of 3 empowerment projects: Interoperability, Customer Resource Management, and Security/Digital Signature. 2. Increase agency funds ($50,000) to purchase an inventory bar code interface feature for Computerized inventory audits utilizing the Phoenix Financial System. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 4,000,000 Yes $4,000,000 $45,500,775 82 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT A Functional Budget Summary 1. Internal Administration FY 2001 Appropriations Total State $4,771,356 $158,500 FY 2002 Recommendations Total State $4,849,101 $215,691 2. Statewide Business 3,654,108 3,624,738 3,726,505 3,697,135 3. Support Services 4. Information Technology 28,830,012 221,470,052 500,000 27,493,865 28,489,681 222,471,006 603,560 28,371,422 5. Risk Management 3,951,132 496,375 3,993,366 525,236 6. Executive Administration 7. Customer Service ATTACHED AGENCIES: 4,275,176 5,221,150 2,928,905 3,874,882 5,307,718 2,506,041 23,418 8. State Properties Commission 736,486 736,486 757,693 757,693 9. Office of Treasury and Fiscal Services 10. Office of State Administrative Hearings 1,714,927 4,607,306 279,230 4,303,382 1,746,312 4,793,888 310,615 4,489,964 11. Georgia Technology Authority 5,708,527 5,708,527 4,000,000 4,000,000 TOTAL APPROPRIATIONS $284,940,232 $46,230,008 $284,010,152 $45,500,775 RECOMMENDED APPROPRIATION: The Department of Administrative Services - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $45,500,775. 83 DEPARTMENT OF ADMINISTRATIVE SERVICES -- Financial Summary Unit B - Georgia Building Authority Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications CMAQ/MARTA/CCT Capital Outlay Facilities Reimbursement Total Funds Less Other Funds: Other Funds Direct Payments from DOAS Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 19,571,869 14,552,140 48,229 117,602 12,234 1,092,337 385,226 268,097 2,825,323 3,900,823 $42,773,880 41,328,722 1,445,158 $42,773,880 557 137 FY 2000 Expenditures 19,637,786 14,935,508 20,747 277,995 230,888 10,980 773,804 417,757 300,063 1,108,929 525,949 3,247,683 $41,488,089 FY 2001 Current Budget 19,913,392 15,468,544 13,000 200,000 90,000 15,071 767,389 322,000 261,916 $37,051,312 FY 2002 Agency Requests Adjusted Base Enhancements Totals 17,897,458 15,468,544 13,000 200,000 90,000 15,071 767,389 322,000 261,916 17,897,458 15,468,544 13,000 200,000 90,000 15,071 767,389 322,000 261,916 1,200,000 27,158,000 28,358,000 $36,235,378 $27,158,000 $63,393,378 39,170,670 2,317,419 $41,488,089 36,487,519 563,793 $37,051,312 35,671,585 563,793 $36,235,378 27,158,000 $27,158,000 35,671,585 27,721,793 $63,393,378 572 551 478 478 137 137 137 137 84 DEPARTMENT OF ADMINISTRATIVE SERVICES -- Financial Summary Unit B - Georgia Building Authority Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications CMAQ/MARTA/CCT Capital Outlay Facilities Reimbursement Total Funds FY 2001 Annualizers and Current Budget Adjustments 19,913,392 15,468,544 13,000 200,000 90,000 15,071 767,389 322,000 261,916 750,909 4,659,339 $37,051,312 $5,410,248 Less Other Funds: Other Funds Direct Payments from DOAS Total Federal & Other Funds TOTAL STATE FUNDS 36,487,519 563,793 $37,051,312 5,974,041 (563,793) $5,410,248 Positions 551 Motor Vehicles 137 FY 2002 Governor's Recommendations Workload Adjusted Base 20,664,301 15,468,544 13,000 200,000 90,000 15,071 767,389 322,000 261,916 Enhancements 4,659,339 Totals 20,664,301 15,468,544 13,000 200,000 90,000 15,071 767,389 322,000 261,916 4,659,339 $42,461,560 $42,461,560 42,461,560 $42,461,560 42,461,560 $42,461,560 478 478 137 137 85 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT B FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS (Agency Funds) Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. 3. Increase personal services. 4. Increase capital outlay to reflect income from adjustments to rental rates standard of $8.75 per rentable square footage. ADJUSTED BASE TOTAL AGENCY FUNDS 37,051,312 370,436 (201,555) 582,028 4,659,339 $42,461,560 $42,461,560 86 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT B Functional Budget Summary 1. Administration FY 2001 Appropriations Total State 13,183,366 FY 2002 Recommendations Total State 12,329,252 2. Operations 12,422,856 18,939,258 3. Security and Police 4. Sales 6,487,113 4,558,445 6,344,256 4,458,060 5. Van Pool 399,532 390,734 TOTAL APPROPRIATIONS $37,051,312 $42,461,560 RECOMMENDED APPROPRIATION: The Georgia Building Authority is the budget unit for which the following Agency Fund Appropriation is recommended for FY 2002: $42,461,560. 87 DEPARTMENT OF ADMINISTRATIVE SERVICES Roles and Responsibilities The Department of Administrative Services (DOAS) provides a wide range of support services to all state agencies and many interested local governments and their entities. DOAS receives most of its revenues by charging for services as they are rendered. Of an initial budget totaling $284,940,232 for FY 2001, direct state funds totaled only $46,230,008, or 16%. The department operates through the Administration, Statewide Business Services, General Support Services, Risk Management, Information Technology and Customer Service divisions, which provide support services to state agencies. DOAS SERVICES Information Technology Services designs, develops, programs, manages and maintains data processing and telecommunication systems for agencies. The division provides centralized data processing services that include payroll, personnel, accounting, budgeting, vehicle management and inventory services adaptable to all agencies and furnishes agencies cost effective telephone, data, video (including teleconferencing, distance learning and telemedicine), voice processing, paging and radio communications services along with radio and telephone maintenance services. Space Management assists agencies in the location of adequate and safe space in state-owned facilities or commercially leased space and assists agencies in the design of space. This unit maintains a current computerized inventory of all state-owned buildings on Capitol Hill and state-occupied commercially leased space. State Purchasing provides centralized purchasing services for state agencies, develops and administers statewide contracts, solicits bids, and issues purchase orders for agencies. The section monitors agencies' purchase practices for compliance with state regulations, and develops and maintains state specifications and standards for purchasing. Central Supply Services purchases and warehouses commonly used, high-volume supplies and sells them to state agencies and local governments at a cost savings. Motor Vehicle Services (MVS) operates a daily vehicle rental program for state agencies in the Metro Atlanta area and offers a comprehensive vehicle maintenance management plan on a cost per mile basis. MVS also provides full-service and self-service fuel and oil to state agencies in the Metro Atlanta area. Printing Services provides reprographic printing services to all state agencies and other governmental organizations. Surplus Property is responsible for acquiring property being surplused by state agencies and the federal government and making the property available to other state agencies and local government equitably and cheaply. These services are provided through warehouses located in Atlanta, Americus and Swainsboro. Risk Management insures all state real and personal property through a self-insurance program that maintains adequate and economical coverage and assists state agencies and authorities in establishing safety programs and driver improvement programs designed to reduce accidents in their agencies. Mail and Courier Services provides timely delivery of inter-office mail to Capitol Hill agencies, and furnishes courier delivery to user agencies not located on Capitol Hill. ATTACHED AGENCIES The Office of Treasury and Fiscal Services manages, invests and disburses most state revenues. The Georgia Building Authority provides maintenance, groundskeeping, food service, parking and security for the employees and facilities within the Capitol Hill office complex and other specified areas. The State Properties Commission coordinates the purchase, management, inventory records and disposition of real property acquired and owned by the state. The Health Planning Review Board conducts appeal hearings on decisions of the Health Planning Agency. The Office of State Administrative Hearings conducts administrative hearings of contested cases for specified state agencies. Senate Bill 465 established the Georgia Technology Authority (GTA), effective July 1, 2000. GTA is responsible for bringing a comprehensive, coordinated and cohesive information technology vision to state government by providing agencies with technical assistance in strategic planning, program management and human resources development. The Georgia Technology Authority provides leadership in research and development, and leverages state government's purchasing power by acquiring information technology supplies, materials, services and equipment for agencies. AUTHORITY Title 50-5, 40-3548 Georgia Code Annotated. 88 DEPARTMENT OF ADMINISTRATIVE SERVICES Strategies and Services The Department of Administrative Services (DOAS) provides an assortment of services to state agencies. A few of the areas in which the department furnishes agencies services or support are described below. The items featured are the: the Enterprise Data Center, Information Technology Consolidated Help Desk, Central Supply program, Electronic Commerce program, and the Project Management section of the Customer Service Division. ENTERPRISE DATA CENTER The state's Enterprise Data center is a multi-platform facility serving most of the state's data computing requirements. The center is comprised of enterprise server platforms for four operating systems (OS/390, UNIX, Unisys and NT). Enhancements consistent with maintaining a technologically up to date facility are planned for this year. The objective of this initiative is to ensure that the state's computing infrastructure is prepositioned to support the technology platform requirements of the state's business, as determined by the Georgia Technology Authority (GTA). The majority of all state agencies rely on the Department of Administrative Services to provide an up to date environment to host the state's critical business applications. There are currently 192 applications running in the data center that support agency business missions. Many of these are "mission critical". The long-range goal of the Enterprise Data Center is to stay current in technology and avoid a decrease in service levels to customers. In addition, with the creation of the Georgia Technology Authority, it is anticipated that most new technology deployments will be reliant on a technologically current and reliable platform. It is critical that platforms be ready to support many of the new systems as Georgia moves ahead in developing web business solutions with an enterprise strategy provided by the Georgia Technology Authority. Prior to 1997, the Department Of Administrative Services maintained separate Telecommunications and Computer Services Divisions. Under this organization structure many "help desks" came into existence. Some were related to specific service areas and some were further subdivided between "external" and "internal" customers. The current multi-year initiative is to consolidate all information technology help desks services to a single point of contact. The department anticipates that the "help desk" consolidation will position it to deliver better service to its customers. CENTRAL SUPPLY PROGRAM This function distributes office supplies throughout the state. Under the present system, Central Supply purchases supplies directly from vendors under contract with the State, stores the supplies and resells them to state agencies. All state agencies are required to purchase core office supplies through this process. Core supplies are those items that are commonly used and generally purchased in high volume. Following an administrative review of the Department's Purchasing and Warehouse programs, a recommendation was made to replace existing operations with a desktop delivery supplier. A project has been proposed to achieve cost savings through more efficient processing. By outsourcing office supplies, DOAS will increase efficiency in the ordering of supplies and increase participation of the local small vendor community. The procurement project has 3 primary objectives; Provide the State of Georgia with timely delivery of quality office products at discounted prices and lower overhead costs. Enhance regional economic development statewide in accordance with current State direction. Many State agencies and institutions desire to use local vendors in order to improve their relationship within their communities. Provide small community businesses with increased opportunities to contract with the State as a supplier. These objectives will be accomplished by soliciting core office supplies through two separate Requests for Proposals (RFP). One RFP will solicit proposals from vendors to provide all core supplies statewide. A second RFP will solicit proposals from vendors to provide supplies to State agencies within one or more of the twelve State service delivery regions established by the Official Code of Georgia Annotated (OCGA) 50-4-7. State agencies mandated to use Central Supply for their core supplies would be required to purchase from either the statewide vendor or a regional vendor under contract with the Department of Administrative Services. Agencies will be able to use any vendor under DOAS contract in any region. The contracts will also be available for use by other governments and organizations authorized, although not mandated, to purchase supplies from Central Supply. ELECTRONIC COMMERCE Following the strategic direction of the Georgia Technology Authority, the Department of Administrative Services will play a leadership role in implementing advanced technology in the area of electronic commerce. Proper planning, evaluation, and successful implementation by DOAS is needed for: Electronic shopping access to state and agency volume discount agreements, Invitations to Bid (ITB), receiving bid responses, and increased competition. 89 DEPARTMENT OF ADMINISTRATIVE SERVICES -- Strategies And Services Electronic purchasing using the internet technologies, digital signatures, smart cards, and Electronic Data Interchange (EDI). Electronic billing for receiving and issuing bills for products and services. Electronic payment using cash cards, increased use of the purchase cards, and Electronic Funds Transfer (EFT). Like most agencies, DOAS is implementing electronic commerce plans. Conducting business through State Purchasing with our vendors via the internet is benefiting government agencies and Georgia businesses. Receiving or issuing electronic billings by agencies for products and services will increase processing efficiency. Significant reductions are possible in processing of paper checks by using the Purchase card (credit card) program and Electronic Funds Transfer. Increased use of purchase cards by all agencies will significantly reduce the up-front approval process as well as the payment process after the fact. This too, will benefit government agencies with a significant increase in efficiency. The prompt payment of bills will benefit businesses. The Georgia Technology Authority will lead efforts in providing a trusted Public Key Infrastructure (PKI). Establishing a Public Key Infrastructure to support the use of digital signatures is of global importance to the role Georgia plays in seizing e-business technology opportunities. DOAS, in partnership with the Georgia Technology Authority (GTA), will consistently implement authentication solutions based on GTA standards. The long-range goal of the E-Commerce Program is to evolve DOAS into a business model that harnesses the capabilities of web technology and other forms of information technology to optimize business functions. CUSTO MER SERVICE PROJECT MANAGEMENT Project Management was created as a section of the Department's Customer Services Division in FY 2000. The vision for the new team was to bring additional, professional focus to the planning and implementation of services that were large and complex, had high risk or visibility, and involved the coordination of multiple service providers The customer community being served by Project Management includes all DOAS customers. Examples are state agencies, the college and university system, authorities, and local city and county governments receiving DOAS products and services. The Project Management section provides all design and implementation services needed to provide efficient and effective communications for information technology customers. Projects include voice, data and cabling services for internal and external customers moving, adding or changing their systems. The approach is to bring to focus a design team as well as a project team. Transition from the old Telecommu nications Analyst job class to a new inclusive Systems Designer will allow DOAS to meet both the design needs and project management of customer directives. The long-term goal is to provide seamless teaming to effect excellent service delivery from needs inception, to on time installation and accurate and timely billing. 90 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT A Results-Based Budgeting SUPPORT SERVICES Purpose: Reduce cost and increase efficiency in meeting the administrative support needs of customers by offering a central source of goods and services. Goal 1: DOAS will provide quality support services to FY 2000 FY 2000 FY 2001 FY 2002 customers reliably, efficiently and at competitive costs. Desired Actual Desired Desired - A random sample of customers will show that 90% of the respondents rate DOAS services as satisfactory: Motor Vehicle 90% 78% (39/50) 90% 90% Rapid Copy 90% 96% (48/50) 90% 90% Central Supply 90% 77% (115/149) 90% 90% Mail and Courier 90% 84% (42/50) 90% 90% Surplus Property 90% 89% (90/101) 90% 90% Goal 2: DOAS will beat the market prices. - Copying and printing will remain below the market price. DOAS Price 6.8 cents per 6.4 cents per 6.4 cents per 6.3 cents per copy copy copy copy Market price 19.8 cents per 21.96 cents 17.7 cents per 21.96 cents copy per copy copy per copy - 95% of printing /copying orders will be completed on or before 95% 98% 95% 95% the time requested by the customer. 98% 98% 98% 98% - 98% of all incoming US bulk mail and interoffice mail correctly addressed will be delivered to customers within 8 business days. Program Fund Allocation -- Total Funds State Funds Notes 1. Data was collected via a telephone survey of customers. $15,039,263 $28,830,012 $28,489,681 $382,900 $500,000 $603,560 STATEWIDE BUSINESS SERVICES Purpose: Save state agencies time and money by providing consolidated core business services. Goal 1: Offer procurement services that ensure the customer FY 2000 FY 2000 will effectively utilize state resources. - Reduce agencies administrative cost to procure products and Desired 60 million Actual 54 million services through increased use of the statewide purchasing card. - Percent of customers satisfied with the request for proposal process in acquiring goods and services. GOAL 2: Assist state agencies in obtaining office space that meets their needs at the least expensive price. - Customers satisfied with office space. Program Fund Allocation -- Total Funds State Funds 90% 95% 85% 90% $12,428,870 $12,388,587 FY 2001 Desired 70 million 90% 85% $3,624,738 $3,628,738 FY 2002 Desired 72 million 96% 92% $3,697,135 $3,697,135 91 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT A -- Results-Based Budgeting INFORMATION TECHNOLOGY SERVICES AND PRODUCTS Purpose: Save state agencies time and money by providing consolidated core business services. Goal 1: Offer procurement services that ensure the customer FY 2000 FY 2000 FY 2001 FY 2002 will effectively utilize state resources. Desired Actual Desired Desired - Local telephone service will be on 98% of the time. 98% 98% 98% 98% - The Statewide Academic and Medical system will be available 94% of the time. 94% 94% 94% 94% Goal 2: Customers will be satisfied with the Information Technology Products and services provided by DOAS. - DOAS IT products and services will be rated satisfactory 90% of 95% N/A 90% 90% the time. - 85 % of the customers of the Family and Children Electronic N/A N/A N/A N/A Tracking System (FACETS) help desk will be satisfied at least 90% of the time. (1.) Program Fund Allocation -- Total Funds $219,091,079 $221,470,052 $222,471,006 State Funds $29,167,621 $27,493,865 $28,371,422 Notes: 1. This service was transferred to DHR . RISK MANAGEMENT Purpose: Protect the states assets by administering a consolidated statewide, cost effective self-insurance program. Goal 1: Offer procurement services that ensure the customer will effectively utilize state resources. - Total workers compensation program expenses as a percentage of total state payroll will remain below industry standard - current standard is 2.6%. FY 2000 Desired < 2.6% FY 2000 Actual 2% FY 2001 Desired < 2.6% FY 2002 Desired < 2.6% - Reduce the total lost work days resulting from worker's compensation injury. 5% reduction 4% reduction [1] 5% reduction 3% reduction Goal 2: Medical Providers and employees entitled to workers' compensation benefits will be promptly paid. - Workers' compensation claims-related medical expenses will be 18 19 18 18 paid within 18 business days. 98% 60% 98% 98% - 98% of all workers' compensation claims will be paid accurately. Program Fund Allocation -- Total Funds State Funds Notes: 1. 18,541 total days. $70,483,062 $3,951,132 $3,993,366 $66,557,095 $496,375 $525,236 92 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT A -- Results-Based Budgeting ATTACHED AGENCIES STATE PROPERTIES COMMISSION STATE PROPERTIES MANAGEMENT Purpose: Ensure the terms and conditions of each real estate transaction involving state property is legal and in the State's best interest by providing expertise to state government in all aspects of real estate. Goal 1: State properties will be purchased, disposed of and FY 2000 FY 2000 FY 2001 FY 2002 inventoried in an efficient and effective manner. Desired Actual Desired Desired - All acquisitions and dispositions of state properties will have no 100% 100% 100% 100% legal ramifications. - Process and update 95% of all real property inventory additions 95% 95% 95% 95% and deletions within 5 working days. Program Fund Allocation -- Total Funds $530,181 $736,486 $757,693 State Funds $530,181 $786,486 $757,693 OFFICE OF TREASURY AND FISCAL SERVICES INVESTMENTS Purpose: Invest public funds in accordance with state statutes and State Depository Board Policy. Goal 1: Achieve a total return consistent with the relevant FY 2000 FY 2000 market sectors. Desired Actual - Georgia Fund 1 shall achieve an annual return equal to or better that the IBC Donaghue Money Fund Index: --Georgia Fund 1 5.21% 5.08% -- IBC Donaghue Money Fund Index 4.58% 4.54% - Risk management and Health Insurance portfolios shall achieve an annual return equal to or better than the appropriate Merrill Lynch Treasury Indexes: -- Risk Management and Health Insurance Portfolios 5.13% 4.96% -- Appropriate Merrill Lynch Treasury Indexes 4.96% 4.62% - State core deposit portfolios shall achieve an annual return equal or better the Merrill Lynch Treasury Indexes: -- State core deposit portfolio. 5.06% 4.88% -- Appropriate Merrill Lynch Treasury Indexes 4.91% 4.67% Goal 2: The risk of all portfolios managed by OTFS shall be commensurate with the rate of return. - All portfolios managed by OTFS shall maintain risk profiles 100% 100% consistent with the overall risk profiles of indices composed of (3 of 3) (3 of 3) similar duration and sector securities. [1] - One hundred percent of the funds necessary to meet on-going cash 100% 100% needs shall be available. Program Fund Allocation -- Total Funds $642,150 State Funds $109,944 NOTES: 1. The three funds are: Georgia Fund 1, Risk Management and the State Core Deposits. FY 2001 Desired 5.08% 4.54% 5.96% 4.62% 4.88% 4.67% 100% (3 of 3) 100% $698,220 $113,675 FY 2002 Desired 5.08% 4.54% 4.96% 4.62% 4.88% 4.67% 100% (3 of 3) 100% $742,183 $132,011 93 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT A -- Results-Based Budgeting OFFICE OF TREASURY AND FISCAL SERVICES CASH MANAGEMENT Purpose: Maximize the efficient and effective use of the state's cash resources. Goal 1: Ensure that state government cash requirements are FY 2000 met in a proper, profitable manner. Desired - The state should realize a net return of $3 million on the fee $4.2 million payment program. (1.) - All 377 state depository banks will have the amount of collateral 100% required. Program Fund Allocation -- Total Funds State Funds Notes: 1 - Net return = interest income less fees. FY 2000 Actual $19.1 million 100% $164,969 $28,247 FY 2001 Desired $4.2 million 100% $319,711 $52,049 FY 2002 Desired $4.2 million 100% $294,428 $52,370 REVENUES AND DISBURSEMENTS Purpose: Account accurately for all funds in accordance with state law, employing the proper internal controls in conformity with Generally Accepted Accounting Principles (GAAP). Goal 1: Account accurately for all funds in accordance with FY 2000 FY 2000 FY 2001 FY 2002 state law, employing the proper internal controls in conformity Desired Actual Desired Desired with GAAP. - 100% of receipts from state revenue collections and the Local 100% 100% 100% 100% Government Investment Pool (LGIP) will be recorded properly within one working day. - 100% of the disbursements allotted and LGIP's will meet all 100% 100% 100% 100% control and state requirements. - Accounting records will correctly identify Lottery reserves, 100% 100% 100% 100% proceeds and disbursements. - Payments of general obligation debt will be accurate and paid on 100% 100% 100% 100% the first working day of each month. Program Fund Allocation -- Total Funds $724,684 $696,996 $709,701 State Funds $124,080 $113,479 $126,234 OFFICE OF STATE ADMINISTRATIVE HEARINGS ADMINISTRATIVE HEARINGS Purpose: To resolve issues between citizens and state agencies through the administrative hearing process. Goal 1: Hearings and other proceedings will be conducted in FY 2000 FY 2000 FY 2001 an impartial manner. - 95% of Office of State Administrative Hearings' (OSAH) clients Desired 95% Actual 84% Desired 95% report that the process is impartial. - Percentage of OSAH cases resolved within the mandated time 84% 60% 84% frames. - Percentage of DHR cases upheld on appeal at agency review. 95% 76% 95% - Percentage of DPS cases upheld on review. Program Fund Allocation -- Total Funds State Funds 95% N/A 95% $4,430,140 $4,607,306 $3,866,712 $4,303,382 FY 2002 Desired 95% 85% 95% 95% $4,793,888 $4,489,964 TOTAL - Unit A Other Activities Total Funds State Funds $28,330,323 $20,005,579 $18,061,071 $4,882,922 $8,741,959 $6,745,150 TOTAL - Unit A All Programs Total Funds State Funds $351,864,721 $284,940,232 $284,010,152 $118,038,289 $46,230,008 $45,500,775 94 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT B -- Results-Based Budgeting GEORGIA BUILDING AUTHORITY BUILDING OPERATIONS Purpose: Provide tenants of GBA owned or managed facilities with well maintained and repaired, clean and comfortable, suitably configured, and safe leased space. Goal 1: GBA buildings will be safe, well repaired and FY 2000 FY 2000 FY 2001 FY 2002 satisfactory. Desired Actual Desired Desired - The number of accidents due to physical or operational aspects of 26 N/A 24 22 GBA facilities. - Percentage of tenants and visitors responding to a customer survey 70% N/A 70% 75% that report being satisfied with the maintenance and repair, cleanliness and comfort in GBA buildings. - Percentage of tenants responding to a survey that report being 75% N/A 75% 80% satisfied with GBA space reconfiguration services. - Percentage of tenants and visitors responding to a survey that 70% N/A 75% 80% report being satisfied with the landscape and grounds maintenance of GBA properties. Program Fund Allocation -- Total Funds $27,238,833 $25,611,649 $28,669,167 State Funds PARKING AND TRANSPORTATION Purpose: Provide vehicle parking for users of GBA facilities, and coordinate the provision of vanpool service. FY 2000 FY 2000 FY 2001 Goal 1: Parking spaces will be occupied by the proper vehicles . Desired Actual Desired - Incidence of illegal parking in assigned spaces. 375 295 337 Goal 2: Use of average daily van pool rider-ship. Parking spaces will be occupied by the proper vehicles . - Average daily van pool rider-ship. 394 430 424 Program Fund Allocation -- Total Funds $1,316,722 $1,032,564 State Funds FY 2002 Desired 275 500 $1,289,009 95 DEPARTMENT OF ADMINISTRATIVE SERVICES - UNIT B -- Results-Based Budgeting GEORGIA BUILDING AUTHORITY STATEWIDE RECYCLING PROGRAM Purpose: Collect and process materials produced by state agency's operations. Goal 1: State government will recycle most of its waste. FY 2000 FY 2000 Desired Actual - Recyclable material collected from state agencies. 4,000 tons 3,600 Program Fund Allocation -- Total Funds $429,485 State Funds FY 2001 Desired 4,200 tons $360,528 FY 2002 Desired 4,400 $433,576 POLICE AND SECURITY SERVICES Purpose: Protect the personal safety of tenants and visitors to facilities in the jurisdiction of GBA; protect the property of the state; and enforce the law. Goal 1: Tenants and visitors the GBA facilities will feel safe. FY 2000 FY 2000 FY 2001 FY 2002 Desired Actual Desired Desired - Percentage of persons responding to a survey that perceive their 70% 96% 72% 80% safety as "Good". - Part 1 Crimes (Major Felonies) committed within GBA 262 226 256 222 jurisdiction. - Percentage of "cleared up" crimes (Resolved) committed within 25% more 8.4% more 25% more 11% more GBA jurisdiction when compared to the previous year. resolved resolved resolved resolved Program Fund Allocation -- Total Funds State Funds $7,398,473 $6,154,337 $7,265,322 FOOD OPERATIONS Purpose: Provide tenants and visitors to GBA food service facilities as needed. Goal 1: Cafeteria patrons and contract customers will receive FY 2000 quality service. Desired - Percentage of persons responding to a survey that rates cafeteria operations as good. 80% - Percentage of persons responding to a survey that rate special event/banquet operations as good. 85% Program Fund Allocation -- Total Funds State Funds FY 2000 Actual N/A FY 2001 Desired 85% FY 2002 Desired 85% 90% $5,104,574 85% $3,892,234 90% $4,804,487 TOTAL - Unit B Other Activities -- Total Funds State Funds $22,025,956 $17,741,811 $23,577,287 TOTAL - Unit B -- Total Funds Direct Payments from DOAS $41,488,087 $37,051,312 $42,461,561 $2,317,419 $563,793 96 DEPARTMENT OF AGRICULTURE Total Budgeted Positions -- 891 Attached for Administrative Purposes Only Georgia Seed Technology and Development Commission 10 Georgia Agrirama Development Authority 21 Georgia Development Authority Commissioner Agriculture Commodity Commissions ------------------------------Peaches-Sweet PotatoesTobacco-Apples-CottonSoybeans-Milk-EggsCanola-Pecan-Corn Division of Animal Industry 223 Division of Fuel and Measures 85 Division of Marketing 116 Division of Consumer Protection 164 Division of Internal Administration 82 Division of Plant Industry 190 97 DEPARTMENT OF AGRICULTURE -- Financial Summary Unit A - Department of Agriculture Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Market Bulletin Postage Poultry Vet Diagnostics Labs Veterinarian Fees Indemnities Advertising Contract Major/Minor Market Repairs Southern Coop. Contract Athens and Tifton Vet Labs Payments to Georgia Agrirama Development Authority Year 2000 Project Cotton Producers Indemnity Total Funds Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 31,604,084 4,684,759 1,108,951 301,074 504,375 811,302 1,782,706 666,676 432,374 1,048,240 3,019,856 242,705 22,804 175,000 4,409,228 40,000 3,241,872 853,731 768,829 5,000,000 $60,718,566 3,480,133 8,933,104 $12,413,237 $48,305,329 871 295 FY 2000 Expenditures 33,331,353 4,831,379 1,059,662 356,855 585,894 817,818 1,650,974 825,753 414,907 FY 2001 Current Budget 34,471,818 4,221,159 1,028,145 291,536 462,673 814,475 1,634,741 667,341 406,380 1,048,240 3,200,470 224,994 22,594 175,000 1,636,882 40,000 3,127,000 829,290 983,240 3,122,613 265,000 30,000 425,000 650,000 40,000 3,421,158 884,718 4,840 $54,183,905 $53,819,997 6,757,801 2,754,361 20,000 $9,532,162 $44,651,743 871 295 6,630,055 1,216,804 $7,846,859 $45,973,138 870 295 FY 2002 Agency Requests Adjusted Base Enhancements Totals 34,745,611 4,239,311 1,028,145 291,536 462,673 814,475 1,624,741 667,341 406,380 983,240 3,137,973 265,000 30,000 425,000 650,000 40,000 3,540,906 889,398 112,932 220,000 84,000 350,000 175,000 2,000,000 160,000 94,139 105,000 1,475,000 34,858,543 4,459,311 1,112,145 641,536 462,673 814,475 1,799,741 667,341 406,380 2,000,000 1,143,240 3,232,112 265,000 30,000 425,000 650,000 40,000 3,645,906 2,364,398 $54,241,730 $4,776,071 $59,017,801 6,630,055 1,194,332 $7,824,387 $46,417,343 870 295 6,630,055 1,194,332 $4,776,071 $7,824,387 $51,193,414 870 295 98 DEPARTMENT OF AGRICULTURE -- Financial Summary Unit A - Department of Agriculture Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Market Bulletin Postage Poultry Vet Diagnostics Labs Veterinarian Fees Indemnities Advertising Contract Major/Minor Market Repairs Southern Coop. Contract Athens and Tifton Vet Labs Payments to Georgia Agrirama Development Authority Year 2000 Project Cotton Producers Indemnity Total Funds 34,471,818 4,221,159 1,028,145 291,536 462,673 814,475 1,634,741 667,341 406,380 983,240 3,122,613 265,000 30,000 425,000 650,000 40,000 3,421,158 884,718 $53,819,997 273,793 18,152 151,160 (10,000) 20,360 119,748 (5,491) $567,722 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 6,630,055 1,216,804 $7,846,859 $45,973,138 (22,472) ($22,472) $590,194 Positions 870 Motor Vehicles 295 FY 2002 Governor's Recommendations Workload Adjusted Base 34,745,611 4,239,311 1,028,145 291,536 462,673 965,635 1,624,741 667,341 406,380 Enhancements 130,339 983,240 3,142,973 265,000 30,000 425,000 650,000 40,000 3,540,906 879,227 160,000 50,000 Totals 34,745,611 4,369,650 1,028,145 291,536 462,673 965,635 1,624,741 667,341 406,380 1,143,240 3,142,973 265,000 30,000 425,000 650,000 40,000 3,590,906 879,227 $54,387,719 6,630,055 1,194,332 $7,824,387 $46,563,332 870 295 $340,339 $54,728,058 6,630,055 1,194,332 $340,339 $7,824,387 $46,903,671 870 295 99 DEPARTMENT OF AGRICULTURE - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Annualize the cost of the FY 2001 salary adjustment for the following: Georgia Agrirama Development Authority; Poultry Veterinary Diagnostics Laboratories; and Athens and Tifton Veterinary Diagnostic Laboratories. 3. Adjust DOAS rates for the department. 4. Adjust DOAS rates for Georgia Agrirama Development Authority. Other Adjustments: 5. Reduce Marketing Division per diem, fees and contracts for one-time planning funds for a seasonal farmers' market in Lee County. Workload: 6. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Allow for expenses for the Market Bulletin printing ($40,000) and postage ($160,000). 2. Fund the cost of increased gasoline prices. 3. Add 1 pathologist position to the Athens Veterinary Laboratory to maintain American Association of Veterinary Laboratory Diagnostician accreditation. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 45,973,138 273,793 4,680 20,360 119,748 40,624 (10,171) (10,000) 151,160 $46,563,332 200,000 90,339 50,000 $340,339 $46,903,671 100 DEPARTMENT OF AGRICULTURE - UNIT A Functional Budget Summary 1. Plant Industry FY 2001 Appropriations Total State 9,054,061 8,423,061 FY 2002 Recommendations Total State 9,128,814 8,497,814 2. Animal Industry 16,776,666 13,769,531 17,067,450 14,060,315 3. Marketing 4. Internal Administration 7,407,628 7,638,120 7,332,628 7,451,120 7,469,343 8,036,638 7,394,343 7,849,638 5. Fuel and Measures 3,634,043 3,629,343 3,701,450 3,696,750 6. Consumer Protection Field Forces 7. Seed Technology and Development Total - Unit A 8,611,675 697,804 $53,819,997 5,367,455 $45,973,138 8,649,031 675,332 $54,728,058 5,404,811 $46,903,671 TOTAL APPROPRIATIONS $53,819,997 $45,973,138 $54,728,058 $46,903,671 RECOMMENDED APPROPRIATION: The Department of Agriculture is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $46,903,671. 101 DEPARTMENT OF AGRICULTURE -- Financial Summary Unit B -- Georgia Agrirama Development Authority Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Year 2000 Project Goods for Resale Total Funds FY 1999 Expenditures 916,593 153,461 3,794 10,719 40,516 6,544 7,809 60,215 9,064 100,287 $1,309,002 Less Federal & Other Funds: Other Funds Direct Payments from Agriculture Total Federal & Other Funds TOTAL STATE FUNDS 455,271 853,731 $1,309,002 Positions 21 Motor Vehicles 9 FY 2000 Expenditures 982,694 157,932 7,385 700 6,916 24,122 10,167 8,856 33,649 FY 2001 Current Budget 1,153,218 197,000 3,000 5,000 96,500 9,500 7,500 125,000 73,375 $1,305,796 120,000 $1,716,718 476,506 829,290 $1,305,796 832,000 884,718 $1,716,718 21 21 9 9 FY 2002 Agency Requests Adjusted Base Enhancements Totals 1,157,323 207,600 7,000 25,000 7,000 96,500 9,500 10,000 125,000 1,475,000 1,157,323 207,600 7,000 25,000 7,000 96,500 9,500 10,000 1,600,000 120,000 $1,764,923 $1,475,000 120,000 $3,239,923 875,530 889,398 $1,764,928 1,475,000 $1,475,000 875,530 2,364,398 $3,239,928 21 21 9 9 102 DEPARTMENT OF AGRICULTURE -- Financial Summary Unit B -- Georgia Agrirama Development Authority Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Year 2000 Project Goods for Resale Total Funds FY 2001 Annualizers and Current Budget Adjustments 1,153,218 197,000 3,000 (5,491) 10,600 4,000 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements 1,147,727 207,600 7,000 5,000 96,500 9,500 7,500 125,000 2,000 2,500 7,000 96,500 9,500 10,000 125,000 120,000 $1,716,718 $13,609 120,000 $1,730,327 Less Federal & Other Funds: Other Funds Direct Payments from Agriculture Total Federal & Other Funds TOTAL STATE FUNDS 832,000 884,718 $1,716,718 19,100 (5,491) $13,609 851,100 879,227 $1,730,327 Positions 21 21 Motor Vehicles 9 9 Totals 1,147,727 207,600 7,000 7,000 96,500 9,500 10,000 125,000 120,000 $1,730,327 851,100 879,227 $1,730,327 21 9 FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 AGENCY APPROPRIATIONS Annualizers: 1. Provide increases for regular operating expenses ($10,600), travel ($4,000), equipment ($2,000) and telecommunications ($2,500). 2. Provide for adjustments to personal services. ADJUSTED BASE TOTAL AGENCY FUNDS Governor's Recommendations 1,716,718 19,100 (5,491) $1,730,327 $1,730,327 103 DEPARTMENT OF AGRICULTURE Roles and Responsibilities The Department of Agriculture is responsible for enforcing laws and conducting programs safeguarding the quality of agricultural products and encouraging growth in the productivity and income of the state's agricultural industry. The department's efforts in these areas are also designed to protect farmers and consumers purchasing and selling agricultural products. The department's programs are operated jointly with the U.S. Department of Agriculture. PLANT INDUSTRY DIVISION The role of this division is to administer and enforce federal and state laws relating to fertilizers, feeds, grains, seeds, pesticides and pest control, nursery and plant certification, honeybees, treated timber, boll weevil eradication, and other related programs for environmental protection. The division promotes Georgia's agricultural and horticultural interests, and inspects and tests sufficient quantities of each commodity to be sure that those commodities reaching the consumer meet minimum standards and are correctly labeled. ANIMAL INDUSTRY DIVISION The Animal Industry Division is responsible for eradicating brucellosis, tuberculosis, pseudorabies, etc., in livestock. Additional responsibilities include: promoting certification and accreditation of cattle herds, qualification and validation of swine herds, and maintaining strict surveillance programs to prevent reinfection through total testing at livestock markets; assisting livestock producers through disease surveillance programs and laboratory diagnostic work; and gathering and reporting information on the poultry markets of Georgia. The division enforces the Dead Animal Act, Poultry Carcass Regulations, Garbage Feed Law, Prompt Pay of Auctioned Livestock Bill and both inter-state and intra-state livestock movement. Additionally, the division procures fertilizer, feed and lime samples for laboratory testing, and enforces the provisions of the Georgia Meat Inspection Act of 1969. MARKETING DIVISION The Marketing Division operates 6 regional markets (Atlanta, Augusta, Colu mbus, Macon, Savannah, and Thomasville) and 17 seasonal/local market places. This division collects and distributes market information on Georgia agricultural products, administers various marketing programs, and locates and develops new international markets for Georgia products. They also provide supervision for the eight Georgia Agricultural Commodity Commissions. FUEL AND MEASURES This function ensures equity between buyers and sellers in commercial transactions by inspecting weighing and measuring devices to verify that the prescribed level of accuracy for these devices is maintained. To insure compliance with applicable laws, the division enforces advertising laws regarding motor fuel and conducts examination/inspections of state warehouse and grain dealer. The division also inspects and tests commercial weighing devices, including scales, liquefied petroleum gas meters, milk tanks, moisture meters, gasoline pumps, transport tank trucks, fuel oil terminals and bulk plants. CONSUMER PROTECTION DIVISION The primary function of this division is to inspect retail food establishments (i.e., grocery stores) for contamination and adulteration of retail food products. To ensure that all requirements are being maintained according to minimum federal and state standards, the division operates a dairy inspection program on farm and processing plants operating in Georgia, and provides information and statistics about milk and the dairy program to the industry and consumers. SEED TECHNOLOGY AND DEVELOPMENT DIVISION This division produces, processes, treats, stores and distributes to seed producers and farmers foundation agricultural seed stocks of 18 or more different crops comprising 60 to 65 different varieties and hybrids. AUTHORITY Title 5, 42-208, Georgia Code Annotated. 104 DEPARTMENT OF AGRICULTURE Strategies and Services The Department of Agriculture hosts a variety of programs and services in its regulation of agriculture and agriculture related industries, as well as in its education and protection of the public on agriculture and associated areas (i.e., retail food stores, petroleum products, meat and poultry inspections, etc.). The following strategies and services illustrate activities occurring in the Food and Milk Safety, Pesticide and Pesticide Container Disposal, Agriculture Product Promotion, Fuel and Measures, Structural Pest Control, and the Animal Protection programs. FOOD AND MILK SAFETY The Food and Milk Safety Program consists of the following types of inspections: retail food store, meat and milk. The rising number of non-traditional retail sales establishments expanding into the retail food sector prompted the department to begin implementing a new electronic inspection system to cope with the added workload and other demands these developments in the retail food industry have placed on the department's inspectors. Additionally, the department's retail food inspectors are also continuing to receive advanced level training in all areas of food processing, including in-store meat processing, seafood handling, deli operations and bakery operations in order to remain abreast of developments in the retail food field. Meat inspectors currently inspect and license 148 red meat slaughter and processing facilities for the purpose of assuring the production of wholesome, unadulterated and properly labeled meat/poultry products. The Meat Inspection program's responsibilities were expanded in 1995 with the commencement of the voluntary inspection program concerning ratite (i.e. ostrich, emu, rhea) slaughter and processing. The ratite meat program allows red meat slaughter/processing plants to be approved to slaughter/process ratite meat for sale to the public. Another event affecting the entire meat inspection program is the federal government's stipulation that state meat inspection programs convert to the Performance Based Inspection System (PBIS). This system, now fully implemented, electronically generates an objective inspection schedule and criteria based on the specified meat establishment's processes and compliance history. The long range goal of the meat inspection program is to provide inspections that are comparable to those conducted at federally inspected establishments in degree and scope, and to effectively cross-utilize resources in performing these inspections whenever possible. Milk safety inspectors inspect dairy facilities for compliance with health and safety regulations concerning milk and dairy products. The federal Food and Drug Administration (FDA) has selected the Georgia Milk Safety Program as one of its state pilots in the development and testing of a new electronic inspection system to eventually be used nationwide. Food Establishment Inspections FY 1996 - FY 2000 60,191 58,424 55,964 50,926 48,407 1996 1997 1998 1999 2000 Fiscal Years Note: The drop in FY 2000 inspections is due to a computerized reporting program that provides only active establishments. PESTICIDE AND PESTICIDE CONTAINER DISPOSAL The Pesticide Division is coordinating a program in conjunction with local governments and organizations to collect plastic pesticide containers for recycling. Presently, 30 counties are involved in this endeavor. The program is projected to recycle 200,000 pounds of chipped plastic in FY 2001 through these efforts compared to the 180,000 pounds recycled in FY 2000. The division is also sponsoring a program known as Georgia Clean Day, through a grant from the federal Environmental Protection Agency (EPA) and funds from the Department of Natural Resources, to collect pesticides which can no longer be legally used. In this program, targeted illegal pesticides are collected and disposed of by authorized disposal firms to prevent illegal disposal of and environmental contamination from these outlawed pesticides. Since FY 1995, pesticide collections amounting to 892,688 pounds have been made in 76 counties. Projected collections for FY 2001 represent an additional 250,000 pounds. AGRICULTURE PRODUCT PROMOTION The department is continuing its activities to promote Georgia agricultural products in campaigns directed at the domestic and international markets. These campaigns use the theme "Georgia...Always In Good Taste" in publicizing and displaying Georgia products at food and 105 DEPARTMENT OF AGRICULTURE -- Strategies and Services trade shows nationally and internationally. The department is also pursuing broadening the use of the "Georgia...Always In Good Taste" logo in concert with its product promotion efforts. The department is working with large retailers in identifying and marketing Georgia grown and processed items. FUEL AND MEASURES The Fuel and Measures Division is responsible for regulating the accuracy of all commercial weighing and measuring devices, and the quality of petroleum products. The division has upgraded the six trucks used in inspecting and testing heavy weigh scales to comply with the latest revised federal Department of Commerce standards for large weigh scale testing. The division's petroleum fuel and antifreeze inspection and testing outfits inspected 7,500 service stations and tested approximately 14,748 petroleum fuel and antifreeze samples for FY 2000. STRUCTURAL PEST CONTROL The Structural Pest Control Program regulates firms, certified operators and employees involved in supplying household pest control services for controlling ants, roaches and other insects, along with wood destroying organisms such as termites, wood destroying beetles and wood destroying fungi. Program staff also conducts inspections of dwellings and products treated for these pests. These inspections verify that the dwellings and products have been properly treated for the pest(s) in question. ANIMAL PROTECTION The department enforces the Animal Protection Act, which requires pet industry operators (i.e. pet dealers/brokers, breeders, animal shelters, kennel operators, etc.) to satisfy a variety of standards before being issued an operating license. The Act's purposes are to prevent unhealthy pets from being sold to the public, and to protect animals from abuse or neglect while they are awaiting sale. Inspectors also enforce federal laws regarding the use of controlled drugs for euthanasia at animal shelters, and monitor federal certificates of veterinary inspection and rabies inoculation records. The 11 inspectors assigned to this licensing and enforcement program inspect over 2,500 establishments and respond to nearly 1,400 complaints annually. Pesticide Treatment Inspections FY 96 - FY 00 3,890 4,501 5,512 5,832 5,897 96 97 98 99 2000 Fiscal Years 106 DEPARTMENT OF AGRICULTURE - UNIT A Results-Based Budgeting MARKETING AND PROMOTION Purpose: Promote the marketing and distribution of Georgia agricultural products to consumers in state, national and foreign markets through heightened awareness of consumers in these markets regarding Georgia agricultural products. Goal 1: Identify and develop new markets for Georgia agricultural products, while raising the demand for these products in existing markets. - The value of selected Georgia agricultural products monitored by the Marketing Division will increase 5% over the FY 2002 value. FY 2000 Desired 5% FY 2000 Actual 10% [1] FY 2001 Desired 5% FY 2002 Desired 5% Goal 2: Promote and improve distribution channels for Georgia agricultural products. - Value of Georgia's agricultural exports will increase by 5%. 5% - Value of Georgia's agricultural products sold at the State Farmers' 5% Market will increase by 5%. Program Fund Allocation -- Total Funds State Funds Notes 1 - 2,818,896,300 of 2,562,633,000. 2 - 1,189,965,000 of 1,133,300,000. 3 - 578,681,647 of 520,911,754. 5% [2] 5% 5% 11% [3] 5% 5% $13,046,403 $12,922,059 $13,814,174 $12,354,917 $12,714,819 $13,614,714 FOOD SUPPLY SAFETY (NON-RESTAURANTS) Purpose: Ensure all food and food products and/or sold in Georgia are safe and wholesome. Goal 1: The supply of food products available to consumers is FY 2000 FY 2000 safe, wholesome, unadulterated, properly labeled, and protects Desired Actual the consumer from deceptive practices. - There will be no medically documented food borne illnesses 0 0 caused by food processed, produced and sold from establishments regulated by the Georgia Department of Agriculture. - 100% of the food remaining in trade found to be not in compliance with state and/or local regulations will be removed. 100% 100% - 100% of the dairy farms and milk processing plant inspected in FY 2001 will average at least 90% of sanitary and quality requirements during regularly scheduled inspections. Farms Milk Plants - 100% of dairy farms and milk plants originally cited on sanitary and quality requirements will upon re-inspection be corrected or taken out of service. - 100% of food products found to have significant label violations, according to state and/or federal regulations, will be relabeled of removed from sale. 100% 100% 100% 100% 100% 100% 100% 100% FY 2001 Desired 0 100% 100% 100% 100% 100% FY 2002 Desired 0 100% 100% 100% 100% 100% 107 DEPARTMENT OF AGRICULTURE - UNIT A --Results-Based Budgeting - At least 96% of meat plants reviewed will meet standards. - 100% of meat plants originally cited as not acceptable will become acceptable upon re-inspection. -98% of the meat products sampled for fat, moisture, protein and additives that originate form state inspected establishments will comply with requirements. GOAL 2: Food animals will be free of diseases regulated by a USDA eradication program. - Maintain a tuberculosis Accredited Free statue for Georgia cattle (no infection). Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 96% 100% 98% FY 2000 Actual 96% 100% 98% FY 2001 Desired 96% 100% 98% FY 2002 Desired 96% 100% 98% 0 0 0 0 $18,519,838 $18,395,456 $18,405,311 $11,968,815 $12,323,012 $12,336,764 NON-FOOD REGULATORY SERVICES Purpose: Assure the availability of accurate and safe non-food agricultural products and services. Goal 1: Petroleum products will meet legal quality and FY 2000 FY 2000 quantity standards. Desired Actual - At least 97% of the motor fuel sold in Georgia will meet 97% 98.5% minimum quality and quantity standards during FY 2001 based on 14,524/14,748 analyses by the Department of Agriculture's petroleum laboratory. - At least 97% of the fuel pumps inspected in FY 2002 will meet 97% N/A the legal standards for accuracy during regularly scheduled inspections and complaint inspections. - 100% of the fuel pumps cited as not meeting the legal standard 100% 100% for accuracy will meet these standards on re-inspection or taken out (16,901) of service. - Commercial scales that meet legal standard when inspected. 94% N/A - Commercial scales that did not meet the legal standard and are repaired or taken out of service upon re-inspection. 100% 100% (1,505) - 97% of treated wood that is inspected will meet the standards as 97% 79.6% specified by the Georgia Treated Timber Act. 404/573 - 90% of the structural pest control companies which were found to 90% 70.5% have violated federal and state regulations will comply with the 404/573 regulations upon re-inspection. Goal 2: Pets in the market place and in licensed facilities will be disease free and treated humanely. - The percentage of equine infectious anemia that are positive will .019% .009% decrease from .02 to .019. 6/68,955 - Valid equine abuse complaints will decrease from 70% to 65% of 65% 67% the total. 427/638 - At least 96% of the licensed animal protection facilities will meet 96% N/A the legal standards of humane care. - 96% of animal protection facilities that were originally cited will 96% 94% comply with the law on re-inspection. 262/279 FY 2001 Desired 97% 97% 100% 94% 100% 97% 90% .01% 65% 96% 96% FY 2002 Desired 97% 97% 100% 94% 100% 97% 90% .01% 65% 96% 96% 108 DEPARTMENT OF AGRICULTURE - UNIT A -- Results-Based Budgeting GOAL 3: The commodities (feed, fertilizer, pesticide, seed and lime) available to the public will meet minimum legal quality standards. - At least 93% of the samples of feed for sale will meet legal minimum quality standards. - At least 70% of the samples of fertilizer for sale will meet minimum quality standards. - At least 98% of the samples of pesticides for sale will meet minimum quality standards. - At least 98% of the samples of seed will meet minimum quality standards. - At least 98% of lime products for sale will meet legal minimum quality standards. FY 2000 Desired FY 2000 Actual FY 2001 Desired 93% 92.3% 93% 2,182/2,364 70% 74.6% 70% 830/1,113 98% 96.1% 98% 616/641 98% 98% 98% 24,178/24,688 98% 94.5% 98% 52 of 55 FY 2002 Desired 93% 70% 98% 98% 98% Program Fund Allocation -- Total Funds State Funds $20,981,477 $20,840,563 $20,851,728 $19,474,280 $20,050,589 $20,072,965 109 DEPARTMENT OF AGRICULTURE - UNIT A -- Results-Based Budgeting ATTACHED AGENCIES SEED TECHNOLOGY DEVELOPMENT COMMISSION SEED TECHNOLOGY AND DEVELOPMENT Purpose: To maintain genetic integrity, propagate and license seed and vegetative material of important plant cultivars and make such seed and plant stocks available to qualifies producers in Georgia and other states or countries as appropriate. Program, Goal 1: Georgia seedpersons will have access to genetically pure foundation seed of important developed cultivars. - Foundation seed, sod, sprigs and plants are maintained at 99.5% genetically pure.. Goal 2: Genetically pure sprigs and/or sod of important turfgrass cultivars will be adapted to use in Georgia. - Enough foundation sprigs and requested cultivars will be available so at least 90% of the qualified turfgrass and forage grass producers will be able to purchase the quantity that they desire. FY 2000 Desired 99.5% 90% FY 2000 Actual 99.5% 58/59 100% 21/21 FY 2001 Desired 99.5% 90% FY 2002 Desired 99.5% 90% Goal 3: Act as the agent for the University of Georgia and US DA to commercialize plant cultivars. - At least 95% of the cultivars released by UGA/USDA for Georgia 95% producers will be available. Program Fund Allocation -- Total Funds State Funds 100% 1/1 $782,456 95% $697,804 95% $675,332 Other Activities Total Funds State Funds $853,731 $853,731 $964,115 $884,718 $981,513 $879,228 TOTAL - All Programs Total Funds State Funds $54,183,905 $53,819,997 $54,728,058 $44,651,743 $45,973,138 $46,903,671 GEORGIA AGRIRAMA DEVELOPMENT AUTHORITY - UNIT B -- Results-Based Budgeting AGRARIAN HISTORICAL INTERPRETATION AND EDUCATION Purpose: To inform the public of the history of agriculture by operating a living museum depicting rural agrirarian society circa 1878-1920. Goal 1: Visitors will enjoy an informative and enlightening FY 2000 FY 2000 FY 2001 FY 2002 visit. Desired Actual Desired Desired - 85% of the visitors in FY 2002 will rate the living museum 85% 95% 85% 95% experience as very informative. - The number of visitors to the agrirama will increase. 75,000 40,000 75,000 75,000 Program Fund Allocation -- Total Funds $1,305,796 $1,716,718 $1,735,818 Direct Payments from Agriculture $829,290 $884,718 $879,227 110 DEPARTMENT OF BANKING AND FINANCE Total Budgeted Positions -- 146 Administrative Assistant 1 Commissioner 1 Deputy Commissioner 1 Deputy Commissioner for Legal and Consumer Affairs 1 Supervision Program 102 Mortgage Program 20 Corporate Program 6 Administrative Program 14 111 DEPARTMENT OF BANKING AND FINANCE -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Total Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 7,817,099 457,742 411,153 111,430 138,679 392,686 13,429 294,598 73,626 $9,710,442 $9,710,442 140 53 FY 2000 Expenditures 8,333,131 468,376 423,376 114,111 18,927 423,995 13,374 281,289 75,036 $10,151,615 $10,151,615 FY 2001 Current Budget 9,203,028 471,206 475,103 112,380 34,422 458,071 13,435 309,790 94,392 $11,171,827 $11,171,827 138 146 52 52 FY 2002 Agency Requests Adjusted Base Enhancements Totals 9,274,184 471,206 475,103 112,380 34,422 487,056 13,435 309,790 94,392 $11,271,968 $11,271,968 175,504 112,432 $287,936 $287,936 9,449,688 471,206 475,103 224,812 34,422 487,056 13,435 309,790 94,392 $11,559,904 $11,559,904 146 146 52 52 112 DEPARTMENT OF BANKING AND FINANCE -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Total Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 9,203,028 471,206 475,103 112,380 34,422 458,071 13,435 309,790 94,392 $11,171,827 $11,171,827 32,358 28,985 $61,343 $61,343 146 52 FY 2002 Governor's Recommendations Workload Adjusted Base 9,235,386 471,206 475,103 112,380 34,422 487,056 13,435 309,790 94,392 $11,233,170 $11,233,170 Enhancements 19,000 $19,000 $19,000 Totals 9,235,386 471,206 475,103 131,380 34,422 487,056 13,435 309,790 94,392 $11,252,170 $11,252,170 146 146 52 52 113 DEPARTMENT OF BANKING AND FINANCE FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Fund an increase in real estate rents. ADJUSTED BASE 11,171,827 71,156 (38,798) 28,985 $11,233,170 ENHANCEMENT FUNDS ENHANCEMENTS 1. Replace 1 motor vehicle with over 125,000 miles. TOTAL ENHANCEMENT FUNDS 19,000 $19,000 TOTAL STATE FUNDS $11,252,170 114 DEPARTMENT OF BANKING AND FINANCE Functional Budget Summary 1. Financial Institution Supervision FY 2001 Appropriations Total State 8,905,129 8,905,129 FY 2002 Recommendations Total State 8,968,159 8,968,159 2. Georgia Residential Mortgage 1,756,027 1,756,027 1,767,374 1,767,374 3. Financial Institutions Applications and Registration TOTAL APPROPRIATIONS 510,671 510,671 516,637 516,637 $11,171,827 $11,171,827 $11,252,170 $11,252,170 RECOMMENDED APPROPRIATION: The Department of Banking and Finance is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $11,252,170 115 DEPARTMENT OF BANKING AND FINANCE Roles and Responsibilities The Department of Banking and Finance enforces and administers all state laws, rules and regulations governing the operation of state-chartered financial institutions in Georgia. The department provides for: Safe and sound operation of financial institutions. Public confidence in our financial institutions. Protection for the interests of the depositors, creditor and shareholders of financial institutions. Service by financial institutions responsive ot the convenience and needs of the public. Appropriate competition among all financial institutions to promote economic growth. The Department of Banking and Finance is 100 percent state funded. However, the department's budget is equal to the estimate of examination and administrative fees collected by the department and deposited into the State Treasury. As of July 1, 2000, the department was authorized 146 positions in 3 program divisions and the Commissioner's Office. The 3 program divisions include the Supervision Program, the Mortgage/Corporate Program and the Administrative Program. To accomplish its objectives, the department has 3 principal functions: Supervise and regulate financial institutions. Licensing mortgage brokers and lenders. Conduct examinations of financial institutions and mortgage brokers and lenders as required by law. SUPERVISION AND REGULATION The department has the authority to adopt rules and regulations regarding the operation of financial institutions to: Allow state-chartered financial institutions to compete fairly with those chartered by the federal government, other states, or foreign governments. Protect Georgia financial institutions threatened by economic conditions or new technological developments. The Department of Banking and Finance is responsible for regulating and monitoring the condition of 281 statechartered banks, 80 credit unions, 233 Georgia holding companies, 7 international bank agencies, 272 check sale and check cashing companies, and 5 large bank data processing services. LICENSING AND REGISTRATION Article 13 of Title 7 of the Official Code of Georgia Annotated requires mortgage lenders and mortgage brokers to be licensed or registered with the department in order to transact business in Georgia. As of June 30, 2000, 2,771 mortgage brokers and lenders were licensed with the department. The department also conducts investigations and resolves consumer complaints regarding residential mortgage lending. FINANCIAL EXAMINATIONS The department is responsible for examining all financial institutions--except mortgage lenders/brokers-under its regulation at least once each year. Mortgage lenders/brokers are to be examined at least once every 24 months. Exceptions to these examination frequencies are allowed under specific conditions as provided by law. If necessary, the department may require extra reports and conduct additional examinations to obtain essential information. The department is authorized to issue and enforce orders requiring financial institutions to correct unacceptable conditions discovered though financial examinations. During 1999, the department conducted 745 examinations, including 129 banks, 81 credit unions, 520 mortgage broker/lenders, and 15 others. OTHER RESPONSIBILITIES Other responsibilities of the department include approval of all proposals to incorporate as a state-chartered financial institution, approval of all attempts to change existing articles of incorporation, and approval of all mergers and consolidations of financial institutions. Also, the department investigates possible violations of state interest and usury laws. In consultation with the Attorney General, it may issue advisory opinions for the guidance of financial institutions. AUTHORITY Title 7 of the Official Code of Georgia Annotated. 116 DEPARTMENT OF BANKING AND FINANCE Results-Based Budgeting FINANCIAL INSTITUTIONS APPLICATIONS AND REGISTRATION PROGRAMS Purpose: To ensure financial institution applications for new charters, expansions, relocations, licenses, and registrations are in compliance with statutory, legal and department policy requirements in order to maintain an appropriate level of competition among financial institutions in Georgia. Goal 1: All applicants who are granted a new charter or FY 2000 FY 2000 FY 2001 FY 2002 license, are approved for expansion or relocation, or receive a certificate of registration will comply with state laws, Desired Actual Desired Desired regulations, and department policy requirements. - Ninety-five percent of all applicants who are granted a new 92% 99% 95% 95% charter or license, are approved for expansion and relocation, or (175 of 177) receive a certificate of registration will comply with state laws, regulations, and department policy requirements. Goal 2: All check cashers will be engaged in legal business activities and charge fees for services in accordance with state laws. - In FY 2002, fifty percent of the state's check cashers which were 50% 36% 50% 50% targeted for an examination will be in compliance with the law at their annual examination. (41 of 114) Program Fund Allocation -- Total Funds $8,095,999 $8,905,129 $8,968,159 State Funds $8,095,999 $8,905,129 $8,968,159 FINANCIAL INSTITUTIONS SUPERVISION PROGRAMS Purpose: To ensure the safety and sound operation of financial institutions, public confidence in financial institutions, and that financial institutions are responsive to the needs and convenience of customers; protect the interest of depositors, creditors and shareholders of financial institutions, and ensure appropriate competition among financial institutions. Goal 1: Management of all financial institutions in Georgia will operate in a fiscally responsible manner and will employ acceptable practices. - Ninety-five percent of Georgia's financial institutions will receive an acceptable evaluation at their annual examination. - Fifty percent of the financial institutions examined that did not receive an acceptable evaluation rating at their annual examinations will have improved ratings within 12 months. Goal 2: Ensure that the general public will have confidence in the soundness and operation of the financial institutions in Georgia. - In a random sample survey of customers targeted, at least 90% of the customers assisted by the department will be satisfied with the response and assistance provided to them. Program Fund Allocation -- Total Funds State Funds Note: 1. This was revised down from 100%. FY 2000 Desired 95% 50% (1.) 90% FY 2000 Actual 88% (273 of 310) 36% (9 of 25) 77% (72 of 93) $465,332 $465,332 FY 2001 Desired 95% 50% 90% $510,671 $510,671 FY 2002 Desired 95% 50% 90% $516,637 $516,637 117 DEPARTMENT OF BANKING AND FINANCE -- Results-Based Budgeting GEORGIA RESIDENTIAL MORTGAGE PROGRAMS Purpose: To provide the examination of licensed mortgage lenders and brokers to assure compliance with the Georgia Residential Mortgage Act and investigate potential fraud cases and consumer complaints. Goal 1: All residential mortgage lenders and brokers licensed in Georgia will comply with the laws of Georgia and operate in a manner which protects the contractual and property rights of the citizens of this state. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - At least 50% of the licensed mortgage lenders and brokers will 50% 55% 50% 50% comply with requirements at the time of their FY 2002 annual (221 of 405) examination. - Ninety-five percent of the licensed mortgage lenders and brokers N/A N/A (1.) 95% 95% receiving an unacceptable evaluation rating at their annual examination will have improved that rating within 12 months. Program Fund Allocation -- Total Funds $1,590,284 $1,756,027 $1,767,374 State Funds $1,590,284 $1,756,027 $1,767,374 Note: 1. The agency was unable to provide data for this measure. TOTAL - All Programs Total Funds State Funds $10,151,615 $11,171,827 $11,252,170 $10,151,615 $11,171,827 $11,252,170 118 DEPARTMENT OF COMMUNITY AFFAIRS Total Budgeted Positions -- 398 Attached for Administrative Purposes Only Georgia Housing and Finance Authority Georgia Environmental Facilities Authority Georgia Music Hall of Fame Authority Georgia Sports Hall of Fame Authority 14 Housing Trust Fund for the Homeless Commission Georgia Regional Transportation Authority 26 Board of Community Affairs Commissioner 5 Planning and Environmental Management Division 32 Business and Financial Assistance Division 32 Finance Division 29 Community Services Division 104 Housing Finance Division 62 Administrative and Computer Support Division 27 Rural Development Division 52 Georgia Music Hall of Fame Division 15 119 DEPARTMENT OF COMMUNITY AFFAIRS -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Capital Felony Expense Act Regional Planning and Development Contracts Local Assistance Grants ARC Assessment HUD--CDBG Grants Georgia Environmental Facilities Authority Community Service Grants HOME Program ARC--Revolving Loan Fund Local Development Fund Music Hall of Fame Authority Sports Hall of Fame Authority State Housing Trust Fund Reg'l Economic Business Assistance Grants State Commission for Nat'l and Community Service EZ/EC Administration EZ/EC Grants Reg'l Economic Development Grant Program Contracts for Homeless Assistance HUD--Section 8 Georgia Regional Transportation Authority Overhead Cost Allocation Main Street Program Quality Growth Program Total Funds 18,188,596 2,477,465 540,187 157,893 540,944 1,171,674 4,549,312 671,946 613,412 240,000 1,954,441 7,169,250 132,273 48,607,080 2,391,383 4,256,366 19,672,169 270,000 649,427 757,051 917,937 3,281,250 5,225,000 487,293 126,571 695,125 1,187,500 55,389,738 44,027 $182,365,310 FY 2000 Expenditures 19,681,584 2,485,335 611,533 283,623 281,159 1,364,245 4,243,244 541,046 522,733 129,900 2,495,948 FY 2001 Current Budget 20,301,876 2,505,576 504,723 384,085 1,451,218 1,379,560 693,735 517,228 500,000 2,204,851 45,934,977 133,355 40,739,196 429,541 30,199,100 133,355 30,000,000 5,315,000 4,457,880 26,222,208 5,000,000 3,165,581 617,000 617,500 1,008,027 3,281,250 6,847,147 915,888 3,281,250 2,847,147 208,595 1,128,125 2,921,601 56,805,393 9,858,139 189,073 1,128,125 1,250,000 50,000,000 4,971,497 $233,232,784 $169,456,368 FY 2002 Agency Requests Adjusted Base Enhancements Totals 21,040,319 2,511,326 657,032 48,823 35,856 11,388 21,089,142 2,547,182 668,420 376,544 1,544,581 1,483,253 514,750 517,834 4,000 12,300 458 30,000 380,544 530,134 1,483,253 515,208 1,574,581 500,000 2,204,851 500,000 2,204,851 30,168,600 133,355 42,199,340 315,000 2,000,000 30,168,600 133,355 42,199,340 2,315,000 5,000,000 3,165,581 5,000,000 3,165,581 617,500 617,500 921,838 3,281,250 2,847,147 27,477 949,315 3,281,250 2,847,147 1,128,125 1,250,000 50,000,000 5,120,145 1,128,125 1,250,000 50,000,000 5,120,145 $177,498,371 $2,170,302 $179,668,673 120 DEPARMENT OF COMMUNITY AFFAIRS -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Capital Felony Expense Act Regional Planning and Development Contracts Local Assistance Grants ARC Assessment HUD--CDBG Grants Georgia Environmental Facilities Authority Community Service Grants HOME Program ARC--Revolving Loan Fund Local Development Fund Music Hall of Fame Authority Sports Hall of Fame Authority State Housing Trust Fund Reg'l Economic Business Assistance Grants State Commission for Nat'l and Community Service EZ/EC Administration EZ/EC Grants Reg'l Economic Development Grant Program Contracts for Homeless Assistance HUD--Section 8 Georgia Regional Transportation Authority Overhead Cost Allocation Main Street Program Quality Growth Program Total Funds 20,301,876 2,505,576 504,723 384,085 1,451,218 1,379,560 693,735 517,228 500,000 2,204,851 30,199,100 133,355 30,000,000 5,315,000 5,000,000 3,165,581 617,500 915,888 3,281,250 2,847,147 189,073 1,128,125 1,250,000 50,000,000 4,971,497 169,456,368 712,033 (25,802) 109,526 (7,541) 25,967 165,021 (175,956) (1,780) (250,000) (30,199,100) (5,125,000) 5,950 12,199,340 (2,847,147) (292,878) 201,067 (25,506,300) FY 2002 Governor's Recommendations Workload Adjusted Base 21,013,909 2,479,774 614,249 Enhancements 48,823 35,856 11,388 376,544 1,477,185 1,544,581 517,779 515,448 4,000 12,300 458 250,000 2,204,851 133,355 30,000,000 190,000 250,000 5,000,000 3,165,581 617,500 921,838 15,480,590 22,120 Totals 21,062,732 2,515,630 625,637 380,544 1,489,485 1,544,581 518,237 515,448 250,000 2,204,851 250,000 133,355 30,000,000 190,000 5,000,000 3,165,581 617,500 943,958 15,480,590 189,073 1,128,125 1,250,000 50,000,000 4,678,619 201,067 143,950,068 189,073 1,128,125 1,250,000 50,000,000 4,678,619 500,000 884,945 201,067 500,000 144,835,013 121 DEPARTMENT OF COMMUNITY AFFAIRS -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 135,341,252 9,393,246 1,784,736 $146,519,234 $35,846,076 376 9 FY 2000 FY 2001 Expenditures Current Budget FY 2002 Agency Requests Adjusted Base Enhancements Totals 137,095,630 7,755,895 2,074,210 $146,925,735 $86,307,049 94,909,351 8,304,675 $103,214,026 $66,242,342 107,411,846 8,617,004 $116,028,850 $61,469,521 428 398 398 55 9 9 107,411,846 8,617,004 $2,170,302 $116,028,850 $63,639,823 1 399 9 122 DEPARMENT OF COMMUNITY AFFAIRS -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS FY 2001 Annualizers and Current Budget Adjustments 94,909,351 8,304,675 12,495,907 318,917 $103,214,026 66,242,342 $12,814,824 ($38,321,124) Positions Motor Vehicles 398 5 9 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements Totals 107,405,258 8,623,592 $116,028,850 $27,921,218 403 9 107,405,258 8,623,592 $884,945 $116,028,850 $28,806,163 1 404 9 123 DEPARTMENT OF COMMUNITY AFFAIRS FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment for the Department of Community Affairs ($101,728), Georgia Regional Transportation Authority ($20,600), and Georgia Sports Hall of Fame Authority ($5,208). 2. Adjust for DOAS rates for Department Community Affairs ($7,963), Georgia Regional Transportation Authority ($7,276), and Georgia Sports Hall of Fame Authority ($742). 3. Adjust for non-recurring expenditures: a. Local Assistance Grants. b. Capital Felony Expense Act . c. Georgia Regional Transportation Authority - One-time funding for equipment. d. Georgia Regional Transportation Authority - Reduce computer charges to reflect department needs. e. Georgia Regional Transportation Authority - One-time funding for motor vehicle purchases. f. Georgia Environmental Facilities Authority - The Georgia Loan Fund Program. g. Georgia Environmental Facilities Authority - One-time increase for the Rural Water Association. Other Adjustments: 4. Adjust common objects based on projected needs. 5. Transfer the Main Street program, including 2 positions, from the Department of Industry, Trade, and Tourism. 6. Transfer the Public Information and Education Initiative (PIE) program, including 3 positions from the Office of Human Relations. 7. Transfer the Regional Economic Business Assistance program to the OneGeorgia Authority. 66,242,342 127,536 15,981 (30,199,100) (250,000) (50,754) (250,000) (20,000) (5,000,000) (125,000) (48,707) 201,067 125,000 (2,847,147) ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Add 1 position to the Planning and Environmental Management Division to accommodate increased workload associated with implementing HB 489 service delivery strategies. 2. Provide funding to support the operations of the Rural Development Council. 3. Provide Local Assistance Grant funding for operating expenses for the Fore! Augusta Foundation's golf program for children ($250,000). $27,921,218 53,825 59,000 250,000 124 DEPARTMENT OF COMMUNITY AFFAIRS -- FY 2002 Budget Summary 4. Initiate a Quality Growth Grant Program to foster smart growth. 5. Georgia Sports Hall of Fame Authority - Provide state share of increase in cost of electricity resulting from modifications to HVAC system to provide museum standard environment. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Governor's Recommendations 500,000 22,120 $884,945 $28,806,163 125 DEPARTMENT OF COMMUNITY AFFAIRS Functional Budget Summary 1. Executive Division FY 2001 Appropriations Total State 37,192,139 37,024,188 FY 2002 Recommendations Total State 6,862,133 6,690,389 2. Planning and Environmental Management Division 4,641,237 4,413,281 4,691,176 4,463,100 3. Business and Financial Assistance Division 4. Housing Finance Division 36,767,868 8,138,290 5,191,830 3,165,581 46,960,922 8,337,972 3,155,441 3,165,581 5. Finance Division 8,404,398 6,772,856 3,343,606 1,659,119 6. Administrative and Computer Support Division 7. Georgia Music Hall of Fame Authority 2,242,670 1,874,857 766,002 931,779 2,244,023 1,846,105 762,105 931,779 8. Community Services Division 65,911,276 3,693,192 66,236,943 3,666,516 9. Rural Development Division TOTAL APPROPRIATIONS 4,283,633 $169,456,368 4,283,633 $66,242,342 4,312,133 $144,835,013 4,312,133 $28,806,163 RECOMMENDED APPROPRIATION: The Department of Community Affairs is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $28,806,163 126 DEPARTMENT OF COMMUNITY AFFAIRS Roles and Responsibilities The mission of the Department of Community Affairs data, population, economic and other demographic data, is to improve the quality of life for Georgians by enhancing census data, historical data, and state agency data. the effectiveness of local governments and by developing Additionally, the database is incorporated into the state's and maintaining a positive relationship between state Geographic Information System (GIS) planning efforts. government and the 159 counties and over 550 municipalities in Georgia. Based on information collected from various sources, the department prepares numerous surveys, reports, documents, publications and studies. TECHNICAL ASSISTANCE The department provides technical assistance to local governments to help solve operational problems and PARTICIPATION IN FEDERAL PROGRAMS AND ADMINISTRATION OF GRANTS TO LOCAL improve management systems. Assistance activities include, but are not limited to, Personnel Administration, Building Codes, Public Works, Governmental GOVERNMENTS The department administers the state and federal funds entrusted to the state for Community Development Block Organization/Management Practices and Regional Grants (CDBG), Appalachian Regional Commission (ARC) Development Centers (RDCs). grants and Revolving Loan Funds in the 35 Appalachian The department provides training to local governments Regional Commission counties. The department also in a variety of administrative areas such as payroll, budget and accounting, and procurement. The department functions as a manager and contract monitor for passthrough grants. Such grants/contracts administered by conducts code enforcement training for local government DCA include state contracts for Regional Planning and inspectors in implementing the statewide uniform construction and building codes. Additionally, training is provided to local governments that request as sistance in Development, Local Assistance Grants, Local Development Fund, Regional Economic and Business Assistance Grants and Local Government Efficiency Grants. installing a user fee system for local public works. The department also develops sample policy and procedure manuals for local law enforcement and other governmental ATTACHED AGENCIES organizations and contracts with RDCs to provide technical The Georgia Regional Transportation Authority was assistance to local governments. Finally, the department created in 1999 to combat traffic congestion, air pollution provides training and technical assistance to local and poorly planned development in the 13-county Atlanta governments in the area of housing and community and region that is currently a "non-attainment" area under the economic development, as well as technical assistance to federal Clean Air Act. small businesses in need of financial assistance. The Georgia Environmental Facilities Authority COMPREHENSIVE PLANNING ASSISTANCE/ SOLID WASTE MANAGEMENT PLANNING makes low cost loans available to local governments for water supply, wastewater treatment and solid waste facilities and coordinates the remediation and removal of The department has primary responsibility for implementing the Planning Act of 1989 (Growth Strategies). In this regard, the department develops and state owned underground storage tanks. The Georgia Housing Finance Authority assists low and moderate income Georgians in obtaining affordable administers appropriate standards and procedures for local housing. comprehensive planning; reviews plans submitted by local governments; certifies local governments as qualified The State Housing Trust Fund is the mechanism for channeling state funds to support project initiatives in participants in the planning process; and assists the Homeless Assistance programs, Low-Income Rental Governor and his Development Council in preparing a Housing programs, and Special Need Housing programs. comprehensive statewide plan. In addition, the department The Georgia Music Hall of Fame Authority has fulfills its statutory obligation to the Georgia Solid Waste Management Act by reviewing the waste reduction strategies adopted by regional/local government coalitions. responsibility to operate, maintain and promote a facility housing the Georgia Music Hall of Fame. The Georgia Sports Hall of Fame Authority has INFORMATION The department has primary responsibility to serve as a responsibility to construct, operate, maintain and promote a facility to house the Georgia Sports Hall of Fame. The State Commission on National & Community clearinghouse for information and initial point of contact within state government for information, data, resources and assistance regarding activity related to local Service has responsibility for developing and implementing community service programs in Georgia. governments. Staff time and efforts are devoted to ongoing AUTHORITY development and enhancement to the Georgia database and Titles 8, 12, 36, 48 and 50 of the Official Code of network. The database contains: 10 years of local finance Georgia Annotated. 127 DEPARTMENT OF COMMUNITY AFFAIRS Strategies and Services The mission of the Department of Community Affairs (DCA) is to improve the quality of life of all Georgians through local planning and community development programs and the building and fostering of local leadership capabilities. DCA serves as the Governor's liaison with local communities and local government associations in community development matters and housing issues. Community development and technical assistance are provided to local governments primarily through the divisions of Business and Financial Assistance, Planning and Environmental Management, Housing Finance, Rural Development, and Community Services. Housing assistance is provided through Housing Finance. FINANCIAL ASSISTANCE The department provides economic development and community investment assistance to local governments through administration of a number of grant programs. The federally funded Community Development Block Grant (CDBG) supports several programs that assist Georgia's communities. The CDBG Employment Incentive Program (EIP) funds projects that result in new or retained jobs for lowand moderate-income Georgians. Georgia communities have also established Revolving Loan Fund (RLF) programs through the EIP. RLFs provide loans to community organizations that provide support for new or expanding local businesses. The majority of CDBG projects are regular competitive grants, which fund public facility projects that improve the quality of life in the local community. These projects can include the extension of water lines, installment of sewer systems, construction of curbs and gutters, and other public infrastructure improvements. CDBG has also funded housing rehabilitation projects and the construction of community facilities such as health centers and senior centers. The Regional Economic Business Assistance Grant (REBA) provides awards for direct economic development assistance. Governor Barnes recommends that the state funded program be transferred to the OneGeorgia Fund and is attached to the Department of Industry, Trade and Tourism. OneGeorgia Fund was created last year to assist rural areas in Georgia with economic development projects. While the REBA program will still be administered by DCA, transferring the program offers a "one stop" process for economic development assistance to communities throughout Georgia. REGIONAL DEVELOPMENT In recent years, the Department of Community Affairs has focused attention on the many community problems that transcend city and county boundaries. The department has addressed these issues by providing financial and technical assistance to Georgia's communities. In the area of financial assistance, the targeted regional assistance grant program was created in FY 1998 for multi-county or regional projects. In an effort to strengthen the state's support for community-led economic development, the department partnered with DITT in FY 1999 to provide more technical assistance and state resources for regional and rural development. Regional development teams consisting of 2 DCA representatives in each of 11 planning regions outside of Atlanta were implemented to assist communities in identifying state resources, to facilitate regional or multigovernmental projects, and to provide technical assistance and training to local governments in community leadership development. A Regional Advisory Council drawn from local government and business leaders advises each regional team. In the Amended FY 2001 Budget Governor Barnes has recommended $1,500,000 to match private and local funds to initiate a new downtown development revolving loan fund called the Georgia Cities Foundation which will be in the Georgia Housing and Finance Authority. The Georgia Cities Foundation is a non-profit subsidiary of the Georgia Municipal Association. Its purpose is to make Georgia's downtowns more livable and economically prosperous through public and private partnerships and to facilitate the redevelopment and reuse of downtown areas throughout Georgia. Its focus will be on measurable short-term results with long range potential for economic viability. The Quality Growth Program is another new program in FY 2002 that will encourage implementation of the types of quality growth best practices that have been very successful in other parts of the country. The initial program will provide flexible funding to promote implementation of quality growth initiatives throughout Georgia. Among other things, the Quality Growth Program will address quality growth projects outside the scope of existing grant or loan sources, assist communities with planning and assistance in developing innovative regulations or incentive programs for smart growth concepts, and provide seed money for "brick and mortar" projects exemplifying quality growth principals. It is anticipated that, at minimum, cities, counties, qualifying non-profit organizations, and Georgia colleges or universities would be eligible grant recipients. LOCAL ASSISTANCE GRANTS DCA has broad authority to provide grants and serves as the administrative agent for projects placed in their budget by the Governor and General Assembly for local governments and school boards. The Governor has recommended Local Assistance Grant funds for various projects in the Amended FY 2001 128 DEPARTMENT OF COMMUNITY AFFAIRS -- Strategies and Services Budget. These projects support tourism and other growth-enhancing activities throughout the state. HOUSING ASSISTANCE The Housing and Finance Division of the Department of Community Affairs administers programs aimed at increasing the number of first time homeowners in Georgia. The state and federally funded HOME programs offer qualified first time homebuyers low interest loans and down payment assistance. In addition, this program offers multifamily housing assistance to encourage developers to increase the number of low-income residential rental developments they build or rehabilitate. Developers can obtain public and private financing from a number of sources including the HOME Investment Partnerships Program, Low Income Housing Tax Credits, and Georgia Housing Trust Fund monies. The department also administers the federally funded Stewart B. McKinney Homeless Assistance Act programs and the state funded Georgia Housing Trust Fund for the Homeless. The Trust Fund Commission awards funds to nonprofit organizations and units of local government to support the operation of emergency shelters, transitional housing and essential services for the homeless. The Commission also provides technical and financial assistance to supportive housing developments that serve individuals and families with special housing needs. RENTAL ASSISTANCE Another housing assistance area is the Housing and Urban Development, Section 8 program. The department administers this program in 149 of 159 counties, providing low-income families with quality affordable rental housing. The program is administered through regional offices in Albany, Athens, Carrollton, Eastman, and Waycross. Rent subsidies are provided to landlords who agree to maintain their rental properties at the required Housing Quality Standards and to rent to qualified low-income families. The Family Self-Sufficiency program is an effort to reduce participant dependency on Section 8 and other public support. Public and private sector resources provide education, counseling, job placement assistance, job training and other supportive services to help participants become self sufficient. PLANNING AND ENVIRONMENTAL MANAGEMENT The Planning and Environmental Management Division is designed to strengthen local governments planning efforts. This includes not only helping those local governments to invest their money wisely in roads, schools, water and sewers, but also guidance in developing local comprehensive plans, reviewing local plans and assisting officials in bringing them into compliance with state planning requirements and providing technical and financial assistance for implementing the plans. In FY 2002 the Governor has recommended an additional position to help with such review of local plans and to assist locals entities with their comprehensive plans as designated in O.C.G.A 36-70-27 (HB 489) with changes passed in 1997 which established the Service Delivery Strategy Law. This law requires each county and all cities to agree on a strategy for the future delivery of services throughout the county. The initial role of DCA was to conduct a compliance review of each strategy to verify that it met the requirements of the law. All 159 strategies were reviewed during FY 2000 and all local governments will be preparing required updates to their strategies between 2001 and 2006. DCA is now commonly called on to help counties and cities amend their strategies and meet statutory requirements and to provide guidance on more efficient and effective service delivery arrangements. DCA will ensure legal requirements are met which require that future state financial assistance, grants, loans, and permits be consistent with this strategy. GEORGIA ENVIRONMENTAL FACILITIES AUTHORITY The Georgia Environmental Facilities Authority (GEFA) provides low interest loans to local governments for water supply and wastewater treatment facilities. Through FY 2000, GEFA has approved loans totaling $964 million for water, sewer and solid waste projects. Since 1985, GEFA has provided financing, coordination, and education for 799 projects, serving 313 cities, counties, and public authorities. These 313 jurisdictions represent 41% of the potential customer entities covered by GEFA's mission. In FY 2000, 72% of GEFA loan approvals were repeat customers. Over the 13 years of the water and sewer loan program's operation, GEFA has never had a single default. While the loan program is open to any local government in Georgia that is financially capable of repaying the loan, most of the loan recipients are smaller cities and counties. Of approved GEFA loans, 70% of the communities currently served are under 10,000 in population. The Governor is recommending $17 million in G.O. bonds in the Amended FY 2001 Budget to continue state support for the water and sewer loan program. This installment will add additional money to the Authority's state revolving loan fund. This repayment stream will insure that Georgia communities will always have funds available to address necessary water and sewer infrastructure needs. In addition, the Authority administers the disbursement of both the Federal Clean Water State Revolving Fund and the Federal Drinking Water State Revolving Fund and the Governor has included $8 million in bonds in the Amended FY 2001 Budget as state matching funds. 129 DEPARTMENT OF COMMUNITY AFFAIRS -- Strategies and Services The Amended FY 2001 Budget recommendation includes $3 million in G.O. bonds for the remediation and removal of state-owned fuel storage tanks on state-owned land. In 1998, the state met federal requirements for the replacement and upgrade or closure of storage tanks. Georgia must now comply with current law that states closed tanks must be removed and sites remediated within 12 months of closing. Due to the abundance of state tanks that were closed, the Environmental Protection Division is allowing flexibility on the deadline as long as a viable program is in place to address the issue. Of the 2,150 tanks on state-owned land, 489 are in compliance and will be retained, 561 have been removed, and an additional 1,100 require further action. $500,000 in state general funds is recommended in the Amended FY 2001 Budget for the removal of stateowned fuel storage tanks on non-state-owned land. While the state is responsible for the clean up of these tanks according to federal law, the use of general obligation funds for these projects is not possible. This appropriation is found in the Georgia Building Authority budget which is attached to the Department of Administrative Services. GEORGIA REGIONAL TRANSPORTATION AUTHORITY The Georgia Regional Transportation Authority (GRTA) was created by the General Assembly in 1999 at the urging of Governor Barnes. The Governor formed GRTA to ensure that metropolitan Atlanta can sustain its economic growth while maintaining the excellent quality of life that has made the area so attractive to businesses and workers. The authority, which is led by a 15-member board of directors, is charged with combating traffic congestion, air pollution and poorly planned development in the 13county Atlanta region that is currently designated as a "non-attainment" area under the federal Clean Air Act. GRTA's main role is to review, approve, and help implement transportation plans for the region that will bring it into compliance with air quality standards. If other regions of the state are designated as "nonattainment" areas, they will also fall under GRTA's purview. As GRTA moves forward in its second year, Governor Barnes recommends those projects that will allow them to continue in the challenging task of bringing the region back into attainment and plan the future development of the region. Of the projects funded in the Amended FY 2001 Budget, $1,042,600 is to match federal funds to conduct Phase II of circulation studies of the Cumberland/Galleria and Perimeter Center areas, to purchase additional vans for a regional van pool, to continue studies on the implementation of a regional bus system, and to provide funds for in-plant inspections of buses as required by federal law for the Clayton County Bus System. An additional $600,000 allows GRTA to further aid their tasks as a regional agency with regional goals measurement and implementation studies, nonattainment area and Transportation Management Association (TMAs) activities and transportation planning activities The Governor also recommends $1,350,000 in the Amended FY 2001 Budget to continue contract planning, engineering and program management functions related to the initiation of passenger rail service in Georgia. These funds are complemented by an additional $1,350,000 recommended in the FY 2002 budget for the Department of Transportation. The use of these funds will be coordinated by the Georgia Regional Transportation Authority, the Department of Transportation and the Georgia Rail Passenger Authority through an inter-agency Progra m Management Team, bringing the goal of passenger rail service into reality. 130 DEPARTMENT OF COMMUNITY AFFAIRS Results-Based Budgeting COMMUNITY INVESTMENT PROGRAMS Purpose: To strengthen Georgia communities by fostering economic development and job growth. Goal 1: Communities will improve through financing job FY 2000 FY 2000 FY 2001 FY 2002 creation and retention projects. Desired Actual Desired Desired - The Employment Incentive Program (EIP) will provide employment opportunities in FY 2002 to 500 low and moderate 500 730 500 500 income persons at the same level as in FY 2001. Goal 2: Communities will improve as a result of block grants and Americorps services. - The department will distribute 10% or $10 million of federal Empowerment Zone/Enterprise Community (EZ/EC) funds in FY 2002, at the same level as FY 2001, to federally designated EZ's and $10,000,000 $14,968,000 99.87% $ 10,000,000 $ 10,000,000 EC's in the state including technical assistance. [1] - The Community Development Block Grant (CDBG) program will award 100% or $42,661,340 of the year's allocation in FY 2002, at the same level as FY 2001, to facilitate community and economic $36,279,340 $ 40,891,761 $ 36,279,340 $ 42,661,340 development within local governments. - Build or expand senior citizen day care and health buildings 32 28 28 24 in 24 locations in FY 2002, down from 28 locations in FY 2001. - Increase the participation in AmeriCorps by 13% from 400 in FY 2001 to 452 in FY 2002. 397 500 400 452 Program Fund Allocation -- Total Funds $97,168,196 $83,733,600 $52,887,048 State Funds $59,726,982 $46,292,386 $9,644,230 Note: 1 - The percentage should be 10%, not 100% as indicated in the 2001 Governor's report. The federal award of funds to the Atlanta Empowerment zone was a total of $100 million over a 10 year designation period. COMMUNITY COLLABORATION AND PLANNING PROGRAMS Purpose: To assist communities in improving their plans and associated planning processes in addition to enhancing community collaboration and fostering effective regional approaches in their development. Goal 1: The department will assist local governments in improving the use and implementation of comprehensive plans FY 2000 FY 2000 FY 2001 FY 2002 in addition to providing valuable and useful planning Desired Actual Desired Desired information. [1] - The number of local governments documenting the use and implementation of their comprehensive plans on an annual basis will 153 149 120 173 increase from 120 to 173. 131 DEPARTMENT OF COMMUNITY AFFAIRS --Results Based Budgeting COMMUNITY COLLABORATION AND PLANNING PROGRAMS (cont.) Goal 2: The department will enhance community collaboration FY 2000 FY 2000 FY 2001 FY 2002 and foster effective regional approaches and cooperation in their Desired Actual Desired Desired development. - At least 90% of users will rate Community Assistance Programs as "useful" or "very useful" in FY 2002. 90% 99% 90% 90% - At least 90% of users will rate the "community facility GIS database" as "very useful" in FY 2002. 90% 38% 90% 90% - At least 90% of users will rate the Regional Development Information System (RDIS) as "very useful" in FY 2002. 90% 88% 90% 90% Program Fund Allocation --Total Funds $6,817,907 $6,724,810 $6,935,199 State Funds $6,817,907 $6,724,810 $5,225,205 Note: 1 - 221 surveys were sent to local elected officials, local government staff and various development organizations. 100 responded to the survey and of those 87 indicated they received services from the regional offices. Of the 87, a total of 86 rated the services useful or very useful. ENVIRONMENTAL MANAGEMENT AND INFRASTRUCTURE PROGRAM Purpose: To work with Communities to ensure a reduction in waste through efficient waste management, a solid waste public education effort and improvement in fundamental infrastructure. Goal 1: Georgia's solid waste will be managed in an efficient, effective and environmentally sound manner. - The number of local governments [1] that are participants in the annual Christmas Tree Recycling Program will remain constant at 135 from FY 2000 to FY 2002. - The number of counties that participate in the state litter reduction program will increase by 22% from 98 counties in FY 2000 to 120 counties in FY 2002. Goal 2: The department will assist communities in improving their waste reduction efforts through public education and awareness programs. - The number of local affiliates that participate in the Keep Georgia Beautiful Program in conjunction with the Keep America Beautiful Program will remain constant at 60 from FY 2000 to FY 2002. - In FY 2002, 95% of solid waste training workshop attendees will rate them as helpful. Goal 3: Buildings and residences will be constructed well. - Maintain the number of local governments that have reported construction code enforcement programs at 448, or 100% in FY 2002, the same level as in FY 2001. FY 2000 Desired 125 125 57 90% 448 FY 2000 Actual 135 98 60 92% 453 FY 2001 Desired 125 128 57 95% 448 FY 2002 Desired 135 120 60 95% 448 Program Fund Allocation --Total Funds $1,094,117 $1,064,117 $1,064,117 State Funds $921,658 $891,658 $848,298 Note: 1-- The numbers being reported are actually "Communities and Organizations", not just local governments. Thus, this language should be changed to "Communities and Organizations" or "Local Governments and Organizations". 132 DEPARTMENT OF COMMUNITY AFFAIRS -- Results Based Budgeting COMMUNITY HOUSING AND SHELTER PROGRAM Purpose: To work with communities to ensure that all Georgians have a safe, sanitary and affordable housing or safe, sanitary temporary shelter until they are able to relocate to permanent housing. Goal 1: Georgia's citizens will live in safe and sanitary FY 2000 FY 2000 FY 2001 FY 2002 housing. - The annual number of dwellings deemed "Lead Safe" via the Georgia Lead Safe Demonstration Program. 180 24 195 Discontinued Goal 2: Georgia's citizens will have access to affordable housing. - The annual number of rental units financed through the State's HOME Rental Housing or HOME CHDO Loan Programs, either 800 1180 600 500 through construction or rehabilitation, will decrease from 1180 units in FY 2000 to 500 units in FY 2002. - The number of rental units financed via the State's Low Income Housing Program by new construction or rehabilitation, will increase from 2405 units from FY 2000 to 2,223 2,405 2,223 2,700 2700 units in FY 2002. - The number of first mortgage loans made to low and moderate income households via the Single Family Home Buyer program will increase from 1625 households in FY 2000 1,260 1,625 1,700 1,750 to 1750 in FY 2002. - The number of households who receive down payment assistance via the OwnHOME program will increase the 820 690 820 850 850 households in FY 2000 to 850 households in FY 2002. - The number of certificates and vouchers provided through the HUD Section 8 program to assist low income families with respect to selecting affordable housing will increase to 15000 in FY 2002. 12,500 12,086 of 12,500 12,500 of 15,000 15,000 of 15,000 [1] Goal 3: Georgia's Homeless citizens will have access to temporary shelter. - The number of supportive housing awards made to local agencies for the operation and development of shelter and supportive housing will remain constant at 448 from FY 2001 to FY 2002. Goal 4: Georgia's Section 8 citizens will achieve selfsufficiency through participation in the State's Section 8 448 453 448 448 Self-Sufficiency program. - The Section 8 Family Self-Sufficiency Program will assist 500 households with their requirement for independence from public 500 394 [1] 500 500 assistance, at the same level as FY 2001. Program Fund Allocation --Total Funds $112,989,846 $71,675,404 $72,032,188 State Funds $6,640,644 $7,049,178 $6,539,450 Note: 1-- New HUD regulations and program policies resulted in a significant number of program participants withdrawing from the program. DCA is adding two program sites in Albany and Troup County to increase participation. TOTAL - Other Activities Total Funds State Funds $15,162,718 $6,258,437 $11,916,461 $12,199,858 $5,284,310 $6,548,980 TOTAL - All Programs Total Funds State Funds $233,232,784 $169,456,368 $144,835,013 $86,307,049 $66,242,342 $28,806,163 133 [This page intentionally blank] 134 DEPARTMENT OF COMMUNITY HEALTH Total Budgeted Positions -- 495 Office of Women's Health 3 Advisory Council Office of Minority Health 4 Advisory Council Board of Community Health Commissioner 14 Deputy Commissioner State Agency Coordinating Committee Rural Health Services 9 Office of General Counsel 8 Administration 45 Human Resources 6 Communications 5 Division of Medical Assistance 284 Division of Health Planning 26 Division of Public Employees Health Benefits 58 State Medical Education Board 4 Georgia Board For Physician Workforce 7 Composite State Board of Medical Examiners 22 135 DEPARTMENT OF COMMUNITY HEALTH -- Financial Summary Unit A - Department of Community Health Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Audit Contracts Health Insurance Payments Special Purpose Contracts Purchase of Service Contracts Grant in Aid to Counties Medicaid Benefits, Penalties, and Disallowances Medical Fair Loan Repayment Program Medical Scholarships Capitation Contracts for Family Practice Residency Residency Capitation Grant Student Preceptorships Medical Student Capitation Mercer School of Medicine Grant Morehouse School of Medicine Grant SREB Payments Pediatric Residency Capitation Preventive Medicine Capitation 18,612,847 7,440,090 194,643 145,661 124,919 880,514 111,432,353 28,660,759 974,836 5,835,469 1,338,038 3,230,320,036 Total Funds $3,405,960,166 FY 2000 Expenditures 26,488,101 6,888,208 281,892 14,346 65,987 1,158,150 390,002,420 999,642,023 679,511 4,072,931 2,740,023 64,732 61,019 764,826 3,588,469,161 1,490,998 4,327,702 1,950,115 174,500 16,728,668 7,394,890 4,323,917 474,240 30,000 $5,058,288,359 FY 2001 Current Budget 30,275,474 7,039,208 279,779 77,292 1,338,942 376,362,142 1,061,899,464 807,091 FY 2002 Agency Requests Adjusted Base Enhancements Totals 32,451,294 7,130,000 286,140 81,636 1,418,942 376,300,832 49,358,205 810,876 1,144,352 2,668,800 33,595,646 7,130,000 286,140 0 81,636 1,418,942 378,969,632 49,358,205 810,876 1,097,500 64,732 83,244 1,097,500 1,009,000,000 64,732 83,244 1,097,500 1,009,000,000 64,732 83,244 764,826 3,367,543,983 764,826 3,495,521,322 102,014,637 764,826 3,597,535,959 27,000 400,000 762,000 4,137,000 27,000 400,000 762,000 4,284,000 27,000 400,000 762,000 4,284,000 2,202,803 175,000 11,090,098 2,202,803 175,000 3,889,600 19,808,766 2,011,200 364,650 4,214,003 175,000 4,254,250 19,808,766 7,394,890 8,394,890 8,394,890 4,378,300 474,240 120,000 $4,878,795,008 488,700 474,240 120,000 $5,015,396,548 (13,075) 134,760 60,000 $108,385,324 475,625 609,000 180,000 $5,123,781,872 Less Federal & Other Funds: Federal Funds Other Funds Indirect Costs Total Federal & Other Funds 2,075,704,176 111,846,259 $2,187,550,435 2,260,936,092 1,405,126,260 $3,666,062,352 2,131,811,791 1,408,814,420 $3,540,626,211 2,194,493,088 1,408,814,420 (326,569) $3,602,980,939 65,682,524 $65,682,524 2,260,175,612 1,408,814,420 (326,569) $3,668,663,463 State General Funds Tobacco Funds 1,218,409,731 $1,392,226,007 1,319,704,884 18,463,913 1,393,951,696 18,463,913 42,702,800 1,436,654,496 18,463,913 TOTAL STATE FUNDS $1,218,409,731 $1,392,226,007 $1,338,168,797 $1,412,415,609 $42,702,800 $1,455,118,409 Positions Motor Vehicles 356 497 488 500 14 19 19 20 18 518 20 136 DEPARTMENT OF COMMUNITY HEALTH -- Financial Summary Unit A - Department of Community Health Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Audit Contracts Health Insurance Payments Special Purpose Contracts Purchase of Service Contracts Grant in Aid to Counties Medicaid Benefits, Penalties, and Disallowances Medical Fair Loan Repayment Program Medical Scholarships Capitation Contracts for Family Practice Residency Residency Capitation Grant Student Preceptorships Medical Student Capitation Mercer School of Medicine Grant Morehouse School of Medicine Grant SREB Payments Pediatric Residency Capitation Preventive Medicine Capitation Total Funds FY 2001 Current Budget 30,275,474 7,039,208 279,779 77,292 1,338,942 376,362,142 1,061,899,464 807,091 1,097,500 64,732 83,244 764,826 3,367,543,983 27,000 400,000 762,000 4,137,000 2,202,803 175,000 11,090,098 7,394,890 4,378,300 474,240 120,000 $4,878,795,008 Annualizers and Adjustments 731,385 8,187 7,047 229,828 (151,908) ############ 2,738 1,009,000,000 42,434,670 3,889,600 (3,889,600) $41,693,947 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds 2,131,811,791 1,408,814,420 $3,540,626,211 24,513,193 4,583,268 $29,096,461 State General Funds Tobacco Funds 1,319,704,884 18,463,913 9,387,568 3,209,918 TOTAL STATE FUNDS $1,338,168,797 $12,597,486 Positions Motor Vehicles 488 3 19 FY 2002 Governor's Recommendations Workload Adjusted Base 31,006,859 7,047,395 286,826 77,292 1,568,770 376,210,234 51,331,464 809,829 Enhancements 476,002 16,000 35,754,394 1,097,500 1,009,000,000 64,732 83,244 764,826 3,409,978,653 490,804,834 27,000 400,000 762,000 4,137,000 2,202,803 175,000 3,889,600 11,090,098 7,394,890 488,700 474,240 120,000 $4,920,488,955 (14,075) $527,037,155 Totals 31,482,861 7,047,395 286,826 16,000 77,292 1,568,770 411,964,628 51,331,464 809,829 1,097,500 1,009,000,000 64,732 83,244 764,826 3,900,783,487 27,000 400,000 762,000 4,137,000 2,202,803 175,000 3,889,600 11,090,098 7,394,890 474,625 474,240 120,000 $5,447,526,110 2,156,324,984 1,413,397,688 $3,569,722,672 1,329,092,452 21,673,831 $1,350,766,283 491 19 294,634,518 249,348,296 $543,982,814 (19,155,111) 2,209,452 ($16,945,659) 9 1 2,450,959,502 1,662,745,984 $4,113,705,486 1,309,937,341 23,883,283 $1,333,820,624 500 20 137 DEPARTMENT OF COMMUNITY HEALTH Unit A - Department of Community Health FY 2002 Budget Summary Governor's Recommendations ADJUSTMENTS TO CURRENT BUDGET - STATE GENERAL FUNDS FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Transfer funds from the Department of Human Resources to provide primary care services to the homeless population. 3. Reflect personal services funding and 3 positions for the Composite Board of Medical Examiners added in the FY 2001 supplemental amendment. 4. Annualize operating funds provided for the Composite Board of Medical Examiners in the FY 2001 supplemental amendment. 5. Support up to 9 additional family practice residency grants at Medical College of Georgia based on fund availability. 6. Recognize adjustments to nursing home rates for the increasing cost of liability insurance for providers. (Total funds - $21,616,031) 7. Annualize the Governor's Executive Order transferring funding and 9 positions from DCH to the Department of Human Resources for primary care nurses. 8. Realign object classes for the State Health Benefit Plan by transferring $1,009,000,000 from Computer Charges to Health Insurance Payments. 9. Transfer funds from SREB Payments to Medical Student Capitation ($3,889,600). Other Adjustments: 10. Fund the mature program cost for the Medicaid Family Planning Waiver for postpartum women. (Total funds - $1,633,050) 11. Transfer $392,000 from Computer Charges to Personal Services to cover projected personal services needs. 12. Transfer $128,554 from Per Diem, Fees, and Contracts to Real Estate Rental for the Office of Rural Health ($73,431) and the Composite Board of Medical Examiners ($55,123). 13. Adjust GBA rental rates to a standard $8.75 per rentable square footage. 14. Reflect the receipt of federal Medicaid funding for community-based mental retardation services provided by the Department of Human Resources ($6,700,012). ADJUSTED BASE - STATE GENERAL FUNDS 1,319,704,884 120,000 100,000 205,801 25,700 Yes 8,780,432 (108,944) Yes Yes 163,305 Yes Yes 101,274 Yes $1,329,092,452 ENHANCEMENT FUNDS - STATE GENERAL FUNDS ENHANCEMENTS 1. Provide additional state funding to cover growth and utilization in Medicaid Benefits ($36,128,669) and reflect increases in costs and utilization of pharmaceuticals for the Medicaid population ($54,193,003). (Total funds - $222,357,637) 90,321,672 2. Add state funds to reflect a reduction in the Federal Financial Participation rate for Medicaid. (Total funds - $0) 11,179,898 3. Increase contributions from governmental entities participating in the Medicaid program by utilizing upper payment limit (UPL) credits to obtain federal matching funds. (Total funds - $0) 138 (69,700,000) DEPARTMENT OF COMMUNITY HEALTH - FY 2002 Budget Summary 4. Increase federal Medicaid funding available for the following services: - mental health services for children in out-of-home settings ($38,472,284); - targeted case management services for adults and children ($999,012); - nursing services provided in state facilities ($14,731,500); - medical services provided through public health clinics ($3,246,756); - mental health, mental retardation, and substance abuse services provided to adults in community settings ($23,579,945); - administrative costs related to current Medicaid services ($10,243,197); and - administrative costs related to new Medicaid services ($4,227,500). 5. Reimburse physicians and physician-related providers based on 90% of the 1999 Resource Based Relative Value Scale (RBRVS) with one year of inflation applied. (Total funds - $15,106,738) 6. Adjust reimbursement rates for nursing home providers using the base year 2000 cost report and a growth allowance of one year. (Total funds - $20,556,189) 7. Apply an additional year of DRI inflation to base rates to increase reimbursement rates for inpatient hospital providers. (Total funds - $19,032,922) 8. Increase Perinatal Case Management rates by 10% to assist eligible pregnant women in gaining access to needed medical care. (Total funds - $845,461) 9. Fund an increase in the reimbursement rate for hearing aids and related services from $662 to $1,325 per hearing aid. (Total funds - $358,998) 10. Increase pediatric newborn visits in hospitals to one per day. (Total funds - $1,409,379) 11. Raise reimbursement for EPSDT healthcheck screens from $55 to $60 per visit. (Total funds - $1,955,076) 12. Increase rates for postpartum home visit services by $7.50 per visit. (Total funds - $196,297) 13. Increase the travel reimbursement in the Children's Intervention Services Program from $10 to $12 per round trip. (Total funds - $388,774) 14. Enhance the Children's Intervention School Services Program to appropriately increase federal Medicaid funding to participating school systems. 15. Add 2 positions and related operating costs in Health Planning for a compliance manager and an assistant architect necessary to support the review and approval of certificate of need (CON) applications. 16. Fund the research, publication, and distribution of the State of Georgia's Minority Status Reports produced by the Office of Minority Health. (Total funds - $100,000) 17. Fund 2 positions to support the department's computer network. (Total funds - $127,576) 139 Governor's Recommendations Yes 6,136,357 8,349,924 7,731,173 343,426 145,825 572,490 794,152 79,736 157,920 Yes 149,890 Yes 31,894 DEPARTMENT OF COMMUNITY HEALTH - FY 2002 Budget Summary 18. Transfer the state matching funds for MR waiver services from DCH to the Department of Human Resources (DHR) to support DHR administration of Medicaid waiver services. (Total funds - $0) 19. Transfer the state matching funds for community mental health services from DCH to the Department of Human Resources (DHR) to support DHR administration of Medicaid services. (Total funds - $0) 20. Transfer funds to the Department of Human Resources for services for persons HIV-positive or diagnosed with AIDS, pending approval of the Medicaid AIDS waiver by the Health Care Financing Administration (HCFA). 21. Fund 5 positions and the purchase of a motor vehicle to support the operation of the Composite Board of Medical Examiners. 22. Add state funds to the Southern Regional Education Board (SREB) to reflect the restoration of UAB School of Optometry slots ($16,550) and to fund the increase in the SREB rate per student ($15,525). 23. Authorize funding for 5 pediatric resident positions at Morehouse School of Medicine. (Total funds - $98,800) 24. Reduce funding in SREB payments for the West Virginia School of Osteopathic Medicine ($17,200) and Meharry Medical College ($28,950) through attrition. UNINSURED: 25. Provide Medicaid coverage for children in families with incomes up to 150% of the federal poverty level (FPL). (Total funds - $7,407,920) 26. Pay healthcare premiums of individuals covered by the Consolidated Omnibus Budget Reconciliation Act (COBRA) with incomes up to 150% of the federal poverty level. 27. Reimburse 100% of cost for cost-based outpatient services for hospitals who provide indigent care equal to 5% of their adjusted gross revenues (as determined by the Department of Community Health). (Total funds - $2,926,241) 28. Expand community health, rural health, and migrant health centers to promote access to primary health care for uninsured populations. 29. Implement a Medicaid waiver to provide services to persons over age 18 with Sickle Cell Anemia with incomes under 235% FPL. (Total funds - $4,800,000) 30. Implement a Medicaid waiver to provide services to persons over age 18 with Cystic Fibrosis with incomes under 235% FPL. (Total funds - $4,016,435) 31. Provide matching grants to communities to eliminate disparities in healthcare and to support homeless service programs. Govenor's Recommendations (51,246,606) (37,138,648) (375,000) 214,536 32,075 Yes (46,150) 3,009,097 Yes 1,188,639 1,500,000 1,949,760 1,631,476 800,000 140 DEPARTMENT OF COMMUNITY HEALTH - FY 2002 Budget Summary 32. Increase reimbursement rates by 5% for Home Health providers who provide indigent care equal to 5% of their Medicaid revenue and who participate in the Community Care Services Program. (Total funds - $110,362) BLUE RIBBON TASK FORCE/WAITING LISTS: 33. Increase capacity in the Independent Care Waiver Program by 85 slots. (Total funds - $5,250,741) 34. Increase reimbursement to Independent Care Waiver Program providers by 4%. (Total funds - $870,687) 35. Continue evaluating the feasibility of a Medicaid buy-in program that would allow working people with disabilities to receive healthcare through Medicaid. (Total funds - $1,230,921) 36. Evaluate the state policy and fiscal impact of including personal care services in the Medicaid state plan. 37. Reflect the receipt of additional federal Medicaid funding for new slots and rate increases for the Community Care Services Program ($9,825,573) and the Mental Retardation Waiver Program ($17,647,832). TOTAL STATE GENERAL FUND ENHANCEMENTS ADJUSTMENTS TO CURRENT BUDGET - TOBACCO SETTLEMENT FUNDS FY 2001 STATE APPROPRIATIONS Other Adjustments: 1. Fund mature Medicaid expansion to cover pregnant women and infants under age 1 with incomes up to 235% of the federal poverty level. (Total funds - $7,902,309) ADJUSTED BASE - TOBACCO SETTLEMENT FUNDS ENHANCEMENT FUNDS - TOBACCO SETTLEMENT FUNDS ENHANCEMENTS 1. Add tobacco funds to compensate for a reduction in federal financial participation for the Medicaid eligibility expansion for pregnant women and infants under age 1 with incomes up to 235% of the federal poverty level ($66,899) and the Independent Care Waiver Program ($17,553). (Total funds - $0) GEORGIA CANCER COALITION: 2 Identify and develop training for cancer caregivers. TOTAL TOBACCO SETTLEMENT FUND ENHANCEMENTS TOTAL STATE GENERAL AND TOBACCO FUNDS Governor's Recommendations 44,829 2,132,851 353,673 500,000 Yes Yes ($19,155,111) $18,463,913 3,209,918 $21,673,831 84,452 2,125,000 $2,209,452 $1,333,820,624 141 DEPARTMENT OF COMMUNITY HEALTH Unit A - Department of Community Health Functional Budget Summary FY 2001 Appropriations Total State FY 2002 Recommendations Total State 1. Commissioner's Office 1,343,159 819,680 1,343,159 819,680 2. Medicaid Benefits, Penalties, and Disallowances 3,367,543,983 1,230,166,467 3,900,783,487 1,220,567,218 3. Program Management - Medicaid 38,346,339 14,869,748 38,346,339 14,869,748 4. Systems Management - Medicaid 60,717,988 13,207,089 59,277,564 12,846,983 5. General Counsel 1,227,761 696,166 1,227,761 696,166 6. Communications 473,646 236,823 473,646 236,823 7. Human Resources 428,662 263,627 428,662 263,627 8. Minority Health 498,406 371,210 598,406 471,210 9. Women's Health 491,496 454,634 491,496 454,634 10. Primary and Rural Health 5,616,176 5,221,879 7,907,232 7,512,935 11. Employee Health Benefits 1,314,032,148 34,000,000 1,314,032,148 34,000,000 12. Health Planning 2,010,769 1,822,015 2,160,659 1,971,905 13. General Administration 52,547,532 2,522,516 83,860,722 2,514,866 14. Georgia Board for Physician Workforce 30,470,347 30,470,347 30,628,521 30,628,521 15. Medical Education Board 1,461,177 1,461,177 3,586,177 3,586,177 16. Board of Medical Examiners 1,585,419 1,585,419 2,380,131 2,380,131 TOTAL APPROPRIATIONS $4,878,795,008 $1,338,168,797 $5,447,526,110 $1,333,820,624 RECOMMENDED APPROPRIATION: The Department of Community Health - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $1,333,820,624 142 DEPARTMENT OF COMMUNITY HEALTH -- Financial Summary Unit B - Indigent Care Trust Fund Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Per Diem, Fees & Contracts Benefits Total Funds Less: Federal Funds TOTAL STATE FUNDS FY 1999 Expenditures 33,401,436 400,164,729 $433,566,164 254,003,983 $179,562,182 FY 2000 Expenditures 22,837,875 629,283,463 $652,121,338 390,856,879 $261,264,459 FY 2001 Current Budget 8,200,000 360,067,504 $368,267,504 FY 2002 Agency Requests Adjusted Base Enhancements Totals 8,200,000 360,067,504 $368,267,504 8,200,000 360,067,504 $368,267,504 219,438,624 $148,828,880 219,438,624 $148,828,880 219,438,624 $148,828,880 143 DEPARTMENT OF COMMUNITY HEALTH -- Financial Summary Unit B - Indigent Care Trust Fund Current Budget and Governor's Recommendations Budget Classes/Fund Sources Per Diem, Fees & Contracts Benefits Total Funds Less: Federal Funds TOTAL STATE FUNDS FY 2001 Annualizers and Current Budget Adjustments 8,200,000 360,067,504 $368,267,504 219,438,624 $148,828,880 FY 2002 Governor's Recommendations Workload Adjusted Base 8,200,000 360,067,504 $368,267,504 Enhancements Totals 8,200,000 360,067,504 $368,267,504 219,438,624 $148,828,880 219,438,624 $148,828,880 144 DEPARTMENT OF COMMUNITY HEALTH Unit B - Indigent Care Trust Fund FY 2002 Budget Summary Governor's Recommendations FY 2001 STATE APPROPRIATIONS 148,828,880 ENHANCEMENT FUNDS ENHANCEMENTS UNINSURED: 1. Allow local governmental entities to contribute Medicaid matching funds to increase Yes reimbursement rates for emergency ambulance providers to support county EMS systems. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS $148,828,880 RECOMMENDED APPROPRIATION: The Department of Community Health - Unit B is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $148,848,880 145 DEPARTMENT OF COMMUNITY HEALTH -- Financial Summary Unit C - PeachCare for Kids Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Per Diem, Fees & Contracts Computer Charges Telecommunications PeachCare Benefits, Penalties, & Disallowances Total Funds Less: Federal Funds State General Funds Tobacco Funds TOTAL STATE FUNDS Positions FY 1999 Expenditures 183,060 82,931 6,915 49,726 14,468 1,010 3,489,301 FY 2000 Expenditures 338,571 2,420 12,899 4,783,191 2,167 48,400,131 FY 2001 Current Budget 363,061 120,254 50,000 1,155 5,325,376 250,000 12,350 65,275,830 FY 2002 Agency Requests Adjusted Base Enhancements Totals 363,061 120,254 50,000 1,155 5,325,376 250,000 12,350 109,741,554 363,061 120,254 50,000 1,155 5,325,376 250,000 12,350 109,741,554 $3,827,411 2,768,321 1,059,090 $1,059,090 7 $53,539,379 38,743,223 14,796,156 $14,796,156 7 $71,398,026 $115,863,750 51,468,415 83,256,133 17,173,574 2,756,037 29,851,580 2,756,037 $19,929,611 $32,607,617 7 7 $115,863,750 83,256,133 29,851,580 2,756,037 $32,607,617 7 146 DEPARTMENT OF COMMUNITY HEALTH -- Financial Summary Unit C - PeachCare for Kids Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Per Diem, Fees & Contracts Computer Charges Telecommunications PeachCare Benefits, Penalties, & Disallowances Total Funds Less: Federal Funds State General Funds Tobacco Funds TOTAL STATE FUNDS Positions FY 2001 Annualizers and Current Budget Adjustments 363,061 120,254 50,000 1,155 5,325,376 250,000 12,350 65,275,830 3,486 6,271,709 $71,398,026 51,468,415 17,173,574 2,756,037 $19,929,611 7 $6,275,195 4,491,157 991 1,783,047 $1,784,038 FY 2002 Governor's Recommendations Workload Adjusted Base 366,547 120,254 50,000 1,155 5,325,376 250,000 12,350 71,547,539 Enhancements 40,995,109 Totals 366,547 120,254 50,000 1,155 5,325,376 250,000 12,350 112,542,648 $77,673,221 55,959,572 17,174,565 4,539,084 $21,713,649 7 $40,995,109 $118,668,330 28,653,160 84,612,732 12,305,111 36,838 29,479,676 4,575,922 $12,341,949 $34,055,598 7 147 DEPARTMENT OF COMMUNITY HEALTH Unit C - PeachCare for Kids FY 2002 Budget Summary Governor's Recommendations ADJUSTMENTS TO CURRENT BUDGET - STATE GENERAL FUNDS FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. (Total funds - $3,486) ADJUSTED BASE - STATE GENERAL FUNDS 17,173,574 991 $17,174,565 ENHANCEMENT FUNDS - STATE GENERAL FUNDS ENHANCEMENTS 1. Add state funds to reflect a reduction in the Federal Financial Participation rate for the Children's Health Insurance Program (in Georgia, known as PeachCare for Kids). (Total funds - $0) 265,289 2. Fund the growth in the number of children participating in the PeachCare for Kids Program. (Total funds - $37,837,499) 10,757,201 UNINSURED: 3. Make eligibility for PeachCare for Kids effective at the beginning of the month of application. (Total funds - $3,157,610) 1,282,621 TOTAL STATE GENERAL FUND ENHANCEMENTS $12,305,111 ADJUSTMENTS TO CURRENT BUDGET - TOBACCO SETTLEMENT FUNDS FY 2001 STATE APPROPRIATIONS Other Adjustments: 1. Fund the mature PeachCare for Kids expansion to cover children in families with incomes up to 235% of the federal poverty level. (Total funds - $6,271,709) $2,756,037 1,783,047 ADJUSTED BASE - TOBACCO SETTLEMENT FUNDS $4,539,084 ENHANCEMENT FUNDS - TOBACCO SETTLEMENT FUNDS ENHANCEMENTS 1. Add tobacco funds to compensate for a reduction in federal financial participation for the PeachCare for Kids eligibility expansion for children in families with incomes up to 235% of the federal poverty level. (Total funds - $0) 36,838 TOTAL TOBACCO SETTLEMENT FUND ENHANCEMENTS $36,838 TOTAL STATE GENERAL AND TOBACCO FUNDS $34,055,598 RECOMMENDED APPROPRIATION: The Department of Community Health - Unit C is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $34,055,598 148 DEPARTMENT OF COMMUNITY HEALTH Roles and Responsibilities The Department of Community Health (DCH) began operations on July 1, 1999. The agency was established by an act of the General Assembly that consolidated four agencies involved in the purchasing, planning, and regulation of health care in the state of Georgia. DCH was a response to the growing concern about the fragmentation of healthcare delivery at the state level. Via consolidation, DCH is expected to maximize its health care purchasing power and create administrative efficiency in the state's health care system. The department is also charged with planning for coverage for the estimated 1.3 million citizens that currently do not have health insurance. The major divisions comprising DCH include the Division of Medical Assistance, the Division of Health Planning, and the Division of Public Employee Health Benefits. Also, parts of DCH are offices targeting specific populations (Office of Women's Health and the Office of Minority Health) and regional health care issues (Office of Rural Health Serv ices). A nine-member board governs the agency. There are three Boards administratively attached to the department, including the Composite State Board of Medical Examiners, which licenses physicians; the Georgia Board for Physician Workforce, which provides financial aid to medical schools and residency training programs; and the State Medical Education Board, which administers medical scholarships and loans to promote medical practice in rural areas. DIVISION OF HEALTH PLANNING Formerly, the State Health Planning Agency, Georgia's health planning program was originally established to contain health care costs by avoiding unnecessary duplication of services, equipment and facilities. The division helps to enforce quality-of-care standards and encourages providers to assume a share of responsibilities for the health care needs of low-income citizens. The division also administers the Certificate-of-Need (CON) program, which approves the expansion of health care services and facilities. The Health Planning Review Board (administratively attached to the Department of Administrative Services) conducts appeal hearings on CON decisions. Additionally, the division works with the Health Strategies Council to develop policies for health care services. DIVISION OF PUBLIC EMPLOYEE HEALTH BENEFITS The Division of Public Employees Health Benefits administers the State Health Benefit Plan, which provides health insurance coverage to more than a half million state employees, teachers, retirees and their dependents. AUTHORITY Title XIX of the Social Security Act; Title 31-5A, Official Code of Georgia Annotated. DIVISION OF MEDICAL ASSISTANCE The largest division in the department, the Division of Medical Assistance administers the Medicaid program, which provides health care for persons who are aged, blind, disabled, or indigent. State and federal dollars fund Medicaid with the federal government paying for about 60 percent of health care costs. A broad array of health care services is available to address the needs of those covered by the program, including hospital, physician, pharmacy, and nursing home services. The Division of Medical Assistance also administers the state's Indigent Care Trust Fund (ICTF), which completed its tenth year of operation in 2000. The ICTF reimburses hospitals serving a disproportionate share of medically indigent Georgians. The division is also responsible for the successful PeachCare for Kids Program, Georgia's version of the federal Children's Health Insurance Program. PeachCare provides medical and dental coverage for children whose parents' income is too high to qualify for Medicaid, but who cannot afford private health insurance. Current eligibility allows children in families with incomes between 185% and 235% of the federal poverty level to participate. A modest premium of $7.50 per month is required for children over the age of five. Families pay no more than $15 per month in premiums if they have more than two children. 149 Populations Served by Department of Community Health Public Employees 18% Uninsured 41% PeachCare for Kids 3% Medicaid 38% DEPARTMENT OF COMMUNITY HEALTH Strategies and Services STATE HEALTH BENEFIT PLAN During FY 2000, the State Health Benefit Plan (SHBP) took several steps to end operating losses that began in FY 1997. Effective January 1, 2000, the Plan discontinued contracting for the BlueCross BlueShield Prudent Buyer Program, replacing it with individual contracts between the State and each acute-care hospital in Georgia tied to Medicaid reimbursement. Estimated savings from the new contracts are $18 million for FY 2000 and $33 million for FY 2001. In July 2000, the employer contribution rate for teachers was increased from 9.26% to 13.1% of state-based salaries. The new rate provides equal employer contributions between state agencies and local school systems and is expected to increase Plan revenue by $170 million for FY 2001. The new Preferred Provider Organization (PPO) Plan Option replaced the Standard Option indemnity plan effective July 1, 2000 and offers a higher in-network level of benefits coverage while reducing plan expenditures. Anticipated first-year savings are expected to be as much as $25 million. In FY 2002, the Plan will implement a three-tier prescription drug co-payment program to help control escalating prescription drug costs while continuing to offer Plan members a choice in selecting any covered drug. In FY 2001, the results of these efforts are expected to reduce the annual operating deficit to less than 1% of the overall plan cost. In FY 2002, the plan is projected to eliminate the annual operating deficit. MEDICAID ELIGIBILITY EXPANSIONS Medicaid served 1.3 million Georgians in FY 2000 with benefit expenditures totaling almost $3.4 billion, an average of $2,485 per person. In FY 2000, the Department initiated three new Medicaid expansions. The income limit for Medicaid eligibility for pregnant women and their infants was increased from 200% of the federal poverty level ($34,100 for a family of four) to 235% ($40,072). For FY 2002, an estimated 3,400 additional uninsured pregnant women and infants will be served. The department began providing family planning services to post-partum women for two years after delivery. By helping women plan future pregnancies, birth outcomes are improved and infant mortality declines. The department implemented an expansion of the Transitional Medical Assistance (TMA) program from one year to two years for families who lost Medicaid because of employment. Despite an increase in income, transitional eligibles still have a hard time affording health insurance. PEACHCARE FOR KIDS PeachCare for Kids has built upon the success of the first year by continuing aggressive enrollment of eligible children. With an expansion in eligibility from 200% to 235% of the federal poverty level, PeachCare for Kids has enrolled over 106,000 of the estimated 143,000 eligible children. Grants were given to 24 community groups for targeted grassroots outreach to uninsured children. PeachCare for Kids has also streamlined the referral and enrollment process for children identified as Medicaid eligible. PHARMACY BENEFIT MANAGER Several pharmacy cost containment measures have been identified and implemented since the execution of a pharmacy benefit management (PBM) contract with Express Scripts, Inc. Through the use of a PBM, concurrent drug utilization review (DUR) edits have been put into place to prevent early refills, duplication of refills, and drug/drug interactions. Additionally, there will be retrospective fraud and abuse claims review performed in conjunction with the PBM. The rebate program for the State Health Benefit Plan (SHBP) and the Board of Regents Health Plan (BORHP) has been expanded, as has the Georgia Maximum Allowable Cost (MAC) list for the Medicaid Program. Enforcement and recovery efforts on Most Favored Nations Pricing have been expanded. In addition, the Department of Community Health (DCH) is working with Health Care Financing Administration (HCFA) and the Justice Department to ensure that manufacturers are providing Georgia with the best prices and rebates required by law. A tiered co-payment program has been developed for all the DCH programs based on recipient/member use of preferred versus non-preferred drugs. Provider incentive programs have also been established to promote dispensing of generics and preferred drugs. In an effort to address medical costs overall, disease management programs are being initiated to assist in the early detection of appropriate therapy and compliance with drug regimen. Finally, a review is currently being made on institutional pharmacies that serve the highest drug utilizers to determine areas for improvement. As outlined above, significant efforts are being made in the area of pharmacy cost control. Additional pharmacy policy changes designed to reign in inappropriate usage continue to be identified and evaluated for appropriateness. 150 DEPARTMENT OF COMMUNITY HEALTH Results-Based Budgeting COMMUNITY HEALTH [1] Purpose: Provide Value-based health care purchasing to improve the health status of all Georgians. Goal 1: Minimize barriers to the accessibility of health care FY 2000 services. Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Provide health care coverage to at least 87% of children eligible for the Peachcare program in FY 2002. [2] 50% 59,500 of 119,000 72% 85,625 of 119,000 87% 124,574 of 143,000 87% 130,803 of 150,150 - The percentage of Medicaid-eligible children who are enrolled in Medicaid in FY 2002 will increase from 70% in FY 2001 to 73% in FY 2000. [2] 64% 266,122 of 415,815 64% 266,122 of 415,815 70% 289,582 of 415,815 73% 303,545 of 415,815 - A 5-year demonstration project will increase the percentage of low-income (up to 235% federal poverty level) persons with HIV/AIDS who have access to treatment in FY 2002 to 15%. N/A N/A 8% 15% [2]/[3] -The percentage of residency program graduates practicing medicine in Georgia will meet or exceed the national average of 50% for all specialties combined. 50% 275 of 550 Available Spring 2001 50% 50% - At least 10% of medical clinics and hospitals will have interpreters available at least 8 hours every day to assist limited N/A N/A 10% 10% English speaking persons. [3] -At least 85% of respondents to a survey of recipients will rate N/A N/A 85% 85% nonemergency services as good or very good. [3] -Primary access will increase with the number of integrated rural health networks and delivery systems increasing from 6 to N/A N/A 6 12 12 in FY 2002. [3] -The total number and dollar value of indigent care and charity 194 care commitments from hospitals in Georgia will increase by 5 $358,843,445 N/A percent over estimated FY 2001 amounts. [4] N/A Goal 2: Promote a culture of wellness, significantly minimize disparities, and improve the health status of all Georgians. By FY 2002, at least 75% of State employees will be covered by health care plans that provide preventive and wellness N/A N/A services at no cost to the employee. [2] 204 $376,785,617 +5% 213 394,727,790 +5% 80% 75% - Minimize potential disparity in rates of availability and/or utilization of specialized health care services (for example, cardiac cathereter, radiation therapy, and ambulatory surgery) N/A in rural communities, using strategies that move rural rates of N/A <1: 1.5 <1:1.2 utilization closer to the state's average use rates and national access goals. [2]/[5] 151 DEPARTMENT OF COMMUNITY HEALTH - Results-Based Budgeting Goal 3: Improve cost-containment, quality of care, and customer service by establishing and enhancing partnerships. -The State of Georgia will expand its maximum allowable price program and implement a preferred drug list program to reduce the average prescription cost by at least 3%. [2] -At least 30% of all participants in the Service Options Utilizing Resources in Community Environments (SOURCE) Demonstration Project will delay nursing home placement an average of 2 years after entering the program. -Individuals covered under State health care plans will have 4.8% fewer readmissions within 15 days after discharge from the hospital. -The average length of hospital stay for individuals covered under State health care plans will not decrease by more than 0.5% in FY 2001. (Quality Measure) [6] Promote cost-effective health care services using the certificate of need process to protect consumers against unnecessary health care expenditures. Measure by project cost avoidance rate and amount. - Reduce the number of emergency room visits for asthma by Georgia Better Health Care members by 5%. (Proxy measure for improved management of chronic diseases.) [2] FY 2000 Desired N/A N/A N/A N/A >10% N/A FY 2000 Actual N/A FY 2001 Desired >-3% FY 2002 Desired >-3% N/A 20% 30% 5.3% 15 days N/A 5.3% 15 days <-0.5% 4.8% 15 days <-0.5% 9% denied $61,442,563 >10% >10% N/A Baseline data to be determined >-5% Program Fund Allocation -- Total Funds $5,763,949,076 $5,318,460,538 $5,934,461,944 State Funds $1,668,286,622 $1,506,927,288 $1,516,705,102 Notes: 1 - The Department of Community Health, which was created in FY 2000, has spent the last year clarifying and planning for its mission and role in providing access to healthcare for Georgians; therefore, the department's goals and desired results are incomplete. Goals and desired results will be refined and completed during FY 2002. 2 - The number of persons eligible for the programs are based upon 1990 census data. 3 - Because DCH is a new state agency, the data on FY 2000 results are not available. 4 - Indigent/charity care data are collected on a calendar year basis. 5 - A ratio of 1: 1:5 means, for example, that for every one person using services in rural areas of Georgia, 1 1/2 persons are using services statewide. 6 - Advances in medicine have permitted shorter hospital stays for most illnesses. However, since providers are paid by DRG (Diagnosis Related Group) which results in financial incentives for discharging patients early, the department reviews this measure to ensure that patients are not being discharged earlier than is medically advisable. TOTAL - All Programs Total Funds State Funds $5,763,949,076 $5,318,460,538 $5,934,461,944 $1,668,286,622 $1,506,927,288 $1,516,705,102 152 DEPARTMENT OF CORRECTIONS Total Budgeted Positions -- 15,014 Governor Confidential Secretary 1 Director of Professional Standards 66 Board of Corrections Commissioner 1 Assistant Commissioner 1 Executive Operations 228 Facilities Division 12,577 Human Resources Division 558 Administration Division 132 Probation Division 1,450 153 DEPARTMENT OF CORRECTIONS -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Capital Outlay Utilities Court Cost County Subsidy Jail Subsidy Grants for County Construction Central Repair Fund Payments to CSH - Meals Payments to CSH - Utilities Payments to Public Safety Inmate Release Fund Payments to MAG-Certification Health Services Purchases UGA Contract Minor Construction Fund Year 2000 Remediation 524,694,346 63,183,506 2,106,282 2,703,256 4,133,780 7,738,886 6,207,211 6,318,657 15,812,764 21,620,815 1,268,493 22,018,160 13,076,542 21,042,270 1,090,530 3,655,185 1,557,968 522,288 1,432,299 66,621 91,441,059 366,244 893,233 5,548,289 Total Funds $818,498,684 FY 2000 Expenditures 549,451,497 68,696,131 2,034,298 2,217,797 3,931,189 6,534,838 6,605,380 7,613,453 60,279,765 3,238,916 22,636,178 785,913 27,807,640 2,111,940 8,183,157 1,013,452 4,039,429 1,516,498 871,748 1,445,008 70,000 103,386,414 438,944 2,457,231 412,650 $887,779,466 FY 2001 Current Budget 572,080,764 66,269,462 2,650,534 723,140 3,496,485 5,918,394 7,413,819 7,866,404 73,082,967 38,000 24,098,237 1,300,000 31,512,595 5,550,695 1,093,624 4,568,025 1,627,150 577,160 1,527,120 103,388,752 438,944 856,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 580,451,647 66,042,470 2,635,938 434,521 3,280,721 5,884,271 7,413,819 7,850,404 79,557,866 24,424,567 1,300,000 31,512,595 5,550,695 13,141,320 5,389,668 368,234 1,604,834 1,985,309 700,830 972,300 318,698 539,118 68,000 479,482 593,592,967 71,432,138 3,004,172 2,039,355 5,266,030 6,585,101 8,386,119 8,169,102 80,096,984 68,000 24,904,049 1,300,000 31,512,595 5,550,695 1,093,624 4,568,025 1,627,150 577,160 1,527,120 1,093,624 4,568,025 1,627,150 577,160 1,527,120 104,624,695 449,944 894,000 2,296,867 106,921,562 449,944 894,000 $916,078,271 $931,701,232 $27,864,660 $959,565,892 Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Total Federal & Other Funds TOTAL STATE FUNDS 10,038,050 31,978,229 450,000 $42,466,279 $776,032,405 5,478,961 26,534,735 450,231 $32,463,927 $855,315,539 7,625,794 14,689,010 450,000 $22,764,804 $893,313,467 7,625,794 14,689,010 450,000 $22,764,804 $908,936,428 $27,864,660 7,625,794 14,689,010 450,000 $22,764,804 $936,801,088 Positions Motor Vehicles 14,768 1,639 14,926 1,712 15,014 1,739 15,014 1,739 537 15,551 75 1,814 154 DEPARTMENT OF CORRECTIONS -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Capital Outlay Utilities Court Cost County Subsidy Jail Subsidy Grants for County Construction Central Repair Fund Payments to CSH - Meals Payments to CSH - Utilities Payments to Public Safety Inmate Release Fund Payments to MAG-Certification Health Services Purchases UGA Contract Minor Construction Fund Year 2000 Remediation 572,080,764 66,269,462 2,650,534 723,140 3,496,485 5,918,394 7,413,819 7,866,404 73,082,967 38,000 24,098,237 1,300,000 31,512,595 5,550,695 1,093,624 4,568,025 1,627,150 577,160 1,527,120 103,388,752 438,944 856,000 Total Funds $916,078,271 4,759,987 (103,679) (350,869) (288,619) (219,464) (37,887) (623,477) (83) 654,510 314,782 (196,870) (105,084) 2,042,070 $5,845,317 Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Total Federal & Other Funds TOTAL STATE FUNDS 7,625,794 14,689,010 450,000 $22,764,804 $893,313,467 (432,000) ($432,000) $6,277,317 Positions Motor Vehicles 15,014 30 1,739 FY 2002 Governor's Recommendations Workload Adjusted Base 576,840,751 66,165,783 2,299,665 434,521 3,277,021 5,880,507 6,790,342 7,866,321 73,737,477 38,000 24,413,019 1,300,000 31,315,725 5,550,695 Enhancements 11,706,659 3,705,903 159,177 675,818 759,178 265,168 415,350 191,634 6,824,127 641,700 Totals 588,547,410 69,871,686 2,458,842 1,110,339 4,036,199 6,145,675 7,205,692 8,057,955 80,561,604 38,000 25,054,719 1,300,000 31,315,725 5,550,695 1,093,624 4,568,025 1,627,150 577,160 1,422,036 1,093,624 4,568,025 1,627,150 577,160 1,422,036 105,430,822 438,944 856,000 3,809,047 109,239,869 438,944 856,000 $921,923,588 $29,153,761 $951,077,349 7,625,794 14,257,010 450,000 $22,332,804 $899,590,784 15,044 1,739 $29,153,761 7,625,794 14,257,010 450,000 $22,332,804 $928,744,545 534 15,578 31 1,770 155 DEPARTMENT OF CORRECTIONS FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Annualize the operating cost for 676 beds and 30 positions at the following facilities: - Augusta Diversion (50 beds) - 11 months operating / start-up - $761,452 - Athens Diversion (25 beds) - 10 months operating / start-up - $402,378 - Helms Diversion (25 beds) - 9 months operating / start-up - $374,074 - Bainbridge Substance Abuse Treatment Center (192 beds) - 12 months operating - $4,317,252 - Dodge Fast Track (192 beds) - 2 months operating - $358,208 - Terrell Probation Detention (192 beds) - 6 months operating - $1,238,676 3. Annualize the Mental Health Contract capitated rate increase. 4. Annualize the operating cost of increasing the private prisons population by 1,500 beds. Other Adjustments: 5. Transfer 17 time-limited probation officer positions associated with the Gwinnett County and City of Atlanta contracts to current vacant state positions. 6. Adjust funding due to delayed opening dates for the following facilities: - Augusta and Columbus Transitional Centers - ($2,759,304) - 325 Private Diversion Center beds - ($2,485,650) - County Work Camps - ($196,870) 7. Adjust the following object classes to reflect projected expenditures: - Personal Services - ($1,440,000) - Inmate Release Fund - ($105,084) - Travel - ($350,000) 8. Reduce start-up cost for the following facilities: - Dodge Fast Track - ($427,683) - Bainbridge Diversion - ($1,300,000) 9. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. 893,313,467 4,829,459 7,452,040 568,787 2,431,099 432,000 (5,441,824) (1,895,084) (1,727,683) (371,477) ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide start-up and operating funds for 625 beds, 209 positions and 26 vehicles at the following facilities: - Atlanta Male Transitional (200 beds) - 2 months operating / start-up - $1,528,716 - Atlanta Female Transitional (100 beds) - 3 months operating / start-up - $1,162,051 - Savannah Transitional (200 beds) - 3 months operating / start-up - $1,786,235 - Rouse Diversion (25 beds) - 7 months operating / start-up - $397,018 - Columbus Diversion (25 beds) - 8 months operating / start-up - $425,324 - Griffin Diversion (25 beds)- 6 months operating / start-up - $368,712 - Rome Diversion (50 beds) - 6 months operating / start-up - $636,529 2. Provide funding to fill 18 vacant probation officer positions and 5 new vehicles. 156 $899,590,784 6,304,585 866,634 DEPARTMENT OF CORRECTIONS -- FY 2002 Budget Summary Governor's Recommendations 3. Expand the department's vocational education program by 17 programs. This will be the first phase of a three-phase expansion. 4. Provide funds to meet the required 25% state match of the federal funded probation day reporting center. 5. Expand the mental health contract to fund the conversion of 230 prison beds into two 96-bed mental health level III units, one 30-bed mental health level IV unit and 8 crisis stabilization beds, including 16 additional correctional officers. 6. Provide start-up and operating funds for 1,100 beds and 306 positions at Johnson State Prison. 7. Provide funding to operate a 300-bed probation detention center in Irwin County. 8. Fund 3 new positions, 2 vacant positions and related operating expenses associated with the Savannah Impact Project. 1,334,873 133,909 1,915,836 11,746,144 6,594,485 257,295 TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS $29,153,761 $928,744,545 157 DEPARTMENT OF CORRECTIONS Functional Budget Summary 1. Executive Operations FY 2001 Appropriations Total State 34,171,308 33,664,308 FY 2002 Recommendations Total State 30,980,486 30,173,486 2. Administration 16,512,895 16,212,895 26,520,418 26,520,418 3. Human Resources 4. Field Probation 129,020,513 70,692,605 120,556,304 70,212,605 131,133,816 69,655,016 122,669,607 69,607,016 5. Facilities 665,680,950 652,667,355 692,787,613 679,774,018 TOTAL APPROPRIATIONS $916,078,271 $893,313,467 $951,077,349 $928,744,545 RECOMMENDED APPROPRIATION: The Department of Corrections is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $928,744,545. 158 DEPARTMENT OF CORRECTIONS Roles and Responsibilities The Department of Corrections (DOC) administers the prison and probation sentences of offenders adjudicated by Georgia courts. More than 43,500 of these offenders are serving prison sentences. More than 136,500 offenders are on probation, 4,400 of whomare in residential programs. The mission of the DOC is to protect the public and staff by managing offenders either in a safe and secure environment or through effective community supervision according to their needs and risks. In collaboration with the community and other agencies, DOC provides programs that offer offenders the opportunity to become responsible, productive, law-abiding citizens. As part of its strategic plan, the department has developed the following priorities: Provide adequate prison system capacity. Provide the highest level of community-based supervision to those probationers who pose the greatest risk. Operate offender programs that reduce risk to staff and public by stressing offender work, discipline, accountability and responsibility for harm done. Support victim's rights regarding notification, restitution and impact of crime. Improve and increase linkages with other agencies. Continue public/private partnerships and outsourcing. Find and implement better methods and technological tools to communicate and share information. Enhance efforts to recruit, maintain and train highly qualified staff. Ensure effective and efficient operations. DEPARTMENT OPERATIONS Incarceration offers a highly structured, secure environment, which removes from the community those offenders who pose a high risk. DOC provides legally mandated services in the areas of physical and mental health, counseling, education, vocational training, chaplain services and recreation. DOC requires offenders in its facilities to work to support the system and the community. Inmates and probationers work on prison farms; in food preparation, laundry, and construction; in facility and landscape maintenance; and performing factory work in Correctional Industries' manufacturing plants. The types of DOC institutions include: State Prisons (38). These institutions are typically reserved for felony offenders with more than 1 year of incarceration to serve. County Prisons (24). The state pays a subsidy to county institutions to house and supervise state inmates. Inmates assigned to the county prisons typically work on roadway or construction projects for the county in which they are housed. Inmate Boot Camps, Probation Boot Camps, Probation Detention Centers (26). These 3 programs offer a short-term, intensive incarceration period. The boot camp program enforces strict discipline and military protocol. Transitional Centers (6). These community-based centers are designed to allow offenders nearing the end of their prison term to prepare for life in the community. DOC requires offenders to have jobs in the local community, pay room and board to the center and support their families. Probation Diversion Centers (20). Judges may sentence offenders to diversion centers as an alternative to prison. Like transitional center residents, offenders in the diversion centers work and pay room and board, restitution, fines, and family support. Private Prisons (3). D. Ray James prison, owned and operated by Cornell Corrections and prisons in Coffee and Wheeler counties owned and operated by Correction Corporation of America house state sentenced inmates. Like state prisons, these facilities are typically reserved for felony offenders with more than one year of incarceration to serve. Probation is designed to enforce judicial sentences in the community. The Statewide Probation Act of 1956 laid the legal foundation for the Probation Division. The law provides for standardized supervision by sworn peace officers of those offenders sentenced to probation, either directly from court on a straight probation sentence, or after completing a specified term of imprisonment on a split sentence. The mission of the Probation Division is to serve the courts and to collaborate with other criminal justice agencies in protecting the public by effectively enforcing sentences of probation. Probationers are required to be employed and to pay restitution, fees, fines, and court costs. Many probationers are also required to perform community service, unpaid labor for the local community. Probationers are supervised with increasing levels of intensity in accordance with the risk they pose to the community. Requirements at these varied supervision levels may include adherence to a curfew, wearing an electronic device to monitor movements, drug testing, and home and job visits by the probation officer. AUTHORITY Titles 9, 42 and 77 of the Official Code of Ge orgia Annotated. 159 DEPARTMENT OF CORRECTIONS Strategies and Services The Governor's budget recommendation for the Department of Corrections (DOC) represents a continued effort to balance the department's available resources. The Governor's main objective is to ensure that proper prison bed space is available for Georgia's violent offenders, while at the same time, offer a less costly alternative bed for the non-violent offender. As of November 2000, the prison population represented 44,215 inmates. Georgia's prison population by the end of FY 2001 is projected to total 47,289 inmates. BED -SPACE MANAGEMENT A combination of longer prison sentences and tighter parole restrictions have created a continued need for the Department of Corrections (DOC) to strategically manage its bed space and available resources. The following initiatives represent this effort. Maintaining a prison occupancy rate of 99%. Increase private prison capacity to 4,500. Increase county work camp capacity by 1,000 beds. Increase transitional center beds by 1,100. Expand two existing state prisons by 384 beds. Increase Diversion Center capacity by 900 beds. Increase Detention Center capacity by 192 beds. Open a 192 bed residential substance abuse treatment center. The Governor's effort to provide appropriate resources is displayed in his FY 2001 Amended Budget and FY 2002 Budget recommendations. The Governor's recommendation includes operational funding for 6,111 additional beds and capital funding for 700 additional beds. These beds represent an appropriate mixture of conventional hard prison beds as well as alternative beds. The term prison bed is inclusive of state prison beds, private prison beds, transitional centers, county work camps and boot camps. As of October 2000, the current prison bed capacity was 44,264 beds. Between October 2000 and the end of FY 2001, 2,379 additional beds will come on- line. These beds include a 1,000-bed expansion to the private prisons, 384 additional beds at Dodge and Walker state prisons and 995 additional county work camp beds. For FY 2002, the Governor has included funding for an additional 2,306 beds. Included is the transfer of Johnson State Prison back to the Department of Corrections. Johnson State Prison was given to the Department of Juvenile Justice several years ago and operated as a youth development center. This will provide an additional 1,100 state prison beds. In addition to state prison beds, the Governor is providing operating funds for an additional 900 transitional center beds and 306 county work camp beds. The transitional center addition nearly doubles its current 921- bed capacity. 52000 50000 48000 46000 44000 42000 40000 38000 FY 1999 Adult Inmate Population Compared to Capacity FY 2000 FY 2001 FY 2002 FY 2003 Bed Space Capacity Population Projection 160 DEPARTMENT OF CORRECTIONS -- Strategies and Services In addition to the expansion of the prison bed capacity, the Governor has included in his recommendation funding for additional alternative beds. Alternative beds are defined as diversion center beds, detention center beds and probation boot camp beds. As of October 2000, the alternative bed capacity was 4,834 beds. For the remainder of FY 2001, 384 additional beds are planned to be on-line. The addition includes the 192-bed Paulding Detention Center and the 192-bed Bainbridge Substance Abuse Treatment Center. The Bainbridge Center represents phase I of a two-phase project. The second phase represents an additional 192 beds. Included in the Governor's Capital Outlay recommendation is construction funding for a 200-bed detention center in Butts County and a 500-bed detention center in Fulton County. Including past capital appropriation, there are an additional 382 prison beds and 2,013 alternative beds that will be available for future growth. The Governor's FY 2002 recommendation provides operational funding for an additional 1,042 alternative beds. Of these beds, 550 are diversion center beds and 492 are probation detention center beds. The diversion center beds include 225 expansion beds to existing facilities and 325 beds dispersed among three private diversion centers. Two facilities account for the expansion of probation detention center beds. This includes opening the 192-bed Terrell Detention Center and contracting with Irwin County for a 300-bed detention center. In summary the Governor's budget recommendation accomplishes the mission of ensuring public safety while using the tax dollar in the most efficient and effective manner. The Go vernor's recommendation provides an additional 4,685 prison beds for Georgia's violent offenders. The Department of Corrections will have available 48,949, prison beds by the end of FY 2002 to serve the growing inmate population. At the same time the Governor is making available an additional 1,426 alternative beds for non-violent offenders. probation. Probationers, unless revoked to the Department of Corrections, are under the jurisdiction of the local judiciary and not the department. The judge decides whether the probationer is jailed or not. Code Section 1710-1 of the Official Code of Georgia Annotated designates the local county jail as one of the options the judge can use to incarcerate a probation violator. The county is not paid a subsidy for a probation violator. During October of 2000, the Georgia Jail Summary reported the number of individuals in county jails at 29,366. The number consisted of 17,670 awaiting trial, 4,634 county inmates, 4,160 other inmates and 2,902 sentenced to state prisons or parole / probation issues. Of the 2,902 state inmates, 974 accounted for inmates on the departments jail backlog count. The remaining accounted for parole and probation issues. County Jail Population October 2000 Inmates in County Jails - 29,366 County Jail Capacity - 28,847 Other County Inmates - Inmates 14% 16% Pretrial Inmates - 60% State Inmates - 10% JAIL BACKLOG County jails are operated by local authorities and are used for pre-trial detention and post conviction confinement pending pick-up by DOC. The department pays a jail subsidy rate of $20 per day for inmates that have been sentenced to a state prison and are awaiting pick-up in excess of 15 days after the department has received a sentencing package. At the beginning of FY 2000, Georgia's jail backlog stood at 939. By the end of FY 2000, it had fallen to 811. FY 2000 represents the lowest sustained level in over 10 years. As of October 2000, the current jail backlog was 974. The Board of Pardons and Paroles uses county jails to house parolees who have violated parole. County jails are also used to house probationers who have violated PROBATION SUPERVISION To effectively meet the department's mission of public safety, the probation division uses a Risk-Based Supervision Model to supervise probationers. Using an offender classification system and this supervision model helps insure that those offenders presenting the greatest risk to Georgia's citizens will receive the greatest share of the supervision resources. The implementation of the Risk-Based Supervision Model came in response to a changing probation population and an increasing caseload. As of the end of FY 2000 there 161 DEPARTMENT OF CORRECTIONS -- Strategies and Services were 85,855 probationers on active supervision and 46,579 probationers in administrative status. The passing of Senate Bill 474 restricts the department form accepting additional misdemeanant probationers. With nearly 22% of the supervised probationers being misdemeanants, it was assumed that Senate Bill 474 would reduce the current officer caseload. Thus far the officer has not seen a reduction. Although, the number of misdemeanant probationers has reduced by 4%, the felony probation population has increased by 3%. The change in the probation population has required the Probation Division to prioritize the allocation of its field resources. The model sets caseload capacity limits for maximum and high levels of supervision. Restricted caseload size will allow officers to spend more time in the field, making unscheduled visits to offenders' homes and places of business, enforcing strict probation conditions, and holding offenders accountable for their actions. Frequency of probation officer contact with the probationer is emphasized. Minimum contact requirements have been set for each classification level. Georgia's Probation Classifications / FY 2000 Year End Probationer Count The Governor's recommendation included funding for the implementation and expansion of the State Corrections Repository of Information System (SCRIBE). Eventually, SCRIBE will replace the handwritten field books and provide the officers up to date information about their caseload. Probation Supervision Caseload Type Property 35% Drug 30% NonViolent 1% Sex Offender 4% Violent 14% Alcohol/ DUI 9% Other 7% Intensive Specialized Maximum High Standard Administrative Total 4,100 4,961 3,452 9,985 63,357 46,579 132,434 The model also establishes a Specialized Caseload category composed of offenders who have committed sexual crimes against children or crimes of family violence. The supervision for these offenders includes home searches for illicit sexual materials, registration with local law enforcement, and monitored treatment attendance. Specially trained officers supervise these caseloads. The goal is to protect victims and to help prevent any additional crimes against new victims. Due to the large probationer caseloads, the department is in need of an automated caseload management system. EDUCATION The Department of Corrections currently has 21 Georgia Statewide Academic and Medical System (GSAMS) sites providing over 15,000 hours of instruction to inmates statewide. Enrollment has increased from 7,853 in FY 1999 to 7,921 in FY 2000. The number of GED tests administered increased form 3,659 in FY 1999 to 4,599 in FY 2000. The Department of Corrections, utilizing the GSAMS, has contracted with Thomas Technical Institute to provide GED classes at all sites, introduce computer literacy to the inmates, conduct vocational programs for the Residential Substance Abuse Treatment program and provide on the job training for work detail supervisors. In FY 2000, nine sites continue to serve as training centers providing prisoners access to formal vocational programming. The Governor has included in his budget recommendation funding for an additional 17 vocational education programs. 162 DEPARTMENT OF CORRECTIONS Results-Based Budgeting PROBATION PROGRAMS Purpose: To serve the courts, manage probationers' risk to the public, and ensure probationers' accountability to the community and victims. Goal 1: Protect the public by insuring appropriate levels of FY 2000 FY 2000 FY 2001 FY 2002 supervision, based on offender risk. Desired Actual Desired Desired - The percentage of probationers revoked for a subsequent felony 3% 3% 3% 3% conviction in FY 2002 will not increase beyond the 3% FY 2001 (2,368 of figure. 71,632) Program Fund Allocation -- Total Funds $79,844,666 $83,271,935 $82,859,446 State Funds $78,254,214 $82,142,951 $82,162,461 FACILITY MANAGEMENT PROGRAMS Purpose: Ensure the safety (well-being) of the public, staff and offenders by providing well-managed facilities. Goal 1: Operate safe and secure facilities for housing offenders at the lowest possible costs. - Decrease by 5% the rate of inmate initiated assaults from 0.059 per inmate in FY 2000 to 0.055 per inmate in FY 2002. FY 2000 Desired 0.055 FY 2000 Actual 0.059 FY 2001 Desired 0.055 FY 2002 Desired 0.055 - Reduce the rate of prison related deaths per 100,000 inmates by 99 91 99 89 2% from 91 in FY 2000 to 89 in FY 2002. - Provide a constitutionally required level of health care for inmates 80% 70% 80% 80% by ensuring that the percentage of medical contracts complying with Medicaid standards increase from 70% in FY 2000 to 80% in FY 2002 - Ensure that the cost of care does not exceed the national average At or Below Below At or Below At or Below for comparable services (FY 2002 annual cost per inmate compared National National National National to the national average.) [1.] Average Average Average Average - Annual costs per inmate for all correctional facilities will not $47.97 $47.68 $48.93 $48.64 increase more than 2% from $47.68 in FY 2000 to $48.64 in FY 2002. Program Fund Allocation -- Total Funds $807,934,800 $832,806,337 $868,217,903 State Funds $777,061,325 $811,170,516 $846,582,084 Notes: 1- National average for FY 2000 was $3,226 per year / per inmate or $8.84 per day / per inmate. The Department of Corrections averaged $3,007 per year / per inmate or $8.24 per day / per inmate. TOTAL - All Programs Total Funds State Funds $887,779,466 $916,078,272 $951,077,349 $855,315,539 $893,313,467 $928,744,545 163 [This page intentionally blank] 164 DEPARTMENT OF DEFENSE Total Budgeted Positions -- 416 Office of the Adjutant General 29 Georgia Army National Guard 296 Georgia Air National Guard 91 165 DEPARTMENT OF DEFENSE -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 11,091,495 9,381,355 74,132 2,518 16,124 53,945 1,763,747 265,691 1,952,911 65,234 $24,667,152 18,419,805 671,192 $19,090,997 $5,576,155 284 14 FY 2000 Expenditures 12,595,076 11,495,382 105,482 62,017 36,123 60,882 999,854 54,815 2,116,779 125,000 45,746 $27,697,156 FY 2001 Current Budget 14,039,870 15,428,230 83,875 38,000 44,010 932,753 115,625 1,020,973 $31,703,336 FY 2002 Agency Requests Adjusted Base Enhancements Totals 15,292,709 15,565,566 83,875 187,834 (69,265) 18,000 15,480,543 15,496,301 101,875 38,000 44,010 936,753 123,625 1,021,973 7,500 243,400 3,000,000 45,500 44,010 1,180,153 123,625 1,021,973 3,000,000 $33,106,511 $3,387,469 $36,493,980 19,915,589 822,564 97,751 $20,835,904 $6,861,252 286 14 24,350,343 408,143 40,000 $24,798,486 $6,904,850 416 41 24,046,393 403,215 $24,449,608 $8,656,903 416 41 180,325 24,226,718 403,215 $180,325 $3,207,144 5 $24,629,933 $11,864,047 421 41 166 DEPARTMENT OF DEFENSE -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Year 2000 Project Total Funds FY 2001 Annualizers and Current Budget Adjustments 14,039,870 15,428,230 83,875 (90,592) 38,000 44,010 932,753 115,625 1,020,973 $31,703,336 ($90,592) Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 24,350,343 408,143 40,000 $24,798,486 $6,904,850 (102,718) (4,928) (40,000) ($147,646) $57,054 Positions 416 Motor Vehicles 41 FY 2002 Governor's Recommendations Workload Adjusted Base 13,949,278 15,428,230 83,875 Enhancements 1,116,193 316,937 6,000 38,000 44,010 932,753 115,625 1,020,973 7,500 244,000 8,000 1,000 Totals 15,065,471 15,745,167 89,875 45,500 44,010 1,176,753 123,625 1,021,973 $31,612,744 $1,699,630 $33,312,374 24,247,625 403,215 $24,650,840 $6,961,904 416 41 180,325 24,427,950 403,215 $180,325 $1,519,305 4 $24,831,165 $8,481,209 420 41 167 DEPARTMENT OF DEFENSE FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Fund the statutory COLA for the Adjutant Generals. 4. Provide state support for the Recruitment Incentive Program. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Increase the total state fund support to $2,240,000, and provide for expansion of the Youth Challenge Program at Fort Stewart. (Federal fund match of $3,360,000) 2. Annualize $980,000 for the Youth Challenge Academy at Augusta. (Federal fund match of $1,680,000). The current budget includes an additional 128 positions in support of the Youth Challenge Academy. 3. Add personal services funding for 1 budget analyst position to assist the Fiscal Management Division with increased workload due to the expanded Youth Challenge Academy and the Phoenix financial system. 4. Match federal funds of $85,039 for 2 maintenance engineers and 1 engineering services manager for the 116th Bomb Wing to support 40 facilities at Robbins Air Force Base. 5. Match federal funds of $95,286 to contract with the Department of Corrections for 2 inmate crews to perform repairs, maintenance and renovations at Defense facilities throughout the state. 6. Redirect $112,952 from repairs and maintenance to per diem, fees and contracts to meet contract expenses for 2 inmate construction crews. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Governor's Recommendations 6,904,850 30,329 (34,034) 20,759 40,000 $6,961,904 295,000 1,120,000 44,197 28,346 31,762 Yes $1,519,305 $8,481,209 168 DEPARTMENT OF DEFENSE Functional Budget Summary 1. Office of the Adjutant General FY 2001 Appropriations Total State 2,401,954 2,101,288 FY 2002 Recommendations Total State 2,466,145 2,206,403 2. Air National Guard 6,181,344 731,144 6,244,672 760,099 3. Army National Guard TOTAL APPROPRIATIONS 23,120,038 $31,703,336 4,072,418 $6,904,850 24,601,557 $33,312,374 5,514,707 $8,481,209 RECOMMENDED APPROPRIATION: The Department of Defense is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $8,481,209. 169 DEPARTMENT OF DEFENSE Roles and Responsibilities The Department of Defense serves the nation and the State of Georgia by organizing and maintaining National Guard forces, which the President can call to active duty to augment the nation's regular armed services, or which the Governor as Commander-in-Chief of the State Militia can order deployed in instances of disaster, riot, violence or other dangers threatening the state and its citizens. The department achieves these objectives through its 4 components: Office of the Adjutant General, Air National Guard, the Army National Guard and the State Defense Force. Using these components, the department operates and manages approximately 1,200 training, maintenance, and logistics army facilities statewide. GEORGIA AIR NATIONAL GUARD The role of the Georgia Air National Guard is to provide fully equipped, fully trained combat units which are prepared to respond to state or national emergencies. The activation/deactivation, organization, administration, training, equipping and housing of its units as well as the evaluation of its wartime capability are mandated responsibilities. GEORGIA ARMY NATIONAL GUARD The Georgia Army National Guard is responsible for maintaining a level of operational readiness, which allows for immediate and effective response to state or national emergencies, civil disturbances, and natural disasters. OFFICE OF THE ADJUTANT GENERAL The role of the Office of the Adjutant General is to provide command and control of the entire organization as well as centralized administrative support for the department. The Adjutant General also serves as the state's director of the Selective Service System. STATE DEFENSE FORCE The role of the State Defense Force is to serve as a caretaker administration in the event of a full mobilization. AUTHORITY Title 38, Official Code of Georgia Annotated. 170 DEPARTMENT OF DEFENSE Strategies and Services FACILITIES OPERATIONS AND MAINTENANCE The Facilities Operations and Maintenance program is the largest program within the agency. This program provides the foundation, which supports the infrastructure of the Georgia National Guard. The Department of Defense currently manages approximately 1,200 buildings and facilities throughout the state, the majority of which are licensed for use by the state. Most of these facilities are 100% federally funded for operations and maintenance, and a significant number require 25% matching state funds. The industrial type facilities and the heavy equipment repair shops fall into this category. The balance of the facilities is comprised of 72 National Guard armories and a number of office buildings at headquarters. These facilities are 100% state supported as required by law In addition to the portion of the program that receives federal and state appropriations, the armories are rented as community centers, used for meetings and conferences, voting precincts, and a host of other activities. program expansion only one in six applicants could be accepted due to the constraints of the program's resources. The program is delivered in two segments twice a year, a 22-week residential phase, and a post residential phase. During residency, military personnel function as platoon leaders and mentors, providing supervision, guidance and training in a rigorous environment that stresses academic achievement and the attainment of competency in basic life skills such as balancing a checkbook, establishing and managing financial credit, and social interaction. Students are required to wear uniforms, attend academic, life skills, and physical training classes, and perform various type of community service. Upon successful completion of the residential phase the students enter the post-residential phase of the program, which provides continued counseling and job placement assistance. Each student is assigned to a mentor who provides guidance and support as the students transition from the program to self-sufficient, productive members of society. The students' progress is monitored for a minimum of six months after graduation. MILITARY AND COMMUNITY RELATIONS The Military Relations program provides assistance to approximately 13,000 Georgia National Guardsmen, active and retired, as well as their families, during military mobilizations. The program also provides information and assistance to retirees in order to secure for them all of the benefits and entitlements for which they legally qualify. Casualty assistance is also provided to the families of deceased guard members. STATE DEFENSE FORCE The Georg ia State Defense Force provides for an organized, trained, disciplined, rapid response volunteer force and civilian relief organization in impending or actual emergencies to assure the welfare and safety of the citizens. This program provides well-trained and equipped volunteer individuals and leaders to perform duties as they may be called upon. These activities include search and rescues, which augment the ability of other agencies to perform their missions. YOUTH CHALLENGE PROGRAM The Youth Challenge Academy, which is operated by the Georgia National Guard, provides at-risk youth between the ages of 16 and 19 the opportunity to earn a High School diploma or a High School Graduation Equivalency Degree (GED). The program is set in a military environment at a campus located at Ft Stewart in Hinesville and an expansion campus established in September 2000 at Ft. Gordon in Augusta. Prior to the YCA GRADUATE PLACEMENT 10% 13% 6% 16% JOBS MILITARY PENDING 55% PLACEMENT VOTECH COLLEGE Through the period ending June 30, 2000 the program has successfully graduated 2,264 students. Of these students, 1246 have been placed in jobs, 362 have entered the armed services, 294 have been accepted to vocational and technical institutes, 227 have entered college, and 135 are awaiting placement. The Youth Challenge program in Georgia is recognized as one of the most successful in the nation and continues to provide a valuable service to the State of Georgia and its citizens. The average cost per student enrolled in the Youth Challenge Program is approximately $10,000. Governor Barnes has recommended $1,415,000 in increased state funds in FY 2002 to provide for operating expenses in support of this important program. These recommended state funds will be matched with federal matching funds of $5 million. 171 DEPARTMENT OF DEFENSE -- Strategies And Services COUNTER DRUG OPERATIONS The Georgia National Guard provides ground reconnaissance and observation support to requesting drug law enforcement agencies (DLEAs) by providing personnel and equipment necessary to perform operations for the purpose of drug interdiction and eradication. Upon request by state agencies, the guard also provides personnel to research and document information necessary to establish probable cause. Georgia National Guard personnel are also assigned to perform tasks which include but are not limited to operational planning, transportation for elements of DLEAs, assisting in information gathering, provide security and crowd control, marking and cataloging evidence found at the scene, and assisting in the dismantling of crime scenes. FACILITY ASSESSMENT From July 1, 1999 to October 1, 1999, the department conducted a thorough assessment of over 950 buildings at 81 locations, including the 72 state-owned armories. The assessment found that the needs of the various facilities fall into 3 categories: repairs and renovations; plan, design and construction; and disposition of existing property. The Governor recommended $3,000,000 in bonds to complete a wide range of significant maintenance, repair and infrastructure upgrades to make the armories safe, secure, code compliant and bring them to standard to adequately support unit operations. As facilities age and requirements change, new construction and the disposition of existing property is ineluctable. In the last 20 years only 3 new armories have been built; however, there are 6 design projects in progress that will meet the needs of today's modernized National Guard. Once the new facilities are completed, the old ones will need to be reallocated or disposed of. Though these transactions shall be complex, the benefits gained in terms of relinquishing responsibilities and expenses shall be well worth the effort. 172 DEPARTMENT OF DEFENSE Results-Based Budgeting NATIONAL GUARD MILITARY READINESS PROGRAM Purpose: Provide a trained military organization to serve, protect, and defend the citizens of Georgia and the Nation when called upon by the Governor or the President. Goal 1: Provide the state and nation with trained FY 2000 FY 2000 FY 2001 FY 2002 military personnel in adequate numbers and in a timely Desired Actual Desired Desired manner to respond when called upon by the Governor or - Achieve and maintain 95% of military positions filled 81% filled 88% filled 95% filled 95% filled with 80% trained in their Military Occupational Specialty 75% trained 73% trained 80% trained 80% trained Qualifications/Armed Forces Service Course -(MUOpoSnQ"/AAlFeSrtCN).otice" by Ga. Emergency Management 100% 100% 100% 100% Agency and Army/Air National Guard command post, achieve 100% response within 24 hours of notice to unit. Program Fund Allocation -- Total Funds $1,932,332 $2,221,893 $2,211,419 State Funds $1,142,140 $1,323,021 $1,276,866 COMMUNITY SERVICE AND SUPPORT Purpose: Through the use of Georgia Department of Defense resources, provide services and support to improve the quality of life in Georgia communities. Goal 1: Provide non-emergency assistance to FY 2000 FY 2000 FY 2001 FY 2002 communities, consistent with mission ad resources, that Desired Actual Desired Desired will improve the quality of life in Georgia's communities. - Provide one civic action project using National Guard 1 1 1 1 soldiers in conjunction with unit training annually. - Provide 19,000 hours of community support work 19,000 18,181 19,000 24,000 activities in FY 2001 using Youth Challenge Academy - Increase State Defense Force voluntary mandays from 395 1,250 858 1,250 1,250 in FY 1999 to 1,250 in FY 2002. Goal 2: Intervene with at-risk youth who are high school dropouts, to produce employable, self-sufficient - Graduate 360 at-risk youth annually from the Youth 360 343 920 920 Challenge Academy in years 98 thru 2000 and increase to 920 in 2002. Goal 3: Reduce the flow of illegal drugs into, through and manufactured in Georgia. - Provide assistance to law enforcement agencies for all 400 430 400 400 requests received. Program Fund Allocation -- Total Funds $5,430,502 $9,693,011 $10,177,888 State Funds $2,053,271 $1,635,893 $2,951,904 173 DEPARTMENT OF DEFENSE -- Results-Based Budgeting FACILITIES SUPPORT TO THE GEORGIA NATIONAL GUARD Purpose: Provide and maintain modern, community-based facilities that support and enhance the training and readiness of the Department of Defense to perform its state and federal mission. Goal 1: Every facility will be equipped to enhance training and readiness requirements of the Georgia - Reduce the number of facilities requiring major repairs (>100k) by 11 facilities annually from 105 in FY 99 to 72 in - No situations of environmental non-compliance at the Department of Defense facilities. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 94 0 FY 2000 Actual 99 FY 2001 Desired 83 0 0 $20,334,322 $19,788,432 $3,665,841 $3,945,936 FY 2002 Desired 72 0 $20,923,067 $4,252,439 TOTAL - All Programs Total Funds State Funds $27,697,156 $31,703,336 $33,312,374 $6,861,252 $6,904,850 $8,481,209 174 STATE BOARD OF EDUCATION Total Budgeted Positions -- 795 State Superintendent of Schools 1 Attached for Administrative Purposes Only Office of School Readiness 83 Finance and Technology 84 Chief of Staff 117 Student Learning and Achievement 147 Policy and Communications 1 External Affairs 11 Georgia Academy for the Blind 134 Georgia School for the Deaf 115 Atlanta Area School for the Deaf 102 175 STATE BOARD OF EDUCATION -- Financial Summary Unit A - State Board of Education Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees and Contracts Computer Charges Telecommunications Utilities Capital Outlay FY 1999 Expenditures 36,544,473 6,260,709 863,839 148,054 1,064,098 50,743,748 13,049,645 1,459,111 692,018 FY 2000 Expenditures 38,035,342 5,696,178 1,000,472 153,238 123,312 1,070,595 69,275,285 9,248,811 1,220,792 656,362 FY 2001 Current Budget 41,783,162 8,056,907 1,569,484 367,592 1,643,484 75,538,327 17,376,746 2,455,803 808,452 50,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 41,783,162 8,056,907 1,569,484 367,592 1,643,484 75,538,327 17,376,746 2,455,803 808,452 50,000 679,000 95,777 4,442 238,000 143,024 31,768,988 3,900,000 1,984,307 42,462,162 8,152,684 1,573,926 238,000 510,616 1,643,484 107,307,315 21,276,746 2,455,803 808,452 2,034,307 Kindergarten/Grades 1-3 Grades 4-8 Grades 9-12 Limited English-Speaking Alternative Programs High School Laboratories Vocational Education Labs Special Education Gifted Remedial Education Staff and Professional Dev. Additional Instruction Media Indirect Cost Pupil Transportation Local Five Mill Share Midterm Adjustment Reserve Teacher Salary Schedule Adjust Equalization Formula Sparsity Grants In-School Suspension Special Instructional Assistance Middle School Incentive Grant Counselors Technology Specialist Special Ed. Low-Incidence Next Generation School Grants Youth Apprenticeship Grants High School Program Payments to DTAE Vocational Research & Curr. Education of Children of Low Income Families Even Start Instructional Services for Handicapped 1,173,807,251 987,563,508 409,873,516 22,475,459 12,976,613 199,559,054 139,745,943 496,076,920 87,871,287 107,861,639 35,249,634 126,527,505 769,411,035 151,356,808 (806,475,905) 84,017,279 204,284,965 3,069,628 30,259,339 103,570,578 93,823,968 12,446,182 15,401,810 620,134 665,000 4,304,416 30,720,347 14,306,663 176,117 224,185,364 3,178,451 107,121,938 1,246,928,019 1,057,747,868 436,873,709 28,122,176 19,914,477 207,679,609 156,945,877 548,792,945 98,679,526 104,495,375 36,602,631 134,010,159 800,161,761 152,008,380 (869,432,750) 66,570,388 246,132,702 3,157,998 24,040,020 98,870,519 99,647,660 13,524,883 15,401,810 605,134 875,000 4,340,000 29,285,749 10,993,031 88,600 238,667,529 3,694,122 131,977,360 1,470,763,243 1,230,282,244 640,572,767 36,306,945 58,091,662 165,558,340 578,624,415 110,909,798 63,232,671 37,621,355 138,948,965 808,681,440 152,606,489 (932,307,605) 121,495,719 221,584,668 3,158,000 620,134 500,000 4,340,000 49,368,917 27,650,639 293,520 236,086,129 4,025,312 133,835,313 1,733,245,516 1,305,547,174 677,269,445 38,351,788 61,298,842 173,931,719 610,533,308 117,053,487 66,770,363 38,583,203 145,302,703 826,922,327 154,594,503 (997,307,605) 221,584,668 3,158,000 620,134 500,000 4,340,000 49,617,622 27,650,639 293,520 236,086,129 4,025,312 133,835,313 176 489,203 1,733,245,516 1,305,547,174 677,269,445 38,351,788 61,788,045 173,931,719 610,533,308 117,053,487 66,770,363 38,583,203 20,000,000 145,302,703 826,922,327 174,594,503 (997,307,605) 221,584,668 3,158,000 129,866 12,800,000 750,000 500,000 4,340,000 62,417,622 27,650,639 293,520 236,086,129 4,025,312 133,835,313 STATE BOARD OF EDUCATION -- Financial Summary Unit A - State Board of Education Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees and Contracts Computer Charges Telecommunications Utilities Capital Outlay FY 2001 Annualizers and Current Budget Adjustments 41,783,162 8,056,907 1,569,484 199,755 150,000 367,592 1,643,484 75,538,327 17,376,746 2,455,803 808,452 50,000 147,745 (46,437,387) (295,700) (50,000) FY 2002 Governor's Recommendations Workload Adjusted Base 41,982,917 8,206,907 1,569,484 367,592 1,791,229 29,100,940 17,081,046 2,455,803 808,452 Enhancements 496,500 96,277 4,442 21,300 259,153 811,300 Totals 42,479,417 8,303,184 1,573,926 21,300 367,592 1,791,229 29,360,093 17,892,346 2,455,803 808,452 Kindergarten/Grades 1-3 Grades 4-8 Grades 9-12 Limited English-Speaking Alternative Programs High School Laboratories Vocational Education Labs Special Education Gifted Remedial Education Staff and Professional Dev. Additional Instruction Media Indirect Cost Pupil Transportation Local Five Mill Share Midterm Adjustment Reserve Teacher Salary Schedule Adjust Equalization Formula Sparsity Grants In-School Suspension Special Instructional Assistance Middle School Incentive Grant Counselors Technology Specialist Special Ed. Low-Incidence Next Generation School Grants Youth Apprenticeship Grants High School Program Payments to DTAE Vocational Research & Curr. Education of Children of Low Income Families Even Start Instructional Services for Handicapped 1,470,763,243 1,230,282,244 640,572,767 36,306,945 58,091,662 165,558,340 578,624,415 110,909,798 63,232,671 37,621,355 138,948,965 808,681,440 152,606,489 (932,307,605) 121,495,719 221,584,668 3,158,000 620,134 500,000 4,340,000 49,368,917 27,650,639 293,520 236,086,129 4,025,312 133,835,313 74,116,535 57,059,173 28,061,094 2,229,016 3,495,980 7,009,991 34,782,523 6,696,968 3,119,683 1,155,101 44,722,396 6,888,127 21,842,874 1,988,014 (121,495,719) (42,018,808) 40,101,260 13,513,413 9,340,386 814,269 1,502,860,970 1,327,442,677 682,147,274 47,876,347 62,401,911 1,372,123 41,814,604 17,615,753 5,480,566 1,566,680 2,889,257 25,473,009 (72,006,555) 173,940,454 655,221,542 135,222,519 71,832,920 40,343,136 44,722,396 148,726,349 855,997,323 154,594,503 (1,004,314,160) 31,873,844 253,458,512 3,158,000 129,669 1,327,310 620,134 500,000 4,340,000 50,825,896 27,650,639 293,520 236,086,129 4,025,312 133,835,313 177 66,253,281 75,813,707 (1,014,589) (74,654) (95,351) 1,569,114,251 1,403,256,384 681,132,685 47,801,693 62,306,560 (238,333) (975,012) (208,861) (51,700,224) 217,629 (69,209) 316,104 6,359,467 20,481,717 173,702,121 654,246,530 135,013,658 20,132,696 40,560,765 44,653,187 149,042,453 862,356,790 175,076,220 (1,004,314,160) 3,390,910 253,458,512 6,548,910 232,157 300,000 852,291 500,000 4,340,000 51,125,896 27,650,639 293,520 236,086,129 4,025,312 133,835,313 STATE BOARD OF EDUCATION -- Financial Summary Unit A - State Board of Education Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Retirement (H.B.272 and H.B. 1321) Tuition for Multi-Handicapped PSAT Exams School Lunch (Federal) Joint Evening Programs Education of Homeless Children/Youth Pay for Performance Remedial Summer School Pre-School Handicapped Mentor Teachers Environmental Science Grants Advanced Placement Exams Serve America Program Drug Free School (Federal) School Lunch (State) Mentoring Program Charter Schools Emergency Immigrant Ed. Chapter II - Block Grant Flow Through State and Local Education Improvement Health Insurance-Non-Cert. Personnel/Retired Teachers Governor's Scholarships Innovative Programs Title II Math/Science Grant Migrant Education Regional Ed. Service Agencies Severely Emotionally Disturbed Georgia Learning Resources Sys. Special Education at State Inst. At Risk Summer School Program Robert C. Byrd Scholarship Troops to Teachers Comprehensive School Reform Supervision and Assessment of Students and Beginning Teachers Student Record Year 2000 Project Funding Child Care Lunch Program Nutrition Education Character Education Standards of Care National Teacher Certification 6,085,666 1,230,380 590,619 252,348,534 267,333 843,186 7,620,000 1,680,519 18,610,734 1,248,210 100,000 1,608,244 570,412 13,005,911 32,855,173 492,284 1,794,900 2,023,105 8,702,431 21,612,028 99,547,892 3,603,824 482,900 7,731,317 274,395 10,496,205 51,071,957 3,934,732 3,689,755 4,632,785 1,047,000 84,840 2,735,546 1,491,147 808,179 11,045,029 56,475,415 57,750 105,500 FY 2000 Expenditures 5,915,382 FY 2001 Current Budget 5,508,750 1,510,010 831,011 266,608,391 265,000 746,832 1,900,000 756,500 188,375,722 267,333 961,413 10,226,000 1,678,290 19,431,559 1,249,020 99,750 2,107,000 1,009,159 11,958,643 34,478,849 499,890 1,250,000 2,906,646 40,318,404 8,000,000 1,689,931 20,102,195 1,250,000 100,000 1,608,000 1,042,976 11,625,943 35,282,461 500,000 7,236,638 3,261,446 57,092,685 21,340,346 25,793,090 99,547,892 107,826,070 4,989,029 472,900 7,917,481 274,370 10,697,801 54,107,318 4,248,765 3,824,985 4,632,785 1,059,000 111,930 4,361,899 3,693,967 1,690,215 7,466,425 274,395 10,771,889 60,478,000 3,756,073 3,884,639 2,077,344 1,087,500 111,930 6,018,289 578,175 63,261,830 350,000 43,000 106,972 350,000 476,580 FY 2002 Agency Requests Adjusted Base Enhancements Totals 5,508,750 5,508,750 1,900,000 756,500 188,375,722 267,333 961,413 1,900,000 756,500 188,375,722 267,333 961,413 8,000,000 1,689,931 20,872,540 1,250,000 100,000 1,608,000 1,042,976 11,625,943 37,860,983 500,000 7,236,638 3,261,446 57,092,685 4,000,000 1,640,999 395,557 12,000,000 1,689,931 22,513,539 1,250,000 100,000 2,003,557 1,042,976 11,625,943 37,860,983 500,000 7,236,638 3,261,446 57,092,685 25,793,090 25,793,090 107,826,070 107,826,070 3,693,967 1,690,215 7,466,425 274,395 11,135,257 63,957,652 4,022,774 3,884,639 2,077,344 1,087,500 111,930 6,018,289 845,443 339,506 273,073 324,582 3,000 4,539,410 1,690,215 7,466,425 274,395 11,474,763 64,230,725 4,022,774 4,209,221 2,077,344 1,090,500 111,930 6,018,289 350,000 476,580 283,267 350,000 759,847 178 STATE BOARD OF EDUCATION -- Financial Summary Unit A - State Board of Education Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Retirement (H.B.272 and H.B. 1321) Tuition for Multi-Handicapped PSAT Exams School Lunch (Federal) Joint Evening Programs Education of Homeless Children/Youth Pay for Performance Remedial Summer School Pre-School Handicapped Mentor Teachers Environmental Science Grants Advanced Placement Exams Serve America Program Drug Free School (Federal) School Lunch (State) Mentoring Program Charter Schools Emergency Immigrant Ed. Chapter II - Block Grant Flow Through State and Local Education Improvement Health Insurance-Non-Cert. Personnel/Retired Teachers Governor's Scholarships Innovative Programs Title II Math/Science Grant Migrant Education Regional Ed. Service Agencies Severely Emotionally Disturbed Georgia Learning Resources Sys. Special Education at State Inst. At Risk Summer School Program Robert C. Byrd Scholarship Troops to Teachers Comprehensive School Reform Supervision and Assessment of Students and Beginning Teachers Student Record Year 2000 Project Funding Child Care Lunch Program Nutrition Education Character Education Standards of Care National Teacher Certification 5,508,750 1,900,000 756,500 188,375,722 267,333 961,413 8,000,000 1,689,931 20,102,195 1,250,000 100,000 1,608,000 1,042,976 11,625,943 35,282,461 500,000 7,236,638 3,261,446 57,092,685 25,793,090 107,826,070 3,693,967 1,690,215 7,466,425 274,395 10,771,889 60,478,000 3,756,073 3,884,639 2,077,344 1,087,500 111,930 6,018,289 350,000 476,580 982,311 1,011,027 (3,693,967) 414,903 1,687,863 81,225 (111,930) (200,000) FY 2002 Governor's Recommendations Workload Adjusted Base 5,508,750 Enhancements 1,900,000 756,500 188,375,722 267,333 961,413 8,000,000 1,689,931 21,084,506 1,250,000 100,000 1,608,000 1,042,976 11,625,943 36,293,488 500,000 7,236,638 3,261,446 57,092,685 25,793,090 107,826,070 1,975,638 1,690,215 7,466,425 274,395 11,186,792 64,141,501 3,837,298 3,884,639 2,077,344 1,087,500 6,018,289 339,506 162,291 350,000 276,580 283,267 Totals 5,508,750 1,900,000 756,500 188,375,722 267,333 961,413 8,000,000 1,689,931 21,084,506 1,250,000 100,000 1,608,000 1,042,976 11,625,943 36,293,488 500,000 7,236,638 3,261,446 57,092,685 25,793,090 107,826,070 1,690,215 7,466,425 274,395 11,526,298 64,141,501 3,837,298 4,046,930 2,077,344 1,087,500 6,018,289 350,000 559,847 179 STATE BOARD OF EDUCATION -- Financial Summary Unit A - State Board of Education Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Health Insurance Adjustment Principal Supplements Alternative Programs - DJJ Extended Day Middle School Reading Programs Student Testing Internet Access School Improvement Teams Communities in Schools Georgia Learning Connection Knowledge is Power Program Grants for School Nurses Total Funds FY 1999 Expenditures $5,589,463,978 FY 2000 Expenditures $5,958,898,968 FY 2001 Current Budget 155,299,707 5,760,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 5,296,768 6,252,000 5,296,768 6,252,000 30,000,000 30,000,000 $6,285,879,143 $6,414,783,822 30,000,000 $80,338,034 $6,495,121,856 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds 755,386,782 6,385,480 $761,772,262 838,599,453 9,015,402 $847,614,855 779,651,254 8,466,564 38,000 $788,155,818 779,651,254 8,466,564 38,000 $788,155,818 779,651,254 8,466,564 38,000 $788,155,818 State General Funds Tobacco Funds TOTAL STATE FUNDS 4,827,691,716 $4,827,691,716 5,111,284,113 $5,111,284,113 5,467,723,325 30,000,000 $5,497,723,325 5,596,628,004 30,000,000 $5,626,628,004 80,338,034 $80,338,034 5,676,966,038 30,000,000 $5,706,966,038 Positions Motor Vehicles 713 712 712 712 54 54 54 54 8 720 54 180 STATE BOARD OF EDUCATION -- Financial Summary Unit A - State Board of Education Current Budget and Governor's Recommendations Budget Classes/Fund Sources Health Insurance Adjustment Principal Supplements Alternative Programs - DJJ Extended Day Middle School Reading Programs Student Testing Internet Access School Improvement Teams Communities in Schools Georgia Learning Connection Knowledge is Power Program Grants for School Nurses Total Funds FY 2001 Annualizers and Current Budget Adjustments 155,299,707 5,760,000 (155,299,707) 30,000,000 $6,285,879,143 27,760,185 4,469,050 4,135,763 4,000,000 1,582,839 1,512,500 1,000,000 $14,847,900 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds 779,651,254 8,466,564 38,000 $788,155,818 (111,930) ($111,930) State General Funds Tobacco Funds TOTAL STATE FUNDS 5,467,723,325 30,000,000 $5,497,723,325 14,959,830 $14,959,830 Positions Motor Vehicles 712 (3) 54 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements Totals 207,000 5,967,000 $81,339,749 27,760,185 4,469,050 4,135,763 4,000,000 1,582,839 1,512,500 1,000,000 30,000,000 $6,382,066,792 156,000 3,500,000 7,000,000 7,000,000 $139,118,775 5,967,000 156,000 3,500,000 34,760,185 4,469,050 4,135,763 11,000,000 1,582,839 1,512,500 1,000,000 30,000,000 $6,521,185,567 779,539,324 8,466,564 38,000 $788,043,888 81,339,749 $81,339,749 5,564,022,904 30,000,000 $5,594,022,904 709 54 779,539,324 8,466,564 38,000 $788,043,888 139,118,775 $139,118,775 5,703,141,679 30,000,000 $5,733,141,679 7 716 54 181 STATE BOARD OF EDUCATION Quality Basic Education Funding Comparison Program Area DIRECT INSTRUCTION Kindergarten, Primary and Elementary Grades (1-3) Middle Grades (4-8) High School Grades (9-12) High School Non-Vocational Labs (9-12) High School Vocational Labs (9-12) Special Education Gifted Limited English-Speaking Alternative Education Remedial Education TOTAL DIRECT INSTRUCTIONAL MID-TERM ADJUSTMENT RESERVE SALARY/HEALTH INSURANCE STAFF DEVELOPMENT ADDITIONAL INSTRUCTION MEDIA CENTER ITINERANT/SUPPLEMENTAL SPEECH INDIRECT COST TOTAL QBE FORMULA EARNINGS OTHER CATEGORICAL GRANTS Pupil Transportation Sparsity/Isolated Schools Equalization Low-Incidence Special Education Middle School Incentive Limited English-Speaking Students Special Instructional Assistance (SIA) In-School Suspension Counselors (Grades 4-5) Innovative Programs Expenditures Appropriations Recommendations FY 2000 FY 2001 FY 2002 1,246,928,019 1,057,747,868 436,873,709 207,679,609 156,945,877 546,599,680 98,679,526 104,495,375 3,855,949,663 1,470,763,243 1,230,282,244 640,572,767 165,558,340 576,281,544 110,909,798 36,306,945 58,091,662 63,232,671 4,351,999,214 1,569,114,250 1,403,256,384 681,132,685 173,702,121 651,088,117 135,013,658 47,801,693 62,306,560 20,132,696 4,743,548,164 36,602,631 134,010,159 2,193,265 800,161,761 4,828,917,479 267,214,957 37,621,355 138,948,965 2,342,871 808,643,440 5,606,770,802 40,560,765 44,653,187 149,042,453 3,158,413 862,356,790 5,843,319,772 152,008,380 3,157,998 246,132,702 305,134 99,647,660 28,122,176 98,870,519 24,040,020 13,524,883 500,000 152,606,489 3,158,000 221,584,668 620,134 500,000 175,076,220 6,548,910 253,458,512 852,291 500,000 TOTAL QBE FUNDS LOCAL FIVE MILL SHARE STATE SHARE 5,495,226,951 5,985,240,093 (869,432,750) 4,625,794,201 (932,307,605) 5,052,932,488 6,279,755,705 (1,004,314,160) 5,275,441,545 182 STATE BOARD OF EDUCATION FY 2002 QBE Formula Recommendation Base Amount (Grades 9-12) = $2,256.49 Program Direct Direct Instructional Cost Weighted Total FTE Cost Plus T&E FTE Weight FTE Earnings Proportion Training and Experience Kindergarten - EIP Kindergarten Grades 1-3 - EIP Grades 1-3 Grades 4-5 - EIP Grades 4-5 Grades 6-8 - Regular Grades 6-8 - Incentive Grades 9-12 Vocational Lab Special Education I Special Education II Special Education III Special Education IV Special Education V Gifted Limited English-Speaking Alternative Education Remedial 14,904 93,052 34,348 291,524 17,133 197,027 19,832 284,475 284,925 58,873 8,537 16,678 38,232 4,682 1,083 32,200 6,808 16,203 6,018 1.9952 1.6226 1.7617 1.2686 1.7549 1.0258 1.0102 1.1104 1.0000 1.2010 2.3409 2.7330 3.4778 5.6253 2.4233 1.6340 2.4521 1.5702 1.2917 29,736 150,986 60,511 369,827 30,067 202,110 20,034 315,881 284,925 70,706 19,984 45,581 132,963 26,338 2,624 52,615 16,694 25,442 7,773 67,099,266 340,693,216 136,543,165 834,485,698 67,842,681 456,081,347 45,205,593 712,784,581 642,931,625 159,551,598 45,094,608 102,852,648 300,031,645 59,431,091 5,921,950 118,727,974 37,669,957 57,407,472 17,541,269 0.8705 0.8434 0.8530 0.8004 0.8524 0.7559 0.7593 0.7799 0.7565 0.7963 0.8620 0.8799 0.9033 0.9359 0.8667 0.8070 0.8982 0.7656 0.8091 79,055,696 381,741,335 166,033,082 942,284,138 82,036,262 486,818,973 48,550,087 785,851,061 681,132,685 173,702,121 53,898,629 128,970,858 382,722,580 78,387,111 7,108,939 135,013,658 47,801,693 62,306,560 20,132,696 Total Direct Instruction 1,426,534 1,864,797 4,207,897,384 4,743,548,164 Staff Development Additional Instruction Media (Including T&E) Itinerant/Supplemental Speech Indirect Cost (Including T&E) 40,560,765 44,653,187 149,042,453 3,158,413 862,356,790 TOTAL QBE FORMULA EARNINGS 5,843,319,772 Plus: Pupil Transportation Sparsity/Isolated Schools Equalization Low-Incidence Special Education Innovative Programs 175,076,220 6,548,910 253,458,512 852,291 500,000 TOTAL QBE EARNINGS 6,279,755,705 Less: Local Five Mill Share (1999 40% Equalized Tax Digest less exemption allowances x .005) (1,004,314,160) STATE FUNDS -- FY 2002 (Includes $1,513,198,917 for Training and Experience) 5,275,441,545 183 STATE BOARD OF EDUCATION - UNIT A FY 2002 Budget Summary Governor's Recommendations ADJUSTMENTS TO CURRENT BUDGET - STATE GENERAL FUNDS FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. $5,467,723,325 24,747,459 Other Adjustments: 2. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. 3. Adjust DOAS liability insurance, workers' compensation, and unemployment rates. 4. Eliminate funding for a pre-design study of an FFA/FHA auditorium and convention center. 5. Transfer funds for the assisting of teachers participating in the National Board Certification Program to the Professional Standards Commission. Funds for 10% salary supplements for Board certified teachers remain in the base. 6. Transfer GALILEO to the Board of Regents. 7. Transfer the Governor's Scholarship Program to the Georgia Student Finance Commission. 8. Adjust funding for health insurance. 9. Transfer the Public School Recruitment Unit to the Professional Standards Commission. 10. Reduce funding for various contracts. 11. Adjust Internet Access funding to reflect projected need. 12. Transfer federally funded ($111,930) for the Troops to Teachers program to the Professional Standards Commission. Workload: 13. Provide funds for QBE formula grants based on enrollment growth of 2.15%. 14. Add funding for equalization grants with a system gaining funds from the prior year limited to 40% of the gain and a system losing funds limited to 40% of the loss. 15. Add funds for 69 principals at new schools. 16. Provide funds for the Psychoeducational Network Program formula. 17. Provide funds for extended day and grades 9-12 vocational lab instructors based on increased enrollment. 18. Provide additional funds for principals' supplements for 69 principals. 19. Increase Local Five Mill Share to reflect the most recent equalized tax digest. 147,745 85,164 (50,000) (200,000) (906,550) (3,693,967) (3,773,821) (346,200) (290,000) (760,000) Yes 115,094,555 31,873,844 2,867,957 1,975,638 1,327,310 207,000 (72,006,555) ADJUSTED BASE - STATE GENERAL FUNDS ENHANCEMENT FUNDS - STATE GENERAL FUNDS ENHANCEMENTS 1. Provide funding for paraprofessionals in Kindergarten at a ratio of 1 paraprofessional for every 18 Kindergarten FTEs. 2. Establish an Early Intervention Program (EIP) for students in Grades 4-5 based on a teacher pupil ratio of 11:1 and migration of 8% of Grades 4-5 students to the EIP program. An increase of $28,183,433 is offset by a decrease of $9,254,789 based on eliminating remedial education for Grades 4-5 students. 3. Increase Maintenance and Operations in the QBE formula from the current $295 per FTE to $300 per FTE. 4. Add funds for the Pupil Transportation grant. 184 $5,564,022,904 68,522,643 18,928,644 7,132,668 20,000,000 STATE BOARD OF EDUCATION - Unit A -- FY 2002 Budget Summary 5. Provide additional funds to allow local school systems to choose from a list of research-based reading programs for grades K-8 appropriate for each system. 6. Add funding for 12 new school improvement teams to bring the total to 20 teams. Each team will assist an average of 3 schools per year. Funding includes reimbursement for staff, operating expenses and school improvement grants for each team. 7. Provide funds for middle schools volunteering to pilot an extended day middle school program. The program will increase the length for the school day and provide additional instructional time for middle school students. 8. Provide funds for sparsity grants to guarantee a principal and a counselor for school systems with an Alternative Education program enrollment below 100 FTEs. 9. Provide funds to implement a fixed asset module for the PC GENESIS to comply with the General Accounting Standard Board's Statement 34. 10. Provide funds for drug and alcohol testing of school bus drivers. 11. Add funding for 5 central office positions and associated operating expenses to coordinate school improvement team selection and support teams in helping under-performing schools. 12. Increase funds to RESAs for services to additional school systems required to be members under HB 1187. 13. Provide additional funds for a 10% salary supplement for teachers receiving National Board certification through November 2000. 14. Increase funding for the Special Education - Low Incidence Grants to local school systems. 15. Provide funds to expand industry certification in agricultural education. 16. Increase funding for special needs students who are served in state institutions. 17. Restore funds omitted from FY 2001 for Alternative Education programs operated by the Department of Juvenile Justice. 18. Provide funds to review and evaluate the Quality Core Curriculum. 19. Provide funds to implement the "High Schools That Work" program in local school systems. 20. Provide funds for 1 position for Technology/Career Education Curriculum assessment and the "High Schools That Work" programs. Position will split responsibilities between the two programs. 21. Provide funding to fill 1 vacant pupil transportation position. 22. Provide funds to offset operating expense increases at the Georgia Academy for the Blind. 23. Add funds for occupational and physical therapy services for students at the Atlanta Area School for the Deaf. 24. Provide funds to coordinate evaluation activities at the Atlanta Area School for the Deaf using the Sign Communications Proficiency Instrument. 25. Increase funds for supplies, materials, and computers for the Governor's Honors Program. 26. Increase funding for the Governor's Honors Program facility contract with Valdosta State University to reflect an increase in the rental charge. 27. Provide funds for a new vehicle for the State Superintendent of Schools. 28. Expand the Governor's Honors Program by 15 students in agriscience and biotechnology. 29. Provide funds to increase the hourly rate for job coaches for students in vocational training classes and placements at the Atlanta Area School for the Deaf. 30. Increase travel related to staff development at the Georgia School for the Deaf. 31. Provide funds for pediatric psychiatric services to assist in the management of specific students at the Atlanta Area School for the Deaf. Governor's Recommendations 7,000,000 7,000,000 3,500,000 3,390,910 800,800 481,717 360,000 339,506 283,267 232,157 200,000 162,291 156,000 142,300 100,000 72,000 72,000 53,968 44,250 39,600 38,809 21,503 21,300 10,000 6,500 4,442 1,500 TOTAL ENHANCEMENT FUNDS - STATE GENERAL FUNDS $139,118,775 185 STATE BOARD OF EDUCATION - Unit A -- FY 2002 Budget Summary Governor's Recommendations ADJUSTMENTS TO CURRENT BUDGET - TOBACCO SETTLEMENT FUNDS FY 2001 STATE APPROPRIATIONS TOTAL TOBACCO SETTLEMENT FUNDS TOTAL STATE GENERAL AND TOBACCO FUNDS $30,000,000 $30,000,000 $5,733,141,679 186 STATE BOARD OF EDUCATION Functional Budget Summary - Unit A 1. State Administration FY 2001 Appropriations Total State 12,508,523 9,826,916 FY 2002 Recommendations Total State 12,877,323 10,195,716 2. Student Learning and Assessment 65,051,907 49,728,645 29,631,133 14,307,871 3. Governor's Honors Program 4. Quality and School Support 1,342,465 15,736,724 1,264,876 10,263,257 1,412,777 11,168,724 1,335,188 5,695,257 5. Federal Programs 9,887,037 544,407 9,887,037 544,407 6. Technology 7. Local Programs 8. Georgia Academy for the Blind 27,070,668 6,106,629,186 5,994,786 18,146,282 5,361,734,261 5,452,912 21,923,455 6,386,482,225 6,048,754 12,999,069 5,641,699,230 5,506,880 9. Georgia School for the Deaf 5,308,824 4,925,167 5,313,266 4,929,609 10. Atlanta Area School for the Deaf 11. Tobacco Settlement Funds 6,349,023 30,000,000 5,836,602 30,000,000 6,440,873 30,000,000 5,928,452 30,000,000 TOTAL APPROPRIATIONS $6,285,879,143 $5,497,723,325 $6,521,185,567 $5,733,141,679 RECOMMENDED APPROPRIATION: The State Board of Education is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $5,733,141,679 187 STATE BOARD OF EDUCATION -- Financial Summary Unit B - Lottery for Education Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Computers in the Classroom Satellite Dishes Post Secondary Options Educational Technology Ctrs. Assistive Technology Applied Technology Labs Financial and Management Equipment Fort Discovery Computers - State Schools Capital Outlay TOTAL LOTTERY FUNDS FY 1999 Expenditures 26,780,492 3,102,891 660,000 2,000,000 1,850,000 8,984,989 1,500,000 60,938,547 $105,816,919 FY 2000 Expenditures 32,641,022 926,109 3,379,553 858,000 5,000,000 FY 2001 Current Budget 29,485,875 4,500,000 $42,804,684 11,288,500 $45,274,375 FY 2002 Agency Requests Adjusted Base Enhancements Totals 35,750,000 35,750,000 2,500,000 2,500,000 60,000 60,000 $38,310,000 $38,310,000 188 STATE BOARD OF EDUCATION -- Financial Summary Unit B - Lottery for Education Current Budget and Governor's Recommendations Budget Classes/Fund Sources Computers in the Classroom Satellite Dishes Post Secondary Options Educational Technology Ctrs. Assistive Technology Applied Technology Labs Financial and Management Equipment Fort Discovery Computers - State Schools Capital Outlay TOTAL LOTTERY FUNDS FY 2001 Annualizers and Current Budget Adjustments 29,485,875 4,500,000 11,288,500 $45,274,375 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements 35,663,350 Totals 35,663,350 2,500,000 2,500,000 60,000 $38,223,350 60,000 $38,223,350 FY 2002 Budget Summary - Unit B Governor's Recommendations FY 2001 STATE APPROPRIATIONS 1. Delete items with no continuation funding. 2. Provide $25 per FTE for 1,426,534 FTEs for computers, equipment, technology and/or technology training. 3. Add funds for Assistive Technology for handicapped students at local school systems. 4. Provide $20,000 to each of the state schools (Georgia Academy for the Blind, Atlanta 5. Area School for the Deaf, and Georgia School for the Deaf) to purchase computers and/or other technology. TOTAL LOTTERY FUNDS $45,274,375 (45,274,375) 35,663,350 2,500,000 60,000 $38,223,350 RECOMMENDED APPROPRIATION: The State Board of Education - Unit B is the budget unit for which the following Lottery Fund Appropriation is recommended for FY 2002: $38,223,350. 189 DEPARTMENT OF EDUCATION -- Financial Summary Unit C - Office of School Readiness Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Pre-Kindergarten - Grants Pre-Kindergarten - Personal Svc Pre-Kindergarten - Operations Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees and Contracts Computer Charges Telecommunications Federal Nutrition Grants Standards of Care Total Funds 208,699,460 1,876,640 4,774,932 2,618,367 206,775 95,004 30,139 93,735 644,715 41,653 52,472 56,650,467 $275,784,359 FY 2000 Expenditures 217,882,478 2,031,614 5,116,963 2,558,381 195,245 183,798 9,900 130,500 1,071,251 77,703 29,056 63,234,898 $292,521,787 FY 2001 Current Budget 225,194,380 2,235,591 5,215,957 3,642,166 180,283 181,959 11,528 130,500 1,186,947 225,693 31,724 129,817,711 134,500 $368,188,939 FY 2002 Agency Requests Adjusted Base Enhancements Totals 235,297,065 2,324,927 5,272,257 3,686,068 180,283 221,959 11,528 130,500 1,086,947 300,693 31,724 129,817,711 134,500 $378,496,162 7,125,000 $7,125,000 242,422,065 2,324,927 5,272,257 3,686,068 180,283 221,959 11,528 130,500 1,086,947 300,693 31,724 129,817,711 134,500 $385,621,162 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds 59,331,946 66,352,556 134,273,755 $59,331,946 $66,352,556 $134,273,755 30,233 $30,233 134,303,988 $134,303,988 State General Funds Lottery Funds TOTAL STATE FUNDS $1,101,381 215,351,032 $216,452,413 $1,138,177 225,031,054 $226,169,231 $1,269,256 232,645,928 $233,915,184 $368,217,608 10,248,321 $378,465,929 7,125,000 $7,125,000 $1,297,925 250,019,249 $251,317,174 Positions 72 81 83 83 83 Motor Vehicles 1 1 1 1 1 190 DEPARTMENT OF EDUCATION -- Financial Summary Unit C - Office of School Readiness Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Pre-Kindergarten - Grants Pre-Kindergarten - Personal Svc Pre-Kindergarten - Operations Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees and Contracts Computer Charges Telecommunications Federal Nutrition Grants Standards of Care Total Funds 225,194,380 2,235,591 5,215,957 3,642,166 180,283 181,959 11,528 130,500 1,186,947 225,693 31,724 129,817,711 134,500 $368,188,939 38,852 25,000 (100,000) 75,000 $38,852 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds 134,273,755 $134,273,755 30,233 $30,233 State General Funds Lottery Funds TOTAL STATE FUNDS 1,269,256 232,645,928 $233,915,184 8,619 $8,619 Positions 83 Motor Vehicles 1 FY 2002 Governor's Recommendations Workload 5,155,102 66,973 $5,222,075 Adjusted Base 230,349,482 2,302,564 5,215,957 3,681,018 180,283 206,959 11,528 130,500 1,086,947 300,693 31,724 129,817,711 134,500 $373,449,866 Enhancements Totals 230,349,482 2,302,564 5,215,957 3,681,018 180,283 206,959 11,528 130,500 1,086,947 300,693 31,724 129,817,711 134,500 $373,449,866 134,303,988 $134,303,988 5,222,075 $5,222,075 1,277,875 237,868,003 $239,145,878 83 1 134,303,988 $134,303,988 1,277,875 237,868,003 $239,145,878 83 1 191 DEPARTMENT OF EDUCATION - UNIT C FY 2002 Budget Summary Governor's Recommendations ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. ADJUSTED BASE $1,269,256 8,619 $1,277,875 FY 2001 LOTTERY APPROPRIATIONS 1. Annualize the cost of the FY 2001 salary adjustment. 2. Provide funding for a 4.5% salary increase for FY 2002. 3. Reduce the number of new classes and start-up costs by 50. 4. Provide funds for a 4.5% increase for certified PreK teachers. 5. Provide a 2.5% increase for non-certified PreK teachers. 6. Provide funding for an increase in training and experience for certified teachers. 7. Increase the transportation cost and assistance to Head Start to serve at-risk children. $232,645,928 16,375 75,598 (400,000) 3,184,358 1,655,555 398,714 291,475 LOTTERY FUNDS TOTAL STATE AND LOTTERY FUNDS $237,868,003 $239,145,878 RECOMMENDED APPROPRIATION: The Department of Education - Unit C is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $239,145,878. 192 STATE BOARD OF EDUCATION Roles and Responsibilities The State Board of Education establishes policies that the Georgia Department of Education administers under the direction of the State Superintendent of Schools. The department disburses state education funds, provides technical assistance and support services to local school systems, operates 3 state schools for hearing- and visuallyimpaired students, and provides intensive assistance to local schools identified by the Office of Education Accountability. OFFICE OF STUDENT LEARNING & ACHIEVEMENT The Office of Student Learning and Achievement consists of 4 divisions: Instruction, School Improvement and Training, Student Transportation Services, and Facilities Services. The office: Provides leadership in developing and implementing curriculum for elementary, middle and secondary students; Administers student support programs; Administers the Governor's Honors, student assessment and special education programs; Administers funds and provides technical assistance for school improvement as directed by the Office of Education Accountability; and Provides technical assistance to local systems and processes waiver requests. OFFICE OF CHIEF OF STAFF The Office of Chief of Staff consists of 6 divisions: Human Resources Development, State Schools, Constituent Services, Legal Services, Legislation, and Federal Programs. The office: Provides personnel support to other units within the department; Recruits personnel for the Department of Education; Administers federal programs, including School and Community Nutrition, Drug-Free Schools, Homeless grants, Headstart, Title I and Migrant Education; Provides information on the department's programs to interested parties; and Provides instructional and therapeutic services for students who attend the state operated schools. OFFICE OF FINANCE AND TECHNOLOGY The Office of Finance and Technology consists of 4 divisions: Budget and Accounting Services, Technology Services, Internal Support, and Recognition Programs. The office: Disburses funds to local school systems; Provides technical assistance in budgeting, accounting and financial reporting; and Reviews and tracks contract items. Designs guidelines for the expenditure of state/lottery funds for K-12 technology; Provides information to local school systems regarding training in technology; Coordinates with GSAMS agencies for K-12 site selection and delivery of instructional programs; and Administers funds and provides technical assistance on teacher recognition initiatives such as: Teacher of the Year, Teachers Academy, and Pay for Performance. OFFICE OF EXTERNAL AFFAIRS The Office of External Affairs: Coordinates agency interactions with colleges and universities, technical institutes, and other national, state and local agencies; and Develops and delivers leadership and organizational development programs that focus on systemic change for local system personnel and for school board members. ATTACHED AGENCIES The Office of School Readiness administers the Georgia Voluntary Pre-Kindergarten Program, licenses private childcare centers that operate pre-kindergarten programs, and administers the federal Child and Adult Care Food program. AUTHORITY Title 20 of the Official Code of Georgia Annotated. 193 STATE BOARD OF EDUCATION Strategies and Services STUDENT ACHIEVEMENT normed to students taking the exam in 1999 and 2000, unlike In Georgia and nationwide, civic and business leaders the current ITBS used by the state which is normed to have focused on improving public schools and student students taking the test in 1992. A more recent comparison achievement. Even though per pupil expenditures continue will provide a better picture of how Georgia students are to increase, student achievement has not risen as fast as it performing relative to other students. should. In fact, the United States is even beginning to fall In addition to tests that compare Georgia students to behind in areas where we once held supremacy. A 1998 others in the nation, it is vital to have a competency test that report found that the United States' high school graduation measures the students' knowledge of the state's QCC. QCC rates are trailing many other developed nations. standards specify the academic content for kindergarten The nation is concerned that our children are not only through the 12th grade. The standards are the result of the lacking basic knowledge of reading, writing, and Quality Basic Education (QBE) Act which lists the broad mathematics, but are not acquiring the critical thinking skills competencies expected of all students who complete public needed in the new millenium. Compared to the rest of the high school in Georgia. In 1997, the GDOE completed a nation, just how well are massive effort to update Georgia's students doing? Student scores on assessment instruments are usually the "bottom line" when student Iowa Tests of Basic Skills Reading and Math National Percentile Rankings Source: The Georgia Department of Education 1996 1997 1998 1999 2000 the state's QCC, involving thousands of teachers and parents. All major academic subjects were updated to reflect a more achievement is discussed. Georgia's testing programs comprehensively assess students' educational achievement from kindergarten through high school. The Georgia Reading 3rd Grade 5th Grade 8th Grade Math 3rd Grade 5th Grade 8th Grade rigorous attention to 51 52 53 54 52 academic achievement and 53 52 53 53 51 mastery of basic skills. 48 48 48 49 48 Standards of achievement are being raised in 59 59 61 61 60 Georgia. 56 57 58 59 57 To measure how well 53 54 55 56 55 Georgia students meet Department of Education's these new standards, (GDOE) testing schedule includes both norm-referenced and Governor Barnes recommends $10.1 million in the Amended criterion-referenced components to determine educational FY 2001 budget to accelerate development of the Criterion effectiveness. Nationally norm-referenced tests provide Referenced Competency Tests (CRCT) in reading, students, teachers, and parents with grade equivalencies English/language arts, mathematics, science, and social and percentile ranks whereas criterion-referenced tests yield studies. The CRCT is designed to test Georgia students on results about learning and mastery of Georgia's Quality Core the required core courses and then the results are to be used Curriculum (QCC). for diagnostic, remedial, and enrichment purposes. Governor The Iowa Test of Basic Skills (ITBS) is one of the norm- Barnes' recommendation also includes funding for a web- referenced assessment tools Georgia has used. The ITBS is based delivery system, designed to enable teachers and a battery of general achievement tests for grades 3 through students to access test questions using a web-enabled 8. State law requires that norm-referenced tests be desktop computer. The first phase of the CRCT was administered to students in grades 3, 5, and 8. The tests are administered in Spring 2000 in grades 4, 6, and 8 in reading, intended to measure how well a student has learned the math, and English/language arts. Scores from this test basic knowledge and skills taught in elementary and middle administration will be used as benchmarks to establish schools, in such areas as reading and mathematics. academic performance goals for schools and communities. The ITBS are norm-referenced tests designed to provide Student scores were placed in one of three categories in information on how well students perform in comparison to a each content area: Does Not Meet Standards, Meets national norm group. For example, a 3rd grade national Standards, and Exceeds Standards. percentile ranking of 61 in Reading reveals that 61% of The high school end-of-course exam is another type of Georgia's 3rd graders are doing as well or better than the 3rd criterion-referenced test to be used in Georgia. These tests graders in the national norm group. are designed to assess basic knowledge of core high school In Spring 2001, the state will administer a different norm- courses such as Algebra and American Government. End- referenced test, the Stanford 9. The Stanford 9 will be of-course exams can also go a long way towards 194 STATE BOARD OF EDUCATION Strategies and Services standardizing what is taught in high schools across the state. If students are to be tested on the same content, they should be taught the same content. Governor Barnes recommends funding in the Amended FY 2001 budget to continue development of end-of-course exams in eight core subjects. These exams will first be administered in school year 20022003, and once fully implemented will replace the current Georgia High School Graduation Test. IMRPOVING READING ACHIEVEMENT In the past 4 years, 3rd grade ITBS scores in reading have remained virtually stagnant. Less than 40% of students in grades 4, 6, and 8 met basic reading standards as measured by the Spring 2000 CRCT. These marks are unacceptable and must improve if Georgia is to remain competitive in the global economy. Reading improvement, especially in early grades, is the key to better student performance on both national norm-referenced tests and the CRCT. While continuing to support programs like Reading First and the Reading Challenge after-school program, Governor Barnes wants to allow schools to choose the reading programs they feel will produce the best improvement in reading for their students, especially those below grade level. The reading programs must be researchbased and demonstrate performance. The Governor proposes to create a new line item in the GDOE's budget for reading programs and fund it at a $34 million level in FY 2002. This level is $7 million more than the current budget for Reading First and Reading Challenge combined. There are many proven reading programs such as Voyager, which incorporates theme-based, hands-on learning, and Reading Recovery, which is designed for schools that wish to implement one-to-one remedial reading. To assist schools in finding proven programs that best fit their local needs, Governor Barnes has requested the GDOE to provide a list and description of research-based programs for in-school and after-school reading. In addition, the new Early Intervention Progra m (EIP) in K-3 provides funding for special assistance to students below grade level. Virtually all K-3 EIP students qualify for the program because of reading problems. EIP funding can be used for programs like Reading Recovery to target reading assistance to the most needy students. For FY 2002, the Governor is recommending a net increase of $18,928,644 to expand the EIP program to grades 4 and 5. This change will enable schools to target reading problems in those grades if that is what is needed to improve reading performance. COUNTDOWN TO ACCOUNTABILITY The hope is that the new infusion of funds and additional flexibility to choose reading programs will help schools to better focus on student achievement and be better prepared as the state continues its count down to accountability. HB 1187 requires the Office of Education Accountability (OEA) to begin collecting benchmark student achievement data in school year 2002-2003. In school year 2004-2005, all schools will be held accountable, given a grade of A, B, C, D, or F based on student performance measured against an absolute achievement standard and another grade based on annual progress. Schools receiving an A or B will receive bonus awards, and schools receiving a D or F will be sanctioned and may be assigned a school improvement team by the OEA. While all schools will not receive grades from the OEA until fall 2004, it is important to begin assigning school improvement teams on a voluntary basis before then. At the beginning of school year 2000-2001, 8 improvement teams were assigned to assist low performing schools. The improvement teams were established to aid schools in designing and implementing school improvement plans. In most cases, assistance comes in the form of staff development for teachers and leadership training for school administrators. Governor Barnes recommends $7 million in additional funding in FY 2002 to expand the number of improvement teams by 12, bringing the total to 20. Each team is comprised of 5 members with expertise and experience in classroom teaching or school administration. In the Amended FY 2001 budget, the Governor recommends over $1.2 million to begin assembling and training the 12 new teams before the beginning of FY 2002. Each team will assist an average of 3 schools annually, providing on-site services for up to one year. The duration of a team's visit will depend on the level of assistance required at a school. Improvement teams will play a key role in improving the achievement of low performing schools. As these teams assist low performing schools and learn from experiences, adjustments may be made to the teams' operational makeup and funding. Governor Barnes also recommends funding for five GDOE personnel who will hire and train team members and coordinate their activities. HIGH SCHOOL AND BEYOND Often touted as a crucial indicator of student achievement, the Scholastic Aptitude Test (SAT) continues to be a yardstick held by institutions of higher learning to measure prospective students. Usually taken by rising high school seniors, SAT scores have increased steadily in Georgia since 1994. Since 1994, Georgia' students have made 195 STATE BOARD OF EDUCATION Strategies and Services consistent gains on the SAT. Georgia's SAT scores have risen from 948 in 1999 to 974 in 2000, an increase of 26 points. The nation's SAT score has risen 16 points during the same time period, going from 1003 in 1994 to 1019 in 2000. Georgia has implemented several state-funded initiatives to encourage this steady gain in achievement. Governor Barnes continues to be a proponent of these incentives. The Governor has recommended the state continue funding the Preliminary Scholastic Assessment Test (PSAT) for 10th grade students to "practice" for the SAT. The Governor also recognizes the importance of giving Georgia's students the opportunities to take more rigorous academic coursework. He recommends an additional $212,000 in the Amended FY 2001 budget, increasing the total to $1.8 million, for over 26,000 public school students predicted to take Advance Placement (AP) exams in May 2001. The Governor also recommends continued state support for student participation in the Postsecondary Options (PSO) initiative, a program which allows qualified high school juniors and seniors to earn high school Carnegie units and postsecondary credit while jointly enrolled in high school and a postsecondary institution. Postsecondary institutions receive state funding equivalent to the lesser of what a student would have earned in the regular high school program or the cost of tuition. KIPP ACADEMY No more excused-based education. This simple motto is at the heart of the Knowledge is Power Academy (KIPP) Program. In public appearances throughout the state, Governor Barnes has preached the gospel of out-of-the-box thinking to raise teaching and learning expectations in schools serving at-risk students. KIPP provides the perfect model to experiment with out-of-the-box thinking. Two Teach for America teachers, started the KIPP Academy in Houston, Texas. KIPP is an academically rigorous college preparatory public school for at-risk students in grades 5 through 9. The program engages students and their families by requiring students and parents to sign a written contract that specifies attendance from 7:30 a.m. to 5:00 p.m. Monday through Friday, 4 hours each Saturday, and 1 month each summer. The contract requires parents to reinforce students' commitment, ensure attendance, and help with 2 to 3 hours of homework each evening. In 1999, KIPP led the state of Texas in the Texas Assessment of Academic Skills (TAAS) results. 100% of students passed the math and science sections. In reading, 98% of students passed, in writing 97%, and in social studies 98%. Unlike many public schools in Texas, KIPP did not exempt any Spanis h-speaking students from the taking the test. The KIPP formula was replicated successfully in the South Bronx. KIPP in New York is the highest-performing middle school program in the five districts that make up the Bronx. In 1999, 300 students in grades 5 through 9 were enrolled in the KIPP Academy. Ninety-six percent were Hispanic or African-American and 91% were eligible for the federal free/reduced lunch program. Another compelling factor about KIPP is that the students spend 67% more time in school than other Texas public school students. Governor Barnes hopes to replicate KIPP's successes in Georgia. Last year he recommended $1,000,000 to provide funds for at least one KIPP Academy. KIPP is finalizing the plans for its first academy in Georgia but will need only $250,000 in FY 2001. KIPP is raising private dollars to train future leaders in the KIPP methodology and will open several academies in Georgia over the next few years. KIPP could create several Georgia academies with the Governor's initial FY 2001 funding recommendation, but funds can best be utilized in FY 2002 and beyond when KIPP Academy leaders have been identified and trained. So the Governor is recommending the continuation of $1,000,000 in fiscal year 2002 to provide startup funds for several KIPP Academies. State funds will be used primarily to purchase or renovate school facilities and other startup supplies and materials. NATIONAL BOARD CERTIFICATION After more than a decade of educational reform there is growing consensus among teachers, school administrators, and reformers that professional development and teacher training lie at the heart of efforts to improve teaching and learning in K-12 public schools. The National Board for Professional Teaching Standards created the National Board Certification process to establish high and rigorous standards for what teachers should know and be able to do and to develop a national, voluntary system to assess and certify teachers who meet these standards. Teachers who participate in the National Board Certification process help to reshape the public's perception of teaching, create more professional and rewarding relationships among teachers, and advance the knowledge base of teaching, all directly related to improving student learning. The National Board Certification process consists of two parts. First, during the school year, candidates assemble a portfolio of their teaching, composed of student work, teacher reflections on the students' work and videotapes of classroom activities with students. Second, the candidates spend a day during the summer at an assessment center where they are interviewed by master teachers and complete written essay examinations to determine the level of their teaching skills and mastery of subject matter. The assessment center exercises are designed to complement the portfolio and are organized around challenging teaching issues. The self-analysis endemic to the certification process benefits students by requiring 196 STATE BOARD OF EDUCATION Strategies and Services teachers to focus on academic goals and objectives that hold the promise of improving classroom practice. The entire certification process, from developing the portfolio to completing written essays, takes the better part of a school year. Many teachers have reported spending about 200 hours on the process. In 1996, the General Assembly and Governor enacted legislation to offer financial incentives to teachers who choose to become nationally certified. The legislation required that nationally certified teachers receive a 5% increase in their salary and be reimbursed the certification fee. In FY 2001, Governor Barnes and the General Assembly doubled the salary supplement to 10%. For FY 2002, Governor Barnes is recommending $283,267 in additional funding for the 10% salary supplement for additional certified teachers. Governor Barnes hopes to increase the number of Georgia nationally certified teachers to 1,000 by school year 2003-2004. To enhance the chances of reaching the goal, the Governor has initiated a partnership with the Georgia Partnership for Excellence in Education (GPEE) to provide financial assistance to teachers participating in the National Board Certification process. For the 2000-2001 cycle, the National Board application fee is $2,300. Under the agreement with GPEE, a teacher will pay the $300 qualifying fee, the state will contribute $1,000, and GPEE will contribute the remaining $1,000 for any teacher who is unable to find $1,000 from another source, such as the federal government or a teacher support organization like the Professional Association of Georgia Educators (PAGE). The Governor is recommending $290,000 in the GDOE's Amended FY 2001 budget to provide 290 teachers a $1,000 application grant. Teachers receiving state funds must sign a promissory note, pledging to teach in Georgia for at least one year after receiving Board Certification. Teachers who break this pledge must repay the $1,000 grant plus interest. For the 2001-2002 cycle and beyond, the Professional Standards Commission (PSC) will develop an application and mentoring process to identify and support teachers who are mostly likely to complete the rigorous National Board process. Beginning in FY 2001, the PSC will also be responsible for dispensing the $1,000 application grants. The national passage rate for the 1999-2000 cycle was 45%. Georgia's passage rate was 40%. Teachers receiving assistance from PAGE, which screens and provides mentoring services to its applicants, have a passage rate approaching 75%. As of November 2000, 110 Georgia educators were National Board Certified. Fifty-one educators who participated in the certification process in school year 19992000 were certified in November 2000. The PSC, mentioned above, will not only play a significant role in increasing the number of National Board Certified teachers, it will continue to be the main actor in other activities to increase teacher quality and supply. The PSC's primary responsibilities are to test and certify teachers and certify colleges of education, functions which dovetail nicely with the issues of teacher quality and supply. To lessen the duplication of government services, Governor Barnes recommends transferring two teacher quality and supply functions from the GDOE to the PSC. He proposes transferring the GDOE's Public School Recruitment unit and the Troops to Teachers program to the PSC. Troops to Teachers seeks to recruit former military personnel into K-12 classrooms. TECHNOLOGY FOR INSTRUCTION One of the state's prime commitments has been the placement of cutting edge technology into Georgia's classrooms and schools. Since FY 1994, over $300 million in lottery funds have been appropriated to put computers, satellite dishes, and other instructional technology into Georgia's classrooms. In 1992-93, before lottery funding, only 26% of Georgia classrooms had computers and only 15% had distance learning capability. By 1999-2000, after 7 years of lottery funding, distance learning capability was available to 81.5% of all classrooms, and 54.2% of classrooms had at least 1 computer connected to the internet. Governor Barnes is continuing the state's commitment to provide technology resources for the classroom by recommending $25 per FTE, for a total of $35,663,350 in FY 2002 lottery funds. The Internet is rapidly emerging as a powerful learning tool for both students and teachers. Using the Internet, students in the most remote schools can access vast amounts of information and knowledge not available any other way or take academic courses not offered at their high school. Teachers can access other teachers' lesson plans to improve instructional practices. Governor Barnes has demonstrated his commitment to using technology to expand learning opportunities by recommending the continuation of state funding for the Georgia Virtual High School project and the Georgia Learning Connections (GLC), the web-based curriculum and instructional resource for Georgia educators. Over 30,000 internet links tied to the QCC have been identified and more than 4,000 lesson plans have been posted on the GLC website. While these achievements are impressive, significant work remains. Over 7,380 QCC standards have no internet links or lessons plans posted to the GLC website. Governor Barnes recommends $750,000 in the Amended Fiscal Year 2001 budget to contract with teachers to continue developing lessons plans and internet links during the summer of 2001. Internet resources like the Georgia Virtual High School and the GLC will prove far more useful to students and teachers once schools expand their bandwidth to access more information at faster speeds. Governor Barnes 197 STATE BOARD OF EDUCATION Strategies and Services recommends funding to amend the current contract between the GDOE and BellSouth to provide broadband internet access to all schools, providing a committed information rate of 256K (kilobytes per second) per school, almost 5 times faster than a 56K dial-up modem. This means that in times of congestion, each school is guaranteed a minimum internet connection of 256K. FORMULA FUNDING INCREASES Georgia is one of the fastest growing states in the US, and significant resources have to be expended each year merely to provide funding for the increase in new students who enroll. For FY 2002, the Governor recommends $121,064,651 to fund 2.2% enrollment increases over the original count in FY 2001. Other significant formula increases, include adding paraprofessionals for Kindergarten ($68.5 million), increasing Maintenance and Operations by $5 per FTE ($7.1 million), providing a sparsity grant to Alternative Education for programs with less than 100 alternative FTEs ($3,390,910), and creating an Early Intervention Program in grades 4 and 5 ($18.9 million). While not in the QBE formula, the Governor also recommends a $20 million increase in FY 2002 for Pupil Transportation and a $10 million increase in the Amended FY 2001 budget. OTHER K-12 IMPROVEMENTS Governor Barnes is recommending $12,500,000 in FY 2002 to help purchase vocational lab equipment in 35 systems and agricultural education equipment in 29 systems implementing new programs or housing programs in new facilities. This recommendation supports the state's elimination of the general education diploma, requiring instead a college or technology/career prep diploma. This funding will assist school systems in offering quality vocational programs which meet industry standards. To encourage excellence in Georgia teachers and reward them for their accomplishments the Governor recommends $4,492,000 in the Amended Fiscal Year 2001 budget to fund increased participation in the Pay for Performance program. The Office of Education Accountability will begin awarding bonuses based on academic achievement to schools in school year 2003-2004 and replace the Pay for Performance program. GEORGIA VOLUNTARY PRE-KINDERGARTEN PROGRAM Georgia is proud to have the largest and most comprehensive pre-kindergarten program serving 4-year olds and their families of any state in the country. The Georgia Pre-K program continues to be a model for the rest of the country by successfully combining services from public and private providers of early childhood education in order to provide a high quality pre-kindergarten experience for every Georgia family that wants it. A recent study by the Council for School Performance found that compared to results from other national and state studies that used the same rating scale, Georgia pre-kindergarten classrooms are higher quality than preschool classrooms in other states. In addition, another study shows that teachers and parents continue to find that Pre-K students are entering kindergarten "ready to learn". Kindergarten teachers found that Pre-K students were better prepared than those who had not enrolled in PreK programs in 7 of 8 skill levels, including pre-reading and pre-math skills. The Governor is maintaining the commitment to the PreKindergarten Program through his recommendation of $237,868,003 in lottery funding to serve 63,500 4-year-olds and their families in FY 2002. 70,000 60,000 Pre-K Students Served FY 1993 - 2002 (proposed) 50,000 40,000 30,000 20,000 10,000 0 FY 93 FY 94 FY 95 FY 96 FY 97 FY 98 FY 99 FY 00 FY 01 FY 02 198 STATE BOARD OF EDUCATION Results-Based Budgeting REGULAR EDUCATION Purpose: Ensure that Georgia's K-12 students are academically prepared for their futures in the twenty-first century. ACADEMIC ACHIEVEMENT (Subprogram) Purpose: Ensure that Georgia's K-12 students are academically prepared for further education and the workplace through the provision of leadership and support to initiate, promote, enhance, and communicate curriculum and programs of study in all academic areas for educators and the general public. Goal 1: Students will be adequately prepared for further education and/or the workforce. -The percentage of students requiring learning support courses (remedial coursework) when they enter public colleges and universities will decrease. FY 2000 Desired <18% FY 2000 Actual Data Not Provided FY 2001 Desired <16 FY 2002 Desired Data Not Provided - Georgia's students' average PSAT score in verbal will improve. >49 47.9 >50 >50 - Georgia's students' average PSAT Score in math will improve. - Georgia's students' average SAT score will remain at the FY 2001 desired level of 1,000. - The percentage of students who take Advanced Placement (AP) tests and receive a passing score of 3 or better will increase. Goal 2: Students will be proficient in English/Language Arts. - Third grade students' scores in English/Language Arts on the Iowa Test of Basic Skills (ITBS) will increase from 67 percentile to 69 percentile. [1] - Fifth grade students' scores in English/Language Arts on the ITBS will increase from 66 percentile to 68 percentile. [1] - Eighth grade students' scores in English/Language Arts on the ITBS will increase from 63 percentile to 65 percentile. [1] - The percentage of regular program 11th graders passing the Georgia High School Graduation Test (GHSGT) in English/Language Arts the first time they take it will remain at the FY 2001 level of 98 percent. - The average Verbal SAT score will increase. >49 975 >60% 65% 64% 61% 97% 493 48.3 974 59.70% 65% 64% 62% 95% 488 >50 1,000 >65% 67% 66% 63% 98% 500 >50 1,000 >65% 69% 68% 65% 98% 500 199 DEPARTMENT OF EDUCATION - Results-Based Budgeting Goal 3: Students will be proficient in Mathematics. - Third grade students' scores in Mathematics on the ITBS will increase from 65 percentile to 67 percentile. [1] - Fifth grade students' scores in Mathematics on the ITBS will increase from 64 percentile to 65 percentile. [1] - Eighth grade students' scores in Mathematics on the ITBS will increase from 61 percentile to 63 percentile. [1] FY 2000 Desired 63% 61% 58% - The percentage of regular program 11th graders passing the Georgia High School Graduation Test (GHSGT) in Mathematics 89% the first time they take it will increase from 90% to 94%. - The average Math SAT score will increase by three points, from 500 to 503. Goal 4: Students will be proficient in Science - Third grade students' scores in Science on the ITBS will improve. [1] - Fifth grade students' scores in Science on the ITBS will improve. [1] - Eighth grade students' scores in Science on the ITBS will improve. [1] - The percentage of regular program 11th graders passing the GHSGT in Science the first time they take it will remain at the FY 2001 level of 75%. Goal 5: Students will be proficient in Social Studies. - Third grade students' scores in Social Studies on the ITBS will increase from 60 percentile to 62 percentile. [1] - Fifth grade students' scores in Social Studies on the Iowa Test of Basic Skills (ITBS) will increase from 62 percentile to 64 percentile. [1] - Eighth grade students' scores in Social Studies on the Iowa ITBS will increase from 58 percentile to 60 percentile. [1] - The percentage of regular program 11th graders passing the GHSGT in Social Studies the first time they take it will increase from 85 percent to 88 percent. Goal 6: Students will be proficient in Fine Arts. - A minimum number of art and music instruction will be delivered to every K-5 student (activity measure). 490 62% 62% 58% 74% 58% 59% 56% 82% 60 minutes FY 2000 Actual 62% 59% 57% 92% 486 58% 59% 58% 73% 53% 55% 53% 85% 35 minutes FY 2001 Desired 65% 64% 61% 90% 500 62% 63% 60% 75% 60% 62% 58% 85% 90 minutes FY 2002 Desired 67% 65% 63% 94% 503 62% 63% 60% 75% 62% 64% 60% 88% 90 minutes 200 DEPARTMENT OF EDUCATION - Results-Based Budgeting Goal 7: Students will be proficient in Foreign Languages. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of elementary students who participate in school foreign language programs will remain constant. (activity measure) 92,000 [2] 92,000 [2] [2] Notes: 1 - ITBS Scores show how Georgia's students compare to students throughout the nation. For example, a 61% score means that 60% of the students in a national group scored lower than our students. 2 - These data are not collected. READING (Subprogram) Purpose: Improve the reading ability of all students by developing and implementing a program of reading instruction that focuses on direct systematic explicit phonics combined with quality children's literature. Goal 1: Improve students' reading and comprehension abilities. - First grade students in participating schools will show a one percentile increase in vocabulary scores on the Iowa Test of Basic Skills (ITBS). [1] FY 2000 Desired 55 FY 2000 Actual [1] FY 2001 Desired 57 FY 2002 Desired 58 - Second grade students in participating schools will show a one percentile increase in vocabulary scores on the ITBS. [1] 50 [1] 52 53 - Third grade students in participating schools will show a one percentile increase in vocabulary scores on the ITBS. [1] 47 [1] 49 50 - First grade students in participating schools will show a one percentile increase in comprehension scores on the ITBS. [1] 61 [1] 63 64 - Second grade students in participating schools will show a one percentile increase in comprehension scores on the ITBS. [1] 53 [1] 55 56 - Third grade students in participating schools will show a one percentile increase in comprehension scores on the ITBS. [1] 49 [1] 51 52 Goal 2: Students will continue to improve their reading ability and enjoyment by reading more books. - The average student will check out more books from the reading center (proxy measure). [2] 56 [2] [2] [2] Notes: 1 - The Department of Education's Student Information System is unable to disaggregate student data to show this information. 2 - This data is no longer collected. 201 DEPARTMENT OF EDUCATION - Results-Based Budgeting TECHNOLOGY/CAREER (VOCATIONAL) EDUCATION (Subprogram) Purpose: Provide quality programs and services that enable Georgia's secondary students to develop the knowledge and skills needed to successfully transition to postsecondary programs and to enter career areas in rapidly changing workplace environments. Goal 1: Increase the academic achievement of secondary students in Technology/Career (Vocational) Education programs. - The core GPA of students in technology/career education programs will increase. [1] - There will be a continued increase in academic performance in Reading of technology/career (vocational) completers on the National Assessment of Education Progress (NAEP). [2] - There will be a continued increase in academic performance in Mathematics of technology/career (vocational) completers on NAEP. [2] - There will be a continued increase in academic performance in Science of technology/career (vocational) completers on NAEP. [2] Goal 2: Increase the number of students who graduate from high school with a technology/ career preparatory seal (Output Goal). -The number of students who graduate with a technology/career prep diploma seal or a combined college prep and technology/career prep diploma seal or a dual diploma as a total of all graduates will increase (Output Measure). FY 2000 Desired +3 points 279 300 295 27,047 FY 2000 Actual [1] 272 297 286 26,118 FY 2001 Desired [1] 280 300 290 28,399 FY 2002 Desired [1] 285 303 295 28,900 Goal 3: Increase the vocational/technical skills proficiencies of students in technology/career (vocational) education programs. -The number of students who enroll in industry certified programs will increase. (Activity Measure) 33,804 40,535 41,000 41,500 -Employer satisfaction with students who complete youth apprenticeship and other structured work-based learning programs will remain at the FY 2001 level of 97.5%. [3] 96.5% 96.1 621 of 646 95.0% 95.0% Goal 4: Increase postsecondary transition rates of students who graduate with a technology/career preparatory diploma seal. - The number of students who complete requirements for a technology/career preparatory diploma seal and advance to a technical institute, 2-year or 4-year college, or a formal apprenticeship will increase. Data Not +3% Available at +3% 3% This Time Notes: 1 - DOE's student data gathering system does not yet have the capability to gather data on Core GPA. 2 - The NAEP test is given every other year to a random sample of 60 students in each of the 112 schools that are part of Georgia's High Schools That Work Initiative: thus, there were no desired results for FY 2001. 3 - Surveys were mailed to all employers listed in the FY 2000 Youth Apprenticeship Program Assessments; 646 employers responded to the survey. 202 DEPARTMENT OF EDUCATION - Results-Based Budgeting AGRICULTURAL EDUCATION (Subprogram) Purpose: Provide students with personal, managerial, and academic skills for employment in the agriculture industry and successful entry into a postsecondary program. Goal 1: Promote the development agricultural competency and academic skills. - The median score of agriscience students on the science part of the Georgia High School Graduation Test (GHSGT) will increase. FY 2000 Desired >592.2 +3.0 FY 2000 Actual N/A FY 2001 Desired >595.2 FY 2002 Desired N/A [1] - The mean score of agri-science students on the science portion of N/A +8 >+8 >+8 GHSGT will be at least 8 points higher than students receiving a Agris - 508 vocational diploma endorsement. [1] Other - 500 -The number of students who enroll in industry certified programs will increase. >+30% +29% >+35% >+40% - The academic performance in math of the agriculture completers 300 +2.7 N/A 301 on the High Schools that Work Assessment (National Assessment 298 of Education Progress - NAEP) will increase at least 3 points, from 298 in FY 2000 to at 301 in FY 2002. [2] - The academic performance in science of the agriculture 295 +5.5 N/A 295.8 completers on the High Schools that Work Assessment (National 292.8 Assessment of Education Progress - NAEP) will increase at least 3 points, from 292.8 in FY 2000 to 295.8 in FY 2002. [2] Goal 2: Agriculture education students will find jobs in their field of study or enroll in postsecondary education. - The percentage of agriculture education students who will be employed in an agricultural-related job will increase by 2 percentage points, from 31% in FY 2001 to 33% in FY 2002. [3]. >30% 31.6% >31% >33% - The percentage of agriculture education students who enroll in post-secondary education will increase 2 percentage points, from 31% in FY 2001 to 33% in FY 2002. [3] >30% 33.6% 31% 33% Notes: 1 - The measure for the first result has been replaced by the one immediately following it to reflect a change in the direction of the program. 2 - The NAEP test is given every other year to a random sample of 60 students in each of the 112 schools that are part of Georgia's High schools That Work Initiative: thus, there were no desired results for FY 2001. 3 - The desired results for this measure have been changed to reflect a more valid and reliable method of compiling data for this result. 70% of the 44 schools with certified programs in agricultural education were surveyed for this data responded. Program Fund Allocation -- Total Funds State Funds $3,332,536,992 $3,365,633,476 $3,533,274,186 $3,169,251,954 $3,212,060,837 $3,391,993,663 203 DEPARTMENT OF EDUCATION - Results-Based Budgeting EXCEPTIONAL EDUCATION Purpose: Ensure that Georgia's K-12 students who have special abilities and/or challenges develop their full potential and are academically prepared for the twenty-first century. GIFTED AND TALENTED STUDENTS (Subprogram) Purpose: Provide Georgia's gifted and talented students with appropriately challenging and enriching educational opportunities that are designed to encourage them to meet their full academic potential and assist them in the acquisition of the skills, knowledge, and attitudes necessary to become independent, life-long learners. Goal 1: Students who participate in the Governor's Honors Program (GHP) will be empowered to take charge of their own learning. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -The percentage of GHP students that reported their experiences during the summer contributed "a lot" or "totally" to their being able to turn future learning experiences to their advantage will 86% 86% 90/105 86% 86% remain at FY 2001 levels [1]/[2] -The percentage of GHP students that reported their experiences during the summer contributed "a lot" or "totally" to their sense of being in charge of their own learning will remain at FY 2001 levels. [1]/[2] Goal 2: Gifted program students will excel academically and demonstrate skills in self-directed learning, thinking, research, and communication. -Gifted students who participate in an Advanced Content Delivery Model class for at least two years will score significantly higher (Statistical significance at the .05 level) on an appropriate measure of academic achievement in the specific content area than their grade level peers who have not been enrolled in the gifted-level class. 90% Data Not Collected 89% 93/105 Data Not Collected 90% Data Not Collected 90% Data Not Collected - Gifted students who participate in a Resource Delivery Model class for at least two years will demonstrate skills in self-directed learning, thinking, research, and communication as evidenced by the development of innovative products and performances that reflect individuality, and creativity and are advanced in relation to students of similar age, experience, or environment. Data Not Collected Data Not Collected Data Not Collected Data Not Collected Notes: 1 - A selected sample of students in the program is surveyed. 2 - The FY 2000 actual results assess the impact of a summer program that began in FY 1999 and ended in FY 2000. 204 DEPARTMENT OF EDUCATION - Results-Based Budgeting REMEDIAL (Subprogram) Purpose: Enable students in grades 2 through 5 and 9 through 12 performing below grade level in reading, writing, and math to master the skills necessary to perform on or above grade level. Goal 1: Students in grades 2 through 5 will show improvement FY 2000 FY 2000 FY 2001 FY 2002 in reading and math. Desired Actual Desired Desired -Remedial Education Program (REP) students in grades 3 and 5 will show a gain of 5 Normal Curve Equivalents (NCE) in Reading +5 NCE N/A +5 NCE +3 NCE on the Iowa Test of Basic Skills. [1] -REP students in grades 3 and 5 will show a gain of 5 NCE in Mathematics on the Iowa Test of Basic Skills. [1] +5 NCE N/A +5 NCE +5 NCE Goal 2: The percentage and number of students who participate in the Remedial Education Program and pass the High School Graduation Test (HSGT) will increase. - The number and percentage of students participating in the Remedial Education Program who pass the Georgia High School 35% N/A 40% 43% Graduation Test will increase by 3 percentage points. [1] Goal 3: Reduce the high school drop out rate. - The high school drop out rate among students in the Remedial Education Program will decrease by 3 percentage points. [1] N/A N/A N/A N/A Notes: 1 - The Department of Education's Student Information System is unable to disaggregate student data to show this information. SPECIAL INSTRUCTIONAL ASSISTANCE (Subprogram) Purpose: Provide a continuous academic support system to students with identified developmental delays that may prevent them from reaching a level of performance consistent with normal expectations for their respective ages. This support will allow students to master sills necessary to be on or above grade level in reading. GOAL 1: Students in grades K-3 who have received Special Instructional Assistance (SIA) support will show reading improvement. -The percentage of kindergarten SIA students who master 50% of the literacy objectives on the Georgia Kindergarten Assessment Project-Revised (GKAP-R) will increase. [1] Note: 1 - The SIA Program has been discontinued. FY 2000 Desired 41% FY 2000 Actual N/A FY 2001 Desired 46% FY 2002 Desired N/A 205 DEPARTMENT OF EDUCATION - Results-Based Budgeting SPECIAL EDUCATION (Subprogram) Purpose: Ensure that all students with disabilities have available to them a free appropriate public education that emphasizes access to the general education curriculum and provides special education and related services designed to meet their unique needs as evidenced by an increased number who earn a regular education diploma and attend post secondary programs and to provide the opportunity to develop into productive and successful citizens as evidenced by the number employed upon exiting the school program. Goal 1: Decrease the number of students with disabilities who drop out of school. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -The percentage of students with disabilities ages 14-22 who drop out of school will remain at or less than the FY 2001 level of 5.8%. >5.9% 5.6% >5.8% <5.8% Goal 2: The number and percentage of students with disabilities who earn a regular education diploma will increase. The percentage of students with disabilities ages 14-22 who earn a regular education diploma will increase 1 percentage point. Goal 3: The number and percentage of students with disabilities who attend post secondary programs will increase. 3.85% 3.72% 3.95% 4.05% The percentage of students with disabilities who attend a post secondary program will increase one percentage point. Goal 4: Increase the number of students with disabilities who are employed within 12 months of exiting school. - The percentage of students with disabilities who are employed 12 months after exiting the program will increase two percentage points. Goal 5: All children with disabilities will be identified and served at the earliest appropriate age. -The percentage of the total number of children age three identified as children with disabilities will remain within a range of 2% to 2.2%. [1] Goal 6: Increase the number of students with disabilities who participate in regular education classrooms. 9% 8% 2% - 2.2% Data Not Yet Available Data Not Yet Available 2.16% 10% 10% 2% - 2.2% 11% 12% 2% - 2.2% -The percentage of the total number of children with disabilities who are able to successfully participate in regular education 38.0% 38% 39.0% 40% classrooms will increase one percentage point. Note: 1 - The range of 2% to 2.2% is the expected percentage of 3 year olds in the population who need special education services. When the percentage falls below the ranges, children who need services may not be identified; exceeding the range may indicate a rise in certain childhood disabilities. 206 DEPARTMENT OF EDUCATION - Results-Based Budgeting STATE SCHOOLS (Subprogram) Purpose: Prepare sensory-impaired and muilti-disabled students to become productive citizens by providing a learning environment addressing their academic, vocational, and social development. Goal 1: Improve the reading achievement levels of students FY 2000 FY 2000 FY 2001 FY 2002 attending the state schools. Desired Actual Desired Desired -The percentage of students ages 8 years and older that score at the average range or better on the Iowa Test of Basic Skills in Reading 34% will increase from 35 % in FY 2001 to --% in FY 2002. [1] 33.6% 92 of 275 35% 35% Goal 2: Improve the mathematics achievement levels of students in grades 6-8 at the state schools. -The percentage of 6th-8th grade students that score at the average range or better on the Iowa Test of Basic Skills in mathematics will 59% increase from 60% in FY 2001 to 60% in FY 2002. [1] 57.8% 47 of 81 60% 60% Note: 1 - Due to the reauthorization of IDEA, more students are participating in standardized testing. As a result of the increased number of student participants, FY 2000 gains were less than originally predicted. STUDENT SUPPORT SERVICES (Subprogram) Purpose: Facilitate psychological, disciplinary, health, and counseling services enabling students to be successful in their academic, social, emotional, and career development. Goal 1: Students will choose appropriate classroom behaviors. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -CrossRoads students in grades 6-12 who transition back to the base school during the 2001 school year will not return to 14% 21% 15% N/A CrossRoads during their enrollment.[1] -The number of first time referrals for students in grades 6-8 to the In-School Suspension program will remain at the desired FY 2001 3.5/1,000 3.8/1,000 3.5/1,000 N/A level of 3.5/1,000. [1] Goal 2: Students will remain in school until completion. -The percentage of CrossRoads students in grades 6-8 who drop out of school will decrease. [1] -2% -3% -2% N/A Goal 3: Students will engaged in appropriate school behaviors. - Students in grades 6-12, who enrolled in an Alternative Education program in FY 2002, will have 25% fewer disciplinary referrals during FY 2002 than they had the year before they enrolled in the N/A N/A 20% 25% program. [1] Goal 4: Students will make progress toward graduation. - At least 30% of the Alternative Education Program students in grades 6-12 will successfully complete 100% of their English/Language Arts, Math, Science, and Social Studies courses. N/A N/A 25% 30% [1] 207 DEPARTMENT OF EDUCATION - Results-Based Budgeting Goal 5: Students will make progress toward graduation. - At least 60% of the Alternative Education Program students in grades 6-12 will successfully complete 2 of their two core academic courses (English/Language Arts, Math, Science, and Social N/A N/A 50% 60% Studies). [1] Note: 1 - Goals for FY 2001 have been changed to reflect the elimination of the CrossRoads and In-School Suspension programs and the implementation of Alternative Education programs for disciplinary and nondisciplinary students to reflect requirements of the A+ Education Reform Act of 2000. Goals 3, 4, and 5 address the newly implemented Alternative Education Program. AT RISK (Subprogram) Purpose: Encourage children who are most at-risk of school failure to complete and succeed in school. Goal 1: Title 1A students will succeed in school. FY 2000 Desired FY 2000 Actual FY 2001 Desired -The percentage of Title 1A students scoring below the 40th percentile on the Iowa Tests of Basic Skills (ITBS) will decrease. -8% N/A -8% [1] Note: FY 2002 Desired N/A 1 - The Department of Education's Student Information System is unable to disaggregate student data to show this information. Program Fund Allocation -- Total Funds State Funds $1,298,836,023 $1,479,867,117 $1,516,863,795 $1,045,444,779 $1,145,257,168 $1,173,888,597 EDUCATION SUPPORT Purpose: Ensure that all Georgia's K-12 students are able and willing to learn by providing services that support academic achievement. LEADERSHIP ACADEMY (Subprogram) Purpose: Enable school leaders to develop and enhance leadership skills and to implement program content in the on-the-job setting through quality leadership training programs. Goal 1: Improve the leadership capacity of Georgia's leaders. FY 2000 FY 2000 FY 2001 FY 2002 Desired Actual Desired Desired -The percentage of leadership development program participants who rate program content as effective will increase. 90% 96% 147 of 152 95% 96% -The percentage of leadership development program participants who indicate that they are able to transfer the knowledge, skills, and abilities from the training to their jobs will increase. 90% 95.4 % 145 of 152 95% 1 208 DEPARTMENT OF EDUCATION - Results-Based Budgeting STAFF DEVELOPMENT SERVICES (Subprogram) Purpose: Support school system staff developers as they plan and implement staff development activities for system personnel. Goal 1: Enhance the skills of local school system staff FY 2000 FY 2000 FY 2001 FY 2002 developers. Desired Actual Desired Desired -The percentage of staff developers who receive technical assistance and rate the assistance as "excellent" will increase. 85% 95.3% 143 of 150 86% 88% PUPIL TRANSPORTATION (Subprogram) Purpose: The Pupil Transportation Program provides safe, cost effective, and timely transportation to and from Georgia's public schools. Goal 1: Reduce the number of school bus accidents per FY 2000 FY 2000 FY 2001 FY 2002 100,000,000 miles. Desired Actual Desired Desired -The percentage of school bus accidents will decrease. <892 per 606 per <883 per <874 per 100,000,000 100,000,000 100,000,000 100,000,000 SCHOOL AND COMMUNITY NUTRITION (Subprogram) Purpose: To deliver healthy foods, meals, and education that contribute to our customers' nutritional well-being and performance at school and work. Goal: Students will eat nutritious meals at Georgia schools. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -The percentage of Georgia's public school students that choose a school lunch as their midday meal at school will increase (Output Measure). >72% Data Not Provided >73% Data Not Provided -The percentage of Georgia high school students that choose a school lunch as their midday meal will increase (Output Measure). >60% Data Not Provided >65% Data Not Provided -The percentage of schools certified as meeting new federal nutrition standards will increase. >16% Data Not Provided >20% Data Not Provided Program Fund Allocation -- Total Funds State Funds $364,349,070 $223,658,183 $224,669,210 $34,478,849 $35,282,461 $36,293,488 Total Fund Allocation -- Total Funds State Funds $5,958,898,968 $6,285,879,143 $6,521,945,567 $5,111,284,112 $5,497,723,325 $5,733,901,679 209 DEPARTMENT OF EDUCATION - Results-Based Budgeting ATTACHED AGENCIES OFFICE OF SCHOOL READINESS Purpose: Increase readiness of 4-year old children to enter school ready to learn by providing a quality voluntary pre-school program and providing children in pre-kindergarten child care learning centers with a safe, appropriate learning environment including high-quality, nutritious meal service. Goal 1: Increase the academic success of 4-year old children for kindergarten and beyond by providing them with a basic skills continuum that focuses on six areas of development: language and literacy, math, art, science, physical and social skills. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired The percentage of kindergarten/first/second/third grade teachers reporting satisfaction with program effectiveness and student readiness for kindergarten/first/second/third grades will increase 82% 82% 83% 84% from 83% in FY 2001 to 84% in FY 2002. [1] The number of children who have mastered the skills for the first/second/third grade will increase from 80% in FY 2001 to 81% 80% 79% 80% 81% by FY 2002. [1] Goal 2: Ensure that all pre-k child care learning centers provide a safe, appropriate learning environment and serve high-quality nutritious meals. The number of centers in compliance with critical indicators of safety will increase to 85%. 85% 80% 85% 85% At least 10% of the pre-k child care learning centers will meet the criteria for Center of Distinction Certificates, an award recognizing 9% superior child development programs.[2] 5% 10% 10% Goal 3: The percentage of all participating sponsors serving high quality, nutritious meals will remain at 90%. Desired Result 3a: The percentage of participating sponsors preparing and serving meals that meet USDA nutritional 85% 88% 90% 90% requirements will remain at or above 90% in FY 2002. Program Fund Allocation -- Total Funds (w/o lottery) $317,310,768 $368,188,939 $373,449,866 State Funds $1,138,178 $1,269,256 $1,277,875 Lottery Funds $225,031,054 $232,645,928 $237,868,003 Notes: 1 - Third year results of Georgia State University's longitudinal evaluation of 3,542 children in 207 pre-k classrooms during the 1996-97 school year. The evaluators were able to locate 3,201 of the children, who were now in 1,672 classrooms. Results address readiness for second grade. 2 - Percentage of complaints resulting in adverse actions or findings imposed due to safety rule violations and Standards of Care database. The COD application process was suspended for six months pending GELI and GERSC reports. Total Fund Allocation -- Total Funds State Funds Lottery Funds $317,310,768 $368,188,939 $373,449,866 $1,138,178 $1,269,256 $1,277,875 $225,031,054 $232,645,928 $237,868,003 210 EMPLOYEES' RETIREMENT SYSTEM Total Budgeted Positions -- 53 Attached for Administrative Purposes Only State Personnel Oversight Commission Administrative 6 Board of Trustees Director 2 Deputy Director 4 General Services/State Employees' Assurance Department 8 Retirement Services 10 Payroll/Membership 13 Public School Employees Retirement System Trial Judges' and Solicitors' Retirement Fund Georgia Legislative Retirement System Georgia Defined Contribution Plan Superior Court Judges' and District Attorneys' Retirement Systems 10 211 EMPLOYEES' RETIREMENT SYSTEM -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications New Retiree Benefits Total Funds Less Other Funds: Other Funds Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 2,410,709 434,115 28,573 20,551 11,810 327,900 1,690,517 4,219,309 67,282 673,425 $9,884,191 FY 2000 Expenditures 2,675,430 457,996 28,731 FY 2001 Current Budget 2,872,542 488,800 29,000 11,597 339,320 1,750,586 2,878,125 79,511 $8,221,296 12,450 345,740 2,807,000 1,269,708 82,002 2,992,000 $10,899,242 9,210,766 $9,210,766 $673,425 45 2 8,221,296 $8,221,296 50 2 7,907,242 $7,907,242 $2,992,000 53 2 FY 2002 Agency Requests Adjusted Base Enhancements Totals 2,899,010 488,800 29,000 2,899,010 488,800 29,000 12,450 345,740 2,807,000 1,269,708 82,002 12,450 345,740 2,807,000 1,269,708 82,002 $7,933,710 $7,933,710 7,933,710 $7,933,710 7,933,710 $7,933,710 53 53 2 2 212 EMPLOYEES' RETIREMENT SYSTEM -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications New Retiree Benefits Total Funds Less Other Funds: Other Funds Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 2,872,542 488,800 29,000 22,463 12,450 345,740 2,807,000 1,269,708 82,002 2,992,000 $10,899,242 (1,000,000) (2,992,000) ($3,969,537) 7,907,242 $7,907,242 $2,992,000 53 2 (977,537) ($977,537) ($2,992,000) FY 2002 Governor's Recommendations Workload Adjusted Base 2,895,005 488,800 29,000 Enhancements 12,450 345,740 1,807,000 1,269,708 82,002 $6,929,705 6,929,705 $6,929,705 53 2 Totals 2,895,005 488,800 29,000 12,450 345,740 1,807,000 1,269,708 82,002 $6,929,705 6,929,705 $6,929,705 53 2 213 EMPLOYEES' RETIREMENT SYSTEM FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Other Adjustments: 1. Reduce the new retiree benefits object class. ADJUSTED BASE TOTAL STATE FUNDS Governor's Recommendations 2,992,000 (2,992,000) $0 $0 FY 2001 AGENCY FUNDS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Reduce contract funding that was needed for computer consultants used during a pension administration and imaging project in FY 2001. ADJUSTED BASE TOTAL AGENCY FUNDS 7,907,242 29,444 (6,981) (1,000,000) $6,929,705 $6,929,705 RECOMMENDED APPROPRIATION: No direct appropriation of state funds is required for the Employees' Retirement System since investment earnings are used to administer the system. 214 EMPLOYEES' RETIREMENT SYSTEM Roles and Responsibilities By statute, the staff of the Employees' Retirement System (ERS) administers seven separate retirement systems and programs: ERS, the Legislative Retirement System (LRS), the Georgia Defined Contribution Plan (GDCP), the Georgia Judicial Retirement System (GJRS), the Public School Employees' Retirement System (PSERS), the State Employees' Assurance Department (SEAD), and the Social Security contracts between the state and its political subdivisions. In general, ERS is a vehicle for collecting employee and employer contributions, investing accumulated funds, and disbursing retirement benefits to members and beneficiaries. As required by Georgia law, the system is examined on an annual basis by an independent actuarial firm that specializes in pension and retirement plans. The firm prepares a yearly valuation on the contingent assets and liabilities of the system, thus revealing its ability to meet the future obligations of each retirement plan. An independent accounting firm also audits the system each year. EMPLOYEES' RETIREMENT SYSTEM Since 1950, the staff of ERS has administered retirement benefits for state employees in accordance with the Official Code of Georgia. Full-time employees of participating departments are required to become members of ERS as a condition of employment, with the exception of employees who first become eligible after age 60. The ERS Board of Trustees is ultimately responsible for administration of the system, while the executive director who is appointed by the board and serves at the pleasure of its members is responsible for daily management of ERS operations. The board consists of 7 members as follows: State Auditor, ex officio; Commissioner, State Merit System, ex officio; Director, Office of Treasury and Fiscal Services, ex officio; 1 member appointed by the Governor; 2 members appointed by the first 4 members with 5 or more years of creditable service with ERS; and 1 member appointed by the first 6 members who must not hold public office, not be an ERS member, and have at least 10 years of experience in the investment of moneys. The members who are not ex officio members serve 4year terms. Board members convene monthly to review investment performance, retirement statistics, the system budget, and various other issues. LEGISLATIVE RETIREMENT SYSTEM AND GEORGIA DEFINED CONTRIBUTION PLAN LRS is a retirement plan for members of the General Assembly, while GDCP is a plan for temporary, seasonal, and part-time employees of the state not covered by ERS or TRS. Both plans are placed under the administration of the ERS Board of Trustees. GEORGIA JUDICIAL RETIREMENT SYSTEM This system is for members and retirees of the Superior Court Judges Retirement System, the District Attorney's Retirement System, and the Trial Judges and Solicitor's Retirement Fund as well as certain employees of the Attorney General and Legislative Counsel. The GJRS Board of Trustees consists of the 7 ERS trustees plus 3 additional members appointed by the Governor who serve in one of the following positions: state court judge, superior court judge, state court solicitor general, juvenile court judge, or district attorney. These appointments are for 4year terms. PUBLIC SCHOOL EMPLOYEES' RETIREMENT SYSTEM PSERS offers a supplemental retirement plan to certain public school employees not covered by the Teachers' Retirement System (TRS). These employees include bus drivers, cafeteria workers, and custodians. The PSERS Board of Trustees consists of the 7 ERS trustees plus 2 additional members appointed by the Governor for 4-year terms. STATE EMPLOYEES' ASSURANCE DEPARTMENT SEAD offers Group Term Life Insurance to active and retired ERS members. The SEAD Board of Trustees consists of the State Auditor, the Commissioner of the Department of Labor, the Commissioner of the State Merit System, the Director of the Office of Treasury and Fiscal Services, and 2 members appointed by the Governor. SOCIAL SECURITY COVERAGE In 1956, state legislation was enacted that designated ERS as the state agency authorized to enter, on behalf of the state, into an agreement on the subject of Social Security benefits with the Secretary of Health and Human Services. The agreement extends the benefits of the federal old-age, survivors, and disability insurance system to employees of the state and its political subdivisions. AUTHORITY Title 47 of the Official Code of Georgia Annotated. 215 EMPLOYEES' RETIREMENT SYSTEM Strategies and Services RETIREMENT SYSTEM POLICYMAKING As mentioned in the Roles and Responsibilities section, the ERS Board of Trustees meets monthly to discuss issues of importance to the retirement system. The board is responsible for making important policy decisions that have long-lasting effects on both active and retired members. Such decisions include approving an annual or semi-annual cost of living adjustment for retirees, setting the employer contribution rate, and approving investment activities. After the board approves policies and procedures, it is then the responsibility of the executive director to ensure that they are implemented with efficiency and effectiveness. In setting and implementing policy for ERS, the board and the executive director seek to accomplish the following five objectives: Provide accessible and effective counseling services for system members; Invest retirement funds to ensure adequate financing for future benefits due; Account for the contributions of all active and inactive members; Process refunds and monthly benefits due in a timely manner; and Provide sufficient life insurance for members. While striving to meet these objectives, the board and the executive director must also stay abreast of relevant legislation being considered by state lawmakers. Each year, the General Assembly passes laws that will impact one or several of the programs managed within ERS. In the 2000 session alone, 13 bills were passed that now affect active members and retirees of ERS systems. For example, Senate Bill 45 gave ERS members the option to purchase up to 2 years of credit for certain military service, and the state appropriations bill funded an increase in the benefit formula for PSERS retirees. At the start of each fiscal year, board members must be ready to incorporate new laws into long term planning for the system and the executive director must adjust system operations to satisfy legal mandates. EDUCATIONAL PROGRAMS Since 1970, ERS has offered a pre-retirement preparation program in Atlanta for system members who are within 5 years of retirement eligibility. In addition to the longstanding retirement planning seminar that is most helpful for members nearing their anticipated retirement date, ERS now offers a financial planning seminar for all members of the system. This new element of the program seeks to inform every member on topics such as Social Security, deferred compensation, insurance coverage, savings and investments, wills and estate planning, and ERS benefits. In a further effort to reach as many members as possible, both seminars are now offered throughout the state. ERS employees conduct and coordinate these twoday programs with the help of outside consultant expertise when necessary. Retirement specialists at ERS headquarters offer less formal assistance for members with questions about their retirement options. Stressing the importance of retirement planning to both new members and members with a long history of service to the state is certainly a top priority at ERS. Table 1: ERS FY 2000 Statistics Total Retirees Retirement Payroll Average Annual Retiree Benefit Total Refunds Refund Payments Average Refund Amount Investment Income for ERS Investment Income for Other Systems Managed by ERS Pooled Investment Income Employee and Employer Contributions Total Income 216 24,500 $459,336,072 $18,748 5,920 $7,408,755 $1,251 $1,469, 765,822 $214,004,962 $1,683,770,784 $375,955,736 $2,059,726,520 EMPLOYEES' RETIREMENT SYSTEM Results-Based Budgeting Purpose: To provide all state personnel in qualified positions and their families retirement benefits relative to their service and compensation in the event of their retirement, death, or disability. Goal: Ensure adequate financing for future benefits due and other obligations of the retirement system by investing FY 2000 FY 2000 FY 2001 FY 2002 prudently the retirement system assets, using a conservative Desired Actual Desired Desired long-term philosophy. - The retirement system's Unfunded Actuarial Accrued Liability 15 - 25 7 years 15 - 25 15 - 25 (UAAL) will liquidate between 15 and 25 years. [1] years years years Program Fund Allocation -- Total Funds $8,221,296 $10,899,242 $6,929,705 State Funds $2,992,000 Note 1 - This is a measure of the retirement system's financial soundness and means that, using current actuarial assumptions and funding strategies, within 15 to 25 years the retirement plan will be fully funded. TOTAL - All Programs Total Funds State Funds $8,221,296 $10,899,242 $6,929,705 $2,992,000 217 [This page intentionally blank] 218 STATE FORESTRY COMMISSION Total Budgeted Positions -- 722 Attached for Administrative Purposes Only Herty Foundation State Forestry Commission General Administration and Support Division 42 Internal Administration Forest Utilization and Marketing Section Forest Education Section Director's Office 6 Reforestation Division 21 Seedling Production Tree Improvement Field Services Division 653 Protection and Management State Forest Rural Fire Defense 219 STATE FORESTRY COMMISSION -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Ware County - Ad. Valorem Tax Ware County - S. Forest World Year 2000 Project Capital Outlay Total Funds 29,539,863 7,261,009 178,179 1,498,991 4,282,582 24,130 1,952,123 453,137 803,035 60,000 28,500 101,632 286,878 $46,470,059 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS 3,075,927 6,267,141 $9,343,068 $37,126,991 Positions 724 Motor Vehicles 728 FY 2000 Expenditures 29,535,624 7,693,354 182,605 1,216,996 1,663,000 23,708 2,024,574 900,323 772,187 60,000 28,500 6,864 FY 2001 Current Budget 30,824,082 5,707,411 179,793 1,296,822 2,091,933 7,736 1,047,903 358,525 1,191,041 60,000 28,500 FY 2002 Agency Requests Adjusted Base Enhancements Totals 30,926,692 6,302,253 182,397 1,348,157 2,114,831 9,120 977,766 357,000 1,003,891 60,000 28,500 852,000 218,385 63,300 31,778,692 6,520,638 182,397 1,348,157 2,178,131 9,120 977,766 357,000 1,003,891 60,000 28,500 $44,107,735 $42,793,746 $43,310,607 $1,133,685 $44,444,292 2,721,600 5,633,257 $8,354,857 $35,752,878 722 726 822,000 4,543,630 $5,365,630 $37,428,116 722 726 822,000 4,699,106 $5,521,106 $37,789,501 722 726 (168,155) ($168,155) $1,301,840 4 822,000 4,530,951 $5,352,951 $39,091,341 726 726 220 STATE FORESTRY COMMISSION -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Ware County - Ad. Valorem Tax Ware County - S. Forest World Year 2000 Project Capital Outlay Total Funds 30,824,082 5,707,411 179,793 1,296,822 2,091,933 7,736 1,047,903 358,525 1,191,041 60,000 28,500 $42,793,746 (161,333) 594,842 2,604 (132,025) 22,898 1,384 (70,137) (1,525) (187,150) $69,558 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS 822,000 4,543,630 $5,365,630 $37,428,116 155,476 $155,476 ($85,918) Positions 722 Motor Vehicles 726 FY 2002 Governor's Recommendations Workload Adjusted Base 30,662,749 6,302,253 182,397 1,164,797 2,114,831 9,120 977,766 357,000 1,003,891 60,000 28,500 Enhancements 30,000 Totals 30,662,749 6,332,253 182,397 1,164,797 2,114,831 9,120 977,766 357,000 1,003,891 60,000 28,500 $42,863,304 822,000 4,699,106 $5,521,106 $37,342,198 722 726 $30,000 $42,893,304 $30,000 822,000 4,699,106 $5,521,106 $37,372,198 722 726 221 STATE FORESTRY COMMISSION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Transfer funds among object classes to increase motor vehicle purchases. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Implement a 4 level Ranger Class based on training, performance and experience to increase performance and experience to increase internal advancement opportunities and to decrease turnover. 2. Provide for the replacement and repair of shop supplies, plow parts and county unit computer supplies expended during the previous fire season. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Governor's Recommendations 37,428,116 361,385 (263,943) (183,360) $37,342,198 See Pay Package 30,000 $30,000 $37,372,198 222 STATE FORESTRY COMMISSION Functional Budget Summary 1. Reforestation FY 2001 Appropriations Total State 2,167,586 FY 2002 Recommendations Total State 2,323,062 2. Field Services 36,686,568 33,656,679 36,143,934 33,561,348 3. General Administration and Support 3,939,592 3,771,437 4,426,308 3,810,850 TOTAL APPROPRIATIONS $42,793,746 $37,428,116 $42,893,304 $37,372,198 RECOMMENDED APPROPRIATION: The State Forestry Commission is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $37,372,198 223 STATE FORESTRY COMMISSION Roles and Responsibilities The State Forestry Commission is responsible for the perpetuation of Georgia's public and private forest resources by furnishing forest tree seedlings, protecting the forest through fire and disease control, managing and utilizing forest products and providing educational programs in forested areas. At the same time, the commission strives to emphasize the environmental and economic value of the state's forests. Forestry contributes $19.7 billion to the state's economy and provides more than 144,000 jobs in Georgia. The Forestry Commission protects and manages Georgia's 24 million acres of forestland, which represents an approximate $36 billion asset. The Forestry Commission has three budget unit divisions: Reforestation Field Services General Administration and Support The Forestry Commission provides a wide variety of services to the rural forest landowner and offers technical assistance to landowners in urban areas. FOREST PROTECTION AND MANAGEMENT Forest Protection, the primary function of the Forestry Commission, includes a statewide network of county and district offices adequately supplied with staff and equipment necessary for the suppression of Georgia's more than 8,000 forest fires that burn 37,000 acres each year. The basic fire suppression function includes the prompt detection and reporting of fires. This is followed by a powerful initial attack with trained firefighters operating crawler tractor-plow units and water trucks. The effectiveness of the Forest Protection program is a direct result of properly maintained equipment that can be quickly mobilized at the early phases of a forest fire. The average size fire in Georgia is approximately 5 acres while the average for the southern region is 13 acres and the national average is 42 acres. The success of the program is credited to the staff and equipment, including fire detection aircraft, being maintained in a constant state of readiness in order to respond during the early phases of a forest fire. The Rural Fire Defense program is the most valuable forest protection community outreach program offered by the Forestry Commission. This program has provided 825 fire departments located in 141 counties with total of 1,236 pieces of low cost/lease fire equipment. The commission also provides assistance with training and operations for local fire departments statewide. In the area of Forest Management, the commission provides technical assistance and service to private and industrial landowners. Multiple forest resource management is encouraged and promoted through forest stewardship on both public and private lands. Other forest management responsibilities of the department include forest health monitoring (which includes periodic insect and disease evaluations, surveys and eradication), promotion of forest quality, education and compliance surveys, and providing cost-share technical assistance to the forest landowner in establishing sound forestry practices. Additionally, the department conducts the management of 4 state-owned and 2 non-state forests using forest stewardship principles and the training of 53 field foresters. REFORESTATION The role of the Reforestation Division is to provide high quality, genetically superior forest tree seedlings to the citizens of Georgia at a reasonable price without cost to the taxpayer. Reforestation efforts are accomplished through the commission's tree improvement and seedling production program, its intensively managed seed orchards, its low-cost seed cleaning and conditioning plant and its 2 tree seedling nurseries. EDUCATION AND URBAN FORESTRY In order for the state to maintain its leadership role as one of the top forestry states in the nation, the Forestry Commission believes in providing information about forest resources and their contributions to the economy and the environment to the public and targeted audiences. The role of the Education and Urban Forestry program is to inform the public via all media outlets about the importance of forest resources to the state's economy , environment and quality of life for all citizens. The responsibility of the Urban Forestry program is to provide leadership and technical assistance in establishing and maintaining sustainable urban and community forests and to provide professional expertise to resolve conflicts between people and forest resources. The program is responsible for the administration of more than $300,000 in federal grants to Georgia communities. ATTACHED AGENCY The Herty Foundation supports Georgia's pulp and paper industry by providing research and product development opportunities to manufacturers at its facility in Savannah. This support consists of providing laboratory services and several pilot scale production paper machines to allow Georgia's pulp and paper manufacturers to conduct research, develop new or improve existing products. AUTHORITY Title 12-6 of the Official Code of Georgia Annotated. 224 STATE FORESTRY COMMISSION Strategies and Services Forestry in Georgia is now a 19.7 billion dollar industry. Forest industries in Georgia employ over 75,000 people, while more than 69,000 are employed by industries that support the forest products manufacturing industry. As the recognized leader in the forestry area, the Georgia Forestry Commission's strategies and services are geared to enhance the quality of life for all the citizens Georgia. FOREST PROTECTION Fire control, the primary reason for the creation of the Forestry Commission, is necessary to protect the State's 24 million acres of forest land that represents a 36 billion dollar asset to Georgia. The current 10 year average of wildfires shows an occurrence of 8,743 forest fires that burn 37,084 acres each year. The average size forest fire in the State burns approximately 5 acres. The drought conditions in 1998 and 1999 have caused the average size fire to increase by 25% for those 2 years. In 2000, the continued drought brought a record fire year with 11,712 wildfires burning 71,737 acres. This represents a 34% increase over the 10 year average in number of fires. Damage to forestland in FY 2000 is estimated to be $62,000,000. Forest fire control is achieved through a network of 12 district offices and 109 county offices. These facilities have fire suppression equipment strategically located so as to reduce the travel time to wildfires. The Commission's fire suppression fleet consists of 334 crawler tractor/plow units, 21 brush truck, 18 fire detection aircraft, one state owned helicopter and 3 federal excess UH-1H helicopters that must be maintained in a high state of readiness in order to keep fires at bay. Over the past 10 years, intensive forest management practices, applied to cause pine trees to grow faster, have become a common practice. Fertilization and weed control increase both the landowner's investment and the value lost when a fire occurs on the property. Planted pine exhibits a fast burning and continuous fuel type resulting in the average fire nearly doubling in size as compared to other forest fuel types. Three and one-half million acres of this type fuel have been planted over the last 10 years. The increase in reforestation efforts, accompanied by the State's growing population, more frequently place property improvements in danger. In FY 2000, 51 homes were lost to wildfires. Improvements in fire suppression capabilities, coupled with innovations in the use of communications equipment and computers should shorten both fire detection and response times. Firebreak plowing is the most requested service offered by the Forestry Commission with over 25,000 miles of firebreaks installed each year. Firebreaks add security to the forests by stopping a fire before it damages property. Many landowners request firebreaks to facilitate the use of prescribed burning which reduces dangerous accumulations of forest fuels and reduces the likelihood of an uncontrollable wildfire. Also, prescribed burning provides tender browse for young animals. Presently, there are approximately 900,000 acres that are prescribe burned each year and a goal of the Commission is to increase the number of acres that are prescribe burned each year. Prompt detection of forest fires is a key element in keeping the size of the fire to a minimum. The Forestry Commission utilizes 17 fixed wing aircrafts to supplement fire detection. Last year, the Commission began a program with the U.S. Geological Survey to utilize federal satellites for fire detection. Once a fire is detected, the response time depends on an efficient dispatch system. This year, the Commission contracted a dispatch needs assessment to decrease the amount of time between fire detection and suppression. Future plans include enhancement of detection and dispatch by use of the latest technology. WILDLAND/URBAN INTERFACE As Georgia's population continues to increase, more homes are being constructed adjacent to forested areas. The Commission began the Wildland/Urban Interface Program in 1993 with the objective of protecting these homes from forest fires. The program is designed to educate developers, homebuilders, insurance providers, and community leaders about structural and forest fire prevention, safety of persons who live in forested areas, and a reduction of impact to the forest ecology due to the increased use of fire. Because many people are relocating to rural and suburban areas, the Commission is committed to insuring their safety. RURAL FIRE DEFENSE Under the direction of the Forest Protection Department, the Rural Fire Defense Program was created in the 1970's in order to assemble fire trucks and loan/lease them to rural volunteer fire departments. Since the inception of the program, over 1200 fire trucks have been leased to rural fire departments. Also, several hundred federal excess military vehicles have been acquired and loaned to volunteer fire departments. The Commission began a refurbishment program in 1991 to update and rebuild fire apparatus that have become worn or obsolete. Presently, 180 of these older units have been refurbished under the program. Also, the Rural Fire Defense Coordinator provides countywide planning and individual community planning upon request. FOREST EDUCATION The Forestry Commission with the Education and Urban Community Forestry Department taking the lead has as its goal to increase public awareness of forest resources, to provide education programs to students and 225 STATE FORESTRY COMMISSION -- Strategies and Services educators, to advance the capability of the public and private sector to create programs that will sustain and improve the community forest resources, to expand the understanding of economic and environmental benefits of community forest resources, to administer federally funded Urban and Community Forestry Assistance grant programs, and to target teachers and other youth leaders by designing programs that fit the age groups and level of need. Strategies to increase public awareness about Georgia's forest resources include increasing media contacts through radio, television, newspaper, and electronic transfer, producing high quality, informative publications and other media products for use in reaching the public, and implementing a Forest Awareness Program to increase knowledge about the importance of forestry to Georgia. Also, providing educational programs to students and educators is a priority of the program. The promotion of Smoky Bear to elementary school students is the most popular of the fire prevention programs. Also, the Junior Forest Ranger Program has become popular by introducing approximately 20,000 fourth and fifth graders to fire and fire prevention each year. Fire prevention through education is high on the Commission's priority list. The Forestry Commission targets teachers and youth leaders through increasing Project Learning Tree workshops, classroom activities and a mobile classroom. URBAN AND COMMUNITY FORESTRY The Urban and Community Forestry program offers technical assistance to citizens in urban forest areas in the State. A goal of the program is to advance the capacity of local governments, nonprofit organizations, and the private sector to create and implement local programs that will sustain and improve community forest resources. One action to accomplish this initiative is to provide technical assistance to 90 communities to help them meet the standards required for Tree City certification. Another initiative is to administer the federally funded Urban and Community Forestry Assistance grants program for 35 to 55 Georgia communities. In order to increase the understanding of economic and environmental benefits of community forests resources and related issues that arise from urban sprawl, the Commission conducts the Georgia Urban Forest Conference and Awards Program, provides an assessment of forest resources and pressures impacting these resources for an initial 30 counties, and increase the number of urban forestry informational and educational opportunities for community leaders. The program provides technical assistance to the Forestry community including wood manufacturers and contractors , as well as anyone else in the overall effort of insuring a sustainable forest resource. Other services offered by the Education and Urban Forestry Department includes publishing the quarterly magazine, GEORGIA FORESTRY. REFORESTATION The Seed Orchard Program provides a reliable source of seed and the opportunity to make the most of the genetic potential of trees. In loblolly and slash pines, the program to date has essentially eliminated forking, reduced the incidence of fusiform rust by as much as 60%, and improved growth rates by 10-15%. The seed orchards currently being established are projected to increase growth by 30% and further reduce infection. A 10% increase in volume per acre will translate to a dollar value increase of $56.8 million. A 30% increase will result in a per acre value of $135 million at rotation. In FY 2002, the Commission will offer approximately 50 million tree seedlings for sale to Georgia landowners. These seedlings will reforest approximately 78,000 acres, helping reduce the deficit between acres harvested and acres regenerated. The value of these trees at rotation age is $179 million. Some of the trees will be planted specifically to provide wildlife food or habitat to prevent soil erosion, to reduce solar heating, or to enhance urban or rural aesthetics. The Commission's Tree Improvement Program works to improve the genetic potential of the trees available through the two nurseries. Fiscal year 2002 will mark the 84th year the State has grown forest tree seedlings for Georgia's landowners to replant harvested timberland and idle farmland. Approximately seven years ago, private nurseries forecasted that there would never be another seedling shortage because they could produce enough seedlings for everyone. A seedling shortage has occurred every year since and appears to get more critical each year. However, the seedling supply for FY2002 is expected to meet the demand, depending on the extent of cost share programs. The Commission has been recognized as the leader in quality seedling production for the past 10 years. 226 STATE FORESTRY COMMISSION Results-Based Budgeting FOREST PROTECTION Purpose: To protect Georgia's forested acreage from devastation by wildfire and to provide citizens with a safe environment in which to live. Goal 1: To reduce the number of houses and other buildings burned by forest fires. - Forest fires are responsible for the destruction of 72 homes and 150 other buildings per year (4 year average). Drought conditions in FY 99 and FY 2000 caused escalations in this category. The Commissioner's goal is to reduce the number of homes and outbuildings burned to match or better the 4 year average. Figures are homes burned/other buildings burned. FY 2000 Desired 80/134 FY 2000 Actual 51/200 FY 2001 Desired 72/150 FY 2002 Desired 72/150 Program Fund Allocation -- Total Funds State Funds FOREST MANAGEMENT $36,609,420 $35,518,809 $35,579,811 $32,177,590 $33,685,304 $33,622,254 Purpose: Optimize the economic and environmental benefits of Georgia's forest by providing leadership and technical assistance to landowners in managing forest resources. Goal 1: An increasing number of Georgia's forest landowners will manage their forests in a sustainable manner by following a Forest Management plan. [1] - The number of Georgia's forest landowners who follow a Forest Management Plan will increase from 3,345 in FY 2001 to 3,700 in FY 2002. Goal 2: Streams and water channels in Georgia will be protected from improper forestry operations that will cause erosion and a loss of water quality. - 85% of Georgia's streams and water channels will be protected from improper forestry operations. [2] Goal 3: Forest Products use will be maximized and waste will be minimized in the manufacturing process of raw logs and finding uses of waste products. - Increase the raw log product use efficiency in primary manufacturers from 4343 cubic feet of unmarketable residue in FY99 (1995 data) to 4170 in FY2000. [4] FY 2000 Desired 3391 80% 41700 or <.0091% FY 2000 Actual 3690 75% 0.0095% (1997 data.) FY 2001 Desired 3345 85% <.0090% FY 2002 Desired 3700 85% <.0090% 227 STATE FORESTRY COMMISSION -- Results-Based Budgeting Goal 4: Teachers, civic leaders, youth leaders, and the general public will be more aware of the value of Georgia's forest resources and how these resources create jobs and provide numerous products and environmental benefits. [4] - Eighty percent of seventh graders using the Georgia Forests Forever CD-ROM in the Mobile Classroom will increase their knowledge of forest resources. - The number of seventh graders using the Georgia Forests Forever CD-ROM in the Mobile Classroom will remain constant at 10,400 in FY 2002. Goal 5: Georgia Communities, non-profit organizations and the private sector will manage their urban forests to improve tree health, increase young populations of trees, and employ sustainable management methods. Sixteen percent of Georgia's 533 incorporated cities will meet and maintain the minimum requirements of the Tree City USA Program. [5] FY 2000 Desired 78 6,000 85 FY 2000 Actual 98 3,214 81 FY 2001 Desired 78 10,400 87 FY 2002 Desired 78 10,400 88 Program Fund Allocation -- Total Funds State Funds Notes: $7,498,314 $7,274,937 $7,313,493 $3,575,287 $3,742,812 $3,749,944 1 - Research has shown that compliance with BMPs results in less soil movement and, therefore, maintains water quality. 2 - Compliance survey is only conducted biennially; consequently, both actual and desired results will have the same # for two consecutive years. 3 - Genetically improved seedlings come from seed harvested in Forestry Commission seed orchards where carefully selected and tested "mother" trees are grown. 4 - Primary manufacturers are those that use raw logs and turn them into useable products. 5 - Actual numbers reflect Project Learning Tree trained educators. Total Fund Allocation Total Funds State Funds $44,107,735 $42,793,746 $42,893,304 $35,752,878 $37,428,116 $37,372,198 228 GEORGIA BUREAU OF INVESTIGATION Total Budgeted Positions -- 816 Board of Public Safety Director 2 Administration Staff 45 Executive Assistant Director 3 Division of Forensic Sciences 258 Georgia Crime Information Center 138 Investigative Division 370 229 GEORGIA BUREAU OF INVESTIGATION -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Evidence Purchased Capital Outlay Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 43,369,807 7,400,345 610,429 1,468,627 1,718,409 2,245,777 1,183,801 1,327,436 4,790,541 705,572 188,775 7,270,013 $72,279,532 FY 2000 Expenditures 47,026,238 7,486,826 784,813 1,135,160 3,735,958 839,350 1,128,230 1,500,597 5,876,641 789,697 500,000 2,633,136 $73,436,646 FY 2001 Current Budget 46,347,930 6,371,747 527,379 437,010 1,650,395 597,960 418,425 1,059,319 3,956,442 423,667 $61,790,274 FY 2002 Agency Requests Adjusted Base Enhancements Totals 46,730,626 6,362,197 527,379 437,010 1,210,395 597,960 418,425 1,059,319 3,956,442 423,667 615,313 251,563 59,500 383,775 79,900 78,200 294,500 88,952 47,345,939 6,613,760 586,879 820,785 1,290,295 676,160 418,425 1,353,819 3,956,442 512,619 $61,723,420 $1,851,703 $63,575,123 10,469,586 5,490,887 $15,960,473 $56,319,059 750 511 9,284,877 2,734,622 $12,019,499 $61,417,147 813 522 $61,790,274 816 522 $61,723,420 816 522 $1,851,703 17 17 $63,575,123 833 539 230 GEORGIA BUREAU OF INVESTIGATION -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Evidence Purchased Capital Outlay Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 46,347,930 6,371,747 527,379 437,010 1,650,395 597,960 418,425 1,059,319 3,956,442 423,667 1,602,416 745,942 9,500 69,000 (431,000) 4,000 25,000 $61,790,274 $2,024,858 $61,790,274 816 522 $2,024,858 24 14 FY 2002 Governor's Recommendations Workload Adjusted Base 47,950,346 7,117,689 536,879 506,010 1,219,395 601,960 418,425 1,084,319 3,956,442 423,667 Enhancements 782,145 Totals 47,950,346 7,117,689 536,879 1,288,155 1,219,395 601,960 418,425 1,084,319 3,956,442 423,667 $63,815,132 $782,145 $64,597,277 $63,815,132 840 536 $782,145 $64,597,277 840 536 231 GEORGIA BUREAU OF INVESTIGATION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Eliminate one-time funding appropriated for the purchase of lab equipment needed to comply with Senate Bill 318. 3. Provide supply funding for DNA analysis, related to SB 318 4 Fund 2 positions related to the increased workload associated with the PeopleSoft accounting system. 5. Fund 3 analyst postitions and 1 data entry position, which were previously funded by the Federal Gulf States Grant. These positions should be filled with existing vacant positions. 6. Transfer the Office of Law Enforcement from the Department of Juvenile Justice. The transfer includes 22 positions and 14 vehicles. ADJUSTED BASE 61,790,274 382,696 (449,550) 562,500 87,526 63,396 1,378,290 $63,815,132 ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide funding to replace 39 vehicles that have over 120,000 miles. TOTAL ENHANCEMENT FUNDS 782,145 $782,145 TOTAL STATE FUNDS $64,597,277 232 GEORGIA BUREAU OF INVESTIGATION Functional Budget Summary 1. Administration FY 2001 Appropriations Total State 5,169,256 5,169,256 FY 2002 Recommendations Total State 5,286,463 5,286,463 2. Investigative Division 26,449,610 26,449,610 28,850,320 28,850,320 3. Forensic Science Division 4. Georgia Crime Information Center 19,711,022 10,460,386 19,711,022 10,460,386 19,939,708 10,520,786 19,939,708 10,520,786 TOTAL APPROPRIATIONS $61,790,274 $61,790,274 $64,597,277 $64,597,277 RECOMMENDED APPROPRIATION: The Georgia Bureau of Investigation is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $64,597,277. 233 GEORGIA BUREAU OF INVESTIGATION Roles and Responsibilities The Georgia Bureau of Investigation (GBI) serves as a primary investigation and enforcement agency in the state's fight against crime and corruption. Upon request, the GBI provides investigative and enforcement support services to local and federal law enforcement agencies throughout the state. In addition to conducting general and special investigations, the bureau provides forensic laboratory examinations and collects data on crime and criminals. Numerous programs are operational and the latest technological advancements in crime fighting are in place to combat drug trafficking and other crimes. The operations of the GBI include a staff of 816 employees. These employees are located at the Bureau Headquarters, and are strategically housed in 15 General Investigation Offices, 4 Regional Drug Enforcement Offices and 6 Regional Crime Laboratories through which the various support services are carried out. GENERAL INVESTIGATION The mission of the General Investigation Section, within the investigative divis ion is to provide assistance to local law enforcement agencies in the investigation of crimes committed throughout the state on a daily basis. The office also has original jurisdiction in the investigation of crimes committed on state property; the enforcement of laws governing non-tax paid alcohol and tobacco; and the investigation of crimes committed on the basis of race, creed, religion or national origin. The majority of the manpower resources are distributed among the 15 regional field offices and the 4 Regional Drug Enforcement Offices. The regional field offices conduct general investigations of all crimes and comprise the most significant program in the General Investigation Section of the division's budget. The regional drug enforcement offices investigate all levels of drug trafficking with an emphasis on major violators. There are 7 specialized areas of operations: Crime Analysis Unit Crime Scene Specialist Program Financial Investigations Unit Intelligence Unit Multi-Jurisdictional Task Forces Polygraph Unit Healthcare Fraud Unit A number of services are provided to assist local agencies in solving crimes throughout the state: Aid in the detection, apprehension and conviction of criminals, and behavioral science related services; Criminal investigations into auto thefts, car jacking, organized crime, fugitives, and controlled substances; Arson investigations; Publication and dissemination of the Criminal Activity Bulletin; Polygraph exams for other criminal justice agencies upon request; and Assistance with security and crowd control for major organized events and civil disturbances in the state. FORENSIC SERVICES The Division of Forensic Sciences operates the headquarters laboratory in Atlanta and 6 regional laboratories in Savannah, Columbus, Augusta, Moultrie, Macon and Summerville. The laboratories examine submitted evidence, report scientific conclusions about that submitted evidence, and testify in court about results. These services must be timely and as up-to-date as possible to satisfy the needs of the courts and the police. The Headquarters Laboratory consists of the following programs: Administration Criminalistics DNA Database Drug Identification Serology/DNA Questioned Document Implied Consent Photography Toxicology Latent Examiner Firearms Identification Medical Examiner Services. GEORGIA CRIME INFORMATION CENTER The role of the Crime Information Center includes the operation of a statewide Criminal Justice Information System (CJIS) Network, linking criminal justice agencies to automated state and national information databases. The center also operates and maintains a central repository of statistical data describing the nature and extent of reported crime known under the name of its FBI counterpart, the Uniform Crime Reporting system. It performs audits of Georgia's criminal justice agencies. AUTHORITY Title 35 of the Official Code of Georgia Annotated. 234 GEORGIA BUREAU OF INVESTIGATION Strategies and Services The Georgia Bureau of Investigation provides an invaluable service by assisting the local and federal law enforcement agencies throughout the state of Georgia. As new innovations and technological advances become available, assisting in investigations continues become more complex. Local and federal agencies look to the bureau to provide skilled agents for their expertise in various crime analysis and crime investigation. For this reason, the bureau has a complex recruitment and training program. The bureau continues to make every effort to recruit and hire skilled, qualified and professional agents. In an effort to display his support, Governor Barnes is recommending a special pay package for the bureaus sworn personnel. Under the Governors special pay package, the minimum target hire salary for a special agent will be increased from $29,382 to $33,528. This represents an additional $4,146 or a 14% increase in the target hire salary. In addition to increasing the target hire salary, the Governor has made funding available to provide current filled positions a 4% increase or to be moved to the new minimum, which ever would be more beneficial to the individual. If the special pay package were combined with the 3.5% merit increase, the average additional pay for current filled special agents will be $3,606, representing an 11.9% increase. FORENSIC SCIENCES The Division of Forensic Sciences (DOFS) provides scientific support to criminal justice agencies to enable them to detect, apprehend and prosecute criminals. Except for limited services provided by local federal laboratories, the Division of Forensic Sciences is the single source for forensic services available to the criminal justice community in Georgia. Currently, the Division of Forensic Sciences serves the entire state of Georgia through a headquarters laboratory and six regional laboratories. Headquarters is located in Atlanta, while the regional laboratories are located in Savannah, Macon, Summerville, Columbus, Augusta and Moultrie. The Division of Forensic Sciences provides services in the following areas: Chemistry/Drug Identification, Serology/DNA, Pathology, Forensic Toxicology/Blood Alcohol, Firearms Identification, Latent Fingerprints, DNA Database, Trace Evidence, Questioned Documents, Forensic Photography and Implied Consent. goal of completing services within a 30-day period. In FY 2000, the Governor provided the bureau with 83 additional forensic positions and $2.6 million for lab equipment. With the Governor's support and the bureaus hard work, the year-end backlog for completed services was the lowest it has been since FY 1993. The backlog accounted for 5,822 cases. Compared to FY 1999 backlog of 35,857 cases, FY 2000 represented a reduction of 30,035 cases. In addition to the dramatic reduction of the backlog, the bureau was able to complete 122,600 cases versus FY 1999's 88,490 cases. The bureau's ability to reduce the backlog was a direct result of increasing the percentage of cases that were completed within a 30-day period. In FY 2000, 57% of the cases were completed with in 30 days. This was a great achievement compared to FY 1999's 36%. This represented a 21 point increase. The bureau is not satisfied and will continue to strive to improve in both of these areas. Backlog Compared to Completed Services 118,342 111,320 112,993 104,911 99,545 122,600 86,018 88,490 35,857 5,343 5,985 11,189 8,504 22,115 8,018 5,822 FY FY FY FY FY FY FY FY 1993 1994 1995 1996 1997 1998 1999 2000 Backlog Svc Completed BACKLOG OF FORENSIC SERVICES The Division of Forensic Services continues to focus on reducing the current backlog of services and meeting the 235 GEORGIA BUREAU OF IN VESTIGATION -- Strategies and Services NEW CRIME LABORATORIES AND MORGUES As in previous years, Governor Barnes is providing capital funding to assist the bureau in its endeavor to attack its ever-increasing caseload and provide more timely assistance to the local agencies of the state. In the FY 2001 Amended Budget, Governor Barnes recommended $5 million in G.O. Bonds to construct a new regional laboratory to be located in Dahlonega. This will give the bureau a total of 8 laboratories. The new facility will allow the bureau to reduce the service territory covered by the Summerville lab and the Atlanta (headquarters) lab. In addition to a new regional lab, Governor Barnes included $2.3 million to construct a freestanding morgue, medical examiner annex and toxicology annex adjacent to the Moultrie lab. Other initiatives funded in prior years by the Governor include the replacement of a 19-year-old morgue; the construction of a new morgue and toxicology lab adjacent to the Savannah facility; construction of a laboratory annex and morgue building adjacent to the headquarters building; and replacement of the laboratory and addition of a morgue facility in Augusta. These recommendations display Governor Barnes commitment to provide the necessary resources to continue to keep Georgia as one of the nations leading Forensic Science operations. CRIME INFORMATION providing investigative leads or positive identification of a suspect. Remote sites where AFIS workstations are communicating with the GBI's AFIS are capable of sending and receiving electronic fingerprint images and making fingerprint identifications remotely. The GBI receives fingerprint images electronically from law enforcement agencies able to transmit images directly into the GBI's AFIS via a Live Scan device. Eighteen agencies transmit images directly to the GBI. These agencies provide arrest-booking services to many other agencies in their area. In total, electronic images are received from over 150 agencies. The AFIS database files currently total 2,182,303. Tenprint files store 2 thumbs for each offender and total 1,213,428 people. Latent cognizant files total 968,875 people and represents 10 fingers stored for each offender. The database also contains 4,607 prints lifted from crime scenes that do not match any prints in the above databases. These prints are stored for future reference Automation of final disposition information is occurring in 2 ways. Agencies can enter final dispositions directly into the computerized criminal history database via the GO Network and a second transaction from specially designed case management software. Electronic updates of final dispositions from both types of automated courts accounted for approximately 20% of the judicial data to GCIC. FIREARMS PROGRAM (INSTANT GUN CHECK) The Firearms Program provides a state background check for firearms purchasers. Administered to be in conformity with the provisions of Georgia law and the federal Brady Handgun Violence Protection Act, the program provides the means for a federally licensed firearms dealer to call a 1-800 number to obtain an "instant check" on individuals prior to the transfer/sale of a handgun. This check is to insure by law that the individual is permitted to possess a handgun or long gun. In FY 2000, the Georgia Crime Information Center processed 237,545 transactions and 12,478 were denied. This represented an increase of 65,396 transactions or over a 38% increase from the previous fiscal year. In FY 1999 the center processed 172,149 transactions. AUTOMATED FINGERPRINT IDENTIFICATION SYSTEM (AFIS) AFIS technology automates the processing of criminal, latent and applicant fingerprints with speed and accuracy. The processing of criminal documents such as fingerprint cards and reports of final disposition create and update computerized criminal history records, which are used by all criminal justice agencies throughout the state and nation. These records are also used to respond to inquiries for applicant background checks. Latent prints submitted from law enforcement agencies are processed for the purpose of CRIMINAL JUSTICE INFORMATION SYSTEM (CJIS) NETWORK The CJIS network provides law enforcement and other criminal justice agencies quick access to critical state and national driver's records, vehicle, boat and airplane registrations, stolen vehicles and property, wanted persons; and missing children and adults. There are currently 7,200 terminals on the CJIS Network. During FY 2000, the system processed 157,000,000 messages. UNIFORM CRIME REPORTING (UCR) UCR is a program designed to collect and provide crime statistics for Georgia on incidents of crime and arrests. Crime and arrests statistics are reported to local law enforcement agencies, the Governor and General Assembly, the Criminal Justice Coordinating Council, county and municipal officials, and media representatives. Interested citizens also could obtain the same statistics through the publication of "Georgia UCR Summary Report". INVESTIGATIVE PROGRAMS REGIONAL OFFICES There are 15 regional offices that conduct general investigations of all types of criminal activity including drug enforcement. Each office typically covers 8 to 12 counties and is composed of 12 agents, a child abuse specialist and a crime scene specialist. In FY 2000, the 236 GEORGIA BUREAU OF IN VESTIGATION -- Strategies and Services regional offices conducted investigations on 10,900 cases, which compiled a total of 384,124 investigative hours. REGIONAL DRUG ENFORCEMENT OFFICES FY 2000 Investigative Cases Percentage of Hours Worked by Type of Case Persons 37% Property 14% a federal grant and was staffed with representatives from various local law enforcement agencies within a judicial circuit. Over the years, the bureau has had numerous requests to provide ASAC's to serve as supervisors for multi-jurisdictional task forces throughout the state. Currently the GBI is responsible for the supervision of 16 multi-jurisdictional task forces that work street to midlevel and in some instances major drug investigations in 50 of the 159 counties in Georgia. These supervisors provide experienced, capable leadership and help to ensure an organized and cooperative effort between not only the GBI and the task forces but also other law enforcement agencies. In FY 2000, the force made 4,122 arrests; seized $95,817,497 in drugs and $1,047,774 in property; and made $713,405 in forfeitures. SPECIAL UNITS Over the years, it has been necessary for the bureau to create specialized units. These units narrow the investigative focus and allow individual agents to become highly trained experts and concentrate on specific areas of crime analysis and investigation. These specialized units include the Crime Analysis Unit, Financial Investigation Unit, Polygraph Unit, Fugitive Squads, Anti-terrorist Unit, Bomb Disposal Unit, Special Weapons and Tactics Team, Intelligence Unit, D.A.R.E. Unit, Governor's Task Force, State Health Care Fraud Unit and State Drug Task Force. Drugs 31% Other/Misc. 18% There are three offices that are designated to investigate all levels of drug trafficking with an emphasis on major violators. The offices are located in Gainesville, Macon and Savannah. In FY 2000, the regional drug enforcement offices accounted for 558 drug investigations, which resulted in 394 arrests and $6.4 million of seized contraband. MULTI-JURISDICTIONAL DRUG TASK FORCE GBI provides an assistant special agent-in-charge (ASAC) to supervise multi-jurisdictional drug task forces throughout the state. The initial task force was funded with INTELLIGENCE UNIT The Intelligence Unit acts as a repository for criminal intelligence information. The unit provides specialized support to GBI work units as well as other state, federal and local law enforcement agencies throughout the country. Information from intelligence files is disseminated upon request to all law enforcement agencies. An average of over 13,000 requests is received each year. The unit publishes and disseminates the Criminal Activity Bulletin, which is the means of notifying local law enforcement agencies and district attorneys of the impending release from prison persons convicted of crimes in their jurisdictions. The unit is affiliated with local, regional, national and international law enforcement agencies. STATE HEALTH CARE FRAUD CONTROL UNIT The unit's function is to identify and arrest individuals who commit Medicaid-provider fraud. The Health Care Fraud Unit is a joint venture between the GBI, the Attorney General's Office and the Department of Audits. Since its inception, in March 1995, the division has opened 579 cases. Currently they have 89 active cases. The unit recovered $29 million with another $1.8 million to be paid to the Georgia Medicaid Program. 237 GEORGIA BUREAU OF INVESTIGATION Results-Based Budgeting Georgia Crime Information Center Purpose: Provide accurate, timely and complete criminal justice information to criminal justice agencies to enable them to carry out their public safety functions and to the public at large to be used as provided by law. Goal 1: The criminal justice information available from FY 2000 FY 2000 FY 2001 FY 2002 GCIC to all entities authorized by law will be more Desired Actual Desired Desired complete. - In FY 2002, law enforcement agencies will report 95% of all arrests to the Georgia Crime Information Center. 90% 72,000 90% 72,000 95% 76,000 95% 76,000 - In FY 2001, 85% of the felony arrests on file for a reporting 85% 80% 85% 85% period of 1-7 years prior will have a corresponding disposition (641,841) reported. FY '92 - '98 - Georgia law enforcement agencies needed to represent 90% of 90% > 90% 90% 90% Georgia's population will continue to maintain participation in the Uniform Crime Reporting (UCR) program by submitting UCR data to GCIC. (# of agencies / % of population). 540 541 540 540 Goal 2: Criminal justice information will be processed by the central repository accurately and in a timely manner . - GCIC will continue to process at least 95% of all reported arrest data processed through the central repository within 2 days of receipt. - GCIC will continue to process at least 95% of all reported disposition data through the central repository within 35 days of receipt -GCIC will continue to process 95% of submitted applicant cards within 5 days of receipt by the central repository. - GCIC will continue to maintain an accuracy rate of 97% for all criminal history information processed by the central repository. >95% >95% >95% 97% >99% >98% >95% 99.50% >95% >95% >95% 97% >95% >95% >95% 97% - The percentage of law enforcement agencies performing 95% 96% 95% 95% complete and timely validations of all Law Enforcement Data System/National Crime Information Center wanted person records will remain at 95% (380+ agencies). - The percentage of criminal justice agencies audited that 95% 95% 95% 95% achieve a satisfactory compliance rating when the audit process is completed by GCIC will remain at 95%. 238 GEORGIA BUREAU OF INVESTIGATION -- Results-Based Budgeting Goal 3: Background checks of potential buyers for federally licensed firearms dealers will be provided in a timely and accurate manner. - The percentage of all requested background checks to be completed in less than 3 minutes will remain at 85%. FY 2000 Desired 85% FY 2000 Actual 90% FY 2001 Desired 85% FY 2002 Desired 85% Program Fund Allocation -- Total Funds State Funds $13,699,427 $10,460,386 $10,520,786 $10,137,682 $10,460,386 $10,520,786 GBI Crime Lab Purpose: Provide scientific support to criminal justice agencies to enable them to detect, apprehend, and prosecute criminals by performing accurate, useful, and timely laboratory analyses and testimony. Goal 1: To provide accurate, useful, and timely scientific analyses and testimony FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired Pass Passed Pass Pass - The GBI Crime Lab will pass an annual audit review which examines the adequacy of the laboratory's quality controls. [1.] - Maintain from a customer satisfactory rating of 90% or above 90% 93% 90% 90% on a scale of (0-100) for scientific reports as measured by customer survey - In FY 2001 at least 60% of services of all cases will be completed within 30 calendar days from request as follows: - Single service cases completed within 30 days - Multiple service cases completed within 60 days - Multiple service cases requiring separate labs - completed in 90 days - Death cases completed within 60 days Goal 2: To improve the breadth and depth of forensic services. - The GBI Crime Lab will enable the DNA unit to have complete DNA profiles on all offenders covered by current Georgia statute within 30 days. Program Fund Allocation -- Total Funds State Funds 55% (33,545) 55% (16,478) 55% (8,828) 55% 62% (50,379) 56% 11,341 56% (409) 57.7% 60% (36,053) 60% (17,710) 60% (9,488) 60% 80% 60% N/A [2.] 60% 60 Days 60 Days 30 Days 30 Days $21,371,318 $19,711,022 $19,939,708 $20,555,979 $19,711,022 $19,939,708 Notes: 1 - No major non-conformities will be identified in the audit and no more than 20% minor non-conformities will be 2 - This function will be revised in FY 2002. 239 GEORGIA BUREAU OF INVESTIGATION -- Results-Based Budgeting Investigative Division/ Criminal Investigations Purpose: Provide investigative services, intelligence information, specialized units and training to criminal justice agencies in order to promote public safety. Goal 1: Assist criminal justice agencies in solving crimes. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Maintain a rating of met or exceeded from at least 80% of the 80% criminal justice agencies that requested and utilized investigative assistance, -Maintain a rating of met or exceeded from at least 80% of the 80% criminal justice agencies that requested drug enforcement assistance. -Maintain a rating of met or exceeded from at least 80% of the 80% criminal justice agencies that requested specialized law enforcement assistance. Goal 2: Participate in drug abuse awareness training of 5th and 6th grade students by providing law enforcement officers with the specialized skills necessary to teach the Drug Abuse Resistance Education (DARE) program. -At least 90% of the qualified officers that apply for DARE 90% Officer slots will successfully graduate from training. Program Fund Allocation -- Total Funds State Funds Notes: 1. Data was not available for these measures by the publication date. Other Activities -- Total Funds State Funds TOTAL - All Programs Total Funds State Funds N/A [1.] 80% 80% N/A [1.] 80% 80% N/A [1.] 80% 80% 97% 90% 90% $32,892,702 $26,449,610 $28,850,320 $25,268,994 $26,449,610 $28,850,320 $5,473,199 $5,169,256 $5,286,463 $5,454,492 $5,169,256 $5,286,463 $73,436,646 $61,790,274 $64,597,277 $61,417,147 $61,790,274 $64,597,277 240 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION Total Budgeted Positions -- 84 Commission Board Construction Division 79 Construction Administration Section Facilities Support Section Finance Division 5 241 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Total Funds Less Federal & Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions FY 1999 Expenditures 1,643,029 68,546 68,524 4,369 157,607 372,496 261,647 30,552 $2,606,770 FY 2000 Expenditures 2,602,782 122,919 88,366 3,577 207,838 2,113,789 93,619 35,310 FY 2001 Current Budget 4,956,786 128,095 120,000 15,765 274,123 8,517,000 75,000 40,000 $5,268,200 $14,126,769 FY 2002 Agency Requests Adjusted Base Enhancements Totals 74,382 30,415 5,000 (15,000) (7,514,800) 600 5,399,485 ($2,019,918) 5,031,168 158,510 125,000 765 274,123 1,002,200 75,600 40,000 5,399,485 $12,106,851 2,606,770 $2,606,770 28 5,268,200 $5,268,200 14,126,769 $14,126,769 57 84 (7,419,403) ($7,419,403) $5,399,485 6,707,366 $6,707,366 $5,399,485 84 242 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Total Funds Less Federal & Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions FY 2001 Annualizers and Current Budget Adjustments 4,956,786 128,095 120,000 15,765 274,123 8,517,000 75,000 40,000 74,382 30,415 5,000 (15,000) (7,514,800) 600 $14,126,769 ($7,419,403) 14,126,769 $14,126,769 (7,419,403) ($7,419,403) 84 FY 2002 Governor's Recommendations Workload Adjusted Base 5,031,168 158,510 125,000 765 274,123 1,002,200 75,600 40,000 Enhancements $6,707,366 6,707,366 $6,707,366 84 Totals 5,031,168 158,510 125,000 765 274,123 1,002,200 75,600 40,000 $6,707,366 6,707,366 $6,707,366 84 243 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 APPROPRIATIONS (AGENCY FUNDS) Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Provide for personal services adjustments. Other Adjustments: 3. Adjust various operating expenses, including a reduction in per diem, fees and contracts. ADJUSTED BASE TOTAL AGENCY FUNDS 14,126,769 40,000 34,382 (7,493,785) $6,707,366 $6,707,366 RECOMMENDED APPROPRIATION: No direct appropriation of state funds is required to administer the Georgia State Financing and Investment Commission. Operation the Georgia State Financing and Investment Commission is funded by interest earned from investment of the bond proceeds. 244 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION Roles and Responsibilities The Georgia State Financing and Investment Commission (GSFIC) is responsible for managing the state's public debt. This responsibility includes providing various administrative services in issuing bonds and in investing the bond proceeds. GSFIC also manages capital outlay construction projects related to the issuance of the bonds. The Georgia General Assembly authorizes GSFIC, through the annual appropriations bill, to issue general obligation bonds to finance the construction of various capital outlay projects. In FY 2000, GSFIC had an annual operating budget of $2,974,359. This agency does not receive state funds for its operations but instead generates its own funds from interest earned from investment of the bond proceeds. The commission members consist of the Governor, the President of the Senate, the Speaker of the House of Representatives, the State Auditor, the Attorney General and the Director of Office of Treasury and Fiscal Services. GSFIC provides all of its services through 2 statutory divis ions--Financing and Investment, and Construction. obligation bonds and investing the bond proceeds. Additionally, this division manages the bond debt and purchases outstanding bonds from the secondary market to retire the debt early. CONSTRUCTION The Construction Division manages the contracts for the design and construction of the capital outlay projects for the various state agencies and other state entities. The division's management of projects involves preparing bids for the selection of a contractor to construct the facility; monitoring the progress of the projects; and providing the accounting services associated with disbursements of payments. AUTHORITY Titles 20 and 50 of the Official Code of Georgia Annotated. FINANCING AND INVESTMENT The Financing and Investment Division has 3 employees who are responsible for issuing the general 245 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION Results-Based Budgeting CONSTRUCTION DIVISION Purpose: Ensure that state building construction meets the needs of state agencies and is completed as expeditiously and economically as possible by providing construction management services when requested. Goal 1: Agencies requesting assistance will be satisfied with FY 2000 FY 2000 FY 2001 FY 2002 the Program's construction management. Desired Actual Desired Desired - At least 95% of all construction projects completed during FY 95% 84% 95% 95% 2002 will have been within 100% of budget. Program Fund Allocation -- Total Funds $4,729,582 $14,126,769 $6,094,407 State Funds $0 $0 $0 FINANCING AND INVESTMENT MANAGEMENT Purpose: Ensure that Georgia's general obligation bonds are issued at the lowest possible interest rates and earn the maximum amount of investment income permitted by law and that the process used to issue bonds, to invest bond proceeds and cash appropriations, and to disburse bond proceeds to fund capital projects are efficient and effective. Goal 1: Reduce the State's cost of borrowing for capital FY 2000 FY 2000 FY 2001 FY 2002 projects by issuing general obligation bonds at the lowest Desired Actual Desired Desired possible rate. - Bonds issued during FY 2002 will have sell at the lowest Within 5 5.2 Within 5 N/A (1) possible cost to the state as shown by effective interest rates basis points basis points within 5 basis points (.05%) of other state AAA debt issued of other of other AAA during the same time period. AAA states states Program Fund Allocation -- Total Funds $538,618 $591,865 $612,959 State Funds $0 $0 $0 Notes: 1 - Interest rates for bonded debt fluctuates overtime, therefore, FY 2001 and FY 2002 rates cannot be reliably projected. TOTAL - All Programs Total Funds State Funds $5,268,200 $14,126,769 $6,707,366 $0 $0 $0 246 OFFICE OF THE GOVERNOR Total Budgeted Positions -- 354 GOVERNOR Governor's Office Chief of Staff Deputy Chief of Staff (External Affairs) Deputy Chief of Staff (Internal Affairs) Communications Director Policy Director Executive Counsel Georgia Council for the Arts 12 Director Office of Planning and Budget 80 Attached for Administrative Purposes Only Children and Youth Coordinating Council 6 Commission on Equal Opportunity 19 Commission on Human Relations 7 Criminal Justice Coordinating Council 25 Georgia Emergency Management Agency 66 Office of the Child Advocate 4 Office of Consumer Affairs 63 Office of Education Accountability 19 Professional Standards Commission 53 Administration Division General Government and Public Safety Division Intergovernmental Relations Division Planning, Research and Evaluation Division Educational Development Division Human Development Division Physical and Economic Development Division 247 OFFICE OF THE GOVERNOR -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Cost of Operations Mansion Allowance Governor's Emergency Fund Intern Stipends and Travel Art Grants - State Funds Art Grants - Non-State Funds Humanities Grant Juvenile Justice Grants Grants to Local Systems Children and Youth Grants Crime Victims Assistance Program Grants - EMA Grants - Civil Air Patrol Grants - Disaster Transition Fund Criminal Justice Grants Troops to Teachers Investment in Modernization Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 18,094,940 3,414,402 349,944 708,806 1,243,222 1,123,471 7,330,496 442,447 600,857 3,453,904 40,000 3,223,877 190,767 4,010,000 150,670 175,000 7,281,258 684,400 262,605 3,773,421 859,558 57,000 68,209,221 37,036 28,858,381 270,499 179,553 $155,025,735 45,685,692 69,883,477 9,260,393 $124,829,562 $30,196,173 302 21 FY 2000 Expenditures 19,467,952 4,528,724 448,503 104,492 1,536,898 1,171,201 10,841,431 637,084 773,415 4,115,060 40,000 12,714,437 156,124 4,000,000 151,530 470,000 6,880,445 684,400 250,000 3,201,526 128,495 57,000 101,552,345 28,508,353 FY 2001 Current Budget 21,290,428 1,535,897 367,900 60,000 213,659 1,466,608 10,715,674 537,872 568,221 4,670,081 40,000 3,815,000 198,913 4,047,581 274,194 275,000 1,697,750 684,400 250,000 1,500,000 1,085,000 57,000 746,055 $203,165,470 $55,351,178 134,833,702 6,684,119 13,725,855 $155,243,676 $47,921,794 307 21 7,905,564 2,615,595 135,000 $10,656,159 $44,695,019 354 24 FY 2002 Agency Requests Adjusted Base Enhancements Totals 21,860,790 1,700,977 412,095 195,251 1,536,784 11,138,731 413,483 654,171 4,681,031 40,000 3,815,000 148,913 4,047,581 274,194 275,000 1,687,100 684,400 250,000 1,500,000 1,085,000 57,000 650,844 228,228 11,640 450,000 14,500 32,000 275,508 98,145 11,000 264,662 131,570 209,100 3,000,000 22,511,634 1,929,205 423,735 450,000 209,751 1,568,784 11,414,239 511,628 665,171 4,681,031 40,000 3,815,000 413,575 4,179,151 274,194 484,100 1,687,100 684,400 250,000 1,500,000 4,085,000 57,000 27,783,371 27,783,371 $84,240,872 $5,377,197 $89,618,069 35,694,064 2,728,375 $38,422,439 $45,818,433 349 22 35,694,064 2,728,375 $5,377,197 $38,422,439 $51,195,630 13 362 1 23 248 OFFICE OF THE GOVERNOR -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Cost of Operations Mansion Allowance Governor's Emergency Fund Intern Stipends and Travel Art Grants - State Funds Art Grants - Non-State Funds Humanities Grant Juvenile Justice Grants Grants to Local Systems Children and Youth Grants Crime Victims Assistance Program Grants - EMA Grants - Civil Air Patrol Grants - Disaster Transition Fund Criminal Justice Grants Troops to Teachers Investment in Modernization Year 2000 Project Total Funds FY 2001 Annualizers and Current Budget Adjustments 21,290,428 1,535,897 367,900 60,000 213,659 1,466,608 10,715,674 537,872 568,221 4,670,081 40,000 3,815,000 198,913 4,047,581 274,194 275,000 1,697,750 684,400 250,000 1,500,000 1,085,000 57,000 1,070,469 162,204 53,415 -60,000 -68,720 -78,236 484,457 -67,486 89,700 10,950 -50,000 100,000 -10,650 27,783,371 111,930 $55,351,178 $29,531,404 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 7,905,564 2,615,595 135,000 $10,656,159 $44,695,019 27,900,430 112,780 (135,000) $27,878,210 $1,653,194 Positions Motor Vehicles 354 (1) 24 (2) FY 2002 Governor's Recommendations Workload Adjusted Base 22,360,897 1,698,101 421,315 Enhancements 333,790 22,250 25,820 144,939 1,388,372 11,200,131 470,386 657,921 4,681,031 40,000 3,815,000 148,913 4,147,581 274,194 275,000 1,687,100 684,400 250,000 1,500,000 1,085,000 57,000 202,440 11,500 -124,331 47,530 1,600 209,682 14,100 Totals 22,694,687 1,720,351 447,135 347,379 1,399,872 11,075,800 517,916 659,521 4,681,031 40,000 3,815,000 358,595 4,147,581 274,194 289,100 1,687,100 684,400 250,000 1,500,000 1,085,000 57,000 27,783,371 111,930 27,783,371 111,930 $84,882,582 35,805,994 2,728,375 $38,534,369 $46,348,213 353 22 $744,381 $85,626,963 $744,381 6 35,805,994 2,728,375 $38,534,369 $47,092,594 359 22 249 OFFICE OF THE GOVERNOR FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. OPB - Smith Dawson consulting contract for the Governor's Office. 4. OPB - Increase in US Department of Justice monitoring contract. 5. Object Class Adjustments. 6. Annualize position added in Amended FY 2001 for Consumer Affairs. 7. Annualize position added in Amended FY 2001 for GEMA. 8. Annualize additional State Arts Grants added in Amended FY2001 for Council for the Arts. 9. Increase telecommunications to reflect actual costs for the Professional Standards Commission. 10. Transfer funding from DOE to the Professional Standards Commission to assist with fees for the National Board certification program. 11. Directly hire for 2 permanent and 3 temporary positions for Professional Standards Commission. 12. Transfer funding from DOE to Professional Standards Commission for Public School Teacher Recruitment Program. 13. Reduce the lapse to 6% by applying savings from temporary agency fees and a reduction in computer charges for Professional Standards Commission. 14. Provide a 25% state match to the Criminal Justice Coordinating Council for 2 time-limited positions associated with the Sentencing Commission. 15. Reduce fees to temporary agencies for Professional Standards Commission. 16. Annualize additional position added in FY 2001 for the Office of the Consumers' Insurance Advocate. 17. Adjust GBA rental rates to a standard of $8.75 per rentable square foot. Non-Recurring Items: 18. Reduce non-recurring items ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Fulfill new Internal Revenue Service requirements for the Governor's Intern Program. 2. Fund 2 positions and contract expenses for the Consumers' Insurance Advocate to handle workload. 3. Upgrade and expand technology databases to increase efficiency and public support at the Office of Consumer Affairs. 4. Support Georgia History Day by encouraging 8th graders' knowledge of our state's government through the Georgia Humanities Council. Governor's Recommendations 44,695,019 129,185 689 202,000 17,430 664,539 120,400 109,300 100,000 51,086 200,000 117,994 346,200 100,406 25,406 (158,400) 90,000 (127,712) (335,329) $46,348,213 209,682 150,000 55,000 14,100 250 OFFICE OF THE GOVERNOR -- FY 2002 Budget Summary 5. Add 1 position and related expenses for a state 911 Coordinator at the Georgia Emergency Management Agency. 6. Add 2 positions and related expenses to the Office of Georgia Human Relations for community outreach. 7. Annualize the FY 2001 transfer of 3 positions related to the PIE program from the Office of Georgia Human Relations to the Department of Community Affairs. 8. Reduce funds for agency audits in the Office of Planning and Budget. 9. Provide funds for software to train math and science middle grade teachers and college faculty, and develop an accountability database for the Professional Standards Commission. 10. Provide funding to the Professional Standards Commission for planning and development of an educational Leadership Institute. 11. Provide funding to the Professional Standards Commission for the creation of a Charter School Academy. 12. Provide funds for the Professional Standards Commission to create 5 alternative certification programs to address critical shortage fields. 13. Create distance learning courses for the Professional Standards Commission to ensure teachers are certified in the courses they teach. 14. Fund contract for the Professional Standards Commission for the development of a plan to market teaching. 15. Annualize the $1,000 stipends to National Board Certified candidates for the Professional Standards Commission recommended in FY 2001. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Governor's Recommendations 53,100 148,230 (125,000) (2,000,000) 49,269 200,000 500,000 500,000 500,000 200,000 290,000 $744,381 $47,092,594 251 OFFICE OF THE GOVERNOR Functional Budget Summary FY 2001 Appropriations Total State 1. Governor's Office 8,723,994 8,673,994 2. Office of Planning and Budget 13,516,462 13,516,462 3. Georgia Council for the Arts 5,433,716 4,735,331 FY 2002 Recommendations Total State 8,894,626 8,894,626 11,899,989 11,899,989 5,634,403 4,966,558 Total 27,674,172 26,925,787 26,429,018 25,761,173 1. Georgia Commission on Equal Opportunity 2. Office of Consumer Affairs 3. Criminal Justice Coordinating Council 4. Children and Youth Coordinating Council 5. Office of Georgia Human Relations 6. Professional Standards Commission 7. Georgia Emergency Management Agency 8. Office of the Child Advocate for the Protection of Children 9. Office of Education Accountability Total Attached Agencies TOTAL APPROPRIATIONS 1,151,469 4,756,642 3,617,732 2,528,990 455,358 5,641,618 6,450,237 300,000 2,775,000 $27,677,046 $55,351,218 848,998 4,558,642 369,756 606,990 455,358 5,641,618 2,212,870 300,000 2,775,000 $17,769,232 $44,695,019 1,155,044 5,185,123 31,610,674 2,520,236 613,333 8,487,943 6,429,940 385,776 2,809,876 $59,197,945 $85,626,963 852,073 4,987,123 399,418 610,236 613,333 8,376,013 2,297,573 385,776 2,809,876 $21,331,421 $47,092,594 RECOMMENDED APPROPRIATION: The Office of the Governor is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $47,092,594 252 OFFICE OF THE GOVERNOR Roles and Responsibilities The Office of the Governor serves a dual role-providing leadership to guide the affairs of state government and delivering services through 9 attached agencies. GOVERNOR'S OFFICE The Governor is the Chief Executive Officer of state government. Constitutionally, he is charged with executing the laws of the state and conserving the peace as Commander-in-Chief of the Georgia National Guard. Because of the various demands made of him, the Governor requires a personal staff to assist him in scheduling his time, answering correspondence, writing speeches, drafting legislation, and in maintaining contact with citizens of Georgia, members of the General Assembly and state agency heads. OFFICE OF PLANNING AND BUDGET The Office of Planning and Budget (OPB) provides the Governor with assistance in the development of the state budget; with developing and updating annually a State Strategic Plan; with working with all state agencies in the development of their own strategic plan and ensuring that it conforms to the state plan; and with program evaluation, working with the State Auditor. GEORGIA COUNCIL FOR THE ARTS The council, a division of OPB, advises the Governor about the study and development of the arts in Georgia and provides grants and technical assistance to local governments and art groups. ATTACHED AGENCIES The following agencies are attached to the Office of the Governor for administrative purposes. The protection from discrimination against any individual in public employment and in the sale, purchase or rental of housing within the state because of race, color, religion, sex, national origin, handicap or age is the responsibility of the Commission on Equal Opportunity. The Office of Consumer Affairs protects consumers and legitimate business enterprises from unfair and deceptive activities through the enforcement of the Fair Business Practices Act and other related consumer protection statutes. In addition to administering the Drug Control and System Improvement Grant, the Crime Victim Assistance Grant and the Crime Victim Assistance Compensation program, the Criminal Justice Coordinating Council serves as a statewide clearinghouse for criminal justice information and research, and disseminates information to criminal justice agencies in the state. The Children and Youth Coordinating Council, operating through federal/state grant awards, assists local government and private service agencies in the development of community-based programs for delinquent youth and youth who are at high risk of becoming delinquent. The Office of Georgia Human Relations provides assistance for resolution of problems, issues and situations that pose a threat to positive community relations, and develops programs and activities to achieve a positive human relations climate in the state. The Professional Standards Commission sets policies and procedures for certification of educational personnel in the public schools; reviews and analyzes requests for certification; issues certificates to qualified applicants; and develops and enforces the code of ethics and performance standards for teachers in local school systems. Coordination of the activities of state and local agencies in preparing for natural disasters are carried out through a comprehensive emergency and disas ter readiness program administered by the Georgia Emergency Management Agency. The Office of Education Accountability establishes educational accountability policies and standards for the state to establish the "official" education report card and give awards to successful schools. The office is also charged with setting the official pass scores for the CRCT and end of course tests. The Office of the Child Advocate for the Protection of Children provides independent oversight of persons, organizations, and agencies responsible for providing services to or caring for children who are victims of child abuse and neglect or whose domestic situation requires intervention by the state. AUTHORITY Titles 8, 10, 12, 15, 19, 20, 35, 38, 40, 43, 45, 46, and 49 of the Official Code of Georgia Annotated, Executive Order. 253 OFFICE OF THE GOVERNOR Strategies and Services A wide range of services is delivered by 9 agencies attached to the Office of the Governor, including Consumer Protection, Emergency Management and various grant distribution functions. PROTECTION FOR CONSUMERS LEMON LAW UNIT The Motor Vehicle Warranty Rights Act, commonly referred to as the "Lemon Law", provides consumers a method through which to attract the attention of new car manufacturers and secure the repair or replacement of those new vehicles that do not function properly. After ten years of operation, the success of the Lemon Law program is remarkable. The Lemon Law caseload continues to grow due to the increased volume of motor vehicles sold. Over 36,000 Georgians contacted the Office of Consumer Affairs (OCA) in FY 2000 for assistance. Since the inception of the program in July 1990, over 33,000 Lemon Law cases have been initiated by Georgians. Of the Lemon Law cases submitted to arbitration in FY2000, over 580 consumers received either a replacement vehicle from the manufacturer or the repurchase of their defective vehicles by the manufacturer. These consumers alone received almost $12.2 million worth of benefit from this part of the Lemon Law process alone. Consumers, automobile dealers and auto manufacturers alike continue to praise Georgia's Lemon Law Program for its consistency and fairness. TELEMARKETING Over $40 billion are lost each year to illegal telemarketing enterprises and therefore, it is no surprise that consumer protection agencies, like OCA, routinely rank telemarketing complaints as either the first or second most prevalent type of consumer complaint received. While recognizing the fraudulent acts committed through telemarketing and the injurious effects upon consumers is relatively easy, combating and eliminating telemarketing fraud has been increasingly problematic. OCA has continued to fight illegal telemarketing through every available means, including specialized investigations, aggressive civil litigation, and criminal prosecutions. The elderly citizens, who are a particularly vulnerable portion of the population, are routinely targeted for financial abuses since they often live alone, usually have substantial savings or equity, have a fixed income, and are generally more trusting than other segments of our population. INSURANCE ADVOCATE July 1, 1999 saw the start of the long-awaited Office of Consumers' Insurance Advocate. This office will continue to assist the public with insurance claims and complaints in FY 2002 and beyond. TEACHER PREPARATION AND CERTIFICATION The Professional Standards Commission (PSC) has several important responsibilities (section 20-12-982) for addressing leadership and teacher quality issues including; certifying public school personnel; improving the level of preparation of educators; attracting and promoting the hiring of qualified personnel; adopting standards of performance and a code of professional ethics for educators; and providing alternative routes to professional teacher certification School systems throughout the state are facing teacher supply problems that have led to teachers having to teach out of field or systems simply not being able to offer certain courses in critical shortage fields. Last year funds were provided for the PSC to develop courses in physics and chemistry that could be fed via satellite to schools throughout the state that did not have enough certified teachers to teach the course. For FY 2002, the Governor is recommending $500,000 to develop courses that can be delivered online to the out-of-field teacher so that the teacher can be certified. A second initiative to address the teacher supply problem is to develop alternative routes to certification for those with content knowledge in an area but with no training on how to teach. The program would include an intensive 140-hour program (actual hours not credit hours) of classroom instruction in pedagogical skills that are integrated with the content field. Then, there would be an internship phase or induction period under the direction of a trained, experienced teacher. The Governor is recommending $500,000 for the development and initial delivery of this program. The Governor's education reform has focused a great deal of attention on improving the quality and career advancement of teachers and educational administrators. Last year the Governor emphasized the need for more of our teachers in Georgia to obtain National Board Certification. This year the Governor, through the PSC, is forming a partnership with the Georgia Partnership for Excellence in Education to help teachers with the $2,300 cost of obtaining national board certification. The state will assist teachers with a $1,000 stipend to undertake the process of national board certification and the Partnership will match that $1,000. The Governor recommended $290,000 in the FY 2001 budget for this program and is annualizing that amount in the FY 2002 budget. In addition, to improve the pass rate (national average is 45%), the Governor is recommending $200,000 for PSC to mentor candidates receiving the stipends. The Governor is also providing $200,000 for PSC to initiate program planning for a Leadership Institute for superintendents, principals, and assistant principals. 254 OFFICE OF THE GOVERNOR -- Strategies and Services Studies indicate that school leadership is a critical element in creating successful schools and improving student achievement. GRANTS FOR DELINQUENCY PREVENTION PROGRAMS The Children and Youth Coordinating Council (CYCC) assists local communities in the development of community-based programs for delinquent and high-risk youth through grant awards and technical assistance. The council will continue expanding its successful efforts to educate local communities, youth and parents on laws and other important issues related to youth. This effort will be accomplished by continued high-tech video productions available free to middle and high schools, libraries, technical schools and the University System over the Georgia Public Television PeachStar Satellite Network. Additionally, copies of the videos are offered free to any group in Georgia actively working with young people. Emphasis will continue to actively market the educational videos and maximize use of the media to get the message to all Georgians. Approximately $4.3 million will be available for prevention programs; intervention programs for delinquent youth for improving Georgia's juvenile court system and programs intended to prevent teen pregnancies. The council will promulgate requests for proposals, train potential applicants, award grants, monitor recipients, provide technical assistance, and provide information on funding sources. With the state expecting to receive $5.8 million, CYCC will continue to administer the juvenile accountability block grant program, which is designed to promote greater accountability in the Juvenile Justice System. The council will involve the Juvenile Courts, law enforcement, prosecutors, other state agencies and representatives from local government in developing a plan for reducing juvenile crime. The Children and Youth Coordinating Council (CYCC) will continue to enforce the Governor's tough stance against underage drinking through the Governor's Alcohol Policy and Enforcement Division. GRANTS FOR VICTIMS AND LAW ENFORCEMENT Federal formula grants are provided to state and local governments to aid in implementing effective drug enforcement and other criminal justice improvement projects. Along with the formula grant program, the Criminal Justice Coordinating Council (CJCC) is responsible for administering and coordinating other programs that are of service to the citizens of Georgia. DRUG CONTROL AND SYSTEM IMPROVEMENT FORMULA GRANT PROGRAM The grants aid state and local governments in implementing effective drug enforcement and other criminal justice improvements, which emphasize violent crime and serious offenders. These funds may be used to support projects, which improve the apprehension, prosecution adjudication, detention, supervision, and rehabilitation of drug offenders. Additionally, eradication projects, treatment projects, projects that target major drug offenders, and projects which improve the overall effectiveness of the criminal justice system, are eligible for funding. A total of $34.5 million was made available in FY 2000 from the U.S. Department of Justice for drug enforcement projects and other improvements to the criminal justice system including construction of prisons. CRIME VICTIM ASSISTANCE PROGRAM AND CRIME VICTIMS COMPENSATION PROGRAM Federal funding of $505,000 was made available in FY 2002 to enhance direct services to victims, and to encourage states to develop and improve comprehensive services to all crime victims. Correspondingly, the Crime Victims Compensation Program provides monies to victims of crime usually for lost wages and for medical/funeral expenses. The Council received 1,400 claims in FY 2000. Crime victims were awarded $3.2 million during FY 2000. Victims can be compensated for out of pocket expenses up to a maximum of $10,000. Public awareness for this program will be increased through regional workshops and statewide victim conferences. The Residential Substance Treatment program, administered by CJCC, provides funds to assist state criminal justice agencies and units of local government in developing and implementing residential substance abuse treatment programs within state and local correctional and detention facilities. The Violent Offender Incarceration/Truth in Sentencing program provides immediate assistance to state and local governments to contend with the escalating inmate population crisis facing most corrections systems. The program is a cornerstone of the Governor's relentless efforts to maintain safe communities, deter violent crime, and help to ensure that such offenders serve a substantial portion of their prison sentences. 255 OFFICE OF THE GOVERNOR Results-Based Budgeting OFFICE OF PLANNING AND BUDGET PLANNING, BUDGET AND EVALUATION Purpose: Guide and monitor the implementation of the Governor's annual budget, ensuring that state agencies use strategic plans to implement policies, and evaluate programs and operations. Goal 1: The state's annual budget will reflect the Governor's priorities and policies, and set the tone for fiscal accountability. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - At least 80 % of agency performance measures in the FY 2002 budget report will be outcome oriented desired results. - At least 55% of the desired results in the FY 2002 budget report will be achieved. (4.) - The annual budget will be balanced in that total expenditures will not exceed total revenues. - The state's general obligation bonds will maintain a AAA rating. - The Office of Planning and Budget will prepare issue papers addressing emerging public concerns to develop and implement policy. Goal 2: State executive agencies will use strategic planning, RBB information and program evaluation information to implement policy and improve agency management. > 80% > 55% Yes AAA 4 79% 69% Yes AAA 20 (1.) > 80% > 55% Yes AAA 6 > 80% > 55% Yes AAA 6 - The percentage of strategic plans that are consistent with and linked to the state strategic plan will increase. > 65% N/A (2.) > 65% > 65% - At least 40 % of state agencies submitting RBB data will report having used results data for policy and decision-making. (5.) > 40% 63% (5.) > 40% > 40% - State agencies will report that at least 70% of the recommendations outlined in FY 2000 evaluation reports were implemented within 12 months of the report's release. > 70% N/A (3.) > 70% > 70% Program Fund Allocation -- Total Funds $12,300,612 $13,516,462 $11,899,989 State Funds $12,150,862 $13,516,462 $11,899,989 Notes: 1. These papers were for the Governor's Educational Reform Study Commission (GERSC). 2. The State Strategic Plan will be released in early 2001. 3. The program evaluation staff was fully committed to the GERSC. 4. This is an estimate based on a sample of all agencies. 5. This is an approximation based on several data sources since agencies were not required to report this data with their RBB submission for FY 2002. The standard for a "yes" was: the data that appears in at least one result was used by the agency. Further, desired results listed in the budget report were included even if they were activities. 256 OFFICE OF THE GOVERNOR -- Results-Based Budgeting GEORGIA COUNCIL FOR THE ARTS STATEWIDE ARTS DEVELOPMENT Purpose: Stimulate public interest and participation in the arts by encouraging artistic expression; assisting communities in creating performing, visual and literary art; and preserving the state's artistic heritage to make Georgia a better place to live. Goal 1: Opportunities will exist for all Georgians to experience the broadest possible range of the arts, and Georgia's cultural heritage will be preserved. - GCA-supported arts education programs and services will serve at least 43% of Georgia's 159 counties. FY 2000 Desired 25% (40) FY 2000 Actual 20% (32) FY 2001 Desired 20% (32) FY 2002 Desired 25% (40) - The number of persons apprenticing to master artists to learn a traditional art will increase. Program Fund Allocation -- Total Funds State Funds 7 8 10 12 $5,466,744 $5,433,176 $5,634,403 $4,945,489 $4,735,331 $4,966,558 257 OFFICE OF THE GOVERNOR -- Results-Based Budgeting ATTACHED AGENCIES GEORGIA COMMISSION ON EQUAL OPPORTUNITY IMPLEMENTATION OF ANTI-DISCRIMINATION LAWS Purpose: Safeguard consumers of residential housing, state employees, and applicants for state employment from discrimination on the basis of race, sex, color, national origin, religion, age and disability. Goal 1: Reduce the perception of discrimination, and provide compensation for victims of discrimination in state employment FY 2000 FY 2000 FY 2001 FY 2002 and residential housing based on race, sex, color, religion, Desired Actual Desired Desired national origin, age or disability. - Reports of perceived discriminatory intent in state employment will diminish over time. (1.) N/A (1.) N/A N/A N/A - Settlement amounts and awards will benefit the victims of discrimination will increase.(2.) (Proxy measure) $176,898 $687,050 Program Fund Allocation -- Total Funds $1,518,173 State Funds $839,282 Notes: 1 - Implementation of the data tracking system has been delayed. 2. - In FY 2000 the commission collected an unusually large amount of housing settlements. $70,000 $1,151,969 $848,998 $70,000 $1,155,044 $852,073 GEORGIA OFFICE OF CONSUMER AFFAIRS CONSUMER PROTECTION/LAW ENFORCEMENT Purpose: To protect consumers and small business from unfair and deceptive actions. Goal 1: Address proactively the problem of consumer civil and criminal fraud by investigation, providing assistance to attorneys and preventive education. FY 2000 Desired FY 2000 Actual - Consumers will benefit from savings as a result of the actions of the Office of Consumer Affairs (activity measure). $5,000,000 $6,246,000 - At the close of presentations, the percentage of participants in consumer education endeavors who state that the presentation 70% 66% benefited them. Goal 2: Provide effective assistance to consumers with lemon law complaints. FY 2001 Desired $3,900,000 70% FY 2002 Desired $3,900,000 70% - Consumers will save at least $9.5 million during FY 2002 through repurchase or replacement as a result of OCA's lemon law involvement. Program Fund Allocation -- Total Funds State Funds $9,300,000 $15,100,000 $9,500,000 $9,500,000 $1,921,197 $1,988,591 $2,078,548 $1,720,407 $1,889,591 $1,979,548 258 OFFICE OF THE GOVERNOR -- Results-Based Budgeting PUBLIC UTILITY/CONSUMER AND SMALL BUSINESS REPRESENTATION (1.) Purpose: To represent residential and small business users of gas, electric and telecommunications before the Public Service Commission and the courts, and in the emerging competitive market. Goal 1: Represent the interests of the class comprised of rate paying utility residential customers and small business. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Maintain the rate balance between rural and urban residential telephone utility ratepayers within a reasonable tolerance and avoid N/A (1.) N/A N/A N/A rate shock. - The amount paid in excess of cost by small business customers as compared to the amount paid in excess of cost by large industrial N/A (1.) N/A N/A N/A customers will be reduced. Goal 2: Enforce relevant provisions of the Fair Business Practices Act in emerging competitive natural gas marketplace. - The amount of money saved by consumers. N/A (1.) N/A N/A Program Fund Allocation -- Total Funds $1,921,197 $1,988,591 State Funds $1,720,408 $1,889,591 Notes: 1. - The desired results and data for this program are going to be reworked for the FY 2003 Budget Report. N/A $2,078,548 $1,979,548 OFFICE OF GEORGIA HUMAN RELATIONS (1.) STATE ASSISTANCE IN HUMAN RELATIONS CRISIS SITUATIONS Purpose: Provide state agencies and communities with prompt, comprehensive assistance to resolve human relations problems and issues. Goal 1: Increase the capacity of state agencies and local communities to resolve their human relations problems and FY 2000 FY 2000 FY 2001 FY 2002 issues, and deter the escalation of such crisis once they have Desired Actual Desired Desired begun. (1.) (2.) Program Fund Allocation -- Total Funds $432,006 $455,358 $613,333 State Funds $307,006 $455,358 $613,333 Notes 1 - The Governor's Commission on Human Relations replaced the Human Relations Commission. 2 - The first RBB for the new commission will be presented in the FY 2003 Budget Report. 259 OFFICE OF THE GOVERNOR -- Results-Based Budgeting CRIMINAL JUSTICE COORDINATING COUNCIL CRIMINAL JUSTICE SYSTEM COORDINATION Purpose: To provide leadership in the coordination of major components of the state's criminal justice system. Goal 1:Assist statewide criminal justice program initiatives by FY 2000 FY 2000 FY 2001 providing financial assistance. Desired Actual Desired FY 2002 Desired - At least 98% of approved project sub-grantees will report that > 98% >98% N/A N/A crime prevention efforts were positively enhanced as a result of 318 of 324 (1.) CJCC's actions. (2.) Program Fund Allocation -- Total Funds $33,716,012 State Funds $364,675 Notes: 1 - This data was collected in FY 1998. 2 - The council has a new director and will be revising its RBB for the 2003 Budget Report. $3,617,732 $31,610,674 $369,756 $399,418 CHILDREN AND YOUTH COORDINATING COUNCIL JUVENILE DELINQUENCY PREVENTION ASSISTANCE Purpose: To provide assistance to local communities in preventing juvenile delinquency. Goal 1: Assist local communities in reducing the risk factors FY 2000 FY 2000 FY 2001 associated with juvenile delinquency. Desired Actual Desired - Eighty percent of local programs funded in FY 2002 will reduce the risk factors associated with juvenile delinquency. >80% 100% >80% - Eighty percent of the communities and agencies assisted in FY 2002 will be satisfied with the support given from the council. >80% 80% >80% Goal 2: Inform communities , local law enforcement agencies, youth and parents on new laws and other issues relating to Georgia's youth. (All measures are Proxies) - Percentage of Georgia's high school students that view the video about the "Teenage and Adult Driver Responsibility Act." > 50% 30% (1.) > 30% - Percentage of Georgia's middle and high school students who view the video about the "Juvenile Justice Reform Act." > 50% 39% (1.) > 30% FY 2002 Desired >80% >80% > 30% > 30% - Percentage of Georgia's high school students who view the video about the "Responsibilities of Being A Teenage Parent." > 50% 39% (1.) > 30% > 30% Program Fund Allocation -- Total Funds $10,730,923 $2,528,990 $2,520,236 State Funds $573,524 $606,990 $610,236 Notes: 1. Projections based on data reported in Fall 2000. Surveys sent to 70% of high and middle schools - 37% return rate. 260 OFFICE OF THE GOVERNOR -- Results-Based Budgeting GEORGIA EMERGENCY MANAGEMENT AGENCY DISASTER PREPAREDNESS, RESPONSE AND RECOVERY Purpose: Reduce the effects of disasters and emergencies by coordinating aggressive response and recovery programs for local and state governments to save lives and protect property. Goal 1: State and local emergency personnel will be prepared FY 2000 FY 2000 FY 2001 FY 2002 for disasters and emergencies. Desired Actual Desired Desired - At least 84% (136) of the 161 state agencies and local emergency management agencies will have approved plans for protecting people and property from harm in disaster and emergency situations. (Proxy measure) Program Fund Allocation -- Total Funds State Funds > 83% 84% 136 of 161 > 84% > 84% $112,522,067 $6,450,237 $6,429,940 $2,684,477 $2,212,870 $2,297,573 PROFESSIONAL STANDARDS COMMISSION EDUCATOR PREPARATION Purpose: To ensure that Georgia's educators are prepared through a variety of programs; enter the profession skilled, knowledgeable, and able to address the diverse needs of students in Georgia; and remain current and effective throughout their careers. Goal 1: Second career teaching candidates in shortage fields without a degree in education will be certified through a FY 2000 FY 2000 FY 2001 FY 2002 program provided by the school systems, RESAs and the Desired Actual Desired Desired Professional Standards Commission. - Percentage of program participants who agree that, following their internship, they were ready for the classroom. 85% N/A (1.) 85% 85% - Percentage of employers of program participants who agree that, following an internship, the second career teachers were ready for 80% N/A (1.) 80% 80% the classroom. Goal 2: Georgia educators entering the profession will be skilled, knowledgeable, and able to address the diverse needs of Georgia's students. - Percentage of educators recommended for certification by Georgia educator certification programs will obtain a passing grade on 95% subject matter certification exams. 100% (3,687) 95% 95% - Percentage of Georgia's educators recommended for certification that pass the basic skills certification exams. 95% 100% (3,687) 95% 95% - Percentage of first year teachers prepared in Georgia who agree that they were adequately prepared to address daily classroom 96% N/A (1.) 97% 97% management problems. - Percentage of first year teachers prepared in Georgia who agree that they were adequately prepared to integrate technology into 80% N/A (1.) 83% 83% their instruction. 261 OFFICE OF THE GOVERNOR -- Results-Based Budgeting EDUCATOR PREPARATION, Continued Goal 3: Out-of-field teaching will decrease in Georgia's schools. - Percentage of Georgia's high school teachers that have a minor degree (20 quarter hours) in the subject that they teach, even if taught only part of the day. - Percentage of Georgia's middle school teachers that have a minimum of a minor degree (20 quarter hours) in the subject they teach, even if only taught part of the day. Goal 4: Attrition of beginning teachers will decrease. - Percentage of paraprofessionals holding at least a college degree. Program Fund Allocation -- Total Funds State Funds Notes: 1. Data will be available April 30, 2001. FY 2000 Desired 90% 90% 10% FY 2000 Actual 94% (15,732 of 16,737) N/A FY 2001 Desired 90% 94% FY 2002 Desired 90% 94% N/A $1,800,630 $1,800,630 10% $4,142,801 $4,142,801 10% $2,829,312 $2,792,004 EDUCATOR CERTIFICATION Purpose: To ensure that certified educators meet standards of competency in basic skills, subject matter, pedagogy, and ethics to ensure quality education for Georgia's students. Goal 1: Individuals entering Georgia public education will meet FY 2000 FY 2000 FY 2001 FY 2002 standards of professional competency. Desired Actual Desired Desired - Percentage of applicants who receive certification that meet established standards. 100% 100% (18,440) 100% 100% Program Fund Allocation -- Total Funds $1,811,182 $1,857,733 $2,829,317 State Funds $1,811,182 $1,857,733 $2,792,005 EDUCATOR DISCIPLINE Purpose: To ensure certified educators meet standards of ethical conduct. Goal 1: Georgia's school systems will be free of unethical FY 2000 educators. Desired - Percentage of discipline actions that are reported appropriately to local, state and national authorities. 100% - Reporting of unethical behavior among educators will increase by Increase by 5% in FY 2002. 5% - Reduce the number of teachers whose certificates are revoked due to unethical behaviors from 35 in FY 2001 to 32 in FY 2002. N/A Program Fund Allocation -- Total Funds State Funds FY 2000 Actual 100% (1,508) 23% increase over FY 1999 35 of 107,008 $1,057,024 $1,057,024 FY 2001 Desired 100% Increase by 5% 35 $1,084,144 $1,084,144 FY 2002 Desired 100% Increase by 5% 32 $2,829,314 $2,792,004 Other Activities Total Funds State Funds $17,967,703 $11,135,394 $13,118,305 $17,946,828 $11,085,394 $13,118,305 TOTAL - All Programs Total Funds State Funds $203,165,470 $55,351,178 $85,626,963 $47,921,794 $44,695,019 $47,092,594 262 DEPARTMENT OF HUMAN RESOURCES Total Budgeted Positions -- 12,619 Board of Human Resources Assistant Commissioner for Policy and Govern- ment 23 Commissioner's Office 19 Attached for Administrative Purposes Only Brain and Spinal Injury Trust Fund Authority Children's Trust Fund Commission Statewide Child Abuse Prevention Panel Developmental Disabilities Council 13 Georgia Child Care Council Division of Aging Services 60 Division of Family and Children Services 521 Division of Mental Health, Mental Retardation and Substance Abuse 7,976 Division of Public Health 1,062 Division of Rehabilitation Services 1,895 Office of Adoption 36 Office of Audits 37 Office of Fraud and Abuse 112 Office of Regulatory Services 273 Office of Human Resource Management 64 Office of Human Resource and Organizational Development 24 Office of Planning and Budget Services 71 Office of Financial Services 119 Office of Technology and Support 299 Office of Facilities Management 15 263 DEPARTMENT OF HUMAN RESOURCES - Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Children's Trust Fund Year 2000 Project Cash Benefits Case Services Special Purpose Contracts Service Benefits for Children Purchase of Service Contracts Operating Expenses Major Maint. & Construction Community Services Grant In Aid to Counties Institutional Repairs & Maint. Utilities Postage Payments to DCH for Medicaid Benefits Grants to County DFCS Operations Medical Benefits Total Funds FY 1999 Expenditures 517,586,549 168,738,939 5,823,600 445,987 1,940,027 13,256,042 100,699,649 63,235,993 19,414,000 4,999,461 34,549,917 205,931,606 38,683,203 7,855,802 288,653,853 154,614,956 58,366,884 2,886,995 339,251,276 163,543,967 FY 2000 Expenditures FY 2001 Current Budget 520,808,651 157,948,240 6,090,620 743,736 1,530,412 12,857,540 95,800,140 69,288,435 22,104,066 7,088,652 532,025,967 153,307,660 5,590,680 250,582 2,505,314 15,135,595 73,311,668 54,872,828 20,663,013 4,633,038 166,078,301 40,491,491 735,245 332,402,608 188,451,165 83,083,275 1,302,968 363,087,114 160,155,072 124,425,510 41,304,191 8,546,678 372,385,190 145,995,407 2,459,612 374,320,200 153,737,063 FY 2002 Agency Requests Adjusted Base Enhancements Totals 442,172,652 137,909,407 3,813,235 200,000 889,037 9,764,684 61,077,315 54,570,287 18,171,091 5,862,652 2,663,641 1,027,788 50,000 16,000 2,514,323 11,699,753 1,053,068 444,836,293 138,937,195 3,863,235 200,000 905,037 9,764,684 63,591,638 66,270,040 19,224,159 5,862,652 124,425,510 124,425,510 7,661,433 367,816,236 133,681,524 18,183,543 1,298,455 7,661,433 385,999,779 134,979,979 2,154,612 378,947,798 155,809,775 26,443,000 7,557,249 2,557,906 28,597,612 386,505,047 158,367,681 9,950,862 3,996,008 10,505,531 5,466,468 10,392,650 5,632,324 9,483,000 4,884,446 1,700 9,483,000 4,886,146 19,223,842 26,357,642 29,607,957 29,607,957 29,607,957 355,167,617 5,346,319 $2,584,163,354 373,668,956 4,819,793 $2,650,866,121 377,308,829 4,222,222 $2,512,634,178 381,319,879 4,222,222 $2,334,444,752 3,284,691 399,000 $78,750,117 384,604,570 4,621,222 $2,413,194,869 Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Governor's Emergency Funds Total Federal & Other Funds 1,048,084,091 316,718,928 5,720,100 38,000 $1,370,561,119 114,166,881 28,348,410 83,320 23,500 $142,622,111 955,421,753 234,307,806 827,188,629 205,843,240 $1,189,729,559 $1,033,031,869 8,737,688 770,214 835,926,317 206,613,454 $9,507,902 $1,042,539,771 State General Funds Tobacco Funds TOTAL STATE FUNDS 1,213,602,235 $1,213,602,235 26,371,481 $2,508,244,010 1,287,206,782 35,697,837 $1,322,904,619 1,269,056,264 32,356,619 $1,301,412,883 64,523,369 4,718,847 $69,242,215 1,333,579,633 37,075,466 $1,370,655,098 Positions Motor Vehicles 13,297 691 12,793 66 12,619 688 10,715 622 38 10,753 622 264 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Children's Trust Fund Year 2000 Project Cash Benefits Case Services Special Purpose Contracts Service Benefits for Children Purchase of Service Contracts Operating Expenses Major Maint. & Construction Community Services Grant In Aid to Counties Institutional Repairs & Maint. Utilities Postage Payments to DCH for Medicaid Benefits Grants to County DFCS Operations Medical Benefits Total Funds FY 2001 Annualizers and Current Budget Adjustments 532,025,967 153,307,660 5,590,680 250,582 2,505,314 15,135,595 73,311,668 54,872,828 20,663,013 4,633,038 (93,300,120) (14,736,465) (1,784,267) (50,582) (1,628,239) (4,368,242) (12,236,839) (2,782,074) (3,143,252) 2,501,784 124,425,510 41,304,191 8,546,678 372,385,190 145,995,407 (41,304,191) (885,245) (2,499,906) (11,979,651) 2,459,612 374,320,200 153,737,063 (305,000) 11,327,610 2,072,712 10,392,650 5,632,324 29,607,957 (909,650) (818,806) 377,308,829 4,011,050 4,222,222 $2,512,634,178 ($172,819,373) Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Governor's Emergency Funds Total Federal & Other Funds 955,421,753 234,307,806 (133,574,004) (21,805,105) $1,189,729,559 ($155,379,109) FY 2002 Governor's Recommendations Workload Adjusted Base 438,725,847 138,571,195 3,806,413 200,000 877,075 10,767,353 61,074,829 52,090,754 17,519,761 7,134,822 Enhancements 36,293,866 5,619,685 765,600 16,000 8,771,452 8,230,073 1,112,875 151,238 Totals 475,019,713 144,190,880 4,572,013 200,000 893,075 10,767,353 69,846,281 60,320,827 18,632,636 7,286,060 124,425,510 124,425,510 7,661,433 369,885,284 134,015,756 1,500,000 28,707,806 11,322,455 9,161,433 398,593,090 145,338,211 2,154,612 385,647,810 155,809,775 264,605,450 3,905,244 2,154,612 650,253,260 159,715,019 9,483,000 4,813,518 29,607,957 1,850 15,235,443 9,483,000 4,815,368 44,843,400 381,319,879 (25,162,481) 356,157,398 4,222,222 $2,339,814,805 5,586,500 9,808,722 $366,663,056 $2,706,477,861 821,847,749 212,502,701 7,336,166 249,154,561 829,183,915 461,657,262 $1,034,350,450 $256,490,727 $1,290,841,177 State General Funds Tobacco Funds TOTAL STATE FUNDS Positions Motor Vehicles 1,287,206,782 35,697,837 $1,322,904,619 12,619 688 (17,440,264) 0 ($17,440,264) (1,911) (66) 1,269,766,518 35,697,837 $1,305,464,355 10,708 622 96,122,844 14,049,485 $110,172,329 1,365,889,362 49,747,322 $1,415,636,684 814 11,522 622 265 DEPARTMENT OF HUMAN RESOURCES FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET - STATE GENERAL FUNDS FY 2001 STATE APPROPRIATIONS Adjustments to State Funds Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. 3. Annualize the FY 2001 transfer of 129 hospital clients to the community. 4. Annualize the operation of the Sexual Offender Registration Review Board. Other Adjustments: 5. Transfer the Division of Rehabilitation Services to the Department of Labor. 6. Transfer operating costs including 16 positions associated with the administration of the Division of Rehabilitation Services to the Department of Labor. 7. Adjust GBA rental rates to a standard of $8.75 per rentable square footage (total funds $1,504,067). 8. Annualize the transfer of funds to the Department of Community Health to provide primary care services to the homeless population. 9. Annualize the Governor's Executive Order transferring funding and 9 positions from the Department of Community Health to DHR for primary care nurses. 10. Annualize the receipt of funding from the Department of Community Health to purchase medical services for persons either HIV-positive or diagnosed with AIDS. 11. Adjust for one-time funding for equipment purchases in General Administration and Support. 12. Reduce funds to reflect the January 2001 closure of the Bainbridge mental retardation unit. 13. Eliminate one-time start-up funds for housing for young adults with disabilities in Moultrie. 14. Eliminate one-time funding for Project Plus. ADJUSTED BASE - STATE GENERAL FUNDS ENHANCEMENT FUNDS - STATE GENERAL FUNDS ENHANCEMENTS Division of General Administration and Support 1. Transfer the Multi-Agency Team for Children (MATCH) Program from the Division of General Administration and Support to DFCS which is the organizational unit responsible for administering the program (total funds $49,063,157). 2. Transfer in the Child Support Enforcement Program from the Division of Child and Family Services in order to comply with the federal requirement that a state child support program be setup as a single and separate organizational unit (total funds $70,890,663). 3. Provide funds for DHR computer systems ($7,790,409 total funds). Funding includes $594,279 to cover operating deficits in current systems; $3,000,000 for agency-wide technical support; $878,400 for operating costs associated with the Public Health frame relay system; $724,970 for the expansion and maintenance of the MHMRSA Sunrise 2000 system; $795,450 to develop a web-based licensure information system for the Office of Regulatory Services; and. $13,180 for the Metabolic Newborn Screening Program. Governor's Recommendations 1,287,206,782 9,505,538 (420,006) 2,098,744 69,465 (26,667,325) (1,147,675) 1,057,460 (100,000) 108,944 375,000 (11,211) (2,059,198) (100,000) (150,000) $1,269,766,518 (35,585,726) 14,660,736 6,006,279 266 DEPARTMENT OF HUMAN RESOURCES -- FY 2002 Budget Summary Governor's Recommendations 4. Fund the statewide implementation of Family Connection. 5. Increase Medicaid and Title IV-E reimbursement for related administrative costs incurred by DHR (total funds $0). 6. Provide computers and equipment to support new Child Protective Services staff. 7. Expand education on legal issues to elderly Georgians ($185,307), continue the services offered by the Georgia Senior Legal Hotline ($150,000), and provide an additional 432 educational sessions to elderly Georgians throughout the state ($99,148). 8. Add 6 positions to the Office of Financial Services to complete extra work due to the People Soft System and administrative requirements ($382,690) and hire one consultant to bid the Electronic Benefits Transfer contract ($50,000). 9. Contract with Georgia Health Decisions to implement a statewide end-of-life decisions program. 10. Increase the rate paid for Special Assistants to the Attorney General who provide legal assistance to DFCS to $60 per hour (total funds $416,388). 11. Regulate and license the state's 166 kidney dialysis centers by funding 4 regulatory positions. 12. Provide administrative resources to support revenue maximization efforts (total funds $400,000). 13. Comply with federal requirements by funding seven regulatory positions to investigate nursing home complaints (total funds $400,050). 14. Update the SUCCESS system to add a new class of assistance for TANF clients who have reached the 48-month Georgia Welfare Reform limit (total funds $258,413). 15. Fund operating costs for a new web-based system for the Office of Fraud and Abuse (total funds $25,699). 1,425,000 (1,416,368) 853,516 434,455 432,690 250,000 249,000 236,208 180,000 112,014 Yes Yes BLUE RIBBON TASK FORCE / WAITING LISTS: 16. Provide home and community-based services to an additional 2,000 elderly clients who are not Medicaid eligible in the Aging Services Program. 17. Provide home and community-based services to an additional 2,000 elderly clients who are Medicaid eligible in the Community Care Services Program (total funds $14,436,351). 18. Fund a 4% rate increase for providers in the Community Care Services Program (total funds $3,187,092). 19. Utilize available federal funding from the Older Americans Act to develop, fund, and implement a single-point-of-entry system to promote access to community-based services. 4,000,000 6,502,923 1,294,597 Yes Division of Public Health 1. Increase grant-in-aid funding for 4 additional epidemiologists in the Gwinnett, Hall, Whitfield, and Glynn regions. 2. Provide funding to increase payments to laboratories for pap smear readings from $12 to $15 per slide. 3. Enhance the metabolic newborn screening program by expanding testing to 6 days per week, improving the automated voice response system for test results, and upgrading the laboratory equipment necessary to improve testing efficiency. 4. Increase federal Medicaid reimbursement for the administration of services provided through Public Health (total funds $0). 5. Increase federal Medicaid reimbursement for services provided through local Public Health clinics. 400,000 399,000 958,864 (2,300,000) (3,246,756) 267 DEPARTMENT OF HUMAN RESOURCES -- FY 2002 Budget Summary Governor's Recommendations UNINSURED: 6. Provide additional funding for the AIDS Drug Assistance Program to increase program capacity by 455 client slots. 7. Increase funding for Babies Born Healthy to provide prenatal care, perinatal case management, and pregnancy-related services for women who are poor, but ineligible for Medicaid. 4,300,000 2,537,000 Division of Family and Children Services 1. Transfer in the Multi-Agency Team for Children (MATCH) Program from the Division of General Administration and Support to DFCS which is the organizational unit responsible for administering the program (total funds $49,063,157). 2. Increase Medicaid reimbursement for children receiving services in out-of-home settings (total funds $0). 3. Transfer out the Child Support Enforcement Program to the Division of General Administration and Support in order to comply with the federal requirement that a state child support program be setup as a single and separate organizational unit (total funds $70,890,663). 4. Increase Title IV-E reimbursement for children receiving services in out-of-home settings (total funds $0). 5. Increase Medicaid reimbursement for targeted case management services for adults and children (total funds $0). 6. Provide funds for the Georgia Early Learning Initiative. 7. Provide funds to relocate the Chatham County DFCS Office in Savannah. 8. Provide funds for Books for Babies. 9. Fund operational costs for the new Fulton County DFCS office. 35,585,726 (28,054,464) (14,660,736) (7,731,750) (999,012) 4,500,000 541,000 300,000 264,089 10. BLUE RIBBON TASK FORCE / WAITING LISTS: Provide funds for Adult Protective Services (APS) client emergencies ($200,000) and add 1 position to coordinate services and resources for APS clients ($61,013). 261,013 UNINSURED: 11. Provide language access services for limited English proficient and hearing impaired clients accessing medical assistance (total funds $300,000). 150,000 CHILD PROTECTIVE SERVICES: 12. Fund an additional 134 MATCH slots ($5,000,000), increase MATCH provider rates by 4% ($1,736,847), add 135 institutionally supervised family foster care placements ($225,917), purchase 50 emergency beds for children entering foster care ($223,129), and purchase emergency in-home respite services for 350 foster parents ($312,379) (total funds $10,585,233). 13. Increase the family foster care and adoption assistance rates to an age based graduated rate of $12.75 for infants through age 5, $13.50 for ages 6 through 12; and $14.25 for ages 13 through 18 ($5,241,723) and also provide an additional one-time reimbursement of $200 for graduation expenses ($56,154) (total funds $7,109,041). 14. Fund an 5% caseload increase in family foster care and a 10% caseload increase in adoption assistance (total funds $5,390,419). 15. Reduce Child Protective Services caseloads by funding an additional 100 caseworker positions (total funds $4,186,637). 16. Increase the rate paid for Special Assistants to the Attorney General who provide legal assistance to DHR to $60 per hour (total funds $1,672,240). 268 7,498,272 5,297,877 4,025,855 3,567,015 751,000 DEPARTMENT OF HUMAN RESOURCES -- FY 2002 Budget Summary 17. Expand and improve training for child protective services staff by funding 4 training positions, curriculum development, and staff training/certification sessions (total funds $1,574,798). 18. Add 12 specially trained staff to investigate child fatalities and cases of alleged abuse in foster homes (total funds $749,748). 19. Increase institutional foster care rates by 4% (total funds $810,537). 20. Evaluate strategies which aim to prevent child abuse by offering in-home visitor services to at-risk families. 21. Provide respite care for 1,600 foster families in order to prevent a disruption in the foster placement (total funds $403,356). 22. Fund 3 additional positions and operating costs for the Office of Child Fatality Review of the Statewide Child Abuse Prevention Panel. 23. Provide start-up funds for an additional 10 child advocacy centers. 24. Expand the Court Appointed Special Advocate Program. Governor's Recommendations 845,098 638,786 566,957 250,000 250,000 151,238 100,000 100,000 Division of Mental Health, Mental Retardation and Substance Abuse 1. Expand outpatient substance abuse treatment to an additional 108 adolescent clients. 2. Pilot a residential treatment program targeted to adolescents with mental retardation found incompetent to stand trial or deemed inappropriate for the Juvenile Justice System. 3. Fund 2 programs for children of women in residential substance abuse treatment that teach the children academic and life skills. 4. Establish 3 different jail diversion programs for people with mental illness using 3 nationally tested program models. Targeted to non-violent offenders who need treatment. 5. Fund a drug court substance abuse treatment program based on a successful model in Glynn-Camden counties. 6. Provide funds for medical equipment for MH/MR/SA facilities serving clients with developmental disabilities and severe mental illness. 7. Improve safety and security at the MH/MR/SA maximum security forensic facility (Binion Building at Central State Hospital) by providing funds for updated equipment/furniture. 8. Provide specialized training for clinical staff in treatment of consumers with co-occurring mental illness and substance abuse. 9. Establish a forensic training and certification program to ensure staff meet consistent standards of practice. 10. Transfer the state match for MR Waiver services from the Department of Community Health (DCH) to the Department of Human Resources (DHR) to support DHR administration of Medicaid Waiver services. 11. Transfer the state match for community mental health services from DCH to DHR to support DHR administration of Medicaid services. 12. Increase federal Medicaid reimbursement for MH/MR/SA services to adults. 13. Increase federal Medicaid reimbursement for nursing services provided at state facilities. 14. Increase Medicaid reimbursement for children receiving mental health services in out-of-home settings. 15. Increase federal Medicaid and Title IV-E reimbursement for related administrative costs incurred by DHR. 16. Provide administrative resources to support revenue maximization efforts. CHILD PROTECTIVE SERVICES: 17. Pilot a substance abuse treatment program targeting adult males who have a history of domestic abuse and are part of an active Child Protective Services case. 1,038,500 796,355 100,000 636,916 300,000 883,000 1,127,589 585,000 100,000 51,246,606 37,138,648 (23,579,945) (9,501,500) (5,080,633) (3,280,073) 4,418,636 144,000 269 DEPARTMENT OF HUMAN RESOURCES -- FY 2002 Budget Summary Governor's Recommendations BLUE RIBBON TASK FORCE / WAITING LISTS: 18. Expand community-based services to an additional 1,232 clients on the community mental retardation planning list. Includes funds for 366 Residential Care slots, 324 slots for Family Support Services, and 542 slots for Supported Employment/Day Habilitation. 19. Increase reimbursement to MR Waivers provider by 4%. 20. Fund 85 slots for Family Support Services to Georgia families that have a family member with a developmental disability. 21. Increase reimbursement to MH/MR/SA Grant-in-Aid providers by 4%. 22. Expand community services for youth with severe emotional disturbance (SED) to establish crisis services that are alternatives to state hospitalization. 23. Establish a pilot program for homeless individuals with mental illness or co-occurring disorders in Fulton County and in Chatham County. 11,248,661 2,316,421 1,224,595 3,862,609 2,816,064 700,000 TOTAL STATE GENERAL FUND ENHANCEMENTS $96,122,844 TOBACCO SETTLEMENT FUNDS FY 2001 STATE APPROPRIATIONS $35,697,837 ENHANCEMENT FUNDS - TOBACCO SETTLEMENT FUNDS ENHANCEMENTS Division of Public Health 1. Increase grant-in-aid funding to cover the additional costs for screening, evaluation, and treatment in the Newborn Universal Hearing Screening Program. 840,000 GEORGIA CANCER COALITION: 2. Create a public education program to promote prevention and early detection of cancer (total funds $3,700,000). 3. Continue the state's efforts to promote smoking prevention and cessation. 4. Increase funding for cancer screening and prevention services for uninsured persons with incomes under 200% of the federal poverty level (total funds $2,316,375). 5. Purchase cancer treatment for uninsured cancer patients with incomes below 200% of the federal poverty level. 2,237,500 4,946,500 872,625 5,000,000 Division of General Administration and Support 1. Purchase computers and equipment to support the Georgia Cancer Coalition and smoking prevention and cessation. 2. Add funds to compensate for a reduction in federal financial participation for the Community Care Services Program (total funds $0). 53,500 27,028 Division of Mental Health, Mental Retardation and Substance Abuse 1. Add funds to compensate for a reduction in federal financial participation for the Mental Retardation Waiver Programs (total funds $0). 72,332 TOTAL TOBACCO SETTLEMENT FUND ENHANCEMENTS TOTAL STATE GENERAL AND TOBACCO FUNDS $14,049,485 $1,415,636,684 270 DEPARTMENT OF HUMAN RESOURCES Strategies And Services REVENUE MAXIMIZATION To provide the increased services and program reforms needed in the state's human services agencies, Governor Barnes has sponsored a major effort to ensure that all federal reimbursement programs, to which Georgia citizens are entitled, are utilized to the fullest extent possible. The Department of Human Resources is one of the main agencies where revenue maximization initiatives are being implemented. The following provides a synopsis of federal maximization activities occurring in the divisions within the department. DIVISION OF PUBLIC HEALTH Public Health programs, funded through state and county programs have experienced a substantial reduction in federal Medicaid revenues over the past three years. Between FY 1998 and 1999 revenues dropped by 18% and have continued to decline since that time. The Department of Community Health (DCH), the state's Medicaid agency, has attempted to address these issues by increasing rates in certain services such as family planning. To prevent further erosion in local Public Health operations, DCH and DHR are currently working to determine additional administrative, service and public health education programs which can be supported with increased Medicaid reimbursement. DIVISION OF FAMILY A ND CHILDREN SERVICES Child protective and child welfare services in Georgia have come under increased public scrutiny during the past year. However, through extensive work at DHR and by the Task Force on Child Protective Services, recommendations have been made for major reforms in the service and oversight of Georgia's child protective and welfare services. The FY 2002 budget for the Division of Family and Children Services funds many of these recommendations through DHR's revenue maximization efforts. DHR has begun this new initiative to redesign programs in order to generate substantial new amounts of federal monies through both the Title IV-E (child welfare) part of the federal Social Security Act, and through major expansions in the scope of services funded through Georgia's Medicaid program. In addition, intensive work is occurring to ensure DHR clients are made eligible for IV-E or Medicaid funding when appropriate. Medicaid funded services in DFCS historically have been limited to a small subset of community residential treatment programs (the MATCH Program, for example) and targeted case management programs. In fact, the number of child welfare clients eligible for residential and child protective service funded through federal entitlement programs has been one of the lowest in the country. However, DHR estimates that its intensive IV-E eligibility project will increase the number of children eligible for IV-E funding between 20% and 25%. In addition, the Georgia Medicaid program is being exp anded to cover a much broader array of out-of-home care treatment programs as well as to broaden the community-based Medicaid service reimbursement through DFCS targeted case management and in-home family support services. DIVISION OF MENTAL HEALTH, MENTAL RETARDATION, AND SUBSTANCE ABUSE Advocates for the mentally disabled have long asked for changes that will allow substantially more services to be provided and will increase the flexibility necessary to meet the needs of consumers in the community. The department and DCH are exploring ways to expand the fee-for-service Medicaid program to allow federal Medicaid reimbursement for mental retardation (MR) services currently provided to consumers who do not qualify for the mental retardation waiver services. The limited array of Medicaid -eligible, community mental health (MH) services is being addressed in FY 2002 by substantially expanding programs and services available for reimbursement through Georgia's Medicaid program. Expansions are also underway to ensure that Medicaid-eligible mental health services provided to children in out-of-home settings receive reimbursement under existing Georgia Medicaid program provisions. In addition, the design phase of expanding coverage of other children's and adult mental health services through the Rehabilitation and Personal Care options in Medicaid has begun, as well as expansion of the state's Medicaid Targeted Case Management program. To allow and ensure programmatic growth and control in accordance with program policy of the state, the Governor is recommending that state matching funds for MH and MR services administered by the department be transferred from DCH to DHR. This includes state funding for the mental retardation waiver programs as well as the matching funds for mental health services provided through Community Service Boards. This will allow greater administrative control, accountability and assurances that the program direction and quality is in accordance with DHR's policy. In addition to the expansion of Medicaid in the community program services of MHMRSA, DCH has redesigned how state operated institutions receive their 271 DEPARTMENT OF HUMAN RESOURCES -- Strategies And Services reimbursement from Medicaid. This has allowed increased federal participation for current cost in many institutions. TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF) Temporary Assistance for Needy Families (TANF), commonly known as welfare, is the monthly cash assistance program for poor families with children under age 18. The amount of cash assistance is based on income and family size. For example, a family of three (mother and two children) may qualify for TANF if their gross income is below $784 a month and they have assets worth less than $1,000. The maximum monthly cash benefit for a family of three is $280. Since the passage of federal welfare reform legislation in 1996, Georgia's welfare rolls have decreased by more than 55 percent, from more than 115,000 cases in January 1997 to 51,500 in October 2000. There is a four-year lifetime limit on cash assistance, and work activities are now a major component of TANF. Adult recipients with a child over age 1 are required to participate in a work activity. These work activities help recipients gain the experience needed to find a job and become self-sufficient. Approximately 1,360 people in the state are expected to reach their four-year lifetime limit as of December 31, 2000, and another 2,633 who continue to receive benefits will reach their limit sometime in calendar year 2001. To prepare those recipients who will lose their benefits in the immediate future, DHR's Division of Rehabilitation Services is conducting assessments to determine their vocational skills and abilities and any physical, mental or emotional problems that might interfere with their working. In addition, the federal government designates geographic regions that have very limited job opportunities and allows TANF recipients in these areas to be exempt from the expiration of their benefits for limited periods of time. Of those whose benefits are scheduled to run out on December 31, approximately 215 did not appear to qualify for an exemption, or hardship waiver, that would allow them to stay in the program and continue to receive benefits. The Departments of Human Resources and Labor are working directly with these 215 recipients to identify and obtain employment if possible. As the more skilled recipients leave the welfare rolls for jobs, DFCS faces the challenge of helping long-term, hard-to-place recipients become self-sufficient. Governor Barnes recognized this challenge and during FY 2001 authorized the release of over $70 million in surplus TANF funds based on the needs assessment and focused on substance abuse treatment, mental health services, transportation, childcare, transitional services, family planning, resettling the homeless, and domestic violence services. In announcing the release of these funds, Governor Barnes noted "With Georgia's first group of welfare recipients reaching their lifetime limit for assistance this December, we needed a focused effort to help them make this transition and reach their maximum potential in the workplace." The departments of Human Resources, Labor, and Technical and Adult Education have restructured state and local efforts so that each agency focuses its efforts on one goal: developing a job-ready workforce. DHR provides case management to those who need it, DTAE is the primary resource for training, and DOL takes the lead in job development and job placement. A key component of the TANF plan includes the GoodWorks project developed by the Department of Labor and the Department of Human Resources. GoodWorks is a comprehensive plan that helps Georgia's welfare families become self-sufficient. It includes employment activities such as job location and placement, subsidized wages and training, as well as programs such as special education, childcare, transportation and substance abuse treatment. MENTAL HEALTH, MENTAL RETARDATION AND SUBSTANCE ABUSE SERVICE SYSTEM REFORM In 1992, Georgia's General Assembly created a State Commission on Mental Health, Mental Retardation and Substance Abuse (MHMRSA) Service Delivery to study gaps and shortcomings in the 150-year old system and to make recommendations for improvements. The commission brought together consumers, families, advocates, providers, public, and community leaders throughout the state. The group focused on the issues of accessibility, accountability, equity, service coordination, consumer empowerment and privatization. The reform legislation, House Bill 100, passed the General Assembly and was signed into law by the Governor in April 1993. The law created the framework for a new system and called for more local control and strong input from consumers and families. The key to the new system is the 13 governing boards that plan and coordinate MHMRSA services on a regional basis. The regional boards act as the front door to the service system and are the single point of accountability. They assess the needs in their regions and allocate all public funds, both community and hospital, based on regional plans to meet those needs. Beginning July 1, 1999, a number of changes took place in community outpatient MHMRSA services. These changes are intended to make the system more accountable, flexible and work better for the consumers and their families. At the same time, the changes must 272 DEPARTMENT OF HUMAN RESOURCES -- Strategies And Services make the system more efficient due to cuts in Medicaid funds for community outpatient MHMRSA clinic services funding. The changes included: A wider array of day services became available. Day treatment programs became more specialized and offer intensive treatment, structure and supervision for those who truly need it. Other day services, focusing more on rehabilitation and peer support, are available for people who are ready for more independence. Services are now monitored by an independent agency to determine if people are getting the quality of services they need from providers. Thus, when someone needs a change, he or she is more easily linked to other appropriate services. More variety of services, easily tailored to individual needs, is available. Standard rates for reimbursing providers have been set. In the past, rates for the same service have varied across the state. An independent agency is ensuring the services are of a high quality and are having the desired outcomes. Outcomes will emphasize rehabilitation and recovery. The agency is reporting any identified problems to the regions and is assisting the regions in resolving them. Children and teens that need mental health services and their families have more choice of providers beyond the public community service boards (CSBs). Adults with mental illness and people with substance abuse problems also have more choice in service providers. In order to manage the reduction of Medicaid funds, ensure continued service and honor the principles of the reform, the Department of Human Resources and the Department of Community Health have redesigned the community service system. The addition of service providers to the system increases competition and encourages providers to use funds. Adding service providers to the system increases competition and encourages providers to use funds wisely. Expanding the variety of available services makes it possible for people to move to less intense and less costly services as they become more independent. PERFORMANCE MEASUREMENT AND EVALUATION SYSTEM (PERMES) AND THE CONSUMER SURVEY The Georgia Performance Measurement and Evaluation System (PERMES) is a comprehensive outcome evaluation and measurement system. Its purpose is to improve the performance and accountability of the state's public mental health, mental retardation and substance abuse system. To do this, PERMES measures outcomes using various methods, including direct observation, which allows the system to mark progress and make adjustments to improve service responsiveness, impact and quality. The first cycle of data collection and evaluation began in FY 2000 and a report, which represents the first annual MHMRSA System Performance Profile, was released during FY 2001. An initial set of 19 indicators was selected based on stakeholder preferences, national research standards and the priorities of the 13 regional boards. The indicators represent both system-wide and disability specific values and outcomes. There is a set of instruments and evaluation approaches to measure each indicator. The most important element of the PERMES system is the statewide Consumer Survey. The survey process is designed to measure consumer perception of valued services, personal goals and certain key indicators of system performance: access, availability and satisfaction. Each service and/or disability category has its own specially tailored survey with each having in excess of 20 questions. A total of 9,484 surveys were completed. A picture of Georgia's consumers emerges through the survey data and the data appears to fairly represent the state's consumer population. Georgia's first Performance Profile or its public MHMRSA system represents a significant step forward for public accountability and performance improvement. The PERMES process and its various evaluation methods are designed to encourage policy-makers, advocates, consumers, families and providers to ask more questions and consistently seek improvement. QUALITY CHILD CARE Much of the research on human brain development has focused on the early years of life and how important these years are to a child's social, emotional and intellectual development. Additional research has established a clear link between the experiences provided by parents and other caregivers to a child's cognitive development, and that children coming from lower socioeconomic backgrounds are at higher risk for not reaching developmental benchmarks as desired. At-risk children tend to do more poorly in school, which can impact their future ability to obtain higher-paying employment, thus continuing the cycle of limited selfsufficiency. Governor Barnes has recognized the imp ortance of early learning and established the goal that "Every child will be ready to learn by Kindergarten". The Governor 273 DEPARTMENT OF HUMAN RESOURCES -- Strategies And Services has noted, "The years zero to three are the most critical years in a child's development. Ninety percent of a child's brain development is done by the time the child is three years old. We will never be able to address improvement in education until we come to grips with that." Our nation has changed in the past thirty years, and although many of these changes have been positive, they have put new stresses on the family unit. What would have been considered the traditional family arrangement 30 years ago is not necessarily the norm today. Twoparent families where the mother stays home and raises the children are becoming the exception. More that half of the mothers in America work outside the home. Another significant trend over the past thirty years is the increase of single-parent families. Women who are often unable to climb out of the grasp of poverty head the majority of these families. In Georgia, one in five children lives in poverty, and one in ten lives below 50% of the federal poverty limit. In addition, a significant number of Georgia's babies are born to mothers who are teenagers, unmarried or lack a high school education. Research has demonstrated that children in highquality preschool environments develop stronger language, mathematics, and social skills than those in low-quality settings. Upon entering school, these children have better relationships with their teachers and more positive self-perceptions. Several critical elements that comprise high-quality preschool care and how they are linked to school readiness have been identified. Some of these elements include low child to caregiver ratios, small group sizes, adequate caregiver training, and caregiver continuity. Because so many Georgia children spend much of their time in the care of others, it is important to help ensure these children have a quality preschool experience. However, childcare regulations in Georgia are limited and less demanding than most states based on accreditation standards. For example, less than 9% of the approximately 2,200 private child care centers in Georgia are accredited by the National Association for the Education of Young Children (NAEYC) and only 11 of approximately 7,600, or less than 1%, of private family child care homes are accredited by the National Association for Family Child Care (NAFCC), nor are childcare centers required to be accredited to receive state subsidies for low-income children. Because of the importance of early childcare and its impact on children's subsequent success in school, the state has a particular interest in ensuring that all children have access to quality childcare. Governor Barnes si recommending that $4.5 million in new state dollars, in combination with $1.5 million in continuation funds, begin a $6 million pilot program that will explore the impact of financial incentives on the availability of higher quality childcare. In partnership with the Georgia Early Learning Initiative (GELI), the state will establish a system of tiered reimbursement for childcare that will link the rate the state will pay for subsidized childcare to the qualifications and accreditation of childcare providers. GELI will assist in this effort by providing funds to assist in childcare provider training and in publicizing the importance of quality childcare. The tiered reimbursement system will be voluntary and is intended to give providers the incentive and resources to upgrade and expand staffing, facilities and curriculum. 274 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Division of General Administration and Support Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Special Purpose Contracts Service Benefits for Children Purchase of Service Contracts Operating Expenses Grant-in-Aid to Counties Major Maint. & Construction Institutional Repair & Maint. Postage Payments to DCH for Community Care Grants to County DFCS-Ops 70,216,772 3,527,803 1,829,753 62,034 215,177 4,731,676 18,087,406 62,852,303 15,014,939 34,549,917 47,416,119 58,708,953 1,813,079 43,737 84,772 812,394 19,223,841 3,248,997 Total Funds $342,439,672 FY 2000 Expenditures 76,495,383 3,305,333 2,074,919 258,473 3,689,869 16,262,097 68,938,580 17,443,377 28,500 52,846,476 69,513,350 16,735,248 10,100 177,762 874,338 26,357,642 1,817,469 $356,828,916 FY 2001 Current Budget 80,367,927 2,989,561 1,840,176 151,457 4,559,125 16,572,693 54,570,287 15,523,017 FY 2002 Agency Requests Adjusted Base Enhancements Totals 78,607,703 2,989,561 1,840,176 954,185 111,159 44,000 79,561,888 3,100,720 1,884,176 151,457 4,559,125 16,572,693 54,570,287 15,523,017 16,000 354,638 11,699,753 1,053,068 167,457 4,559,125 16,927,331 66,270,040 16,576,085 49,063,157 74,577,470 49,063,157 74,577,470 9,453,888 819,455 58,517,045 75,396,925 163,451 823,383 29,607,957 163,451 823,383 29,607,957 6,296,000 1,700 6,459,451 825,083 29,607,957 $330,809,661 $329,049,437 $30,803,846 $359,853,283 Less Federal & Other Funds: Federal Funds Other Funds DOAS-Indirect Funds Governor's Emergency Funds Total Federal & Other Funds 106,593,805 60,021,605 3,982,836 13,000 $170,611,246 114,258,392 57,365,744 55,560 $171,679,695 97,226,777 38,600,072 $135,826,849 97,226,777 38,600,072 $135,826,849 4,695,656 524,213 101,922,433 39,124,285 $5,219,869 $141,046,718 State General Funds Tobacco Funds TOTAL STATE FUNDS 171,828,426 $171,828,426 185,149,220 $185,149,220 186,771,284 8,211,528 $194,982,812 185,011,060 8,211,528 $193,222,588 22,179,816 3,404,161 $25,583,977 207,190,876 11,615,689 $218,806,565 Positions Motor Vehicles 1,167 15 900 1,165 1,165 14 14 14 19 1,184 14 275 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Division of General Administration and Support Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Special Purpose Contracts Service Benefits for Children Purchase of Service Contracts Operating Expenses Grant-in-Aid to Counties Major Maint. & Construction Institutional Repair & Maint. Postage Payments to DCH for Community Care Grants to County DFCS-Ops Total Funds 80,367,927 2,989,561 1,840,176 151,457 4,559,125 16,572,693 54,570,287 15,523,017 49,063,157 74,577,470 163,451 823,383 29,607,957 $330,809,661 (4,923,686) (54,470) (8,636) (11,962) 1,002,669 (2,486) (2,479,533) (652,377) (40,768) (70,928) ($7,242,177) Less Federal & Other Funds: Federal Funds Other Funds DOAS-Indirect Funds Governor's Emergency Funds Total Federal & Other Funds 97,226,777 38,600,072 (5,338,296) (43,135) $135,826,849 ($5,381,431) FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements 75,444,241 2,935,091 1,831,540 37,397,646 2,204,706 584,288 Totals 112,841,887 5,139,797 2,415,828 139,495 5,561,794 16,570,207 52,090,754 14,870,640 334,816 3,169,508 21,253,100 8,230,073 1,802,110 474,311 8,731,302 37,823,307 60,320,827 16,672,750 49,063,157 74,536,702 (49,063,157) 13,343,631 87,880,333 163,451 752,455 29,607,957 1,470,481 15,235,443 163,451 2,222,936 44,843,400 $323,567,484 $55,962,645 $379,530,129 91,888,481 38,556,937 46,555,406 9,631,408 138,443,887 48,188,345 $130,445,418 $56,186,814 $186,632,232 State General Funds Tobacco Funds TOTAL STATE FUNDS Positions Motor Vehicles 186,771,284 8,211,528 $194,982,812 1,165 14 (1,860,746) ($1,860,746) (16) 184,910,538 8,211,528 $193,122,066 1,149 14 (304,697) 80,528 ($224,169) 184,605,841 8,292,056 $192,897,897 975 2,124 14 276 DEPARTMENT OF HUMAN RESOURCES Division of General Administration and Support Functional Budget Summary 1. Commissioner's Office 2. Planning and Budget Services 3. Office of Adoptions 4. Children's Community Based Initiative 5. Troubled Children's Placements* 6. Technology and Support 7. Computer Services 8. Facilities Management 9. Regulatory Services-Program Direction 10. Child Care Licensing 11. Health Care Facilities Regulation 12. Fraud and Abuse 13. Financial Services 14. Auditing Services 15. Human Resource Management 16. Human Resources and Organizational Develop 17. Transportation Services 18. Indirect Cost 19. Policy and Government Services 20. Aging Services 21. Child Support Enforcement** 22. Developmental Disabilities Council FY 2001 Appropriations Total State 1,109,629 1,109,629 4,421,831 4,421,831 12,609,767 6,618,946 10,506,906 10,231,906 49,063,157 35,585,726 33,976,966 33,634,567 69,525,277 28,899,394 5,462,443 4,162,410 714,862 704,862 3,428,310 3,401,741 11,284,372 5,474,974 6,847,859 2,301,122 9,994,788 5,615,155 2,931,715 2,913,715 7,259,938 7,259,938 1,389,990 1,389,990 12,915,452 3,136,841 (16,637,451) 1,327,486 1,327,486 84,443,581 53,394,193 1,595,332 17,837 FY 2002 Recommendations Total State 1,132,378 1,132,378 4,214,102 4,184,102 12,687,755 6,690,891 11,934,482 11,659,482 30,219,755 75,168,936 6,469,818 840,354 3,454,223 12,001,043 6,875,067 10,352,474 2,947,962 6,850,020 1,399,925 12,874,684 (913,833) 1,337,725 106,779,992 71,307,051 1,596,216 29,877,356 35,433,224 4,723,183 770,351 3,427,654 5,903,609 2,326,330 5,942,841 2,947,962 6,850,020 1,399,925 3,129,910 (15,699,212) 1,337,725 65,931,709 14,909,736 18,721 TOTAL APPROPRIATIONS $330,809,661 $194,964,812 $379,530,129 $192,897,897 *The MATCH Program function is transferred to the Division of Family and Children Services from the Division of General Administration and Support as part of the recommended FY 2002 budget. **The Child Support Recovery function is transferred from the Division of Family and Children Services as part of the recommended FY 2002 budget. 277 DEPARTMENT OF HUMAN RESOURCES General Administration and Support Roles and Responsibilities The Division of General Administration and Support provides executive and policy direction, as well as technical and administrative support to all divisions and offices of DHR. The primary purpose of the division is to improve the efficiency and effectiveness of management, administration, and programs. The division also assists in ensuring that the department complies with mandates and legal requirements. COMMISSIONER'S OFFICE The Commissioner and staff provide leadership for one of the largest agencies in state government to ensure that the goals and objectives of the department are met. There are 23,383 state and county DHR employees in over 100 programs in over 1,000 locations in all 159 counties. ADOPTION SERVICES The Office of Adoption Services is responsible for increasing placement in permanent adoptive homes the children in DHR's custody. The office contracts with private adoption agencies for the recruitment of families and adoption support services. AGING SERVICES The Office of Aging Services administers statewide programs that provide community-based support services to the elderly. These services allow the elderly to remain in their homes and communities as long as possible and prevent premature or unnecessary placement in long-term care facilities. Services are classified in 2 broad categories: the Community Care Services Program (CCSP) and Aging Services. CCSP provides client assessment, case management and 6 major categories of services, including home-delivered services to individuals who meet specific income and health-related criteria. Aging Services component has no income-based eligibility criteria but is targeted to the most economically or socially needy individuals. Services include senior centers, homedelivered and congregate meals, and Alzheimer's programs. CHILDREN'S COMMUNITY BASED INITIATIVE The Family Connection's purpose is to help ensure that Georgia's children are healthy, educated, and nurtured by strong and economically sufficient families through the development of partnerships in which state, county, and local organizations work together to improve results for children and families CHILD SUPPORT Child Support Enforcement helps any custodial parent or caretaker with collecting regular child support from a parent who should be contributing but is not. Over 290,000 parents were under court order to pay child support in FY 2000 on behalf of over 650,000 children in Georgia. Child support money collected goes directly to parents and their children. In FY 2000, over $411 million was collected from absent parents for the support of their children. The program operates from 74 offices in 47 Judicial Circuits. Legal assistance is provided by local Assistant District Attorneys or Special Assistant Attorneys General FRAUD AND ABUSE The Office of Fraud and Abuse investigates suspected fraud and abuse within DHR's public assistance programs and seeks adjudication through the judicial or administrative process. This office also receives, reviews, and investigates all reports of criminal misconduct by employees of the department. REGULATORY SERVICES The Office of Regulatory Services inspects, monitors, licenses, certifies, and registers a variety of health, longterm and child care programs to ensure that facilities and programs are operated in compliance with appropriate state laws and regulations. UNIFIED STATEWIDE TRANSPORTATION DHR operates a unified transportation system in 110 counties across the state. The system supports DFCS, DRS, Aging Services, and MHMRSA clients by providing transportation to employment, training, medical appointments, therapeutic treatment, community care, and childcare. In FY 2000, the system provided 1,086,331 trips to over 9,000 DHR clients. ATTACHED AGENCIES The Developmental Disabilities Council administers a federal grant program to initiate innovative programs for individuals with developmental disabilities. The Georgia Child Care Council is responsible for administering a portion of the federal Child Care and Development Block Grant funds awarded to the state. The Council's overall purpose is to make quality child care accessible and affordable for all Georgians. AUTHORITY Titles 3,5,8,9,12-14,16,18,19, 25,26,31,34,36,37,40,43- 45,47-50, Official Code of Ge orgia Annotated. Governor's Executive Orders of September 13 and October 3, 1983; Public Laws 89-73 as amended, 90-174, 92-603 as amended, 97-35 as amended by 98-558 and 99-500, 100223, 100-578,100-690, 101-496; Title XIX of the Social Security Act; HCFA 2176 Waiver; Older American's Act; Urban Mass Transit Act of 1964; Commercial Motor Vehicle Act of 1986; and the Single Audit Act of 1984. 278 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Division of Public Health Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expense Travel Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees, and Contracts Postage Purchase of Service Contracts Special Purpose Contracts Major Maintenance and Construction Grant-in-Aid to Counties Medical Benefits 51,893,133 148,861,009 1,003,943 160,455 177,000 1,334,968 990,562 17,019,493 221,608 38,239,459 343,732 144 163,500,230 5,346,319 Total Funds $429,092,055 FY 2000 Expenditures 51,511,262 138,469,511 1,052,595 136,264 44,014 1,396,668 939,300 12,913,385 244,658 45,504,164 327,292 160,144,972 4,819,793 $417,503,879 FY 2001 Current Budget 52,545,153 77,894,814 942,113 195,367 1,509,862 1,052,180 14,561,098 190,927 21,652,591 574,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 52,969,201 75,534,007 979,252 195,367 571,718 164,044 6,000 53,540,919 75,698,051 985,252 195,367 1,509,862 1,051,395 13,771,098 190,927 21,652,591 574,000 479,000 1,509,862 1,051,395 13,771,098 190,927 22,131,591 574,000 153,737,063 4,222,222 $329,077,390 155,809,775 4,222,222 $328,459,697 2,557,906 399,000 $4,177,668 158,367,681 4,621,222 $332,637,365 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emegency Funds DOAS Indirect Funds Total Federal & Other Funds 210,461,642 58,034,004 324,164 $268,819,810 193,622,462 65,012,593 52,000 $258,687,055 138,307,283 4,554,005 $142,861,288 136,089,476 4,575,133 $140,664,609 136,089,476 4,575,133 $0 $140,664,609 State General Funds Tobacco Funds TOTAL STATE FUNDS 160,272,245 $160,272,245 158,816,824 $158,816,824 164,485,901 21,730,201 $186,216,102 166,064,887 21,730,201 $187,795,088 4,177,668 $4,177,668 170,242,555 21,730,201 $191,972,756 Positions Motor Vehicles 1,167 15 1,084 4 1,062 4 1,053 4 5 1,058 4 279 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Division of Public Health Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expense Travel Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees, and Contracts Postage Purchase of Service Contracts Special Purpose Contracts Major Maintenance and Construction Grant-in-Aid to Counties Medical Benefits 52,545,153 77,894,814 942,113 195,367 1,509,862 1,052,180 14,561,098 190,927 21,652,591 574,000 153,737,063 4,222,222 Total Funds $329,077,390 849,712 (2,353,556) 38,953 262 (790,000) 375,000 2,072,712 $193,083 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds DOAS Indirect Funds Total Federal & Other Funds 138,307,283 4,554,005 $142,861,288 (2,217,807) 21,128 ($2,196,679) State General Funds Tobacco Funds TOTAL STATE FUNDS 164,485,901 21,730,201 $186,216,102 2,389,762 $2,389,762 Positions Motor Vehicles 1,062 4 FY 2002 Governor's Recommendations Workload Adjusted Base 53,394,865 75,541,258 981,066 195,367 Enhancements 695,535 863,704 30,000 1,509,862 1,052,442 13,771,098 190,927 22,027,591 574,000 120,000 5,150,000 4,300,000 1,500,000 Totals 54,090,400 76,404,962 1,011,066 195,367 1,509,862 1,172,442 18,921,098 190,927 26,327,591 2,074,000 155,809,775 4,222,222 $0 $329,270,473 3,905,244 5,586,500 $22,150,983 159,715,019 9,808,722 $351,421,456 136,089,476 4,575,133 5,206,250 136,089,476 9,781,383 $0 $140,664,609 166,875,663 21,730,201 $0 $188,605,864 1,062 4 $5,206,250 $145,870,859 3,048,108 13,896,625 $16,944,733 169,923,771 35,626,826 $205,550,597 15 1,077 4 280 DEPARTMENT OF HUMAN RESOURCES Division of Public Health Functional Budget Summary FY 2001 Appropriations Total State FY 2002 Recommendations Total State 1. District Health Administration 13,216,105 13,089,170 13,462,006 11,335,071 2. Newborn Follow Up Care 1,305,211 1,091,380 1,417,891 1,204,060 3. Oral Health 2,749,155 2,423,980 2,799,222 2,474,047 4. Stroke and Heart Attack Prevention 2,036,524 923,912 2,048,547 935,935 5. Genetics, Sickle Cell/ Vision/ Hearing 6,557,164 5,790,345 7,406,387 6,639,568 6. High Risk Pregnant Women and Infants 4,789,651 4,789,651 7,327,265 7,327,265 7. Sexually Transmitted Diseases 3,189,205 1,031,192 3,202,644 1,032,503 8. Family Planning 13,998,499 5,987,183 11,655,904 6,015,456 9. Women, Infants, and Children - Nutrition 84,557,361 84,646,423 10. Grant in Aid to Counties 73,752,577 72,828,928 71,633,218 70,700,006 11. Children's Medical Services 13,168,451 6,338,939 13,202,961 6,373,449 12. Emergency Health 4,072,839 2,629,491 4,085,363 2,642,015 13. Primary Health Care 428,060 326,832 537,004 435,776 14. Epidemiology 2,164,928 1,673,286 2,569,712 2,077,480 15. Immunization 1,629,400 1,634,300 16. Community Tuberculosis Control 5,782,846 4,274,329 5,916,580 4,400,451 17. Family Health Management 1,925,492 1,076,537 1,886,974 1,037,204 18. Infant and Child Health 901,593 692,742 805,017 594,808 19. Maternal Health - Perinatal 2,841,919 1,199,699 2,861,792 1,211,017 20. Chronic Disease 1,567,494 1,567,494 1,569,021 1,569,021 21. Diabetes 163,524 163,524 164,099 164,099 22. Cancer Control 5,807,500 5,807,500 17,225,028 14,318,778 23. Director's Office 2,642,143 281 2,364,550 2,864,483 2,286,643 DEPARTMENT OF HUMAN RESOURCES -- Functional Budget Summary Division of Public Health FY 2001 Appropriations Total State FY 2002 Recommendations Total State 24. Vital Records 25. Health Services Research 26. Environmental Health 27. Laboratory Services 28. Community Health Management 29. AIDS 30. Drugs and Clinic Supplies 31. Adolescent Health 32. PH Planning Councils 33. Early Intervention 34. Injury Control 35. Smoking Prevention 36. Indirect Cost TOTAL APPROPRIATIONS 2,056,339 643,228 2,033,322 7,331,823 202,226 15,094,508 10,713,458 12,531,753 115,041 12,858,217 686,944 15,562,890 $329,077,390 1,789,476 2,071,481 643,228 648,211 1,501,847 2,041,820 7,181,823 8,247,102 202,226 203,833 8,404,829 19,806,495 2,640,380 10,713,458 2,933,885 12,548,746 97,544 115,710 10,367,903 12,904,578 544,306 688,791 15,562,890 20,509,390 (1,724,899) $186,216,102 $351,421,456 1,803,146 648,211 1,510,345 8,097,102 203,833 13,092,956 2,640,380 2,949,211 98,213 10,401,904 546,153 20,509,390 (1,724,899) $205,550,597 282 DEPARTMENT OF HUMAN RESOURCES Division of Public Health Roles and Responsibilities The general mission of the Division of Public Health is to assure conditions in which people can be healthy and to provide leadership in the prevention of disease and injury. Public Health accomplishes this mission through the provision of two broad categories of services: Individual health services - direct delivery of health and medical care to individuals. Population-based services - activities and interventions that are targeted to protect entire populations from illness, disease, and injury. RANGE OF HEALTH SERVICES Approximately 20% of Georgia's residents, or 1.4 million individuals receive health services at county health departments each year. However, all Georgians benefit from the population-based services provided by the division. Specific duties of the Division of Public Health include: Preventing, controlling, and treating a variety of diseases and afflictions which affect physical health, including cancer, diabetes, heart attacks, hypertension, kidney disease, sickle cell anemia, tuberculosis, AIDS, and sexually transmitted diseases. Providing services in family planning, teenage pregnancy prevention, family health care, maternal and infant care, dental hygiene, community care for the elderly, malnutrition, and immunizations. Providing and disseminating health information and education. Conducting laboratory testing, epidemiological investigations, and reporting communicable and infectious diseases. Monitoring various aspects of environmental health including inspections of restaurants, sewage systems, hotels and motels, and other facilities for compliance with health laws. Collecting vital statistics and maintaining records of all births, deaths, marriages, and abortions occurring in Georgia. Licensing and regulating ambulance services and certifying emergency medical personnel. "CORE" FUNCTIONS Because the responsibilities of Public Health have evolved to be so broad and varied, there has been much discussion about what the basic role of Public Health should be. To address these concerns, the division has adopted three "core" functions: Assessment - analyzing and evaluating, on a continuous basis, prevailing health status and health needs of the community. Policy Development - using the information gathered from assessments to develop and direct comprehensive state and local public health policies. Assurance - making sure that needed health services are available, either through the public or private sector, that address the health status and health needs of the community. SERVICE DELIVERY SYSTEM The Division of Public Health has 19 health district offices located across the state. A director who must, by law, be a medical doctor heads each district office. The director, along with the district health staff, provides leadership, and administrative and program support to the county health departments in the delivery of health services and in community health assessment. In each of Georgia's 159 counties, there is a county health department that is governed by a county board of health. These boards are responsible for planning, developing, and implementing health programs and activities. Services are provided through 274 health department clinic sites. Low fees are charged for some services based on an individual's income; however, no one can be denied services based on the inability to pay. AUTHORITY Title 31 of the Official Code of Georgia Annotated; and Public Laws 78-410 as amended, up to and including Public Law 105-115. 283 DEPARTMENT OF HUMAN RESOURCES - Financial Summary Division of Rehabilitation Services Expenditures, Current Budget and Agency Requests* Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Case Services Special Purpose Contracts Purchase of Service Contracts Major Maintenance and Construction Utilities Postage Total Funds Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 76,322,416 10,621,603 1,861,427 1,005,822 3,794,321 11,829,784 201,300 1,672,498 38,683,203 690,245 12,864,587 671,589 765,446 476,965 $161,461,206 110,565,906 25,773,497 100,000 $136,439,403 $25,021,803 1,845 66 FY 2000 Expenditures 79,812,752 10,662,129 1,688,263 51,907 717,138 4,195,214 12,827,042 305,841 1,798,496 40,491,491 735,245 12,755,151 1,302,968 FY 2001 Current Budget 87,939,589 12,168,243 1,814,584 50,582 1,616,277 5,370,911 11,444,353 302,541 2,491,137 41,304,191 885,245 12,313,883 305,000 1,171,374 478,581 $168,993,592 909,650 747,878 $179,664,064 $114,166,881 28,348,410 83,320 23,500 $142,622,111 $26,371,481 126,847,586 26,149,153 $152,996,739 $26,667,325 1,895 66 1,895 66 FY 2002 Agency Requests Adjusted Base Enhancements Totals *The Division of Rehabilitation Services is being transferred to the Department of Labor effective July 1, 2001 per Act 751 of the year 2000 session of the General Assembly. 284 DEPARTMENT OF HUMAN RESOURCES - Financial Summary Division of Rehabilitation Services Current Budget and Governor's Recommendations* Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Case Services Special Purpose Contracts Purchase of Service Contracts Major Maintenance and Construction Utilities Postage Total Funds FY 2001 Annualizers and Current Budget Adjustments 87,939,589 12,168,243 1,814,584 50,582 1,616,277 5,370,911 11,444,353 302,541 2,491,137 41,304,191 885,245 12,313,883 305,000 909,650 747,878 $179,664,064 (87,939,589) (12,168,243) (1,814,584) (50,582) (1,616,277) (5,370,911) (11,444,353) (302,541) (2,491,137) (41,304,191) (885,245) (12,313,883) (305,000) (909,650) (747,878) ($179,664,064) Less Federal & Other Funds: Federal Funds Other Funds DOAS indirect Funds Total Federal & Other Funds TOTAL STATE FUNDS 126,847,586 26,149,153 (126,847,586) (26,149,153) $152,996,739 $26,667,325 ($152,996,739) ($26,667,325) Positions Motor Vehicles 1,895 66 (1,895) (66) FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements Totals *The Division of Rehabilitation Services is being transferred to the Department of Labor effective July 1, 2001 per Act 751 of the year 2000 session of the General Assembly. 285 DEPARTMENT OF HUMAN RESOURCES - Financial Summary Division of Family and Children Services Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services 33,857,758 Regular Operating Expenses+A32 5,724,788 Travel 1,128,477 Equipment 558,574 Real Estate Rentals 3,395,077 Per Diem, Fees & Contracts 53,762,966 Computer Charges 5,390 Telecommunications 1,736,001 Children's Trust Fund 4,999,461 Cash Benefits 205,931,606 Special Purpose Contracts 6,821,825 Service Benefits for Children 241,237,733 Purchase of Service Contracts 44,801,957 Postage 2,485,041 Grants to County DFCS- 351,918,619 Operations Total Funds $958,365,273 FY 2000 Expenditures 28,951,832 5,511,267 1,274,843 418,537 3,575,788 53,797,617 1,922,892 7,088,652 166,078,301 6,998,833 279,556,132 60,678,500 3,868,892 371,851,487 $991,573,572 FY 2001 Current Budget 24,103,150 3,851,014 993,807 542,213 3,695,697 30,733,524 FY 2002 Agency Requests Adjusted Base Enhancements Totals 24,448,914 3,851,014 993,807 542,213 3,695,697 30,733,524 2,159,685 24,448,914 3,851,014 993,807 542,213 3,695,697 32,893,209 1,596,679 4,633,038 124,425,510 7,087,433 323,322,033 37,451,463 3,870,136 377,308,829 1,596,679 5,862,652 124,425,510 7,087,433 318,753,079 37,451,463 3,870,136 381,319,879 8,729,655 3,284,691 1,596,679 5,862,652 124,425,510 7,087,433 327,482,734 37,451,463 3,870,136 384,604,570 $943,614,526 $944,632,000 $14,174,031 $958,806,031 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds 537,733,417 61,346,546 $599,079,963 575,226,684 60,218,382 129,300 $635,574,366 496,564,525 57,749,095 $554,313,620 497,394,210 58,045,730 $555,439,940 4,042,032 246,001 501,436,242 58,291,731 $4,288,033 $559,727,973 State General Funds Tobacco Funds TOTAL STATE FUNDS 359,265,310 $359,285,310 355,999,206 $355,999,206 385,959,688 3,341,218 $389,300,906 389,192,060 $389,192,060 8,571,313 1,314,686 $9,885,998 397,763,373 1,314,686 $399,078,058 Positions Motor Vehicles 645 521 521 521 3 3 3 3 1 522 3 286 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Division of Family and Children Services Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Children's Trust Fund Cash Benefits Special Purpose Contracts Service Benefits for Children Purchase of Service Contracts Postage Grants to County DFCSOperations Total Funds 24,103,150 3,851,014 993,807 542,213 3,695,697 30,733,524 1,596,679 4,633,038 124,425,510 7,087,433 323,322,033 37,451,463 3,870,136 377,308,829 $943,614,526 345,764 2,501,784 (2,499,906) 4,011,050 $4,358,692 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds 496,564,525 57,749,095 $554,313,620 829,685 296,635 $1,126,320 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements 24,448,914 3,851,014 993,807 542,213 3,695,697 30,733,524 (5,711,872) (474,899) 151,312 (318,816) (3,169,508) (17,631,648) Totals 18,737,042 3,376,115 1,145,119 223,397 526,189 13,101,876 1,596,679 7,134,822 124,425,510 7,087,433 320,822,127 37,451,463 3,870,136 381,319,879 (809,235) 151,238 77,770,963 (6,321,176) (1,468,631) (25,162,481) 787,444 7,286,060 124,425,510 7,087,433 398,593,090 31,130,287 2,401,505 356,157,398 $947,973,218 $17,005,247 $964,978,465 497,394,210 58,045,730 (39,219,240) 42,026,523 458,174,970 100,072,253 $555,439,940 $2,807,283 $558,247,223 State General Funds Tobacco Funds TOTAL STATE FUNDS Positions Motor Vehicles 385,959,688 3,341,218 $389,300,906 521 3 3,232,372 $3,232,372 389,192,060 3,341,218 $392,533,278 521 3 14,197,964 $14,197,964 403,390,024 3,341,218 $406,731,242 (176) 345 3 287 DEPARTMENT OF HUMAN RESOURCES Division of Family and Children Services Functional Budget Summary FY 2001 Appropriations Total State FY 2002 Recommendations Total State 1. Directors Office $1,141,802 $1,141,802 $1,148,179 $1,148,179 2. Social Services 5,154,155 4,642,114 7,307,077 6,065,364 3. Business Management 4,743,479 2,757,650 4,749,665 2,763,836 4. Evaluation and Reporting 3,905,620 3,905,620 4,184,984 4,184,984 5. Community Services 13,967,852 1,791,369 13,972,241 1,795,758 6. Field Management 2,460,085 2,460,085 2,600,264 2,600,264 7. Program and Administrative Development 2,789,549 1,783,758 2,795,687 1,789,896 8. Economic Support 3,801,931 3,801,931 3,829,761 3,829,761 9. Child Support Recovery* 44,614,931 5,488,958 10. Temporary Assistance for Needy Families 114,134,948 48,247,444 114,134,948 48,247,444 11. SSI Supplemental Benefits 1,122,012 1,122,012 1,122,012 1,122,012 12. Refugee Programs 2,795,420 2,795,420 13. Energy Benefits 7,223,130 7,223,130 14. County DFCS Operations-Eligibility 124,527,963 59,979,786 125,689,598 60,724,141 15. Grants to Counties for Social Services 116,557,469 46,573,366 124,013,099 43,098,519 16. Food Stamp Issuance 3,190,752 3,190,752 17. Homemaker Projects 9,102,536 2,983,382 9,153,019 3,033,865 18. County DFCS Operations - Joint & Admin. 74,173,127 37,757,959 75,423,629 31,330,754 19. Grants to Counties - Employability 27,151,950 10,576,743 27,314,438 10,688,909 20. Employability Benefits 45,418,684 15,861,742 45,822,040 16,111,742 21. Legal Services 4,290,503 2,520,990 5,546,355 3,170,565 22. MATCH (Troubled Children's Placements)** 58,419,890 35,626,886 23. Family Foster Care 40,715,074 288 27,064,980 46,689,294 26,512,092 DEPARTMENT OF HUMAN RESOURCES Division of Family and Children Services Functional Budget Summary FY 2001 Appropriations Total State FY 2002 Recommendations Total State 24. Institutional Foster Care 25. Specialized Foster Care 26. Adoption Supplement 27. Prevention of Foster Care 28. Day Care 29. Special Projects 30. County DFCS Operations - Child Support 31. Children's Trust Fund Indirect Costs TOTAL APPROPRIATIONS 19,294,207 7,849,656 36,881,820 17,244,504 174,820,622 3,911,923 25,995,784 4,633,038 $943,614,526 13,498,975 20,146,240 4,891,413 7,849,656 22,122,444 44,089,884 10,431,388 15,248,598 51,686,937 179,320,622 3,871,923 3,911,923 9,063,311 4,633,038 7,286,060 (11,360,214) $389,300,906 $964,978,465 11,551,842 3,971,061 23,167,317 9,516,031 56,186,937 3,871,923 6,013,890 (11,392,730) $406,731,242 *The Child Support Recovery function is transferred to the Division of General Administration and Support as part of the recommended FY 2002 budget. **The MATCH Program function is transferred to the Division of Family and Children Services from the Division of General Administration and Support as part of the recommended FY 2002 budget. 289 DEPARTMENT OF HUMAN RESOURCES FAMILY AND CHILDREN SERVICES Roles and Responsibilities The Division of Family and Children Services was established to administer and supervise the state's public assistance programs and social services. The mission of the division is to enable families and individuals to protect and care for their children and themselves. The division works to prevent dependency and to keep families together. There are county departments of family and children services in each of Georgia's 159 counties. A county director and a local board administer the county offices. The county director oversees the daily operations and administers the programs in the county. The board serves as an advocate for the county department and approves the budget for the agency's operations and for county-funded programs. The County Commission appoints the board members. EMPLOYMENT PROGRAMS DFCS is the state agency responsible for administering the state's welfare program under the provisions of the federal Personal Responsibility and Work Opportunity Reconciliation Act of 1996, Title I, Temporary Assistance for Needy Families (TANF). This program replaced Aid to Families with Dependent Children (AFDC). The primary goal of the program has shifted from ensuring clients receive cash assistance to assisting needy families in becoming self-supporting through job preparation, work, and prevention of out-of-wedlock pregnancies. Assistance to TANF recipients can be divided into 3 categories: work activities, support services, and cash assistance. Work activities include job searches, education and job training, and assistance with job placement. Support services such as child care, vouchers for housing, transportation, emergency needs, and other necessary expenditures will assist the family toward work and prevent the need for cash assistance. Cash assistance is provided to TANF recipients either by check or electronic benefit transfer. TANF benefits are available to eligible recipients for a lifetime maximum of 48 months. TANF program services are available statewide at the county level. Services are directed by the county Department of Family and Children Services in collaboration with other local public and private agencies. A range of job placement, job preparation, and support services are available at the local level but vary in content based on the availability of local resources. Work participation is a major component of the TANF program. Adult recipients, including those with children over the age of 1, are required to participate in a work activity. All services are provided in keeping with the goal of reducing dependency by assisting recipients in leaving cash assistance as soon as possible and by diverting applicants from joining the rolls when they apply for assistance. SOCIAL SERVICES DFCS caseworkers receive over 78,000 reports of child abuse and neglect annually. The staff investigates each report and assesses the level of risk the family situation poses to the child. If danger exists, a foster home or emergency shelter placement is found to provide temporary care. In 1999 there were 47,032 child protective services cases in Georgia with over 14,000 children taken into the protective custody of the state. Children whose parents have relinquished custody to DHR, children of parents whose rights have been terminated by the judicial system, or children who otherwise are without parental support are available for adoptions through the state. The State Office of Adoptions, attached to the Commissioner's Office, is discussed in the Roles and Responsibilities pages concerning the Division of General Administration and Support. DFCS also operates the Adult Protective Services (APS) Program which protects disabled adults and the elderly who are victims of domestic abuse, neglect or exploitation. APS workers provide a series of protective services which range from information and referral to court ordered guardianship. Under state law, county DFCS directors may be named to serve as the guardian of last resort in situations of abuse, neglect, or exploitation. APS is also responsible for personal care home relocations in situations where a resident's health and safety are at risk. In 1999 APS provided protective services to over 5,000 clients throughout the state. MULTI-AGENCY TEAM FOR CHILDREN This program purchases intensive and intermediate residential treatment and therapeutic foster care for children with severe emotional and behavioral problems. Treatment may include the services of psychiatrists, social workers, therapists, and other medical professionals. AUTHORITY Titles 15-11, 19-7-5, 19-8, 19-9, 29-5-2, 30-5, 31-7-2, 38-329, 39-4, 49-2, 49-3, 49-4-3, and 49-5, Official Code of Georgia Annotated; and Public Laws 93-288, 95-113, 96272, 96-422, 97-35, 98-558, 100-203, 100-485, 104-193 and 49 Stat, as amended. 290 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Mental Health, Mental Retardation and Substance Abuse Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Motor Vehicle Purchases Utilities Major Maint. & Construction Community Services Total Funds FY 1999 Expenditures 285,296,471 56,553,805 383,954 9,185,416 2,130,490 339,251,276 $692,801,412 FY 2000 Expenditures 292,353,915 55,304,347 200,000 9,486,000 1,962,161 359,323,931 $718,630,354 FY 2001 Current Budget 287,070,148 56,404,028 200,000 9,483,000 1,991,161 374,320,200 $729,468,537 FY 2002 Agency Requests Adjusted Base Enhancements Totals 286,146,834 55,534,825 200,000 9,483,000 1,991,161 378,947,798 $732,303,618 1,137,738 752,585 20,147,000 7,557,249 $29,594,572 287,284,572 56,287,410 200,000 9,483,000 22,138,161 386,505,047 $761,898,190 Less Federal & Other Funds: Federal Funds Other Funds DOAS - Indirect Governor's Emergency Funds Total Federal & Other Funds 82,725,916 111,532,084 1,313,100 5,000 $195,576,100 90,827,777 102,263,709 1,313,100 96,475,582 107,255,481 $194,404,586 $203,731,063 96,478,166 104,622,305 $201,100,471 96,478,166 104,622,305 $201,100,471 State General Funds Tobacco Funds TOTAL STATE FUNDS 497,225,312 $497,225,312 524,225,768 $524,225,768 523,322,584 2,414,890 $525,737,474 528,788,257 2,414,890 $531,203,147 29,594,572 $29,594,572 558,382,829 2,414,890 $560,797,719 Positions Motor Vehicles 8,427 603 8,393 603 7,976 601 7,976 601 13 7,989 601 291 DEPARTMENT OF HUMAN RESOURCES -- Financial Summary Mental Health, Mental Retardation and Substance Abuse Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Motor Vehicle Purchases Utilities Major Maint. & Construction Community Services Total Funds FY 2001 Annualizers and Current Budget Adjustments 287,070,148 56,404,028 200,000 9,483,000 1,991,161 374,320,200 $729,468,537 (1,632,321) (160,196) 11,327,610 $9,535,093 Less Federal & Other Funds: Federal Funds Other Funds DOAS - Indirect Governor's Emergency Funds Total Federal & Other Funds 96,475,582 107,255,481 $203,731,063 4,069,420 $4,069,420 State General Funds Tobacco Funds TOTAL STATE FUNDS 523,322,584 2,414,890 $525,737,474 5,465,673 $5,465,673 Positions Motor Vehicles 7,976 601 FY 2002 Governor's Recommendations Workload Adjusted Base 285,437,827 56,243,832 200,000 9,483,000 1,991,161 385,647,810 $739,003,630 Enhancements Totals 3,912,557 3,026,174 264,605,450 $271,544,181 289,350,384 59,270,006 200,000 9,483,000 1,991,161 650,253,260 $1,010,547,811 96,475,582 111,324,901 192,290,380 96,475,582 303,615,281 $207,800,483 $192,290,380 528,788,257 2,414,890 $531,203,147 79,181,469 72,332 $79,253,801 7,976 601 $400,090,863 607,969,726 2,487,222 $610,456,948 7,976 601 292 DEPARTMENT OF HUMAN RESOURCES Mental Health, Mental Retardation and Substance Abuse Functional Budget Summary FY 2001 Appropriations Total State FY 2002 Recommendations Total State 1. Southwestern State Hospital 32,866,018 20,431,976 30,456,088 18,612,459 2. Georgia Regional Hospital at Augusta 17,026,758 15,764,974 17,148,515 15,886,731 3. Northwest Regional Hospital at Rome 28,267,529 19,654,241 29,130,822 20,232,489 4. Georgia Regional Hospital at Atlanta 40,282,598 32,007,797 40,589,709 31,649,803 5. Central State Hospital 118,816,543 75,875,697 119,846,934 72,302,768 6. Georgia Regional Hospital at Savannah 17,722,205 17,254,946 17,856,473 17,389,214 7. Gracewood State School and Hospital 52,823,773 25,818,164 53,261,648 24,355,739 8. West Central Georgia Regional Hospital 19,892,370 18,175,102 20,043,586 18,326,318 9. State Administration 14,163,057 8,974,159 15,351,982 8,038,732 10. Outdoor Therapeutic Program 4,159,987 3,220,417 4,189,873 2,249,183 11. Regional Offices 6,443,667 5,467,940 9,718,252 5,637,873 12. Community Mental Health Services 185,338,609 178,127,285 286,112,247 206,580,404 13. Community Mental Retardation Services 96,107,787 60,756,308 268,938,032 122,640,753 14. Community Substance Abuse Services 95,557,636 44,208,468 97,903,650 46,554,482 TOTAL APPROPRIATIONS $729,468,537 $525,737,474 $1,010,547,811 $610,456,948 RECOMMENDED APPROPRIATION: The Department of Human Resources is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $1,415,636,684. 293 DEPARTMENT OF HUMAN RESOURCES Mental Health, Mental Retardation and Substance Abuse Roles and Responsibilities The Division of Mental Health, Mental Retardation and Substance Abuse was created within the Department of Human Resources to establish, administer and supervise the state programs for mental health, mental retardation and substance abuse. The division is charged by law to: Provide adequate mental health, mental retardation and substance abuse services to all Georgians. Provide a unified system which encourages cooperation and sharing among government and private providers. Provide services through a coordinated and unified system that emphasizes community-based services. The mission of the division is to provide and promote the services necessary to prevent and reduce the disabling effects of mental illness, mental retardation, and substance abuse. These services are designed to maximize the client's level of personal and social competency, independence, and self-sufficiency. SERVICE DELIVERY SYSTEM The division is responsible for setting policy regarding the use of all federal and state funds and allocating funds to 13 regional boards. Regional boards contract for community mental health, mental retardation, and substance abuse services with county boards of health, community service boards, and private organizations based on estimated service needs in a defined population. The types of services for which they contract include: emergency, diagnostic, alcohol and drug treatment, day treatment training, supported employment, residential, counseling, therapy, case management, and community educational services. The division and the regional planning boards are responsible for setting outcome measures, monitoring, and evaluating the achievements of service providers. Twentyeight community service boards have been established to govern the operation of public mental health, mental retardation, and substance abuse community services. The regional and community boards are responsible for encouraging availability of consumer choice of providers by expanding participation of public and private providers. STATE HOSPITALS AND INSTITUTIONS There are 7 regional hospitals located in Atlanta, Augusta, Columbus, Milledgeville, Rome, Savannah, and Thomasville, which primarily address psychiatric and substance abuse problems. Patients are also sent to these hospitals by court order for evaluation before trial and for treatment if found incompetent to stand trial or not guilty by reason of insanity. One state institution, Gracewood State School and Hospital in Augusta, serves people with mental retardation exclusively. Four of the regional hospitals have special units serving people with severe mental retardation. The 8 institutions provide inpatient and outpatient services, therapies, and other support services to clients within multi-county service areas. AREA PROGRAMS The 28 community service areas are made up of a variety of dispersed but coordinated subprograms serving all age and primary disability groups. This service network includes community mental health center clinic sites, mental retardation day training centers, detoxification units, 28-day treatment programs for substance abusers, day treatment programs for adolescent substance abusers, and a variety of residential programs for all disability groups. There are also a number of community programs operated through contracts with private nonprofit agencies. This service network delivers comprehensive preventive, early detection, rehabilitation, and treatment services for adults with serious or chronic mental illness, children, and adolescents who are severely emotionally disturbed, people with mental retardation, adults addicted to alcohol or other drugs and teens with alcohol and drug problems. Clients most in need are those with social, emotional, developmental, and/or physical disabilities resulting from mental illness, mental retardation, or substance abuse, who, without state-supported services, are unable to function. With the involvement of the clients and their families, program staff develop an individual service plan for each client. The people who do not meet the most-in-need criteria receive short-term crisis intervention and referral to other public and private services. Community staff also screen patients for admission to regional hospitals and give follow-up care to patients dis charged from the hospitals. AUTHORITY Titles 15-11-40, 17-7-13, 7-7-130, 26-5, 31-3, 37-120, and 37-2 through 37-10, Official Code of Georgia Annotated; and Public Laws 97-35 as amended, 100-690, 100-203, 101-476, and 101-496. 294 DEPARTMENT OF HUMAN RESOURCES Results-Based Budgeting COMMUNITY SERVICES Purpose: Assist older Georgians and persons with disabilities to live healthy, independent, and self-sufficient lives in their homes and communities and avoid or delay costly nursing home placements by providing a continuum of services. Goal 1: Older Georgians and Georgians with disabilities will avoid costly nursing home placements and will improve their health and nutritional status. -Community Care Services Program participants will delay admission to nursing homes an average of 39 months or longer in FY 2002. FY 2000 Desired >32 months FY 2000 Actual 38 months FY 2001 Desired >38 months FY 2002 Desired >39 months -The number of Community Care Services Program participants diverted from nursing home placement and remaining in the community will increase by 2% in FY 2002. [1] >15,600 (+4%) 14,848 (-1%) >15,045 (+1%) >15,400 (+2%) -Taxpayers will save at least $12,125 per client annually by delaying nursing home placement in FY 2002. [1] >$12,100 $13,996 >$12,296 >$12,125 -At least 75% of nutrition program participants will improve nutritional >91% [2] >91 [2] status within 3 months of first service in FY 2001. [2] -At least 25% of nutrition program participants will improve or maintain >25% 84% >50 their nutritional status within 12 months of first receiving their nutritional 3,508 of 4,167 program services. [2] >50% Program Fund Allocation -- Total Funds $83,269,355 $88,044,274 $106,779,992 State Funds $47,389,590 $54,672,952 $65,931,709 Notes: 1 - The FY 2001 desired result for the first result was increased from >32 months; the FY 2001 desired result for the second result was decreased from 17,160 participants. This is because as program participants are able to delay admission to nursing home facilities for longer periods of time, funds allocated to the program are used to support those participants and are not available for new clients. 2 - The system which is being developed to provide data for this measure has not progressed enough to provide reliable data. Therefore, the Program has replaced the fourth desired result which measures nutritional status at 3 months. The replacement result, which measures nutritional status within 12 months of entering the program, measures the degree to which program participants are able to maintain improved (or sustained) nutritional status and is based on a sample of approximately 10% of the persons served in FY 2000, based on data available at this time. 295 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting WORK Purpose: Provide training, placement services, and support services to low income persons and persons with disabilities so that they can obtain and retain employment and not be dependent on government benefits and services. Goal 1: The number of families needing Temporary Assistance to Needy Families public assistance will be reduced through increased employment and reduced recidivism. [1] -At least 58% of TANF participants will be employed for a period of 3 quarters after leaving TANF. [2] FY 2000 Desired >66% FY 2000 Actual 58% 6,773 of 11,678 FY 2001 Desired >69% FY 2002 Desired >58% -The primary earners for at least 63% of the families will be employed during the quarter in which they exit TANF. [2] >70% 63% 5,285 of 8,390 >73% Goal 2: Low-income older Georgians will develop marketable skills and obtain competitive employment, thereby reducing their dependence on public assistance. - The number of Senior Community Service Employment Program participants who obtain and retain employment for at least 3 months in FY 2002 will equal of or exceed 25% of the number of authorized SCSEP positions. [3] Goal 3: People with disabilities who are eligible for services and who commit to and participate in a work plan will obtain and retain employment. [4] >25% (68 of 271) 48% (129 of 271) >25% (68 of 272) -Percentage of people with disabilities who commit to a work plan, >60% [4] >60% participate in the vocational rehabilitation program, and obtain and retain employment for at least 3 months. >63% >25% (68 of 272) [4] Goal 4: Provide work for individuals who are blind or severely visually impaired at minimum cost to the state. [4] -Percent of direct labor performed by employees of the Georgia Industries >75% [4] >75% [4] for the Blind that is carried out by blind or severely visually impaired individuals. -Percentage of the Georgia Industries for the Blind's operating budget >92% [4] >92% [4] funded by the program's sales revenue. 296 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 5: Persons with mental retardation, mental illness and substance abuse problems will be able to function more independently in the community. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of clients in employment will increase 10%, from 6,756 in 6142 6,192 6,756 7,432 FY 2001 to 7,432 in FY 2002. +9% +10% + 9% +10% Program Fund Allocation -- Total Funds $539,816,815 $498,854,431 $530,314,641 State Funds $130,928,810 $157,303,677 $147,565,920 Notes: 1 - There is a one year delay in reporting actual data; therefore, FY 2000 Actual Results are based upon FY 1999 data which is based on partial data because there is a three quarters' delay in the Department of Labor's wage reporting system. 2 - Original employment projections were too optimistic; the FY 2002 has been revised downward to reflect more attainable results. 3 - The wording for this result was revised to more accurately reflect what is measured. The goal formally read: "At least 25% of Senior Community Service Employment Program participants who complete the program in FY 2001 will obtain and retain employment for at least 3 months." 4 - Functions relating to these goals were transferred to the Department of Labor. FAMILY SUPPORT Purpose: Support healthy, self-sufficient families by ensuring that needy families receive temporary cash assistance, employment supports, and can buy necessary food, and that noncustodial parents provide financial support for their children. Goal 1: Noncustodial parents will provide financial support for their minor children. -The percentage of noncustodial parents with a support order from whom the program was successful in collecting child support payments during the year will decrease by 2% from 70% in FY 2001 to 68% in FY 2002. FY 2000 Desired 67% FY 2000 Actual 61% FY 2001 Desired 70% FY 2002 Desired 68% -The amount of money collected by the Child Support Enforcement Program will increase from $425 million in FY 2001 to $470 million in FY 2002, an increase of 10%. $400 million $411 million $425 million $470 million -The Child Support Enforcement Program will collect support from 26,798 more parents during FY 2002, an increase of 15% over the 178,202 cases paying child support in FY 2000. 314,214 178,202 339,351 205,000 -The number of participants completing the Fatherhood Initiative Program 808 in FY 2001 and obtaining employment for at least 6 months will increase from 1,578 in FY 2000 to 3,300 in FY 2002. 1,578 1,083 3,300 297 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 2: The program will accurately and promptly determine whether Georgia's food stamp applicants are eligible for the federally administered food stamp program. -The food stamp allotment error rate will be at or below the federal tolerance level of 10.7% in FY 2001. Goal 3: The program will accurately and promptly determine whether applicants for disability benefits are eligible for the federally administered disability benefits program. [1] FY 2000 Desired 10.7% FY 2000 FY 2001 Actual Desired 10.8% 10.7% FY 2002 Desired 9.0% -Federal quality reviews will show that at statistically significant random 91.6% sample of disability benefit determinations (the federal standard) are correct. -Federal disability claims will be determined within 75 days. 75 Program Fund Allocation -- Total Funds State Funds Note: 1 - The functions relating to this goal have been transferred to the Department of Labor. [1] 91.6% [1] [1] $196,565,807 $89,679,025 75 $178,585,540 $109,672,508 [1] $186,545,405 $101,492,482 PREVENTION Purpose: Prevent chronic and infectious disease, developmental disabilities, injury, premature death, and dependence on public services and benefits, and improve the quality of life of Georgians. Goal 1: Prevent health problems or epidemics by identifying FY 2000 FY 2000 FY 2001 FY 2002 infectious and chronic disease trends, investigating disease outbreaks, Desired Actual Desired Desired and reporting changes in disease patterns. -Decrease the proportion of reported cases of samonellosis for which the serotype is unknown from 12.7% in FY 2001 to 12.05% in FY 2002. [Proxy Measure] <16.01% 13.45% 254/1,889 >12.7% <12.05% Goal 2: Eliminate indigenous cases of 6 vaccine preventable diseases (diphtheria, influenza type B, measles, polio, rubella, and tetanus). -There will be no reported cases of indigenous diphtheria, hemophilia, 0 0 0 0 influenza type B, measles, polio, rubella, and tetanus in calendar year (CY) 2001. 298 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 3: Reduce the number of unintended pregnancies for all women over age 20 through the provision of family planning services. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -Number of unintended pregnancies reported by women over age 20 receiving family planning services. Goal 4: Reduce the number of teen pregnancies in Georgia. -The pregnancy rate for teens ages 15 - 19 will decrease from 87.1 per 1,000 in FY 2001 to 81 per 1,000 in FY 2002. [FY 2000 Actual Results are based upon CY 1998 data.] [1] Goal 5: Infant mortality due to Sudden Infant Death Syndrome (SIDS) will be reduced. -The infant mortality rate for SIDS will decline from .91 per 1,000 live births in CY 2000 to .89 per 1,000 live births in CY 2001. Goal 6: Reduce tuberculosis disease in Georgia. - Fewer than 532 Tuberculosis cases will be reported in Georgia during FY 2002. [FY 2000 Actual Results are based on FY 1999 data.] 3,056 Reliable Data Reliable Data Reliable Data Not Available Not Available Not Available <89.1/1,000 86.6/1,000 23,670 of 273,179 <87.1/1,000 >81/1,000 <.93/ 1,000 .83/1,000 102/122,366 <585 605 <.91/1,000 <530 <.89/1,000 <532 Goal 7: Reduce the number of small children who are killed or severely injured in motor vehicle crashes by increasing the number of children riding correctly in child safety seats. -The number of children in motor vehicle accidents who are severely 0 injured or killed because they were not in safety seats will not increase beyond the FY 2001 level of 29.9%. [FY 2000 Actual Results are based on FY 1999 data.] (In previous years, these data were reported per 1,000; this has been changed to percentages.) <34% <29.5% <29.5% Goal 8: Prevent disease and reduce death and disability by screening all newborns for inherited metabolic disorders. -All newborns that test positive for inherited metabolic disorders will receive early treatment within 21 days of test results. [FY 2000 Actual results were based upon CY 1999 data.] 100% 100% 57/57 100% 100% 299 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 9: Reduce the incidence of sexually transmitted disease and risky behavior through prevention counseling and testing. -The percentage of persons with high risk for HIV/AIDS who receive prevention counseling and testing will increase from 35% in FY 2001 to 40% in FY 2002. [Activity Measure] -The percentage of HIV positive individuals referred to medical, psychosocial, and case management services will increase from 70% in FY 2001 to 75% in FY 2002. [Activity Measure] FY 2000 Desired >13% >80% FY 2000 Actual 31% 22,349 of 73,164 67% 1,061 of 1,581 FY 2001 Desired >35% >70% -The percentage and number of patients with reported STD (gonorrhea, chlamydia, and syphilis - primary and secondary) who receive adequate treatment will remain at the FY 2001 level of 90%. [Activity Measure] >90% 91% 14,627 of 16,074 >90% FY 2002 Desired >40% >75% >90% Goal 10: Decrease neonatal mortality resulting from low birth weight (less than 2500 grams). -Decrease the rate of neonatal deaths from low birth weight from 198 per 1,000 in FY 2001 to 196 per 1,000 in FY 2002. [FY 2000 Actual Results are based on FY 1999 data.] Goal 11. Provide education to families related to child health and development and screen children for conditions that might prevent healthy development. [Activity Measure] <173/ 1,000 -The percentage of children with health conditions and developmental disabilities who have been identified will increase from 90% in FY 2001 to 95% in FY 2002. [Activity Measure] >75% Goal 12: Correct or minimize developmental delays and disabilities in children (age birth to 3) so that they can function at the same level as other children their age. - Parents surveyed will respond that their children made progress toward their specific individual developmental outcomes as a result of Early Intervention Services. [2] >87% -The percentage of children enrolled in Babies Can't Wait Program who make progress toward their Individualized Family Service Plans' (IFSP) developmental outcomes will increase from 91% in FY 2001 to 92% in FY 2002. [2]/[3] >87% 202/1,000 51% 62,011 of 122,363 [2] 90% 103 of 114 <198/1,000 >90% [2] >91% <196/1,000 >95% [2] >92% 300 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 13: Improve the health of infants by increasing the proportion of infants in the WIC program who are initially breast-fed and continue to be breast-fed for at least 6 months. FY 2000 Desired FY 2000 Actual FY 2001 Desired -At least 46.5 % of infants in the WIC program that are initially breast fed and continue to be breast-fed for at least 6 months. [Proxy measure for improved health in infants.] >47.3% 44.8% 34,532 of 77,079 >51.1% Goal 14: Reduce the use and sales of tobacco and tobacco products to underage youths. -Fewer than 20% of sampled vendors will make illegal sales to minors. -The percentage of underage children in middle school who report regularly smoking cigarettes will decrease from 13% in FY 2001 to 12% in FY 2002. [FY 2000 Actual Results are based on FY 1999 data.] <28% 14% 23.5% 247 of 1,066 14% 13,700 of 100,000 <20% 13% Goal 15: Fewer women will die from breast and cervical cancer. -The death rate of women from breast cancer will remain at or below 23.7 per 100,000. [FY 2000 Actual Results are based on FY 1998 data.] -The death rate for women with cervical cancer will remain at or below 2.9 per 100,000. [FY 2000 Actual Results are based on FY 1998 data.] <23.8 per 100,000 <2.89 per 100,000 13.6 per 100,000 (1,036) 3.1 per 100,000 (123) <23.7 per 100,000 <2.9 per 100,000 - At least 85% of 7,050 women screened through the state program and identified with problems indicative of breast cancer will have been diagnosed when the cancer was pre-invasive or in early stage. [FY 2000 Actual Results are based on data from FY 1995 through FY 1999.] >87% 84% 67 of 80 >88% FY 2002 Desired >46.5% <20% 12% <23.7 per 100,000 <2.9 per 100,000 >85% - At least 85% of 4,880 women screened through the State program and identified with problems indicative of cervical cancer will be diagnosed when the cancer was pre-invasive or in early stage. [FY 2000 Actual Results are based on data from FY 1995 through FY 1999.] >87% 86% 12 of 14 >88% >85% 301 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 16: Reduce dental cavities in Georgians by increasing the percentage of persons receiving optimal levels of fluoride via community water systems. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -Increase the proportion of Georgians served by fluoridated community >75% 64% >75% >80% water systems who are provided optimal levels of fluoride from 75% in 224 of 298 FY 2001 to 80% in FY 2002. [FY 2000 Actual Results are based on FY 1999 data.] (Output measure) Program Fund Allocation -- Total Funds $237,691,124 $214,541,169 $220,946,333 State Funds $136,779,496 $139,749,383 $151,228,271 Notes: 1 - Originally, this result, the statewide teen pregnancy rate, was to measure the reduction in teen pregnancies due to the TeenPlus Program; however, the impact of this program could not be isolated from other factors relating to the reduction of teen pregnancy. 2 - The survey of parents has been replaced by an more objective assessment of progress. 3 - Results are based on a sampling in 3 districts. PROTECTION Purpose: Provide services and conduct activities necessary to protect Georgians from violence and exploitation in their homes; from unsafe conditions in health and child care facilities; from infectious and chronic disease; and from environmental hazards. Child and Adult Protection (Subprogram) Purpose: Protect children, the elderly, and disabled adults from abuse, neglect, and exploitation. Goal 1: Child physical abuse incidents involving serious injury and cases of repeated abuse will be reduced. -The number of confirmed child physical abuse with serious injury during FY 2002 will not exceed the FY 2001 number - 562. FY 2000 Desired <529 FY 2000 Actual 492 Goal 2: Substantiated child maltreatment incidents will be reduced. [maltreatment includes all physical, sexual, and emotional abuse and neglect) - The number of confirmed child maltreatment incidents in Georgia will decrease from 22,669 in FY 2001 to 22,556 in FY 2002. [1] <22,783 26,888 -Reduce the number of substantiated, repeated child maltreatment incidents (within a 12-month period) from 3,888 in FY 2001 to 3,712 in FY 2002. <3,908 4,350 FY 2001 Desired <562 <22,669 <3,888 FY 2002 Desired <562 <22,556 <3,714 302 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 3: Children in state custody will benefit from stable foster care placements which meet their physical, emotional, and medical needs. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -Reduce the average number of placement moves per child in foster care from 2.03 in FY 2001 to 1.83 in FY 2002. Goal 4: Children in state custody will benefit from safe, stable, longterm placements. -The percentage of children in state custody who achieve a positive permanency outcome will increase 10 percentage points, from 40% in FY 2001 to 50% in FY 2002. <2.25 2.13 <2.03 >35% 46% 5,928 of 12,887 >40% <1.83 >50% - At least 1,115 children in state custody who are free for adoption will be placed in adoptive homes. >1,188 1,046 >1,284 >1,155 Goal 5: Access to shelter and services for victims of domestic violence will be improved. - The number of adult domestic violence victims denied shelter or services due to lack of capacity will decrease from 1,121 in FY 2001 to 1,099 in FY 2002. <1,141 1,314 <1,121 <1,099 Goal 6: Adults in non-institutional settings will be free from abuse, neglect, or exploitation. -The number of incidents of repeated abuse, neglect, or exploitation of <282 294 <282 <282 adults in non-institutional settings will remain at or below the FY 2001 level of 282. Note: 1 - This desired result is a measure of the extent of Georgia's child abuse problem. An increase in the number of confirmed maltreatment incidents may not be an indicator of poor program performance. An increase can be due to many things, for example: increase in number of children in Georgia; increases in family stress; inadequacies related to State intervention in high-risk families or in previous reported but unconfirmed reports of maltreatment; better reporting of alleged maltreatment; and/or more intensive investigation of allegations of abuse. 303 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Public Health and Safety Assurance (Subprogram) Purpose: Protect Georgians from unsafe conditions in health, childcare, and long-term facilities and from infections, chronic disease, and environmental hazards. Goal 1: Providers of regulated childcare, health care, and long-term care facilities will comply with all federal and state health and safety regulations. -Percentage of regulated facilities that are in compliance with applicable regulations at first follow-up. [1] -The percentage of inspected facilities that are in compliance with applicable regulations and first follow-up for those facilities requiring follow-up inspections will increase from 39% in FY 2001 to 41% in FY 2002. [1] FY 2000 Desired 18.0% >37.6% FY 2000 Actual [1] 31.4% 841 of 2,677 FY 2001 Desired 23.0% >39% FY 2002 Desired [1] >41% -Number of confirmed reports of neglect in regulated health and childcare facilities. [2] -At least 75% of long-term care residents, who have brought problems to the Long-term Care Ombudsman, will have the problems satisfactorily resolved. Goal 2: There will be a reduction in the rate of food-related illness. -Reduce the number of food borne outbreaks by 3, from 21 in FY 2001 to 18 in FY 2002. Goal 3: Ground water contamination from improperly installed sewage disposal systems will be reduced. -Surface ground-water contamination from improperly installed sewage disposal systems will decrease from 15,545 in FY 2001 to 14,412 in FY 2002. [FY 2000 Actual Results are based on FY 1998 data.] [2] >70% <24 <16,678 [2] 93% 5,288 of 5,671 33 18,480 [2] >75% <21 <15,545 [2] >75% <18 <14,412 Goal 4: Reduce the risk that children will die or contract disabling conditions from lead poisoning. -Reduce to under 15 micrograms the level of blood lead of children in target sites who are identified as having high levels of blood lead of 20 micrograms or higher. 600 Data no longer Data no longer Data no longer collected collected collected 304 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 6: Tests, determinations, and examinations will be performed in a quality, accurate, and timely manner by the Georgia Public Health Laboratory in support of the Tuberculosis control, STD, HIV/AIDS Prevention, and Stroke and Heart Attack Prevention Programs. -Perform tests, determinations, and examinations within the 95% standard of timeliness. [Efficiency Measure] - The Georgia Public Health Laboratory will meet all State Quality Assurance Standards for Laboratory accuracy. Goal 7: Complete and accurate pretrial evaluations for outpatients will be provided to the courts within the prescribed time frame. FY 2000 Desired 95% 100% FY 2000 Actual 97% 100% FY 2001 Desired 95% 100% -The percentage of outpatient pretrial evaluations completed within 30 >50% 54% >60% days of receipt of the court order will remain at or exceed the FY 2001 level of 60%. (Efficiency Measure) FY 2002 Desired 95% 100% >60% Notes: 1 - The desired result was replaced to more accurately reflect level of compliance. 2 - This result has been discontinued because data that had been reported only related to allegations of abuse rather than confirmed cases of abuse. The number of confirmed cases are not collected. Program Fund Allocation -- Total Funds $459,973,488 $447,336,558 $465,765,786 State Funds $229,368,123 $248,761,641 $260,191,127 TREATMENT Purpose: Enable persons with mental illness, mental retardation, and substance abuse problems to develop and maintain skills needed to live in the community by providing a range of community and institutional services. Hospital Treatment Purpose: Persons treated in state hospitals will develop community living skills and improve functioning so that they may live as independently as possible in their communities. Goal 1: Clients with mental retardation will improve functioning and FY 2000 FY 2000 FY 2001 FY 2002 live as independently as possible in the community. Desired Actual Desired Desired -The total number of individuals with mental retardation served in mental retardation hospitals and units will decrease from 1,662 in FY 2001 to 1,450 in FY 2002. [Proxy Measure] [1] <1,807 1,545 >1,662 >1,450 305 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 2: The symptoms and/or functioning of adults with mental illness who enter State Hospitals in a state of crisis will improve as a result of treatment. -Assessments will indicate improvement (reduced symptoms) of people who receive crisis services. FY 2000 Desired Data Not Collected FY 2000 Actual Data Not Collected Goal 3: Severely emotionally disturbed (SED) children treated in state psychiatric hospitals will improve functioning enough so that they may be released to less restrictive settings in the community. -The number and percent of SED children who stabilize and move to a Data Not Data Not less restrictive level of care will increase. Collected Collected -The average length of stay for SED children in state psychiatric hospitals <17.6 11.71 will decrease from 17 days in FY 2001 to 16.5 days in FY 2002. [Proxy Measure] [2] Goal 4: The self-sufficiency of persons with physical disabilities at Roosevelt Warm Springs Institute for Rehabilitation will increase so that they can better manage their disabilities. -The percentage of discharged patients with physical disabilities that 95% [3] demonstrate an overall functional gain between admission and discharge as indicated by 18 self-care measures will increase. [3] Notes: 1 - Inpatient services are used only after all appropriate community resources have been exhausted. 2 - One of the goal's is to stabilize children so they can be treated while living at home with their parents. 3 - The functions relating to this goal have been transferred to the Department of Labor. FY 2001 Desired Data Not Collected Data Not Collected <17 days [3] FY 2002 Desired Data Not Collected Data Not Collected <16.5 [3] 306 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Community Treatment (Subprogram) Purpose: Increase the self-sufficiency of persons with mental illness, mental retardation, and substance abuse problems by providing services to develop and maintain the skills necessary to live and participate in the community. Goal 1: Clients will be able to function more independently in the community. - At least 7,432 adults who are receiving community services will be in an employment program during FY 2002. - At least 80% of adult mentally ill clients and/or their families surveyed will indicate they had a voice in choosing where they live. FY 2000 Desired >6,142 Data not collected FY 2000 Actual 6,192 75.4% 3,392 of 4,499 FY 2001 Desired >6,756 >80% FY 2002 Desired >7,432 >80% -The number of days adult mentally ill clients spend in state psychiatric hospitals will decrease. [Proxy Measure for adequacy and availability of community treatment recourses.] Goal 2: The functioning of children who are severely emotionally disturbed (SED) will improve through effective community-based treatment programs. <181,950 FY 2000 Desired 193,517 FY 2000 Actual <174,539 FY 2001 Desired <165,812 FY 2002 Desired -Children and adolescents with SED who complete treatment in FY 2002 will show a 5% improvement in functioning in FY 2002 as compared to FY 2001. - Children and adolescents in community treatment will spend fewer than 30,531 days in short-term psychiatric units. [Proxy Measure for adequacy and availability of community treatment recourses.] Goal 3: Outdoor therapeutic treatment will reduce problem behaviors, including criminal behavior, in SED children and adolescents. -The average score on adaptive functioning for youth discharged from outdoors therapeutic treatment will increase. [1] -The average points improvement in adaptive function from admission to discharged as measured by the Child and Adolescent Functional Assessment Scale will remain at the FY 2001 level of 20. [The lower the level the less impairment in functioning.] [1] 1,137 +1.3% <30,660 128 20 1,714 23,614 [1] 70 1,194 +5% <30,660 1,254 +5% <30,531 [1] [1] 20 20 307 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 4: Children with SED who are in placement through the MATCH program will be safe from harm to themselves or others. FY 2000 Desired - The average frequency of critical incidents by children after 6 months in MATCH placements will decline by 20% between the 6-month evaluation and the 12-month evaluation during FY 2002. >-20% FY 2000 Actual 6 mos - 4.41 12 mos - 3.17 -28% FY 2001 Desired >-20% FY 2002 Desired >-20% Note: 1- Numbers should have been deleted with correction to measures. Goal 5: Appropriate and effective intervention with individuals with substance abuse problems will reduce or prevent admission/readmission into intensive levels of care. -Fewer consumers, who have competed an intensive treatment program for substance abuse, will have relapsed and been readmitted to the same or higher level of care within 90 days. - The number of days substance abuse patients in community treatment spend in psychiatric hospitals will decrease from 16,938 days in FY 2001 to 15,244 days in FY 2002. [Usage Measure] Goal 6: People with mental retardation will be employed in jobs in community integrated settings. Data Not Collected 17,829 -5% The total number of consumers with mental retardation who obtain/maintain employment. 3,119 Note: 1- The program has replaced its prior instrument for measuring adaptive function. Program Fund Allocation -- Total Funds State Funds Data Not Collected 9,222 -42% Data Not Collected 16,938 -5% Data Not Collected 15,244 -10% 3,157 3,431 3,774 $718,218,790 $514,638,971 $712,932,739 $501,215,791 $744,914,992 $541,027,927 308 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting THE POLICY COUNCIL FOR CHILDREN AND FAMILIES THE FAMILY CONNECTION Purpose: To help ensure that Georgia's children are healthy, educated, and nurtured by strong and economically sufficient families through the development of partnerships in which state, county, and local organizations work together to improve results for children and families. [1] Goal 1: All children in Georgia will be healthy. -The percentage of babies born healthy in Family Connection counties that either directly or indirectly address this result as a benchmark for Goal 1 will exceed the percentage of babies born healthy in other Georgia counties. FY 2000 Desired [2] FY 2000 Actual [2] FY 2001 Desired [2] FY 2002 Desired [2] -The percentage of who are immunized by 2 years of age in Family [1] [2] [2] [2] Connection counties that either directly or indirectly address this result as a benchmark for Goal 1 will exceed the percentage of children immunized by age 2 in other Georgia counties. -The teen pregnancy rate for females age 15 - 17 in Family Connection [1] [2] [2] [2] counties that either directly or indirectly address this result as a benchmark for Goal 1 will be lower than the teen pregnancy rate in other Georgia counties. -The rate of teenage homicides in Family Connection counties that either [1] [2] [2] [2] directly or indirectly address this result as a benchmark for Goal 1 will be lower than the teenage homicide rate in other Georgia counties. Goal 2: All in children Georgia will be ready for school. -The percentage of kindergarten students passing Georgia Kindergarten [1] [3] [3] [3] Assessment Program (GKAP) in Family Connection counties that either directly or indirectly address this result as a benchmark for Goal 2 will exceed the percentage of children passing the GKAP in other Georgia counties. There will be a lower percentage of children 2 or more years overage in [1] F/C: 0.85% 0.85% 3rd grade in Family Connection counties that either directly or indirectly Other: 0.96% address this result as a benchmark for Goal 2 than in other Georgia counties. 0.80% 309 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 3: All children in Georgia will succeed in school. -The percentage of students who are absent from school 10 or more days will be lower in Family Connection counties that either directly or indirectly address this result as a benchmark for Goal 3 than in other Georgia counties. FY 2000 Desired [1] FY 2000 Actual F/C: 29.4% Other: 29.8% FY 2001 Desired 29% FY 2002 Desired 28% -The percentage of children who are above standards in Language on [1] F/C: 96% 96% 96% Curriculum Based Tests at Grade 11 will be higher in Family Connection Other: 95% counties that either directly or indirectly address this result as a benchmark for Goal 3 than in other Georgia counties. -The percentage of students who are above standards in Mathematics on [1] F/C: 88% 88% 88% Curriculum Based Tests at Grad 11 will be higher in Family Connection Other: 87% counties than in other Georgia counties. -The percentage of students who are above standards in Writing on [1] F/C: 94% 94% 94% Curriculum Based Tests at Grad 11 will be higher in Family Connection Other: 93% counties than in other Georgia counties. The percentage of students who are above the national median in [1] F/C: 57.7% 58% 59% mathematics on Normed Achievement Tests at grade 8 will be higher in Other: 55.8% Family Connection counties than in other Georgia counties. -The percentage of students who are above the national median in reading [1] on Normed Achievement Tests at grade 8 will be higher in Family Connection counties that either directly or indirectly address this result as a benchmark for Goal 3 than in other Georgia counties. -The percentage of students who graduate from high school on time in [1] Family Connection counties that either directly or indirectly address this result as a benchmark for Goal 3 than in other Georgia counties. F/C: 51.5% 52% Other: 48.9% F/C: 68.4% Other: 69.4% 68.5% 53% 68.5% 310 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 4: All families in Georgia will be strong. -The percentage of stable new families (the father's name is on the child's birth certificate and the mother is at least 20 years old and a high school graduate) will be greater in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. FY 2000 Desired [1] FY 2000 Actual [2] FY 2001 Desired [2] FY 2002 Desired [2] -The birth rates for teenagers 15 - 19 who give birth to another child will [1] [2] [2] [2] be lower in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. -There will be fewer confirmed incidents of child abuse or neglect in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. -There will be fewer juvenile arrests in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. Goal 5: All families in Georgia will be self-sufficient. -There will be lower percentage of children living poverty in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. -There will be a lower percentage of female headed families in poverty in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. -The annual growth in employment in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. -There will be a smaller percentage of unemployed adults in Family Connection counties that either directly or indirectly address this result than in other Georgia counties. Program Fund Allocation -- Total Funds State Funds [1] F/C: 12.8/1,000 12.4/1,000 12/1,000 Others: 12.8/1,000 [1] [3] [3] [3] [1] [5] [5] [5] [1] [5] [5] [5] [1] F/C:+.79% 0.83% Others: -1.12% 0.89% [1] F/C: 3.9% 3.7% Others: 4% 3.5% $10,385,886 $10,506,906 $11,934,482 $8,172,054 $10,231,906 $11,659,482 311 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Family Connection Notes: 1 - Between FY 1998 and today, the number of Family Connection counties has grown from 86 to 155. While the desired results have remained constant since the adoption of the Benchmarks for Children and Families in 1996, the methodology used in the RBB submission has had to be revised to accommodate this rapid growth. This year an aggregate rate was calculated for Family Connection counties which are addressing each benchmark. The FY 2000 actual results represent a new baseline. For this reason, their are no FY 2000 desired results and, when there are no FY 2000 actual results, FY 2001 and FY 2002 desired results are not projected. 2 - These data, which are provided by the Division of Public Health, Department of Human Resources, have not been released thus no FY 2000 actual results can be reported and no FY 2001 and FY 2002 can be projected. 3 - Data did not arrive in time for inclusion in the analysis. 4 - Data must be recalculated due to a change in the test and scoring. 5 - Data for these results are extracted from U.S. Census Data and are not available annually. ATTACHED AGENCIES GOVERNOR'S COUNCIL ON DEVELOPMENTAL DISABILITIES Purpose: Provide research, training, facilitation, and information to assist advocacy, community, and other relevant groups develop comprehensive services and supports to enable individuals with developmental disabilities to be independent, productive, and valued members of their local community. Goal 1: Individuals with disabilities, and their families, advocates, service providers, and other relevant groups will better understand issues facing individuals with developmental disabilities and strategies for effectively changing those issues. -Sixty percent of individuals that participate in Council sponsored training and information sessions at least 6 months prior to a random survey will respond that they have learned information that can be used to institute systematic improvements for individuals with developmental disabilities and their families. FY 2000 Desired 60% FY 2000 Actual 83% 20 of 24 FY 2001 Desired 83% FY 2002 Desired 85% -Sixty percent of randomly selected individuals that participated in Council sponsored training and information sessions during FY 2001 will be surveyed and respond that they have used information and skills learned at council sessions to institute systematic improvements for individuals with developmental disabilities and their families. 60% Data No Longer 60% Data No Longer Collected Collected 312 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting Goal 2: Council education and information sessions will be available throughout the state and will address issues affecting individuals with a diverse array of developmental disabilities. -In FY 2001 constituents representing more counties will participate in training and information sessions. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired 33% Data No Longer 33% Data No Longer 53 of 159 Collected 53 of 159 Collected -A survey of 1000 advocacy groups for individuals with a variety of 25% 83% 25% 80% disabilities will show that at least 25% of the groups representing 39 of 47 individuals with disabilities affecting less than 10,000 Georgians, are satisfied that the Council adequately addresses their needs. (1200 Surveyed, 47 responded) Goal 3: Council will support educational events and share information that will address issues affecting individuals with a diverse array of developmental disabilities. A survey of at least 50 advocacy groups for individuals with a variety of 60% 80% 80% disabilities will show that at least 50% of the groups representing 18 of 22 individuals with disabilities are satisfied that the Council adequately addresses their needs. (110 groups were surveyed; 22 responded) Goal 4: Individuals with disabilities will have greater access to housing options in the community of their choice. At least 5 additional individuals will purchase their own homes each year. 45 35 40 Goal 5: Children with disabilities and their parents will have a choice to be fully included in school classrooms and activities. There will be a 15% increase in the number of children at 9 schools who 334 are successfully included in classes and school activities. 382 +14.5% 439 +15% Program Fund Allocation -- Total Funds $2,097,402 $1,577,495 State Funds $122,088 $17,837 Notes: 1 - An unanticipated reduction in down payment assistance impacted the program's ability to achieve this desired result. 85% 45 505 +15% $1,596,216 $18,721 313 DEPARTMENT OF HUMAN RESOURCES - Results-Based Budgeting CHILDREN'S TRUST FUND COMMISSION Purpose: Help prevent the incidence of child abuse and preventable child deaths by supporting community-based programs through grants funding. Goal 1: Reduce the incidence of first-time child abuse through prevention programs. - At least 95% percent of the families who participate in child abuse prevention programs during FY 2002 will have no substantiated instances of child maltreatment. [1][2] FY 2000 Desired 90% FY 2000 Actual 99.7% 2,029 of 2,036 FY 2001 Desired 90% FY 2002 Desired 95% Program Fund Allocation -- Total Funds $4,150,439 $4,633,038 $7,286,060 State Funds $4,150,439 $4,633,038 $6,013,890 Notes: 1 - Program grantees give their county DFCS offices a list of all program participants for the year. DFCS provides the program with the number of families on the list in which an incident of child abuse or neglect was substantiated that year. Because of the variation in the types of programs funded (long-term intensive home visitation along with parenting classes of varying duration), the participant list may include names of persons who have not yet completed the program and those who completed the program as many as 9 months ago. 2 - When this desired result was developed, the commission hoped to measure the percentage of program participants with no confirmed (substantiated) cases of child maltreatment within 12 months of participating in the program; this information is unavailable. The current result, which provides a limited indication of program impact, will be revised to provide more valid and reliable information during FY 2001. DHR Total Fund Allocation -- Total Funds* State Funds* $2,252,169,106 $2,157,012,150 $2,276,083,907 $1,161,228,596 $1,226,258,733 $1,285,129,529 * Allocations only reflect funding related to programs defined in the Department's RBB and will be less than the Department's total appropriation level. 314 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Total Budgeted Positions -- 202 Board of Industry, Trade and Tourism Attached for Administrative Purposes Only World Congress Center/Georgia Dome Georgia Ports Authority One Georgia Authority Commissioner 1 Administration Division 30 Economic Development Division 65 International Trade Division 31 Tourism Division 75 315 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Authority Lease Rentals General Obligation Bonds Marketing OneGeorgia Authority Waterway Development in Georgia (Tri-Rivers) Local Welcome Centers Georgia World Congress Center Total Funds FY 1999 Expenditures 11,704,758 1,549,973 566,836 22,140 92,715 821,488 1,397,756 507,289 442,455 2,000,000 10,773,280 6,042,557 50,000 250,600 $36,221,847 Less Other Funds: Other Funds Governor's Emergency Funds Total Federal & Other Funds 11,072,314 $11,072,314 State General Funds Tobacco Funds TOTAL STATE FUNDS Positions Motor Vehicles 25,149,533 $25,149,533 203 14 FY 2000 Expenditures 11,963,524 1,583,579 510,445 30,426 66,713 826,297 1,739,419 405,768 419,716 FY 2001 Current Budget 12,598,152 1,311,323 605,806 20,000 93,724 818,323 2,561,387 391,336 422,215 FY 2002 Agency Requests Adjusted Base Enhancements Totals 12,783,067 1,311,323 605,806 20,000 68,724 818,323 2,561,387 391,336 447,215 874,329 45,250 13,657,396 1,311,323 605,806 20,000 68,724 863,573 2,561,387 391,336 447,215 8,505,565 50,000 245,600 2,955,000 $29,302,052 11,354,553 62,082,213 50,000 250,600 $92,559,632 11,354,553 62,082,213 50,000 250,600 $92,744,547 11,354,553 62,082,213 50,000 250,600 $919,579 $93,664,126 36,027 $36,027 29,266,025 $29,266,025 203 14 30,477,419 62,082,213 $92,559,632 202 14 30,662,334 62,082,213 $92,744,547 202 14 919,579 $919,579 5 31,581,913 62,082,213 $93,664,126 207 14 316 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Authority Lease Rentals General Obligation Bonds Marketing OneGeorgia Authority Waterway Development in Georgia (Tri-Rivers) Local Welcome Centers Georgia World Congress Center Total Funds 12,598,152 1,311,323 605,806 20,000 93,724 818,323 2,561,387 391,336 422,215 11,354,553 62,082,213 50,000 250,600 $92,559,632 25,943 (45,332) (12,000) (25,000) (1,259,401) 20,000 (59,235,066) ($60,530,856) Less Other Funds: Other Funds Governor's Emergency Funds Total Federal & Other Funds State General Funds Tobacco Funds TOTAL STATE FUNDS Positions Motor Vehicles 30,477,419 62,082,213 $92,559,632 202 14 1,551,357 (62,082,213) ($60,530,856) (2) FY 2002 Governor's Recommendations Workload Adjusted Base 12,624,095 1,265,991 593,806 20,000 68,724 818,323 1,301,986 391,336 442,215 Enhancements 74,526 7,000 Totals 12,698,621 1,265,991 593,806 20,000 68,724 825,323 1,301,986 391,336 442,215 11,354,553 2,847,147 50,000 250,600 36,284,530 11,354,553 39,131,677 50,000 250,600 $32,028,776 $36,366,056 $68,394,832 32,028,776 $32,028,776 200 14 2,234,379 34,131,677 $36,366,056 1 34,263,155 34,131,677 $68,394,832 201 14 317 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET - STATE GENERAL FUNDS Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Delete funding for the Technology Action Fund. 4. Reduce per diem, fees and contracts funds. 5. Transfer the Main Street Program, including 2 positions, to the Department of Community Affairs (DCA). 6. Authorize the department to retain one-time funding for marketing assistance for the Georgia Sports Hall of Fame, Georgia Music Hall of Fame, and Georgia Golf Hall of Fame to be used by the Economic Development Division to expand the Georgia Allies marketing partnership program. 7. Transfer $25,000 from equipment to telecommunications. 8. Transfer the Regional Economic Business Assistance (REBA) program from DCA to the OneGeorgia Authority. ADJUSTED BASE - STATE GENERAL FUNDS ENHANCEMENT FUNDS - STATE GENERAL FUNDS ENHANCEMENTS 1. Add a technology director position to provide oversight of the department's efforts at high technology business recruitment and development. 2. Increase funds for real estate rentals to accommodate increased rent for the regional offices. 3. Provide additional state general funds to the OneGeorgia Authority for the Regional Economic Business Assistance (REBA) program. TOTAL STATE GENERAL FUND ENHANCEMENTS $30,477,419 124,982 9,696 (1,000,000) (229,401) (201,067) Yes Yes 2,847,147 $32,028,776 74,526 7,000 2,152,853 $2,234,379 ADJUSTMENTS TO CURRENT BUDGET - TOBACCO SETTLEMENT FUNDS FY 2001 STATE APPROPRIATIONS 1. Delete OneGeorgia Authority projects with no continuation funding. $62,082,213 (62,082,213) ADJUSTED BASE - TOBACCO SETTLEMENT FUNDS ENHANCEMENT FUNDS - TOBACCO SETTLEMENT FUNDS ENHANCEMENTS 1. Add FY 2002 tobacco settlement receipts for the OneGeorgia Authority. 34,131,677 TOTAL TOBACCO SETTLEMENT FUND ENHANCEMENTS 318 $34,131,677 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM -- FY 2002 Budget Summary CAPITAL OUTLAY CAPITAL OUTLAY 1. Provide the Georgia Ports Authority with $14,858,000 in FY 2002 payback reduction to allow for partial funding of the following projects: the upgrade and overlay of container storage areas; phase II of a silt suspension system; phase II of a fiber optic network for Ports communications; construction of a north-south access road on Colonel's Island; and reimbursement for FY 2001 property purchases. The debt reduction does not fund design for a future terminal on Hutchinson Island at this time. TOTAL CAPITAL OUTLAY TOTAL STATE GENERAL AND TOBACCO FUNDS Governor's Recommendations Yes $68,394,832 319 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Functional Budget Summary 1. Administration FY 2001 Appropriations Total State 78,094,843 78,094,843 FY 2002 Recommendations Total State 55,335,216 55,335,216 2. Economic Development 6,420,733 6,420,733 5,395,169 5,395,169 3. International Trade 4. Tourism 3,920,556 4,123,500 3,920,556 4,123,500 3,808,504 3,855,943 3,808,504 3,855,943 TOTAL APPROPRIATIONS $92,559,632 $92,559,632 $68,394,832 $68,394,832 RECOMMENDED APPROPRIATION: The Department of Industry, Trade and Tourism is the budget unit for which the following State and Tobacco Fund Appropriation is recommended for FY 2002: $68,394,832. 320 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Roles and Responsibilities The Department of Industry, Trade and Tourism administers programs through four divisions to promote and encourage the responsible development of tourism, business, and industry in the state. ADMINISTRATION AND PLANNING The Administration Division provides organizational support to the department, including budgetary, personnel, accounting, and procurement services. The division also administers the marketing funds for the department's economic development, trade, and tourism programs. The Planning, Research and Evaluation unit provides research and planning needed for all department functions, the Governor, and the General Assembly. The Film and Videotape Office, an independent unit reporting directly to the Commissioner, functions to develop and promo te the state's film, television, and commercial production industry. Film Office staff actively pursue film prospects through direct mail marketing, prospect visits, advertising, and trade show participation. The Film Office also provides on-location assistance to production companies and coordinates the filming needs of companies with other state agencies and local governments. ECONOMIC DEVELOPMENT The Economic Development Division promotes Georgia as a location for domestic and international businesses by providing accurate information on such topics as wage data, labor availability, and taxes on potential sites, by accompanying industry officials on tours of communities for prospective industrial development, and by helping support local communities in their business development programs. In addition, the economic development efforts include coordinating the support and operations of the overseas offices in Tokyo and Brussels. The department's regional sales and marketing representatives are part of the Economic Development Division. The regional sales managers work with existing industry to facilitate business retention and expansion. The regional marketing managers work with local communities to improve their economic development marketing efforts. The regional representatives also serve to bring the staff in Atlanta closer to the needs and opportunities that exist in Georgia's communities. The Economic Development Division also provides staff support to the Georgia Allies, a public -private marketing partnership. The strategic focus of the Georgia Allies is to target industries that build on Georgia's competitive strengths and position the state well in the economy of the 21st century. Allies marketing presents to businesses the qualities and character that have made Georgia one of the world's most desirable business centers and corporate relocation sites for targeted industries. INTERNATIONAL TRADE The role of the International Trade Division is to promote the sale of Georgia products and services to customers abroad and to coordinate all facets of international trade and export in the state. Through the U.S. Export Assistance Center, the Trade Division assists small and medium-sized businesses involved in exporting with trade leads, market analysis, trade shows, and identification of financial assistance options. Coordination of international trade assistance is accomplished through: International programs --building relationships with Georgia companies to develop programs that will lead to increased sales of Georgia companies in foreign markets. In-state programs --building relationships with local private sector partners to increase awareness among Georgia companies of the benefits of exporting. Trade contracts --developing and contracting for identification of trade opportunities in markets throughout the world. TOURISM The Tourism Division's role is to increase the number of travelers to Georgia by providing information services and by developing a marketing strategy that leads travelers to choose Georgia as a vacation destination. Through regional tourism representatives, the division assists local and regional tourism associations in the development of effective tourism programs. The Tourism Division is responsible for ensuring that the state's 11 visitor information centers are operated in a manner that encourages visitors to return to Georgia. These centers serve over 15 million visitors annually with travel information and assistance. ATTACHED AGENCIES The Georgia Ports Authority is responsible for the operation, administration and maintenance of Georgia's four ports -- 2 ocean ports located in Savannah and Brunswick, and 2 inland river ports located in Columbus and Bainbridge. The authority promotes the port facilities to shipping lines worldwide through its sales offices in Atlanta, New York, Tokyo, Oslo, and Athens. The Ports Authority receives no state operating funds. The Georgia World Congress Center Authority owns and operates the Georgia World Congress Center (GWCC), the Georgia Dome, and Centennial Olympic Park. The GWCC is responsible for promoting and servicing regional, national and international events, conventions, and trade shows which generate economic benefits to the state. The Dome is the home of the Atlanta Falcons. The state provides no operating funds to the authority. AUTHORITY Title 50-7, Official Code of Georgia Annotated. 321 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Strategies and Services The Department of Industry, Trade and Tourism (DITT) is Georgia's lead agency for attracting new business investment, encouraging the expansion of existing industry, locating new markets for Georgia products, attracting tourists to Georgia, and promoting the state as a location for film and video projects. The department offers services through 3 major programmatic divisions - Economic Development, International Trade, and Tourism. ONEGEORGIA AUTHORITY The latest tool in Georgia's effort to support local and regional economic development efforts was rolled out in FY 2001 with the creation of the OneGeorgia Authority. The authority, created by Governor Barnes and the Legislature, will utilize one third of the state's tobacco settlement to assist the state's most economically challenged areas. An estimated $1.6 billion in funding for rural development is anticipated over the 25-year term of the settlement. OneGeorgia tobacco-funded investments will be targeted towards tier 1 and 2 counties, based on the new four-tier job tax credit map, which is effective January 1, 2001. Tier ranking is based on unemployment and poverty rates in addition to per capita income. The two major types of assistance that the OneGeorgia Authority will provide to rural communities are in the following areas: business development and infrastructure projects. Two funds have been set up to provide this aid: the EDGE (Economic Development, Growth and Expansion) Fund and the Equity Fund. Recognizing the importance of recruiting companies to provide jobs in rural Georgia, Governor Barnes set up the EDGE Fund within the OneGeorgia Authority to facilitate the location and expansion of firms in rural Georgia. Eligible uses of EDGE funds are the development of public infrastructure, land acquisition and site development. Financial assistance is provided only in instances where a project would not come about in the absence of the assistance. The Equity Fund, which is the infrastructure and capacity building portion of the OneGeorgia Authority, is centered on the principle that Georgia's communities must be empowered to help themselves. Locally initiated projects compete for assistance from the fund in one of three funding rounds per year. The Equity Fund regulations were written to be very broad and flexible and can be used for a variety of activities to assist in preparation for economic development. Eligible projects include traditional economic development projects such as water and sewer projects, road, rail and airport improvements and industrial parks as well as workforce development projects, technology development or tourism development proposals. The Authority seeks to fund strategically sound projects with substantial local leveraged investment and an important impact on local and regional economies. Projects that involve regional cooperation and/or significant impacts on regional economies are particularly encouraged. The Governor's FY 2002 Budget includes $34,131,677 for rural development through the OneGeorgia Authority. An additional $17,871,416 is recommended in the Amended FY 2001 budget. In addition, the FY 2002 transfers the Regional Economic Business Assistance (REBA) program from the Department of Community Affairs to the OneGeorgia Authority. At the same time, an additional $2,152,853 is provided for REBA, bringing total funding available for FY 2002 projects to $5 million. REBA funds will continue to be available to all counties in the state, without respect to tier designation. This increased REBA funding is in addition to the $10 million in tobacco settlement funds available for business development assistance to tier 1 and 2 counties through the EDGE Fund. GEORGIA ALLIES TARGETED MARKETING The Georgia Allies program is a public/private marketing partnership in which state funds for economic development marketing are matched 1:1 by funds from private organizations with an interest in statewide development. This program aims to build focus, communication, and collaboration among economic development actors. The Georgia Allies partnership seeks to leverage the state's resources, branding Georgia's efforts under a singular voice and look. The state's partners in this effort currently include 13 businesses with a statewide presence and a stake in the Georgia's growth. These partners each contribute $50,000 for a total of $600,000 in private funding. This is currently matched by $600,000 in funding from the State. In FY 2002, the Governor increases Allies funding to $1 million. This will match increased private sector funding obtained through an expansion of the Allies membership. One key aspect of the efforts of the Georgia Allies is the targeting of industry sectors that hold the most promise for Georgia. Sectors currently being targeted for recruitment to Georgia are corporate headquarters, corporate location firms, research & development operations, high technology firms and industries, sports businesses, tourism businesses, and traditional industry for rural Georgia. As the state's economic development strategy evolves, these industry targets will be modified to keep the state on the cutting edge of the global economy. Georgia Allies' projects and events are aimed at increasing the awareness of key decision-makers in targeted industries of the value of doing business in Georgia, strengthening existing relationships between top business and government leaders in Georgia, and fostering new relationships with decision-makers in targeted industries. This is achieved through planned 322 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM -- Strategies and Services events designed to build relationships, focused research projects aimed at building Georgia's capacity in targeted areas, and high level advertising campaigns. Recent Allies' initiatives include sponsorship and participation in a FORBES premier CEO conference, which attracted over 200 CEO's to Atlanta reaching all target sectors, hosting a Site Location Consultants' Invitational designed to bring senior consultants to Georgia for a PGA Tournament Championship, and funding a MEGA sites analysis aimed at identifying the best sites for the state's largest economic development projects. TOURISM RECRUITMENT In FY 1999, the Tourism Division released the results of the 1998 Tourism Marketing Study. The study's findings reflected very favorably on the state's marketing efforts. The study shows that Georgia ranks #2 in the Southeast as a travel destination. Moreover, particular efforts of the department received high ratings for effectiveness. The Georgia on My Mind Travel Guide was cited as an excellent publication, and the Visitors Centers received very favorable reviews from citizens. In FY 2002, the Governor continues the enhanced level of funding for tourism marketing begun in FY 2001. The FY 2002 budget includes $4.5 million in marketing funds for tourism. This funding will be used to market Georgia tourism to visitors in the Southeast, in other parts of the U.S., and abroad. Another key piece of Governor Barnes' FY 2002 tourism initiative is tourism product development. The Amended FY 2001 Budget includes funding for tourism infrastructure projects in a variety of locations throughout the state. The amended budget includes $5 million in bond funds for the Jekyll Island Authority for improvements to the island. Of this funding, $2.5 million will provide for improvements to the historic district, as part of a threeyear plan to revitalize the area. In addition $2.5 million will allow the authority to initiate a plan to improve the island's golf courses. This state funding will serve as seed money to assist the authority in leveraging private investment over the next several years. In addition, the Governor recommends a number of projects in the Department of Community Affairs that will improve the tourism infrastructure of cities throughout the state. Governor Ba rnes recommends $10 million in Amended FY 2001 Budget for the City of Augusta to continue revitalization efforts. In addition, $11 million is recommended for the City of Columbus to assist with improvements to the convention center and the Liberty Theater. The amended budget also includes $5 million for the Flint River Center in Albany, $1,750,000 for the Harriet Tubman Museum in Bibb County, and $500,000 for the Thunder Road/NASCAR Hall of Fame in Dawsonville. FILM AND VIDEOTAPE PROJECT RECRUITMENT The Governor's FY 2002 budget continues the enhanced level of funding for film and videotape project recruitment. The FY 2002 budget includes $483,000 in marketing funds for the Film and Videotape Office. In FY 2000, the Governor reinstated the Georgia Film and Videotape Advisory Commission, which had been inactive for a number of years. The commission is a group of 38 professionals from a variety of fields that will advise the film division on matters of marketing, community relations, and private sector incentives. The department has intensified its film recruitment efforts over the last year. The budget includes funding for a film location scout who will work outside the state to recruit film business for Georgia. The department is also working to identify service expansion opportunities in the recorded music industry. INTERNATIONAL TRADE PROMOTION The International Trade Division works to promote international trade opportunities for Georgia companies. The division oversees the activities of international trade representatives in 8 countries who work to provide an entre for Georgia companies into markets abroad. In addition, industry-specific trade specialists in the Atlanta office work with Georgia companies to establish partnerships with companies abroad. Finally, the International Trade Division works with its federal partners in the U.S. Export Assistance Center to provide assistance to Georgia companies in securing financial assistance for exporting. The Governor's FY 2002 budget includes $235,000 in continuation funding for an e-commerce trade initiative. This project, which will serve as a pilot project for the state, will link Georgia businesses with potential partners in Europe and Israel. THE YAMACRAW MISSION Governor Barnes' FY 2002 budget continues the state's focus on high technology industry base development for Georgia. The Yamacraw Mission, launched in FY 2000, brings together the Department of Industry, Trade and Tourism, the Georgia Research Alliance, and the University System with the express goal of making Georgia the preeminent leader in the design of electronic components for the communications and computer industries. Governor Barnes' recommends an additional $275,000 in marketing funding for the Yamacraw Mission in the FY 2002 budget. This funding will be used for human resources recruitment marketing aimed at assisting the Yamacraw Design Center companies meet their job goals. Additional enhancements for the Yamacraw Mission are found in the Board of Regents. The benefits to be gained from the Yamacraw Mission are far-reaching. By 2005, this initiative aims to 323 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM -- Strategies and Services add 2,000 high paying engineering jobs to Georgia, locate or see established 10 key companies within the state, and increase fourfold the supply of venture capital available to fledgling Georgia businesses in this industry sector. The project's long-term goal is to build a sustainable economic environment anchored in knowledge-based industries. GEORGIA PORTS AUTHORITY The Port of Savannah is one of the premier container ports in the U.S., offering service to more than 100 countries by more than 50 major steamship lines. Savannah is the ninth largest container port in the United States and the second largest in the highly competitive South Atlantic market. In FY 2000, the Port of Savannah enjoyed another record performance in fiscal year 2000 -a record total of 9,589,181 tons of containerized, general and bulk cargo moved through the Georgia Ports Authority's (GPA) deepwater facilities in Savannah during the 12-month period. This represents a 5.4% increase over the previous fiscal year. Containerized shipping represents 72.5% of the Georgia Ports Authority's (GPA) total tonnage in Savannah and more than 50% of all cargo handled statewide. During FY 2000, containerized cargo was up 12.2% over FY 1999, resulting in a record 6,956,343 tons. Also during FY 2000, 7 steamship lines either expanded or established new business at the Port of Savannah. These included weekly services by global giants MaerskSeaLand and Evergreen Corporation. The Port of Brunswick continues to play an important role in the movement of general cargo and specializes in handling automobiles, machinery and Georgia based forest products such as woodpulp, linerboard, plywood and paper products. Cargo handled via the Port of Brunswick rebounded during FY 2000 with a record number of automobiles shipped via the Colonel's Island Terminal. Cargo handled at Georgia Ports Authority (GPA) facilities at the Port of Brunswick during FY 2000 totaled 2,420,869 tons, an increase of 1.6% as compared to FY99 results. Colonel's Island auto count recorded more than 195,000 units, up 18.1% from last year and was utilized by more than 20 major automotive and machinery manufacturers during FY 2000 alone. Responding to the increased demand on terminal capacity, the Governor recommends $6,000,000 in bonds for design and engineering for an 8th container berth, CB8 at the Savannah Garden City Terminal. Future expansion into CB-8 will allow the Port of Savannah to more effectively meet the demands of increased trade, while continuing to support efforts to attract new business and growth opportunities for Georgians throughout the state. In FY 2001, the Governor has agreed to allow the authority to retain $8,884,000 due to the state as payback for debt in prior years. This will allow for partial funding of phase I of a silt suspension system and for property for a breakbulk cold storage facility. The Governor will also allow $14,858,000 in debt reduction for GPA in FY 2002. This reduction allows for partial funding for the upgrade and overlay of Ports storage areas, phase II of a silt suspension system, phase II of a fiber optic network for Ports communications, and north-south access road on Colonel's Island. This year's debt reduction will reimburse GPA for FY 2001 property acquisition around the Garden City Terminal. These property purchases should complete the necessary acquisitions to allow for future expansion in the Garden City Triangle area and for completion of the Mason Intermodal Container Transfer Facility. GEORGIA WORLD CONGRESS CENTER The Georgia World Congress Center Authority owns and operates the Georgia World Congress Center (GWCC), Georgia Dome and Centennial Olympic Park. The GWCC, which opened its doors in 1976, is an international trade show and convention facility legislatively created to encourage economic development and to enhance private enterprise. The Governor's Amended FY 2001 Budget includes $16.7 million for projects associated with the Phase IV expansion of the GWCC. This includes $15 million for furniture, fixtures and equipment necessary for operation of the building. In addition, $1.7 million in bonds is provided to construct a surface parking lot on the Northside Drive site. Additional parking for the GWCC is necessary both to replace the parking lot that was lost to the Phase IV expansion site and to accommodate increased traffic volumes associated with this new facility. The Phase IV expansion will add 1.3 million square feet to the building, increasing exhibit space by over 420,000 square feet and enabling the GWCC to maintain its position as one of the top 5 convention centers in the nation. This expansion will allow the facility to continue to attract and maintain larger trade shows and to accommodate more meetings and shows simultaneously. The projected return on this investment is substantial. The expansion is expected to attract an estimated 500,000 additional out-of-state visitors, create 19,000 new jobs each year, and generate $53 million in new tax revenues. 324 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Results-Based Budgeting BUSINESS RECRUITMENT, RETENTION AND EXPANSION Purpose: Recruit new businesses and work to retain and facilitate the expansion of existing businesses in the state in order to create new jobs and investment in Georgia communities. Goal 1: Expand the current level of job creation for Georgia communities and citizens by recruiting companies from outside FY 2000 FY 2000 FY 2001 FY 2002 Georgia and encouraging existing industry to expand in Desired Actual Desired Desired Georgia. - Create 30,461 new jobs in Georgia in FY 2002. [1] 27,628 N/A 29,010 30,461 Goal 2: Increase the current level of annual capital investment in Georgia by new and expanding businesses in Georgia. - New and expanding businesses in Georgia will invest $5.7 billion in the state in FY 2002. [1] $5.5 billion N/A $5.6 billion $5.7 billion Program Fund Allocation -- Total Funds $11,833,673 $13,692,339 $15,395,920 State Funds $11,817,461 $13,692,339 $15,395,920 Note: 1 - Data is collected on a calendar year basis. As a result, actual FY 2000 data is not yet available. INTERNATIONAL TRADE DEVELOPMENT Purpose: Strengthen Georgia's economy by increasing the volume of international sales from current exporters and involving more small and medium-sized Georgia companies in the export process. Goal 1: Georgia companies will establish new commercial relationships with partners abroad, leading to increased sales to new and existing markets. - The number of DITT-brokered partnerships between Georgia companies and business partners in international markets will increase from 198 in FY 2001 to 218 in FY 2002. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 180 FY 2000 Actual FY 2001 Desired FY 2002 Desired 195 198 218 $3,418,617 $3,955,564 $4,447,710 $3,413,933 $3,955,564 $4,447,710 TOURISM PROMOTIONS Purpose: Improve economic development impact on the tourism industry throughout the state by increasing tourist visitation and expenditures. Goal 1: Increase visitation to Georgia among individual and FY 2000 FY 2000 FY 2001 FY 2002 group travelers through effective marketing. Desired Actual Desired Desired - Increase the number of visitor nights by individual or group travelers to Georgia from 46.8 million in FY 2001 to 47.7 million in 45.9 N/A 46.8 47.7 FY 2002. [1] Goal 2: Increase the number of inquiries related to Georgia's travel opportunities. - Increase the number of inquiries about Georgia tourism through DITT's 1-800 number, visitor sessions to the state website and 469,658 354,716 390,188 429,205 VIC bookings from 390,188 in FY 2001 to 429,205 in FY 2002. Program Fund Allocation -- Total Funds $8,152,086 $9,432,500 $10,606,078 State Funds $8,140,918 $9,432,500 $10,606,078 Note: 1 - Data is collected on a calendar year basis. As a result, actual FY 2000 data is not available. 325 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM -- Results Based Budgeting VISITOR INFORMATION CENTERS Purpose: Encourage travelers to visit Georgia's communities and attractions by providing visitor information services through the operations of the Visitor Information Centers. Goal 1: Visitor Information Centers (VIC's) will provide sales support and access to direct bookings for the lodging industry. FY 2000 FY 2000 FY 2001 FY 2002 This includes proactively working to increase the number or Desired Actual Desired Desired visitors who extend the length of their stay. - VIC assisted reservations will increase by 10% from 15,033 in FY 2001 to 16,535 in FY 2002. 16,000 13,666 15,033 16,535 - A minimum of 30% of VIC visitors will extend their stay in 30% 34% 30% 30% Georgia longer than originally planned due to VIC assistance. Program Fund Allocation -- Total Funds $2,892,676 $3,347,016 $3,763,447 State Funds $2,888,714 $3,347,016 $3,763,447 Other Activities -- Total Funds State Funds $3,005,000 $62,132,213 $34,181,677 $3,005,000 $62,132,213 $34,181,677 TOTAL - All Programs Total Funds State Funds $29,302,052 $92,559,632 $68,394,832 $29,266,026 $92,559,632 $68,394,832 326 DEPARTMENT OF INSURANCE Total Budgeted Positions -- 326 Commissioner Deputy Commissioner Executive Office 7 Administrative Division 70 Special Fraud Unit 14 Insurance Division 109 Industrial Loan Division 10 Safety Fire Division 116 327 DEPARTMENT OF INSURANCE -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 14,492,549 722,587 482,394 121,588 47,274 800,048 501,817 230,384 411,793 $17,810,434 FY 2000 Expenditures 13,979,189 725,739 435,414 118,925 20,480 796,048 385,716 199,953 298,575 3,712 $16,963,751 FY 2001 Current Budget 14,635,404 680,784 373,713 100,700 32,327 793,256 96,658 110,968 405,207 $17,229,017 FY 2002 Agency Requests Adjusted Base Enhancements Totals 14,725,806 680,784 373,713 185,100 32,327 796,248 96,658 110,968 405,207 250,273 80,000 121,336 14,976,079 680,784 453,713 185,100 32,327 796,248 96,658 232,304 405,207 $17,406,811 $451,609 $17,858,420 1,772,791 464,975 $2,237,766 $15,572,668 329 51 1,765,574 59,613 $1,825,187 $15,138,564 326 51 1,682,020 102,466 $1,784,486 $15,444,531 326 51 1,682,020 102,466 $1,784,486 $15,622,325 326 51 $451,609 1,682,020 102,466 $1,784,486 $16,073,934 326 51 328 DEPARTMENT OF INSURANCE -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 14,635,404 680,784 373,713 100,700 32,327 793,256 96,658 110,968 405,207 90,402 (213,877) $17,229,017 ($123,475) 1,682,020 102,466 $1,784,486 $15,444,531 326 51 ($123,475) FY 2002 Governor's Recommendations Workload Adjusted Base 14,725,806 680,784 373,713 100,700 32,327 579,379 96,658 110,968 405,207 Enhancements 400,273 80,000 Totals 15,126,079 680,784 453,713 100,700 32,327 579,379 96,658 110,968 405,207 $17,105,542 $480,273 $17,585,815 1,682,020 102,466 $1,784,486 $15,321,056 326 53 $480,273 1,682,020 102,466 $1,784,486 $15,801,329 326 53 329 DEPARTMENT OF INSURANCE FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Increase funds in real estate rentals to meet expenses. Workload: 3. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Fill 10 vacant positions to assist with increased workloads and responsibilities. 2. Provide travel funds at the FY2000 expenditure level. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Governor's Recommendations 15,444,531 90,402 2,992 (216,869) $15,321,056 400,273 80,000 $480,273 $15,801,329 330 DEPARTMENT OF INSURANCE Functional Budget Summary 1. Internal Administration FY 2001 Appropriations Total State 5,098,884 5,098,884 FY 2002 Recommendations Total State 5,125,349 5,125,349 2. Insurance Regulation 5,625,024 5,625,024 5,783,439 5,783,439 3. Industrial Loan Regulation 4. Fire Safety and Manufactured Housing 538,124 5,401,269 538,124 3,616,783 534,891 5,577,032 534,891 3,792,546 5. Special Insurance Fraud Fund 565,716 565,716 565,104 565,104 TOTAL APPROPRIATIONS $17,229,017 $15,444,531 $17,585,815 $15,801,329 RECOMMENDED APPROPRIATION: The Department of Insurance is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $15,801,329. 331 DEPARTMENT OF INSURANCE Roles and Responsibilities The Office of Commissioner of Insurance is accountable for upholding state laws regulating insurance, fire safety, mobile homes, and small loans. The department organizes its efforts in fulfilling these responsibilities around 5 divisions. INTERNAL ADMINISTRATION DIVISION The Internal Administration Division provides management, policy direction, enforcement, and administrative support for the department's programs which regulate companies and protect consumers in the areas of insurance, industrial loan regulation, fire safety, manufactured housing, arson investigation, building inspection, hazardous material handling and storage, and other related areas. The division's activities include performing personnel, purchasing, payroll, budgeting, and accounting duties for all agency divisions; and establishing department policy, procedures, regulations, and enforcement capabilities. INSURANCE REGULATION DIVISION The Insurance Regulation Division is responsible for administering Georgia insurance laws and regulations by reviewing and approving insurance company property; casualty, life, accident and sickness policy forms, and rates; approving applications for insurance companies to conduct business in Georgia; approving applications for individuals to obtain insurance agent licenses; and regulating group self-insurance funds for workers' compensation insurance. The division oversees the regulation of automobile selfinsurers, Captive Insurance Companies, and Interlocal Risk Management. INDUSTRIAL LOAN REGULATION DIVISION The Industrial Loan Regulation Division administers the Georgia Industrial Loan Act by performing examinations and on-site investigations of all accounts held by the industrial loan companies (small loan companies making loans of $3,000 or less) licensed to do business in Georgia, accounting for all fees and taxes payable by the industrial loan companies, and approving applications for new industrial loan company licenses and investigating consumer complaints. FIRE SAFETY AND MOBILE HOME REGULATION DIVISION The Fire Safety and Mobile Home Regulation Division administers and enforces compliance with Georgia and federal laws affecting manufactured housing and fire safety by reviewing applications for license and permits to use or store hazardous or physically unstable substances and materials, and by reviewing construction plans for public buildings and manufactured houses for adequate fire hazard prevention and protection. The division inspects public facilities for compliance with Georgia's fire safety laws and investigates cases involving suspicious fires in Georgia. SPECIAL INSURANCE FRAUD UNIT The Special Insurance Fraud Unit investigates, upon request, claims fraud against insurance companies. This unit was established through enactment of HB 616 of the 1995 General Assembly with the goal of reducing the incidence of insurance fraud and the resulting financial burden it places on the insurance industry and the consumer. AUTHORITY State Constitution; Official Code of Georgia Annotated Title 45-14. 332 DEPARTMENT OF INSURANCE Strategies and Services The Office of Commissioner of Insurance administers a number of strategies and services to fulfill its duties in regulating the state's insurance industry, industrial loan companies, and fire safety standards. These activities are geared toward enabling the department to satisfy its regulatory responsibilities effectively and to protect and assist the public in the areas the department oversees. Highlighted below are the some of these programs and developments; namely, Implementation of the Health Insurance Portability and Accountability Act, Consumer Services, Manufactured Housing, Fire Safety Education, and Hazardous Materials. IMPLEMENTATION OF THE HEALTH INSURANCE PORTABILITY AND ACCOUNTABILITY ACT In 1996, the federal government passed into law the Health Insurance Portability and Accountability Act (i.e., Kassebaum-Kennedy Health Insurance Reform Bill), which require each state to enact and enforce the guidelines established in this act regarding health insurance plans. As a result, the 1997 General Assembly passed HB 654 to serve as the state law implementing the federal act. The department's responsibility is to educate employers and the public about the changes in the federal and state statutes concerning health insurance and to enforce these new requirements. The main changes both pieces of legislation made in health insurance law were in the areas of pre-existing condition exclusions, crediting coverage with the alternative method, special enrollment, affiliation periods, non-discrimination and guaranteed renewability, certificates of creditable coverage, and the state's alternative mechanism of obtaining portability of coverage when an individual loses group health insurance coverage. The department plans to inform the public of these changes in the law through newsletters and press releases among other means. Initially though, much of the department's efforts regarding these new requirements concerning health insurance are expected to be devoted to monitoring and enforcement due to the number of health insurance policy refilling many insurance companies will have to make. CONSUMER SERVICES The Consumer Services Division functions to assist citizens with insurance concerns. Toward this end, the division's activities include interceding in cla ims and other insurance-related disputes; educating the general public on a variety of insurance issues using public presentations, publications and other means; assisting the public on insurance matters occurring after a disaster; and referring persons to the appropriate special programs state and federal agencies may offer to resolve a situation beyond the department's purview. Investigation of claims and other insurance related disputes is the division's major activity. Forty-three investigators located in regions statewide handle cases. These investigators interview insurance company personnel, independent adjusters, insurance agents, and the complaining party, as well as review all related documentation to determine if the complaint filed is valid. Once this research and analysis of the complaint is completed, the investigator reports the results to the parties involved and works with them to resolve the complaint. The division closed 81,291 cases in FY 2000 and recovered over $9.1 million for consumers. The division also aids other divisions within the department in a range of areas. For example, the division investigators routinely furnish support to: the Enforcement and Fraud Units in evidence procurement and case prosecution; Agents Licensing and Regulatory Services with records checks on agents and companies; and the Research Division on legislative matters. 100,000 Consumer Services Closed Cases FY 96 - FY 00 90,000 91,984 84,038 80,000 80,715 75,419 81,291 70,000 60,000 50,000 96 97 98 99 Fiscal Year 2000 MANUFACTURED HOUSING The Manufactured Housing section of the Fire Safety & Mobile Home Regulation Division administers, in conjunction with the federal Department of Housing and Urban Development (HUD), the National Manufactured Housing Construction and Safety Act of 1974. This act requires that manufactured houses be built and installed according to established state and national standards. The Manufactured Housing section, under its 20-year association with HUD, enforces this act through the inspection and licensing of manufacturers, dealers and installers of manufactured housing who comply with the federal and state standards regarding this product. Manufactured housing plant reviews usually entail the examination and approval of each housing design plan and quality assurance manual. Before a plant commences 333 DEPARTMENT OF INSURANCE -- Strategies and Services operation, an initial comprehensive inspection is conducted involving all aspects of production and material handling, along with testing and evaluating the plant's quality assurance program. Plants in operation are inspected regularly. During these inspections, each section of each home is inspected in at least 1 phase of the production process, to assure compliance. The plant and the homes it produces must be in full compliance with federal and state standards before a HUD label of approval can be placed on the manufactured homes and these homes can be offered for sale. The Manufactured Housing section also regulates the sale and installation of manufactured homes through inspecting manufactured homes on dealer lots for possible damage during transit to the dealer, for dealer alterations and other violations. Inspections can be prompted by consumer complaints. Presently, section staff have the responsibility of enforcing federal and state manufactured housing standards for the 26 licensed in-state plants and 93 out-ofstate manufacturers licensed to conduct business in Georgia. Section staff regulate 780 licensed manufactured housing dealers and 542 licensed installers. Fire Deaths in Georgia 1996 - 2000 0 (est.) 99 I98 97 96 118 106 130 97 151 FIRE SAFETY EDUCATION The Fire Safety Division, through its Fire Safety Education Program, develops instructional programs on and promotes awareness of fire safety. The program's efforts emphasize a person's responsibility for fire prevention and fire safety measures at home, school, work, and other areas. In this regard, the program coordinates the efforts of the commissioner, news media, State Fire Marshal's Office, and the department's Public Education section to educate the public on fire safety in a clear, organized fashion. The program is attempting to further educate the public on fire safety by expanding its involvement in several organizations such as the Coalition of Public Fire Safety Educators, Safe Kids of Georgia, and the Emergency Management Services Advisory Council. Prompted by the importance and the effectiveness of learning and practicing fire safety at an early age, the program is initiating new and expanding current efforts directed at school-age students as a way of reaching and teaching children about fire safety. Some of these efforts include the Learn Not To Burn, Challenge For Life, and Junior Fire Marshal programs, as well as the acquisition of a mobile fire safety house where live demonstrations of fire safety techniques can be presented to school and public groups. Other areas in which the program is active include smoke detector distribution programs, establishing a volunteer fire safety education-teaching group, and developing the cooperation necessary for joint efforts by the local fire services and the local boards of education to encourage fire safety education activities in every school. HAZARDOUS MATERIALS The Fire Safety Division's Hazardous Materials section enforces areas designated to the department concerning the storage, transportation, and handling of hazardous materials including liquid propane gas, anhydrous ammonia, flammable and combustible liquids, explosives, welding gases, natural gases, and blasting agents. The section, under this responsibility, conducts inspections, issues permits and licenses, investigates hazardous materials incidents, and enforces applicable fire safety codes. The section also reviews plans and specifications for proposed bulk storage facilities of these substances. The section must approve these plans and specifications before construction can begin on a proposed hazardous material bulk storage facility. The section is also assigned the department's responsibility to regulate the manufacture, transport, use, sale, and storage of explosives through licensing the individuals or organizations involved in those activities. To complement its regulatory duties, the section conducts education and training programs on storing, transporting, and handling hazardous materials in an effort to continue minimizing the loss of life and property from hazardous materials fire incidents. 334 DEPARTMENT OF INSURANCE Results-Based Budgeting INSURANCE ENFORCEMENT Purpose: To provide legal advice regarding the enforcement of specific provisions of state law relating to insurance companies, agents and other licensees. Goal 1: Ensure that insurance companies, agents, and other FY 2000 FY 2000 FY 2001 FY 2002 insurance licensees are in compliance with state law. Desired Actual Desired Desired - The number of valid complaints involving insurance companies 60 will increase from 35 in FY 2000 to 60 in FY 2002. - The number of valid inquiries involving agents and other 826 insurance licensees will decrease from 1,514 in FY 2000 to 826 in FY 2002. Program Fund Allocation -- Total Funds State Funds 35 60 60 1,514 826 826 $5,013,838 $5,098,884 $5,125,349 $5,013,838 $5,098,884 $5,125,349 INSURANCE REGULATIONS Purpose: To ensure insurance entities licensed in Georgia comply with state law and to review and approve all rates and forms used by insurance companies. Goal 1: Insurance companies licensed in Georgia are FY 2000 FY 2000 FY 2001 FY 2002 financially stable and capable of fulfilling their obligations. Desired Actual Desired Desired - The number of licensed insurance companies that are financially 8 10 8 8 unstable and unable to fulfill their obligations will decrease from 10 in FY 2000 to 8 in FY 2002. - The number of customers suffering financial loss from insurance 2,296 2,606 2,296 2,296 companies which have become financially unstable will decrease from 2,606 in FY 2000 to 2,296 in FY 2002. - The number of insurance complaints regarding unfair or improper treatment by insurance companies will decrease from 95,105 in FY 2000 to 74,662 in FY 2002. Program Fund Allocation -- Total Funds State Funds 74,662 95,105 74,662 74,662 $5,492,786 $5,625,024 $5,783,439 $5,492,786 $5,625,024 $5,783,439 INDUSTRIAL LOAN REGULATION Purpose: To regulate and examine, for the purpose of protecting consumers, finance companies providing loans of $3,000 or less. Goal 1: Consumers are protected from suffering financial loss due to financial companies becoming unstable or illegal interest rates. - The dollar amount of refunds to consumers because of finance companies not complying with state law will decrease from 179,087 in FY 2000 to 84,423 in FY 2002. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 84,423 FY 2000 Actual 179,087 FY 2001 Desired 84,423 FY 2002 Desired 84,423 $517,866 $517,866 $538,124 $538,124 $534,891 $534,891 335 DEPARTMENT OF INSURANCE -- Results-Based Budgeting FIRE SAFETY EDUCATION AND PREVENTION Purpose: To create a fire safe environment that protects and limits the loss of lives and property. Goal 1: Newly constructed and existing buildings will comply FY 2000 FY 2000 with fire safety building codes. Desired Actual - All new construction within the commissioner's jurisdiction will 100% 100% comply with fire safety building codes before a certificate of 900 772 occupancy is issued. - The number of fires resulting from code violations in institutional N/A 320 [1] facilities will decrease. Goal 2: Hazardous materials facilities will comply with state laws and standards. - All new construction of hazardous materials facilities within the 100% 100% commissioners jurisdiction will comply with standards before being 484 540 given an operating permit. Program Fund Allocation -- Total Funds $5,147,137 State Funds $3,627,937 Note: 1. This number is an estimate due to ongoing investigations regarding the cause of fires. 2. The agency did not provide this data. FY 2001 Desired 100% 900 N/A 100% 484 $5,401,269 $3,616,783 FY 2002 Desired 100% 900 N/A [2] 100% 484 $5,577,032 $3,792,546 SPECIAL INSURANCE FRAUD Purpose: To investigate, upon request, instances of insurance fraud in cooperation with Federal, State and Local Government agencies and insurance companies. Goal 1: Deter the occurrence of insurance fraud. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of fraud cases referred from department and industry 484 493 484 484 sources will remain at 484. Program Fund Allocation -- Total Funds $792,104 $565,716 $565,104 State Funds $792,104 $565,716 $565,104 TOTAL - All Programs Total Funds State Funds $16,963,731 $17,229,017 $17,585,815 $15,444,531 $15,444,531 $15,801,329 336 DEPARTMENT OF JUVENILE JUSTICE Total Budgeted Positions -- 4,323 Governor State of Georgia Chairman Board of Juvenile Justice Commissioner Department of Juvenile Justice 4 Director Public Affairs Director Legal Services 4 Deputy Commissioner Deputy Commissioner Financial Management Human Resources and Administrative 1 Support 61 47 Deputy Commissioner Program Services 23 Deputy Commissioner Facilities 3,391 Office of Law Enforcement 54 Deputy Commissioner Community Corrections 713 Deputy Commissioner Quality Assurance 25 337 DEPARTMENT OF JUVENILE JUSTICE -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Service Benefits for Children Purchased Services Inst. Repairs and Maint. Utilities Year 2000 Total Funds Less Federal & Other Funds: Other Funds Total Federal & Other Funds State General Funds Tobacco Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 124,411,982 14,472,791 1,414,828 695,992 618,969 2,196,187 11,688,262 2,584,687 1,430,882 6,190,490 24,362,155 30,767,014 626,957 3,050,000 1,180,875 $225,692,071 FY 2000 Expenditures 144,598,522 14,026,078 1,959,330 291,576 512,674 2,055,956 16,716,047 2,562,340 1,957,909 26,166,491 36,427,584 950,885 3,678,520 $251,903,912 FY 2001 Current Budget 164,488,517 15,597,167 2,494,260 228,444 1,054,874 2,377,856 18,792,054 2,802,748 2,143,205 31,910,003 32,173,210 697,800 3,490,764 FY 2002 Agency Requests Adjusted Base Enhancements Totals 170,269,770 15,676,967 2,494,260 228,444 1,054,874 2,377,856 18,792,054 2,802,748 2,143,205 6,290,443 704,314 200,000 170,800 339,336 (12,023,661) 966,800 257,057 176,560,213 16,381,281 2,694,260 228,444 1,225,674 2,717,192 6,768,393 3,769,548 2,400,262 31,910,003 32,173,210 697,800 3,490,764 46,892,415 (32,173,210) 65,000 78,802,418 762,800 3,490,764 $278,250,902 $284,111,955 $11,689,294 $295,801,249 15,737,816 $15,737,816 209,954,255 6,922,551 $6,922,551 244,981,361 6,343,581 $6,343,581 271,907,321 6,343,581 $6,343,581 277,768,374 $209,954,255 $244,981,361 $271,907,321 $277,768,374 3,908 281 3,871 286 4,323 270 4,323 270 2,945,000 $2,945,000 8,744,294 9,288,581 $9,288,581 286,512,668 $8,744,294 $286,512,668 167 4,490 2 272 338 DEPARTMENT OF JUVENILE JUSTICE -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Service Benefits for Children Purchased Services Inst. Repairs and Maint. Utilities Year 2000 Total Funds Less Federal & Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 164,488,517 15,597,167 2,494,260 228,444 1,054,874 2,377,856 18,792,054 2,802,748 2,143,205 (10,246,476) (2,273,115) (17,650) (69,000) (55,045) 175,987 (952,575) (29,000) (120,340) 31,910,003 32,173,210 697,800 3,490,764 18,557,234 (2,034,425) (42,800) (348,270) $278,250,902 $2,544,525 6,343,581 $6,343,581 $271,907,321 4,323 270 $2,544,525 (425) (14) FY 2002 Governor's Recommendations Workload Adjusted Base 154,242,041 13,324,052 2,476,610 159,444 999,829 2,553,843 17,839,479 2,773,748 2,022,865 Enhancements 4,607,622 577,943 202,000 132,000 289,336 (11,815,930) 287,000 75,408 Totals 158,849,663 13,901,995 2,678,610 159,444 1,131,829 2,843,179 6,023,549 3,060,748 2,098,273 50,467,237 30,138,785 655,000 3,142,494 46,099,611 (30,138,785) 96,566,848 655,000 3,142,494 $280,795,427 $10,316,205 $291,111,632 6,343,581 $6,343,581 $274,451,846 3,898 256 9,331,848 $9,331,848 $984,357 15,675,429 $15,675,429 $275,436,203 158 4,056 2 258 339 DEPARTMENT OF JUVENILE JUSTICE FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Annualize the cost of 266 Juvenile Correctional Officers funded for one-half year. 3. Reduce position count by 403 positions and realign object classes to reflect the transfer of the Wrightsville Youth Development Center to the Department of Corrections and the transfer of Wrightsville operating funds to community programs. 4. Transfer the Office of Law Enforcement (22 positions and 14 vehicles) to the Department of Public Safety. 5. Transfer the Irwin Youth Development Center to the Department of Corrections. 6. Adjust Georgia Building Authority rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE Governor's Recommendations $271,907,321 1,708,550 4,072,703 Yes (1,378,290) (2,034,425) 175,987 $274,451,846 ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide funding for 108 additional Juvenile Probation and Parole Specialists (JPPSs), Supervisors and support staff. 2. Fund 2 positions and operating costs associated with the Savannah Impact Project. 3. Serve an additional 90 youth in residential youth homes. 4. Fund 34 additional Juvenile Correction Officers for Youth Development Centers (YDCs). 5. Add funding for 6 Youth Benefit Workers to do eligibility determinations on youth in out-of-home placements to ensure all appropriate resources are utilized. 6. Provide inflationary increases in contracted privatized facilities. 7. Provide funds to meet basic needs (food, clothing, and medical) of youths in Regional Youth Detention Centers (RYDCs) and YDCs. 8. Create a transitional program to prepare youths near the end of their sentence to go into the community. 9. Provide funds for a contract Network Engineer based on increased users in the department. 10. Increase funds for inflationary increases in real estate rents in Community Corrections. 11. Fund a day treatment program to serve 40 youths per day. 12. Raise MATCH (Specialized Residential Foster Care) provider rates by 4%. 13. Provide funds for a 4% increase in Institutional Foster Care rates. 14. Realign object classes associated with contracted services. All contracts for which services are purchased to directly benefit a child are moved to the Service Benefits for Children object. 15. Increase Title IV-E reimbursement for children receiving services in out-of-home settings. 16. Increase Medicaid reimbursement for children receiving services in out-of-home settings. 3,861,970 72,688 1,500,000 1,074,604 245,000 1,072,711 499,000 491,711 100,000 71,336 730,000 602,015 242,821 Yes (4,242,312) (5,337,187) TOTAL ENHANCEMENT FUNDS $984,357 TOTAL STATE FUNDS 340 $275,436,203 DEPARTMENT OF JUVENILE JUSTICE Functional Budget Summary 1. Regional Youth Detention Centers FY 2001 Appropriations Total State 64,563,090 63,059,130 FY 2002 Recommendations Total State 68,382,564 66,878,604 2. Youth Development Centers 84,883,195 82,288,841 70,354,059 68,412,204 3. YDC Purchased Services 4. Court Services 27,030,680 27,870,457 26,291,282 27,607,962 43,550,703 32,330,036 42,458,806 27,825,229 5. Day Centers 527,095 527,095 528,698 528,698 6. Group Homes 7. Law Enforcement 8. Community Corrections Purchased 1,203,970 2,703,120 43,386,737 1,203,970 2,703,120 42,253,961 1,210,382 1,337,653 46,868,621 1,210,382 1,337,653 40,346,309 9. Assessment and Classification 740,493 740,493 742,096 742,096 10. Multi-Service Centers 11. Administration 4,056,561 18,135,067 3,966,561 18,114,469 4,078,778 18,545,867 3,988,778 18,525,269 12. Training 3,150,437 3,150,437 3,182,175 3,182,175 TOTAL APPROPRIATIONS $278,250,902 $271,907,321 $291,111,632 $275,436,203 RECOMMENDED APPROPRIATION: The Department of Juvenile Justice is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $275,436,203. 341 DEPARTMENT OF JUVENILE JUSTICE Roles and Responsibilities The Department of Juvenile Justice (DJJ) is responsible for protecting the public's safety, providing services whose outcome results in changed behavior, and ensuring accountability for juveniles assigned to its custody. In fulfilling this responsibility, DJJ is to provide for the supervision, detention, and rehabilitation of juvenile delinquents committed to the state's custody by: Maintaining safe, secure, and constitutionally acceptable detention facilities; Providing programs and other services directed toward developing changed juvenile behavior; Developing and implementing programs designed to ensure individual accountability of youth within its custody; Operating and providing prevention programs; Providing for the treatment of juvenile offenders with specialized needs; and Ensuring departmental employee accountability to the public. Aside from internal support, including an independent quality assurance division, DJJ carries out its operations through 2 main divisions: facilities and community corrections. FACILITIES The Facilities Division is responsible for operating all secure detention facilities that provide both temporary and long-term secure care. The division is divided into 2 primary sections: Regional Youth Detention Centers and Youth Development Campuses. Youth development campuses are secure state institutions that provide a residential setting for juveniles including academic, recreational, vocational, medical, counseling, and religious services. Two types of beds exist in the YDC system. The first is a regular commitment bed filled with a child committed to the state by a juvenile court. These youths may stay in a commitment status for up to 5 years, but may or may not spend all of that time within a YDC. The second type of child is one sentenced by a juvenile court to spend 90 days within a state YDC. The department performs thorough assessments of those youth designated to spend time within the YDC system. The classification system of DJJ incorporates risk to self and others, age, size, previous conduct, offense history, special needs, etc. In this way, the department can tailor the services given the child while ensuring his or her safety. Currently, the department operates 10 YDCs throughout the state with a total of 2,410 beds. Individual institutions range in size from 114 to 475 beds. In FY 2002, plans are to turn the Wrightsville and Irwin facilities over to the Department of Corrections. Funds from the Wrightsville facility will be used to contract with 3 vendors for 125 beds for Assessment and Orientation of youth and for 300 short-term beds. Funds from the Irwin facility will be used to contract for 176 beds. Future plans include the addition of a 150-bed facility that will increase the beds to 2,560 for the state by FY 2005. Regional youth detention centers are secure state institutions that detain youth until a court hearing can be held for him or her or until a permanent placement for the youth is available. Even though RYDCs are not programmed for longterm stays by juveniles, a full array of services is available for those children who stay there. Educational, medical, and mental health services are provided at these locations. The state has a capacity in the RYDC system of 1,089 beds. New facilities slated to go on-line by FY 2003 include replacements at Augusta, Crisp, Macon, Gainesville, and Rome RYDCs. These centers are old and designed during a time when their occupants needed less services. The department has developed an 80-bed prototype RYDC, the first of which will be open in Gainesville in 2002. The other replacement facilities will be patterned after this pilot site. Once all the replacements are in operation, the department will have an RYDC system capacity of 1,359. COMMUNITY CORRECTIONS The Community Corrections Division is responsible for the management and supervision of youth placed in community-based programs. Community corrections tailors the rehabilitative efforts of the department in an individual manner toward each child in its care. With the youths having a wide variety of problems, an expanded continuum of services must be used. Services in this division include group homes, multiservice centers, non-residential community schools, intensive supervision programs, and electronic monitoring. The department contracts out for many of these services, as well as for wilderness program slots and specialized residential treatment beds. This divis ion also contains the court services section. It consists of juvenile probation/parole specialists (JPPS) who are the case managers of the department's charges. They are located in local offices throughout the state. JPPSs provide intake services upon a youth's entry into the juvenile justice system. Upon commitment to the department, the JPPS is also instrumental in the development of the rehabilitative program developed for the juvenile. AUTHORITY Titles 15-11, 39-3, and 49-4A, Official Code of Georgia Annotated. 342 DEPARTMENT OF JUVENILE JUSTICE Strategies and Services The Governor's budget recommendation for the Department of Juvenile Justice focuses on continued efforts to improve systems and services and to expand alternatives to secure detention, as appropriate. Staffing ratios in facilities and in the community are improved and community-based programs are expanded. The FY 2002 budget recommends over $12 million for improved and expanded services, staffing and operations. An additional $17 million is recommended for capital improvements, repairs and construction, in the Amended FY 2001 budget. The state continues to operate in cooperation with the United States Department of Justice under the Memorandum of Agreement established in 1998. The department is working cooperatively in addressing any noncomp liance issues and developing appropriate plans of action to move toward full compliance. ALTERNATIVES TO DETENTION The Department of Juvenile Justice has partnered with the Annie E. Casey Foundation to launch a multi-year, multi-site project known as the Georgia Detention Alternatives Initiative. In many jurisdictions, judges and probation staff have only 1 of 2 options when faced with a youth who has been arrested and charged with an offense: they can either release the youth to parents or another responsible adult or lock up the youth in a secure detention facility. The department will coordinate efforts with local jurisdictions to develop alternatives to secure facility placement that will allow appropriate youth to be supervised in the commu nity while their cases are pending in juvenile court. The use of effective detention alternatives assures that those who do not require secure care are properly supervised in less costly programs, while the most serious offenders are appropriately supervised in a secure setting. The department will utilize a range of alternatives to secure detention (i.e., home confinement, tracking services, day and evening reporting centers, etc.) in Regional Youth Detention Centers (RYDCs) to reduce overcrowding and prevent the secure detention of status and other identified offenders. IMPROVING CONDITIONS OF CONFINEMENT The Memorandum of Agreement (MOA) between the State of Georgia and the U.S. Department of Justice addresses many issues which relate to "conditions of confinement" in DJJ facilities. A major component has been overcrowding at RYDCs. Sixty-four RYDC beds have been added in Dekalb, Gwinnett and Marietta. Case Expeditors were added in FY 2000 and FY 2001 to reduce the length of stay. The average length of stay in RYDCs is now less than 19 days. Great strides have been made to improve security. Defective locks have been replaced and fire protection systems have been upgraded at all facilities. Security coverage has improved with the addition of third-shift Juvenile Correctional Officers (JCOs) at all facilities. Improved pay for JCOs by increasing salaries to target has reduced the vacancy rate from 13% in FY 2000 to 8% in FY 2001 and continuing to drop. Part-time JCOs have been added to allow full-time JCOs to attend training. EDUCATIONAL SERVICES The department's goal is to provide all youth under its custody a complete general, vocational, and special education where appropriate. The office of education has oversight of the educational programs at all DJJ facilities, including development and implementation of policies and training programs. In conjunction with the Georgia Department of Education, the office has developed and implemented a comprehensive curriculum for instruction. The crux of being able to provide appropriate educational services is to accurately determine the educational level of a student quickly upon admission. The department has developed a plan to ensure that each youth is tested within 72 hours of admission. Regular and vocational education is an important function of the DJJ educational system, but special education classes are also becoming a major need among juveniles. A partnership between DJJ and the Department of Technical and Adult Education has been developed to expand vocational education programs and improve employment opportunities for long-term youth. Many youths admitted to a DJJ facility need some form of special education. For some, the need may be only 1 class a day. For others, the need may be much greater. Testing has been refined to identify special education needs of youth, and teachers have been added to ensure a 12-to-1 ratio of special education students to special education teachers in the department statewide. Guidance counselors have been added at all Youth Development Campuses (YDCs) to assist in addressing the needs of youth within the system. The department also ensures that all youth eligible for attaining a General Educational Development certificate have access to appropriate materials. MENTAL HEATH CARE The mental health care component of the department is to ensure that all youth within the system receive appropriate mental health care and treatment services. The office of mental health provides oversight in the provision of services required to meet the mental health needs of youths. Problems can range from drug and alcohol dependency to sexual or physical abuse histories. A key link in the mental health system is a quick and accurate diagnosis of individual problems. The department has developed a mental health and suicide risk screening instrument for use in all DJJ facilities. 343 DEPARTMENT OF JUVENILE JUSTICE Strategies and Services Intake screening is done on each youth admitted into a DJJ facility, usually a regional youth detention center. Upon admittance to a long-term youth development campus, each youth will receive a complete mental health needs assessment reviewed by a psychologist. Protocols have also been developed for referral of youth with mental health needs. Once a need for mental health treatment is indicated, a treatment plan is developed. If a juvenile is identified with severe mental illness that cannot be provided for in an RYDC or YDC, then the youth is designated as needing an alternative placement in a forensic psychiatric facility or other setting consistent with the youth's mental health needs. When developing a mental health treatment plan for a youth in its custody, DJJ takes a holistic approach. Plans are individualized; Psychological issues are addressed; Needed medication is identified; Planned activities are developed; A behavior management plan is undertaken; Needed counseling is provided; An analysis of the youth's current placement is performed; Families are brought into the treatment plan; and A transition plan is developed for his or her return to the community. Mental Health Services has been improved by increasing the hours of psychiatric and psychological care provided at all facilities. Substance Abuse Counselors, Social Services Providers, and Mental Health Nurses have been added at all facilities. MEDICAL CARE The department ensures that adequate medical care is provided to all state juveniles. Physician Assistants and 24hour nursing coverage have been added in the last year to meet this provision. An extensive part of the department's medical plan includes a system for proper screening and a physical exam upon admission. To complement that initial step, DJJ also provides all youths with access to physicians for medical care. The department's health appraisal for youth entering the system is to evaluate the health status of the juvenile to determine medical treatment needs and appropriate medical classification and restrictions. Medical care consists not only of screening, but also of a comprehensive effort throughout the DJJ system. It includes: Dental care, including treatment to prevent loss and to provide cleaning services; Timely access to appropriate medical specialists and hospitalization when indicated; and 24-hour infirmary services, as appropriate. PHYSICAL CAPACITY Youth development centers are secure state institutions that provide a residential setting for juveniles including academic, recreational, vocational, medical, counseling, and religious services. Two types of beds exist in the YDC system. The first is a regular commitment bed filled with a child committed to the state by a juvenile court. These youths may stay in a commitment status for up to five years, but may or may not spend all of that time within a YDC. The second type is for a child that is sentenced by a juvenile court to spend 90 days within a state YDC. Currently, the department operates ten YDCs throughout the state with a total of 2,410 beds. In FY 2002, plans are to turn the Wrightsville and Irwin facilities over to the Department of Corrections. Operating funds from the Wrightsville facility will be used to contract with three vendors for 125 beds for Assessment and Orientation of youth and for 300 short-term beds. Funds from the Irwin facility will be used to contract for 176 beds. Existing beds at the new Sumter YDC and other campuses will be used to facilitate the transfer of long-term youth currently in the Wrightsville and Irwin facilities. Future plans include the addition of a 150-bed facility that will increase the beds to 2,560 (includes new contracted short-term beds) by FY 2005. Additionally, the Governor is recommending pre-design funds for an additional YDC, based on population projections that indicate a continued need for additional beds as well as the growing cost of operations and repairs at several of the systems older facilities. Regional youth detention centers are secure state institutions that detain youth until a court hearing can be held for him or her or until a permanent placement for the youth is available. Even though RYDCs are not programmed for longterm stays by juveniles, a full array of services are available for those children who stay there. Educational, medical, and mental health services are provided at these locations. The state has a capacity in the RYDC system of 1,089 beds. New facilities slated to go on-line by FY 2003 include Crisp and replacements at Augusta, Macon, Gainesville and Rome RYDCs. These centers are old and designed during a time when their occupants needed less services. The department has developed an 80-bed prototype RYDC, the first of which will be open in Gainesville in 2002. The other replacement facilities will be patterned after this pilot site. Once the new facility at Crisp and all the replacements are in operation, the department will have an RYDC system capacity of 1,359. 344 DEPARTMENT OF JUVENILE JUSTICE Results-Based Budgeting COMMUNITY BASED JUVENILE OFFENDER PROGRAMS Purpose: Assists juvenile offenders in becoming law-abiding citizens through community based programs and services. Goal 1: Juvenile offenders will become law-abiding citizens. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired -At least 40% of committed youth discharged from community programs in FY 1999 will not be recommitted to the department between release and the 3-year period ending FY 2002. [1] >40% 35% 1,663 of 4,760 >40% >40% - At least 85% of committed youth discharged from a community program in FY 2001 will not be recommitted to the department between release and the 1-year period ending FY >85% 91% 2,800 of 3,066 >86% >85% 2002. [1] - At least 94% of youth probated in FY 2001 will not be 96% committed to the department between release and the 1-year >94% 12,158 of >94% >94% period ending FY 2001. 12,684 Program Fund Allocation -- Total Funds $65,621,817 $76,055,246 $79,570,349 State Funds $64,167,011 $74,321,334 $75,285,895 Note: 1 - Previous years' RBBs indicated a measure of recidivism to both the state's juvenile and adult correctional systems; this was incorrect. The measure was of recommitment only to the Department of Juvenile Justice. YOUTH DEVELOPMENT CAMPUS JUVENILE OFFENDER PROGRAMS Purpose: Protect the public by supervising juvenile offenders in a safe and secure setting and to assist juvenile offenders to become law-abiding citizens. Goal 1: Juvenile offenders will be supervised in a safe and secure environment. -There will be no escapes from YDCs in FY 2002. -The assault rate of juvenile by other juveniles will be less than 14 per 100. FY 2000 Desired 0 <14 per 100 FY 2000 Actual 2 32/100 FY 2001 Desired 0 <14 per 100 FY 2002 Desired 0 <14 per 100 Goal 2: Juvenile offenders will become law-abiding citizens. -At least 40% of committed youth discharged from a YDC in FY 1999 will not be recommitted to the department between release and the 3-year period ending FY 2002. [1] 40% 32% 250 of 784 40% -At least 87% of committed youth discharged from a YDC in FY 2001 will not be recommitted to the department between release and the 1-year period ending FY 2002. [1] 87% 78% 648 of 828 87% >40% >87% Program Fund Allocation -- Total Funds State Funds Note: $121,204,477 $123,357,899 $129,059,225 $117,328,966 $120,545,578 $122,110,049 1 - Previous years' RBBs indicated that the department was measuring recidivism to both the state's juvenile and adult correctional systems; this was incorrect. The measure was of recommitment only to the Department of Juvenile Justice. 345 DEPARTMENT OF JUVENILE JUSTICE -- Results-Based Budgeting REGIONAL YOUTH DETENTION CENTER JUVENILE OFFENDER PROGRAMS Purpose: Protect the public by supervising juvenile offenders in a safe and secure setting and to assist juvenile offenders to become law-abiding citizens. Goal 1: Juvenile offenders will be supervised in a safe and secure environment. -There will be no escapes from RYDCs in FY 2002. -The assault rate of juvenile by other juveniles will be less than 17 per 100. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 0 <17 per 100 FY 2000 Actual 2 8 per 100 $65,077,618 $63,485,384 FY 2001 Desired 0 <17 per 100 $78,837,757 $77,040,409 FY 2002 Desired 0 <17 per 100 $82,481,460 $78,040,259 TOTAL - All Programs Total Funds State Funds $251,903,912 $278,250,902 $291,111,034 $244,981,361 $271,907,321 $275,436,203 346 DEPARTMENT OF LABOR Total Budgeted Positions -- 1,992 Commissioner of Labor 15 Intergovernmental Relations 4 Human Resources 19 Communications 4 Training and Quality 6 Administrative Program Services Analysis 74 4 Budget, Finance and Contracts 58 Marketing and Special Projects 2 Field Services 1,011 Safety Engineering 37 Deputy Commissioner Employment and Training 3 Job Training 29 Information Services 89 Information Technology 25 Labor Information 51 Economic Development 3 Unemployment Insurance (UI) 465 Employment Service 93 347 DEPARTMENT OF LABOR -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Payments to the State Treasury JTPA/WIA Contracts Capital Outlay Purchase of Service Contracts Special Purpose Contracts Case Service Funds Major Maint. & Repairs Total Funds 88,431,349 12,932,714 1,574,275 78,145 2,178,700 2,764,509 11,088,352 10,806,786 1,768,814 1,749,131 78,865,971 485,808 $212,724,554 FY 2000 Expenditures 93,109,597 9,225,179 2,112,569 22,986 1,033,476 2,654,065 7,916,497 4,617,147 1,316,625 1,287,478 77,330,577 $200,626,196 FY 2001 Current Budget 88,434,073 6,821,420 1,422,917 434,662 2,477,791 4,188,174 2,301,374 2,017,240 1,287,478 54,500,000 $163,885,129 FY 2002 Agency Requests Adjusted Base Enhancements Totals 178,536,434 20,828,935 3,273,907 50,582 1,537,714 8,072,234 15,963,426 5,177,320 5,168,879 1,287,478 54,500,000 12,354,651 885,245 41,304,191 305,000 $349,245,996 1,577,595 268,244 20,200 1,100 58,350 13,630 9,560,481 $11,499,600 180,114,029 21,097,179 3,294,107 50,582 1,538,814 8,072,234 15,963,426 5,235,670 5,182,509 1,287,478 54,500,000 9,560,481 12,354,651 885,245 41,304,191 305,000 $360,745,596 Less Federal & Other Funds: Federal Funds Other Funds Indirect DOAS Funding Total Federal & Other Funds TOTAL STATE FUNDS 183,761,299 7,712,201 $191,473,500 $21,251,054 168,909,617 9,862,307 $178,771,924 $21,854,272 129,962,468 10,440,882 $140,403,350 $23,481,779 256,640,247 38,895,034 100,000 $295,635,281 $53,610,715 (200,000) ($200,000) $11,699,600 256,640,247 38,695,034 100,000 $295,435,281 $65,310,315 Positions Motor Vehicles 1,970 15 1,992 17 1,992 17 3,887 83 36 3,923 83 348 DEPARTMENT OF LABOR-- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Payments to the State Treasury JTPA/WIA Contracts Capital Outlay Purchase of Service Contracts Special Purpose Contracts Case Service Funds Major Maint. & Repairs Total Funds 88,434,073 6,821,420 1,422,917 434,662 2,477,791 4,188,174 2,301,374 2,017,240 1,287,478 54,500,000 $163,885,129 90,733,746 14,007,515 1,850,990 50,582 1,694,770 5,597,898 11,775,252 2,875,946 3,151,639 12,313,883 926,013 41,304,191 255,000 $186,537,425 Less Federal & Other Funds: Federal Funds Other Funds Indirect DOAS Funding Total Federal & Other Funds TOTAL STATE FUNDS 129,962,468 10,440,882 $140,403,350 $23,481,779 127,269,497 28,454,152 100,000 $155,823,649 $30,713,776 Positions Motor Vehicles 1,992 17 1,895 66 FY 2002 Governor's Recommendations Workload Adjusted Base 179,167,819 20,828,935 3,273,907 50,582 2,129,432 8,075,689 15,963,426 5,177,320 5,168,879 1,287,478 54,500,000 Enhancements 245,239 2,400 600 500 100,000 200 Totals 179,413,058 20,831,335 3,274,507 50,582 2,129,932 8,075,689 16,063,426 5,177,320 5,169,079 1,287,478 54,500,000 12,313,883 926,013 41,304,191 255,000 $350,422,554 $348,939 12,313,883 926,013 41,304,191 255,000 $350,771,493 257,231,965 38,895,034 100,000 $296,226,999 $54,195,555 3,887 83 $348,939 257,231,965 38,895,034 100,000 $296,226,999 $54,544,494 1 3,888 83 349 DEPARTMENT OF LABOR FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Non Recurring: predesign funds for the Orthotics and Prosthetics Department. 3. Transfer the Division of Rehabilitation Services from the Department of Human Resources along with department level administration expenses. 4. Increase in State Collected Funds. 5. Adjust GBA rental rates to a standard of $8.75 per rentable square foot. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide $100,000 to contract for consultant services to develop fundraising capabilities. 2. Replace the loss of federal funds to continue the operation of Tools for Life, a program that allows the disabled to receive assistive technology to work and live more independently. 3. Fund 1 position with related expenses to support Savannah Impact, a program that provides former offenders and at-risk-youth with job training and employment opportunities. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 23,481,779 379,355 (50,000) 27,815,000 2,565,966 3,455 $54,195,555 100,000 209,000 39,939 $348,939 $54,544,494 350 DEPARTMENT OF LABOR Functional Budget Summary 1. Department of Labor FY 2001 Appropriations Total State 163,885,129 23,481,779 FY 2002 Recommendations Total State 166,499,428 24,936,116 2. Division of Rehabilitation Services TOTAL APPROPRIATIONS $163,885,129 $23,481,779 184,272,065 $350,771,493 29,608,378 $54,544,494 RECOMMENDED APPROPRIATION: The Department of Labor is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $54,544,494. 351 DEPARTMENT OF LABOR Roles and Responsibilities The Department of Labor is empowered to administer federal labor programs and to enforce various state laws pertaining to labor, with an overall mission to promote the economic well-being of the state. The department, through its programs and services, plays an important role in the development of the state's workforce by providing training, services, protection, and information. TRAINING In a joint partnership with businesses and other community leaders, the department provides job training to economically disadvantaged youth and adults, older workers, summer youth, and dislocated workers to increase employment opportunities and improve the quality of the labor force in the state. The Workforce Investment Act of 1998 was designed to replace the Job Training Partnership Act (JTPA). Under the Workforce Investment Act, the Governor established the State Workforce Investment Board and named the Department of Labor as the lead agency for implementation of the new act. The department in conjunction with its partner agencies, the Departments of Human Resources and Technical and Adult Education has implemented the OneStop System to deliver comprehensive workforce development services to customers. For employers the department provides "no cost" labor exchange services that include the maintenance of interstate and intrastate job banks, employment screening, on the job training programs, and tax credits though the Worker Opportunities Tax Credit Act. SERVICES The department reduces the adverse impact of unemployment by providing monetary payments to eligible individuals for a limited period and by assisting employers in minimizing their unemployment insurance tax liability. During FY 2000, 200,804 unemployment claims were filed with the department. The department also provides federally-funded supplemental benefits to unemployed job seekers who have exhausted their regular unemployment insurance benefits. One of the department's primary responsibilities is the administration of the public employment service in the state through a statewide network of 53 offices. The department provides an array of services, which include: the referral of qualified applicants to employers who have listed job openings, counseling and other services to help evaluate workers' job skills and better prepare them for available jobs and the referral to services provided by other agencies in the community, such as job training, adult education, vocational rehabilitation, veterans' programs, medical care, and supportive services. The department provides basic readjustment services for "dislocated workers" whose job losses resulted from changing technology or other economic conditions. Additionally, the department serves 1,530 at-risk youth through its Jobs for Georgia Graduates program, offers placement and employment service to migrant/seasonal farm workers, disabled workers, and veterans. REHABILITATION SERVICES On July 1, 2001 the Department of Labor will be in charge of administering all of the responsibilities and duties for the Division of Rehabilitation Services from the Department of Human Resources. The Division of Rehabilitation Services provides opportunities for work and personal independence for Georgians with disabilities. In pursuit of this goal, they administer several programs to fulfill this mission. The Division of Rehabilitation Services is responsible for: the Business Enterprise Program, which assists severely visually impaired individuals in becoming private vendors; Georgia Industries for the Blind and Sheltered Employment which provides employment for severely visually impaired and disabled individuals; Roosevelt Warm Springs Institute for Rehabilitation, a statewide comprehensive rehabilitation facility that serves people with severe disabilities; Independent Living Services, educates people about increased self-sufficiency; Tools for Life which advocates the independence of Georgians with physical or mental impairments and their families through assistive technology devises and services; and Disability Adjudication Services which determines eligibility for Supplemental Security Income (SSI) and Social Security Disability Income (SSDI) benefits to ensure that individuals who are no longer eligible to receive these services discontinue receiving benefits. PROTECTION The department has responsibility for administering Georgia laws regulating the employment of children and regulatory responsibility for equipment, such as amusement and carnival rides, elevators, escalators, safety glass, high voltage apparatus, boilers, and pressure vessels . INFORMATION Compiling and disseminating labor market information is a primary responsibility of the department. Available information includes data on employment, worker availability, wages, and historic projected trends. Several of the statistical series published by the department, such as Georgia Labor Market Trends and Area Labor Profiles, serve as key indicators of the state's economic health. AUTHORITY Titles 8, 34, 39 and 46 of the Official Code of Georgia Annotated. The U.S. Vocational Rehabilitation Act of 1973, as amended; Georgia Rehabilitation Act. Title 30-2 and Title 49-9, Official Code of Georgia Annotated, Public Laws 93-112, 93-516, 94-230, 95-602, 98-221, 99-506, 100-230 and the Social Security Act, as amended. 352 DEPARTMENT OF LABOR Strategies and Services THE DIVISION OF REHABILITATION SERVICES TRANSFER TO THE DEPARTMENT OF LABOR On May 1, 2000, the Governor signed HB 172 into law necessitating the transfer of the Division of Rehabilitation Services from the Department of Human Resources to the Department of Labor as a component of a statewide focus on the employment of individuals with disabilities. The primary impetus for HB 172 was the Workforce Investment Act of 1998. The Workforce Investment Act represents an initiative to organize the various workforce development programs into an integrated workforce development system to better serve the citizens of Georgia. In this act, Congress linked Vocational Rehabilitation services for the disabled with mainstream employment services, requiring that the disabled be represented and their needs addressed throughout the planning and implementation of this system to ensure that they are better integrated into the workforce. The relocation of the Division of Rehabilitation Services to the Department of Labor reinforces the model that Congress wanted the states to follow. The statutory obligations of the Division of Rehabilitation Services are to support people with disabilities to realize their capabilities through selfsufficiency, assistance, and employment. This goal is expressed in each of the agency programs. The largest of this group is Vocational Rehabilitation, which provides a full range of rehabilitation services to help people with disabilities to become employed. The federal Rehabilitation Act that was amended in 1998 as Title IV of the Workforce Investment Act, sanctions the organization to assess, train, educate, place, and provide reasonable accommodation that is individualized to meet the client's and employers needs. Every client is given information to make educated choices regarding employment objectives, services, and service providers for the entire time that they need assistance. Services are provided locally through 54 offices located in the 12 state service delivery regions and on the campus of the Roosevelt Warm Springs Institute for Rehabilitation. The Division also contracts vocational services through 22 non-profit rehabilitation programs around Georgia. The Department of Rehabilitation Services work programs simultaneously generate and conserve tax dollars by helping people with disabilities to become employed. This effort allows employers in Georgia to have a larger supply of experienced staff from diverse backgrounds. These services consist of work readiness preparation, job analysis, accessibility surveys, job coaching, and supported employment. As a component of the services offered by Vocational Rehabilitation, supported employment is offered to clients to ensure that they remain employed. Supported employment services are available to people who have severe disabilities and are working in a competitive, integrated workforce. Supported services are adapted to the individual needs of the client. The service delivery team consists of the Vocational Rehabilitation counselor and the client as well as an account representative, who is a liaison to the business community, an assistive technology expert, a work preparation technician, and a program assistant. This team is supervised and assisted by an employment manager. Each team can also have representatives from the Business Enterprise Program, Disability Adjudication Services, and Roosevelt Warm Springs Institute of Rehabilitation. The service delivery teams are able to use computers and other equipment to create a "virtual office" to meet their clients' needs. During FY 2000, there were 25,166 persons with disabilities served. The Vocational Rehabilitation Program has placed 79% of their clients in positions for at least 90 days. The Business Enterprise Program, a sub-unit of the Vocational Rehabilitation program, provides employment to blind or severely visually impaired individuals as independent licensed vendors. There are currently 108 vending facilities in operation, providing work opportunities for 105 individuals. Vendors are located on federal, state, and private property. The Georgia Industries for the Blind also provides jobs for people who are blind or have severe visual disabilities. The Georgia Industries for the Blind is involved in manufacturing products for both private industries and government agencies. This program operates 2 facilities in Bainbridge and Griffin under the federal Javits -Wagner - O'Day Act. During FY 2000, the Georgia Industries for the Blind provided employment for 190 employees, of whom 90 are blind, with $7.7 million in sales. Roosevelt Warm Springs Institute for Rehabilitation is a statewide comprehensive facility that offers extensive residential, vocational, and outpatient services for people with a variety of disabling conditions. The Institute consists of a 215-bed hospital, a 78-bed physical rehabilitation unit, an industrial rehabilitation program, a Spinal Cord/Head Injury Registry, and outpatient services. The Roosevelt Warm Springs Institute for Rehabilitation also has a literacy and education curriculum that has certified teachers instructing students in methods to increase their literacy and educational levels, which prepares them to become self-sufficient, with better employment and educational opportunities. The Center for Therapeutic Recreation Complex is also located on site. It provides physical therapy and serves about 200 people a day. The Roosevelt Warm Springs Institute for Rehabilitation has developed relationships with employers in the surrounding area to give their students on-the-job training. 353 DEPARTMENT OF LABOR -- Strategies And Services Independent Living Services, like the other Rehabilitation programs, educates people with disabilities about being more self-sufficient. The Rehabilitation Act requires Independent Living Services that are provided through local non-profit agencies. These agencies are given grants through the Statewide Independent Living Council. Independent Living Services helps prepare clients to enter Vocational Rehabilitation programs. Another program provided by the Division of Rehabilitation Services is Sheltered Employment, which trains and employs people with severe disabilities that are unable to work in the competitive job market. The Division of Rehabilitation Services offers this type of employment with non-profit organizations. Tools for Life, is an additional opportunity for disabled Georgians to participate completely at both home and work. This program assists clients in obtaining assistive technology, regardless of their employment status or their ability to work. This program receives federal funds under the Technology-Related Assistance for Individuals with Disabilities Act, which helps overcome many of the barriers that prevent individuals from receiving proper treatment. The Division of Rehabilitation Services would like to continue this program with state support beyond the three years of eligibility that remains on their grant. Tools for Life's services also include assistive technology information resources and publications, training, legal services, technical assistance, and short-term loans of equipment for individuals in need of assistive technology. Therefore, with the transfer of the Division of Rehabilitation Services to the Department of Labor on July 1, 2001, this will be a unique opportunity to merge 2 organizations that have the same goal of giving Georgians a chance to experience personal independence and the ability to be gainfully employed. WELFARE TO WORK On December 31, 2000, 1,609 Georgia Temporary Assistance for Needy Families (TANF) recipients will have exhausted their 48 months of eligibility, the limit set by the state in 1997 as part of a federal mandated welfare reform initiative. With the passage of the Personal Responsibility and Work Opportunity Act of 1996, the number of TANF cases has significantly declined at both the state and national level. However, those remaining in the welfare system face substantial barriers that must be addressed in order to successfully transition from welfare to work. A Department of Human Resources study indicates that many of the remaining recipients have substantial barriers to employment. Over 10% of those remaining on TANF, as of October 2000, have received assistance for 48 months and longer, with the average number of months on assistance at 55.2 months. This is significant due to the fact that these clients will no longer be eligible for such assistance. To counteract this problem, the Department of Labor and the Department of Human Resources developed the GoodWorks program as a key component in offering assistance to those clients that need more support. The program prepares families to enter the workforce by offering job placement services, special education, childcare, transportation, subsidized training and substance abuse treatment. The GoodWorks program integrates exiting welfare-to-work services and utilizes a team approach to facilitate inter-agency case management. Currently, this program is operating in Richmond, Muscogee, Quitman, Harris, Talbot, Randolph, Clay, Steward, Bibb, and DeKalb Counties with several more under consideration or with pending contracts with local providers. This is especially significant for the individuals who will face exhausted benefits in the coming year. 354 DEPARTMENT OF LABOR Results-Based Budgeting FY 2002 WORKFORCE DEVELOPMENT Purpose: Assist individuals with employment preparation and training, to match eligible job seekers with available positions and to provide employers with training and employment-related services. Goal 1: Job seekers will be matched with appropriate employers and job openings. - The number of job seekers who find employment following job preparation services will increase by 4% from 136,277 in FY 2000 to 143,091 in FY 2002. FY 2000 Desired 136,277 FY 2000 Actual FY 2001 Desired FY 2002 Desired 133,986 143,091 [1] 143,091 [1] - Increase the level of satisfaction of employers with the employment-related services received from the 73.5% N/A [2] 77% 77% department. Goal 2: Maximize quality training and retraining opportunities that enable job seekers to find jobs. - The number of job seekers completing training services who find jobs and are still employed 13 weeks after the program will be maintained at the FY2000 level of 3,629 in FY2002. N/A [3] 3,280 N/A [3] N/A [3] Goal 3: Prepare youth for further training, jobs or military service entry. - The number of youth completing programs that obtain jobs and/or achieve enhanced skills will be maintained at the FY 2000 level of 750 in FY 2002. N/A[3] 934 N/A [3] N/A [3] Program Fund Allocation -- Total Funds $111,684,555 $100,640,524 $94,397,794 State Funds $6,720,512 $7,382,080 $7,808,761 Notes: 1 - Not likely to achieve a 5% increase, due to the excellent economy, lack of additional program staff and implementation of the Workforce Investment Act. 2 - No survey conducted in FY 2000. 3 - These goals and desired results need to be changed as the JTPA program was superceded by Title I of the Workforce Investment Act effective July 1, 2000. 355 DEPARTMENT OF LABOR - - Results-Based Budgeting LABOR MARKET INFORMATION Purpose: Gather, analyze and distribute a wide range of employment and employment-related data and statistics to support informed employment and economic development activities. Goal 1: Provide complete, accurate, useful and timely employment and employment-related data and analyses to the business community and the - Increase by two percentage points, from 89% in FY 2000 to 91% in FY 2002, the percentage of data users that find labor market information data and - Improve data accuracy by increasing the survey response rate of the Occupational Employment Statistics survey by 5% from 68% in FY 2000 to 71% - Improve data accuracy by increasing the sample size of the Current Employment Statistics survey by 5% from 9,188 in FY 2000 to 9,647 in FY 2002. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 89% 68% 9,188 FY 2000 Actual FY 2001 Desired FY 2002 Desired [1] 91% 91% 77% 71% 71% 10,100 9,647 9,647 $3,611,955 $0 $1,755,647 $0 $1,621,245 $0 Note: 1 - Surveys were not conducted in FY 1999 or FY 2000. A new survey will begin in FY 2001. UNEMPLOYMENT INSURANCE Purpose: Enhance Georgia's economic strength through collecting unemployment insurance taxes from Georgia's employers and through providing short-term income maintenance to eligible individuals who are unemployed through no fault of their own. Goal 1: Provide eligible individuals with timely and FY 2000 appropriate benefit payments. Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - 92% of eligible individuals who file an 92% 92% 92% 92% unemployment insurance claim will be paid within 21 days. Goal 2: Maintain and protect the solvency of the unemployment insurance trust fund. - Reduce the number of delinquent employer accounts by 5%, from 15,780 in FY 2000 to 14,991 in FY 2002. Program Fund Allocation -- Total Funds State Funds 15,780 33,182 14,991 14,991 $82,174,746 $58,019,376 $55,468,043 $11,978,820 $12,630,117 $13,715,853 356 DEPARTMENT OF LABOR - - Results-Based Budgeting REGULATION OF YOUTH EMPLOYMENT Purpose: Promote the safety and well-being of Georgia's working youth. Goal 1: Increase compliance with Georgia laws regulating youth employment. - The percent of violations found during child labor inspections will decrease in FY 2002. FY 2000 Desired 27% FY 2000 Actual 36% (309 of 860) (5) FY 2001 Desired 26% Program Fund Allocation -- Total Funds $414,259 $416,095 State Funds $414,259 $416,095 Note: 1 - Due to inspector training, more violations were detected and documented than in prior years. FY 2002 Desired 26% $423,383 $423,383 SAFETY TRAINING AND INSPECTIONS Purpose: Promote and protect public safety through a comprehensive inspection and enforcement program for boilers, pressure vessels, elevators, amusement and carnival rides. Provide training and information on workplace exposure to hazardous chemicals to state employees. Report industrial accidents and deaths to the Bureau of Labor Statistics and Occupational Safety and Health Administration in the U.S. Department of Labor. Goal 1: Reduce the number of accidents caused by faulty boilers and pressure vessels, elevators and escalators, and amusement and carnival rides. -The number of amusement and carnival ride accidents due to mechanical or structural failure of rides will not exceed the five year average of two per y- eTahre. number of elevator and escalator accidents due to mechanical failure will not exceed the five year average of five per year. FY 2000 Desired 2 5 FY 2000 Actual 2 4 FY 2001 Desired 2 5 FY 2002 Desired 2 5 -The number of boiler and pressure vessel accidents 2 due to mechanical failure will not exceed the four year average of two per year. Goal 2: Reduce the number of workplace accidents through increased employer awareness of safety issues. - Awareness of workplace safety issues will be 500 promoted through increased attendance of employers at the department's annual workplace safety conference, from 500 in FY 2000 to 525 in FY 2002. Program Fund Allocation -- Total Funds State Funds 0 2 2 450 525 525 $2,740,681 $3,053,487 $2,988,119 $2,740,681 $3,053,487 $2,988,119 Other Activities -- Total Funds State Funds $195,872,909 $29,608,378 Total Fund Allocation -- Total Funds State Funds $200,626,196 $163,885,129 $350,771,493 $21,854,272 $23,481,779 $54,544,494 357 [This page intentionally blank] 358 DEPARTMENT OF LAW Total Budgeted Positions -- 184 Attorney General 4 Executive Assistant Attorney General 1 Counsel to the Attorney General and Special Prosecutions 8 Regulated Industries and Professions 27 Criminal Justice 36 Commercial Transactions and Litigation 30 General Litigation 26 Government Services and Employment 29 Operations Division 23 359 DEPARTMENT OF LAW -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Library Total Funds Less Other Funds: Other Funds Governor's Emergency Funds Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 12,890,255 1,397,591 192,735 11,610 826,545 20,001,042 320,695 173,292 150,242 $35,964,007 21,997,157 111,920 $22,109,077 $13,854,930 175 FY 2000 Expenditures 13,391,365 1,324,989 170,208 20,944 73,762 826,545 19,287,154 448,580 175,743 157,548 $35,876,838 FY 2001 Current Budget 14,679,711 724,211 199,322 14,375 825,793 19,500,000 304,337 196,787 147,000 $36,591,536 FY 2002 Agency Requests Adjusted Base Enhancements Totals 14,831,813 763,746 199,322 465,020 15,296,833 763,746 199,322 14,375 826,548 19,500,000 322,414 196,787 157,000 $36,812,005 $465,020 14,375 826,548 19,500,000 322,414 196,787 157,000 $37,277,025 20,408,757 21,192,991 21,307,530 $20,408,757 $15,468,081 177 1 $21,192,991 $15,398,545 184 1 $21,307,530 $15,504,475 184 1 21,307,530 $465,020 8 $21,307,530 $15,969,495 192 1 360 DEPARTMENT OF LAW -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Library Total Funds FY 2001 Annualizers and Current Budget Adjustments 14,679,711 724,211 199,322 150,998 39,535 14,375 825,793 19,500,000 304,337 196,787 147,000 $36,591,536 30,711 18,077 10,000 $249,321 Less Other Funds: Other Funds Governor's Emergency Funds Total Other Funds TOTAL STATE FUNDS 21,192,991 $21,192,991 $15,398,545 113,435 $113,435 $135,886 Positions 184 Motor Vehicles 1 FY 2002 Governor's Recommendations Workload Adjusted Base 14,830,709 763,746 199,322 Enhancements 217,212 14,375 856,504 19,500,000 322,414 196,787 157,000 $36,840,857 $217,212 Totals 15,047,921 763,746 199,322 14,375 856,504 19,500,000 322,414 196,787 157,000 $37,058,069 21,306,426 $21,306,426 $15,534,431 184 1 21,306,426 $217,212 2 $21,306,426 $15,751,643 186 1 361 DEPARTMENT OF LAW FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENT 1. Increase staff by 2 attorney positions and fully fund 1 vacant attorney position and 1 vacant paralegal position. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS Governor's Recommendations 15,398,545 105,930 29,956 $15,534,431 217,212 $217,212 $15,751,643 RECOMMENDED APPROPRIATION: The Department of Law is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $15,751,643. 362 DEPARTMENT OF LAW Roles and Responsibilities The Department of Law, headed by the Attorney General, provides legal representation and advice to the departments, officials, and employees of the Executive Branch of state government. The Attorney General is a constitutional officer elected to a 4-year term in the same general election as the Governor. affairs of any person, firm, or corporation for violations in their dealings with the state. Additionally, the Department of Law houses and operates the State Law Library. This is a non-circulating law and legislative reference library that state government personnel and the general public may utilize. DUTIES The Attorney General and the Department of Law attorneys under his direction represent the state in civil and criminal cases, in all capital felony actions before the Georgia Supreme Court, in all actions before the United States Supreme Court, and in actions against district attorneys. As the chief legal officer of the state, it is the duty of the Attorney General to provide opinions on any question of law involving the interests of the state or duties of any department. It is also the responsibility of the Attorney General to prepare and review contracts and other legal documents in which the state is interested and draft proposed legislation or rules and regulations for state departments. When directed by the Governor, the Attorney General may investigate the affairs of any state department or the official conduct of any state official or employee, or the DEPARTMENT ORGANIZATION The Department of Law is organized into five legal divisions and an operations division, both of which are headed by the Attorney General division. The specialized legal divisions Regulated Industries and Professions, Commercial Transactions and Litigation, Criminal Justice, General Litigation, and Government Services and Employment provide a full range of legal services to state departments, agencies, authorities, boards, bureaus, commissions, and institutions. These Executive Branch entities reimburse the department for litigation expenses incurred, such as court costs, witness fees, filing costs, and reporting costs. AUTHORITY Article 5, Section 3 of the Constitution of the State of Georgia; Title 45, Chapter 15 of the Official Code of Georgia Annotated. 363 DEPARTMENT OF LAW Strategies and Services The Attorney General and his staff of attorneys at the Department of Law provide a full range of legal services for state departments, officials, and employees of the Executive Branch. The department's 103 attorneys respond to requests for legal assistance and representation in administrative hearings, state and federal court litigation, review of contracts and other legal documents, the acquisition of real property, bonded indebtedness matters, and legal advice or opinions. During FY 2000, the department opened files associated with over 8,800 requests for its legal services and advice. The department's attorneys do not handle the entire workload due to the high case volume, certain situations where a conflict of interest may exist, and instances of complex cases where external legal expertise is needed. In order to meet its legal obligations in a timely manner, the department retains private attorneys referred to as Special Assistant Attorneys General (SAAGs). Annually the department contracts with over 350 SAAGs and expends just under $20 million dollars for their services. About 60% of the total fees and expenses paid to SAAGs are incurred for legal work done on behalf of the Department of Human Resources and the Department of Transportation. REGULATED INDUSTRIES AND PROFESSIONS DIVISION One of three specialized sections within the Regulated Industries and Professions Division, the Consumer Interests Section primarily provides general representation to the Governor's Office of Consumer Affairs and works with state-level consumer protection agencies across the country in the pursuit of multi-state actions. Such cases are necessary to protect Georgia's consumers and, where appropriate, recover property that has wrongly been taken from them. This section is also responsible for monitoring the state's $4.8 billion tobacco settlement. The Environmental and Natural Resources Section principally represents the Department of Natural Resources, which includes the Environmental Protection Division. Through this representation the section plays a pivotal role in protecting the state's treasured natural resources. The State Licensing Boards Section provides representation to the various regulatory boards operating under the auspices of the Secretary of State. These include the State Board of Nursing Home Administrators, the Georgia Board of Nursing, and the State Construction Industry Licensing Board. COMMERCIAL TRANSACTIONS AND LITIGATION DIVISION Also comprised of three sections, the Commercial Transactions and Litigation Division provides legal representation related to the state's commercial transactions and financial interests. The Tax Section represents the Department of Revenue in all matters, including litigation that focuses on complicated state and federal tax issues. The Business and Finance Section handles litigation and provides advice related to the financial affairs of the state, including the appropriations process, bond sales, contracts, and bankruptcy issues. The Real Property, Construction, Transportation, and Authorities Section represents the Department of Transportation, the Georgia Regional Transportation Authority, and the newly created Georgia Technology Authority among others. CRIMINAL JUSTICE DIVISION Staff attorneys in the Criminal Justice Division represent and advise the law enforcement and public safety interests of the state. The Public Safety Section provides general representation to the Georgia Bureau of Investigation (GBI), the Department of Public Safety, and the Department of Corrections. The Capital Litigation Section handles all death penalty appeals in the Georgia Supreme Court and the Unites States Supreme Court, while the Post Conviction Litigation Section oversees all nondeath penalty capital felony appeals and related habeas corpus cases. The Healthcare Fraud Section, in conjunction with the GBI and the State Auditor, investigates and prosecutes cases involving Medicaid fraud and patient abuse. GENERAL LITIGATION DIVISION The Tort Litigation Section of the General Litigation Division represents departments sued under Georgia's Tort Claims Act for claims of personal injury, property damage, and wrongful death. The Civil Rights Litigation Section of the division represents elected officers and employees sued for damages in their individual and official capacities in civil rights actions. GOVERNMENT SERVICES AND EMPLOYMENT DIVISION Within the Government Services and Employment Division, the Labor and Employment Section litigates applicable actions for all Executive Branch entities. Staff attorneys of the division's Human Resources Section represent the interests of its two massive clients, the Department of Human Resources and the Department of Community Health. The third section of the division the Education, Elections, Local Government, and Judiciary Section represents a variety of entities including the Board of Regents, the Department of Education, and the Elections Division of the Secretary of State's Office. This section also coordinates all open government inquiries and provides an informal open government dispute resolution process. 364 DEPARTMENT OF LAW Results-Based Budgeting Purpose: Protect the interests of the state and its citizens by providing legal services and legal representation to the Executive Branch of state government. Goal: The legal representation of the state, including cases, transactions, and opinions will be handled in an efficient manner. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Increase the number of cases, administrative hearings, and 5,544 4,114 5,683 4,217 potential litigation matters that are completed by 2.5%. - Increase the number of legal transactions (real property 3,612 2,740 2,983 2,773 acquisitions, bonded indebtedness matters, legal advice and opinions) completed by 1.2%. - Seventy percent of the requests for written opinions will be 97% 44% 70% 70% completed within 90 days. - Eighty percent of the state's executive agencies, when 80% NA 80% 80% surveyed, will state the Department of Law's services met their expectations in FY 2002. [1] Program Fund Allocation -- Total Funds $35,876,838 $36,591,536 $37,058,069 State Funds $15,468,081 $15,398,545 $15,751,643 Note 1 - The department does not collect data for this desired result. TOTAL - All Programs Total Funds State Funds $35,876,838 $36,591,536 $37,058,069 $15,468,081 $15,398,545 $15,751,643 365 [This page intentionally blank] 366 MERIT SYSTEM OF PERSONNEL ADMINISTRATION Total Budgeted Positions -- 143 State Personnel Board Commissioner 17 Employee Benefits/ Deferred Compensation 27 Compensation and Staffing 43 Customer Services 10 Administration and Systems 27 Training and Organizational Development 19 367 MERIT SYSTEM OF PERSONNEL ADMINISTRATION Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Health Claims Expense Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds FY 1999 Expenditures 9,149,619 1,724,333 147,716 891,276,235 31,189 893,371 278,712,221 4,249,037 407,325 88,555 $1,186,679,601 Less Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS 1,154,179,601 $1,154,179,601 $32,500,000 Positions 202 FY 2000 FY 2001 Expenditures Current Budget 7,236,315 964,633 107,145 7,900,221 992,269 95,263 33,768 747,294 1,885,255 2,886,035 158,748 23,127 767,856 1,213,574 2,124,165 214,277 $14,019,193 $13,330,752 14,019,193 $14,019,193 13,330,752 $13,330,752 145 143 FY 2002 Agency Requests Adjusted Base Enhancements Totals 7,988,554 1,045,273 107,263 53,658 23,222 3,000 8,042,212 1,068,495 110,263 767,856 1,250,814 2,124,165 184,400 6,500 226,000 27,500 6,500 767,856 1,476,814 2,151,665 184,400 $13,468,325 $339,880 $13,808,205 13,468,325 $13,468,325 339,880 $339,880 13,808,205 $13,808,205 143 143 368 MERIT SYSTEM OF PERSONNEL ADMINISTRATION Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Health Claims Expense Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds Less Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions FY 2001 Annualizers and Current Budget Adjustments 7,900,221 992,269 95,263 88,333 53,004 12,000 23,127 767,856 1,213,574 2,124,165 214,277 (23,127) (174,883) 37,240 (29,877) $13,330,752 ($37,310) 13,330,752 $13,330,752 (37,310) ($37,310) 143 FY 2002 Governor's Recommendations Workload Adjusted Base 7,988,554 1,045,273 107,263 Enhancements 203,799 18 Totals 8,192,353 1,045,291 107,263 592,973 1,250,814 2,124,165 184,400 $13,293,442 (240,500) 592,973 1,010,314 2,124,165 184,400 ($36,683) $13,256,759 13,293,442 $13,293,442 (36,683) ($36,683) 13,256,759 $13,256,759 143 3 146 369 MERIT SYSTEM OF PERSONNEL ADMINISTRATION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS (AGENCY FUNDS) Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Reclassify Board Member expenses from per diem, fees and contracts, to travel, in compliance with recent rulings on compensation by the Attorney General. 3. Adjust regular operating expenses based on FY 2000 expenditure levels. 4. Increase equipment for lease copiers. 5. Transfer funds requested from equipment, to regular operating expenses to reflect copier rental. Other Adjustments: 6. Reduce telecommunications. Workload: 7. Provide for volume increases in contracts for the charitable contributions program and flexible benefits program. 8. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Establish internet and CD-ROM driven Performance Management "anytime, anywhere" training programs for managers and supervisors. 2. Redirect 3 Information Technology consultants ($268,000) to state positions ($203,817). TOTAL ENHANCEMENT FUNDS TOTAL AGENCY FUNDS 13,330,752 88,333 Yes 18,972 10,905 Yes (29,877) 49,240 (174,883) $13,293,442 27,500 (64,183) ($36,683) $13,256,759 RECOMMENDED APPROPRIATION: The Merit System of Personnel Administration is funded from assessments and contract fees. The FY 2002 recommended assessment to be levied on all state agency authorized positions for providing a base level of statewide services should be no more than $147 per authorized position. 370 MERIT SYSTEM OF PERSONNEL ADMINISTRATION Roles and Responsibilities The Merit System of Personnel Administration is the state's central agency for assisting state agencies in recruiting qualified individuals for positions within the executive branch of state government. The agency is also the state's central recordkeeping agency for state employee data and the central means of monitoring state personnel practices. The enactment of SB 635, passed during the 1996 Legislature, decentralizes the state's personnel administration system, allowing agencies the freedom to assume from the Merit System the responsibility for a variety of personnel recruitment and administration duties. COMMISSIONER'S OFFICE The Commissioner's Office provides overall direction, leadership, and management of the agency to include the areas of legal services, marketing, public relations and information services, policy analysis and development, and budget administration. The office also coordinates requests for proposal processes for statewide benefit plans and contract negotiations and management. CUSTOMER SERVICE This program furnishes research, counseling, and education in equal employment opportunity and diversity; evaluation, counseling, mediation and education in management/ employee relations; and management of the state's employee recognition, charitable contribution and employee suggestion programs. The division also provides human resource services to state agencies through personnel policy consultation and interpretation and statewide drug testing functions. TRAINING AND ORGANIZATION DEVELOPMENT The Training and Organization Development Section provides services to agencies statewide including: training and workforce development assessments; production and delivery of skill-based employee training or Train-the Trainer programs; coordination and delivery of management training on the state's pay for performance and results-based budgeting; and assistance to agencies in development and implementation of customized performance improvement strategies. Resources made available to agencies include the Georgia Merit System Training Center facility, equipped with training rooms, GSAMS teleconferencing equipment and technicians, satellite downlink capability, and a resource center of information on private sector training providers and programs, training materials, and video tapes. COMPENSATION AND STAFFING The Compensation and Staffing Section provides technical assistance in human resource services; consultation and assistance to state agencies in recruiting, hiring and keeping employees who will get the state's business done for the best dollar value. This involves maintaining a market sensitive pay structure, conducting targeted and core business recruitment, assessing and evaluating job applicants, and consulting with state agencies to maximize the return on state dollars dedicated to the state work force. The division is involved in job labor market research and analysis, development and implementation of equitable pay and rewards processes, general and specialized recruitment and dissemination of job hiring process information, the design and administration of competency-based screening procedures (such as work sample tests, structured interviews, work history evaluations and qualifications reviews), developing and maintaining model processes, and conducting evaluations of agency personnel practices pursuant to Act 816. EMPLOYEE BENEFITS The Employee Benefits plans include benefits such as group term and dependent life insurance, accidental death and dismemberment insurance, dental insurance, legal insurance, and medical and childcare spending accounts. The program is involved in benefit design and communication, maintaining employee eligibility records, interacting with agency benefit coordinators, monitoring contractors providing insured benefit products, and review of benefit plans and products. Deferred Compensation staff administer the State Deferred Compensation Plan. Duties entail monitoring contractor compliance and performance and the investment and distribution of deferred comp ensation funds. ADMINISTRATION AND SYSTEMS The Administration and Systems Division furnishes internal administrative and technology services for the Georgia Merit System and to a lesser degree to other state agencies. Administrative services provided by the division include strategic planning, mailroom operations, financial services, purchasing, and budget. Technology services provided by the division include long-range information planning; design and maintenance of the FLEX system to support the Flexible Benefits program; design and support for custom applications (PM Tools, Atlas, etc.) used by the Georgia Merit System and other state agencies; and maintenance of the internal personal computer network. AUTHORITY Titles 20 and 45 of the Official Code of Georgia Annotated. 371 MERIT SYSTEM OF PERSONNEL ADMINISTRATION Strategies and Services The Merit System of Personnel Administration utilizes an assortment of programs and services in monitoring and coordinating personnel administration and benefit plans within state government. The enactment of SB 635 in FY 1997 continues to significantly reshape the role of the Merit System and state agencies in the selection, hiring, and management of personnel. Agencies now are free to assume certain personnel administration activities from the Merit System if they choose, and all new state employees hired are exempt from the classified service and its administrative and procedural restrictions. As a consequence, the Merit System is moving from its traditional role as the central personnel administration authority for state agencies, to one of consultation, technical support, and review. Examples of the department's strategies and services regarding addressing this new role appear below. WORKFORCE PLANNING A major initiative for the Georgia Merit System is to facilitate the development of a Workforce Planning Strategy for the Georgia State Government workforce. A critical component to state government business productivity and effectiveness is the strategic deployment of a workforce possessing the competencies needed to achieve business results consistent with state agency missions, goals, and objectives. The major deployment of the workforce by occupation reflects over half the workforce is dedicated to the 3 areas of law enforcement, health care, and social services. The effect of the current economic boom and gaps in the state's workforce infrastructure puts state program outcomes in jeopardy. For example, the state currently is facing dire difficulties in hiring and is experiencing such high levels of turnover that agencies are in serious jeopardy of missing the mark on fundamental business expectations. Two factors of concern are the relatively low tenure rate of a sizable proportion of the workforce and the high turnover of recent state hires. Workforce planning is the strategic framework for looking at these and other workforce dynamics and developing cohesive approaches for remedy. In the 2000 General Assembly, the Governor and the Legislature recognized the benefits of a strategic planning focus for the state's workforce and asked each state agency to use this approach on an annual basis. The Georgia Merit System was designated as the lead agency in this initiative and has established an interagency committee of top department heads to develop state guidelines and processes to move forward. The potential return on investment is enormous, since only one factor, turnover, costs the taxpayers of Georgia millions each year. The results on quality service and the impact on those for whom government provides the crucial safety net are even more dramatic. Outcomes are produced by people and state government must find and keep the best possible talent for its citizens. PERFORMANCE MANAGEMENT REVIEW A new performance management process was implemented for the state workforce in 1995-1996. It was the culmination of 3 years of study initiated by gubernatorial directive and included variable pay tied to performance criteria. Among the main purposes of this approach was the fostering of higher levels of performance and the alignment of worker rewards to results. In FY 2000 and FY 2001, an evaluation of the effectiveness of the new process is being conducted and involves 3 main components: Employee Survey. A comprehensive survey was developed and distributed to over 3,000 state workers and supervisors. Input was sought on various issues, including the performance management process and requirements, pay delivery and training for performance management, and effects/results of performance management. Longitudinal Trend Analysis. Employee data spanning a decade were mined to identify potential issues and effects of the 1995-96 changes. Inquiries ranged from performance rating distribution, to turnover comparisons, to issues of tenure and promotions. GeorgiaGain Advisory Committee of Department Heads. Key agency leadership were assembled to input their perspectives on the effectiveness of the performance management process to review the results of the Employee Survey and the Longitudinal Trend Analysis and to provide for potential improvements. The Georgia Merit System has provided leadership, facilitation and technical support to this initiative and will have the major role in the development and implementation of recommended modifications to the state performance management system in FY 2002. NEW EMPLOYEE B ENEFITS Since the implementation of the State of Georgia Flexible Benefits Program in 1986, the number of benefit options have grown and benefits have been enhanced to provide choices for varying lifestyles and security needs for over 85,000 eligible employees. Recent enhancements to the program include: Prepaid Dental Plan. During the 2000-2001 Flexible Benefits Program Open Enrollment period, a prepaid dental option was offered to employees living in the metropolitan Atlanta, Augusta, Savannah, Columbus, and Macon areas. The prepaid option offers employees the advantage of receiving services without deductibles, waiting periods, late entrant limitations, or annual maximums. Flex Convenience Card. Effective September 1, 2000, the Georgia Merit System announced the 372 MERIT SYSTEM OF PERSONNEL ADMINISTRATION -- Strategies and Services implementation of the FLEX Convenience Card for State of Georgia Flexible Spending Account (FSA) participants. The FLEX Card allows for easier access to the funds set aside in a participant's Health Care and Dependent Care Spending Account by transferring from their FSA directly to certain providers to cover an expense with no further out of pocket cost and no need to file a claim for reimbursement. Flextrans. To help with the challenge of improving air quality by reducing traffic congestion, legislation known as "Qualified Transportation Fringe Benefits" was introduced under Section 132 of the Internal Revenue Code to allow employers to offer their employees qualified transportation and parking benefits. Effective July 1, 2000, the Georgia Merit System implemented the State of Georgia Pre-Tax Transportation Program, Flextrans. Under this program, State of Georgia payroll deductions for vanpool, MARTA Transcard, and parking are automatically taken on a pre-tax basis, with no additional enrollment processes. In addition to offering a tax savings for State of Georgia employees, administrative costs for State of Georgia employers have been extensively minimized due to FICA tax savings. Self-Directed Brokerage Option (SDO). An SDO is a mechanism by which participants may invest in a much broader universe of investment options outside the core lineup of funds offered by the Deferred Compensation Program, and would also provide a means for participants to have continued access to funds that become "inactive" in the core lineup due to consistent under-performance. The Self Directed Brokerage Option would be available at the outset only to provide access to a broad selection of mutual funds. The SDO will be implemented in the spring of 2001. E-COMMERCE/E BUSINESS The Georgia Merit System supports the Governor's mandate to move the state's business processes to web enabled applications on the internet. This provides the Merit System a unique opportunity to streamline business processes and to make information more readily accessible to the public and to other agencies through the internet. E-Commerce/E-Business applications include: The Job Site. The Georgia Merit System has been offering an on-line application and recruitment system for applicants seeking jobs since January 2000. The site contains an average of 250 job vacancies on any given day with 74 departments and agencies using this resource for recruitment. The database of applicant resumes includes 16,000 resumes with an increasing number of applicants applying on-line through the Applicant Resource Center. Electronic Open Enrollment for Benefits. On-line open enrollment will provide a more flexible, responsive, and less costly process for providing enrollment benefits each spring when 80,000 participants select the benefit options they desire. An electronic enrollment process could eliminate almost all paper collection processes. Employees would receive their option alternatives on paper and they would select options by Internet. The employee would receive a confirmation statement by mail to verify the options selected were correct. The state's databases would then be updated electronically for those options selected by participants for the plan year enrollment year. There would be appropriate follow-up for those participants who did not make their selections. Appropriate venues would be made available for option selections with regard to Americans with Disabilities Act (ADA) issues. State Charitable Contributions Program. A process similar to the electronic open enrollment process is planned for electronic enrollment in the State Charitable Contributions Program. This process will be fully funded by administrative fees from the program. Employee Suggestion Program. The Employee Suggestion Program has been automated providing participants the capability to submit suggestions using the Internet rather than the current paper process. This makes the program more accessible to employees, makes submission and processing more timely, provides for an automated record keeping system for suggestions, and allows staff to more easily generate statistics on program use. Temporary Services Staffing. The Georgia Merit System (GMS) will issue a statewide request for proposals for temporary staffing to ensure that customer agencies acquire the workforce they need in a flexible, responsive, and cost effective manner. GMS would perform centralized purchasing services associated with temporary staffing, including development and maintenance of standards for temporary staffing, development of a request for proposals, and selection of a roster of temporary staffing agencies. A statewide contract with multiple vendors should streamline temporary staffing and eliminate duplicate processes among state agencies and vendors. Funding for temporary staffing services would remain in various agencies. In addition, GMS assists agencies in recruiting and hiring temporary employees. The Georgia Merit System has lists of qualified people for some jobs, many of whom would be willing to work on a temporary basis. For the agencies requesting this assistance, the GMS contacts persons on the lists to see if they would be interested in temporary employment and have been able to meet some agencies' temporary staffing needs. Through fee contracts, the GMS also provides assistance to agencies in reference checking, testing, or screening based on specified criterion, as well as interviewing potential candidates to be referred to agencies. 373 GEORGIA MERIT SYSTEM -- Results-Based Budgeting EMPLOYEE BENEFITS Purpose: To recruit and retain state employees while minimizing employee and employer cost of high quality benefits. Goal 1: State employees will perceive that benefits offered are satisfying. #NAME? FY 2000 Desired 85% - Percentage of state employees who rate the Deferred Compensation Plan as satisfying in terms of product, cost, and services offered. Goal 2: State employees will perceive benefits offered as a good value. - Percentage of surveyed employees who rate the Flexible Benefits Plan as a good value. - Percentage of surveyed employees who rate the Deferred Compensation Plan as a good value in terms in terms of product, cost, and services offered. Goal 3: Minimize tax liability and cost for employer and employee. - Maintain favored tax status of the benefit plan. - Maintain favored tax status of the benefit plan. Goal 4: Effectively manage deferred compensation plan for state employees. - Rate of return of each investment option to that of the appropriate index (ROI) based on 3 and 5 year returns. [1] Program Fund Allocation -- Total Funds State Funds Note: 1. Data in the correct format was not available by the publication date. 85% 85% 85% Yes Yes N/A[1] FY 2000 Actual 95% 310/326 93% 61/65 FY 2001 Desired 85% 85% FY 2002 Desired 85% 85% 88% 85% 85% 194/219 95% 85% 85% 62/65 Yes Yes Yes Yes Yes Yes N/A N/A N/A $6,592,475 $4,756,690 $4,497,126 STATE EMPLOYEE HIRING, PAY AND TRAINING Purpose: Provide customer agencies with technical assistance and direct services to recruit, develop, and retain skilled productive employees. Goal 1: Customer agencies will have access to a pool of quality FY 2000 FY 2000 FY 2001 FY 2002 candidates for the common jobs. Desired Actual Desired Desired - Percentage of customers (hiring managers) surveyed who evaluate 87% 88% 87% 87% referred applicants as "qualified" or "well qualified". - Percentage of new employees receiving initial performance 106/121 95% 95% 95% 95% evaluation of "meets expectations" or better. 92/96 Goal 2: Augment the ability of state agencies to identify and retain high performing employees. - Percentage of personnel and staff managers surveyed who rate 85% 95% 85% 85% Merit System consulting and technical assistance as "effective" or 92/106 "highly effective" in meeting their objectives. 374 GEORGIA MERIT SYSTEM -- Results-Based Budgeting Goal 3: Help agencies meet their human resource and organizational needs. - Percentage of surveyed employees who attend training who respond that productivity of employees improved because of skills/competencies acquired from training. - Percentage of surveyed managers of the employees who attended training who respond that productivity of employees improved because of skill/competencies acquired from training. - Percentage of customer organizations receiving distance learning services who respond in post assessment that services met agreed upon human resource development objectives. Percentage of organizations who receive human resource development, organizational development or coordination services who respond that services met desired objectives. - Percentage of customer agencies surveyed will respond that training services provided met agreed upon objectives. Goal 4: To provide customer agencies with high quality services for Alternative Dispute Resolution and Grievance process. - Percent of users that evaluate the services of hearing officers for grievances as meeting or exceeding their needs. - Percentage of surveyed user agencies and participants will evaluate the Alternative Dispute Resolution Service as satisfactory. Goal 5: Promote understanding of the best personnel practices and effective management by providing technical assistance in policy development and review. - Percentage of users that evaluate technical assistance in policy development services as very good and attest that it meets their needs. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 85% 85% 85% 85% 85% 83% 85% 85% FY 2000 Actual N/A FY 2001 Desired 85% FY 2002 Desired 85% N/A 85% 85% N/A 85% 85% N/A 85% 85% N/A 85% 85% 86% 87% 87% 25/36 91% 85% 85% 93% 88% 88% $7,426,717 $8,574,062 $8,759,633 TOTAL - All Programs Total Funds State Funds $14,019,193 $13,330,752 $13,256,759 375 [This page intentionally blank] 376 DEPARTMENT OF NATURAL RESOURCES Total Budgeted Positions -- 1,593 Attached for Administrative Purposes Only Lake Lanier Islands Development Authority Stone Mountain Memorial Association Jekyll Island-State Park Authority Georgia Agricultural Exposition Authority 55 Georgia State Games Commission 1 Civil War Commission Board of Natural Resources Legal Executive Assistant 2 Commissioner 14 Director 1 Environmental Protection Division 410 Coastal Resources Division 24 Parks, Recreation and Historic Sites Division 450 Program Support Division 73 Historic Preservation Division 26 Pollution Prevention Assistance Division 9 Wildlife Resources Division 528 377 DEPARTMENT OF NATURAL RESOURCES -- Financial Summary Unit A -- Department of Natural Resources Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay: - New Construction - Repairs and Maintenance - Land Acquisition - WMA Land Acquisition - Shop Stock - User Fee Enhancements - Buoy Maintenance - Paving - Waterfowl Habitat - ParkPass Projects Cost of Merchandise Resale Advertising & Promotion Nongame Wildlife Habitat Fund Revolving Loan Grants Grants: - Land and Water Conservation - Environmental Facilities - Georgia Heritage 2000 - Recreation Grants - National Park Service - Community Green Space - Other Contracts: - Cold Water Creek (COE) - Water Resources (USGS) Payments to the Georgia State Games Commission Payments to the Georgia Agricultural Exposition Authority 97,679,826 17,333,097 1,016,268 2,104,487 3,641,678 3,215,412 36,474,075 2,420,896 1,832,618 2,195,957 4,262,623 221,321 722,458 358,179 1,671,849 139,762 499,957 208,703 1,935,111 1,429,521 1,152,332 2,091,037 7,274,006 143,603 159,933 921,500 69,810 1,168,123 170,047 300,000 208,272 2,352,071 FY 2000 Expenditures 102,353,047 18,206,087 1,037,712 1,710,116 2,489,935 3,900,778 50,481,128 1,373,848 2,038,832 FY 2001 Current Budget 84,283,771 14,639,902 718,983 1,590,997 3,053,198 2,691,333 10,819,719 889,418 1,381,799 4,603,660 3,765,085 249,203 1,103,951 347,872 1,294,006 91,373 465,155 448,421 1,855,589 1,377,078 835,926 2,127,554 148,657 860,176 3,106,663 243,750 982,330 350,000 1,300,000 74,250 500,000 1,326,056 675,000 152,500 341,000 373,604 46,687 847,027 800,000 341,000 30,000,000 170,047 300,000 309,438 170,047 300,000 212,646 2,958,492 2,107,309 FY 2002 Agency Requests Adjusted Base Enhancements Totals $85,843,470 14,619,741 740,883 1,649,937 1,836,382 2,732,460 10,126,998 889,418 1,377,530 $3,842,979 865,077 85,400 208,575 47,000 128,745 710,237 344,460 79,000 $89,686,449 15,484,818 826,283 1,858,512 1,883,382 2,861,205 10,837,235 1,233,878 1,456,530 860,176 2,836,663 243,750 982,330 350,000 1,300,000 74,250 500,000 40,000 900,176 2,836,663 243,750 982,330 350,000 1,300,000 74,250 500,000 1,333,056 675,000 1,333,056 675,000 800,000 341,000 30,000,000 170,047 300,000 213,426 2,116,185 800,000 341,000 30,000,000 250,000 63,486 170,047 300,000 463,426 2,179,671 378 DEPARTMENT OF NATURAL RESOURCES -- Financial Summary Unit A -- Department of Natural Resources Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay: - New Construction - Repairs and Maintenance - Land Acquisition - WMA Land Acquisition - Shop Stock - User Fee Enhancements - Buoy Maintenance - Paving - Waterfowl Habitat - ParkPass Projects Cost of Merchandise Resale Advertising & Promotion Nongame Wildlife Habitat Fund Revolving Loan Grants Grants: - Land and Water Conservation - Environmental Facilities - Georgia Heritage 2000 - Recreation Grants - National Park Service - Community Green Space - Other Contracts: - Cold Water Creek (COE) - Water Resources (USGS) Payments to the Georgia State Games Commission Payments to the Georgia Agricultural Exposition Authority 84,283,771 14,639,902 718,983 1,590,997 3,053,198 2,691,333 10,819,719 889,418 1,381,799 860,176 3,106,663 243,750 982,330 350,000 1,300,000 74,250 500,000 1,326,056 675,000 800,000 341,000 30,000,000 170,047 300,000 212,646 2,107,309 1,346,273 (20,161) 21,900 (265,616) (1,392,659) 317,838 (442,721) (4,269) (200,000) (270,000) 7,000 780 8,876 FY 2002 Governor's Recommendations Workload Adjusted Base 85,630,044 14,619,741 740,883 1,325,381 1,660,539 3,009,171 10,376,998 889,418 1,377,530 Enhancements 3,439,024 425,582 70,700 204,648 49,000 128,745 600,000 175,000 79,500 660,176 2,836,663 243,750 982,330 350,000 1,300,000 74,250 500,000 40,000 1,333,056 675,000 800,000 341,000 30,000,000 170,047 300,000 213,426 2,116,185 100,000 Totals 89,069,068 15,045,323 811,583 1,530,029 1,709,539 3,137,916 10,976,998 1,064,418 1,457,030 700,176 2,836,663 243,750 982,330 350,000 1,300,000 74,250 500,000 1,333,056 675,000 800,000 341,000 30,000,000 170,047 300,000 313,426 2,116,185 379 DEPARTMENT OF NATURAL RESOURCES -- Financial Summary Unit A -- Department of Natural Resources Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Payments to the Civil War Commission Payments to McIntosh County Payments to Baker County Payments to Calhoun County Hazardous Waste Trust Fund Solid Waste Trust Fund Wildlife Endowment Fund Year 2000 Total Funds FY 1999 Expenditures 36,015 100,000 7,446,062 6,906,325 1,562,531 $211,425,465 FY 2000 Expenditures 143,000 100,000 9,342,671 6,183,112 1,423,205 $224,995,796 FY 2001 Current Budget 66,000 100,000 FY 2002 Agency Requests Adjusted Base Enhancements 66,000 279,312 Totals 345,312 100,000 100,000 7,595,077 6,132,574 7,595,077 6,132,574 7,595,077 6,132,574 $177,311,998 $176,806,353 $6,944,271 $183,750,624 Less Federal & Other Funds: Federal Funds Other Funds Authority Paybacks Indirect DOAS Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 39,263,206 61,089,784 4,984,219 200,000 441,500 $105,978,709 $105,446,756 31,266,680 72,171,737 4,988,080 200,000 643,961 $109,270,458 $115,725,338 10,040,193 20,488,415 3,607,103 200,000 $34,335,711 $142,976,287 10,040,193 20,488,415 3,607,103 200,000 $34,335,711 $142,470,642 3,465,511 10,040,193 23,953,926 3,607,103 200,000 $3,465,511 $3,478,760 $37,801,222 $145,949,402 Positions Motor Vehicles 1,913 1,365 1,928 1,421 1,538 1,427 1,538 1,435 94 1,632 10 1,445 380 DEPARTMENT OF NATURAL RESOURCES -- Financial Summary Unit A -- Department of Natural Resources Current Budget and Governor's Recommendations Budget Classes/Fund Sources Payments to the Civil War Commission Payments to McIntosh County Payments to Baker County Payments to Calhoun County Hazardous Waste Trust Fund Solid Waste Trust Fund Wildlife Endowment Fund Year 2000 Total Funds FY 2001 Annualizers and Current Budget Adjustments 66,000 100,000 7,595,077 6,132,574 $177,311,998 ($892,759) FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements 66,000 100,000 7,595,077 6,132,574 31,000 24,000 Totals 66,000 100,000 31,000 24,000 7,595,077 6,132,574 $176,419,239 $5,367,199 $181,786,438 Less Federal & Other Funds: Federal Funds Other Funds Authority Paybacks Indirect DOAS Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles 10,040,193 20,488,415 3,607,103 200,000 $34,335,711 $142,976,287 1,538 1,427 ($892,759) 10,040,193 20,488,415 3,607,103 200,000 $34,335,711 $142,083,528 1,538 1,427 (1,331,931) 10,040,193 19,156,484 3,607,103 200,000 ($1,331,931) $6,699,130 76 10 $33,003,780 $148,782,658 1,614 1,437 381 DEPARTMENT OF NATURAL RESOURCES - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment for the Department of Natural Resources ($939,954), the Georgia Agricultural Exposition Authority ($8,876) and the Georgia State Games Commission ($780). 2. Adjust for DOAS rates. 3. Annualize 40 state-funded EPD positions added in FY 2001. Other Adjustments: 4. Adjust for the following non-recurring items: a. Funds for helicopter lease and payoff ($1,375,843). b. Clayton County Recreation Activity Center ($300,000). c. Renovation of John Tanner State Park Lodge ($250,000). d. Women's History Study ($55,000). e. Enhancements to Jeff Davis Memorial Trail ($20,000). f. Construction of inshore artificial reefs ($200,000). 5. Reduce funding for the replacement of motor vehicles under 120,000 miles. 6. Retain funding for the Greenspace Program. 7. Adjust GBA rental rates to a standard of $8.75 per rentable square foot. ADJUSTED BASE 142,976,287 949,610 (153,500) 559,819 (2,200,843) (324,556) Yes 276,711 $142,083,528 ENHANCEMENT FUNDS ENHANCEMENTS 1. Add 70 positions and 7 motor vehicles as part of a staff enhancement plan for EPD programs related to water pollution control, water allocation, hazardous waste management, surface mining, and ozone standard attainment. This includes $300,000 in contract funding for a water quality data management study. 2. Provide additional regular operating funds to assist state parks and historic sites with increased energy costs. 3. Add 4 positions to the Program Support Division to assist with existing staff shortages and to help meet increased workload associated with PeopleSoft. 4. Fund additional fringe costs to convert two full-time hourly positions at Coastal Resources Division to salaried positions. 5. Reduce lapse to allow the department to fill three positions to address critical staffing shortages at the following state parks and historic sites: Richard B. Russell (enforcement officer); Hofwyl Broadfield Plantation (maintenance person); and Tallulah Gorge (utility worker). 6. Provide a 3.5% rate increase for all hourly positions, effective October 1. 3,958,774 155,000 155,837 14,774 73,244 171,459 382 DEPARTMENT OF NATURAL RESOURCES - UNIT A FY 2002 Budget Summary Governor's Recommendations 7. Increase educational opportunities on Ossabaw Island by adding 2 positions, 2 motor vehicles and other operating costs to allow for facilitated and self-guided day-trips and family and group educational weekends. 8. Redesign the Licensing & Boat Registration Unit, including enhancing the telephone system, installing a 1-800 line, reconfiguring the workspace and reducing lapse to allow the department to hire an additional associate. 9. Provide state match for the second year of a 4-year comprehensive study of the Savannah River basin. First-year funding is provided in the Amended FY 2001 budget. 10. Provide one-time assistance for the Georgia State Games Commission to assist with increased costs associated with hosting the games outside of Atlanta. 11. Eliminate remaining Lake Lanier Islands Development Authority payback to DNR. 12. Add funding for payments in lieu of taxes for Baker and Calhoun Counties to compensate for loss of tax revenues associated with the state purchase of the Chickasawhatchee tract. 13. Reduce lapse to allow the department to hire a site manager, and provide funds for an hourly utility worker, 1 motor vehicle and operating costs to allow DNR to begin custodial supervision of the Resaca Historic Battlefield. 14. Add contract funds for the identification and preservation of historic Georgia graves. 209,237 63,535 250,000 100,000 1,331,931 55,000 110,339 50,000 TOTAL ENHANCEMENT FUNDS $6,699,130 TOTAL STATE FUNDS $148,782,658 383 DEPARTMENT OF NATURAL RESOURCES - UNIT A Functional Budget Summary 1. Commissioner's Office FY 2001 Appropriations Total State 35,935,605 35,920,605 FY 2002 Recommendations Total State 34,735,555 34,720,555 2. Program Support 6,179,502 6,179,502 6,880,840 6,880,840 3. Historic Preservation 4. Parks, Recreation and Historic Sites 3,103,089 39,330,414 2,613,089 21,193,974 3,070,982 39,377,647 2,580,982 22,573,138 5. Coastal Resources 2,461,631 2,290,769 2,291,764 2,120,902 6. Wildlife Resources 7. Environmental Protection 8. Pollution Prevention Assistance 38,420,668 51,044,032 837,057 33,108,697 40,832,594 837,057 38,890,099 55,697,545 842,006 33,578,128 45,486,107 842,006 TOTAL APPROPRIATIONS $177,311,998 $142,976,287 $181,786,438 $148,782,658 RECOMMENDED APPROPRIATION: The Department of Natural Resources - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $148,782,658. 384 DEPARTMENT OF NATURAL RESOURCES -- Financial Summary Unit B -- Georgia Agricultural Exposition Authority Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Per Diem, Fees & Contracts Computer Charges Telecommunications Total Funds Less Other Funds: Other Funds Direct Payment from DNR Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 3,174,277 2,352,651 16,449 6,654 63,602 883,151 53,333 85,560 $6,635,677 FY 2000 Expenditures 3,126,481 2,519,553 20,466 18,992 277,823 876,505 70,129 77,981 $6,987,930 FY 2001 Current Budget 3,126,228 2,024,181 25,000 10,000 95,000 840,000 15,000 80,000 $6,215,409 4,283,606 2,352,071 $6,635,677 4,029,438 2,958,492 $6,987,930 4,108,100 2,107,309 $6,215,409 51 51 55 30 31 32 FY 2002 Agency Requests Adjusted Base Enhancements Totals 3,429,466 2,302,817 25,000 3,429,466 2,302,817 25,000 95,000 875,000 15,000 80,000 $6,822,283 63,486 $63,486 158,486 875,000 15,000 80,000 $6,885,769 4,706,098 2,116,185 $6,822,283 63,486 $63,486 4,706,098 2,179,671 $6,885,769 55 55 32 32 385 DEPARTMENT OF NATURAL RESOURCES -- Financial Summary Unit B -- Georgia Agricultural Exposition Authority Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Per Diem, Fees & Contracts Computer Charges Telecommunications Total Funds Less Other Funds: Other Funds Direct Payment from DNR Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 3,126,228 2,024,181 25,000 10,000 95,000 840,000 15,000 80,000 $6,215,409 303,238 278,636 (10,000) 35,000 $606,874 4,108,100 2,107,309 $6,215,409 597,998 8,876 $606,874 55 32 FY 2002 Governor's Recommendations Workload Adjusted Base 3,429,466 2,302,817 25,000 Enhancements 95,000 875,000 15,000 80,000 $6,822,283 4,706,098 2,116,185 $6,822,283 55 32 Totals 3,429,466 2,302,817 25,000 95,000 875,000 15,000 80,000 $6,822,283 4,706,098 2,116,185 $6,822,283 55 32 FY 2002 Budget Summary Governor's Recommendations ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Use direct payment from the Department of Natural Resources to annualize Yes the cost of the FY 2001 salary adjustment. ADJUSTED BASE TOTAL STATE FUNDS $0 RECOMMENDED APPROPRIATION: The Georgia Agricultural Exposition Authority, Unit B of the Department of Natural Resources, is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $ 0. 386 DEPARTMENT OF NATURAL RESOURCES Roles and Responsibilities The Department of Natural Resources provides natural resources development, management, and protection services to Georgia's citizens and local governments. These services include the operation of state parks and historic sites, the management and protection of wildlife and coastal resources, the enforcement of wildlife, boating safety, and environmental laws, promotion and assistance with pollution prevention, and protection and management of the state's water, air, and land resources in accordance with various state and federal laws. Both the Commissioner's Office and the Program Support Division provide administrative support for the entire department. Six separate and distinct divisions provide services to the citizens of Georgia. PARKS, RECREATION AND HISTORIC SITES The division provides recreational opportunities to the citizens of Georgia through the development and operation of 48 parks and 15 historic sites. These parks and historic sites attracted 16 million visitors during FY 2000. The divis ion manages over 72,000 acres with such amenities as campgrounds, cottages, lodges, swimming pools, group camps, and golf courses. WILDLIFE RESOURCES The division manages lands and freshwater habitat for public hunting, fishing, and educational purposes and promotes the conservation and wise use of game and nongame wildlife resources. All state laws and departmental regulations regarding wildlife, fishery resources, wild animals, boating safety, and hunter safety are enforced by the law enforcement section. The division manages Public Fishing Areas and Wildlife Management Areas, and produces fish in state hatcheries that are used to stock public waters and farm ponds. COASTAL RESOURCES The division's primary objectives are to ensure the optimum commercial and recreational utilization of Georgia's marine fisheries resources over the long term for the benefit of all Georgians and to protect, conserve, and restore populations of marine turtles and mammals. These objectives are accomplished through research, artificial reef development, and activities geared toward the protection of threatened and endangered marine species. ENVIRONMENTAL PROTECTION The division is largely a regulatory body whose main objective is to enforce state and federal water quality, water supply, air quality, solid waste, and hazardous waste laws, rules, and regulations. These objectives are accomplished through a permitting process coupled with monitoring, inspection, investigation, and enforcement activities. The division also manages the Hazardous Waste Trust Fund and the Solid Waste Trust Fund. HISTORIC PRESERVATION The division provides historic preservation services and assistance to governmental agencies, private organizations, and individuals. Duties include proposing properties for nomination to both the National and the Georgia Register of Historic Places, providing grants to support state and local preservation projects, and offering technical assistance and information on tax incentives, archaeological matters, and other preservation programs. POLLUTION PREVENTION The division is a non-regulatory organization designed to serve as a one-stop source for Georgia businesses interested in finding ways to reduce their hazardous waste, solid waste, water, and air pollution problems through preventive measures. ATTACHED AGENCIES The Georgia State Games Commission promotes amateur athletic competition through the Georgia State Games. The Civil War Commission encourages preservation of Civil War sites and promotes tourism to these sites. The Lake Lanier Islands Development Authority is responsible for managing through contract the development and operation of tourist, convention, and recreational areas and facilities on the islands. The Jekyll Island State Park Authority is responsible for the development and operation of tourist, convention, and recreational areas and facilities on the island. The Stone Mountain Memorial Association is responsible for managing through contract the operation of tourist, convention, and recreational areas and facilities at the mountain. The Georgia Agricultural Exposition Authority promotes, develops, and serves agriculture and agricultural business interests of the state, produces and operates the Georgia National Fair, and encourages the agricultural accomplishments of Georgia's youth. AUTHORITY Titles 8, 12, 16, 27, 31, 43, 44 and 52, Official Code of Georgia Annotated and Public Laws 92-500, 93-523, 88206, 94-580. 387 DEPARTMENT OF NATURAL RESOURCES Strategies and Services Georgia is geographically the largest state east of the Mississippi River and is blessed with great scenic beauty and many outstanding natural and historic resources, which are enjoyed by the state's citizens and tourists alike. As the population grows, demands on Georgia's natural resources increase, making it essential that the Department of Natural Resources (DNR) continue its obligation to protect, preserve, and manage these resources for present and future generations. DNR's Environmental Protection Division (EPD) serves as the state's regulatory agency responsible for enforcing all state and federal environmental standards relating to water, air, and land. Georgia is rich in surface water resources with over 70,000 miles of streams, 425,582 acres of public lakes and reservoirs, 854 square miles of estuaries, and 100 miles of coastline. These waters support drinking, recreational, and industrial uses for Georgians and provide habitats for a variety of aquatic life. Governor Barnes' budget provides funds for several projects relating to water quality, management and protection to ensure an adequate supply of clean water for Georgians now and well into the future. Georgia's air currently meets national standards for all pollutants except ozone. Metropolitan Atlanta has been declared an "ozone non-attainment area" under the Federal Clean Air Act Amendments of 1990. Because of the negative impacts on citizens' health and on economic growth and development in the region, Governor Barnes' budget supports a number of initiatives to improve the quality of air in the metropolitan Atlanta area. ENVIRONMENTAL PROTECTION DIVISION STAFF DEVELOPMENT STRATEGY EPD enforces 20 state laws and has delegation from the U.S. Environmental Protection Agency for programs under 4 federal environmental laws. EPD directly regulates over 60,000 facilities by permit, rule, or license. Citizens of Georgia rightfully expect a clean and safe environment and expect EPD to be responsive to their environmental concerns. The regulated community rightfully expects EPD to be efficient in issuing and administering permits. EPD is currently under-staffed to fulfill its mission and statutory responsibilities. The Governor recommends increasing EPD's state funded budget by $3,958,774 and authorizing 70 new positions for programs related to water pollution control, water allocation, hazardous waste management, surface mining, and ozone standard attainment and information dissemination. WATER QUALITY AND PROTECTION STRATEGIES Several major water management issues face the state of Georgia in the early years of the Barnes Administration. These include: saltwater intrusion into underground water resources along the coast; ongoing negotiations with Florida and Alabama over the management of shared water resources; inclusion of agricultural water use in statewide water use planning; and the development of maximum contaminant limits for state waters as required by the federal Clean Water Act. The Floridian Aquifer supplies most of the water used by citizens, local governments, agriculture, and industry in 24 counties in southeast Georgia. The current level of water usage in this area is contributing to existing saltwater intrusion in the Brunswick area and the potential of saltwater intrusion in Savannah. The economic wellbeing of coastal Georgia depends on maintaining the capability to use the aquifer to support future development in this region of the state. Understanding groundwater is a difficult and expensive undertaking, and solid scientific data and water management strategies must be developed. State support for the development and implementation of a comprehensive management plan is necessary to allow for the sustainable use of this valuable resource for the future and to provide adequate protection for coastal groundwater resources. The FY 2002 budget provides 4th year funding of $806,000 for the 8-year Coastal Groundwater (Sound Science) Study, which was initiated in FY 1999. These funds will be used to continue collection of the scientific data needed to fully understand the aquifer and to develop an appropriate management plan to protect coastal groundwater. The 8-year project will cost an estimated $14 million, with $10 million in state funds and $4 million from paper companies that have agreed to provide $500,000 in support each year. Although agriculture is the largest user of groundwater in Georgia, there are no reporting requirements under the agricultural water use permitting process. In order to develop a strategy to protect coastal Georgia from saltwater intrusion and to develop water allocation formulas for Georgia, Florida, and Alabama, EPD must have reliable agricultural water use information. Rather than impose a cumbersome reporting requirement on all farmers with water withdrawal permits, meters installed on a small, statistically valid sample of farms will provide EPD with a statistically reliable estimate of agriculture water use that can be used for water resource management. The 5-year Agricultural Water Use Study began with an appropriation of $250,000 in FY 1999. Governor Barnes recommends 4th year funding of $242,400 in FY 2002 to continue this study, which will cost a total of $1,266,761. In addition, the Governor includes $857,803 in the FY 2002 budget for the 2nd year of a 4-year Southwest Georgia Ground and Surface Water Interchange Study to provide EPD additional field and pumping data necessary to develop more accurate groundwater flow models and to 388 DEPARTMENT OF NATURAL RESOURCES -- Strategies and Services more effectively manage agricultural irrigation permits. These funds will be used to contract with the U.S. Geologic Survey for well drilling, testing, and groundwater modeling, and with the University of Georgia Extension Service to establish a network of irrigation monitors capable of collecting daily pumpage data. This project will cost a total of $2,572,662. A federal court issued a ruling against the U.S. Environmental Protection Agency's Region IV that required the development of Total Maximum Daily Loads (TMDL) for state waters within an 8-year time frame beginning in FY 1998. TMDLs are discharge load limits that must be developed very carefully for Georgia's streams using high-quality field data to ensure that limits accurately reflect the wastewater treatment level needed to protect the stream. To help with this environmental problem and to comply with the court's ruling, Governor Barnes recommends $1,168,000 in FY 2002 to support the 5th year of the 8-year TMDL development program. Under revised EPA regulations requiring implementation plans to achieve water quality standard compliance within 15 years, this project is projected to cost a total of $14,472,000. Georgia, Florida, and Alabama are working together to manage shared water resources under federally approved Interstate Comp acts. The purpose of the interstate compacts is to develop water allocation formulas to settle disputes over the use and management of interstate waters of the Apalachicola-ChattahoocheeFlint (ACF) and Alabama-Coosa-Tallapoosa (ACT) river systems. Governor Barnes has included $250,000 in his Amended FY 2001 Budget for technical and legal contract services to support Georgia's negotiating team. The purpose of the interstate compacts is to develop water allocation formulas to settle disputes over the use and management of interstate waters of the ApalachicolaChattahoochee-Flint (ACF) and Alabama-CoosaTallapoosa (ACT) river systems. In order to determine accurate water budgets and flow rates, a Southwest Georgia Groundwater Study is necessary to evaluate the impact of Lake Seminole on the ground and surface waters in that region of the state. Governor Barnes recommends $62,000 in the FY 2002 budget to provide the final year of funding for this 3-year project, conducted jointly with the U.S. Geologic Survey, to determine the flow of ground and surface water into and out of Lake Seminole to protect Georgia's water rights in negotiations with Florida and Alabama. This project will cost a total of $875,000 with $437,500 in state funds matched by $437,500 in federal funds. On the other side of the state, Georgia and South Carolina are working together to ensure that the needs of stakeholders of the Savannah River basin are met. The Governor's Amended FY 2001 budget includes $250,000 for the first year of a comprehensive study of the Savannah River basin, designed to evaluate the upstream and downstream needs of stakeholders. Second-year funding is also provided in the FY 2002 budget. This funding will match funds provided by the State of South Carolina and by the U.S. Army Corps of Engineers. The study, which will take 4 years, will cost a total of $4,000,000. AIR QUALITY IMPROVEMENT STRATEGY The failure of the metropolitan Atlanta area to meet mandatory federal air quality standards threatens the health of Georgians and will result in stiff restrictions and regulations on businesses in the state. A continued failure to meet federal air quality standards has jeopardized federal funding for Georgia and will seriously impact the state's future economic growth and development. Governor Barnes supports several programs to reduce air pollution in the Atlanta area. His strategy includes continuing a regional approach to the development of transportation alternatives in conjunction with the continuation and exp ansion of existing programs to reduce the number of cars on the roads by encouraging carpooling, alternative work schedules, and the increased use of existing mass transit. The Governor's strategy for cleaning up Atlanta's air does not rely solely on mass transit and commuter rail. It includes programs aimed at permanently changing citizens' attitudes toward their daily commute to work or school. The FY 2002 budget includes increased funding for the Partnership for a Smog-free Georgia (PSG) program. State funding of $800,000 will match $3.2 million in federal Congestion Mitigation and Air Quality funds to enhance this program. Through PSG, EPD partners with businesses, governments, universities and others in the metro-Atlanta area to develop voluntary vehicle emission reduction plans that can be implemented throughout the ozone season of May 1 to September 30, or on days with projected high ozone levels. These voluntary plans can include carpooling and mass transit, alternative work schedules, and telecommuting. PSG includes a major public education campaign as well as enhanced air-monitoring capabilities in order to more accurately project daily ozone levels in Atlanta. Governor Barnes will continue to expand state government's role as a leader in adopting policies and implementing incentives that encourage employees to reduce the number of single-passenger trips to work within the Atlanta ozone non-attainment area. In FY 2002, the Governor continues his support of the State Employee Commuter Assistance Program. The FY 2002 budget includes $100,000 in state funds to match $400,000 in federal Congestion Mitigation and Air Quality funds to continue the Georgia State Agency Rideshare Office and to provide mass transit subsidies for state employees in metropolitan Atlanta. 389 DEPARTMENT OF NATURAL RESOURCES -- Strategies and Services LAND ACQUISITION AND CONSERVATION STRATEGY The Department of Natural Resources acquires land for various conservation, historic preservation and public recreational purposes. The U.S. Census Bureau reports that, between 1990 and 1999 Georgia's population grew more than 20% by adding 1.3 million residents, making it the fourth fastest-growing state in numbers of people. Yet in 1995, Georgia was only 10th of 16 southeastern states in terms of public land ownership; it had just 8.6% in federal, state or local governmental ownership. Georgia's growing population needs increasing amounts of land that is protected by public ownership to protect water quality, wildlife habitat, historic resources, and recreational opportunity. An important factor in Georgia's economic prosperity to date has been the quality of its environment. However, as more people come to the State seeking space to live and work, the open, natural lands that Georgians once enjoyed are rapidly changing into housing, commercial and industrial facilities, and transportation corridors. Public land which is managed for recreation, wildlife management, and historic resource protection helps keep Georgia livable and thus economically competitive. In FY 2002, Governor Barnes continues his commitment to greenspace protection with a recommendation of $30,000,000 in funds to continue the Community Green Space program. The $30,000,000 will provide grants to rapidly developing counties for the preservation of greenspace. This program, begun in FY 2001 by Governor Barnes, aims to balance land development and the preservation of publicly-accessible, connected greenspaces in areas where people live, work, shop, play, and go to school. The FY 2002 budget also includes $3.5 million in additional assistance for the Arabia Mountain Greenway Project. This funding will match federal and local funds as well as private donations for a project that ultimately seeks to connect DeKalb County's Arabia Mountain Park up the South River to the State of Georgia's Panola Mountain Park, creating a multi-use trail connecting DeKalb, Rockdale and Henry Counties. The Governor's Amended FY 2001 budget provides $20 million to acquire the Chickasawhatchee tract in Baker, Calhoun, and Dougherty Counties. In addition, the FY 2002 budget also includes $55,000 to assist Baker and Dougherty Counties with the removal of this property from their tax digests. The 15,100-acre Chickasawhatchee tract is one of the biggest tracts of scenic, unspoiled land obtained by the state in over 20 years. The land, which is in one of the largest remaining freshwater swamps in the southeastern United States, has been called one of the state's most desirable green spaces. In addition to being home to numerous rare plants and wildlife, the swamp serves as the primary recharge area for the Floridan aquifer, which provides drinking water to Florida, South Georgia and coastal Georgia. Governor Barnes budget also addresses another valuable state resource Ossabaw Island. This stateowned island located off the upper coast of Georgia just south of Savannah was the first area in the state to receive the designation of Heritage Preserve. A recently completed comprehensive management plan for the island has indicated a need to expand educational opportunities on the island in order to fully meet the island's mandate. Towards this end, the Governor's FY 2002 budget includes $209,237 to increase educational opportunities on Ossabaw Island. This recommendation will provide for personnel, operating expenses and equipment to allow for self-guided and facilitated day-trips, group educational visits and family and small group educational weekends. STATE PARKS AND HISTORIC SITES DEVELOPMENT With a growing state population, the Department of Natural Resources must meet increasing demands for public access to quality historic, cultural, recreation, hunting, fishing and boating facilities throughout the state. The Parks, Recreation and Historic Sites Division manages 48 state parks, 15 historic sites, over 72,000 acres of land, 2 lodges, 7 golf courses, 279 cottages and more than 3,000 campsites. It also manages a number of swimming pools, beaches, and other recreational facilities. Over 16 million people visited Georgia's state parks and historic sites in FY 2000. Governor Barnes has included a number of improvements and expansions to the state park system in his Amended FY 2001 and FY 2002 budgets. The Amended FY 2001 budget includes $5.6 million in bonds for construction of a new state park on the Suwannee River that will include extensive nature trails, camping and picnicking facilities, a boat ramp, group lodge, and a 9-hole golf course. In addition, $750,000 in bonds is recommended in the Amended FY 2001 budget for initia l development of the Resaca Battlefield historic site. The FY 2002 budget also provides $110,339 for a site manager and associated operating funds to begin custodial supervision of the site. Other parks projects recommended in the Amended FY 2001 budget include $2.5 million to match private funds for the construction of the Little White House museum in Warm Springs, $500,000 for surveys, planning and design of a new Middle Georgia state park in Houston County, and $500,000 for the expansion of the Gordonia-Altamaha golf course to 18 holes. The Governor's budget also includes funding for the improvement of existing state parks. The Amended FY 2001 budget includes $250,000 in state matching funds for trails projects at five state parks: High Falls, Victoria Bryant, Sapelo Island, Cloudland Canyon, and Tallulah Gorge. The FY 2002 budget also includes funding to meet critical staffing needs at Tallulah Gorge state park, Richard B. Russell state park, and the Hofwyl Broadfield Plantation. 390 DEPARTMENT OF NATURAL RESOURCES - UNIT A Results-Based Budgeting PARKS, RECREATION AND HISTORIC SITES PROGRAMS Purpose: Protect and enhance the state's natural and cultural resources, and interpret and make those resources available for Georgia's current and future citizens and visitors to use and enjoy. Goal 1: Balance the preservation of the resource and the FY 2000 FY 2000 FY 2001 FY 2002 availability of the resource for visitation and use by guest. Desired Actual Desired Desired - Promote resource preservation by maintaining current levels of visitation and occupancy in popular and over-used parks in Region 1 while increasing visitation and occupancy in under-utilized parks in Region 2 and 3 by 2.5% in FY. 2002. Region 1 7,399,000 7,547,003 7,399,000 7,547,003 Region 2 2,600,771 2,914,646 2,600,771 3,062,119 Region 3 5,746,528 5,662,507 5,746,528 5,949,172 Goal 2: Provide visitors an affordable, safe and high quality recreational experience. - Receive a rating of "met" or "exceeded" expectations from at least 75% of visitors at recreational facilities who complete evaluations. 75% 96% 75% 75% - Receive a rating of "good" or "excellent" from at least 90% of golfers who complete customer comment cards. 90% 99% 90% 90% Goal 3: Educate visitors and students to develop an appreciation of Georgia's natural and cultural resources. - Receive a rating of "met" or "exceeded" expectations from at least 75% of education program participants who complete evaluations. 75% 95% 75% 75% Program Fund Allocation -- Total Funds State Funds $66,231,716 $43,318,394 $44,623,028 $28,179,685 $27,747,114 $29,176,420 WILDLIFE RESOURCES PROGRAMS Purpose: Conserve Georgia's wildlife, fish and botanical resources and provide wildlife-associated and boating recreation for Georgia's citizens and visitors. Goal 1: Manage effectively Georgia's wildlife, fish and plant FY 2000 FY 2000 FY 2001 FY 2002 populations and their habitats. Desired Actual Desired Desired - In FY 2002, the catch rate for Atlantic striped bass in the Savannah River will be a minimum of 1.5 per hour and the catch rate for Gulf striped bass in the Flint River will be a minimum of 1.0 per hour. Atlantic Striped Bass (fish/hour) 3.0 5.6 3.0 1.5 Gulf Striped Bass (fish/hour) 1.5 1.1 1.0 1.0 - Maintain white-tailed deer populations at 800,000 to 1,200,000, wild turkeys at 250,000 to 500,000 and black bear at 1,250 to 1,800. Deer Turkey Bear 800,000 1,000,000 250,000 500,000 1,250 - 1,800 1,150,000 400,000 2,200 800,000 1,000,000 250,000 500,000 1,250 - 1,800 1,000,0001,200,000 250,000500,000 1,250-1,800 391 DEPARTMENT OF NATURAL RESOURCES -- Results Based Budgeting WILDLIFE RESOURCES PROGRAMS (Continued) - Protect the 5 federally listed rare endangered animal species that FY 2000 FY 2000 occur in Georgia so that populations do not decline below their five- Desired Actual year averages as follows: 1,081 loggerhead turtle nests, 14 wood stork colonies, 5 right whale calves, 26 bald eagle nests and 7 permits for safe harbor for RCW habitat. FY 2001 Desired FY 2002 Desired Loggerhead Turtle Nests Wood Stork Colonies Right Whale Calves Bald Eagle Nests RCW Permits Received [1] - Address the conservation needs of 10% of the state-protected plant species in FY 2002. - Maintain songbird populations at the FY 1999 level. Point counts Blocks surveyed - Receive a rating of "good" or "excellent" on the quality of technical services relating to the Private Lands Initiatives from 90% of forest industry partners and cooperating agencies. Goal 2: Provide safe and abundant hunting, fishing, bird watching and other wildlife-related recreational and boating opportunities for Georgia's citizens and visitors. - Provide hunting, fishing and wildlife-associated recreational opportunities to 330,000 licensed hunters, 653,000 licensed anglers and other wildlife enthusiasts, and provide boating access for 330,000 registered boats. 1081 14 5 26 N/A 10.0% 1,000 200 70% 1420 7 1 49 N/A 14.4% 987 360 90% 1058 14 5 26 7 10.0% 1,000 200 90% Hunting Licenses Fishing Licenses Registered Boats - Maintain total man-days of hunting at 6,993,000 and fishing at 11,591,000 annually. Hunting Fishing - Receive a rating of "satisfactory" or better for the quality of hunting or fishing from 70% of randomly selected hunters and anglers. 350,000 653,000 320,000 333,317 660,425 319,123 325,000 653,000 320,000 6,993,000 7,337,750 6,993,000 11,591,000 11,591,000 11,591,000 Hunters 70% 80% 70% Anglers 70% 92% 70% - Improve safety record by maintaining a hunter accident rate at or below the 5-year average of 21 per 100,000 hunters in FY 2002, and maintaining a boating accident rate of no more than 40 per 100,000 registered boats in FY 2002. Hunting accidents per 100,000 licensed hunters <21 16.7 <21 Boating accidents per 100,000 registered boats <40 50 <40 Program Fund Allocation -- Total Funds $52,737,198 $34,492,398 State Funds $29,639,772 $29,184,789 Notes: [1] Permits for safe harbor for RCW habitat to be received from US Fish and Wildlife Service at year-end. 1081 14 5 26 7 10.0% 1,000 200 90% 330,000 653,000 330,000 6,993,000 11,591,000 70% 70% <21 <40 $35,531,217 $30,688,152 392 DEPARTMENT OF NATURAL RESOURCES -- Results Based Budgeting ENVIRONMENTAL PROTECTION PROGRAMS Purpose: Protect and improve Georgia's natural environment and the welfare of her citizens by striving for clean air, clean water, productive land and healthy people. Goal 1: Ensure that no land in Georgia is incapable of FY 2000 FY 2000 FY 2001 FY 2002 productive use as a result of contamination or misuse. Desired Actual Desired Desired - Increase by15% the number of hazardous waste clean-up projects in progress from 419 in FY 2001 to 482 in FY 2002 and increase by 10% the number of clean-ups completed from 121 in FY 2001 to 133 in FY 2002. Hazardous waste cleanups in progress 361 364 419 482 Hazardous waste cleanups completed 100 110 121 133 - Maintain a level workload of 4,500 underground storage tank clean-up projects in progress and 5,000 clean-ups completed in FY 2002. UST cleanups in progress UST cleanups completed - Maintain the percentage of evaluated handlers that properly transport, store and dispose of hazardous wastes at 93.5% out of 182 evaluated in FY 2002. 5130 3280 175/93% 4534 4445 4500 5000 4500 5000 179/94.5% 182/93.5% 182/93.5% Goal 2: Ensure that Georgia's lakes, streams and groundwater are of the highest possible quality, meeting State and Federal standards at minimum. - Increase by 1% the river miles, lake acres and estuary square miles meeting water quality standards, using 1994-1995 data for non-supported waters as a baseline, to 48% of the total assessed area in FY 2002. River Miles Lake Acres Estuary Square Miles - Ensure that 99% of people on community water systems are served by systems that meet drinking water standards. Goal 3: Ensure that Georgia's air is of the highest possible quality, meeting State and Federal standards at a minimum. 3,761 184,283 460 99.0% 4,367 189,491 456 99.9% 3,798 186,125 464 99.0% 4,367 189,491 456 99.9% - Air quality in the 13-county Atlanta area will meet the federal ozone standard 99% of the year and all other standards 100% of the year. Federal ozone standard Other standards - Air quality will continue to meet federal standards 100% of the year in all other areas of Georgia. 99% 100% 100.0% 94% 100% 100.0% 99% 100% 100.0% 99% 100% 100.0% Program Fund Allocation -- Total Funds State Funds $71,571,912 $46,811,112 $48,220,937 $35,098,253 $34,559,479 $36,339,702 393 DEPARTMENT OF NATURAL RESOURCES -- Results Based Budgeting COASTAL RESOURCES PROGRAMS Purpose: Protect, conserve and enhance Georgia's coastal lands, marshes, tidal waters, submerged lands, sand dunes, beaches, and marine fisheries to optimize ecological, social, and economic benefits for present and future Georgia citizens and visitors. Goal 1: Ensure sustainable marine fisheries for commercial and recreational uses and ecosystem health. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - In FY 2002, 4.5 million pounds of shrimp will be harvested. 4.6 4.3 4.6 4.5 - Maintain an annual production of 4 million pounds of crabs, and the number of harvesters at 159 using 21,500 traps. Million pounds of crabs 7.8 million 3.9 million 7.4 million 4 million Number of crab harvesters 175 159 159 159 Number of traps used 27,000 21,600 21,500 21,500 Goal 2: Reduce adverse impacts of marsh fill and other illegal activities on Georgia's coastal areas. - Reduce the incidents of illegal fill of marshes from 56 in FY 2001 to 50 in FY 2002. 56 10 56 50 - Authorize an average of no more than 0.1-acre fill marshes per permit issued in FY 2002. 0.1 0 0.1 0.1 Goal 3: Ensure quality recreational saltwater fishing opportunities for Georgia's citizens and visitors. - Increase the number of recreational saltwater angling trips along Georgia's coast by 10% to 624,891 over the 1997 level of 568,083 as reported in the federal Marine Recreational Fisheries Statistical 624,891 472,577 624,891 624,891 Survey. Program Fund Allocation -- Total Funds $25,858,954 $16,912,869 $17,422,240 State Funds $16,442,829 $16,190,425 $17,024,424 HISTORIC PRESERVATION PROGRAMS Purpose: Identify, protect, and preserve Georgia's historic places and archaeological sites for the use, economic benefit, education and enjoyment of present and future generations. Goal 1: Foster more sustainable, economically stable and distinctive communities by increasing the use of Georgia's historical places and archaeological sites. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Increase by 20% the number of "effective" community historic preservation programs as determined by an annual survey from 48 40 45 48 58 in FY 2001 to 58 in FY 2002. - Increase by 50% the number of state-owned historic properties protected as result of technical assistance from 40 in FY 2001 to 60 27 37 40 60 in FY 2002. Goal 2: Enhance local and community preservation and protection activities through the increased use of public and private financial assistance. - Increase by 6% the number of properties listed in the National Register of Historic Places and eligible for historic preservation financial assistance programs from 57,836 in FY 2001 to 61,306 in 54,562 52,563 57,836 61,306 FY 2002. 394 DEPARTMENT OF NATURAL RESOURCES -- Results Based Budgeting HISTORIC PRESERVATION PROGRAMS (Continued) - Expand private reinvestment in the number of communities using FY 2000 FY 2000 the Federal Rehabilitation Investment Tax Credit from 42 in FY Desired Actual 2001 to 43 in FY 2002. 40 39 Program Fund Allocation -- Total Funds $3,833,418 State Funds $2,077,817 FY 2001 Desired 42 $2,507,221 $2,045,921 FY 2000 Actual 43 $2,582,731 $2,151,310 POLLUTION PREVENTION ASSISTANCE PROGRAMS Purpose: Facilitate programs and activities that reduce pollution through non-regulatory means by improving industrial, commercial, and agricultural processes, developing new industry opportunities for the productive use of waste by-products, and instilling a pollution prevention ethic in the general public. Goal 1: Decrease pollution in the form of emissions to air, land and water by manufacturing, commercial, institutional, and agricultural operations. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The average response time for technical requests will be less than or equal to 5 days. N/A 3.65 days < 5 days < 5 days - 85% of the respondents to a client survey will have implemented at least one waste reduction and/or natural resources conservation N/A N/A >85% opportunity identified as a result of an on-site assessment.[1] - All Pollution Prevention Participants at the Model and Achievement levels will achieve an overall waste reduction of 25% N/A 100% (6 of 6) 100% and 50% of their goal respectively. >85% 100% Goal 2: P2AD will promote strategic implementation of byproduct recovery, reuse, recycling, and diversion of nonresidential solid waste from landfills as cost effective techniques to minimize industrial waste. - Recycling of solid waste generated at Georgia's military bases will increase by at least 5% annually from 52,066 tons in FY 2001 N/A to 54,669 tons in FY 2002. [2] N/A 52,066.12 54,669.42 - 80% of byproduct recovery roundtable meeting attendees rate the overall value of information received as good or better. [3] N/A N/A N/A N/A - 25% of companies attending byproduct recovery roundtable meetings will report new or enhanced programs for waste minimization within 12 months following the roundtable. [3] N/A N/A N/A N/A Goal 3: P2AD will encourage and promote the proper management of household hazardous waste by providing local governments and the public with assistance. - Hits to the household hazardous waste section of the P2AD web site will increase by at least 10% annually. [4] N/A 269% increase 10% increase 10% increase 1206 hits 1326 hits 1459 hits - 90% of responses to technical requests related to household hazardous waste are handled on the same business day. [4] N/A 91% (743 of 816) 90% 90% 395 DEPARTMENT OF NATURAL RESOURCES -- Results Based Budgeting POLLUTION PREVENTION ASSISTANCE PROGRAMS (Continued) Goal 4: P2AD will assist the manufacturing, commercial, institutional and agricultural sector in their pollution prevention efforts through education and awareness programs. - 90% of workshop attendees rate the overall value of information N/A 93% 90% 90% as good or better. [4] (244 of 262) Program Fund Allocation -- Total Funds $1,351,668 $884,049 $910,674 State Funds $876,052 $862,605 $907,039 Notes: 1 - Because follow-up surveys are not completed until a minimum of 6 months has elapsed after the assessment is completed, FY00 reporting is delayed. 2 - Data provided by military bases is based on calendar year, rather than state fiscal year. Therefore, FY 2000 data is not yet available. 3 - This is a new program; therefore, neither baseline data nor actual data have been collected 4 - This is a new results measure. Consequently, no desired result was set for FY 2000. Other Activities -- Total Funds State Funds 3,410,930 32,385,955 $32,495,611 3,410,930 32,385,955 $32,495,611 TOTAL - All Programs Total Funds State Funds $224,995,796 $177,311,998 $181,786,438 $115,725,338 $142,976,287 $148,782,658 GEORGIA AGRICULTURAL EXPOSITION AUTHORITY - UNIT B GEORGIA NATIONAL FAIR AND AGRICENTER Purpose: To showcase and promote Georgia agriculture/agribusiness, the agricultural achievements of Georgia's youth, and promote a center for agriculture-based activities that benefits the economy of the state. Goal 1: Enhance Georgia's agribusiness through the promotion and presentation of it's products and livestock at the Agricenter facilities by maximizing the utilization of facilities and programs, especially the Georgia National Fair, FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired that will benefit the economy of a State, attract the public, and make the Agricenter financially self-sufficient. - The annual economic impact of the Agricenter on the state No Data No Data 5% 5% economy will increase by 5%. - Using a survey developed in FY 2000, 85% of visitors will rate 85% 92% 85% 85% their visit to the Agricenter as satisfactory/very satisfactory. Program Fund Allocation -- Total Funds Direct Payments from DNR $6,987,930 $6,215,409 $6,885,769 $2,972,839 $2,107,309 $2,116,185 396 STATE BOARD OF PARDONS AND PAROLES Total Budgeted Positions -- 842 Legal Services 3 State Board of Pardons and Paroles 10 Special Operations/ Investigations 8 Victims' Advocacy Office 4 Director of Paroles 5 Board Support 7 Clemency/Parole Selection Division 74 Field Operations Division 647 Community Based Service Division 24 Administrative Services Division 60 397 STATE BOARD OF PARDONS AND PAROLES -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts County Jail Subsidy Health Services Purchases Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 37,202,296 1,925,882 529,770 386,672 190,618 993,716 2,933,039 1,058,223 1,958,850 643,515 6,099 62,240 $47,890,920 FY 2000 Expenditures 38,338,748 1,981,378 569,693 287,639 191,234 720,120 3,038,405 1,177,519 2,078,217 735,495 8,092 7,040 $49,133,580 FY 2001 Current Budget 39,769,564 1,587,625 530,000 230,199 300,000 591,200 3,038,958 1,065,000 2,014,983 660,500 20,000 $49,808,029 FY 2002 Agency Requests Adjusted Base Enhancements Totals 40,728,200 1,587,625 530,000 230,199 300,000 591,200 3,038,958 1,065,000 2,014,983 660,500 20,000 1,004,006 518,994 41,732,206 1,587,625 530,000 230,199 300,000 591,200 3,038,958 1,065,000 2,533,977 660,500 20,000 $50,766,665 $1,523,000 $52,289,665 747,280 365,961 $1,113,241 $46,777,679 851 165 839,775 220,159 $1,059,934 $48,073,646 850 165 $49,808,029 842 165 $50,766,665 842 165 $1,523,000 29 $52,289,665 871 165 398 STATE BOARD OF PARDONS AND PAROLES -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts County Jail Subsidy Health Services Purchases Year 2000 Project Total Funds FY 2001 Annualizers and Current Budget Adjustments 39,769,564 1,587,625 530,000 230,199 300,000 591,200 3,038,958 1,065,000 2,014,983 660,500 20,000 1,131,025 (20,882) $49,808,029 $1,110,143 FY 2002 Governor's Recommendations Workload Adjusted Base 40,900,589 1,587,625 530,000 230,199 300,000 591,200 3,018,076 1,065,000 2,014,983 660,500 20,000 Enhancements 466,182 7,200 1,800 1,500 600 150,000 Totals 41,366,771 1,594,825 531,800 230,199 301,500 591,200 3,018,076 1,065,600 2,164,983 660,500 20,000 $50,918,172 $627,282 $51,545,454 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles $49,808,029 842 165 $1,110,143 $50,918,172 842 165 $627,282 4 $51,545,454 846 165 399 STATE BOARD OF PARDONS AND PAROLES FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Fund a projected deficit in real estate rental ($177,056) and personal services ($172,389). 4. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. 49,808,029 719,508 239,128 349,445 (197,938) ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide funds to fill 8 vacant parole officer positions. 2. Fund 3 support staff positions for the Clemency Division. 3. Provide additional funding to contract for additional hours for mental health counseling, including inpatient programs and individual therapy. 4. Fund 1 new position, fill 2 vacant positions and related operating expenses associated with the Savannah Impact Project. TOTAL ENHANCEMENT FUNDS $50,918,172 289,242 68,223 150,000 119,817 $627,282 TOTAL STATE FUNDS $51,545,454 RECOMMENDED APPROPRIATION: The State Board of Pardons and Paroles is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $51,545,454. 400 STATE BOARD OF PARDONS AND PAROLES Roles and Responsibilities The State Board of Pardons and Paroles is comprised of 5 members appointed by the Governor and empowered to grant, deny, condition and revoke executive clemency. The board reviews the sentences of all inmates to determine what degree of executive clemency may be warranted, directs the clemency action, and supervises the offenders who have been paroled or conditionally released from prison until the completion of their sentences. The board achieves its constitutional mandate through its mission to: Protect the public by thoroughly investigating and processing inmate cases and making responsible, just, and equitable parole decisions while balancing punishment and rehabilitation. Respond to the needs and concerns of crime victims and their families. Use agency and community resources as a bridge to help parolees reach self-sufficiency and stable citizenship. Supervise parolees skillfully and return to prison those who demonstrate they will not, by choice, abide by their release conditions. DEPARTMENT OPERATIONS In order to accomplish its mission, the agency is divided in to four divisions: Clemency, Administration, Field Operations and Community Based Services. The Clemency Division works most closely with the board on a day-to-day basis, gathering information and preparing cases for the board to make clemency decisions. The Clemency Division manages requests for restoration of rights and pardons. Finally, this division is responsible for communication with victims and victims groups to make sure Board members know and understand their needs and concerns. The Field Operations Division assists the Clemency Division by completing important investigations that are used in the clemency decision process. Inmates who are granted the privilege of parole to community supervision, are supervised by this division's parole officers, who work in 60 offices throughout the state. Field parole officers provide offender oversight through a process known as Results Driven Supervision. This model for addressing the risk and needs of parolees was the 1999 recipient of the Council of State Governments Innovations Award. Parole officers spend a majority of their time in the community intervening with parolees and their families, talking to employers, networking with police officials and staying in touch with treatment providers to ensure parolee compliance with the conditions of parole. As certified peace officers, parole officers also execute board warrants and provide back up to local law enforcement as needed. The board's Community Based Services Division (CBS) helps parole officers gain access to the programs necessary for the successful reintegration of parolees. These include substance abuse and mental health treatment, job readiness and education programs, programs that address offender criminal thinking and other needs such as sex offender programming. CBS staff help determine which programs are most effective and work with community organizations to create new programs. CBS staff work closely with the Department of Corrections to oversee and implement intensive treatment programs at two facilities operated by corrections. Additionally, CBS has established a pilot restorative justice project to communicate more effectively with victims and to identify work projects in the community where parolees can make amends for the harm caused the community by their crimes. The Administration Division provides support for the internal operations of the agency including budget/fiscal, staff training, personnel services, operational audits, criminal justice research and information technology and services. The agency is acknowledged as having one of the best parole training programs in the United States. The Agency has also won accolades for the development of a low cost, comp uterized case management system known as the Field Log Of Interactive Data (FLOID) that provides a wealth of statistical data for the management and assessment of outcomes of parolee supervision and recidivism. AUTHORITY State Constitution: Official Code of Georgia Annotated Titles 9, 42 and 77. 401 STATE BOARD OF PARDONS AND PAROLES Strategies and Services ELECTRONIC MONITORING The Board of Pardons and Paroles has operated an electronic monitoring program since November 1991. Electronic monitoring (EM) is an enhancement to supervision that has been recognized as a tool to provide additional surveillance and control for a selected parolee population. Electronic monitoring does not provide continuous knowledge of the offender's whereabouts, but rather it is a means of knowing when an offender is not at a prescribed location. The purpose of electronic monitoring is to place a parolee within a structured and controlled environment. Electronic monitoring is most effectively used in conjunction with other supervision and rehabilitative strategies, not alone. Studies have shown that, combined with appropriate case supervision, electronic monitoring can increase the likelihood of parole success. During FY 2001, the number of electronic monitoring units is projected at 980 units, with an average cost of $3.10 per offender per day. These units will continue to be utilized to expand the types of parolees placed under electronic monitoring. The electronic monitoring program will be used in conjunction with the Specialized Parole Supervision program (SPS) to provide a balanced, intensive approach to dealing with high risk/high need parolees. The Board has also initiated an offender funded electronic monitoring pilot program. This pilot is for the purpose of determining the feasibility of requiring offenders, at their own expense, to contract with a monitoring company to provide necessary electronic monitoring services. The pilot project includes nine parole districts, one being rural. If the evaluation of the pilot is positive, it will determine the service components and structure of the EM program in the future. AUTOMATION CLEMENCY OFFENDER NOTES SYSTEM -- The Parole Board will have developed the Clemency Offender Notes System (CONS) by the end of FY 2001. The system will allow the Parole Board to migrate from paper documents to electronically stored documents for all new cases entering the Department of Corrections in FY 2002. Once current cases are converted to the clemency offender notes system, the field staff will add information to an electronic file at the time investigations are being completed. The case material will be built from its earliest stages in this new format - soon after a convicted person is incarcerated into the Department of Corrections' system. The data that originates at the parole sites will be available for the first time. It will be fully integrated into one system from which many people can draw data for analysis. The Clemency Offender Notes System and the Case Management will allow the board to be more flexible in changing its focus as needs change. It is this flow of data that will better equip managers at all levels to supervise the ever-increasing population of parolees. The board will also be able to report to other entities of the state, such as Office of Planning and Budget and others, with much more analytical information. CASE MANAGEMENT SYSTEM In the past, the Parole Board had to rely on data gleaned from reports that have been produced manually and then tallied by hand. This has resulted in insufficient reporting of caseload management processes, as well as newer board initiatives such as electronic monitoring, drug testing, counselor referrals and cognitive restructuring. The agency has fully implemented the new case management system. Now each parole officer has a laptop computer that is connected to the document management system. The case management system was named F.L.O.I.D. (Field Log of Interactive Data). With case management being implemented, a chief is able to call up his office's cases and view them in almost unlimited ways. For example: find all parolees who have tested positive for any drug in the past 6 months and who have been unemployed for more than 4. The case management system allows the board to quickly evolve from a document/text driven system to a data/information driven environment, which connects directly, the field personnel with the central office's clemency process. SPECIALIZATION CLASSIFICATION/CASE MANAGEMENT -- The Board of Pardons and Paroles uses the results driven supervision model for parolee supervision and case management. In this model, officer interaction is designed to focus on the outcome of supervision, producing a compliant, law-abiding parolee. Parolees continue to be classified into 1 of 3 levels of supervision based on a formal, instrument-based assessment of the risk they present in the community. The higher their risk, the higher the level of supervision. Supervision activities are a combination of surveillance, monitoring and intervention activities customized to each parolee to ensure their compliance with the conditions of parole and the safety of the community. Certain groupings of parolees require more intensive supervision due to the heightened risk they present or to the special needs or problems they exhibit. Continuing expansion of the board's Specialized Parole Supervision program (SPS) is underway. By integrating the SPS program with the board's very successful electronic monitoring program (EM) these offenders can be successfully managed on parole supervision. Parolee groupings targeted for the SPS/EM program include boot camp parolees, sex offenders, violent offenders and parolees with drug and alcohol problems. These high risk/high need parolees will be supervised on reduced caseloads and generally be placed on electronic monitoring 402 STATE BOARD OF PARDONS AND PAROLES -- Strategies and Services to ensure that they receive intensive services to remain safely in the community. The results driven supervision model focuses on employment and drug abuse. In FY 1999 68% of the parolees were successfully discharged from Parole; 88% of parolees were employed, and 4,623 parolees were placed in a substance abuse treatment program. SUBSTANCE ABUSE COUNSELING PROGRAM A core component of results-driven supervision is substance abuse treatment for parolees whose past or current alcohol or other drug use makes them high risk for relapse into criminal behavior and drug use. The goal of parolee substance abuse treatment is to increase community safety by promoting the productive, law-abiding, and drug free lifestyles of offenders. The Board of Pardons and Paroles contract through the Department of Human Resources Division of Mental Health, Mental Retardation, and Substance Abuse and the Regional Boards to provide access to local assessment and treatment services where available. In areas where services are limited the Board of Pardons and Paroles has begun contracting on a part-time basis, to provide services within the parole offices. The agency also monitors contracted residential substance abuse programs at Homerville State Prison and Whitworth Detention Center. Revoked Parolees 3,464 32% FY 2000 Rate of Successful Discharges Discharged Parolees 7,351 68% A total of 10,815 parolees were removed from supervision during FY 2000. 403 STATE BOARD OF PARDONS AND PAROLES Results-Based Budgeting PAROLE SELECTION AND SUPERVISION Purpose: Contribute positively to public safety in Georgia by investigating offenders' criminal histories in order to determine inmates who will be paroled and those who will not, and to provide supervision in the community that ensures compliance with release and successful transition of parolees back into the community as law abiding citizens. Goal 1: Provide a safe , low-cost, highly effective, community FY 2000 FY 2000 FY 2001 FY 2002 based alternative to prison. Desired Actual Desired Desired - Maintain the daily cost of regular parole at or below per parolee. (Interim efficiency measure) $2.65 $2.70 $2.50 $2.92 Goal 2: Provide safe and effective community supervision of inmates. - Percentage of offenders out on parole that have their parole revoked for failing to comply with the conditions of their parole. 10.4 % 14% (3,465 of 14% 33,308) 14% Goal 3: Community supervision will produce a parolee who is law abiding, employable and self sufficient, and will provide an expeditious return to prison of those who will not abide by their release conditions. - Percentage of parolees maintaining employment during parole supervision. [1.] 88% 88% (11.865 of 88% 13,415) 88% - Percentage of parolees on Electronic Monitoring (EM) as a final sanction because of problems, but before revocation, that successfully complete the EM period and return to regular parole 50% 47.6% (454 of 937) 50% 50% supervision. [2.] - Parolees placed on EM supervision upon their initial release from prison will achieve a 78% successful completion rate. 78% 77.3% (1,385 of 1,736) 78% 78% - The number of parolees involved in substance abuse (SA) 15.3% treatment will increase as a percentage of the in-state parole 4,190 (3,262 of 3,400 5,311 population. (Proxy measure) [1.] 21,938) - The number of positive drug tests will not exceed 12% of the total tests administered. (Proxy Measure) 12% 8% (9,736 of 124,299) 12% 12% Goal 4: Respond in a timely manner to the needs and concerns of crime victims and families. - Percentage of respondents who rate the services provided by Victims Services Office as Good. 95% 99% (164 of 166) 97% 99% - Funds collected for restitution and the Victims Compensation Fund. (Activity Measure) $408,000 $412,825 $360,000 $404,000 Program Fund Allocation -- Total Funds $49,133,580 $49,808,029 $51,545,454 State Funds $48,073,646 $49,808,029 $51,545,454 Notes 1 - Partial years data. 2 - The "Final Sanction" and "Intermediate Sanction" categories were merged to the "Sanction" category. TOTAL - All Programs Total Funds State Funds $49,133,580 $49,808,029 $51,545,454 $48,073,646 $49,808,029 $51,545,454 404 DEPARTMENT OF PUBLIC SAFETY Total Budgeted Positions -- 2,123 Attached for Administrative Purposes Only Georgia Police Academy 18 Georgia Fire Academy 19 Georgia Firefighter Standards and Training Council 6 Georgia Peace Officer Standards and Training Council 21 Public Safety Training Center 106 Governor's Office of Highway Safety 11 Commissioner 6 Deputy Commissioner 2 Administration Services 210 Driver Services 545 Field Operations 1,179 405 DEPARTMENT OF PUBLIC SAFETY -- Financial Summary Unit A - Department of Public Safety Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Capital Outlay Post Repairs Conviction Reports Drivers License Processing Total Funds Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 81,299,068 11,340,981 270,802 4,075,796 1,222,465 4,611,812 77,803 2,999,360 1,222,062 350,981 342,824 2,866,602 $110,680,556 FY 2000 Expenditures 84,904,951 11,084,681 332,256 3,805,732 466,108 3,889,163 105,283 3,055,487 1,418,766 15,000 236,050 333,151 2,944,107 $112,590,735 FY 2001 Current Budget 88,720,420 9,834,370 166,036 4,632,350 419,033 3,156,710 76,224 3,017,447 1,388,300 FY 2002 Agency Requests Adjusted Base Enhancements Totals 96,572,495 10,288,675 202,939 4,692,350 458,235 3,161,210 76,224 3,165,229 1,148,300 3,644,313 100,216,808 10,288,675 202,939 4,692,350 458,235 3,161,210 76,224 3,165,229 1,148,300 180,000 303,651 2,734,234 $114,628,775 181,000 308,651 2,734,234 $122,989,542 $3,644,313 181,000 308,651 2,734,234 $126,633,855 2,292,100 1,645,290 1,650,000 $5,587,390 $105,093,166 1,907 1,179 2,216,123 1,408,674 1,650,000 $5,274,797 $107,315,938 1,907 1,179 1,650,000 $1,650,000 $112,978,775 1,942 1,204 1,650,000 $1,650,000 $121,339,542 2,139 1,217 $3,644,313 1,650,000 $1,650,000 $124,983,855 2,139 1,217 406 DEPARTMENT OF PUBLIC SAFETY -- Financial Summary Unit A - Department of Public Safety Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Capital Outlay Post Repairs Conviction Reports Drivers License Processing Total Funds Less Federal & Other Funds: Federal Funds Other Funds DOAS Indirect Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 88,720,420 9,834,370 166,036 4,632,350 419,033 3,156,710 76,224 3,017,447 1,388,300 1,250,035 844,694 70,903 (510,000) (52,000) 3,000 10,211 26,782 (250,000) 180,000 303,651 2,734,234 $114,628,775 5,000 $1,398,625 1,650,000 $1,650,000 $112,978,775 1,942 1,204 37,000 $37,000 $1,361,625 17 7 FY 2002 Governor's Recommendations Workload Adjusted Base 89,970,455 10,679,064 236,939 4,122,350 367,033 3,159,710 86,435 3,044,229 1,138,300 Enhancements 1,764,350 737,250 30,000 1,593,750 616,425 61,875 Totals 91,734,805 11,416,314 266,939 5,716,100 983,458 3,159,710 86,435 3,106,104 1,138,300 180,000 308,651 2,734,234 $116,027,400 $4,803,650 180,000 308,651 2,734,234 $120,831,050 37,000 1,650,000 $1,687,000 $114,340,400 1,959 1,211 37,000 $4,803,650 1,650,000 $1,687,000 $119,144,050 75 2,034 75 1,286 407 DEPARTMENT OF PUBLIC SAFETY - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Annualize 25 additional trooper positions. Other Adjustments: 3. Eliminate one-time funding for a statewide communication system study. 4. Reduce one-time expenditures related to 25 trooper positions. 5. Adjust personal services to reflect projected expenditures. 6. Fund an increase in gasoline cost. 7. Provide 7 positions and operating expenses for the Commissioners office. 8. Provide State funds for 6 positions and operating cost for the Federal Excess Property unit. This unit was previously funded by a federal grant. 9. Fund the Directors position for the Alcohol and Drug Resistance Program. 10. Provide operating funds for the Georgia Building Authority Police. 11. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. 12. Fund 3 positions to assist with the increased workload associated with the PeopleSoft accounting system. 112,978,775 763,963 645,400 (250,000) (610,000) (1,142,526) 731,300 640,535 350,613 90,840 Yes 10,211 131,289 ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Fund 75 state troopers, 75 vehicles and operating cost to patrol the metro area. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS $114,340,400 4,803,650 $4,803,650 $119,144,050 408 DEPARTMENT OF PUBLIC SAFETY - UNIT A Functional Budget Summary 1. Adminitstration FY 2001 Appropriations Total State 23,614,681 22,114,681 FY 2002 Recommendations Total State 24,624,661 23,124,661 2. Driver Services 25,048,981 25,048,981 24,526,380 24,526,380 3. Field Operations TOTAL APPROPRIATIONS 65,965,113 65,815,113 71,680,009 71,493,009 $114,628,775 $112,978,775 $120,831,050 $119,144,050 RECOMMENDED APPROPRIATION: The Department of Public Safety - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $119,144,050. 409 DEPARTMENT OF PUBLIC SAFETY -- Financial Summary Unit B - Units Attached for Administrative Purposes Only Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Capital Outlay Highway Safety Grants POST Grants Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 8,851,455 3,470,166 119,018 81,309 378,265 471,777 157,319 216,283 1,709,949 3,800,251 4,062,861 $23,318,653 FY 2000 Expenditures 9,721,218 3,655,815 128,212 77,142 230,371 287,268 174,356 277,268 1,841,464 299,963 2,357,101 4,042,722 $23,092,900 FY 2001 Current Budget 9,752,164 2,668,486 99,389 78,020 197,746 244,185 323,927 306,573 321,062 300,000 2,425,200 2,972,908 $19,689,660 FY 2002 Agency Requests Adjusted Base Enhancements Totals 10,005,025 2,641,977 105,389 63,000 146,880 232,841 337,097 327,363 327,062 813,986 191,525 12,500 25,000 15,000 109,000 26,500 84,500 10,819,011 2,833,502 117,889 63,000 171,880 247,841 446,097 353,863 411,562 2,425,200 2,972,908 $19,584,742 (724,703) $553,308 2,425,200 2,248,205 $20,138,050 6,061,092 2,701,197 $8,762,289 $14,556,364 170 69 5,902,165 2,560,646 $8,462,811 $14,630,089 176 67 2,930,298 1,274,000 $4,204,298 $15,485,362 181 74 2,930,298 1,274,000 $4,204,298 $15,380,444 181 74 128,000 $128,000 $425,308 16 6 2,930,298 1,402,000 $4,332,298 $15,805,752 197 80 410 DEPARTMENT OF PUBLIC SAFETY -- Financial Summary Unit B - Units Attached for Administrative Purposes Only Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees & Contracts Capital Outlay Highway Safety Grants POST Grants Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 9,752,164 2,668,486 99,389 78,020 197,746 244,185 323,927 306,573 321,062 300,000 2,425,200 2,972,908 $19,689,660 194,356 (30,829) (35,020) (65,866) (11,344) 20,790 6,000 (300,000) ($221,913) 2,930,298 1,274,000 $4,204,298 $15,485,362 181 74 ($221,913) FY 2002 Governor's Recommendations Workload Adjusted Base 9,946,520 2,637,657 99,389 43,000 131,880 232,841 323,927 327,363 327,062 Enhancements 47,167 21,000 2,000 1,000 10,500 2,425,200 2,972,908 $19,467,747 $81,667 Totals 9,993,687 2,658,657 101,389 43,000 131,880 232,841 323,927 328,363 337,562 2,425,200 2,972,908 $19,549,414 2,930,298 1,274,000 $4,204,298 $15,263,449 181 74 $81,667 1 2,930,298 1,274,000 $4,204,298 $15,345,116 182 74 411 DEPARTMENT OF PUBLIC SAFETY - UNIT B FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Eliminate one-time funding for office equipment in the Governor's Office of Highway Safety. 3. Reduce one-time funding related to the purchase of two burn buildings. 4. Realign object classes and make minor adjustments to following areas: - Police Academy - ($182) - Fire Academy - ($5,832) - Training Center - $15,274 ADJUSTED BASE 15,485,362 83,827 (15,000) (300,000) 9,260 $15,263,449 ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide operating expenses and outside adjunct instructors for the burn buildings located in Dublin and Valdosta. 2. Fund 1 programmer analyst II position to assist with the technology needs of the P.O.S.T. Council. TOTAL ENHANCEMENT FUNDS 34,500 47,167 $81,667 TOTAL STATE FUNDS $15,345,116 412 DEPARTMENT OF PUBLIC SAFETY - UNIT B Functional Budget Summary 1. Georgia Police Academy FY 2001 Appropriations Total State 1,216,022 1,126,022 FY 2002 Recommendations Total State 1,227,217 1,137,217 2. Georgia Fire Academy 1,253,988 1,143,988 1,290,614 1,180,614 3. Georgia Firefighter Standards and Training Council 4. Georgia Peace Officer Standards and Training Council 485,161 1,562,540 485,161 1,562,540 488,429 1,619,410 488,429 1,619,410 5. Public Safety Training Center 6. Governor's Office of Highway Safety TOTAL APPROPRIATIONS 11,653,168 3,518,781 $19,689,660 10,579,168 588,483 $15,485,362 11,406,306 10,332,306 3,517,438 587,140 $19,549,414 $15,345,116 RECOMMENDED APPROPRIATION: The Department of Public Safety - Unit B is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $15,345,116. 413 DEPARTMENT OF PUBLIC SAFETY Roles and Responsibilities The Department of Public Safety (DPS) is responsible for protecting the lives of Georgia's citizens as they travel the state's highways. The Department provides a safe environment by enforcing traffic and criminal laws, investigating accidents, and encouraging safe driving practices. The Agency regulates drivers to ensure safety standards, knowledge and driving skills are met. The Department's troopers work to reduce accidents and injuries by discouraging speeding, encouraging seat belt use, and by stopping drivers under the influence of drugs and alcohol. They also provide law enforcement assistance and emergency response to the public and criminal justice community. A staff of 1,942 employees (including 914 sworn positions), support the operations of the Department of Public Safety's - Budget Unit A. DPS also has 6 agencies in Budget Unit B attached for administrative purposes. The 3 functional budgets, which comprise Budget Unit A are: Administration, Drivers Services and Field Operations. ADMINISTRATION The administrative and management direction for the Department of Public Safety, including the coordination and support services of the 6 attached agencies, are provided by this function. DRIVER SERVICES The issuance of driver's licenses, permits and the administration of the commercial driver's license program are carried out by the Driver Services function. The Department utilizes 55 full service testing locations, 29 Kroger renewal sites, 11 travel teams, 9 reinstatement facilities, and 6 renewal only sites. These sites are situated throughout the state. Additional responsibilities include suspension and reinstatement of driver's licenses and school bus safety program certification and inspection. FIELD OPERATIONS More commonly known as the State Patrol, this function is responsible for accident control, traffic and speed enforcement, drug interdiction, and protection of the public roads and highways. To carry out its duties, the State Patrol operates 48 patrol posts and 7 aviation hangers statewide. ATTACHED AGENCIES The following 6 attached agencies, including 163 authorized positions, comprise Budget Unit B: The Georgia Public Safety Training Center provides instruction and support services for the training of state and local law enforcement officers, firefighters, correctional officers and emergency personnel. The Georgia Police Academy conducts mandated basic training for state law enforcement agencies. The academy also provides advanced and specialized training to improve the knowledge, skills and performance of law enforcement officers. The Georgia Fire Academy is primarily responsible for providing training to full-time, volunteer and industrial firefighters in Georgia. Emergency medical, rescue and hazardous materials training for firefighters and other emergency services personnel are also provided by the Fire Academy. The Firefighter Standards and Training Council is responsible for establishing uniform standards for the employment and training of firefighters. Additionally, the council establishes curriculum requirements and approves schools and facilities for the purpose of fire training. The Peace Officer Standards and Training Council is responsible for improving law enforcement in the state by enforcing legislatively established standards for the employment and training of peace officers. The citizens of Georgia can be assured the adequate protection of persons and property through the establishment of minimum standards and professionalism developed and supported by law enforcement training. The Governor's Office of Highway Safety is responsible for the development and administration of statewide highway safety programs. The agency coordinates programs funded through federal highway grants designed to reduce the number of highway deaths and to promote safety. AUTHORITY Title 25, 35 and 40 of the Official Code of Georgia Annotated; Georgia Laws 1980, Act 875 and Act 866. 414 DEPARTMENT OF PUBLIC SAFETY Strategies and Services The Department of Public Safety (DPS) is responsible for protecting the lives of Georgia's citizens by making the state's highways safer. As the largest law enforcement agency in the State of Georgia, the department is involved in regulating drivers, enforcing traffic and criminal laws, and promoting safe driving practices. In FY 2000, the department's troopers investigated 30,800 accidents, and made 10,651 DUI arrests. These efforts have contributed to saving lives and decreasing the number of crashes and injuries in Georgia. In FY 2001, the Governor showed his support for the department's efforts to increase the safety of the state's highways by increasing the size of the State Patrol by 25 Troopers. This brought the authorized count for sworn officers in the Georgia State Patrol to 914. In FY 2002, the Governor will once again show his support by recommending an additional 75 Troopers. The two-year increase will provide the State Patrol with an authorized count of 989 sworn officers. The addition of 100 new Troopers, between FY 2001 and FY 2002, represents a 12% increase. In conjunction to the 75 additional troopers, the Governor is recommending a special pay package for the departments sworn personnel. The Governor's objective for the pay package is to attack the continuing problem of recruitment and retention of State Troopers. The package includes an increase in the target hire salary as well as a 4% increase for the current filled positions. This will increase the target hire salary for a Trooper from $26,646 to $30,557, representing a 14.7% increase. The new beginning trooper salary will place Georgia as the leader amongst Southeastern States. The pay package will assist the Department of Public Safety in their endeavor to hire the most professional and qualified candidates to protect the citizens of this State. HIGHWAY SAFETY The department's highway safety program consists of the following functions, which are performed by the Georgia State Patrol: Speed Limit Enforcement--The department wrote more than 181,981 citations for speeding in FY 2000 as part of its ongoing effort to reduce highway speed and save lives. Further, the department continued an intensive speed enforcement program, known as Operation Hardnose, designed to target problem drivers in the Atlanta area. Operation Hardnose consists of 50 troopers in concentrated patrols on metro interstates and has resulted in thousands of tickets and warnings being issued. Driving while under the influence Enforcement--The department imple ments and has a continuum of programs to target the enforcement of the DUI laws. In FY 2000, the department made 10,651 arrests. The Star GSP Service Program is one of the departments DUI enforcement programs. In this program the average citizen is asked to call and report potential DUI violators. This program resulted in 1,100 arrests in FY 1999. Georgia State Patrol - Troopers Proposed Begining Salary Compared to Other Southeastern States Georgia North Carolina Kentucky Florida Tennessee South Carolina Mississippi Alabama $30,557 $29,826 $28,595 $28,032 $26,280 $25,230 $23,976 $23,793 415 DEPARTMENT OF PUBLIC SAFETY -- Strategies and Services Seat Belt and Child Restraint Enforcement--With the passage of Georgia's primary seat belt enforcement law, the State of Georgia has made a commitment to seat belt enforcement. According to studies, proper use of safety belts and child safety seats can reduce the likelihood death and injury by 40-50%. The department's troopers and the Office of Highway Safety have enhanced the public's awareness of seat belt safety through aggressive enforcement and through numerous public service announcements targeting seat belt usage. In FY 1998, the department implemented operation "Strap `N Snap," which is focusing on seatbelt and child restraint usage. During FY 2000, 55,393 seat belt citations and 5,456 child restraint citations were written in this operation. Drug Interdiction Task Force--The state patrol continues to be aggressive in their mission to reduce the amount of illic it drugs that are imported and transported on Georgia's highways. In the past four years the drug seizure amounts confiscated by the task force have more than doubled. To work in conjunction with the interdiction task force the department recently implemented a K-9 program. In this program, troopers are specially trained in the area of drug detection, and will assist with in the efforts of drug interdiction. DRIVER'S LICENSE ISSUANCE The department's driver services division continues to battle with providing improved customer services. The 32 service-oriented facilities renewed over 1,411,890 driver's licenses in FY 2000, representing an 11% increase over FY 1999. In the FY 2001, Governor Barnes provided 10 additional drivers license examiners for the high volume metro area. Combining innovative ideas, technology and support from Governor Barnes, the department has been successful in their effort to improve customer service. Another step to improve service is the introduction of computerized digital imaging license issuance in the fall of 1996. Digital imaging makes it possible for the department to issue a renewal driver's license immediately, rather than 45 days. A digital imaging system does not require film or a camera; instead, the image is captured by a computer using a video camera and printed using a color printer. Over-the-counter instant issuance has significantly improved the efficiency and quality of service. The Governor supports the department's efforts to reduce the number of accidents and fatalities involving teenage drivers. The leading cause of death in U.S. teenagers is motor vehicle crashes and young drivers experience a disproportionately higher rate of motor vehicle crashes than other aged drivers. According to the Office of Highway Safety, 108 of every 100,000 drivers under 18 were involved in a fatal crash. This is 3 times as many traffic deaths as drivers who are 24 years or older. Young drivers are involved in more deadly crashes than other age groups due to a number of factors, including a lack of driving experience, a tendency to drive faster, driving more at night, not wearing seat belts, having more passengers in their vehicles, and not being able to handle the effects of alcohol. TRAINING The State of Georgia currently has 44,532 peace officers in 971 state, county and local law enforcement agencies. To be certified, law enforcement personnel are required to complete a minimum prescribed 400-hour basic mandate course. Peace officers are also required to complete a minimum of 20 hours of in-service training annually to maintain certification. The following agencies attached to DPS for administrative purposes are critical in providing training to state and local law enforcement personnel: Police Academy, Fire Academy, Firefighter Standards and Training Council, Peace Officer Standards and Training Council, and the Public Safety Training Center. State - 18,042 37% State of Georgia - Peace Officer Population Judicial - 313 1% County - 18,579 39% Municipal - 11,338 23% 416 DEPARTMENT OF PUBLIC SAFETY - UNIT A Results-Based Budgeting TRAFFIC LAW ENFORCEMENT (GEORGIA STATE PATROL) Purpose: Provide the citizens of Georgia with safe highways and roads through enforcement of motor vehicle laws. Goal 1: Increase vehicle occupant safety. - Decrease the number of injuries that result from not wearing seat belts. - Decrease the number of motorcycle accidents that result from operator error. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 18,200 1,050 FY 2000 Actual 22,582 FY 2001 Desired 17,700 FY 2002 Desired 17,000 1,877 1,030 1,000 $88,087,064 $89,579,794 $96,304,670 $82,812,267 $87,929,794 $94,617,670 DRIVERS SERVICES Purpose: Improve the quality of driving in Georgia through the regulation (licensing, suspension, revocation and reinstatement) of individuals to ensure they are deserving the privilege to drive. Goal 1: The Department of Public Safety will provide efficient and courteous services when customers are applying for and receiving a driver's license - Percentage of customers that rate the level of services they receive FY 2000 Desired 62% FY 2000 Actual 65% FY 2001 Desired 62% FY 2002 Desired 67% at driver service facilities as satisfactory or better. Program Fund Allocation -- Total Funds State Funds $24,503,671 $25,048,981 $24,526,380 $24,503,671 $25,048,981 $24,526,380 TOTAL - All Programs Total Funds State Funds $112,590,735 $114,628,775 $120,831,050 $107,315,938 $112,978,775 $119,144,050 417 DEPARTMENT OF PUBLIC SAFETY - UNIT B -- Results-Based Budgeting GEORGIA FIRE ACADEMY FIREFIGHTER TRAINING Purpose: Develop and provide training for Georgia's state, local, and volunteer firefighters, emergency medical services and industrial personnel. Goal 1: Provide the state with trained well-qualified FY 2000 FY 2000 FY 2001 FY 2002 firefighters. Desired Actual Desired Desired - The percentage of Fire Academy students who attend Fire 66% 86% 73% 80% Academy courses that show at least a 10% improvement in subject matter knowledge, skills and abilities based on pre and post testing. - In a 6 month follow up survey, 50% of employers will state that 50% N/A 50% 50% the coursework at the Fire Academy was relevant and helpful. Program Fund Allocation -- Total Funds State Funds $1,187,611 $1,253,988 $1,290,614 $1,054,895 $1,143,988 $1,180,614 GEORGIA FIREFIGHTER STANDARDS AND TRAINING COUNCIL FIREFIGHTER AND FIRE DEPARTMENT CERTIFICATION Purpose: Provide standards for fire department operations and provide professional training objectives and standards the lead to state and national certification. Goal 1: Provide the state with trained well-qualified FY 2000 FY 2000 FY 2001 FY 2002 firefighters and well managed fire departments. Desired Actual Desired Desired - The state's full time fire departments will be in compliance with 100% 100% 100% 100% state requirements for safety, staff training and fire fighting preparedness. - All new firefighters will meet and maintain state and national 100% 100% 100% 100% certifications and will demonstrate a basic level of firefighting and life support skills. Program Fund Allocation -- Total Funds $461,083 $485,161 $488,429 State Funds $461,083 $485,161 $488,429 GOVERNOR'S OFFICE OF HIGHWAY SAFETY INCREASE AND PROMOTE HIGHWAY AND MOTOR VEHICLE SAFETY Purpose: To assist in saving lives, and reducing injuries and the economic costs associated with traffic crashes. Goal 1: Highways will be safer as a result of the Office of FY 2000 FY 2000 FY 2001 Highway Safety's programs. Desired Actual Desired - Fatality and injury rates for speed related crashes for drivers age 0.49 N/A 0.30 16-24 per 100 million vehicle mile. [1.] - Percentage of drivers using safety belts. 85% 77% 85% Program Fund Allocation -- Total Funds $5,430,543 $3,518,781 State Funds $365,462 $588,483 Notes: 1. Collection of this data will be completed in January 2001. FY 2002 Desired 0.30 81% $3,517,438 $587,140 418 DEPARTMENT OF PUBLIC SAFETY - UNIT B -- Results-Based Budgeting GEORGIA PEACE OFFICER STANDARDS AND TRAINING COUNCIL PEACE OFFICER CERTIFICATION, REGULATION AND TRAINING Purpose: Ensure the highest degree of professional conduct in public service by establishing and regulating verification and training standards for peace officers. Goal 1: Ensure that peace officers and criminal justice professionals uphold a high standard of professional conduct. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of valid public complaints per POST certified officer will decrease. [1.] - Percentage of law enforcement agencies that report valid complaints against POST certified officers within their departments. [1.] Goal 2: Peace officers and criminal justice professionals will begin public safety work as soon as possible. - Process all complete and correct applications for certification within applicable time restraints. (Activity) Program Fund Allocation -- Total Funds State Funds Notes: 1. This measure has not previously been collected. 12 80% 100% N/A 10 10 N/A 80% 80% 95% 100% 100% $1,541,990 $1,562,540 $1,619,410 $1,491,814 $1,562,540 $1,619,410 GEORGIA POLICE ACADEMY SPECIALIZED LAW ENFORCEMENT TRAINING Purpose: To improve law enforcement personnel's knowledge, skills and performance in the execution of their duties. Goal 1: Improve the ability of law enforcement in Georgia to protect lives and property through quality training. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The percentage of Police Academy students who attend Police 64% 79% 70% 80% Academy courses and pass that show a minimum of 10% improvement in subject matter knowledge, skills and abilities based on pre- and post-testing. 50% N/A 50% 50% - In a 6 month follow-up survey, 50% of employers will state that the coursework at the Police Academy was relevant and helpful. Program Fund Allocation -- Total Funds State Funds $1,663,780 $1,216,022 $1,227,217 $1,220,625 $1,126,022 $1,137,217 419 DEPARTMENT OF PUBLIC SAFETY - UNIT B -- Results-Based Budgeting GEORGIA PUBLIC SAFETY TRAINING CENTER PUBLIC SAFETY TRAINING Purpose: Develop delivered facilitate training that promotes professionalism and competency within the ranks of Georgia's public Goal 1: Improve the ability of public safety personnel in FY 2000 FY 2000 FY 2001 FY 2002 Georgia to protect lives and while adhering to the principles of due process and equal protection Desired Actual Desired Desired - The percentage of Public safety professionals who attend Georgia Public Safety Training Center's courses and pass that show a minimum of 10% improvement in subject matter knowledge, skills and abilities based on pre- and post-testing as follows: -- EVOC -- Basic Communication -- Advanced/Specialized in service mandate -- JPS 32% 35% 35% 40% 57% 74% 62% 70% 48% 58% 53% 58% 38% 38% 42% 48% - In a 6 month follow-up survey, 50% of employers will state that the coursework at the Georgia Public Safety Training Center was relevant and helpful. Program Fund Allocation -- Total Funds State Funds 50% N/A 50% 50% $12,807,893 $11,653,168 $11,406,306 $10,036,210 $10,579,168 $10,332,306 TOTAL - All Programs Total Funds State Funds $23,092,900 $19,689,660 $19,549,414 $14,630,089 $15,485,362 $15,345,116 420 [This page intentionally blank] 421 PUBLIC SCHOOL EMPLOYEES' RETIREMENT SYSTEM Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Employer Contributions Payments to ERS Total Funds TOTAL STATE FUNDS FY 1999 Expenditures 17,067,000 575,000 $17,642,000 $17,642,000 FY 2000 Expenditures 18,027,000 575,000 $18,602,000 $18,602,000 FY 2001 Current Budget 17,017,000 625,000 $17,642,000 $17,642,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 12,874,104 625,000 $13,499,104 $13,499,104 12,874,104 625,000 $13,499,104 $13,499,104 422 PUBLIC SCHOOL EMPLOYEES' RETIREMENT SYSTEM Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Employer Contributions Payments to ERS Total Funds TOTAL STATE FUNDS FY 2001 Annualizers and Current Budget Adjustments 17,017,000 625,000 $17,642,000 $17,642,000 (4,142,896) ($4,142,896) ($4,142,896) FY 2002 Governor's Recommendations Workload Adjusted Base 12,874,104 625,000 $13,499,104 $13,499,104 Enhancements Totals 12,874,104 625,000 $13,499,104 $13,499,104 FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Other Adjustments: 1. Reduce employer contributions based on actuarial projections. ADJUSTED BASE TOTAL STATE FUNDS Governor's Recommendations 17,642,000 (4,142,896) $13,499,104 $13,499,104 RECOMMENDED APPROPRIATION: The Public School Employees' Retirement System is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $13,499,104. 423 PUBLIC SCHOOL EMPLOYEES' RETIREMENT SYSTEM Results-Based Budgeting Purpose: To provide public school employees in qualified positions and their families retirement benefits relative to their service in the event of their retirement, death, or disability. Goal: Ensure adequate financing for future benefits due and other obligations of the retirement system by investing FY 2000 FY 2000 FY 2001 FY 2002 prudently the retirement system assets, using a conservative Desired Actual Desired Desired long-term philosophy. - The retirement system's Unfunded Actuarial Accrued Liability 15 - 25 40 years 15 - 25 15 - 25 (UAAL) will liquidate between 15 and 25 years. [1] years years years Program Fund Allocation -- Total Funds $18,602,000 $17,642,000 $13,499,104 State Funds $18,602,000 $17,642,000 $13,499,104 Note 1 - This is a measure of the retirement system's financial soundness and means that, using current actuarial assumptions and funding strategies, within 15 to 25 years the retirement plan will be fully funded. TOTAL - All Programs Total Funds State Funds $18,602,000 $17,642,000 $13,499,104 $18,602,000 $17,642,000 $13,499,104 424 PUBLIC SERVICE COMMISSION Total Budgeted Positions -- 152 Commissioner's Office 10 Administrative Support Transportation Division Utilities Division 24 64 54 425 PUBLIC SERVICE COMMISSION -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 7,632,045 688,484 265,050 280,235 67,372 311,406 3,223,490 543,403 209,976 535,991 $13,757,452 FY 2000 Expenditures 8,274,482 641,214 262,917 321,957 63,285 314,511 2,009,198 378,260 260,438 17,330 $12,543,592 FY 2001 Current Budget 9,124,706 594,856 263,062 207,184 61,236 327,795 894,291 378,286 220,072 $12,071,488 FY 2002 Agency Requests Adjusted Base Enhancements Totals 9,719,802 690,706 293,062 276,184 69,736 343,375 1,566,388 407,786 232,072 327,378 84,000 8,757 (8,060) 224 29,628 10,387 10,047,180 774,706 301,819 268,124 69,960 373,003 1,576,775 407,786 232,072 $13,599,111 $452,314 $14,051,425 3,775,444 36,415 $3,811,859 $9,945,593 148 62 3,300,782 24,744 $3,325,526 $9,218,066 152 64 2,840,475 2,879,475 $2,840,475 $9,231,013 152 64 $2,879,475 $10,719,636 164 67 177,116 3,056,591 $177,116 $275,198 $3,056,591 $10,994,834 164 67 426 PUBLIC SERVICE COMMISSION -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 9,124,706 594,856 263,062 207,184 61,236 327,795 894,291 378,286 220,072 (150,426) (141,184) 214,662 $12,071,488 ($76,948) 2,840,475 $2,840,475 $9,231,013 152 64 (70,169) ($70,169) ($6,779) FY 2002 Governor's Recommendations Workload 48,790 397,641 Adjusted Base 9,023,070 594,856 263,062 66,000 61,236 542,457 1,291,932 378,286 220,072 Enhancements 144,814 37,995 4,876 33,000 2,024 4,800 3,300 Totals 9,167,884 632,851 267,938 99,000 63,260 542,457 1,291,932 383,086 223,372 $446,431 $12,440,971 $230,809 $12,671,780 $446,431 2,770,306 $2,770,306 $9,670,665 152 64 $230,809 3 2 2,770,306 $2,770,306 $9,901,474 155 66 427 PUBLIC SERVICE COMMISSION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Adjust for new real estate rental rates. 4. Reduce temporary help funds in personal services. 5. Reduce motor vehicle purchases to reflect that only those vehicles with a projection of at least 120,000 miles traveled as of July 1, 2001 will be replaced. 6. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. Workload: 7. Increase the Administration Division funding for per diem, fees and contracts to cover contract temporary workers for the Consumer Affairs Unit, which handles consumer complaints regarding electric, natural gas, and telecommunications companies. 8. Increase the Utilities Division funding for per diem, fees and contracts to cover 1 independent contractor and 2 contract temporary workers needed to handle the increased level of filings and internal document generation caused by deregulation of the natural gas industry and the local telecommunications service industry. 9. Fund a reduction in personal services lapse that will enable the Utilities Division to fill 1 vacant pipeline safety inspector position. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENT 1. Fund a new unit in the Utilities Division that will be responsible for enforcing the Utility Facility Protection Act of 2000. This enhancement package will fund the addition of 2 investigators, 1 investigator/supervisor, 2 motor vehicles, and necessary operating expenses. TOTAL ENHANCEMENT FUNDS Governor's Recommendations 9,231,013 81,541 (27,514) 185,076 (204,453) (61,536) 20,107 285,750 111,891 48,790 $9,670,665 230,809 $230,809 TOTAL STATE FUNDS $9,901,474 428 PUBLIC SERVICE COMMISSION Functional Budget Summary 1. Administration FY 2001 Appropriations Total State 2,714,035 2,714,035 FY 2002 Recommendations Total State 3,103,832 3,103,832 2. Transportation 4,321,542 1,754,378 4,201,514 1,704,519 3. Utilities TOTAL APPROPRIATIONS 5,035,911 $12,071,488 4,762,600 $9,231,013 5,366,434 $12,671,780 5,093,123 $9,901,474 RECOMMENDED APPROPRIATION: The Public Service Commission is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $9,901,474. 429 PUBLIC SERVICE COMMISSION Roles and Responsibilities The Public Service Commission (PSC) is responsible for regulating public utility and transportation companies under its jurisdiction. In carrying out its responsibilities the commission promulgates and enforces rules governing regulated companies, assists consumers of regulated companies with questions and problematic situations, and educates the public on consumer rights and responsibilities in the evolving regulatory environment. Above all, the commission aims to ensure that the best value in electric, natural gas, and telecommunications service is delivered to Georgia consumers and that the level of transportation and pipeline safety practiced in the state remains high. At the same time, the commission must provide regulated companies the opportunity to earn fair returns on their investments. The PSC is a quasi-legislative, quasi-judicial agency directed by a 5-member board of commissioners. Commissioners are elected through statewide general elections and serve 6-year terms. The agency staff of accountants, analysts, enforcement officers, engineers, information systems specialists, inspectors, and various administrative personnel assists the commissioners in fulfilling their duties. The commission is organized into three divisions: the Administration Division, the Transportation Division, and the Utilities Division. UTILITIES DEREGULATION With the onset of competition in the natural gas and telecommunications industries, the commission's role has evolved considerably throughout the past decade. Instead of simply acting as a traditional regulatory body, the PSC now establishes and monitors competitive markets, arbitrates complaints among competitors, and provides consumer protection and education. The commission's transformation is expected to continue as these industries and possibly the electric industry move toward full competition. The progress towards full competition varies among the PSC-regulated utilities. As for the telecommunications industry, long distance service was opened to competition in the mid-1980s while local service was deregulated about a decade later. In 1997 state legislation mandated that, for the most part, natural gas companies should be allowed to compete in an open market. In recent years the natural gas and telecommunications industries have evolved from monopoly market structures (where customers are served by a single provider) to competitive markets (where customers can choose from multiple providers for certain services). Selected services, such as natural gas distribution, continue to be monopoly services regulated by the commission. As for the electric industry, restructuring is being discussed at both the state and federal level, although no statutory changes have been made to date. Today, even though the natural gas and telecommunications industries have been opened to competition, the PSC remains responsible for monitoring the rates and service standards of electric, natural gas, and telecommunications companies. Additionally, it is the role of the commission to approve supply plans for electric and natural gas companies and to certify competitive natural gas and telecommunications service providers. The PSC recognizes that its responsibility to ensure that utility services are reliable and reasonably priced has not changed even as utility markets have become more competitive. The Public Service Commissioners feel that Georgians should continue to have access to high quality utility services, whether those services are priced in a competitive market or through economic regulation. ADDITIONAL RESPONSIBILITIES While utility deregulation has been a primary issue of concern for all citizens of the state, PSC inspectors have worked diligently to carry out the commission's responsibility of enforcing commercial vehicle and pipeline safety regulations. Both of these programs aim to prevent accidents that could adversely impact public safety. The PSC also administers the Georgia No Call program, the Telecommunications Relay Service for the hearing and speech impaired, the Natural Gas Universal Service Fund, and the Telecommunications Universal Access Fund. AUTHORITY Article 4, Section 1 of the Constitution of the State of Georgia; Titles 40 and 48 of the Official Code of Georgia Annotated. 430 PUBLIC SERVICE COMMISSION Strategies and Services The Public Service Commission has adopted the following strategic directions, which guide daily service delivery to the citizens of Georgia: Ensure that reliable electric, natural gas, telecommunications, and transportation services are available to consumers and reasonably priced either through effectively competitive markets or through economic regulation; Enhance public well-being through the pipeline and transportation safety programs; Demonstrate a commitment to all customers and stakeholders; Utilize information technology in an effort to be more accessible to the public; and Enhance the overall efficiency and effectiveness of agency operations. In carrying out the commission's many responsibilities, the PSC's elected commissioners and executive staff stress the agency's strategic directions. This is exemplified in the commission's natural gas deregulation, utility system protection, and roadside inspection efforts. NATURAL GAS DEREGULATION AND CONSUMER EDUCATION EFFORTS Throughout this past year, the newly competitive natural gas industry has continued to evolve. In 1999, most consumers initially selected a natural gas marketer. During the initial selection phase, the PSC made an effort to educate consumers about deregulation and the choices they would need to make. The commission has continued this effort by posting a certified gas marketer scorecard to its website each month. The scorecards tally complaints against each of the 10 certified gas marketers as received by the PSC's consumer affairs section. Since citizens first started doing business with the new gas marketers, many complaints regarding poor treatment of customers have been reported to the commission, which is why the scorecards are a necessary part of consumer education efforts. The monthly scorecard provides consumers with up to date information on each gas company's customer service record with Georgia consumers. Although the transformation to a competitive natural gas market began three years ago, consumer complaints remain common and the PSC is still working towards reducing them. For the month of November 2000, the gas marketer scorecard revealed that there were 766 billing, 93 service, and 32 deceptive marketing complaints reported to the PSC. It was a spike in billing comp laints in the summer of 2000 (1,415 in August alone) that prompted the PSC to propose new rules governing gas marketer billing practices. Approved by commissioners in November, the rules set service quality standards for bill timeliness, accuracy, and comprehensiveness. In FY 2002, the PSC plans to continue operation of its consumer affairs call center where specialists assist utility customers with billing and other service problems. The new billing standards will enable the commission to hold gas marketers accountable for unfair billing practices and protect consumer rights. By tracking complaints, enforcing standards, and providing gas marketer scorecards, the commission is working to fulfill its responsibilities of monitoring the newly competitive natural gas market and keeping the public informed. GAS PIPELINE SAFETY AND UTILITY FACILITY PROTECTION Thanks to the PSC's Gas Pipeline Safety program, natural gas is delivered to Georgia consumers via a safe and reliable system. Members of the pipeline safety team inspect gas pipelines, storage facilities, and systems as a whole, and they monitor the overall safety standards of suppliers and operators. Inspections ensure that pipes are free of corrosion damage, proper pressures are being maintained, odorant is being used to warn of leaks, employee drug testing is being conducted regularly, and other regulation safeguards are in place. The pipeline safety office is charged with inspecting 277 natural gas systems with approximately 36,303 miles of pipeline and 1,745,790 service lines that supply over 2,000,000 customers. Additionally, the team inspects 5 liquefied natural gas systems and 6 propane systems. The PSC staff also offers safety training for operators. All of these activities lead to a safer environment for Georgia citizens. During the 2000 legislative session, a new law known as the Georgia Utility Facility Protection Act was passed in an effort to reduce utility system damage caused by third party excavators. This act gave the PSC additional responsibility for investigating complaints and levying fines against violators who are found guilty of damaging electric, telecommunications, water, and/or natural gas utility infrastructure. The commission is working towards putting together a new unit comprised of inspectors that will have the specific role of investigating utility system damage and thereby safeguarding citizens and private property. ROADSIDE INSPECTIONS The PSC's Motor Carrier Safety Assistance Program, which is 80% federally funded, aims to reduce traffic accidents and improve highway safety. Random roadside inspections performed by commission enforcement officers help to accomplish this objective. About 30,000 motor carrier inspections are performed annually by PSC officers who are specially trained to inspect motor vehicles and certified by the Peace Officer Standards and Training Council. Additionally, the officers inspect thousands of vehicles transporting hazardous materials in the state and assist with hazardous material incident investigations. 431 PUBLIC SERVICE COMMISSION Results-Based Budgeting NATURAL GAS PIPELINE SAFETY PROGRAM Purpose: To protect the customer, providers and the general public from injury, and protect property and the environment from damage caused by fires, explosions and other accidents involving Georgia's natural gas pipelines. Goal 1: Ensure that no natural gas fires, explosions or other accidents are due to system operators failing to comply with all FY 2000 FY 2000 FY 2001 FY 2002 applicable state and federal natural gas pipeline safety Desired Actual Desired Desired regulations. - Reduce the number of natural gas fires, explosions or other 25 101 18 90 accidents due to system operators non-compliance with applicable natural gas pipeline safety regulations by 5% per year. [1] Goal 2: Ensure that contractors and operators are educated and trained in locating facilities and the general public is aware of and uses the Utilities Protection Center "Call Before You Dig" program to reduce third party damage to Georgia's natural gas pipelines. - Reduce the number of natural gas fires, explosions or other 156 210 148 200 accidents resulting from third party damages due to lack of training and awareness of the Utilities Protection Center "Call Before You Dig" program by 5% per year. [2] Program Fund Allocation -- Total Funds $564,324 $550,241 $570,355 State Funds $276,542 $276,930 $297,044 Notes 1 - This measure is based on pipeline incidents with at least $5000 of damage. 2 - The high economic and population growth in Georgia has spurred improvement and expansion programs. UTILITIES REGULATION PROGRAM Purpose: To ensure that telecommunications, natural gas and electric utility services provided in Georgia under PSC jurisdiction are affordable and reliable either through traditional economic regulation or through the facilitation of competitive markets. Goal 1: Ensure that an effectively competitive local exchange market exists so that prices and choices of services will be market-based. - In FY 2002 new competitive providers of local exchange service in the largest metro areas will have 15% of market share in the aggregate. [1] Goal 2: Continue to ensure reasonable rates and reliable service with economic regulation of non-competitive local exchange companies in accordance with existing statues. - Maintain reasonable rates and reliable service of non-competitive local exchange companies based on the record of evidence before the Commission in FY 2002. [2] Goal 3: Maintain a high level of customer satisfaction with telecommunication services in the local telephone exchange market. - Increase the number of valid telecommunication complaints resolved satisfactorily by the PSC in FY 2002. [3] FY 2000 Desired 8.8% 100% 5,573 FY 2000 Actual 8.0% 100% 5,298 FY 2001 Desired 11.6% 100% 5,417 FY 2002 Desired 15.0% 100% 5,300 432 Public Service Commission -- Results-Based Budgeting UTILITIES REGULATION PROGRAM Goal 4: Ensure that universal service is maintained or enhanced. - In FY 2002 local telephone exchange service is provided to at least 96% of all Georgia homes. [4] Goal 5: Ensure that an effectively competitive retail natural gas market develops so that prices and choices of services will be market-based. - In FY 2002 an effectively competitive natural gas market will exist with non-affiliates of the existing local distribution company having at least a 50% market share. FY 2000 Desired 94% 18% FY 2000 Actual 94% >50% FY 2001 Desired 96% >50% FY 2002 Desired 96% >50% Goal 6: Continue to ensure reasonable rates for, and the reliability of, the natural gas distribution network through economic regulation in accordance with existing statutes. - Maintain reasonable rates, and reliability of, the natural gas 100% 100% 100% 100% distribution network in FY 2002 based on the record of evidence before the Commission. [5] Goal 7: Maintain a high level of customer satisfaction with natural gas services during FY 2002. - Increase the number of valid natural gas complaints resolved 5,798 12,992 2,900 10,000 satisfactorily by the PSC in FY 2002. [6] Goal 8: Continue to ensure reasonable rates and reliable service in the electric utility market in FY 2002 through economic regulation in accordance with existing statutes. - Maintain reasonable rates and reliability in FY 2002 based on the 100% 100% 100% 100% record of evidence before the Commission. [7] Goal 9: Maintain a high level of customer satisfaction with electric services during FY 2002. - Maintain the number of valid electric complaints resolved 785 738 825 750 satisfactorily by the PSC at 750 in FY 2002. Program Fund Allocation -- Total Funds $7,274,502 $7,199,705 $7,899,911 State Funds $7,249,758 $7,199,705 $7,899,911 Notes 1 - The desired results for FY 2000 were not achieved due to competitive local exchange providers' inability to transmit successfully through BellSouth's Operational Support System. The commission is currently in the thirteenth month of testing BellSouth's system to ensure that the competitive local exchange companies gain a meaningful opportunity to compete. 2 - Decisions of the Public Service Commissioners must be based on the record of evidence presented in hearings and consistent with statutes. If not, the courts will overturn the decisions during the appeals process. One of the PSC's telecommunications rate decisions is under appeal. Final resolution is not expected until 2001. 3 - Consumer rights increased following passage of the 1998 Georgia Telecommunications Marketing Act, which called for sanctions against long-distance service providers that slam consumers. Additionally, the Federal Communications Commission recently adopted a rule that imposes tough penalties for slamming and allows states to opt in to enforce it. In this environment of increasing consumer choices and consumer rights, the PSC is reorganizing its monitoring and handling of complaints in an effort to more effectively address the marketer practices that cause them. It is expected that this effort will offset anticipated complaint increases. 433 Public Service Commission -- Results-Based Budgeting UTILITIES REGULATION PROGRAM Notes Continued 4 - The penetration rate for telephone service reflects the total number of residential access lines divided by the total number of households based on Federal Communications Commission statistics. 5 - Decisions of the Public Service Commissioners must be based on the record of evidence presented in hearings and consistent with statutes. If not, the courts will overturn the decisions during the appeals process. The PSC did not lose any appeals relating to natural gas rate decisions from FY 1998 through FY 2000. 6 - Consumer choice increased as a result of the 1997 Georgia Natural Gas Competition and Deregulation Act. By July 1999 the market was completely deregulated and the quick transition to a competitive market had become very problematic. The majority of certified gas marketers underestimated the capacity needed to effectively bill customers, which resulted in 8,752 billing complaints in FY 2000. The PSC received 3,170 slamming complaints in FY 2000, most of which occurred prior to the commission's passage of a rule imposing tough sanctions on marketers who slam customers. 7 - Decisions of the Public Service Commissioners must be based on the record of evidence presented in hearings and consistent with statutes. If not, the courts will overturn the decisions during the appeals process. No electric rate decisions of the PSC were appealed in FY 2000. COMMERCIAL VEHICLE AND DRIVER SAFETY PROGRAM Purpose: To maintain and improve commercial driver and vehicle safety to protect the lives and property of anyone using Georgia's roadways. Goal 1: Reduce the number of commercial vehicle crashes, injuries and fatalities due to mechanical defects and driver violations of state and federal regulations. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Reduce the number of commercial motor vehicle crashes per 0.1359 0.1358 0.1357 0.1357 million vehicle miles traveled in FY 2002. [1] - Reduce the number of commercial motor vehicle crashes per 0.1722 0.1720 0.1718 0.1718 million vehicle miles traveled in "high crash corridors" in FY 2002. Program Fund Allocation -- Total Funds $4,704,766 $4,321,542 $4,201,514 State Funds $1,691,766 $1,754,378 $1,704,519 Note 1 - For both measures relating to Goal 1, data for FY 2000 may be overstated. The Georgia Department of Public Safety cannot furnish actual crash numbers due to database problems. The FY 2000 actual results were extrapolated from partial datasets and are subject to revision. Actual FY 2000 vehicle miles traveled are not yet available, so this figure is based on an estimated 3.25% increase in vehicle miles traveled over the previous period. TOTAL - All Programs Total Funds State Funds $12,543,592 $12,071,488 $12,671,780 $9,218,066 $9,231,013 $9,901,474 434 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Total Budgeted Positions -- 44,051* Attached for Administrative Purposes Only Public Telecommunications Commission 235 Board of Regents Chancellor 7 Senior Vice Chancellor for Academic and Fiscal Affairs 29 Interim Senior Vice Chancellor for External Activities and Facilities 24 Interim Senior Vice Chancellor for Support Services 23 Advisory Council 34 Institutions 43,733 *Includes positions funded by departmental services and sponsored operations. 435 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit A - Resident Instruction Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services: Educ., Gen., and Dept. Svcs Sponsored Operations Operating Expenses: Educ., Gen., and Dept. Svcs Sponsored Operations Special Funding Initiatives Office of Minority Business Enterprises Student Education Enrichment Program Forestry Research Research Consortium Year 2000 Project Capital Outlay Total Funds 1,404,852,870 211,037,351 433,472,536 651,347,259 30,501,108 790,354 361,267 954,461 43,653,742 11,723,370 151,688,855 $2,940,383,173 FY 2000 Expenditures 1,569,565,867 263,233,579 436,397,094 749,372,143 50,340,528 1,131,712 365,217 1,088,177 21,916,145 8,606,727 58,822,647 $3,160,839,836 FY 2001 Current Budget FY 2002 Agency Requests Adjusted Base Enhancements Totals $1,576,813,115 256,440,564 1,610,360,886 256,440,564 399,765,896 740,373,595 52,579,707 1,147,473 408,132,839 740,373,595 57,847,490 1,156,041 370,842 371,334 1,009,322 24,296,890 1,015,871 16,559,169 51,286,797 50,736,797 $3,104,084,201 $3,142,994,586 1,610,360,886 256,440,564 50,402,500 130,400 408,132,839 740,373,595 108,249,990 1,286,441 11,125 382,459 30,280 1,046,151 16,559,169 50,736,797 $50,574,305 $3,193,568,891 Less Sponsored & Other Funds: General Departmental Sponsored Indirect DOAS Funding Governor's Emergency Funds 548,405,596 115,423,514 862,384,610 3,039,500 Total Sponsored & Other Funds $1,529,253,220 570,421,561 124,623,828 1,012,705,722 3,039,500 $1,710,790,611 553,818,911 116,021,107 996,814,158 3,039,500 20,000 $1,669,713,676 553,818,911 116,021,107 996,814,158 3,039,500 $1,669,693,676 553,818,911 116,021,107 996,814,158 3,039,500 $1,669,693,676 State General Funds Tobacco Funds TOTAL STATE FUNDS 1,411,129,953 1,450,049,225 1,434,370,525 1,473,300,910 50,574,305 1,523,875,215 $1,411,129,953 $1,450,049,225 $1,434,370,525 $1,473,300,910 $50,574,305 $1,523,875,215 Positions 34,145 36,698 36,002 36,002 109 36,111 436 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit A - Resident Instruction Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Educ., Gen., and Dept. Svcs Sponsored Operations Operating Expenses: Educ., Gen., and Dept. Svcs Sponsored Operations Special Funding Initiatives Office of Minority Business Enterprises Student Education Enrichment Program Forestry Research Research Consortium Year 2000 Project Capital Outlay Total Funds 1,576,813,115 256,440,564 399,765,896 740,373,595 52,579,707 1,147,473 370,842 1,009,322 24,296,890 51,286,797 $3,104,084,201 (30,679,290) (7,994,822) (28,697,710) 8,568 492 6,549 (2,253,213) (51,286,797) ($120,896,223) Less Sponsored & Other Funds: General Departmental Sponsored Indirect DOAS Funding Governor's Emergency Funds 553,818,911 116,021,107 996,814,158 3,039,500 20,000 Total Sponsored & Other Funds $1,669,713,676 (60,736,797) (20,000) ($60,756,797) State General Funds Tobacco Funds TOTAL STATE FUNDS 1,434,370,525 (60,139,426) $1,434,370,525 ($60,139,426) Positions 36,002 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements Totals 36,013,185 9,003,296 1,582,147,010 256,440,564 400,774,370 740,373,595 23,881,997 1,156,041 371,334 1,015,871 22,043,677 20,051,950 5,012,988 6,133,000 565,200 11,205,088 1,602,198,960 256,440,564 405,787,358 740,373,595 30,014,997 1,721,241 371,334 1,015,871 33,248,765 $45,016,481 $3,028,204,459 $42,968,226 $3,071,172,685 493,082,114 116,021,107 996,814,158 3,039,500 493,082,114 116,021,107 996,814,158 3,039,500 $1,608,956,879 45,016,481 1,419,247,580 $45,016,481 $1,419,247,580 107 36,109 $1,608,956,879 36,306,405 6,661,821 $42,968,226 1,455,553,985 6,661,821 $1,462,215,806 6 36,115 437 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Funding for Instruction A. ACADEMIC POSITIONS REQUIRED Program Semester Credit Hours Instructional Productivity = Lower Upper Graduate Lower Upper Graduate Lower Academic Positions Upper Graduate Total Group 1 Group 2 Group 3 Group 4 Group 5 TOTALS 1,126,256 856,930 957,588 232,158 __________ 3,172,932 244,212 622,306 397,464 __________ 1,263,982 B. ACADEMIC SALARIES 88,239 280,966 215,342 ___9_6_,_9_0_3_ 681,450 5,118,364 884 624 265 794 693 429 627 512 227 1,888 253 1,274 1,079 1,527 123 _____0_ 4,003 391 898 776 0 _____0_ 2,065 333 655 949 0 ___3_8_3_ 2,320 1,998 2,632 3,252 123 ___3_8_3_ 8,388 Program Academic Positions Lower Upper X Graduate Average Salary Rate = Academic Position Salary Amount Lower Upper Graduate Total Group 1 Group 2 Group 3 Group 4 Group 5 TOTALS 1,274 1,079 1,527 123 _____0_ 4,003 391 898 776 0 _____0_ 2,065 333 655 949 0 ___3_8_3_ 2,320 50,023 54,238 60,596 39,318 122,217 63,729,302 58,522,802 92,530,092 4,836,114 ___________0_ 219,618,310 19,558,993 48,705,724 47,022,496 0 __________0_ 115,287,213 16,657,659 35,525,890 57,505,604 0 __4_6_,8_0_9_,_1_1_1_ 156,498,264 99,945,954 142,754,416 197,058,192 4,836,114 ___4_6_,8_0_9_,_1_1_1_ 491,403,787 C. INSTRUCTIONAL SUPPORT POSITIONS AND SALARIES Program Group 1 Group 2 Group 3 Group 4 Group 5 TOTALS Position Academic Positions Ratio X Lower Upper Graduate 1,274 391 333 3.3 1,079 898 655 3.3 1,527 776 949 2.4 123 0 0 2.4 _____0_ _____0_ ___3_8_3_ 1.5 4,003 2,065 2,320 Salary Rate = 29,900 29,900 29,900 29,900 29,900 Instructional Support Salary Amount Lower Upper Graduate Total 11,543,212 3,542,697 3,017,182 18,103,091 9,776,394 8,136,424 5,934,697 23,847,515 19,023,875 9,667,667 11,822,958 40,514,500 1,532,375 0 0 1,532,375 __________0_ __________0_ __7_,6_3_4_,_4_6_7_ ___7_,6_3_4_,_4_6_7_ 41,875,856 21,346,788 28,409,304 91,631,948 D. INSTRUCTIONAL OPERATING EXPENSE Program Group 1 Group 2 Group 3 Group 4 Group 5 TOTALS Semester Credit Hours X Lower Upper Graduate 1,126,256 244,212 88,239 856,930 622,306 280,966 957,588 397,464 215,342 232,158 0 0 __________0_ ___________0_ ______9_6_,_9_0_3_ 3,172,932 1,263,982 681,450 Expense Per Hour 12.66 12.66 12.66 12.66 12.66 = Operating Expense Lower Upper Graduate Total 14,258,401 3,091,724 1,117,106 18,467,231 10,848,734 7,878,394 3,557,030 22,284,158 12,123,064 5,031,894 2,726,230 19,881,188 2,939,120 0 0 2,939,120 __________0_ __________0_ ___1_,2_2_6_,_7_9_2_ ___1_,2_2_6_,_7_9_2_ 40,169,319 16,002,012 8,627,158 64,798,489 E. INSTRUCTIONAL PROGRAM COST SUMMARY Group 1 Group 2 Group 3 Group 4 Group 5 Lower 89,530,915 79,147,930 123,677,031 9,307,609 0 ____________ 301,663,485 Upper 26,193,414 64,720,542 61,722,057 0 0 ____________ 152,636,013 Graduate 20,791,947 45,017,617 72,054,792 0 55,670,370 ____________ 193,534,726 Total 136,516,276 188,886,089 257,453,880 9,307,609 55,670,370 ____________ 647,834,224 438 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Formula Presentation PART I: INSTRUCTION AND RESEARCH A. Instruction B. Research (equal to graduate instruction academic salaries) TOTAL FUNDING BASE PART II: ACADEMIC SUPPORT (18.9% of the Funding Base) PART III: STUDENT SERVICES AND INSTITUTIONAL SUPPORT (26.9% of the Funding Base) PART IV: OPERATION AND MAINTENANCE OF PLANT A. Regular Operations (36,137,535 square feet at $4.3002 per square foot) B. Major Repair/Rehabilitation Fund (1.00% of F.Y. 2000 replacement value of $5,425,786,110) C. Utilities (36,137,535 square feet at $1.4517 per square foot) PART V: FRINGE BENEFITS A. Fringe Benefits (FICA, health and life insurance, workers' compensation, etc.) B. Teachers' Retirement PART VI: PUBLIC SERVICE AND COMMUNITY EDUCATION A. Public Service Institutes B. Community Education (427,375 CEU's at $47.11 per unit for all CEU's) C. Campus Coordinators (one professional and one support position per institution) D. Minority Education Program PART VII: TECHNOLOGY ENHANCEMENT PROGRAM (1.75% Factor) Total Formula Requirement Semester Conversion Hold Harmless Internal Revenue: Student Fees Graduate Assistant Fee Reduction Debt Service Payments Other Total Internal Revenue Total State Funds LESS: DOAS Indirect Funds Formula Requirement - Fiscal Year 2002 ($427,462,719) 5,400,000 (21,579,848) __(_5_,_9_7_7,_7_4_2_) $647,834,224 156,498,264 _____________ $804,332,488 152,018,840 216,365,439 155,398,628 54,257,861 52,460,860 232,843,783 92,334,217 13,324,202 20,134,571 3,549,657 2,000,000 _____________ $1,799,020,547 31,482,860 _____________ $1,830,503,407 18,000,000 _(_$_4_4_9_,_62_0_,_3_0_9_) $1,398,883,098 (3,039,500) _____________ $1,395,843,598 439 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET - STATE GENERAL FUNDS Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Delete funding for endowed chairs. 3. Remove funding for a campus feasibility study for Tift College. 4. Delete funding for the purchase of property at Atlanta Metropolitan College. 5. Remove funding for the planning and design of a veterinary building at Fort Valley State University. 6. Delete funding for rehabilitation of the University Golf Course in Augusta. 7. Remove funding for an economic impact study of a natural gas pipeline in South Georgia. 8. Delete funding for a study of alternative devices for transportation infrastructure. 9. Eliminate funding provided to offset the enrollment decline resulting from semester conversion. 10. Reduce funding for the optional retirement plan. 11. Delete one-time funding for Yamacraw projects. 12. Begin phasing Yamacraw faculty salary costs out of the Research Consortium object class as these costs are earned through the Regents funding formula. 13. Delete one-time funding for Traditional Industries for a special program evaluation and a project to encourage the development of food processing cooperatives. 13. Transfer funding for GALILEO from the Department of Education. Workload: 14. Provide funding for formula adjustments to reflect a 1.5% increase in enrollment. 15. Adjust formula funding for building operations and utilities resulting from an increase of 1,667,183 square feet of building space. 16. Add formula funding for Major Repairs and Rehabilitation based on a 4.15% increase in replacement value. 17. Reduce funding for continuing education to reflect a decrease in enrollment. 18. Provide additional funding for an increase in health insurance. 19. Provide for an increase in formula funding for fringe benefits to include an increase in group life insurance and an increase for retirees. ADJUSTED BASE - STATE GENERAL FUNDS 1,434,370,525 1,045,671 (3,500,000) (25,000) (370,000) (180,000) (25,000) (200,000) (55,000) (46,797,901) (9,610,533) (361,710) (666,503) (300,000) 906,550 22,198,351 7,510,968 2,183,911 (2,011,637) 10,000,000 5,134,888 $1,419,247,580 ENHANCEMENT FUNDS - STATE GENERAL FUNDS ENHANCEMENTS 1. Provide additional funding to offset the enrollment decline resulting from semester conversion. 2. Transfer technology funding from the Special Funding Initiative to the funding formula to establish a 1.29% technology factor. Funds will allow the University System to prioritize and address technology needs. 3. Provide funds to increase the proposed technology factor from 1.29% to 1.75%. 18,000,000 Yes 6,064,938 440 REGENTS, UNIVERSITY SYSTEM OF GEORGIA- Unit A FY 2002 Budget Summary 4. Add funds to enable Georgia College and State University to fulfill its mission as a public liberal arts university. Funds will provide for additional faculty and move the institution toward a funding range comparable with other public liberal arts universities. Governor's Recommendations 1,500,000 5. Provide funds for the Intellectual Capital and Partnership Program (ICAPP Advantage) to meet increased demand from Georgia companies seeking highly skilled workers college educated. 6. Add funds, to be matched by internal funds from the Board of Regents, to create a statewide Biomedical Services Network, a collorative effort between the University of Georgia and the Medical College of Georgia to leverage resources for recognizing, treating, curing and preventing human disease. 7. Provide funding to establish a comprehensive accountability reporting system, in cooperation with the Governor's Office of Educational Accountability, which monitors the efficiency and effectiveness of University System programs. 8. Increase funding for the Teacher Center at Kennesaw State University to provide for training of master teachers. 9. Add funds to expand the Postsecondary Readiness Enrichment Program (PREP) to support middle and high school students in at-risk situations. 10. Provide funds to match a $6.5 million federal grant for mentoring teachers. 11. Add funds for CEISMC at Georgia Tech to train math and science teachers. 12. Provide funding for start-up of the Information Technology program at Georgia Southern University 13. Provide funds for the Office of Minority Business Enterprises to increase access to surety bonding for small and minority businesses. 14. Provide funding for 1 consultant and related expenses for the Office of Minority Business Enterprises to assist firms participating in the Governor's Mentor-Protg Program. 15. Increase funding for Yamacraw to add faculty, increase research, enhance the commercialization of research, and provide leased space for faculty and staff. TOTAL STATE GENERAL FUND ENHANCEMENTS 500,000 1,000,000 1,000,000 1,000,000 600,000 333,000 500,000 700,000 500,000 65,200 4,543,267 $36,306,405 ENHANCEMENT FUNDS - TOBACCO SETTLEMENT FUNDS ENHANCEMENTS 1. Provide funding for core staff for the Georgia Cancer Alliance including personal services funds for 5 positions and associated operating expenses. 2. Establish programs and funding incentives to support 17 eminent cancer scholars and professionals. 3. Provide equipment for 5 Georgia Research Alliance eminent scholars recommended in the FY 2001 amended budget. 921,821 3,340,000 2,400,000 TOTAL TOBACCO SETTLEMENT FUND ENHANCEMENTS $6,661,821 TOTAL STATE GENERAL AND TOBACCO FUNDS $1,462,215,806 RECOMMENDED APPROPRIATION: The Regents, University System of Georgia - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $1,462,215,806. 441 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit B - Regents Central Office and Other Organized Activities Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services: Educ., Gen., and Dept. Svcs Sponsored Operations Operating Expenses: Educ., Gen., and Dept. Svcs Sponsored Operations Capital Outlay Agricultural Research Advanced Tech. Dev. Ctr./ Economic Dev. Institute Center for Rehab. Technology SREB Payments Regents Opportunity Grants Regents Scholarships Georgia Military College Direct Payments to Georgia Public Telecommunications Commission Salaries and Travel of Public Librarians Public Library Materials Talking Book Centers Public Library Maintenance and Operations Year 2000 Project Student Information System Seed Capital Fund - ATDC CRT Inc. Contract Family Practice Contracts Medical Scholarships Residency Capitation Grants Student Preceptorships Mercer Medical School Morehouse School of Medicine Total Funds 275,743,205 104,618,460 127,294,988 78,593,690 13,333,145 2,632,448 13,627,632 3,175,876 5,407,400 600,000 179,225 1,276,071 16,766,640 15,000 179,214 4,305,869 1,634,212 1,973,958 144,000 7,660,000 7,394,890 $666,555,923 FY 2000 Expenditures 305,135,478 119,541,146 152,431,320 78,628,877 300,000 2,708,909 19,192,645 5,968,073 962,525 600,000 1,387,150 24,437,940 5,000,000 127,604 $716,421,667 FY 2001 Current Budget FY 2002 Agency Requests Adjusted Base Enhancements Totals 128,797,845 65,746,167 89,749,095 225,355,657 2,784,785 21,887,323 6,304,720 897,525 600,000 1,390,021 20,923,243 131,282,253 65,746,167 88,625,550 225,355,657 2,814,568 22,000,081 5,802,423 897,525 600,000 1,390,021 21,015,863 3,637,159 3,435,754 84,299 281,009 31,426 3,381,300 19,355,000 134,919,412 65,746,167 92,061,304 225,355,657 2,898,867 22,281,090 5,833,849 897,525 600,000 4,771,321 40,370,863 32,375,807 33,245,263 993,325 34,238,588 30,000,000 $626,812,188 $598,775,371 $31,199,272 $629,974,643 Less Sponsored & Other Funds: General Departmental Sponsored Indirect DOAS Funding 286,531,018 4,354,545 183,212,150 543,500 Total Sponsored & Other Funds $474,641,213 TOTAL STATE FUNDS $191,914,710 317,719,654 4,427,345 208,248,612 543,500 $530,939,111 $185,482,556 70,447,265 7,633,100 301,016,038 543,500 $379,639,903 $247,172,285 70,591,922 7,633,100 301,016,038 543,500 $379,784,560 $218,990,811 $31,199,272 70,591,922 7,633,100 301,016,038 543,500 $379,784,560 $250,190,083 Positions 9,110 8,224 442 7,814 7,814 38 7,852 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit B - Regents Central Office and Other Organized Activities Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Educ., Gen., and Dept. Svcs Sponsored Operations Operating Expenses: Educ., Gen., and Dept. Svcs Sponsored Operations Capital Outlay Agricultural Research Advanced Tech. Dev. Ctr./ Economic Dev. Institute Center for Rehab. Technology SREB Payments Regents Opportunity Grants Regents Scholarships Georgia Military College Direct Payments to Georgia Public Telecommunications Commission Salaries and Travel of Public Librarians Public Library Materials Talking Book Centers Public Library Maintenance and Operations Year 2000 Project Student Information System Seed Capital Fund - ATDC CRT Inc. Contract Family Practice Contracts Medical Scholarships Residency Capitation Grants Student Preceptorships Mercer Medical School Morehouse School of Medicine Total Funds 128,797,845 65,746,167 89,749,095 225,355,657 2,784,785 21,887,323 6,304,720 897,525 600,000 1,390,021 20,923,243 16,878,671 6,357,426 1,113,974 8,025,736 30,000,000 $626,812,188 2,062,874 (1,120,262) 29,783 112,758 (502,297) 121,369 761,064 (30,000,000) ($28,534,711) FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements Totals 44,329 130,860,719 65,746,167 88,628,833 225,355,657 2,814,568 22,000,081 5,802,423 897,525 600,000 1,434,350 21,044,612 1,227,094 3,948,973 84,299 100,208 31,000 132,087,813 65,746,167 92,577,806 225,355,657 2,898,867 22,100,289 5,802,423 897,525 600,000 1,465,350 21,044,612 (41,709) 77,196 72,050 17,598,026 6,434,622 1,113,974 8,097,786 17,598,026 6,434,622 1,113,974 8,097,786 $151,866 $598,429,343 $5,391,574 $603,820,917 Less Sponsored & Other Funds: General Departmental Sponsored Indirect DOAS Funding Total Sponsored & Other Funds TOTAL STATE FUNDS 70,447,265 7,633,100 301,016,038 543,500 $379,639,903 $247,172,285 144,657 $144,657 ($28,679,368) $151,866 70,591,922 7,633,100 301,016,038 543,500 $379,784,560 $218,644,783 $5,391,574 70,591,922 7,633,100 301,016,038 543,500 $379,784,560 $224,036,357 Positions 7,814 443 7,814 14 7,828 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - UNIT B FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Provide funding for DOAS rate adjustments. Other Adjustments: 3. Adjust funding for fringe benefits to reflect health insurance and retirement increases. 4. Transfer FY 2001 salary increase for Athens-Tifton Veterinary Labs to the Department of Agriculture. 5. Delete one-time funds for the purchase of a life flight helicopter. 6. Delete funding for renovation of a building at the Center for Rehabilitation Technology. 7. Remove funding for the Student Information System. 8. Delete one-time funding for contracts with Clark Atlanta, the South DeKalb business incubator and the State University of West Georgia. 9. Delete funds for the purchase of a van for Athens Regional Library System. 10. Terminate a contract with the Department of Education for computer maintenance for public libraries. 11. Provide funds for Public Libraries to replace a copier ($25,000) and pay increased rent for the Century Place office ($6,615). 12. Adjust GBA rental rates to a standard of $8.75 per rentable square footage for the Regents' Central Office and the Georgia Public Telecommunications Commission. Workload: 13. Provide funds to Public Libraries to increase funding for materials and maintenance and operations based on a 1.65% population increase. 14. Provide additional funding to Georgia Military College for Grades 6-12 operations to reflect enrollment increases and changes in teacher training and experience. ADJUSTED BASE $247,172,285 1,726,089 40,500 1,254,836 (89,811) (200,000) (502,297) (30,000,000) (924,400) (25,000) (56,760) 31,615 65,860 107,537 44,329 $218,644,783 ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide funds for the Advanced Technology Development Center to hire a life science project and program manager to serve as a contact for biotech companies and entrepreneurs in Georgia. 2. Add funds for the Agricultural Technology Research Program to support the development of an X-ray research laboratory for food safety research. 3. Provide additional funds for State Data Research Center staff and operating expenses. 4. Increase maintenance and operations funding for the Agricultural Experiment Stations. Added funds will free existing funds to add 4 faculty positions related to water quality programs, a human nutritionist, a genomicist, and a forestry research support position. 5. Provide funds to the Agricultural Experiment Stations for a study of the potential for mushrooms as a cash crop. 6. Add funds for maintenance and operation of Cooperative Extension Service facilities. Funding will free resources to allow the Cooperative Extension Service to add 4 county extension agents and begin water conservation initiatives. 444 100,208 52,280 2,391,580 695,040 350,000 401,668 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Unit B -- FY 2002 Budget Summary 7. Provide funding to the Marine Extension Service for a water quality coastal zone management specialist. 8. Provide funding for the Veterinary Medicine Experiment Station Agricultural Research Program to conduct research in antibiotic resistance in poultry to reduce the risk of transferring resistance to humans. 9. Adds funds for the Veterinary Medicine Experiment Stations to implement the final phase of a program to address non-poultry health and food safety issues. 10. Provide additional funds for the Medical College of Georgia Hospitals and Clinics for a 3% increase in the MCGHI contract. 11. Provide funding to the Regents Central Office to upgrade a library services coordinator position and to add a paraprofessional. 12. Add funds for Georgia Military College to continue funding of 36 full-time faculty added in FY 2000. TOTAL ENHANCEMENT FUNDS Governor's Recommendations 50,500 32,019 179,871 1,078,640 28,768 31,000 $5,391,574 TOTAL STATE FUNDS $224,036,357 445 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Functional Budget Summary - Unit B 1. Marine Resources Extension Center 2. Skidaway Institute of Oceanography FY 2001 Appropriations Total State $2,516,306 $1,646,559 5,204,604 1,853,484 FY 2002 Recommendations Total State $2,594,682 $1,724,935 5,220,334 1,869,214 3. Marine Institute 4. Georgia Tech Research Institute 5. Advanced Technology Development Center/Economic Development Institute 1,878,491 112,348,319 21,887,323 1,110,858 10,248,495 9,280,323 1,890,597 111,956,526 22,100,289 1,122,964 9,856,702 9,493,289 6. Agricultural Experiment Station 7. Cooperative Extension Service 8. Medical College of Georgia Hospitals and Clinics 73,440,974 60,527,405 230,375,431 45,300,255 37,511,168 35,961,155 75,267,636 62,028,798 231,254,071 47,097,409 38,972,063 36,839,795 9. Veterinary Medicine Experiment Station 10. Veterinary Medicine Teaching Hospital 11. Georgia Radiation Therapy Center 12. Athens and Tifton Veterinary Labs 13. Regents Central Office 14. Public Libraries 15. State Data Research Center 3,569,225 5,353,607 3,625,810 3,443,781 32,912,321 35,628,283 34,100,308 3,569,225 576,097 89,811 32,805,472 33,119,075 34,100,308 3,821,103 5,437,484 3,625,810 3,353,970 32,289,725 36,481,319 6,498,573 3,821,103 585,323 32,182,876 33,972,111 6,498,573 TOTAL APPROPRIATIONS $626,812,188 $247,172,285 $603,820,917 $224,036,357 RECOMMENDED APPROPRIATION: The Regents, University System of Georgia - Unit B is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $224,036,357. 446 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit C - Georgia Public Telecommunications Commission Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Operating Expenses General Programming Distance Learning Programming Total Funds 10,468,247 13,562,877 5,747,478 4,477,787 $34,256,389 Less Federal & Other Funds: Other Funds Lottery Funds Direct Payment from Regents Total Federal & Other Funds TOTAL STATE FUNDS 15,489,749 2,000,000 16,766,640 $34,256,389 Positions 250 Motor Vehicles 24 FY 2000 Expenditures 10,065,893 10,453,667 4,523,756 4,283,037 $29,326,353 FY 2001 Current Budget 12,896,506 14,875,994 4,040,278 4,855,685 $36,668,463 12,291,914 2,300,000 14,734,439 $29,326,353 13,674,220 2,071,000 20,923,243 $36,668,463 250 235 21 21 FY 2002 Agency Requests Adjusted Base Enhancements Totals 13,003,995 14,875,994 4,040,278 4,855,685 $36,775,952 18,755,000 100,000 500,000 $19,355,000 13,003,995 33,630,994 4,140,278 5,355,685 $56,130,952 13,689,772 2,071,000 21,015,180 $36,775,952 19,355,000 $19,355,000 13,689,772 2,071,000 40,370,180 $56,130,952 235 235 21 21 447 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit C - Georgia Public Telecommunications Commission Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Operating Expenses General Programming Distance Learning Programming Total Funds 12,896,506 14,875,994 4,040,278 4,855,685 $36,668,463 109,792 11,577 $121,369 Less Federal & Other Funds: Other Funds Lottery Funds Direct Payment from Regents Total Federal & Other Funds TOTAL STATE FUNDS 13,674,220 2,071,000 20,923,243 $36,668,463 121,369 $121,369 Positions 235 Motor Vehicles 21 FY 2002 Governor's Recommendations Workload Adjusted Base 13,006,298 14,887,571 4,040,278 4,855,685 $36,789,832 Enhancements Totals 13,006,298 14,887,571 4,040,278 4,855,685 $36,789,832 13,674,220 2,071,000 21,044,612 $36,789,832 13,674,220 2,071,000 21,044,612 $36,789,832 235 235 21 21 448 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit D - Lottery for Education Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Georgia Public Telecommunications Commission Internet Connection Initiative Special Funding Initiatives Student Information System Educational Technology Center Equipment, Technology and Construction Trust Fund Equipment - Capital Projects Georgia Military College Georgia Research Alliance Total Funds FY 1999 Expenditures 2,000,000 2,219,000 7,446,309 15,020,906 200,000 19,917 $26,906,132 Less Other Funds TOTAL LOTTERY FUNDS 21,132 $26,885,000 FY 2000 Expenditures 3,015,000 FY 2001 Current Budget 2,071,000 1,500,000 18,466,000 30,000,000 1,500,000 7,466,000 20,000,000 910,000 13,645,000 1,964,980 24,200,000 $92,790,980 $31,947,000 $92,790,980 $31,947,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 2,000,000 2,000,000 1,500,000 7,466,000 1,500,000 7,466,000 1,000,000 15,000,000 1,000,000 15,000,000 $26,966,000 $26,966,000 $26,966,000 $26,966,000 449 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Financial Summary Unit D - Lottery for Education Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Georgia Public Telecommunications Commission Internet Connection Initiative Special Funding Initiatives Student Information System Educational Technology Center Equipment, Technology and Construction Trust Fund Equipment - Capital Projects Georgia Military College Georgia Research Alliance Total Funds 2,071,000 1,500,000 7,466,000 20,000,000 910,000 $31,947,000 Less Other Funds TOTAL LOTTERY FUNDS $31,947,000 FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements 1,500,000 7,466,000 $8,966,000 $8,966,000 Totals 1,500,000 7,466,000 $8,966,000 $8,966,000 450 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - UNIT D FY 2002 Budget Summary FY 2001 STATE APPROPRIATIONS Governor's Recommendations $31,947,000 1. Delete items with no continuation funding. 2. Provide $7,466,000 to fund Chancellor's Initiatives: Connecting Teachers and Technology ($4,820,000); Connecting Students and Services ($527,000); GALILEO ($1,939,000); and P-16/PREP ($180,000). 3. Provide funding for hardware and software for the Internet Connection initiative. TOTAL LOTTERY FUNDS (31,947,000) 7,466,000 1,500,000 $8,966,000 RECOMMENDED APPROPRIATION: The Regents, University System of Georgia - Unit D is the budget unit for which the following Lottery Fund Appropriation is recommended for FY 2002: $8,966,000. 451 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Roles and Responsibilities The University System of Georgia provides public higher education facilities and programs to Georgia residents. In fall 2000, the system served 205,878 students and during FY 2000, granted 34,373 degrees. The Units of the University System perform several functions, including instruction, research, and public service. The primary mission of the system is instruction. This activity is funded through the Resident Instruction or "A" Unit Budget. The "B" Unit Budget contains 16 different functional budgets. Activities funded through the "B" Unit include the Georgia Tech Research Institute, Agricultural Experiment Stations, Cooperative Extension Service, and the Skidaway Institute of Oceanography. INSTRUCTION The system is composed of 34 institutions that provide approximately 90% of the people of Georgia with access to institutions of higher education within commuting distance. Fifteen two-year colleges offer programs leading to an associate degree. Four of these institutions (Bainbridge, Coastal Georg ia Community College, Clayton and Dalton) offer technical programs through an arrangement with the State Board of Technical and Adult Education. There are 13 senior colleges and state universities in the system. These institutions offer baccalaureate degrees, and most offer associate and graduate degrees. All 6 regional and research universities in the system offer graduate and professional degrees, as well as some associate and baccalaureate degrees. RESEARCH Research is concentrated in four research universities. Funding for research is derived from the funding formula, federal or private sponsored research, special state programs like GRA, Yamacraw, and Traditional Industries, and special research institutes. GEORGIA RESEARCH ALLIANCE (GRA) - is a partnership between Georgia's public and private research universities and private corporations to promote economic development by focusing Georgia's research capabilities in targeted technologies such as advanced communications, biotechnology, and environmental technologies that offer significant potential for economic and industrial growth. YAMACRAW - is a comprehensive effort to expand the broadband communications industry in Georgia through producing more graduates for the industry, focusing research and fostering the commercialization of this research. GEORGIA TECH RESEARCH INSTITUTE (GTRI) is comprised of 6 laboratories that provide a broad range of scientific, engineering and industrial research. AGRICULTURAL EXPERIMENT STATIONS conduct basic and applied agricultural research related to the success of Georgia agriculture. This mission is accomplished by research in crop and animal production, product quality, new product development, and the use of new technology in the processing and manufacturing of these products. SKIDAWAY INSTITUTE OF OCEANOGRAPHY (SKIO) - is a non-degree granting research institute of the University System that provides the state with an internationally recognized marine science center that helps promote economic development within Georgia, and provides distance learning and significant environmental research and information. PUBLIC SERVICE The University System also has as one of its missions direct service to farmers, businesses, industry, and communities. Assistance is provided through continuing education, public service, institutes, and special services and organizations. ECONMIC DEVELOPMENT INSTITUTE (EDI) encourages industrial and economic development by providing an extension service that meets the technical, informational and other needs of industry and local development groups. EDI also operates the Advanced Technology Development Center (ATDC) for incubating new technology companies. COOPERATIVE EXTENSION SERVICE - provides assistance to Georgia farmers through a network of county extension agents who share information and research developed through the Agricultural Experiment Stations. Cooperative Extension also provides useful and practical information to the people of Georgia on subjects related to natural resources, home economics, youth development, rural development, and family support. PUBLIC LIBRARY SERVICES - The purpose of the public library system in Georgia is to provide assistance, information, and materials to meet the needs of local communities throughout the state. The Office of Public Library Services was transferred by legislative act effective July 1, 2000 from DTAE to Regents. There are 57 public library systems that operate 370 public libraries statewide, in addition the state's library for the blind and physically handicapped. ATTACHED AGENCIES The Georgia Public Telecommunications Commission (GPTC) provides a 9-station television and 13-station radio network designed to meet the educational, cultural and informational needs of the people of Georgia. AUTHORITY Titles 12, 20, 49 and 50 of the Official Code of Georgia 452 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Strategies and Services Governor Barnes has made education a major integration of technology into higher education; priority during his term as the state's top elected official. conversion of the System to a semester calendar; the He recognizes that in today's global economy, a state that Intellectual Capital Partnership Program (ICAPP), along ignores its duty to ensure a highly educated workforce with partic ipation in Governor Barnes' Yamacraw will not succeed in the effort to secure the jobs of the new program; and a major management audit and "knowledge economy." benchmarking of its activities. In the University System of Georgia, the Governor has an excellent instrument with which to ensure that at MOVING INTO THE NEW MILLENIUM the college and university level his education goals are Under the guidance of the Chancellor and the Board met. The state's system of public colleges and of Regents, the University System of Georgia has focused universities 4 research universities, 2 regional on several areas that have received significant support universities, 13 state universities, two state colleges and from Governor Barnes. Many of these initiatives are 13 two-year colleges has a long history of working to critical to the future success of the System. Both the prepare Georgians to assume the duties of both citizenship Board of Regents and the Governor have placed and the workplace. considerable emphasis and resources in the areas of The System, which enrolls more than 200,000 system wide higher standards, greater access to higher students, has embarked on an ambitious program designed education for the citizens of Georgia and statewide to transform itself and the way in which it works with the economic development. other state education agencies, the business community and the state's economic development organizations. Facilities Improvement This program begins with the concept that all To accomplish its mission, the University System activities of the University System of Georgia should be must have adequate facilities. Governor Barnes aimed at helping students to succeed and in creating a recommends a total of $209,305,000 in new construction, more educated Georgia. design, and renovation projects in the Amended FY 2001 This philosophy is embodied in the 1994 "Vision Budget for the University System, attached agencies and Statement" of the System's 16-member Board of Regents, the Georgia Research Alliance. The chart below shows that says, in part: "As Georgia emerges as a leader in a the breakdown of the funds with $38,470,000 going to global society, the University System of Georgia will lead equipment, $47,240,000 to renovations and in access to academic excellence. Among the nation's improvements, and $123,595,000 for new construction. public universities and colleges, Georgia's will be The Governor's capital outlay plan is based on a recognized for first-rate undergraduate education, leading- priority list developed by the Board of Regents, and is edge research, and committed public service....The designed to meet the projected needs of the system as a University System of Georgia and its component colleges whole. The top 6 priority major capital outlay projects and universities will sustain close contact with the people proposed for funding include: $15.5 million to Macon of Georgia, be responsive to the needs of Georgians first College for a nursing and health sciences outreach center; and foremost while raising their aspirations, and generate a more highly educated populace throughout the state." Regents, University System of Georgia Since 1994 the regents have developed and implemented a number of policy directives and initiatives directed to that end. Capital Outlay Funding Total Funds: $209,305,000 $38,470,000 These include: a comprehensive plan that integrates all aspects of University System planning (academic, facilities needs, workforce needs, enrollment), master planning for all campuses; reform of teacher Equipment 18% $123,595,000 New Construction 59% preparation programs; new admissions requirements; cooperative programs with the Department of Technical and Adult Education; the P-16 education co-reform initiative; the Postsecondary Readiness $47,240,000 Renovations and Inprovements Enrichment Program (PREP) to help at-risk 23% students achieve; major investments in technology such as the GALILEO One Statewide $7,005,000 to the Abraham Baldwin Agriculture College Electronic Library as well as principles to guide the future for construction and equipment for the Agricultural 453 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Strategies and Services Sciences Building for the Division of Agriculture and Forest Resources; $12,340,000 for a Physical Education Building at Darton College; $18,590,000 for construction of a Student Success Center and recreation center at Georgia Southwestern State University; $23 million for a convocation and classroom center at Kennesaw State University; and $18,890,000 for phase 2 of a project replacing classrooms at Augusta State University. In addition to projects specifically tied to academic programs at the state's colleges and universities, the Governor is also proposing a few special projects of major significance for the economic development of the state. For the Georgia Technology Regional Engineering Program (GTREP) $5 million is recommended for the purchase or construction of a facility in Savannah to house GTREP programs offered by Armstrong Atlantic State University, Georgia Institute of Technology, Georgia Southern University, and Savannah State University. At Georgia Southern University $20 million is recommended for a new building to house a new school of information technology as well as Georgia Southern's GTRE programs. A pharmaceutical testing and vaccine development facility at the University of Georgia for $10 million is recommended. A Rural Development Center in Tifton is proposed for $4.9 million to serve rural Georgia. Formula Adjustments The University System funding formula has been adjusted to reflect actual expenditure patterns. The realignment of cost factors represents the first revision to the formula since being implemented in 1982. The formula includes $22,198,351 in additional funding reflecting a 1.5% enrollment increase. The formula also includes $7,510,968 to offset operating costs from 1,667,183 square feet of new building space, $10,000,000 for health insurance to pay claims and maintain an adequate reserve, and $5,134,888 to adjust fringe benefits primarily for retirees. Governor Barnes recommends establishing a technology factor as part of the revised funding formula. The technology factor, funded at 1.75% of the total formula requirement, will provide an ongoing source of funding for University System technology needs. The factor will provide for projects such as Peachnet, GAEasy, GeorgiaHire, GLOBE and others. For fiscal year 2002, the technology factor will provide the University System with total funds of $31.5 million (almost $24 million in state funds) for high priority technology needs. Finally, Governor Barnes recommends $18,000,000 in additional funding formula to offset enrollment declines experienced by University System institutions as a result of semester conversion. University System enrollment remains below the 1999-2000 enrollment level. To minimize disruption to operations, the Governor recommends this second additional year of funding to assist institutions through this transition period. The Governor believes future revisions to the formula will be necessary to provide resources to keep the University System strong and moving ahead. Two revisions that need further review are factoring in: a) High cost/high priority programs and b) Performance factors. High cost and/or high priority programs important to Georgia's economic development will be reviewed for appropriate treatment and weighting. Programs like Yamacraw and GTREP that have a high faculty cost and small class size will be considered. Focusing in on results by including performance factors will be examined to try to incent performance in the formula. These issues will be difficult to address but are important for the future growth and improvement of the University System. Accountability The University System of Georgia has just completed a management audit and a review or "benchmarking" of its activities and institutions to ensure that the state of Georgia is receiving the best possible return for its investment in public higher education. The Board of Regents are committed to utilizing the results to further refine and direct its activities as it continues to pursue its shared goal with Governor Barnes for a more educated Georgia. The Governor is recommending $1.0 million to begin development of an assessment and accountability system. In addition, the Governor recommends that the University System use some of the funding from the technology factor in the funding formula to support the technology aspects of this effort. HIGH TECH RESEARCH-BASED ECONOMIC DEVELOPMENT Georgia's investment in high tech research, development, and commercialization continues to pay dividends. The state's high tech job growth has consistently ranked among the top 5 in the nation for the past 4 years, and Georgia leads the southeast and ranks 10th in the nation in venture capital investment. With the intent to bolster these positive trends, Governor Barnes recommends over $32.7 million in new funding (FY 2001 amended and FY 2000 budgets) for the Georgia Research Alliance and Yamacraw, the state's premier high tech, science-based economic development initiatives. The Georgia Research Alliance (GRA) model continues to attract attention and interest from around the nation. True to this successful model, the Governor recommends a total of $1.5 million in endowments for 2 additional eminent scholars (not counting the 5 included in the recommendation for the cancer initiative). One of the eminent scholars will be recruited in the field of embedded systems to join the Yamacraw team at the Georgia Institute of Technology. The second scholar will focus on tropical and emerging global disease in an effort 454 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Strategies and Services to forge closer links with the Centers for Disease Control and Prevention. This scholar will be based at the University of Georgia. Another $26,450,000 will provide state-of-theart research facilities ($25,325,000 for equipment and $1,125,000 for lab renovations) to move forward the research and development agenda in the areas of advanced communication, digital content, e-business, smart sensor systems, biomanufacturing, functional genomics and proteomics, and global infectious disease. Of that amount, $6,525,000 will be used as a match for prestigious federal NSF and NIH grants, leveraging over $75 million in federal funds over several years. These awards attest not only to the power of the research talent Georgia has amassed, but also to the power of collaboration since most of the grants involve several GRA institutions. An additional $1.0 million for equipment is being provided for researchers in the biotech area for collaborative research with an international company establishing a presence in Georgia. The recommendation for new funding for GRA is $27,950,000, all in the FY 2001 amended budget. In addition, the Governor's budget recommendation for the cancer initiative includes $6.4 million (endowments and equipment) for the recruitment of 5 GRA eminent scholars in the areas of functional genomics and proteomics to form the core of a new Bioinformatics Center. These scholars will not only contribute to the Governor's plan to fight cancer, but will also strengthen Georgia's position in biotechnology and create numerous economic development opportunities (see page 21 for more information on the Cancer Initiative). Made possible by prior strategic investments in advanced communications through the Georgia Research Alliance, Yamacraw was initiated in FY 2000 to make Georgia a world leader in the design of broadband (highspeed) communications systems, devices, and chips the next generation of hardware/software infrastructure. Yamacraw is well on its way to meeting 4 main initiative goals: 1) creating recognition of Georgia as a global center in the broadband field; 2) developing and filling (through education and repatriation) at least 2,000 new high-paying jobs for electronic design experts; 3) helping at least 10 Yamacraw-related companies to establish themselves in Georgia by start-up, expansion, relocation, or creation of new divisions; and 4) quadrupling the amount of venture capital available to Yamacraw start-up companies. As of December 2000, 1) a national marketing campaign is creating recognition for the initiative; 2) Yamacraw has a commitment of over 2,330 jobs, and 40 new faculty are offering courses and degrees to meet the demand; 3) 13 major companies and 4 emerging companies contribute to the 2,330 job commitment; and 4) venture capital is on the rise and the Yamacraw seed fund has participated in funding 2 startup companies, leveraging every state dollar with at least 3 private dollars. The next phase of the Yamacraw plan will require $4,543,267 in FY 2002. The recommendation includes $275,000 in the Amended FY 2001 Budget for human resources recruitment in the Department of Industry, Trade and Tourism's budget to help Yamacraw meet its promise to fill member companies' job commitments. However, recruitment alone will not fill the jobs. The Governor recommends another $3,005,528 primarily for faculty increase the supply of broadband design professionals being produced by our universities. This includes $120,000 for an innovative faculty mentoring program, designed to build capacity at the smaller schools for which is may be difficult to recruit a sufficient number of faculty members to have the desired impact on instruction and, ultimately, the supply of trained designed experts. Through the mentoring program, faculty in related disciplines will work with and learn new content from Yamacraw faculty, so that they eventually will be able to teach courses that support Yamacraw's mission. The investment in education will also increase Yamacraw's research capacity. However, with more companies joining the Yamacraw Design Center, there is also a need to step up the focused research effort. For this purpose, the Governor recommends an additional $500,000, bringing the total funding for focused research to $5.5 million. This will expand the participation in research projects to researchers at Georgia State University and to the University of Georgia. To shorten the time from laboratory to market, the Governor further recommends $250,000 to focus on the commercialization of this research. The Governor also recommends $230,000 for additional staff and $557,739 for leased space for Yamacraw employees and faculty. The Yamacraw building, expected to open in the fall of 2002, will relieve much of the current space crunch. At the recommendation of a location study completed early this past summer, the approximately 200,000-square-foot building will be part of a larger Georgia Institute of Technology complex located in Midtown Atlanta. The building, currently in the design phase, will be strategically situated adjacent to the new Advanced Technology Development Center and the Georgia Tech continuing education center. To meet space needs at Georgia Southern University and to foster economic development in all regions of the state, the Governor also recommends $20 million for the construction of an information technology building at Georgia Southern University to house the university's new information technology school as well as its Yamacraw program and GTRE program. Early this fall, Governor Barnes asked the board of the Georgia Research Alliance to assume overall governance of Yamacraw. This action will not only improve coordination among the two initiatives, but will also allow Yamacraw to benefit from GRA's 10 years experience and success as a model for bringing together a 455 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Strategies and Services partnership of business, academia, and government to knowledge workers (workers with some college drive economic growth. education) the Governor proposes an additional $2 million ($1.5 million in the Amended FY 2001 Budget STATEWIDE ECONOMIC DEVELOPMENT and $500,000 in the FY 2000 Budget) in funding. The Georgia Institute of Technology's Economic Since 1970, the Marine Extension Service of the Development Institute (EDI) offers a variety of services University of Georgia has worked to provide assistance to with the common objective of promoting business growth Georgia's $60 million seafood industry. Georgia's in Georgia. As part of the state's economic development seafood processing plants are among the largest in the team, EDI helped attract $38.5 million in new capital southeast and employ over 1,600 full-time and seasonal investment and provided assistance to retain or attract 728 workers. Governor Barnes' FY 2002 recommendation for jobs. EDI provides technical assistance to companies expanding in or moving to Georgia. In addition, communities FY 2002 State Funds across the state use EDI's local impact analysis model (LOCI) to examine the financial impact of potential investments. Over the past year EDI has conducted 71 fiscal and economic impact analyses for communities and completed 45 economic development projects. Unit B Recommendation - $224,036,357 $38,681,449 SDRC and Regents Central Office 17% $36,839,795 Medical Education/ Research 16% $4,717,113 Marine Education/ Research 2% ATDC/EDI funding in FY 2002 is $9,493,289. The Advanced Technology Development Center (ATDC) is part of $33,972,111 Libraries 15% $19,349,991 Economic and Industrial Development EDI and provides crucial start-up support 9% for early-stage advanced technology companies. At incubator facilities in Atlanta, Athens, and Warner Robins, ATDC offers business consulting, contacts with potential investors and other business needs, education $4,406,426 Veterinary Medicine/ Research 2% $86,069,472 Agriculture Research and Extension 39% programs, access to resources in the University System and quality office space. ATDC graduated a record 19 new companies during FY 2000 that together has attracted more than $300 million in investment. Over the last two years, companies in the incubator program have generated more than 4,000 jobs. With increasing activity in biotechnology, the state needs a contact point. This specialist will work with start-up companies and entrepreneurs in the biotechnology and life sciences areas. The biotechnology specialist will serve in this capacity, working closely with the Georgia the Marine Extension Service is $1,724,935 including an additional $50,500 for a water quality/coastal zone management specialist. Access to bonding is a major barrier for small and minority businesses in bidding for and winning many projects and contracts. To assist small and minority businesses in this area, the Governor recommends adding $500,000 to the Office of Minority Business Enterprises (OMBE) to take steps to improve access to bonding for those businesses. Research Alliance, the University System of Georgia, the Department of Industry, Trade, and Tourism, and other public and private players in Georgia's biotechnology field. THE VISION OF GEORGIA'S UNIVERSITY SYSTEM All initiatives and developments must be consistent with the vision of the University System of Georgia. The 3 basic programs of the System are The Intellectual Capital and Partnership Program instruction, research and public service. (ICAPP) serves as a one-stop entry to the intellectual capital of the University System of Georgia -- its education programs, faculty expertise, research and development facilities. Through one of its five programs, ICAPP Advantage, Georgia's public colleges and universities expedite the education of highly skilled workers to meet a company's workforce needs for knowledge workers in high demand but low supply areas. RESIDENT INSTRUCTION The "A" Unit of the University System budget funds resident instruction at all 34 institutions and represents the largest commitment of money and personnel. The "A" Unit includes research consortium and special funding like ICAPP. For FY 2002, the Governor recommends $1,455,553,985 in state general funds for Unit "A". Resident instruction is To meet the increased demand from companies seeking 456 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Strategies and Services prima rily formula-funded and places emphasis on enrollment. RESEARCH System research funds are generated by the formula and raised from federal and private sources. However, additional research funds are recommended to support the research functions of several "B" Unit activities and research consortium and Forestry Research activities in the "A" Unit. Research projects conducted by the University System's institutions increase the national prestige of the system as a whole. Georgia creates research opportunities and reaps the benefits of pure and applied research findings. Poultry is one of Georgia's top industries and exports. Two veterinary research projects are recommended in the FY 2002 Budget related to poultry. At the Veterinary Medicine Agricultural Research Center $32,019 is recommended to fund research related to minimizing antibiotic resistance in poultry to reduce the risk of transferring this resistance to humans. A second veterinary project in its third and final year of funding at the Veterinary Medicine Experiment Stations is recommended at $179,871. This program addresses non-poultry health and food safety issues. Another important research function is the University of Georgia's Agricultural Experiment Station. The mission of this unit is to conduct research and provide information on the factors that influence agriculture in Georgia. Current research efforts focus on the environment, food safety, poultry and cotton production and developing Worldwide Web pages to enhance electronic information dissemination. The FY 2002 recommendation for the Agricultural Experiment Station is $47,097,409. These funds include a recommendation of $695,040 in additional funds for maintenance and operations expenses. The additional funds will free existing funds to allow the hiring of 4 faculty positions in the areas of water quality, human nutrition, genomics, and forestry. The budget also includes $350,000 to provide funds to the Agricultural Experiment Stations for a study of the potential for mushrooms as a cash crop for Georgia Farmers. PUBLIC SERVICE Service activities provide assistance to groups or individuals outside the traditional classroom. The "A" Unit provides extensive continuing education classes and receives funds for Public Service Institutes such as the State Data Center at Georgia Tech and the Carl Vinson Institute of Government at the University of Georgia. Many other service activities are funded through the "B" Unit. The Cooperative Extension Service, based at the University of Georgia, is one such program. The principal focus of the program is agriculture embracing the food and fiber industries, horticulture, natural resources and the environment. In addition, the Cooperative Extension Service supports programs in home economics and the statewide 4-H initiative. The FY 2002 Budget recommendation for the Cooperative Extension Service is $38,972,063. This includes an enhancement item of $401,668 to increase funds for maintenance and operations of Cooperative Extension facilities. The additional funds will free existing resource to allow the Service to add 4 county extension agents and begin water conservation initiatives. P-16/ Postsecondary Readiness Enrichment Program (PREP) is designed to provide supplementary academic readiness programs for middle school children in at-risk situations who show potential, but may not be able to meet the new admission standards for the University System. The Governor recommends an additional $600,000. The Georgia Environmental Partnership (GEP) is composed of the Pollution Prevention Assistance Division (P2AD) of the Georgia Department of Natural Resources, the Department of Biological and Agricultural Engineering of the University of Georgia, and the Economic Development Institute of the Georgia Institute of Technology. GEP aims to leverage the expertise of its partners to deliver technical assistance that promotes pollution prevention, energy efficiency, and environmental compliance. The Governor's recommendation for the FY 2001 amended budget marks a departure from GEP's traditional focus on the private sector. Building on the experience and success GEP has had with businesses, Governor Barnes directs $250,000 of the trust fund administered by P2AD to be used to pilot a sustainable energy efficiency, water conservation, and waste reduction program for Georgia governmental agencies. The program will initially focus on the Georgia Department of Corrections, at that department's request. Long-term benefits of such a program include reduced air/water pollution and solid waste, increased resource availability, and financial savings. Last, but not least, this program will allow the state to lead by example by asking of its own departments what it is asking of businesses. Georgia will be one of only a handful of states with similar initiatives. The Medical College of Georgia Hospital and Clinics serves as the teaching hospital for the University System and focus on meeting the medical and health care needs of the citizens of Georgia. The hospital and clinics support services in local communities through various outreach initiatives such as telemedicine or community clinics. The total FY 2002 recommended budget for the hospital and clinics is $36,839,795. The State Data Research Center (SDRC) is responsible for developing the K-12 student information system that is the key element for an effective accountability system. To help the Center complete this task, Governor Barnes is recommending an additional $2,391,580 for staffing and operating expenses. He also provides $1,253,309 in the Amended FY 2001 Budget. 457 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- Strategies and Services The SDRC also has responsibility for the Educational Technology Training Centers, which support technology training for teachers and administrators throughout the state. The Governor is recommending $1.0 million in additional funding in the Amended FY 2001 Budget to support the operations of those centers including upgrading the computer equipment. The University System and the Board of Regents are instrumental to the success of many initiatives and reforms proposed by the Governor's Education Reform Study Commission. This year's budget includes several partnerships with entities of the University System for public service related to teacher training and professional development. To train master teachers, $1 million is provided to the Teacher Center at Kennesaw State University to train master teachers. The Georgia Systematic Teacher Education Program (GSTEP) a partnership of the University of Georgia, Valdosta State University, and Albany State University is a program designed to train and mentor new teachers. The Governor recommends $333,000 to match a $6.5 million grant for GSTEP. To improve the pedagogy and content knowledge of teachers in math and science $500,000 is recommended to the Georgia Institute of Technology Center for Education Integrating Science, Mathematics, and Computing (CEISMC) to take the lead in training math and science teachers. For more information regarding GERSC related initiatives see page 15. As is customary, the budget for public libraries was increased to reflect a change in population. The FY 2002 budget includes $107,537 to provide public libraries funds for materials and maintenance and operations to reflect a 1.65% population increase. The Amended FY 2001 Budget includes $1,600,000 in lottery and Y2K funds to complete the installation of the PINES integrated circulation system in all the systems wishing to participate (148 buildings in 18 public library systems). Since its establishment in 1982, the Georgia Public Telecommunication Commission (GPTC) has pushed towards its mission: to create, produce, and distribute high quality programs and services that educate, inform, and entertain audiences and enrich the quality of their lives. To carry out its mission, GPTC operates nine television stations and 13 radio stations statewide Georgia Public Telecommunications Commission's state-of-the-art broadcast and production center, the most technologically advanced public broadcasting facility in the country, has been in operation since August 1997. The new digital environment - the television technology of the new millennium - has greatly expanded the capabilities of Georgia Public Broadcasting. PeachStar - the Commission's educational service's satellite delivery system - has continued to provide quality programming for every Georgia school and any other institution statewide that is equipped with a satellite dish. Georgia Public Broadcasting is able to distribute data via satellite to sites across the state and the nation. These data streams --which can include program schedules, bulletin boards, calendar information, newsletters, teacher's guides, lesson plans, Quality Core Curriculum correlation material, student activity materials, public service material, and emergency information - ensure equal access to important information in a timely, efficient and economical manner to all areas of the state. With every public school, regional library and college and technical institution equipped with satellite technology, these entities have the capability to receive educational programming from over 25 satellites. GPTC also purchased a satellite transponder, allowing the state to broadcast educational programming to every Georgia school and any other institution statewide that has a satellite dish. Distance learning programming has expanded educational opportunities for Georgia students. The Governor recommends in the Amended FY 2001 Budget $1,350,00 in bonds for structural engineering studies to test the load capacities of the 9 broadcast towers. The amended budget also includes $5,816,400 in bonds for the digital conversion of three broadcast towers and $1,250,000 for emergency electrical power back-up equipment and generators. 458 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Results-Based Budgeting INSTRUCTION Purpose: To assist students in receiving certificates, associate, bachelor, master and doctoral degrees in order to produce a more educated citizenry who can earn economic and social benefits. Goal 1: Georgians will receive economic and social benefits FY 2000 as a result of higher education. [1] Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - More University System of Georgia students will earn baccalaureate degrees, an increase from 21,061 in FY 2001 to 21,300 in FY 2002. - More University System of Georgia students will earn advanced degrees, an increase from 8,628 in FY 2001 to 9,200 in FY 2002. - More students will earn certificates, an increase from 587 in FY 2001 to 720 in 2002. 21,956 8,500 579 20,099 9,035 662 21,061 8,628 587 21,300 9,200 720 - At least 7,400 minority students will graduate in FY 2002. [2] >7575 7,034 >7671 >7400 - At least 40% of undergraduate students beginning classes in the University System in FY 1995 will have earned baccalaureate degrees by FY 2002. >40% Data Not Provided >40% >40% - At least 79% of full-time, first-time freshmen at universities in Fall 2000 will re-enroll in Fall 2001. >79% Data Not Provided >79% >79% Program Fund Allocation -- Total Funds State Funds $2,129,250,986 $2,033,940,067 $1,997,764,709 $1,001,639,359 $948,626,177 $951,942,738 Notes: 1 - Improved level of education is a proxy for results relating to economic security, improved sense of community, increased participation in government, a crime-free environment, and improved quality of life. U.S. census data and other data from the Bureau of Labor Statistics show that the more education a person has the more likely he or she is to 1) obtain and retain employment; 2) earn a higher income; 3) vote; and 4) participate in community service. Conversely, individuals with more education are less likely to 1) be on welfare or 2) engage in criminal behavior. 2 - FY 2002 desired result has been reduced due to lower than expected FY 2000 actual results. RESEARCH Purpose: To expand the existing body of knowledge and to promote the application of research findings for problem solving and for improving the quality of life for Georgia citizens. Goal 1: Provide quality and useful information to business, FY 2000 FY 2000 FY 2001 FY 2002 industry and government. Desired Actual Desired Desired - Business, industry and government find research results beneficial so that they will pay more to the University System for rights to use intellectual property developed and licensed by $8.6 mn Data Not Provided $8.9 mn $6 mn the system. [1] - The reputation and quality of research proposals by the University System will be of high enough standard as to attract competitively based grants and contracts in FY 2002. $570 mn Data Not Provided $587 mn $605 mn Program Fund Allocation -- Total Funds State Funds $1,122,428,601 $1,095,198,497 $1,075,719,459 $539,344,270 $510,798,711 $512,584,551 459 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting PUBLIC SERVICE Purpose: Provide continuing education, outreach, programs and services that foster economic, technical , social and cultural development among the citizens of Georgia. Goal 1: Provide learning opportunities for individuals and groups seeking personal and professional development. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Participants of continuing education programs will report that the programs contributed to their economic, technical, social, or [1] cultural development. [1] Program Fund Allocation -- Total Funds State Funds Notes: 1 - Data to measure this desired result is not collected at this time. [1] [1] [1] $ 386,170,320 $ 278,700,606 $ 251,158,217 $ 47,940,234 $ 80,533,671 $ 53,011,282 ADVANCED TECHNOLOGY DEVELOPMENT CENTER Purpose: Support the growth of Georgia's technology job base by forming and growing new technology companies in Georgia, commercializing university technologies, and attracting new technology companies to Georgia. Goal 1: Georgia's high-technology companies will continue to grow and have a positive economic impact as a result of ATDC services. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of high-tech jobs provided by ATDC-affiliated companies will increase by 10%, from 4,700 in FY 2001 to 4,300 4,100 4,700 5,200 5,200 in FY 2002. - The number of companies whose utilization of ATDC services results in self-sufficiency and high growth will increase by 13%, 100 112 110 125 from 110 in FY 2001 to 125 in FY 2002. -The annual revenue generated by member and graduate companies will increase from $420 million in FY 2001 to $775 $380 million $639 million $420 million $775 million million in FY 2002. Goal 2: The Faculty Research Commercialization Program (FRCP) will generate new commercial products as a result of research activities it supports. - Successful commercialization from FRCP projects will increase by 25% for FY 2002 over FY 2001; there will be 5 new companies formed or licensing agreements generated in FY 4 4 5 5 2002. Program Fund Allocation -- Total Funds $ 11,274,165 $ 8,368,013 $ 8,322,616 State Funds $ 7,883,067 $ 3,313,013 $ 3,267,616 460 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting AGRICULTURAL TECHNOLOGY RESEARCH PROGRAMS Purpose: Encourage the development and growth of Georgia Agribusiness (especially poultry) through technology exploration/transfer, technical assistance, and general education programs. Goal 1: Develop and introduce new or emerging technologies (i.e. automation, sensors, computer systems, waste treatment systems, etc.) capable of enhancing industry FY 2000 FY 2000 FY 2001 productivity or addressing priority needs by conducting Desired Actual Desired engineering research. FY 2002 Desired - At least 45 articles/papers disseminating research discoveries capable of accelerating technology introduction will be >40 43 published. - At least 6 research prototypes in development will be field tested and demonstrated to accelerate technology introduction. >7 7 >45 >45 >6 >6 Goal 2: Assist processors, suppliers, farmers, and other agribusiness entities in solving immediate technical problems (plant safety, waste handling and disposal, operational logistics, etc.) and better understanding emerging technology issues. - 100% of the industries surveyed in FY 2001 will report that the program was timely in their delivery of information and solutions to technical assistant requests. Program Fund Allocation -- Total Funds State Funds >100% 100% 38 of 38 $1,704,957 $1,704,957 >100% $1,727,010 $1,727,010 >100% $1,799,541 $1,799,541 GEORGIA TECH RESEARCH INSTITUTE Purpose: To plan and conduct research and development programs that enhance the economy and economic competitiveness and the well being of Georgia and its citizens, as well as the region and the nation. Goal 1: To perform externally sponsored customer focused and innovative research that directly or indirectly impacts the economy of Georgia. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Private, non-profit and public organizations will judge GTRI's research to be beneficial to the state's economic development by awarding research projects to the institute. [Proxy measure of $98,702,222 benefit: dollar amount of awarded projects] $90,211,127 -9% $103,637,333 $92,917,460 - GTRI's research programs will increase and continue to contribute to the well-being of the citizens of Georgia. [Proxy measure by dollar amount of total projects] $ 7,427,231 $8,624,598 +16% Program Fund Allocation -- Total Funds State Funds $ 104,322,240 $ 2,394,128 Notes: 1 - FY 2002 desired result has been reduced due to lower than expected FY 2000 actual results. $7,798,593 $104,316,589 $ 2,216,765 $8,883,336 $ 104,354,562 $ 254,738 461 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting ECONOMIC DEVELOPMENT INSTITUTE Purpose: Improve the competitiveness of existing companies, retain existing, and attract new companies to Georgia by providing research, technical and managerial assistance, and training. Goal 1: Georgia's manufacturing companies will increase their performance/ competitiveness by implementing appropriate and/or new technology and business practices provided through EDI assistance, training, and information. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - 90% of the companies assisted by EDI in FY 2002 will take action as a result of the services provided and implement changes that have positive impacts on the companies' 85% performance/competitiveness compared to 88% in FY 2001. - 55% of respondents to a client evaluation survey will report cost savings, sales increases, and/or other quantifiable operating improvements as a result of the assistance, service, or information provided by EDI staff, an increase in FY 2002 of 11 percent in reported savings over FY 2001. Goal 2: Georgia communities will be able to retain or expand existing business and industry and attract new business and industry as a result of timely and appropriate information, research, and assistance provided by EDI to economic development organizations and community officials. - At least 500 new or existing manufacturing jobs will be saved by providing new and expanding manufacturing companies with technical assistance through the FaciliTech program in FY 2002. - At least seven new communities will be able to evaluate new opportunities that provide economic growth in FY 2002. Program Fund Allocation -- Total Funds State Funds 45% >500 >7 85% 127/150 88% 90% 53% 79/150 50% 55% 728 >500 >500 12 >7 $12,918,480 $13,519,310 $5,769,226 $5,967,310 >7 $13,777,673 $6,225,673 462 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting CENTER FOR REHABILITATION TECHNOLOGY Purpose: Provide support to individuals with disabilities within the State of Georgia and beyond through expert service, research design, technological development, information dissemination and education. Application of these resources is intended to enable maximum freedom of access to opportunity and environment, and active participation in all aspects of life. Goal 1: To develop products and technologies enabling people with disabilities of any age participate in the full range of normal activities, including: activities of daily living, recreation, education and employment by developing products and technology to enhance their capabilities. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - At least six new products and technologies will be designed to help people with disabilities in FY 2002. 4 12 >6 >6 Goal 2: To increase the availability and accessibility to information on assistive technology to every Georgian and U.S. citizen through all available modes of communication. - The Center will provide information to 600,000 persons with disabilities and their families, employers, and care providers with 24 hour/7 day week on "assistive technology, job accommodation and access environments". [1] 4 Web Sites 20,000 Contacts 6 Web Sites 379,141 Contacts 6 Web Sites 400,000 Contacts 7 Web Sites 600,000 Contacts Goal 3: Clients who have disabilities will become productive and self-sufficient individuals. - 75% of students who complete employment training through the Advanced Wood Products laboratory during FY 2002 will have obtained employment in the wood processing industry N/A N/A within 3 months. [2] >75% >75% - 20% of the Clients who obtain Assistive technology through the center so they can function in their schools, jobs, and/or communities will avoid workers compensation costs, earn N/A N/A income, and avoid other employer or public funded costs. >20% >20% - 100 clients will be able to function in their jobs, schools, and/or communities because they obtained Assistive technology services through program services provided in collaboration 125 133 50 100 with Emory Hospitals System. [3] Program Fund Allocation -- Total Funds State Funds $ 6,095,677 $ 6,304,720 $ 5,802,423 $ 6,095,677 $ 6,304,720 $ 5,802,423 Notes: 1 - Projects include telephone inquiries. 2 - New program - FY 2001 Desired Results reflect only 6 months of operation. 3 - Prior to FY 1999, these services were provided through contractual agreements with the Division of Rehabilitation Services (DRS); DRS changed to a fee-for service payment method which voided the contract. To respond to this change, the center has entered into an agreement with Emory Hospitals System. During the transition, center participation was disrupted and is now being rebuilt. 463 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting MARINE EXTENSION SERVICE Purpose: Provide technical assistance to existing and new marine industries, while reducing their environmental impact and not endangering the fragile coastline environment to enhance the economic stability and diversity of marine industries; teach marine sciences to K-12, college and adult students to improve the knowledge of Georgia's marine environmental resources. Goal 1: Marine industries will remain a viable business while complying with mandated regulations. - By using a by catch reduction device developed by the program, 350 shrimping vessels will reduce the incidental bycatch by 90% in FY 2001 and maintain this at 90% in FY 2002.[1] - Approximately 80% of seafood firms will comply with the new FDA program (Hazard Analysis Critical Control Point, HACCP) that regulates the handling and processing of seafood in FY 2001 and FY 2002. [1] Goal 2: Students (K-12, college and adults) and the public will learn about Georgia's Marine environmental resources. FY 2000 Desired 90% 70% FY 2000 Actual 96% 336 78% 192 FY 2001 Desired 90% >80% FY 2002 Desired 90% >80% - Post-test scores of 2,000 students going through the marine science education program will increase to 25 points of pre-test 19 24 20 25 scores in FY 2002 compared to 20 in FY 2001. Goal 3: New marine industries will prosper. - At least one new softshell crab operations will be established in FY 2002, increasing the total number of crab landings from 5 6 4 5 6 in FY 2001 to 6 in FY 2002. [2]/[3] Program Fund Allocation -- Total Funds $ 2,653,715 $ 2,516,306 $ 2,594,682 State Funds $ 1,548,915 $ 1,646,559 $ 1,724,935 Notes: 1- Actual number of vessels/businesses. 2- No new crab shedding facilities were established in FY 2000. Crab landings were reduced by 40% in 1999 compared to the Georgia annual average. The rapid and unexpected decline in crab landings precludes any effective expansion of Georgia's softshell. 3- FY 2001 desired result has been reduced due to lower than expected FY 2000 actual results. 464 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting MARINE INSTITUTE Purpose: Conduct and support research on the ecology of salt marches. Goal 1: Enhance the basic knowledge of salt marsh estuarine ecosystems and publish and disseminate that knowledge broadly to allow wise and sustained utilization of Georgia's coastal resources. FY 2000 Desired FY 2000 Actual - Maintain the credibility of the institute as evidenced by maintaining at least 10 peer-reviewed, non-state grants and contracts for research projects in FY 2002 despite loss of >13 8 research faculty due to budgetary redirections. [1] - Disseminate research results to be used by other researchers by maintaining the number of reports accepted for publication in peer-reviewed journals at 20, despite loss of research positions 17 21 because of budgetary redirections. Program Fund Allocation -- Total Funds $1,939,565 Notes: State Funds $1,091,077 1- FY 2002 desired result has been reduced due to lower than expected FY 2000 actual results. FY 2001 Desired >13 17 $1,878,491 $1,110,858 FY 2002 Desired >10 20 $1,890,597 $1,122,964 SKIDAWAY INSTITUTE OF OCEANOGRAPHY Purpose: To provide a center of excellence in marine and ocean science, which expands the body of knowledge on the marine environments and disseminates this information to educators, students, decision-makers, industry and citizens. Goal 1: Disseminate research results regarding marine environments to be used by scientists and decision-makers in the expansion of basic knowledge, which may lead to the development of policies and products to help industry and the environment. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - At least 30 articles disseminating research results will be judged worthy of publication in peer-reviewed scientific journals in FY 2002. Program Fund Allocation -- Total Funds State Funds 30 36 30 30 $5,490,202 $1,747,781 $5,204,604 $1,853,484 $5,220,334 $1,869,214 MEDICAL COLLEGE OF GEORGIA HOSPITAL AND CLINICS Purpose: Create and sustain a model comprehensive healthcare delivery system to support the teaching, patient care and research mission of the Medical College of Georgia. Goal 1: Provide high quality patient/family centered care. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Maintain accreditation by the Joint Commission on Accreditation of Healthcare Organizations (JCAHO) in FY 2001 as in FY 2000. - Maintain conformance with the National Committee of Quality Assurance (NCQA) standards in FY 2002 as in FY 2001. Goal 2: Provide high quality clinical education. - Maintain accreditation in FY 2001 as in FY 2000, on all Graduate Medical Education programs, as well as other undergraduate and graduate programs. The Medical College of Georgia Hospital and Clinics became a not-for-profit organization during FY 2000 and is no longer funded through the state budget process. 465 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting STUDENT EDUCATION ENRICHMENT Purpose: Identify, encourage, prepare and retain underrepresented/disadvantaged students in Georgia for careers in the health professions by providing an array of educational experiences and academic support services on the campus of the Medical College of Georgia. Goal 1: More underrepresented/disadvantaged students will FY 2000 choose a career in the health professions. Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - 100% of the underrepresented/disadvantaged high school students who participate in the summer program in FY 2002, will graduate from high school. 100% of the students will matriculate in college. - All participating college students in the summer program will matriculate in college or complete the next level in the educational process in FY 2002 (e.g. freshman will complete sophomore, sophomore will complete junior, etc.) - 100% of participating students will successfully complete the pre-matriculation program in FY 2002. - 100% of the underrepresented/disadvantaged students admitted to the School of Medicine will successfully complete their first year of medical school. Program Fund Allocation -- Total Funds State Funds 100% 100% 20/20 100% 100% 34/34 100% 100% 100% 12/12 100% 11/11 $365,217 $365,217 100% 100% 100% 100% $370,842 $370,842 100% 100% 100% 100% $371,334 $371,334 AGRICULTURAL EXPERIMENT STATIONS Purpose: Expand the body of scientific knowledge related to the agricultural and environmental sciences to promote economic growth and environmentally sound practices by Georgia's farmers, food processors, and agribusiness, thereby ensuring a safe, nutritious, plentiful and affordable supply of food and fiber. Goal 1: Georgia farmers will sustain or increase their profitability and productivity while producing a safe, nutritious, plentiful and affordable supply of food and fiber. FY 2000 Desired - Georgia farm income will increase by 2%, a change from $7.75 billion in FY 2001 to $8.11 billion in FY 2002. $7.80 bln. - The number of reported incidents of bacterial pathogens in food will be no more than 1,630 in FY 2002 <1630 - The annual change in Georgia of the Consumer Price Index for food will be less than 2% from 170.65 to 171.5 in FY 2002 compared to the annual change in the overall consumer price index. [The CPI is a proxy for state prices because there is a strong correlation between the two measures.] 167.3 FY 2000 Actual $7.60 bln. 1,658 166.7 FY 2001 Desired $7.95 bln. <1630 170.65 FY 2002 Actual $8.11 bln. <1630 171.5 466 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting Goal 2: Protect, improve and preserve Georgia's natural resources. - The number of herbicides and insecticides detected in urban and rural watersheds that exceed The Environmental Protection Agency guidelines for The Protection of aquatic life will be no greater than seven. - Increase acreage planted according to conservation practices within USDA/National Resource tolerance levels (soil type specific) by 1%, from 736,936 acres to 744,305 acres, as a method of improving soil conservation and decreasing erosion. Goal 3: Develop and disseminate information in agricultural research. - Increase the number of refereed research journal articles published by 7% in FY 2002, an increase from 161 in FY 2001 to 172 in FY 2002. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired <7 729,640 156 FY 2000 Actual 7 FY 2001 Desired <7 FY 2002 Actual <7 729,640 736,936 744,305 162 $84,054,094 $43,981,403 161 $73,440,974 $45,330,255 172 $75,267,636 $47,097,409 AGRICULTURAL COOPERATIVE EXTENSION SERVICE Purpose: Disseminate relevant and timely information and data to assist Georgia's farmers, agribusiness, consumers and communities in improving the quality of life. Goal 1: Improve peanut profitability/sustainability: Peanut producers will reduce losses to disease. - The percentage of peanut producers who use at least four of the Tomato Spotted Wilt Virus (TSWV) Risk Index parameters to reduce losses to this disease will increase from 50% in FY 2001 to at least 65% in FY 2002. (Proxy Measure) Goal 2: A safe, secure food and fiber system: Georgians will reduce their risks for borne illness. - The percentage of food safety program participants who adopt two or more practices to reduce their risk for food borne illness will increase five percent from 60% in FY 2001 to 65% in FY 2002. (Proxy Measure) - At least 75% of institution/commercial food handlers participating in ServSafe Certified food handler education programs will become certified in FY 2002. Goal 3: An adequate supply of forest resources: Georgia will increase its supply of forest products. - Planned forest regeneration will exhibit a growth trend of 30% over a four-year period from 300,000 acre plantings in 1996-98 to 390,000 acres by FY 2002. Goal 4: Distance diagnostics through digital imaging: Losses to plant disease will be reduced. - All Georgia agricultural producers will have greater access to plant disease diagnostic centers. FY 2000 Desired 30% 50% 75% 380,000 100% FY 2000 Actual 50% 2,600/5,200 76% 5,168/6,800 77% 176/230 400,000 60% 94 /159 FY 2001 Desired 50% 60% 94% 380,000 100% FY 2002 Desired >65% 65% 75% 390,000 100% 467 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting Goal 5: Environmental awareness: Georgia's youth will learn to appreciate their own environment. - In FY 2002, 95% of children participating in environmental education programs will score higher on post-tests than on pretests, compared to 80% in FY 2001. Program Fund Allocation -- Total Funds State Funds FY 2000 Desired 75% FY 2000 Actual 80% 28,766/35,958 $58,333,173 $35,514,986 FY 2001 Desired 80% $60,527,405 $37,511,168 FY 2002 Desired 95% $62,028,798 $38,972,063 FORESTRY RESEARCH Purpose: Sustain the competitiveness of Georgia's forest products industry and non-industrial private landowners through research to increase forest productivity, improve cost-efficiency in fiber supply management, and meet environmental goals of the Sustainable Forestry initiative. Goal 1: Disseminate results of forestry research on increased wood yield, improved tree growth and disease resistance, and cost-effective harvest scheduling systems to be used by scientists and industry. FY 2000 Desired - The number of scientific papers published in highly regarded peer-reviewed journals will increase to 19 in FY 2002 compared 18 to 18 in FY 2001. Program Fund Allocation -- Total Funds State Funds FY 2000 Actual FY 2001 Desired FY 2002 Desired 15 $1,074,300 $979,647 18 $1,009,322 $1,009,322 19 $1,046,061 $1,046,061 MINORITY BUSINESS ENTERPRISES Purpose: Assist in starting, maintaining and expanding minority-owned businesses in Georgia. Goal 1: Minority businesses will have the knowledge and skills to stay in business. FY 2000 Desired FY 2000 Actual - 71% of the minority clients that received assistance from Minority Business Enterprises during FY 2001 will have increased their net revenues by 5% from a median annual revenue of $119,700 in FY 2001 to $125,685 in FY 2002. [1] $130,095 $114,000 990 Businesses - The percentage of minority business clients who remain in business from 2001-2002 shall remain at the 91% mark or better. 91% 100% 990 of 990 Program Fund Allocation -- Total Funds State Funds Notes: $511,712 $511,712 1- FY 2001 desired result has been reduced due to lower than expected FY 2000 actual results. FY 2001 Desired $119,700 91% $527,473 $527,473 FY 2002 Desired $125,685 91% $552,122 $552,122 468 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting VETERINARY MEDICINE EXPERIMENT STATION Purpose: Conduct and coordinate research on animal health problems of present and potential concern to animal owners, producers, and industries in Georgia. Goal 1: Obtain new knowledge and disseminate information to solve animal health problems in infectious diseases, noninfectious diseases, disease diagnosis, and disease treatment affecting beef cattle, dairy cattle, swine, horses, poultry, fish, wildlife, and companion animals. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Provide at least one accomplishment (such as new vaccines, drugs, and diagnostic tests) applicable to animal disease every 1 1 1 1 three years between FY 2000 and FY 2002. [1] - Disseminate research results to other researchers by increasing the number of published reports in peer-reviewed journals by 112 114 5% from 118 in FY 2001 to 124 in FY 2002. 118 124 +5% Goal 2: Train veterinarians in animal health research to ensure future availability of this important personnel resource and enhance training of scientists and staff in animal health research. - 100% of the Veterinary Medicine Experiment Station supported veterinarians completing the PhD, MS, or MAM degree will be employed in an animal health field in academia, industry, or government within five years after accepting their degrees. 100% 81% 17/21 100% 100% Program Fund Allocation -- Total Funds State Funds Notes: $2,330,611 $2,330,611 $2,511,450 $2,511,450 $2,721,777 $2,721,777 1- Due to the long-term nature of this research, the program is likely to require several years to develop a significant product or accomplishment; this result uses a 3-year period. The three year periods include: FY 1999 through FY 2001 and FY 2002 through FY 2004. VETERINARY MEDICINE AGRICULTURAL RESEARCH Purpose: Develop and disseminate new knowledge in poultry disease control by conducting and coordinating research on poultry disease problems of present and potential concern to Georgia's poultry producers and industries, thereby ensuring a inexpensive and wholesome supply of poultry products to the consumer. Goal 1: Obtain and disseminate information needed for improved detection, control and prevention of diseases affecting poultry. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Provide at least one accomplishment (such as new vaccines, drugs, and diagnostic tests) every three years in applied animal health between FY 2000 and FY 2002. Significant advances in 1 1 1 1 veterinary medicines are time sensitive. [1] - Disseminate research results for use by other researchers by maintaining the number of reports accepted for peer-reviewed 30 27 32 32 journals at 32 in FY 2002. 469 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting Goal 2: Train new scientists and clinical specialists in poultry health research to ensure future availability of this important personnel resource. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - All graduates in the Masters of Avian Medicine (MAM) program will be employed in some aspect of poultry health 100% 50% 1/2 100% 100% activity within one year of graduation. - All graduates of the MAM program should pass the certification examination of the American College of Poultry Veterinarians within three years of graduation. 100% 100% 2/2 100% 100% - 100% of Veterinary Medicine Agricultural Research supported scientists completing a PhD or MS degree will be employed in an animal health field in academia, industry, or government by 100% 100% 3/3 100% 100% FY 2002. Program Fund Allocation -- Total Funds $1,003,952 $1,057,775 $1,099,326 State Funds $1,003,952 $1,057,775 $1,099,326 Notes: 1- Due to the long-term nature of this research, the program is likely to require several years to develop a significant product or accomplishment; this result uses a 3-year period. The three year periods include: FY 1999 through FY 2001 and FY 2002 through FY 2004. VETERINARY MEDICINE TEACHING HOSPITAL Purpose: Ensure that there are enough qualified veterinary health care professionals to meet the needs of Georgia's pets and livestock by providing clinical training for veterinary students, veterinary technician students, and postgraduate veterinarians. Goal 1: Graduates of the Veterinary School will pass the FY 2000 FY 2000 FY 2001 FY 2002 State of Georgia board examination. Desired Actual Desired Desired - 100% of FY 2002 graduates will pass the State of Georgia board examination. [1] 100% [1] 100% 100% - 100% of FY 2002 graduates will pass the national clinical competency test (CCT). [2] 100% [2] 100% 100% Goal 2: Graduates of the Veterinary School will pass the national board examination. - 98% of the FY 2002 graduates will pass the national board 98% [2] examination, the same percentage as in FY 2001. [2] 98% 98% Goal 3: Veterinary, veterinary technician and postgraduate students will be satisfied that they received highquality and useful instruction. - 100% of respondents to a FY 2002 random survey will respond that they received good to excellent service from the hospital. Program Fund Allocation -- Total Funds State Funds Notes: 1 - Data not available for Veterinary School alone 2 - Data not available until January 2001 99% 96% 203/212 100% 100% $8,047,294 $547,294 $5,353,607 $576,097 $5,437,484 $585,323 470 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting ATHENS AND TIFTON VETERINARY DIAGNOSTIC LABS Purpose: Provide diagnostic support and surveillance for naturally occurring diseases affecting livestock, companion animals, and wildlife for veterinarians and regulatory agencies. Goal 1: Provide accurate and timely results to veterinarians, thereby contributing to the quality of veterinary medical practice available to animal owners. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - 90% of veterinarians responding to a customer satisfaction survey will rate the diagnostic support provided by the laboratories as good or excellent in FY 2002. >90% 94% 128/136 >90% >90% - The laboratories will satisfactorily complete 90% of the tests in the external proficiency testing programs in which they are enrolled in FY 2002. - Veterinarians will receive laboratory tests within an average of 4.0 days after sample submission in FY 2002. (Efficiency Measure) Goal 2: The laboratories will maintain disease surveillance programs to provide information for public health and regulatory agencies. - The laboratories will perform diagnostic testing on samples from animals in 90% of the counties in Georgia during each quarter in FY 2002 to obtain data for disease surveillance compared to 85% in FY 2001. (Measures statewide access to services) >90% 4.5 >85% 100% 24/24 3.4 92% 146/159 >90% 4.5 >85% >90% 4.0 >90% - The laboratories will perform diagnostic testing on samples from animals in 95% of the counties during each year to obtain data for disease surveillance compared to 90% in FY 2001. 90% (Measures statewide access to services) Program Fund Allocation -- Total Funds State Funds 100% 159/159 $4,258,128 $104,158 90% $3,443,781 $89,811 95% $3,353,970 $0 GEORGIA MILITARY COLLEGE Purpose: Prepare students for successes in life by enabling them to transfer to senior colleges and universities, pursue careers, and become participating citizens in the democratic process. Goal 1: Provide high quality educational services that will enable students to develop intellectual proficiencies and acquire basic knowledge needed for success. [1] FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - Employers surveyed in FY 2002 will indicate that they are satisfied with the academic preparation of GMC students. 85% [1] [1] [1] - Students surveyed in FY 2002 will respond that they are satisfied with their education. 85% [1] [1] [1] - Students will meet proficiency test requirements (computer literacy, English/composition and math) in FY 2002. 95% [1] [1] [1] 471 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting Goal 2: Provide a campus atmosphere that promotes teaching excellence, academic achievement, and concern for students. [1] - Students surveyed in FY 2002 will reflect satisfaction with the courtesy and competence of the staff. - The faculty and staff will be satisfied with the manner in which the college treats employees in FY 2002. Program Fund Allocation -- Total Funds State Funds Notes: 1 - Data will not be available until January 1, 2001. FY 2000 Desired 83% 94% FY 2000 Actual [1] [1] $1,387,150 $1,387,150 FY 2001 Desired [1] [1] $1,390,021 $1,390,021 FY 2002 Desired [1] [1] $1,476,927 $1,476,927 GEORGIA RESEARCH ALLIANCE The Georgia Research Alliance (GRA) aims to expand Georgia's economy by creating and developing advanced technology industries using university-based research and development programs in advanced communications, biotechnology, and environmental technologies. Goal 1: Enhance economic development for Georgia by developing the research infrastructure for recruiting companies to Georgia, creating new companies in Georgia, and enhancing the productivity/profitability of companies in Georgia that develop, manufacture or use advanced communication technologies, biotechnology, or environmental technologies. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of jobs created by companies locating or starting in Georgia during F.Y. 2001 based on initiatives sponsored by GRA in advanced communication technologies, biotechnology, 1,500 [1] or environmental technologies will increase by 15% from F.Y. 2001 to F.Y. 2002.[1] - The number of new Georgia-based enterprises formed based on the intellectual property portfolios of the research universities will increase by 15% from F.Y. 2001 to F.Y. 2002. 10 11 [2] - The number of Georgia companies engaged in funded research relationships with GRA universities will increase by 5% from 373 416 F.Y. 2001 to F.Y. 2002. - Federal and private funding to Georgia research universities conducting research in advanced communication technologies, biotechnology, or environmental technologies will result in a total of over $900 million funding in sciences and engineering >$900 million [3] reported to the National Science Foundation (NSF) for FY 2002. 1,725 N/A 12 13 437 459 >$900 million >$900 million 472 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting Goal 2: Move Georgia into the top ten in national rankings of states that develop, manufacture, or use advanced communication technologies, biotechnology, or environmental technologies by year 2005. FY 2000 Desired - Awareness of the brand name "Georgia" and its technological infrastructure will increase by 10% between F.Y. 2001 and F.Y. 2002 as measured by the number of positive citations in the 95 popular press. FY 2000 Actual 91 FY 2001 Desired 105 FY 2002 Desired 116 Goal 3: Increase venture capital investment in new high- tech industry in Georgia thereby leveraging the state's investment in its technological infrastructure. - The number of Georgia high-tech companies funded with venture capital will increase by 8% from F.Y. 2001 to F.Y. 65 178 70 76 2002. Program Fund Allocation -- Total Funds $1,050,000 $1,050,000 State Funds $1,050,000 $1,050,000 Notes: 1- Actual results will not be available until the first quarter of 2002. 2-The number of Georgia companies engaged in funded research relationships with GRA universities has been updated in all columns. FY 2001 desired results were increased to reflect this more complete information. 3-There is a one-year lag in data from the Natural Science Foundation so FY00 actual results will not be available until the first quarter of 2002. TRADITIONAL INDUSTRIES PROGRAM The Traditional Industries Program (TIP) is a research partnership of the University System of Georgia and the state's traditional industries -- pulp and paper, food processing, carpet/textiles -- dedicated to improving the competitiveness of these industries in Georgia. Goal 1: Maintain/increase the international competitiveness of Georgia's traditional industries by operating an industrydriven research-and-development program. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - At least 130 companies will improve their competitiveness by implementing TIP technologies and research findings. 120 - At least 5 TIP research-and-development projects will be licensed or commercialized in FY 2001. 2 - The University System will leverage the TIP infrastructure to attract at least $12 million in federal and private research funds each year to benefit Georgia's traditional industries. Program Fund Allocation -- Total Funds State Funds $5 million Data Not Provided 135 Data Not Provided 3 >130 >5 Data Not Provided $5 million $12 million $ 3,935,000 $ 3,635,000 $ 3,935,000 $ 3,635,000 473 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting OFFICE OF PUBLIC LIBRARY SERVICES Provide assistance, information, materials, programs and services to meet the information, education, recreational, and enrichment needs of all citizens and local communities throughout Georgia. Goal 1: Increase the usage of the educational, informational, and recreational resources available to all Georgians through their public libraries. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - The number of patron visits will increase by 3% from FY 2001 to FY 2002. (Proxy measure for access.) +3% - The FY 2000 circulation will be maintained for FY 2001 and FY 2002 Maintain - Satisfaction with public library services will exceed 85%, as determined by patron surveys. 85% Satisfied - The number of books read by children during summer reading programs will remain the same FY 2001 and FY 2002 as for FY 2,894,912 2000. - The number of public library patron/staff searches on GALILEO databases will increase by 5% from FY 2001 to FY 2002. [2] Program Fund Allocation -- Total Funds State Funds Notes: 1 - Data will not be available until December 18, 2000. 2 - GALILEO searches are under reported. 380,412 [1] [1] 90.84% Satisfied [1] 329,163 +3% +3% Maintain Maintain 85% Satisfied 85% Satisfied 2,894,912 2,894,912 399,432 + 5% +5% $ 35,628,283 $ 36,481,319 $ 33,119,075 $ 33,972,111 474 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting ATTACHED AGENCIES GEORGIA PUBLIC TELECOMMUNICATIONS COMMISSION PEACHSTAR EDUCATION SERVICE Purpose: To provide quality programming and services that enhance the learning opportunities and expand the resources of the education community and others via the PeachStar Network. Goal 1: Enhance the quality of education available to students, teachers and other education professionals. - 95% of teachers using PeachStar will rate the programs and services as good or very good.[1] - 95% of students using PeachStar will rate the programs and services as good or very good. - 95% of media specialists using PeachStar will rate the programs and services as good or very good. FY 2000 Desired 95% 95% 95% FY 2000 Actual 95% 1,041/1,095 95% 1,001/1,057 95% 2,910/3,048 FY 2001 Desired 95% 95% 95% FY 2002 Desired 95% 95% 95% - 95% of others (parents, home schooling families, other education professionals and organizations, contractors, etc.) using PeachStar will rate the programs and services as good or 95% [2] 95% very good. Program Fund Allocation -- Total Funds $9,023,566 $8,214,763 State Funds $9,023,566 $8,214,763 Notes: 1 - The FY 2000 Actual Data was collected from 1,215 respondents to 1,824 surveys sent to public schools. 2 - The FY 2000 Actual Data was not specifically collected in the PeachStar survey this year. 95% $5,927,601 $5,927,601 GEORGIA PUBLIC BROADCASTING Purpose: Provide Georgia communities with unique, noncommercial radio and television programs and services by creating, producing and delivering high quality programming that educates, informs and entertains the diverse audiences of GPTV's ninestation television network and Peach State's 14-station radio network. Goal 1: Increase the knowledge, understanding and awareness of Georgia issues, history and culture, economic and social trends, and legislative actions impacting the lives of our state's citizens by creating television and radio programs and broadcasting-based initiatives. - 90% of viewers will find Georgia Public Television specific programming informative, educational and entertaining. - 75% of listeners will find Georgia Public Radio specific programming informative, educational and entertaining. - The number of viewers and listeners of Georgia Public Television specific programming will increase by five percent. - The number of viewers and listeners of Georgia Public Radio specific programming will increase by five percent. FY 2000 Desired FY 2000 Actual 90% 75% + 5% -+5 97% 335/346 80% 52/65 72% 346/483 Did Not Provide FY 2001 Desired 90% 75% + 5% -+5 FY 2002 Desired 90% 75% + 5% -+5 475 REGENTS, UNIVERSITY SYSTEM OF GEORGIA - Results-Based Budgeting Goal 2: Provide quality children's television programming that supports Georgia's education goals for students, promotes school readiness, and that can be used with confidence by parents, educators and child care providers. - 90% of educators will find GPTV's children's (PBS Ready to Learn programming) and Instructional Television (ITV) programs good or very good. - 90% of parents will find GPTV's children's and ITV programming educational for their children. Program Fund Allocation -- Total Funds State Funds Program Fund Allocation -- Total Funds State Funds FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired 90% Did not provide 90% 90% 90% 96% 124/129 90% 90% $44,740,727 $49,376,943 $51,892,963 $15,414,374 $12,708,480 $15,105,434 $3,999,378,836 $3,799,511,852 $3,720,747,131 $1,728,322,761 $1,713,489,810 $1,695,218,163 476 DEPARTMENT OF REVENUE Total Budgeted Positions -- 1,401 Office of the Commissioner 5 Administrative Division 101 Information Systems Division 83 Income Tax Division 125 Taxpayer Accounting Division 68 Property Tax Division 52 Internal Administration Division 115 Compliance Division 433 Motor Vehicles Division 292 Alcohol and Tobacco Division 45 Sales Tax Division 82 477 DEPARTMENT OF REVENUE -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Postage Motor Vehicle Tag Purchases County Tax Officials Investment for Modernization Property Tax Program Year 2000 Project Total Funds FY 1999 Expenditures 64,883,545 5,452,769 1,095,834 208,839 312,688 2,895,137 3,561,342 14,238,604 2,924,122 3,691,746 2,404,350 3,422,794 4,797,059 42,080,858 $151,969,687 FY 2000 Expenditures 68,290,179 6,191,513 1,148,925 192,610 377,242 2,973,621 4,000,057 16,480,534 3,287,307 4,134,163 2,932,713 3,422,745 9,451,281 76,140,516 29,178,372 $228,201,778 FY 2001 Current Budget 66,737,605 5,192,424 1,170,983 293,267 312,814 2,914,564 1,201,600 11,256,572 3,172,830 3,486,810 2,404,350 4,272,795 4,902,668 166,000,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 67,246,407 5,192,424 1,170,983 293,267 312,814 2,914,564 1,201,600 11,256,572 3,172,830 3,486,810 2,404,350 4,272,795 4,902,668 579,881 1,350,499 18,675 81,976 28,930 83,190 842,730 86,340 1,268 166,000,000 67,826,288 6,542,923 1,189,658 375,243 341,744 2,997,754 2,044,330 11,342,912 3,174,098 3,486,810 2,404,350 4,272,795 4,902,668 166,000,000 $273,319,282 $107,828,084 $169,073,489 $276,901,573 Less Federal & Other Funds: Federal Funds Other Funds Indirect DOAS Funding Total Federal & Other Funds TOTAL STATE FUNDS 111,271 36,363,908 3,845,000 $40,320,179 $111,649,508 233,901 43,284,219 3,844,980 $47,363,100 $180,838,678 1,533,455 3,845,000 $5,378,455 $267,940,827 1,533,455 3,845,000 $5,378,455 $102,449,629 $169,073,489 1,533,455 3,845,000 $5,378,455 $271,523,118 Positions Motor Vehicles 1,411 78 1,414 78 1,401 82 1,401 82 11 1,412 4 86 478 DEPARTMENT OF REVENUE -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Postage Motor Vehicle Tag Purchases County Tax Officials Investment for Modernization Property Tax Program Year 2000 Project Total Funds FY 2001 Annualizers and Current Budget Adjustments 66,737,605 5,192,424 1,170,983 293,267 312,814 2,914,564 1,201,600 11,256,572 3,172,830 3,486,810 2,404,350 4,272,795 4,902,668 166,000,000 508,802 (164,267) 1,473,722 (166,000,000) $273,319,282 ($164,181,743) Less Federal & Other Funds: Federal Funds Other Funds Indirect DOAS Funding Total Federal & Other Funds TOTAL STATE FUNDS 1,533,455 3,845,000 $5,378,455 $267,940,827 ($164,181,743) Positions Motor Vehicles 1,401 82 FY 2002 Governor's Recommendations Workload Adjusted Base 67,246,407 5,192,424 1,170,983 129,000 312,814 4,388,286 1,201,600 11,256,572 3,172,830 3,486,810 2,404,350 4,272,795 4,902,668 Enhancements 800,000 1,468,335 100,000 3,794,270 662,730 300,000 238,947 249,000,000 Totals 68,046,407 6,660,759 1,170,983 129,000 412,814 8,182,556 1,864,330 11,556,572 3,411,777 3,486,810 2,404,350 4,272,795 4,902,668 249,000,000 $109,137,539 $256,364,282 $365,501,821 1,533,455 3,845,000 $5,378,455 $103,759,084 $256,364,282 1,533,455 3,845,000 $5,378,455 $360,123,366 1,401 82 1,401 82 479 DEPARTMENT OF REVENUE FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Reduce non-recurring cost of the second year of the Governor's Property Tax Relief program. 3. Reduce motor vehicle purchases to reflect that only those vehicles with a projection of at least 120,000 miles traveled as of July 1, 2001 will be replaced. 4. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Continue the Governor's Property Tax Relief program which will raise the statewide homestead exemption value from the current amount of $6,000 to $8,000. This increase will eliminate general county and school property tax liability for the first $20,000 of fair market value on homesteads. 2. Outsource the International Registration Plan audits through an increase in per diem, fees and contracts. This will enable the department to reassign staff to sales and corporate tax audits which yield millions in state revenue annually. 3. Fund a scanner maintenance contract in the Internal Administration Division. 4. Fund real estate rental increases for Compliance Division regional offices in Albany, Athens, Augusta, Columbus, Douglas, Lithia Springs, Macon, Morrow, Rome, Savannah, Tucker, and Valdosta. 5. Provide payment of a nominal fee to the Federal Management Service for intercepting Internal Revenue Service refunds to offset tax obligations owed to Georgia. 6. Add 12 contract tax examiners to the Sales Tax Division responsible for handling flawed, problematic returns. 7. Provide funding for Georgia's share of the annual budgeted costs of the International Fuel Tax Agreement Regional Processing Center. 8. Increase funds to cover sales tax printing and publication expenditures associated with producing forms with pre-printed, individualized, machine-readable account information. 9. Cover anticipated relocation expenses. This funding increase will affect the regular operating ($974,853), real estate rental ($2,955,080), and telecommunications ($238,947) budget classes. 10. Provide funds that will be used to help the Motor Vehicle Division plan and prepare for its future move to the new Department of Motor Vehicle Safety. This funding increase will affect the personal services ($800,000), real estate rentals ($800,000), computer charges ($300,000), and equipment ($100,000) budget classes. TOTAL ENHANCEMENT FUNDS Governor's Recommendations 267,940,827 508,802 (166,000,000) (164,267) 1,473,722 $103,759,084 249,000,000 200,000 102,614 39,190 107,730 355,000 55,000 335,868 4,168,880 2,000,000 $256,364,282 TOTAL STATE FUNDS 480 $360,123,366 DEPARTMENT OF REVENUE Functional Budget Summary 1. Departmental Administration FY 2001 Appropriations Total State 21,073,692 21,073,692 FY 2002 Recommendations Total State 26,728,066 26,728,066 2. Internal Administration 6,141,550 5,991,550 6,272,079 6,122,079 3. Information Systems 4. Compliance 9,650,156 24,290,703 8,634,956 24,150,703 9,695,095 24,800,656 8,679,895 24,660,656 5. Income Tax 8,450,771 8,150,771 8,496,153 8,196,153 6. Motor Vehicle 7. Taxpayer Accounting 8. Alcohol and Tobacco 18,082,301 7,510,839 2,991,469 16,782,301 6,671,039 2,991,469 20,038,261 7,534,299 2,963,833 18,738,261 6,694,499 2,963,833 9. Property Tax 170,435,762 168,902,307 253,506,015 251,972,560 10. Sales and Use Tax 11. State Board of Equalization 4,672,039 20,000 4,572,039 20,000 5,447,364 20,000 5,347,364 20,000 TOTAL APPROPRIATIONS $273,319,282 $267,940,827 $365,501,821 $360,123,366 RECOMMENDED APPROPRIATION: The Department of Revenue is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $360,123,366. 481 DEPARTMENT OF REVENUE Roles and Responsibilities Since 1938, the Department of Revenue (DOR) has been responsible for administering the state's tax laws and collecting and processing state revenues. Other duties include maintaining the title and registration records for motor vehicles registered in Georgia and enforcing laws and regulations pertaining to the control of alcoholic beverages and tobacco products. Auditors, accountants, collectors, field representatives, and various specialists and administrative personnel work as authorized agents of the department's commissioner to carry out the DOR's responsibilities. In a typical year, these agents maintain and update millions of taxpayer accounts and motor vehicle records and enforce compliance with countless laws and regulations. ORGANIZATION To accomplish its duties, DOR is comprised of the following ten divisions that report to the commissioner: Administrative Division Internal Administration Division Compliance Division Information Systems Divis ion Motor Vehicle Division Taxpayer Accounting Division Income Tax Division Alcohol and Tobacco Division Property Tax Division Sales and Use Tax Division Each division has an important role in the administration of tax laws and the collection of revenue. TAX ADMINISTRATION AND COLLECTION DOR net state revenue collections for fiscal year 2000 totaled just over $13 billion, an 8.5% increase over fiscal year 1999. The major taxes and fees collected by the department are as follows: Individual and Corporate Income Tax General Sales and Use Tax Motor Fuel Tax Motor Vehicle Fees Liquor, Beer, and Wine Tax Cigar and Cigarette Tax Each year the department also collects over $3 billion in taxes designated for local entities. The first of these is a 1% sales tax in Fulton and DeKalb Counties that is used as dedicated revenue for the construction and operation of the Metropolitan Atlanta Rapid Transit Authority (MARTA). The other 1% sales taxes designated for local entities are the local option sales tax, the special purpose local option sales tax, the homestead local option sales tax, and the education local option sales tax. MOTOR VEHICLE TITLING AND REGISTRATION The Motor Vehicle Division of the DOR is responsible for providing a certificate of registration and title for most motor vehicles and mobile homes owned or operated in the state. Additionally, the division must provide registration and title information to county governments, law enforcement agencies, and all other appropriate entities. County Tax Commissioners and their employees (acting as DOR agents) process registrations, tag applications, and decal renewals at local offices, while Motor Vehicle Division employees manage statewide operations and purchase and maintain necessary equipment. The Motor Vehicle Division is also responsible for training county agents and ensuring that service standards are being met across the state. This decentralized arrangement has been made possible by the implementation of the Georgia Registration and Title Information System. ALCOHOL AND TOBACCO REGULATION DOR enforces all laws and regulations concerning the manufacture, possession, transportation, and sale of alcoholic beverages and the possession, transportation, and sale of tobacco products within the state. The department's Alcohol and Tobacco Division is comprised of a criminal investigative unit and an audit and operations unit. Agents assigned to the investigative unit carry out specialized investigations that focus on licensing and the sale of alcoholic beverages and tobacco products to underage persons. When necessary, they coordinate law enforcement actions with other enforcement agencies and lend assistance to outside parties. The audit and operations staff conducts audits of manufacturers, shippers, and distributors of alcoholic beverages and tobacco products. In addition, they promote voluntary compliance with the state's alcoholic beverage and tobacco excise tax laws. ATTACHED AGENCY The State Board of Equalization is attached to the Department of Revenue for administrative purposes only. The board appoints hearing officers that evaluate appeals by local governing authorities on issues relating to the Revenue Commissioner's disapproval of county tax digests. AUTHORITY Title 48 of the Official Code of Georgia Annotated. 482 DEPARTMENT OF REVENUE Strategies and Services PROCESSING OF TAX RETURNS AND PAYMENTS It is a long-range goal of the Department of Revenue (DOR) to implement a comprehensive electronic government environment. Current e-government initiatives underway include expanding the types of tax returns that can be filed electronically, offering various telephone filing options across tax types, and accepting credit and debit card payments. In FY 2000, about 10% of returns were received electronically. While this development is promising, it is clear that DOR will continue receiving and processing millions of paper returns and check payments throughout the next several tax seasons. With traditional processing as the mainstay, the department has continued to invest in machinery and technology that speeds the handling of documents. By replacing labor-intensive, manual processes with automation technology, DOR has been able to reduce payment and refund processing times, decrease processing costs, improve compliance, and ease the burden placed on taxpayers in reporting tax information. An important part of the effort to streamline processing is the imaging of documents for archival and retrieval purposes. While high-speed scanners have been capturing digital images of tax filings for some time, a new project that utilizes Optical Character Recognition (OCR) technology is currently underway. The department successfully processed close to 500,000 returns using this technology on a trial basis in 1998 and 1999. Full implementation was delayed because the older version of OCR software was not year 2000 compliant. DOR has since received modernization funds to acquire compliant OCR software, which should be available for use in the next tax-processing season. This technology will quickly and accurately capture required data and thus speed up the overall processing of returns. In the future, increased utilization of electronic filing options will eliminate many of the problematic aspects of traditional processing. Thus far, DOR has had great success in processing electronically filed income tax returns, and compared to other states, participation is high in Georgia. This success has prompted the department to embark on several e-government initiatives in other tax areas while continuing with efforts to streamline traditional processing methods. MODERNIZATION OF CORPORATE AND INDIVIDUAL INCOME TAX SYSTEMS In the fall of 1999, DOR designed and implemented new corporate income and individual income tax processing systems. Both systems, which were designed in a clientserver environment with web based technology, performed as expected during their first year of operation. These enhanced tax processing systems will serve as the department's foundation for improved technological functionality and reliability. As such, the systems will allow taxpayers more direct interaction with the department and its records, improve operating efficiency, and enable further expansion of electronic filing and other egovernment initiatives. FINANCE AND RECORDS MANAGEMENT SYSTEM In order to take full advantage of the opportunity to expand filing and payment options available, DOR had to redesign the current "Mail/Cash" processing system. This system creates daily deposits, performs front end processing for all other tax systems, and acts as the central repository for most returns and payments. The current system, which was installed nearly twenty years ago, is not flexible enough to handle technologically advanced alternative filing and payment methods. An enhanced replacement system known as the Finance and Records Management System (FARMS) is currently being designed. FARMS, an integral part of the department's modernization plan, will consist of the following modules: An enhanced transaction processing module that will allow a quick separation of the check from the paper return; A credit and debit card processing module that will make it possible for the department to accept and process these types of payments; A production management reporting module that will automate productivity record keeping and document tracking; A depositing and accounting module that will automate the accounting process for deposits and the general ledger; and A mail processing module that will automate many of the manual steps involved in processing and tracking mail. Due to the tight integration and multitude of interfaces between FARMS and the other DOR tax applications, implementation and testing of the system will be expensive and complex. However, the advantages of the system in terms of faster deposits of receipts for the state and new filing and payment options for citizens are significant. ELECTRONIC FILING OF INDIVIUAL INCOME TAX RETURNS During the 2000 tax season, Georgia was once again a national leader in the number of individual income tax returns filed electronically in the joint federal-state 483 DEPARTMENT OF REVENUE -- Strategies and Services electronic filing program. As of August 2000, a total of 891,000 returns had been filed electronically. Through the joint program, taxpayers eligible to receive a refund have the option of electronically filing both their federal and state returns at one time. Compared to traditional paper filing, the process is more efficient and accurate. Refunds are typically issued within 3 weeks, and taxpayer reports of miscalculations are not common. Even though program participation has been high, the department wants to make this program more accessible and appealing to taxpayers. Thanks to a continued commitment to expanding e-government options, the department has already seen a dramatic increase in program participation. Past program enhancements include providing a direct deposit service for refunds, allowing online filing via software vendors, and adding electronic filing options for part-year residents and nonresidents. For the upcoming tax season, the department plans to further enhance the program by accepting electronically filed returns with a balance due and adding the option to telefile returns. These program expansions should continue to make alternative filing methods more popular with the millions of taxpayers who still rely on traditional paper filing and lead to more efficient and accurate processing within the department. SALES TAX ELECTRONIC FILING INITIATIVE In an effort to reduce processing time, eliminate taxpayer and data entry errors, and improve the timeliness of distributions to local governments, DOR's Sales Tax Division is developing the capability to accept and process electronically filed returns from its customers. Once system enhancements are complete, taxpayers will have the option of filing sales tax returns via secure vendor websites. Vendors will ensure that returns are complete and that mathematical calculations are correct before any information is transmitted to the department. After transmission, data will be uploaded into DOR's cashiering and sales tax systems where it will be edited and applied to the appropriate taxpayer accounts. This new filing option will obviously benefit the department and its customers. The department will save time and resources through reduced screening requirements, while taxpayers will be able to file returns and transmit payments electronically with the vendor of their choice. Initially, this option will be made available to the 4,000 taxpayers that currently remit their payments electronically. These taxpayers have the most complex returns, and their remittances account for 65% of total monthly sales tax collections. Eventually, the electronic filing option will be available to all sales tax dealers. The Sales Tax Division plans to initiate deployment to vendors in FY 2002. MOTOR VEHICLE IMPROVEMENT STRATEGIES As of September 2000, the Georgia Registration and Title Information System (GRATIS) had been up and running successfully for 1 year. The system has helped make a county-based, real-time, on-line motor vehicle registration and titling program a reality. Motor Vehicle Division employees and county tax agents believe that the integrated registration and titling system is the best in the country since it has greatly decreased processing time and increased accuracy and customer satisfaction. Although computer-related operating expenses have increased significantly with the year 2000 compliant system in place, the benefits to all stakeholders seem to outweigh the cost increase. For example, GRATIS enables county agents to identify emissions test and property tax evaders; it provides current, on-line accessible information to 15 federal and state agencies which once relied on paper and tape products from the old system; and it reduces customer waiting time since information can be processed on the spot. The Motor Vehicle Division now plans to further improve the title and registration services delivered at the county-level through policy and strategy development, business training, and technical support. 484 DEPARTMENT OF REVENUE Results-Based Budgeting TAX ADMINISTRATION AND ENFORCEMENT PROGRAMS Purpose: Administer and enforce state tax laws and provide taxpayer assistance in order to maximize and promptly collect revenues to help fund state and local government programs. Goal 1: Taxpayers and tax administrators will be provided with the training, assistance, and information needed to promote their understanding of the tax laws. - At least 95% of taxpayers surveyed who sought assistance at regional offices will agree or strongly agree that the experience was positive and that they received courteous and prompt customer service providing them with a better understanding of the tax laws. - The percentage of persons surveyed who attended taxpayer education workshops and seminars and reported the program was worth their time will be at least 90%. Goal 2: Tax payments and tax returns will be processed in a timely manner in order to collect the revenues used to fund state and local government programs. - Improve payment processing time by increasing electronic funds transfer payments in dollar volume and as a percentage of total collections. In FY 2000 EFT payments rose to almost $10 billion, or 56.7% of the $17.6 billion in gross collections. - At least 1 million individual income tax returns (or 27%) will be filed electronically in FY 2002 to reduce overall processing time. FY 2000 Desired 95% 90% 56% 20% 700,000 FY 2000 Actual 97% 93% 56.7% 25% 891,000 FY 2001 Desired 95% FY 2002 Desired 96% 92% 93% 57% 57% 26% 900,000 27% 1,000,000 Goal 3: Encourage compliance with the tax laws so that the tax responsibility is distributed uniformly and in accordance with the law by increasing the number of business and individual tax audits, and by conducting audits of property assessment. - Business tax audits will be increased by 5% in FY 2002. The increase in tax audits will serve as a proxy measure for the increase in taxpayer compliance. - Non-resident individual income taxpayer audits will be increased by 5% in FY 2002. The increase in tax audits will serve as a proxy measure for the increase in taxpayer compliance. 4,684 965 4,866 1,476 4,900 1,014 5,100 1,065 - The audited sales ratio (ratio between the county's assessment of 90% 90% 90% 90% property and the sale price) will be maintained at 90% of the required property assessment level in FY 2002. - The number of delinquent and deficient registered sales, withholding, and income tax accounts that are collected and resolved will increase by 5% in FY 2002. This will serve as a proxy measure for timely filing. 94,710 93,594 96,000 96,000 Program Fund Allocation -- Total Funds State Funds $205,181,354 $252,245,512 $342,499,727 $159,738,755 $248,167,057 $338,421,272 485 DEPARTMENT OF REVENUE -- Results-Based Budgeting ALCOHOL AND TOBACCO COMPLIANCE AND ENFORCEMENT PROGRAMS Purpose: Ensure compliance with state laws governing the control, distribution, and taxation of alcoholic beverages and tobacco products in order to protect the public's interest and safety. Goal 1: Alcohol will be regulated so that it is distributed only in those jurisdictions that have authorized its sale through a local ordinance or referendum. FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired - To ensure a proper and legal distribution of alcoholic beverages, 100% 100% 100% 100% background investigations will be conducted on 100% of retail distilled spirits applicants, alcohol distributor applicants, and alcohol manufacturer, importer and broker applicants in FY 2002. Goal 2: Alcohol and tobacco retail and wholesale businesses will comply voluntarily with state laws and regulations. - The percentage of alcohol and tobacco businesses inspected that 87% 82% 87% 87% are in compliance with state law will increase in FY 2002. - 100% of alcohol and tobacco distributors will be audited to ensure 100% 100% 100% 100% excise taxes are properly remitted in FY 2002. Goal 3: Illegal alcohol sales to underage persons will be reduced. - The percentage of retail vendors investigated who make illegal 40% 45% 40% 40% alcohol sales to underage persons will be reduced in FY 2002. Goal 4: Underage persons will be protected from unlawful sales of alcoholic beverages by a partnership of federal, state, and local law enforcement agencies enforcing the laws against alcohol sales to underage persons. - The number of investigations of illegal alcohol sales to underage 611 1,936 1,200 1,260 persons will be increased by 5% in FY 2002 (Activity). Program Fund Allocation -- Total Funds $3,011,825 $2,991,469 $2,963,833 State Funds $2,919,439 $2,991,469 $2,963,833 MOTOR VEHICLE TAG AND TITLE PROGRAMS Purpose: Establish motor vehicle ownership by maintaining timely title and registration records. Goal 1: Motor vehicle registrations and title applications will FY 2000 FY 2000 be processed in a timely manner. Desired Actual - The average number of days to process a motor vehicle 12 days 9 days registration will be further reduced in FY 2002 as more counties utilize the on-line Georgia Registration and Title Information System (GRATIS). - The average number of days to process a motor vehicle title 10 days 4 days application will be further reduced in FY 2002 as more counties utilize the on-line Georgia Registration and Title Information System (GRATIS). Program Fund Allocation -- Total Funds $20,008,599 State Funds $18,180,484 FY 2001 Desired 8 days 4 days $18,082,301 $16,782,301 FY 2002 Desired 7 days 3 days $20,038,261 $18,738,261 TOTAL - All Programs Total Funds State Funds $228,201,778 $273,319,282 $365,501,821 $180,838,678 $267,940,827 $360,123,366 486 OFFICE OF SECRETARY OF STATE Total Budgeted Positions -- 404 Secretary of State 1 Attached for Administrative Purposes Only Real Estate Commission 31 Holocaust Commission 3 State Ethics Commission 7 Drugs and Narcotics Agency 17 Assistant Secretary External Affairs 1 Assistant Secretary Chief Operations Officer 1 Securities Division 31 Corporation Division 31 Elections Division 24 Administraion 61 Professional Licensing Boards 142 Archives and History Division 54 487 OFFICE OF SECRETARY OF STATE -- Financial Summary Unit A - Office of Secretary of State Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Elections Expense Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 19,229,099 3,586,528 245,749 198,881 272,238 2,613,317 2,165,981 3,694,588 1,084,459 553,987 174,331 $33,819,158 120,126 2,632,338 2,769 $2,755,233 $31,063,925 421 102 FY 2000 Expenditures 17,801,680 3,252,139 260,395 139,582 24,081 2,898,597 1,730,410 3,590,988 1,060,368 730,504 FY 2001 Current Budget 18,898,149 3,053,486 234,150 191,357 73,491 3,020,829 1,792,766 2,915,446 857,385 990,000 640,900 FY 2002 Agency Requests Adjusted Base Enhancements Totals 19,010,163 2,972,857 236,150 254,000 81,107 3,108,597 1,744,311 3,823,654 867,120 1,021,583 207,678 6,845 20,000 18,000 154,755 125,080 104,692 70,400 20,031,746 3,180,535 242,995 274,000 99,107 3,263,352 1,869,391 3,928,346 937,520 640,900 50,000 690,900 $31,488,744 $32,667,959 $32,738,859 $1,779,033 $34,517,892 71,793 2,283,014 1,045,000 1,045,000 $2,354,807 $29,133,937 368 85 $1,045,000 $31,622,959 373 85 $1,045,000 $31,693,859 377 87 1,045,000 $1,779,033 18 $1,045,000 $33,472,892 395 87 488 OFFICE OF SECRETARY OF STATE -- Financial Summary Unit A - Office of Secretary of State Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Elections Expense Year 2000 Project Total Funds FY 2001 Annualizers and Current Budget Adjustments 18,898,149 3,053,486 234,150 191,357 73,491 3,020,829 1,792,766 2,915,446 857,385 990,000 640,900 (262,667) (97,325) (41,627) (3,184) 694,820 (48,455) (21,711) 8,235 (990,000) $32,667,959 ($761,914) Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 1,045,000 $1,045,000 $31,622,959 ($761,914) Positions Motor Vehicles 373 3 85 2 FY 2002 Governor's Recommendations Workload 43,763 200,000 Adjusted Base 18,679,245 2,956,161 234,150 149,730 70,307 3,715,649 1,744,311 3,093,735 865,620 Enhancements 250,000 7,225 640,900 Totals 18,929,245 2,963,386 234,150 149,730 70,307 3,715,649 1,744,311 3,093,735 865,620 640,900 $243,763 $32,149,808 $257,225 $32,407,033 1,045,000 $243,763 1 $1,045,000 $31,104,808 377 87 1,045,000 $257,225 5 $1,045,000 $31,362,033 382 87 489 OFFICE OF SECRETARY OF STATE - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Provide for adjustments to personal services. Other Adjustments: 3. Establish the Capitol Education Center as a new functional budget with the transfer of $324,474 and 5 positions from Internal Administration. 4. Fund the storage of Capitol Museum Artifacts during renovation work at the State Capitol ($9,253) and reduce the cost for 1 motor vehicle ($20,627) in Internal Administration. 5. Reduce contract funds in Archives and Records for a Grant to the Georgia Historical Society. 6. Replace 1 vehicle ($18,000), increase real estate rental ($1,050) and telecommunications ($13,700) for the Drugs and Narcotics Agency. 7. Delete operating funds for Licensing of Mental Health Therapists due to non-passage of HB 600 ($248,000) and one-time capital outlay costs for pre-design of the annex building for the Licensing Testing Center in Macon ($990,000). 8. Delete funds for the purchase of 3 vehicles in the Securities Division. 9. Reduce computer charges for one-time computer purchases in the State Ethics Commission. 10. Adjust GBA rental rates to a standard of $8.75 per rentable square footage. Workload: 11. Add 1 accountant position to assist with increased workload as a result of the new accounting systems. 12. Increase computer charges in the Elections Division for increased workload requirements, planning system modifications and reprogramming necessary to support the National Voter Registration Act system. ADJUSTED BASE 31,622,959 161,790 (317,262) Yes (11,374) (12,500) 32,750 (1,238,000) (39,000) (38,135) 699,817 43,763 200,000 $31,104,808 ENHANCEMENT FUNDS ENHANCEMENTS 1. Fund 1 legal assistant position and operating expenses for a State Office of Citizenship Assistance to aide immigrants in obtaining United States citizenship. 2. Add 2 telephone representative and 2 clerk positions for the Customer Service Center at the Professional Licensing Boards office in Macon. 3. Increase funds for the Holocaust Commission to assist with final provisions for the Official State of Georgia Observance of Days of Remembrance. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 100,000 150,000 7,225 $257,225 $31,362,033 490 OFFICE OF SECRETARY OF STATE - UNIT A Functional Budget Summary 1. Internal Administration FY 2001 Appropriations Total State 4,835,489 4,805,489 FY 2002 Recommendations Total State 5,363,630 5,333,630 2. Capitol Education Center 324,474 324,474 3. Archives and Records 4. Corporations 5,109,479 2,532,021 5,034,479 1,812,021 5,039,970 2,456,381 4,964,970 1,736,381 5. Securities 2,312,818 2,262,818 2,264,990 2,214,990 6. Elections and Campaign Disclosure 7. Drugs and Narcotics 8. State Ethics Commission 4,596,638 1,353,596 588,821 4,576,638 1,353,596 588,821 4,806,612 1,385,313 552,995 4,786,612 1,385,313 552,995 9. State Examining Boards 11,098,202 10,948,202 9,963,230 9,813,230 10. Georgia Commission on the Holocaust Total - Unit A 240,895 $32,667,959 240,895 $31,622,959 249,438 $32,407,033 249,438 $31,362,033 TOTAL APPROPRIATIONS $32,667,959 $31,622,959 $32,407,033 $31,362,033 RECOMMENDED APPROPRIATION: The Office of Secretary of State is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $31,362,033. 491 OFFICE OF SECRETARY OF STATE -- Financial Summary Unit B - Real Estate Commission Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Total Funds Less Federal & Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 1,354,401 138,475 13,231 27,391 2,717 170,085 124,966 269,537 153,452 $2,254,255 FY 2000 Expenditures 1,359,576 182,069 16,481 32,690 3,249 170,472 165,619 224,244 77,277 $2,231,677 FY 2001 Current Budget 1,431,003 175,000 18,000 10,000 170,085 144,000 318,945 69,400 $2,336,433 29,839 $29,839 $2,224,416 31 13 17,004 $17,004 $2,214,673 31 13 $2,336,433 31 13 FY 2002 Agency Requests Adjusted Base Enhancements Totals 10,335 915 $11,250 34,000 6,000 (56,600) 16,600 1,441,338 175,000 18,000 34,000 10,000 171,000 150,000 262,345 86,000 $2,347,683 $11,250 $2,347,683 31 13 492 OFFICE OF SECRETARY OF STATE -- Financial Summary Unit B - Real Estate Commission Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Total Funds FY 2001 Annualizers and Current Budget Adjustments 1,431,003 175,000 18,000 10,335 10,000 170,085 144,000 318,945 69,400 $2,336,433 915 $11,250 Less Federal & Other Funds: Other Funds Total Federal & Other Funds TOTAL STATE FUNDS $2,336,433 $11,250 Positions 31 Motor Vehicles 13 FY 2002 Governor's Recommendations Workload Adjusted Base 1,441,338 175,000 18,000 10,000 171,000 144,000 318,945 69,400 $2,347,683 Enhancements 34,000 6,000 (56,600) 16,600 $2,347,683 31 13 Totals 1,441,338 175,000 18,000 34,000 10,000 171,000 150,000 262,345 86,000 $2,347,683 $2,347,683 31 13 493 OFFICE OF SECRETARY OF STATE - UNIT B FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Provide for adjustments to personal services. ADJUSTED BASE 2,336,433 10,335 915 $2,347,683 ENHANCEMENT FUNDS ENHANCEMENTS REDIRECTS 1. Fund 2 alternative fuel vehicles ($34,000), telecommunications ($16,600), and per diem, fees and contracts ($6,000) to meet expenses. 2. Redirect funds from computer charges to fund expenses in motor vehicle purchases, telecommunications and per diem, fees and contracts. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS (56,600) 56,600 $2,347,683 RECOMMENDED APPROPRIATION: The Real Estate Commission is the budget units for which the following State Fund Appropriation is recommended for FY 2002: $2,347,683. 494 OFFICE OF SECRETARY OF STATE Roles and Responsibilities The Office of the Secretary of State (SOS) provides many services for the public, businesses, state agencies, and city and county governments. These services include: Licensing the practice of over 65 professions and registration of other activities; Election and voter registration, campaign finance disclosure; Business activity monitoring and enforcement of many financial regulations; Management and preservation of public records; and Educational programs on the Capitol. The Secretary of State, an elected official, is responsible for delivery of the above services, as well as the keeper of the Great Seal of Georgia and the custodian of the State flag. Through it's website, newsletters, pamphlets, and rules and regulations the office is the main source of information on Georgia history, law, government, officials, elections, and other subjects. The office is comprised of the Internal Administration, Archives and History, Elections and Campaign Disclosure, Corporations, Securities, State Professional Licensing Boards, and Capitol Education Center. The attached agencies are the Georgia Commission on the Holocaust, Georgia Drugs and Narcotics Agency, State Ethics Commission, and the Georgia Real Estate Commission and Appraisers Board. REGULATORY RESPONSIB ILITIES As a regulatory agency, the office offers education and examinations, issues licenses, collects fees for licenses, investigates complaints or violations of the law and orders reprimands. The Securities Division is responsible for regulating securities, and has the authority, to adopt necessary rules to monitor the securities industry, including registration of brokers and securities. The division registers cemeteries and audits perpetual care trusts and regulate perpetual care cemeteries, charitable organizations and paid solicitors. The Corporation Division regulates foreign and domestic charters, nonprofit organizations and other types of corporate entity activities. In addition, the division registers and renews trademarks and servicemarks. The Professional Licensing Boards Division manages 35 occupational and professional regulatory boards. The duties include reviewing and approving applications to practice, scheduling examinations, issuing licenses, maintaining records, investigating violations and resolution of complaints. The Georgia Drugs and Narcotics Agency supports the Georgia Board of Pharmacy enforces State laws governing controlled substances, poisons, and the sale and distribution of these drugs by licensed registrants. The agency performs inspections and investigations of pharmacies. The agency is also responsible for the destruction of expired and outdated controlled substances The Real Estate Commission is regulates real estate brokers and salespersons and provides adminis trative support for a board, which administers the Real Estate Appraiser Licensing and Certification Act. STATE ELECTIONS ACTIVITY The Office of the Secretary of State monitors all activity related to officials and elections, including registration and investigation. The Elections Division's primary function is to perform all activities related to federal, state, county and municipal elections and campaign and financial disclosure, including authorization of election results. The State Ethics Commission is granted the authority to administer the Ethics in Government Act to ensure integrity of the democratic process. As part of the requirements, lobbyists and officials are mandated to submit financial and expenditure disclosure statements. . MANAGEMENT OF PUBLIC RECORDS Under the law, the Secretary of State is responsible for the management of public records. The Division of Archives and History collects, manages, and preserves official records of Georgia from 1732 to the present. The Division administers the state records management program under the direction of the State Records Committee, Chaired by the Secretary of State and a record center for the storage and maintenance of non-permanent records of state agencies. The Division coordinates the work of the Georgia Historical Records Advisory Board (GHRAB), the official advisory body for historical records planning in Georgia. The Georgia Historical Society administers the operations of Division's branch depository in Savannah. EDUCATIONAL PROGRAMS The Capitol Education Center provides tours of the Capitol and serves as an education center for visitors. The center holds public events throughout the year and is a focal point for informing citizens about the legislative process during the annual sessions of the General Assembly. Within the Internal Administration Division, are the general administrative support functions of accounting, purchasing, budgeting, human resources and information technology, as well as two non-internally focused activities: The Administrative Procedures Section is responsible for administrating the rules promulgation process pursuant to the Administrative Procedures Act for the State; and The Georgia Capitol Museum. AUTHORITY Titles 10, 14, 21, 28, 43, 44, 45 of the Official Code of Georgia; Public Law 93-443, 1993; Resolution Act 11, Georgia Laws 1993. 495 OFFICE OF SECRETARY OF STATE Strategies and Services NEW STATE OFFICE OF CITIZENSHIP ASSISTANCE Governor Barnes has included $100,000 in the FY 2002 Budget in initial funding for the Office of Citizenship. This office will assist persons who are not citizens of this country in obtaining their American citizenship. The staff will be trained in immigration and citizenship matters. Through this center, Georgia's expanding immigrant population will get assistance to attain the citizenship status required to participate fully in Georgia's future. PROFESSIONAL LICENSING BOARDS The State Professional Licensing Boards Division provides administrative and investigative support to 35 licensing boards through a centralized location and staff. The boards regulate more than 700,000 licensees throughout the state. They play an integral role in consumer protection by regulating professionals and investigating violations of state law. In FY 2000, the Professional Licensing Boards Division relocated to a facility in Macon. Within the next year, the Boards anticipate a move to being fully integrated into web and electronic commerce activities. These new capabilities are expected to demonstrate again the abilities of technology and management to improve efficiency and customer services. Governor Barnes funded $2 million in the Amended FY 2001 Budget to complete design and to fully rehabilitate an existing building at the Macon facility to serve as a testing center. The FY 2002 budget includes $150,000 for 4 positions to receive applications for licensees and requests from citizens for services from the boards. This service is expected to expand and improve customer service through a central intake center. REAL ESTATE COMMISSION The Georgia Real Estate Commission is the primary agency for licensing and regulating the real estate brokerage profession and administering support for the Georgia Real Estate Appraisers Board. In order to serve its licensees more efficiently, regulated entities can renew licenses over the Internet. Programs are in development that will allow licensees to process other applications via the Internet. In addition, the commission has a web site with available newsletters, applications and status information. A visitor to the site is able to print applications and licensing requirements. To assure cost-efficient administration, high quality, and fairness in all qualifying examinations, the commission contracts for the development and administration of examinations for all real estate licensee and appraiser applicants. Another service is instant grading of qualifying examinations. Tests are given via computer, and the licensee receives the results on the day of the examination. The commission offers applicants the option of receiving their licenses at the test centers the same day they successfully complete the licensing examination. STATE ETHICS COMMISSION In furtherance of the state's responsibility to protect the integrity of the Democratic process and to ensure fair elections, the Commission oversees Campaign Finance Disclosure and Personal Financial Disclosure for an estimated 6,000 public offices of the state, county and municipal governments in Georgia. The commission is charged with registration of lobbyists at both state and local levels of government, and the commission receives and maintains lobbyist disclosure reports filed by all registered lobbyists. The commission is also charged with vendor disclosure for the State of Georgia for those vendors who meet the requirements for filing. Vendor reports are received and maintained and penalties for late filing are collected. INFORMATION TECHNOLOGY The information technology plan addresses the need for substantial upgrades of systems to meet the needs of customers. Existing systems and business procedures throughout the office are being enhanced to improve their function and being changed to lower costs and improve performance in delivering information to the taxpayer. Through the improvements being made in systems, the office will be able to: Provide prompt service; Transmit an accurate response to external users such as governmental agencies and members of the public; Allow electronic access and filings to the systems by the public; Accept electronic payments for fees and fines; and Post-public information. Objectives for FY 2002 are to enable customers of the agency to conduct business and use information by improving both traditional and electronic means of access. Efforts aim toward coordinated internal processes, maximize use of technology and continue to evaluate physical relocation of operations. Initiatives will focus on finding ways to move services closer to the taxpayer at less cost, increase opportunities for the agency to utilize e-commerce in transactions between citizens over the Internet, and expand use of digital imaging and electronic communication for the transfer of information among agencies and to the public. 496 OFFICE OF SECRETARY OF STATE - UNIT A Results-Based Budgeting VOTER REGISTRATION AND ELECTIONS Purpose: To assure fair and honest elections throughout the state and to provide for every eligible person to register to vote. Goal 1: The election process in Georgia will be fair and FY 2000 FY 2000 FY 2001 FY 2002 equitable. Desired Actual Desired Desired - Ensure the 100% of all reported irregularities in elections N/A [1] 100% N/A 100% and voter registration are investigated. (Activity measure). - Increase the number of qualified persons on the voter list. 4,623,803 4,474,686 4,854,993 4,698,420 Program Fund Allocation -- Total Funds State Funds Notes 1 - Data was not collected for this measure in previous years. $4,598,822 $4,596,638 $4,480,268 $4,576,638 $4,806,612 $4,786,612 INFORMATION SERVICES - ARCHIVES Purpose: To identify and ensure the survival and accessibility of government and other information Protect the public by Goal 1: Citizens and government will have timely access FY 2000 FY 2000 FY 2001 FY 2002 to essential information. Desired Actual Desired Desired - The percentage of written inquiries for information 100% 100% 100% 100% answered with in ten working days will remain at 100%. [1] (5,000) (4,807) (5,000) (5,500) - The percentage of on-site researchers who will get 100% 100% 100% 100% immediate reference assistance will remain at 100%. [1] (14,000) (13,046) (14,000) (14,000) Goal 2: State agency records will be stored and available at the State Records Center. - The percentage of requests for records storage satisfied at 100% 100% 100% 100% the State Records Center will remain at 100%. (145,000) (151,322) (150,000) (155,000) Program Fund Allocation -- Total Funds $5,137,270 $5,109,479 $5,039,970 State Funds $4,907,807 $5,034,479 $4,964,970 Note: 1. Activity measure. CORPORATIONS Purpose: Facilitate commerce by reviewing, filing and maintaining documents regarding corporations, limited partnerships, limited liability companies, trademarks and service of process. Goal 1: All filings by will be reviewed and comply with FY 2000 FY 2000 FY 2001 FY 2002 GA law. Desired Actual Desired Desired - The number of filings that will be certified within 2 business days in FY 2002.(Activity measure) 44 75 50 N/A Program Fund Allocation -- Total Funds $2,272,762 $2,532,021 $2,456,381 State Funds $1,552,762 $1,812,021 $1,736,381 497 OFFICE OF SECRETARY OF STATE - UNIT A -- Results-Based Budgeting SECURITIES - REGISTRATION AND REGULATION [1] Purpose: To protect the citizens of Georgia from fraud and economic loss resulting from violations in the areas of perpetual care cemeteries, charitable solicitations and securities investments. Goal 1: Ensure that all regulated organizations follow FY 2000 FY 2000 FY 2001 FY 2002 Georgia law and no citizens are victims of fraud. Desired Actual Desired Desired - Conduct routine inspections of registered perpetual care 110 112 110 112 cemeteries (Activity measure). - Increase the number of program inspection of charitable 110 111 115 117 organizations. (Activity measure). - Increase the number of annual inspections of in-state 110 112 115 117 investment advisor firms and instate broker dealer firms. - Review and initiate appropriate action on 82% of citizen 82% 84% 82% 510 complaints of violations of securities law within 15 days of (508) (508) (508) the receipt of a complaint. (Activity measure.) Program Fund Allocation -- Total Funds $2,056,833 $2,312,818 $2,264,990 State Funds $2,006,833 $2,262,818 $2,214,990 Notes 1 - All of the measures used by the Securities Division are activity measures, they are not outcome-based results. ATTACHED AGENCIES GEORGIA DRUGS AND NARCOTICS AGENCY REGULATION OF DRUGS AND NARCOTICS Purpose: To protect the health , safety and welfare of the general public by providing an enforcement presence to oversee all laws and regulations pertaining to dangerous drugs and controlled substances. Goal 1: Law enforcement agencies, health care FY 2000 FY 2000 FY 2001 FY 2002 professionals, and the public will have access to technical Desired Actual Desired Desired expertise relating to dangerous drugs and controlled substances. - 90% of law enforcement agencies that use the Drug and 90% 90% 90% 95% Narcotic Agencies' services will rate their service as satisfactory in FY 2002. [1] Program Fund Allocation -- Total Funds $1,376,632 $1,353,596 $1,385,313 State Funds $1,376,632 $1,353,596 $1,385,313 Notes 1. Data collected via a survey. 498 OFFICE OF SECRETARY OF STATE - UNIT A -- Results-Based Budgeting STATE ETHICS COMMISSION DISCLOSURE LAW ENFORCEMENT Purpose: Ensure compliance by candidates, public officials, lobbyists and vendors with Georgia's campaign and financial disclosure requirements, public official conduct requirements and lobbyist disclosure requirements. Goal 1: Ensure compliance with laws regulating FY 2000 FY 2000 FY 2001 FY 2002 lobbyists and vendors. Desired Actual Desired Desired - 100%of all lobbyist disclosure reports will be available for 100% 100% 100% 100% public review within 4 days of receipt in FY 2002. (Activity measure.) - Ensure prompt action will be taken on alleged violations. N/A [1] N/A N/A N/A (Activity measure) Program Fund Allocation -- Total Funds $358,998 $588,821 $552,995 State Funds $358,531 $588,821 $552,995 Notes 1 - This measure will be reworked for the FY 2003 Budget Report. EXAMINING BOARDS OCCUPATIONAL REGULATION Purpose: To enhance the health, safety and welfare of the public through professional occupational regulation. Goal 1: Individuals who practice in regulated professions will comply with standards. - Decrease the number of previously sanctioned licensees who are sanctioned for additional violations by a regulatory board. Program Fund Allocation -- Total Funds State Funds Notes 1 - Data is not available for this measure. FY 2000 Desired N/A [1] FY 2000 Actual N/A FY 2001 Desired N/A $9,611,762 $11,098,202 $8,887,816 $10,948,202 FY 2002 Desired N/A $9,963,230 $9,813,230 Other Activities Total Funds State Funds $6,075,665 $5,076,384 $5,563,288 $5,046,384 $5,937,542 $5,907,542 TOTAL - All Programs Total Funds State Funds $31,488,744 $32,667,959 $29,133,937 $31,622,959 $32,407,033 $31,362,033 499 OFFICE OF SECRETARY OF STATE - UNIT B -- Results-Based Budgeting REAL ESTATE APPRAISERS BOARD REGULATION OF BROKERS AND APPRAISERS Purpose: To protect individuals involved in real estate transactions by regulating real estate brokers and real estate appraisers. Goal 1: Real estate brokers and appraisers will be FY 2000 FY 2000 FY 2001 FY 2002 qualified and provide competent service. Desired Actual Desired Desired - Findings of negligence (does not include findings of 25% 29.3% 25% 25% dishonesty) will occur in no more than 33% of all completed (400) (380) (400) (400) investigations. - Georgia's passing rates on the qualifying examinations will Within 5 8.8% Within 5 Within 5 points be within 5 points of the average passing rates of other points Above points states giving the same examinations; thereby ensuring the persons passing them meet the standards set by law. Goal 2: Respond promptly to requests from applicants, licensees and the public for information and materials. - 90% of applicants, licensees and the public requesting 90% N/A [1] 90% 90% information or materials during FY 2002 will report the staff provided useful and complete information. - Staff will respond to all applicants, licensees and the public's 2002 requests for additional information within guidelines as follows: --Telephone customers who reach a staff member directly 80% 82.7% 80% 80% -- Telephone customers who leave a voice mail and are 20% 17.3% 20% 20% responded to within two hours. -- Requests for applications that are filled within one 95% 99.0% 95% 95% business day. -- Requests for written responses responded to within two 95% 99.0% 95% 95% business days -- Completed applications will be completed within 5 95% 94.3% 95% 95% business days Program Fund Allocation -- Total Funds $2,231,678 $2,336,433 $2,347,683 State Funds $2,214,674 $2,336,433 $2,347,683 Notes 1 - Data not available until 2001. TOTAL - All Programs Total Funds State Funds $2,231,678 $2,336,433 $2,214,674 $2,336,433 $2,347,683 $2,347,683 500 STATE SOIL AND WATER CONSERVATION COMMISSION Total Budgeted Positions -- 31 State Soil and Water Conservation Commission Executive Director 2 Administration and Support Division 9 District Programs Division 20 501 STATE SOIL AND WATER CONSERVATION COMMISSION Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications County Conservation Grants Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 1,364,196 243,532 40,609 36,363 13,106 118,620 659,857 26,125 26,002 99,842 $2,628,252 FY 2000 Expenditures 1,500,016 348,995 42,753 30,729 13,052 118,512 601,951 24,600 27,146 86,000 $2,793,754 FY 2001 Current Budget 1,561,926 300,900 40,515 64,741 14,033 123,852 1,055,702 12,128 27,195 87,000 $3,287,992 411,194 56,311 $467,505 $2,160,747 29 13 468,792 74,980 $543,772 $2,249,982 30 15 761,293 159,000 $920,293 $2,367,699 31 16 FY 2002 Agency Requests Adjusted Base Enhancements Totals 1,579,690 247,008 42,034 36,140 18,473 133,371 862,747 12,128 30,615 86,000 $3,048,206 35,285 6,423 15,100 9,905 3,725 1,260 $71,698 1,614,975 253,431 42,034 51,240 18,473 133,371 872,652 15,853 31,875 86,000 $3,119,904 476,405 164,000 $640,405 $2,407,801 31 16 $71,698 1 1 476,405 164,000 $640,405 $2,479,499 32 17 502 STATE SOIL AND WATER CONSERVATION COMMISSION Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications County Conservation Grants Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 1,561,926 300,900 40,515 64,741 14,033 123,852 1,055,702 12,128 27,195 87,000 $3,287,992 17,513 (53,892) 1,519 (28,601) 4,440 9,519 (192,955) 3,420 (1,000) ($240,037) 761,293 159,000 $920,293 $2,367,699 31 16 (284,888) 5,000 ($279,888) $39,851 FY 2002 Governor's Recommendations Workload Adjusted Base 1,579,439 247,008 42,034 36,140 18,473 133,371 862,747 12,128 30,615 86,000 $3,047,955 Enhancements 2,070 6,628 $8,698 476,405 164,000 $640,405 $2,407,550 31 16 $8,698 Totals 1,579,439 249,078 42,034 36,140 18,473 133,371 869,375 12,128 30,615 86,000 $3,056,653 476,405 164,000 $640,405 $2,416,248 31 16 503 STATE SOIL AND WATER CONSERVATION COMMISSION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Transfer funds among common object classes to allow for increase in operating expenses. ADJUSTED BASE 2,367,699 11,196 28,655 Yes $2,407,550 ENHANCEMENT FUNDS ENHANCEMENTS 1. Provide funding for additional district supervisor election holders ($6,628) and for election legal ads ($2,070) to allow for scheduled elections. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 8,698 $8,698 $2,416,248 504 STATE SOIL AND WATER CONSERVATION COMMISSION Functional Budget Summary 1. Commission and District Administration FY 2001 Appropriations Total State 1,034,370 873,542 FY 2002 Recommendations Total State 994,086 915,681 2. District and Regional Office 2,253,622 1,494,157 2,062,567 1,500,567 TOTAL APPROPRIATIONS $3,287,992 $2,367,699 $3,056,653 $2,416,248 RECOMMENDED APPROPRIATION: The Soil and Water Conservation Commission is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $2,416,248. 505 STATE SOIL AND WATER CONSERVATION COMMISSION Roles and Responsibilities The State Soil and Water Conservation Commission was established to ensure that Georgia's soil and water resources are protected. The commission's primary responsibilities include: Overseeing the administration of the commission. Coordinating Georgia's 40 Soil and Water Conservation Districts. Providing educational programs on the conservation of state soil and water resources. Developing and implementing conservation programs. Reviewing and approving watershed projects under the Watershed Protection and Flood Prevention Act. Assisting and guiding districts and other entities with provisions of the Erosion and Sedimentation Act of 1975. Providing information on the prevention of agricultural non-point pollution. In FY 1999, the commission conducted 52 erosion and sediment control workshops, and was successful in preventing the erosion of over 1.1 million tons of soil through its conservation programs. The commission reviewed 8,943 erosion control plans under the Erosion and Sedimentation Act of 1975. Overall, 706,785 acres of Georgia land received conservation treatment. Commission members are appointed by the Governor to serve 5 year terms. There are 5 commission members in all, 1 of whom is designated chairman. Commission members act in an advisory capacity to guide and direct commission activities. The commission is divided into 2 divisions. THE COMMISSION AND DISTRICT ADMINISTRATION This division is responsible for ensuring that the policies and programs of the commission are carried out. Its activities include providing administrative, clerical and limited technical support to the 40 State Conservation Districts and their 370 district supervisors. DISTRICT REGIONAL AND OFFICE OPERATIONS This division is primarily responsible for providing field support to districts; providing technical assistance to landowners and governmental units; reviewing erosion and sediment control plans submitted for land-disturbing activities; and assisting groups and individuals in urban and rural settings in applying conservation practices. The division also provides demonstration projects, tours, and seminars on recycling, composting, agricultural non-point pollution, and other conservation practices. AUTHORITY Title 2 of the Official Code of Georgia Annotated. 506 STATE SOIL AND WATER CONSERVATION COMMISSION Strategies and Services Georgia's total area consists of roughly 36.7 million acres of land and 1 million acres of water. The programs and services provided by the Soil and Water Conservation Commission help protect Georgia's landscape and ensure that it remains a valuable resource to its inhabitants. Increased urban and rural development, coupled with environmental concerns, necessitates the state's efforts to conserve its natural resources. Developing and implementing conservation practices are the basis for most of the commission's programs and services. Commission technicians provide assistance to landowners and local governments, review erosion control plans, and protect soil by using resource management systems. RESOURCE SPECIALIST PROGRAM The Resource Specialist program was begun in FY 1997 to replace the County Conservation Grant program, which had been established in 1987 to help federal farm aid recipients meet the requirements of the 1985 Food Security Act. When the County Conservation Grant program successfully met its original goals in 1995, the commission envisioned the Resource Specialist program as a more cost-effective way to provide statewide technical assistance. In FY 1997 and FY 1998, 3 resource specialist positions were funded to assist with conservation work in the commission's Rome, Statesboro, and Milledgeville regional offices. In FY 1999 and FY 2000, funds were provided to create the last 3 positions in the commission's Atlanta, Albany, and Athens regional offices. The 6 specialists now review erosion and sediment control plans, respond to erosion and sediment control complaints, assist with implementing waste management plans, and provide technical support to the commission's regional representatives. WATERSHEDS The Soil and Water Conservation Districts are sponsors on many of Georgia's Category I (failure may cause loss of life) Watershed Dams, constructed under the U.S. Department of Agriculture's Flood Retardation programs. County or city governments sometimes cosponsor these structures with the district. These dams may have been built in rural areas to the lesser requirements of Category II structures. However, rapidly expanding urbanization into these areas now requires that the structures be upgraded to meet Category I standards. Since 1991, the Soil and Water Conservation Commission and U.S. Natural Resource Conservation Service have been working with the districts, EPD Safe Dams personnel, and local units of government to bring these Category I dams into compliance with the Safe Dams Act. Estimates for maintenance and minor repairs range from $700 to $50,000 per dam. Of the 139 district sponsored structures identified as requiring maintenance upgrades, 26 are now complete, and an additional 83 are under contract with the appropriate local government entity. Once maintenance upgrades are complete, a dam is turned over to local governments to maintain. The cost of major upgrades ranges from $300,000 to $1.5 million per dam. Most dams require detailed hydrologic evaluations, and some require extensive design for major structural upgrades. Two previous bond issues totaling $3.84 million have been dedicated to these structural upgrades. Of the 26 dams identified as needing major structural upgrades, construction has been completed on 2. The next 7 priority dams are in various pre-construction phases and will soon be ready to upgrade. The Amended FY 2001 Budget recommends $3,640,000 in general obligation bonds for major structural upgrades to these watershed structures. These funds, along with previous bond issues, will complete construction on an additional 5 watershed structures. EROSION AND SEDIMENT CONTROL Damage from urban erosion is difficult to assess. While figures are not widely available, erosion from denuded construction sites on Georgia soils can exceed 200 tons of topsoil per acre per year. In 1975, the Erosion and Sedimentation Control Act was passed to control serious soil erosion from development sites. The act requires that all cities and counties adopt erosion and sediment control ordinances. Conservation districts review the erosion and sediment control plans submitted by these cities and counties. Together, the districts and agency staff reviewed 8,561 such plans in FY1998, 8,943 in FY1999 and in excess of 9,000 plans in FY 2000. The commission is involved in other activities as well. The agency employs 1 program manager and a staff of 3 erosion and sediment control specialists who conduct training programs, assist counties with ordinance updates, and conduct seminars. An education coordinator position funded for FY 2001 will coordinate the growing demand for the agency's education efforts. The Handbook for Erosion and Sediment Control produced by the agency is an accepted reference standard for erosion and sedimentation implementation in Georgia. The Commission's long-range goal is to reduce erosion on urban and rural lands as much as possible to a point equal or less than the rate at which new soil is formed, which is about 5 tons per acre per year. 507 STATE SOIL AND WATER CONSERVATION COMMISSION Results-Based Budgeting SOIL CONSERVATION Purpose: Conserve and protect soil, water and related natural resources by encouraging the application of proper soil erosion and sedimentation practices. Goal 1: Maintain the amount of soil lost on pasture and forest FY 2000 FY 2000 FY 2001 FY 2002 lands at an acceptable level. Desired Actual Desired Desired - Maintain soil loss on pasture lands to less than 0.5 tons per acre average. .50 tons/acre .40 tons/acre .50 tons/acre .50 tons/acre Goal 2: The amount of soil lost as a result of land-disturbing activities will be reduced. - Fewer tons of agricultural soil will be lost due to implementation 1 million 1 million .60 million .60 million of best management practices. fewer tons fewer tons fewer tons fewer tons Goal 3: Increase the number of cropland acres that meet tolerable levels of soil loss. - 1.75% fewer acres of cropland will exceed tolerable levels of soil loss in FY 2001, as compared with 1.70% in FY 2000. 1.75% 1.70% 1.75% 1.75% Goal 4: Georgia's farmers will voluntarily implement best management practices. - The percentage of Georgia's 40,000 farmers who will voluntarily 3.0% implement best management practices to reduce soil erosion will > 2.75% (1,185 of > 3.0% > 3.0% remain above 5% in FY 2001 and FY 2002. 40,000) Goal 5: Local government authorities will adopt erosion and sediment control ordinances in accordance with Erosion and Sedimentation Act of 1975, as amended. - The commission will provide a consistent level of training and program overviews on erosion and sediment control to the 692 local government authorities in FY2001 and FY2002. 5.0% 6.6 % (46 of 692) > 5.0% > 5.0% Program Fund Allocation -- Total Funds $2,335,815 $2,812,071 $2,554,836 State Funds $1,792,043 $1,891,778 $1,914,431 WATERSHED DAM MODIFICATION AND COMPLIANCE Purpose: To ensure that all 350 soil and water conservation district sponsored watershed dams are in compliance with the Georgia Safe Dams Act of 1978, as amended, to protect downstream people and infrastructure. Goal 1: Bring all 139 watershed dams which would cause loss of human life upon failure (Category 1) into compliance with the Georgia Safe Dams Act by 2025. - Decrease the number of non-compliant Category 1 watershed structures below 80% in FY 2001 and FY 2002. FY 2000 Desired < 80% FY 2000 Actual 81.3% FY 2001 Desired < 80% FY 2002 Desired < 80% Program Fund Allocation -- Total Funds State Funds $457,939 $457,939 $475,921 $475,921 $501,817 $501,817 TOTAL - All Programs Total Funds State Funds $2,793,754 $3,287,992 $3,056,653 $2,249,982 $2,367,699 $2,416,248 508 GEORGIA STUDENT FINANCE COMMISSION Total Budgeted Positions -- 8 Georgia Student Finance Commission Board of Directors Georgia Student Finance Georgia Higher Education Authority Assistance Corporation Attached for Administrative Purposes Only Nonpublic Postsecondary Education Commission 8 Legislative Liaison Internal Auditor Executive Director Deputy Executive Director Administrative Assistant Accounting Services Division Budget/Administrative Division Communications Division Guaranteed Loans Division State Loans Division Human Resources Division Information Services Division Scholarships and Grants Division 509 GEORGIA STUDENT FINANCE COMMISSION - Financial Summary Unit A - Georgia Student Finance Commission Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts Guaranteed Educational Loans Tuition Equalization Grants Student Incentive Grants LEPD Grants North Georgia College ROTC NGC Graduates Scholarship Osteopathic Medical Loans Georgia Military Scholarship Work Incentive for Students LEAP Program Governor's Scholarship Program TOTAL STATE FUNDS 488,041 20,921 10,887 4,187 25,937 50,576 8,991 90,122 4,510,455 25,749,053 500,000 86,000 337,500 68,500 100,000 808,368 540,750 $33,400,288 Positions 8 FY 2000 Expenditures 448,207 19,323 15,529 5,241 19,818 51,085 11,573 61,805 4,610,455 27,372,520 FY 2001 Current Budget 542,191 26,355 21,257 6,300 20,233 50,438 13,691 46,706 4,669,455 27,886,156 81,700 320,625 65,075 95,000 127,049 513,712 68,000 337,500 60,500 40,000 739,412 513,712 $33,818,717 8 $35,041,906 8 FY 2002 Agency Requests Adjusted Base Enhancements Totals 565,819 26,355 21,257 6,300 20,233 50,438 13,691 46,706 4,669,455 28,164,150 460 2,177 (800) 228,152 804,690 565,819 26,815 21,257 6,300 20,233 52,615 12,891 46,706 4,897,607 28,968,840 70,300 376,960 61,750 40,000 552,245 513,712 70,300 376,960 61,750 40,000 552,245 513,712 $35,199,371 8 $1,034,679 $36,234,050 8 510 GEORGIA STUDENT FINANCE COMMISSION - Financial Summary Unit A - Georgia Student Finance Commission Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts Guaranteed Educational Loans Tuition Equalization Grants Student Incentive Grants LEPD Grants North Georgia College ROTC NGC Graduates Scholarship Osteopathic Medical Loans Georgia Military Scholarship Work Incentive for Students LEAP Program Governor's Scholarship Program TOTAL STATE FUNDS 542,191 26,355 21,257 6,300 20,233 50,438 13,691 46,706 4,669,455 27,886,156 68,000 337,500 60,500 40,000 739,412 513,712 $35,041,906 23,628 (513,712) 1,013,712 3,693,967 $4,217,595 Positions 8 FY 2002 Governor's Recommendations Workload 277,994 Adjusted Base 565,819 26,355 21,257 6,300 20,233 50,438 13,691 46,706 4,669,455 28,164,150 Enhancements 460 2,177 (800) 228,152 Totals 565,819 26,815 21,257 6,300 20,233 52,615 12,891 46,706 4,897,607 28,164,150 2,300 39,460 1,250 (187,167) 70,300 376,960 61,750 40,000 552,245 70,300 376,960 61,750 40,000 552,245 $133,837 1,013,712 3,693,967 $39,393,338 $229,989 1,013,712 3,693,967 $39,623,327 8 8 511 GEORGIA STUDENT FINANCE COMMISSION - UNIT A FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. Other Adjustments: 3. Delete lapse factor to hire NPEC Executive Director. 4. Transfer Governor's Scholarship Program from the Department of Education 5. Eliminate the Work Incentive for Students. 6. Provide funding for the Leveraging Educational Assistance Partnership Program (LEAP), which will be matched dollar for dollar with federal funds. Workload: 7. Increase funding for Tuition Equalization Grants. 8. Increase funding for LEPD Grants. 9. Increase funding for North Georgia ROTC Grants. 10. Increase North Georgia College Graduates Military Scholarships. 11. Decrease North Georgia College Military Scholarships. ADJUSTED BASE $35,041,906 4,253 1,920 17,455 3,693,967 (513,712) 1,013,712 277,994 2,300 39,460 1,250 (187,167) $39,393,338 ENHANCEMENT FUNDS ENHANCEMENTS 1. Increase regular operating expenses and real estate rentals, and decrease telecommunications for the Nonpublic Postsecondary Education Commission. 2. Provide 76 additional Nursing Service Cancelable Loans to assist a total of 353 students. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 1,837 228,152 $229,989 $39,623,327 512 GEORGIA STUDENT FINANCE COMMISSION - Financial Summary Unit A - Georgia Student Finance Commission FY 2001 Appropriations Total State FY 2002 Recommendations Total State 1. Georgia Student Finance Authority 34,314,735 34,314,735 38,870,691 38,870,691 2. Nonpublic Postsecondary Education Commission TOTAL APPROPRIATIONS 727,171 $35,041,906 727,171 $35,041,906 752,636 $39,623,327 $752,636 $39,623,327 RECOMMENDED APPROPRIATION: The Georgia Student Finance Commission - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $39,623,327. 513 GEORGIA STUDENT FINANCE COMMISSION - Financial Summary Unit B - Georgia Student Finance Commission Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources HOPE - Tuition HOPE - Books HOPE - Fees HOPE - Private Colleges Tuition Equalization Grants GMC Scholarship Public Safety Grants HOPE Teacher Scholarships PROMISE Scholarship PROMISE II Scholarship Engineer Scholarships Pell Grant Offset TOTAL LOTTERY FUNDS FY 1999 Expenditures 99,263,134 31,927,663 22,585,605 27,776,791 6,380,141 579,179 197,626 3,500,000 893,350 429,000 $193,532,489 FY 2000 Expenditures 115,354,529 36,559,837 27,177,878 35,340,793 613,330 210,311 3,500,000 835,200 516,500 $220,108,378 FY 2001 Current Budget 112,874,779 31,591,018 18,958,716 33,311,070 FY 2002 Agency Requests Adjusted Base Enhancements Totals 160,281,518 35,050,600 40,034,731 38,108,750 728,600 2,300,000 300,000 161,010,118 35,050,600 42,334,731 38,408,750 839,784 232,330 3,500,000 975,000 600,000 23,000,000 $225,882,697 663,960 238,968 3,500,000 1,792,000 932,666 660,000 $281,263,193 663,960 238,968 3,500,000 1,792,000 932,666 660,000 $3,328,600 $284,591,793 514 GEORGIA STUDENT FINANCE COMMISSION - Financial Summary Unit B - Georgia Student Finance Commission Current Budget and Governor's Recommendations Budget Classes/Fund Sources HOPE - Tuition HOPE - Books HOPE - Fees HOPE - Private Colleges Tuition Equalization Grants GMC Scholarship Public Safety Grants HOPE Teacher Scholarships PROMISE Scholarship PROMISE II Scholarship Engineer Scholarships Pell Grant Offset TOTAL LOTTERY FUNDS FY 2001 Annualizers and Current Budget Adjustments 112,874,779 31,591,018 18,958,716 33,311,070 18,930,287 4,069,713 839,784 232,330 3,500,000 975,000 600,000 23,000,000 $225,882,697 (23,000,000) $0 FY 2002 Governor's Recommendations Workload 16,553,586 3,459,582 17,006,302 Adjusted Base 148,358,652 35,050,600 40,034,731 33,311,070 Enhancements 300,000 Totals 148,358,652 35,050,600 40,034,731 33,611,070 (175,824) 6,638 817,000 932,666 160,000 663,960 238,968 3,500,000 1,792,000 932,666 760,000 663,960 238,968 3,500,000 1,792,000 932,666 760,000 $38,759,950 $264,642,647 $300,000 $264,942,647 515 GEORGIA STUDENT FINANCE COMMISSION - UNIT B FY 2002 Budget Summary LOTTERY FUNDS Governor's Recommendations LOTTERY PROGRAM 1. Distribute the $23,000,000 Pell Offset amongst HOPE Tuition and Fees. 2. Provide funding for the HOPE Scholarship program at public colleges and technical institutions, including a $37,019,470 increase over last year. 3. Allow rising seniors at private colleges to regain HOPE ($300,000). 4. Provide funding for the HOPE Private College Scholarships. 5. Provide funding for the Georgia Military College Service Scholarships. 6. Provide funding for Public Safety Memorial Grants. 7. Provide funding for HOPE Teacher Scholarships. 8. Provide for PROMISE Scholarships, including an increase of $817,000 due to changing the GPA requirement from 3.6 to 3.2. 9. Provide funding to continue PROMISE II Scholarships to assist teacher's aides in becoming certified teachers. 10. Provide funding to increase the Engineer Scholarships from $3,000 to $3,500, and to increase the number of scholarships from 200 to 220. Yes 223,443,983 Yes 33,611,070 663,960 238,968 3,500,000 1,792,000 932,666 760,000 TOTAL LOTTERY FUNDS $264,942,647 RECOMMENDED APPROPRIATION: The Georgia Student Finance Commission - Unit B is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $264,942,647. 516 GEORGIA STUDENT FINANCE COMMISSION Roles and Responsibilities The Georgia Student Finance Commission was created to help improve the higher education opportunities of the citizens of this state by administering the programs of the Georgia Higher Education Assistance Corporation and the Georgia Student Finance Authority through a centralized staffing arrangement. COMMISSION OPERATIONS The commission serves as the executive branch agency designated to receive appropriations of funds for the student financial aid programs of the corporation and the authority. Those programs funded through the commission include the Helping Outstanding Pupils Educationally (HOPE) Scholarship Program, other educational scholarship and grant programs supported by both lottery proceeds and state general fund appropriations, and the Governor's Scholarship Program for the Department of Education. GEORGIA HIGHER EDUCATION ASSISTANCE CORPORATION The Georgia Higher Education Assistance Corporation is a nonprofit public corporation of the state and is responsible for administering a program of guaranteed educational loans to eligible students and parents in accordance with state law and the requirements of the Federal Higher Education Loan Act. In FY 2000, the corporation guaranteed over 69,775 new loans for eligible students and parents. The value of those loans exceeded $238 million. Purchases of defaulted loans totaled over $29 million. Approximately $21 million was recovered from loans that were purchased and placed in the default collection process. GEORGIA STUDENT FINANCE AUTHORITY The Georgia Student Finance Authority, a nonprofit public corporation of the state, is responsible for providing student financial aid to eligible Georgians through loan, scholarship and grant assistance programs as prescribed by the General Assembly. In FY 2000, the authority disbursed over $33 million in state general funds and agency revenues for over 31,000 students and over $214,500,000 in HOPE Scholarship and other lottery funded grant and scholarship programs for over 141,000 students. The authority is also authorized to be a lender under the Georgia Higher Education Loan Program. In FY 2000, over $52 million in student loans were originated by the authority and the total value of loans serviced exceeded $335 million. The authority has the responsibility of performing all management, supervisory, clerical and administrative functions required by the corporation and the commission. The authority also provides administrative and operational support services, at no state cost, to the Georgia Nonpublic Postsecondary Education Commission (NPEC), which is attached for administrative purposes. ATTACHED AGENCY The Georgia Nonpublic Postsecondary Education Commission is responsible for regulating private postsecondary schools operating in this state in order to protect the financial investments of Georgians participating in their programs. AUTHORITY O.C.G.A. 20-3-230 et.seq., 20-3-250 et.seq., 20-3-260 et.seq. and 20-3-310 et.seq. 517 GEORGIA STUDENT FINANCE COMMISSION Strategies and Services The continued growth and development of Georgia is directly related to the degree to which educational opportunities are provided to all citizens. It is in the public interest to sustain our public and private postsecondary institutions because of their value in promoting the economic and cultural development and prosperity of Georgians. The Georgia educational loan program was created to both expand educational opportunities available to all Georgians and to ensure the continued economic viability of our postsecondary institutions. In addition to administering the Federal Family Education Loan Program (FFELP), Georgia also provides state funds to support service-cancelable loans and a variety of scholarship and grant programs. FEDERAL FAMILY EDUCATION LOAN PROGRAM The Georgia Higher Education Assistance Corporation administers federally guaranteed education loan programs. Through these programs, participating commercial lenders, as well as the Georgia Student Finance Authority, make educational loans to students and the parents of students who need financial assistance to continue their education after high school. For these loans, the corporation serves as the "guarantor" to the lenders. If for any reason the borrower does not repay the lending institution, the corporation pays the lender an amount prescribed by federal regulation and assumes the obligation for collecting the remaining debt. Since these programs are federally supported, the federal government will reimburse the corporation for most of the defaults, which are purchased from lenders. The federally guaranteed loan programs include the Subsidized Federal Stafford Loan Program, the Unsubsidized Federal Stafford Loan Program, and the Federal Plus Loan. Subsidized Federal Stafford Loan Program--A need based loan program for eligible students attending colleges, vocational, technical, trade or business schools throughout the nation. The loan amount depends on the student's financial need, the cost of attending the school and other financial aid awarded. The federal government pays the interest that accrues while the student is in school, during the grace period and any deferment periods. Repayment of the loan must begin within 6 months following graduation or termination from school. Unsubsidized Federal Stafford Loan Program--A nonneed based loan program for eligible students attending colleges, vocational, technical, trade or business schools throughout the nation. The borrower is responsible for all interest, which accrues from the date the money is disbursed. Repayment of the loan must begin within 6 months following graduation or termination from school. Federal "Plus" Loan Program-- Provides loans to parents of dependent undergraduate or graduate students to help pay for postsecondary education costs. The loan amount depends on the cost of attending the school and other financial aid awarded. Repayment of the loan plus interest must begin within 60 days of receiving the funds. STATE EDUCATIONAL LOAN PROGRAM The Georgia Student Finance Authority is the legal entity, which actually serves as the lender (or limited purpose "bank") for about one-third of the student loans in Georgia. The authority provides loans to help students and parents meet the costs of higher education. As a FFELP lender, the authority makes loans to students and parents that are repayable in regular monthly installments and offers service cancellation benefits in Georgia on eligible Federal Stafford loans. Service cancelable loans help students preparing for professions in which there is a critical manpower shortage in Georgia. Eligible borrowers may cancel their loans by working in the approved fields in Georgia. State funds appropriated to the commission as "Guaranteed Educational Loans" are paid to the authority to support this program. The authority expects to make 1,148 loans in FY 2002 with the $4,897,607 recommended. An additional 76 nursing loans are provided for at $228,152. GRANT AND SCHOLARSHIP PROGRAMS State, federal and other funds are appropriated to the commission in several unique object classes to support the grant and scholarship programs of the authority. These programs are as follows: Tuition Equalization Grant--A state-funded grant program providing an annual grant to each eligible Georgia student attending an approved private college. The amount of the grants increased from $1,000 to $1,050 in FY 2001. The recommendation of $28,968,840 will provide awards to approximately 26,823 students. Law Enforcement Personnel Dependents Grant (LEPD)-Provides educational grants of up to $2,000 per academic year to the dependent children of a Georgia law enforcement officer, fireman or prison guard who has been killed or permanently disabled in the line of duty. In FY 2002, $70,300 in state funds will provide approximately 37 grants. North Georgia College ROTC Grant--Provides a state scholarship of $1,500 per year to each full-time Georgia student enrolled in military ROTC training at North Georgia College. Approximately 304 students will receive these grants in FY 2002 with the $376,460 recommended. Osteopathic Medical Loan--Provides service-cancelable loans to Georgians accepted for enrollment at an eligible college or university of osteopathic medicine. The loans are bas ed on need with a maximum of $10,000 per year for up to 4 years. A recipient may cancel the loan by practicing primary 518 GEORGIA STUDENT FINANCE COMMISSION -- Strategies and Services care osteopathic medicine in a medically underserved area of award of $1,500 as entering freshmen for their first year of this state. The $40,000 in state funds recommended for FY college study at an eligible U. S. institution. 2002 will provide loans to 4 students. Georgia Military Scholarship-- Provides assistance to Leveraging Educational Assistance Partnership Program students to attend North Georgia College and State (LEAP)--The U.S. Department of Education provides states University. Thirty-three high school seniors are selected with matching funds to offer need-based grants to students. each year to receive full 4-year scholarships to North The $1,013,712 recommended in FY 2002 include funds from Georgia College. Students must meet strict academic the Work Incentive for Student Education ($513,712) . requirements to be eligible and must agree to serve at least 4 years in the Georgia National Guard after graduation. The HOPE SCHOLARSHIP PROGRAM commission expects to serve 89 students with the $552,245 in The Helping Outstanding Pupils Educationally (HOPE) state funds recommended for FY 2002. Scholarship Program was initiated in FY 1994 with an Georgia Military College/North Georgia College Military appropriation of lottery proceeds. The program, designed to Scholarship--Provides assistance to students who graduate increase higher education participation and completion rates from Georgia Military College to transfer to North Georgia for Georgia students, provides scholarships to all students College and State University and receive a scholarship for who meet certain academic requirements, and who attend two additional years. The commission expects to serve 6 public colleges, public technical institutions or eligible students with the $61,750 in state funds recommended in FY private colleges in this state. 2002. Beginning in FY 2001, the grade point average to Governor's Scholarship--Provides an annual $1,575 qualify for HOPE comes only from core academic subjects award to Georgia students selected as Georgia Scholars, (English/language arts, math, social studies, science and STAR students, high school valedictorians and foreign language) instead of all courses. As a result, the salutatorians that go on to attend eligible colleges and number of eligible incoming freshman (the class of 2000) universities in this state. declined by 5%. The authority administers the Robert C. Byrd Two additional standards will apply to the class of Scholarship for the Georgia Department of Education -- Is 2001--A fourth year of mathematics will be required to available to Georgia students who demonstrate outstanding graduate with a college prep diploma that is needed for academic achievement. The program is intended to promote admission. Also, a formula called the Freshman Index, and recognize student excellence. Byrd Scholars, selected combining a student's grade point average with SAT scores, by the Georgia Department of Education, receive a one-time will be used to divert applicants below a certain minimum to the state's two-year colleges. The Freshman Index will only be calculated on core academic courses. The FY 2002 recommendation of $257,055,053 will provide approximately 160,000 scholarships. State Grant Loan and Scholarship Programs Fiscal Year 2002 Recommended The commission also administers the lottery funded Teacher Scholarships ($3,500,000), Promise Scholarships ($1,792,000), Promise II Scholarships Program Students Amount ($932,66), Georgia Military Scholarships ($663,960), Law Enforcement Dependents Grants ($238,968), Tuition Equalization Grants 26,823 $28,164,150 and Engineer Scholarships ($760,000). In FY 2001 Governor Barnes recommended that Guaranteed Educational Loans 1,148 4,897,607 the Pell grant offset be removed for students Georgia Military Scholarships 89 552,245 seeking degrees or diplomas at eligible colleges or technical institutes ($23,000,000). The scholarship GMC/NGC Military Scholarships North Georgia College ROTC 6 67,750 304 376,460 amount each student receives will be the cost of tuition, eligible fees, and a book allowance, leaving those students who are eligible for a Pell grant the Osteopathic Medical Loans 4 Law Enforcement Personnel Dependents Grants 37 40,000 70,300 opportunity to use their Pell funds towards the cost of their room, board and other expenses. Also, Governor Barnes recommended that sophomores in the HOPE scholarship program whose average drops below a "B" average will be eligible to regain HOPE for their senior year if their 519 GEORGIA STUDENT FINANCE COMMISSION -- Strategies and Services cumulative grade point average (GPA) rises to a "B" average or better at the end of their junior year. In addition, seniors who have not previously qualified for HOPE but who attain a cumulative "B" average at the end of their junior year may receive HOPE for their senior year. This change in policy will encourage junior level students to achieve academically in order to enter or re-enter HOPE as seniors. Another recommendation by the Governor was to change the required GPA for the Promise Teacher Scholarship program to 3.2. The program provides up to $6,000 in cancelable loans to high achieving juniors who aspire to be teachers in Georgia public schools. As a result, the number of eligible students in FY 2001 doubled. The $1,792,000 FY 2002 recommendation will assist about 600 students. The A+ Education Reform Act of 2000 created the Promise II Scholarship program to assist paraprofessionals and instructional aides who worked in a public school during the 1999-2000 school year. Awards up to $3,000 may be applied to a maximum of 30 semester hours in a teacher education program. Recipients must teach in a public school for at least one year. The FY 2002 recommendation of $760,000 for Engineer Scholarships includes an increase from $3,000 to $3,500. The number of students is expected to be 220. REGULATION OF NONPUBLIC POSTSECONDARY EDUCATION INSTITUTIONS The Nonpublic Postsecondary Education Commission regulates certain proprietary schools and postsecondary education institutions operating in the state, including public and private schools outside the state, which offer Georgians degree or certificate programs by mail, telecommunications or other means. The commission's regulatory activities include establishing standards relating to the quality of instructional programs offered, ethical and business practices, health and safety, and fiscal responsibility. The commission's staff conducts audits and reviews of the institutions it regulates and licenses the schools and their programs for the protection of Georgia students and their parents. The commission is responsible for establishing and maintaining a Tuition Guaranty Trust Fund with participation fees collected from postsecondary education institutions. The Trust Fund is intended to protect students from financial loss when a school closes without reimbursing students and without completing its educational obligations to its students. The commission is required to take possession of the administration and student records of any regulated institution, which ceases to operate. 520 GEORGIA STUDENT FINANCE COMMISSION Results-Based Budgeting ACADEMIC ACHIEVEMENT SCHOLARSHIPS Purpose: To raise the academic achievement of Georgia's students by providing scholarships for education beyond high school. Goal 1: Increase and sustain the levels of academic achievement FY 2000 FY 2000 FY 2001 FY 2002 by Georgia's students. Desired Actual Desired Desired - Maintain the number of high school students qualifying as a Governor's Scholar at 3% in FY 2001 and FY 2002. 2% 3% 1,248 of 3% 3% 65,548 - Increase the number of college level Governor's Scholars maintaining at least a "B" average from 74% in FY 2001 to 75% in FY 2002. 73% 81% 2,045 of 2,518 74% 75% - At least 61% of Georgia's high school students will meet the new 68% requirements of maintaining a "B" average in core curriculum 66% 45,130 of 61% 61% subjects in FY 2001 and FY 2002. [1] 65,548 - Maintain the number of college level HOPE scholars maintaining at least a "B" average at 46% in FY 2001 and FY 2002. 46% 44% 27,215 of 62,215 46% 46% Goal 2: Georgia's high-achieving students will attend college in Georgia. [2] - The number of Governor's Scholars attending Georgia's colleges will be 74% in FY 2001 and 68% in FY 2002. 67% 68% 850 of 1,248 74% 68% - At least 64% of HOPE-eligible students will attend college through FY 2001 and FY 2002. 63% 69% 28,395 of 69% 64% 45,134 Program Fund Allocation -- Total Funds $172,170,428 $202,643,386 $212,669,478 State Funds $4,581,822 $4,525,028 $4,707,679 Lottery Funds $166,645,356 $197,026,858 $206,871,299 Notes: 1 - Desired results have increased due to higher than expected FY 2000 actual results. 2 - Desired results have decreased due to lower than expected FY 2000 actual results. 521 GEORGIA STUDENT FINANCE COMMISSION - Results-Based Budgeting FUNDING FOR ACCESS TO EDUCATION BEYOND HIGH SCHOOL Purpose: To increase access to education beyond high school for students who are residents of Georgia by providing and servicing student loans, and awarding grants. Goal 1: All eligible students will have access to loans for FY 2000 FY 2000 FY 2001 FY 2002 education beyond high school. Desired Actual Desired Desired - The Georgia Higher Education Assistance Corporation (GHEAC) will ensure that 100% of the loan demand for eligible students who qualify for private loans will be met. 100% 100% [1] 100% 100% - The Georgia Student Finance Authority will provide 100% of the loans to eligible students who have been unable to secure a loan from the private sector. 100% 100% [2] 100% 100% Goal 2: Award educational grants to increase access to education beyond high school for eligible students. - 100% of available grant funding will be awarded to eligible students. 100% 100% 100% 100% Program Fund Allocation -- Total Funds $357,144,955 $413,280,620 $408,869,655 State Funds $27,538,583 $28,844,083 $28,611,410 Lottery Funds $42,648,798 $50,416,084 $50,422,722 Notes: 1 - Loans Guaranteed amounted to $238,093,728. 2 - Loans Disbursed amounted to $48,817,666. EDUCATIONAL LOANS FOR CRITICAL SHORTAGE OCCUPATIONS Purpose: To increase the number of qualified professionals in critical shortage areas. Goal 1: More qualified professionals in critical shortage FY 2000 FY 2000 FY 2001 occupations will choose to stay in Georgia. [1] Desired Actual Desired FY 2002 Desired - Maintain the number of qualified professionals in critical shortage 81% occupations who cancel their loans by serving their repayment 86% 5,331 of 81% commitment in Georgia at 81% for FY 2001 and FY 2002. 6,572 Program Fund Allocation -- Total Funds State Funds Lottery Funds $10,236,766 $11,597,404 $5,009,564 $5,131,978 $5,227,202 $6,465,426 Notes: 1 - FY 2001 and FY 2002 desired results have decreased due to lower than expected FY 2000 actual results. 81% $13,200,228 $5,551,602 $7,648,626 Total Fund Allocation -- Total Funds State Funds Lottery Funds $539,522,149 $627,521,410 $634,739,361 $37,129,969 $38,502,089 $38,870,691 $214,521,356 $253,908,368 $264,942,647 522 TEACHERS' RETIREMENT SYSTEM Total Budgeted Positions -- 122 Board of Trustees Executive Director 2 Deputy Executive Director 2 Accounting and Membership Division 20 Investment Services Division 25 Retirement Division 23 Counseling and Information Division 21 Refund and Service Division 25 Systems Division 4 523 TEACHERS' RETIREMENT SYSTEM -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications COLA, Local Retirees Floor Fund, Local Retirees Total Funds Less Other Funds: Other Funds Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 5,917,906 382,081 20,006 19,484 5,609 527,355 409,748 1,389,167 233,848 3,122,445 198,129 $12,225,778 FY 2000 Expenditures 7,122,503 468,389 12,889 FY 2001 Current Budget 8,527,740 489,044 20,500 63,465 611,328 500,032 1,307,807 341,539 2,998,915 155,458 $13,582,325 15,000 622,335 425,000 1,100,409 359,698 3,100,000 170,000 $14,829,726 FY 2002 Agency Requests Adjusted Base Enhancements Totals 8,650,640 489,044 20,500 25,000 15,000 622,335 425,000 1,100,409 359,698 2,950,000 140,000 $14,797,626 8,650,640 489,044 20,500 25,000 15,000 622,335 425,000 1,100,409 359,698 2,950,000 140,000 $14,797,626 8,905,204 $8,905,204 $3,320,574 95 2 10,427,952 $10,427,952 $3,154,373 120 2 11,559,726 $11,559,726 $3,270,000 122 2 11,707,626 $11,707,626 $3,090,000 122 2 11,707,626 $11,707,626 $3,090,000 122 2 524 TEACHERS' RETIREMENT SYSTEM -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications COLA, Local Retirees Floor Fund, Local Retirees Total Funds Less Other Funds: Other Funds Total Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 2001 Annualizers and Current Budget Adjustments 8,527,740 489,044 20,500 122,900 15,000 622,335 425,000 1,100,409 359,698 3,100,000 170,000 $14,829,726 (150,000) (30,000) ($57,100) 11,559,726 $11,559,726 $3,270,000 122 2 122,900 $122,900 ($180,000) FY 2002 Governor's Recommendations Workload Adjusted Base 8,650,640 489,044 20,500 Enhancements 15,000 622,335 425,000 1,100,409 359,698 2,950,000 140,000 $14,772,626 Totals 8,650,640 489,044 20,500 15,000 622,335 425,000 1,100,409 359,698 2,950,000 140,000 $14,772,626 11,682,626 $11,682,626 $3,090,000 122 2 11,682,626 $11,682,626 $3,090,000 122 2 525 TEACHERS' RETIREMENT SYSTEM FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Other Adjustments: 1. Reduce funding for cost of living adjustments (COLA) for local system retirees. 2. Reduce funding for floor funds for local system retirees. ADJUSTED BASE TOTAL STATE FUNDS Governor's Recommendations 3,270,000 (150,000) (30,000) $3,090,000 $3,090,000 FY 2001 AGENCY FUNDS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. ADJUSTED BASE TOTAL AGENCY FUNDS 11,559,726 90,510 32,390 $11,682,626 $11,682,626 RECOMMENDED APPROPRIATION: The Teachers' Retirement System is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $3,090,000. 526 TEACHERS' RETIREMENT SYSTEM ROLES AND RESPONSIBILITIES The Teacher's Retirement System (TRS) is a vehicle for collecting employee and employer contributions, investing accumulated funds, and disbursing retirement benefits to members and beneficiaries. As required by Georgia law, the system is examined on an annual basis by an independent actuarial firm that specializes in pension and retirement plans. The firm prepares a yearly valuation on the contingent assets and liabilities of the system, thus revealing its ability to meet future obligations. In addition, an independent accounting firm audits the system annually. Administration of the system is ultimately the responsibility of the TRS Board of Trustees, while daily management of system operations is the responsibility of the Executive Director. The Executive Director is appointed by the board and serves at the pleasure of its members. The board consists of 10 members as follows: State Auditor, ex officio; Director, Office of Treasury and Fiscal Services, ex officio; Two classroom teachers (both active members of TRS) appointed by the Governor; One school administrator (an active member of TRS) appointed by the Governor; One Board of Regents employee (an active member of TRS) appointed by the Board of Regents; One trustee appointed by the Governor who mu st be an active member of TRS; One trustee appointed by the Governor; One retired member of TRS elected by the trustees; One citizen (not a TRS member) experienced in the investment of moneys elected by the trustees. The members who are not ex officio memb ers serve 3year terms. Board members convene bimonthly to review investment performance, retirement statistics, the system budget, and various other issues. MEMBERSHIP All individuals employed one-half time or more in covered positions of the state's public school systems, regional libraries, county libraries, and regional educational service agencies are required to be TRS members as a condition of employment. Similarly, employees in covered positions of the University System of Georgia are required to be TRS members unless eligible for participation in an optional retirement plan administered by the University System's Board of Regents. Covered positions include teachers, administrators, supervisors, clerks, teacher aides, secretaries, public school nurses, paraprofessionals, and employees of the Agricultural Extension Service. Also eligible for TRS membership are certain employees of the State Department of Education and the Department of Technical and Adult Education, along with public school lunchroom, maintenance, warehouse, and transportation managers and supervisors. Public school personnel who are ineligible for TRS membership include maintenance and custodial employees, school bus drivers, and cafeteria workers. Temporary or emergency employees are also ineligible for membership. In addition, certain teachers who are at least age 60 at the time they become employed in a covered position may decline TRS membership. INVESTMENTS TRS has its own "in-house" Investment Services Division, which handles day-to-day investment transactions. Securities lending and portfolio officers, securities and investment analysts, and investment assistants are all part of the TRS investment team that manages over $50 billion in pension funds. Six members of the TRS Board of Trustees along with the Executive Director comprise the Investment Committee. Committee members convene with the directors of the Investment Services Division and hear recommendations from outside investment advisors at monthly meetings. Investment recommendations made by the committee require approval by the entire board. FLOOR FUNDS FOR LOCAL SYSTEM RETIREES Any teacher who has retired from a local retirement system (Atlanta City Schools, Chatham County Schools, Fulton County Schools, and Rome City Schools) shall receive a minimum allowance upon retirement of not less than $17.00 per month for each year of creditable service, not to exceed 40 years of service. These funds are appropriated to TRS annually. As of November 2000, there were 121 retirees receiving floor funds to achieve this minimum allowance. COLA FUNDS FOR LOCAL SYSTEM RETIREES Any teacher who retired prior to July 1, 1978 from a local retirement system (Atlanta City Schools, Chatham County Schools, Fulton County Schools, and Rome City Schools) shall receive a post-retirement cost of living adjustment (COLA) to their monthly benefit whenever such adjustment is granted to teachers who retire under the TRS. These funds are appropriated to TRS annually. As of November 2000, there were 363 retirees receiving COLA funds. AUTHORITY Title 47, Chapter 3 of the Official Code of Georgia Annotated. 527 TEACHERS' RETIREMENT SYSTEM Results-Based Budgeting Purpose: To provide all personnel in covered positions of the state's public school systems, vocational-technical schools, regional education services, and all colleges and universities of the University System of Georgia and their families a primary source of income relative to their service and compensation in the event of their retirement, death, or disability. Goal: Ensure adequate financing for future benefits due and other obligations of the retirement system by investing prudently the retirement system assets, using a conservative long-term philosophy. - The retirement system's Unfunded Actuarial Accrued Liability (UAAL) will liquidate between 15 and 25 years. [1] FY 2000 Desired 15 - 25 years FY 2000 Actual 7 years FY 2001 Desired 15 - 25 years FY 2002 Desired 15 - 25 years Program Fund Allocation -- Total Funds $13,582,325 $14,829,726 $14,772,626 State Funds $3,154,373 $3,270,000 $3,090,000 Note 1 - This is a measure of the retirement system's financial soundness and means that, using current actuarial assumptions and funding strategies, within 15 to 25 years the retirement plan will be fully funded. TOTAL - All Programs Total Funds State Funds $13,582,325 $14,829,726 $14,772,626 $3,154,373 $3,270,000 $3,090,000 528 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Total Budgeted Positions -- 3,513 State Board of Technical and Adult Education Commissioner's Office 8 Administrative Services 44 Adult Literacy 18 State Technical Colleges 3,338 Quick Start 79 Technical Education 26 529 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Financial Summary Unit A -- Department of Technical and Adult Education Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay: -Major Repairs & Rehabilitation Public Libraries: -Salaries and Travel -Materials -Talking Book Centers -Maintenance & Operations Personal Services-Institutions Operating Exp-Institutions Area School Program Adult Literacy Grants Regents Program Quick Start JTPA Grant Funds Year 2000 7,365,431 1,250,368 320,221 138,521 890,353 1,167,520 1,883,496 255,128 15,537,185 5,742,014 1,075,353 7,920,874 168,895,337 30,844,603 6,262,430 22,164,013 4,482,165 11,011,706 1,236,410 28,538,339 Total Funds $316,981,467 FY 2000 Expenditures 8,306,226 1,657,036 420,680 24,658 291,535 1,009,622 1,624,860 1,766,574 286,306 1,762,500 16,426,160 4,555,544 1,102,406 7,010,100 181,989,579 32,247,659 6,266,204 26,094,413 4,222,352 11,748,506 538,462 15,263,272 $324,614,654 FY 2001 Current Budget 6,275,876 413,890 132,000 57,741 550,846 392,265 836,328 115,980 5,783,907 FY 2002 Agency Requests Adjusted Base Enhancements Totals 6,347,824 413,890 132,000 6,347,824 413,890 132,000 57,741 550,846 392,265 836,328 115,980 57,741 550,846 392,265 836,328 115,980 6,044,068 6,044,068 211,634,640 61,499,037 6,454,757 19,888,214 3,698,828 9,607,802 223,756,609 62,714,023 6,483,352 19,953,060 3,715,278 9,795,736 3,202,000 362,555 3,351,190 226,958,609 62,714,023 6,483,352 20,315,615 3,715,278 13,146,926 $327,342,111 $341,309,000 $6,915,745 $348,224,745 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 35,011,220 10,813,002 20,000 $45,844,222 $271,137,245 43,581,269 17,602,266 22,500 $61,206,035 $263,408,619 19,814,459 55,932,658 $75,747,117 $251,594,994 19,814,459 55,932,658 $75,747,117 $265,561,883 19,814,459 55,932,658 $6,915,745 $75,747,117 $272,477,628 Positions Motor Vehicles 3,528 1 3,541 1 3,513 1 3,513 1 53 3,566 1 530 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Financial Summary Unit A -- Department of Technical and Adult Education Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay: -Major Repairs & Rehabilitation Public Libraries: -Salaries and Travel -Materials -Talking Book Centers -Maintenance & Operations Personal Services-Institutions Operating Exp-Institutions Area School Program Adult Literacy Grants Regents Program Quick Start JTPA Grant Funds Year 2000 6,275,876 413,890 132,000 57,741 550,846 392,265 836,328 115,980 5,783,907 211,634,640 61,499,037 6,454,757 19,888,214 3,698,828 9,607,802 Total Funds $327,342,111 71,948 (71,547) 28,595 64,846 16,450 187,934 $298,226 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 19,814,459 55,932,658 $75,747,117 $251,594,994 $298,226 Positions Motor Vehicles 3,513 1 FY 2002 Governor's Recommendations Workload Adjusted Base 6,347,824 413,890 132,000 Enhancements 57,741 550,846 392,265 836,328 115,980 232,636 6,016,543 Totals 6,347,824 413,890 132,000 57,741 550,846 392,265 836,328 115,980 6,016,543 11,102,580 1,095,339 222,665,673 62,594,376 6,483,352 19,953,060 3,715,278 9,795,736 2,580,582 222,665,673 62,594,376 6,483,352 19,953,060 3,715,278 12,376,318 $12,430,555 $340,070,892 $2,580,582 $342,651,474 19,814,459 55,932,658 $12,430,555 $75,747,117 $264,323,775 3,513 1 19,814,459 55,932,658 $2,580,582 $75,747,117 $266,904,357 3,513 1 531 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Unit A -- FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. Other Adjustments: 2. Reduce Personal Services-Institutions due to over funding in FY 2001. 3. Transfer $152,000 from Personal Services-Institutions to Quick Start Program to properly classify funding for 2 Quick Start positions added in prior year. Workload: 4. Provide enrollment-driven formula funding increase for personal services-institutions. 5. Provide formula funding increase for operating expenses-institutions. 6. Provide formula funding increase for major repairs and rehabilitation. ADJUSTED BASE 251,594,994 1,082,655 (784,429) Yes 11,102,580 1,095,339 232,636 $264,323,775 ENHANCEMENT FUNDS ENHANCEMENTS 1. Increase funding for the Quick Start program based on the current activity level. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 2,580,582 $2,580,582 $266,904,357 532 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Unit A -- Functional Budget Summary 1. Administration FY 2001 Appropriations Total State 8,774,926 6,715,138 FY 2002 Recommendations Total State 8,846,874 6,787,086 2. Institutions 318,567,185 244,879,856 333,804,600 260,117,271 TOTAL APPROPRIATIONS $327,342,111 $251,594,994 $342,651,474 $266,904,357 RECOMMENDED APPROPRIATION: The Department of Technical and Adult Education - Unit A is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $266,904,357. 533 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Unit B -- Lottery Programs Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources FY 1999 Expenditures Capital Outlay - Technical Institutes Equipment - Technical Institutes Repairs & Renovations Assistance Technology Grants 11,179,985 2,307,228 FY 2000 Expenditures 250,000 FY 2001 Current Budget 19,388,183 12,500,000 FY 2002 Agency Requests Adjusted Base Enhancements Totals 12,500,000 1,343,752 13,843,752 LOTTERY FUNDS $13,487,213 $19,638,183 $12,500,000 $12,500,000 $1,343,752 $13,843,752 534 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Unit B -- Lottery Programs Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources FY 2001 Annualizers and Current Budget Adjustments Capital Outlay - Technical Institutes Equipment - Technical Institutes Repairs & Renovations Assistance Technology Grants 12,500,000* FY 2002 Governor's Recommendations Workload Adjusted Base Enhancements Totals TOTAL STATE FUNDS * $12,500,000 in bonds is recommended in the Amended FY 2001 Budget. RECOMMENDED APPROPRIATION: The Department of Technical and Adult Education - Unit B is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $0. 535 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Roles and Responsibilities The Quality Basic Education Act of 1985 created a separate State Board of Postsecondary Vocational Education within the Department of Education to promote the economic growth and development of Georgia by providing leadership, direction, and state-level management of public postsecondary technical schools, programs, and services. The new board was created as an agency separate from the Department of Education in 1987 to provide guidance to public technical institutes operated by the state or by local boards of education. The board was renamed the State Board of Technical and Adult Education in 1988 to govern the newly created Department of Technical and Adult Education (DTAE). With the Savannah Tech and Atlanta Tech conversions to state ownership in FY 1998, the board now oversees 32 state-governed technical institutes (many of which have satellite campuses). In addition, there are 4 technical education divisions housed within 4 of the University System colleges and 1 locally governed public technical institute. House Bill 1187 (the A+ Education Reform Act of 2000), which went into effect on July 1, 2000, approved institutions governed by the Board of Technical and Adult Education to change their names to technical "college." This change more accurately reflects the quality and levels of services provided by these institutions throughout the state of Georgia. The Department of Technical and Adult Education plans and administers state postsecondary technical training at less than the baccalaureate degree level in a unified system of technical institutes/colleges. It provides opportunities for students to learn a skill or upgrade an existing skill to keep pace with technology and competition in a world market. Students can pursue lifelong education and training, basic skills and technician training for existing employment opportunities, as well as customized training responsive to the needs of business and industry for a technically trained and highly competitive workforce. Students attending technical institutes/colleges have the option of short-term programs as well as courses of study leading to certificates, diplomas, and associate degrees. These programs can range in duration from a few weeks to 2 years. The department is divided into 4 functional units described below. ADMINISTRATIVE SERVICES The administrative services function fulfills overall administrative roles for the Central Office and the 33 technical institutes/colleges. These activities include budgeting, accounting, purchasing, asset management, personnel, information technology, public information, facilities management, legal services, planning, and evaluation. TECHNICAL EDUCATION The Office of Technical Education provides leadership, technical assistance, and coordination to the 33 technical institutes/colleges and 4 college technical divisions. Focus areas include instructional support services, special services, student support services, workforce development initiatives, and performance accountability. This office is also responsible for joint planning and coordination with other public agencies and organizations to provide Georgia citizens with a seamless education system assuring smooth transitions from secondary to postsecondary education, to work and beyond. QUICK START Quick Start provides employee training services to new and expanding industries at no cost. Quick Start plays a key role in the state's business recruitment and retention efforts by serving as a state training incentive. Supported by DTAE's network of technical institutes/colleges, Quick Start has provided training for new jobs in virtually every technology required by Georgia's manufacturing and service sectors. ADULT LITERACY The Office of Adult Literacy, through its network of 37 service delivery areas throughout the state, promotes and provides adult basic education and literacy programs, including the General Educational Development Testing program that awards GED diplomas. The office is the primary fiscal agent for the U.S. Department of Education adult literacy funds. It is also the largest adult literacy provider for other state agencies and facilitates collaboration among state and local entities to improve literacy efforts for adults needing basic, English literacy, or specialized skills instruction. AUTHORITY Title 20 of the Official Code of Georgia Annotated. 536 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Strategies and Services TECHNICAL EDUCATION Georgia's technical colleges are continuing to experience steady enrollment growth, with a full time equivalent enrollment of 50,950 in FY 2000, an increase of 7.8%. The Department of Technical and Adult Education (DTAE) provides a unified system of technical education, customized business and industry training and adult education with programs that use the best available technology and offer easy access to lifelong education and training for all adult Georgians and corporate citizens. This system is part of a seamless education process for Georgia in which students can transfer credits efficiently as they advance from secondary schools to technical colleges and institutes to the university system. FORMULA FUNDING When Governor Barnes took office, he made a commitment to DTAE that adult technical education would be funded based on an enrollment-driven formula, like the other two major education agencies. The Governor's A+ Education Reform of 2000 resulted in a preliminary formula implemented with the FY 2001 budget. The initial formula is an appropriation formula, as opposed to an allocation formula. This means that discretion for fund allocation remains with the board. The formula consists of a personal services component, an operating component, and a major repairs component. The formula should be considered only a first step toward a permanent formula for adult technical education. The personal services component of the formula is based on 5 weighted program clusters: general education/ development, industrial/science tech, business, health, and public service. Each cluster generates a different dollar amount per credit hour. The formula generates funding using credit hours 2 years before the current fiscal year. So, FY 2000 credit hours generate FY 2002 funding levels. Based on these figures, the Governor recommends an increase of $11,102,580 for state technical institutes/colleges' personal services. The operating component is based on $4.52 per square foot of operating space. This includes 125,426 square feet of leased space and 240,724 square feet of FY 2002 new space. The Governor recommends $1,095,339 in additional formula funding for operating expenses in FY 2002. The major repairs and rehabilitation component is patterned on Regents' Major Repairs and Rehabilitation Fund. The formula is based on 1% of DTAE's total square footage, times a replacement cost ($96.64 per square foot), which produces an annual investment in maintenance and upkeep of the physical plant. This formula generates an additional $232,636 for the department in FY 2002. This fund is to cover projects under $1 million in magnitude. Finally, the Governor recommends $12,500,000 in bonds for the replacement of obsolete equipment. These funds should meet all of the department's needs for nonconstruction related instructional equipment. TOTAL FULL TIME EQUIVALENT ENROLLMENT FY 1991 TO FY 2000 60,000 50,000 I 40,000 30,000 29,183 32,667 33,740 39,525 35,244 37,015 41,872 44,844 50,950 47,256 20,000 10,000 0 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 Fiscal Year 537 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION -- Strategies and Services Further refinements of the formula should lead to greater sophistication. However, revisions depend upon the department collecting data in ways that support more detail. Specifically, future formula revisions are likely to take into account administrative versus instructional costs (which are now treated as equal), average costs versus (decreasing) marginal costs, cost variability for distance learning, performance, and a number of other issues. Because of these issues, parts of the formula will likely be in flux over the next few years. However, increasing credit enrollment should continue to yield additional funds for the department. This should ensure a steady stream of trained workers for the state. NEW CONSTRUCTION Governor Barnes recognizes the need for new facilities to support the growing enrollment at the technical institutes and colleges. The Governor recommends $53,745,000 million in bonds in the FY 2001 amended budget for 10 new construction projects. The majority of these projects were funded for predesign in FY 2000. In addition to new construction, the Governor also recommends $780,000 in bonds for predesign planning grants for future construction. A completed predesign study on future DTAE construction projects will allow for better planning and cost estimates for the entire project. Finally, the Governor recommends an additional $9,805,000 in bonds for DTAE projects to deal with property acquisitions and renovations and improvements. $14,580,000 in bonds is recommended for equipment for new construction. THE QUICK START PROGRAM One of the most exciting and valuable resources within the technical education system is the Georgia Quick Start program. Quick Start epitomizes Georgia's economic growth and workforce development by functioning as an incentive to new business and industry as well as promoting the expansion of existing businesses. Quick Start helps industries start up and expand their operations in Georgia by creating customized training programs. Georgia's Quick Start program is nationally recognized for providing high-quality training services at no cost to new or expanding businesses in Georgia. Since 1967, Quick Start has provided customized training for over 325,000 employees for more than 3,100 businesses and industries throughout the state. It has been singled out by Fortune, as well as Training and Site Selection magazines for its effectiveness in providing the most comprehensive and advanced training in the nation. In FY 2001, the Governor recommends $2,580,582 in additional funds for the Quick Start program which are required due to the number of current and anticipated projects. This amount should completely fund the Quick Start Program for FY 2001. The Governor recommends that this amount be added to the Quick Start program budget in FY 2002, in order to more accurately fund the Quick Start Program. School Griffin Tech College Southeastern Tech Coosa Valley Tech Swainsboro Tech Ogeechee Tech Moultrie Tech Sandersville Tech East Central Tech Flint River Tech NEW CONSTRUCTION PROJECTS Amended FY 2001 Budget Project Recommendation Technology Building Allied Health Building Health Occupation Building Technology Building Agribusiness/General Classroom Allied Health/Classroom Jefferson County Satellite Child Development Center Crawford County Workforce $11,160,000 $7,870,000 $8,060,000 $3,920,000 $7,380,000 $9,965,000 $1,700,000 $1,270,000 $2,690,000 $53,745,000 538 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION -- Strategies and Services TECHNICAL COLLEGES On July 1, 2000, the Governor's A+ Education reform Act of 2000 went into effect. A part of the bill approved institutions governed by the Board of Technical and Adult Education to change their names to technical "college." This change more accurately reflects the quality and levels of services provided by the institutions throughout the state of Georgia. Eligibility for each institution is based on accreditation status. To become a technical college, each technical institute must have associate-degree-granting status from either the Commission on Colleges (COC) of the Southern Association of Colleges and Schools (SACS) or the Council of Occupational Education (COE). Of the 33 technical institutes throughout the state, 18 were eligible to change their name on July 1, 2000. The remaining institutions that do not hold SACS or COE Accreditation are currently involved in the accreditation process. As these schools become associate-degreegranting institutions, they will petition the State Board of Technical and Adult Education for a name change. This process should be complete within the next year. The mission of each technical college will continue to center on contributing to the economic, educational, and community development of Georgia by providing quality technical education, continuing education, customized business and industry training, and adult literacy education. Most of the new college names are quite similar to the former institute titles. However, a few of the new college names are a substantial change. A table is provided below to serve as a reference for the new college titles of the former technical institutes. Although several institutes are still undergoing name changes, the schools are referred to by their new college names throughout this budget report. Former Technical Institute Albany Technical Institute Altamaha Technical Institute Appalachian Technical Institute Athens Area Technical Institute Atlanta Technical Institute Augusta Technical Institute Carroll Technical Institute Chattahoochee Technical Institute Columbus Technical Institute Coosa Valley Technical Institute DeKalb Technical Institute East Central Technical Institute Flint River Technical Institute Griffin Technical Institute Gwinnett Technical Institute Heart of Georgia Technical Institute Lanier Technical Institute Macon Technical Institute Middle Georgia Technical Institute Moultrie Area Technical Institute North Georgia Technical Institute North Metro Technical Institute Northwestern Technical Institute Ogeechee Technical Institute Okefenokee Technical Institute Sandersville Regional Technical Institute Savannah Technical Institute South Georgia Technical Institute Southeastern Technical Institute Swainsboro Technical Institute Thomas Technical Institute Valdosta Technical Institute West Georgia Technical Institute 539 New College Name Albany Technical College Altamaha Technical College Appalachian Technical College Athens Technical College Atlanta Technical College Augusta Technical College West Central Technical College Chattahoochee Technical College Columbus Technical College Coosa Valley Technical College DeKalb Technical College East Central Technical College Flint River Technical College Griffin Technical College Gwinnett Technical College Heart of Georgia Technical College Lanier Technical College Central Georgia Technical College Middle Georgia Technical College Moultrie Technical College North Georgia Technical College North Metro Technical College Northwestern Technical College Ogeechee Technical College Okefenokee Technical College Sandersville Technical College Savannah Technical College South Georgia Technical College Southeastern Technical College Swainsboro Technical College Southwest Technical College Valdosta Technical College West Georgia Technical College DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Results-Based Budgeting TECHNICAL EDUCATION Purpose: Provides students with career, occupational, and technical skills to obtain employment, retain employment, and/or achieve job advancement. Goal 1: Meet employment market needs by providing technical diploma and degree credit programs. - The percentage of technical diploma and degree program graduates who are employed in their field of study by October 1 of the following fiscal year will remain the same from FY 2001 to FY 2002. Goal 2: Help participants get a job, retain a job, or advance in their career path by providing Technical Certificate of Credit (TCC) programs and services. - The percentage of TCC program graduates who are employed in their field of study will remain the same from FY 2001 to FY 2002. FY 2000 Desired 82% 73% FY 2000 Actual 80% 68% FY 2001 Desired 83% 74% FY 2002 Desired 83% 74% - The percentage of TCC program graduates who advance in their career path by continuing their education will remain the same from 9% 15% 10% 10% FY 2001 to FY 2002. Goal 3: Help welfare recipients to prepare for and obtain employment through the New Connections to Work/Georgia Fatherhood program. - The percentage of New Connections to Work/Georgia Fatherhood program participants who obtain jobs after receiving assistance will 34% 35% 35% 36% increase by 1% from FY 2001 to FY 2002. - The percentage of New Connections to Work/Georgia Fatherhood program participants who retain their jobs for at least 120 days after receiving skilled training through short-term training or TCCs from 76% N/A [1] 77% 78% a technical college/institute only will increase by 1% from FY 2001 to FY 2002. Program Fund Allocation -- Total Funds $286,771,735 $297,846,095 $309,188,933 State Funds $242,467,828 $229,890,390 $240,111,342 Notes 1 - A method to track this retention measure was instituted October 2000, with training just completed September 2000; accurate data using this method will be available for FY 2001. 540 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION -- Results-Based Budget ADULT LITERACY Purpose: Teach basic literacy skills to adults and to provide instruction to adults seeking to achieve a General Education Development (GED) diploma. Goal 1: The basic reading, math, and writing skills of program FY 2000 FY 2000 FY 2001 FY 2002 participants will improve. Desired Actual Desired Desired - The number of Adult Basic Education (ABE) students awarded certificates of completion for improved literacy skills will increase by 1% from FY 2001 to FY 2002. 1% Increase 6% Increase (26,938) 1% Increase 1% Increase Goal 2: Increase the number of participants who obtain a General Education Development (GED) diploma. - The number of examinees who obtain a GED will increase by 1% from CY (Calendar Year) 2000 to CY (Calendar Year) 2001. 2% Increase N/A [1] 1% Increase 1% Increase Goal 3: Increase the number of English Literacy Program (ELP) students who acquire adequate English proficiency. - The number of ELP students who achieve an improved literacy level as shown by passing standardized literacy tests will increase by 5% from FY 2001 to FY 2002. 2% Increase 8% Increase 2% Increase 5% Increase Program Fund Allocation -- Total Funds $26,094,413 $19,888,214 $20,315,615 State Funds $11,959,498 $12,096,802 $13,646,089 Notes 1 - Data not available until after December 2000. This result is measured on a calendar year, not the fiscal year. CUSTOMER-DRIVEN TRAINING (ECONOMIC DEVELOPMENT) Purpose: Promote job growth and economic development by providing customer-driven training to new, expanding, and existing businesses through technical colleges/institutes or through direct delivery of services. Goal 1: Quick Start training will meet employers' workforce FY 2000 FY 2000 FY 2001 FY 2002 training needs. Desired Actual Desired Desired - After project completion, 82% of companies that used Quick Start for training in FY 2002 will rate overall satisfaction with the 80% 84% 81% 82% training at the "very good" level. - After project completion, 85 % of companies that used Quick Start for training in FY 2002 will be satisfied with the work 80% 98% 80% 85% performance of Quick Start trainees. - The number of companies contracting for customized training 3% 4.90% 3% 3% will increase by 3% from FY 2001 to FY 2002. Increase Increase Increase Increase Program Fund Allocation -- Total Funds $11,748,506 $9,607,802 $13,146,926 State Funds $8,981,293 $9,607,802 $13,146,926 TOTAL - All Programs Total Funds State Funds $324,614,654 $327,342,111 $342,651,474 $263,408,619 $251,594,994 $266,904,357 541 [This page intentionally blank] 542 DEPARTMENT OF TRANSPORTATION Total Budgeted Positions -- 6,365 Secretary to Board 1 State Transportation Board Commissioner 6 Attached for Administrative Purposes Only Georgia Rail Passenger Authority Southwest Georgia Railroad Excursion Authority Deputy Commissioner 31 Division of Planning and Programming 140 Division of EEO 5 Division of Field Districts 4,187 Chief Engineer 25 Division of Preconstruction 433 Division of Construction 450 Division of Operations 730 Treasurer 100 Division of Information Technology 122 Division of Administration 135 543 DEPARTMENT OF TRANSPORTATION -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Year 2000 Project Airport Aid Program Mass Transit Grants Georgia Rail Passenger Authority Harbor Maintenance Spoilage Land Acquisition Georgia Southwest Railroad Excursion Authority Total Funds Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS Positions Motor Vehicles FY 1999 Expenditures 253,089,167 59,316,674 1,856,516 5,085,402 11,243,609 1,326,948 66,767,519 15,823,016 3,324,294 1,235,047,719 2,241,866 14,168,446 341,250 FY 2000 Expenditures 258,941,366 57,698,282 1,885,820 3,768,200 13,141,003 1,315,226 153,712,037 10,582,561 3,848,752 1,128,182,722 60,456 5,741,866 19,759,978 1,236,725 FY 2001 Current Budget FY 2002 Agency Requests Adjusted Base Enhancements Totals 273,822,814 63,813,492 2,188,931 2,000,000 10,345,685 1,335,963 94,621,742 12,829,146 4,492,508 995,934,436 277,176,459 63,907,398 2,188,931 2,000,000 10,345,685 1,335,963 93,206,742 12,829,146 4,492,508 1,018,576,958 13,645,719 2,946,491 188,342 61,000 (2,548,571) (14,155) 98,742,984 548,441 1,459,335 599,029,271 290,822,178 66,853,889 2,377,273 2,061,000 7,797,114 1,321,808 191,949,726 13,377,587 5,951,843 1,617,606,229 3,841,866 12,451,793 555,666 3,841,866 12,451,793 581,841 35,938,672 10,959,993 19,211 39,780,538 23,411,786 601,052 710,854 7,602,237 700,854 24,807,063 710,855 710,855 150,000 2,725,000 4,840,706 710,855 2,725,000 4,990,706 $1,677,945,517 $1,685,382,911 $1,478,944,897 $1,503,796,145 $768,542,439 $2,272,338,584 738,869,638 268,854,166 787,998,392 279,928,551 $1,007,723,804 $1,067,926,943 $670,221,713 $617,455,968 6,365 4,800 6,365 4,800 864,708,035 22,452,553 $887,160,588 $591,784,309 863,583,035 22,402,553 $885,985,588 $617,810,557 124,101,252 (11,097) $124,090,155 $644,452,284 987,684,287 22,391,456 $1,010,075,743 $1,262,262,841 6,365 4,800 6,365 4,800 22 6,387 2 4,802 544 DEPARTMENT OF TRANSPORTATION -- Financial Summary Current Budget and Governor's Recommendations FY 2001 Annualizers and Budget Classes/Fund Sources Current Budget Adjustments Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Year 2000 Airport Aid Program Mass Transit Grants Georgia Rail Passenger Authority Harbor Maintenance Spoilage Land Acquisition Georgia Southwest Railroad Excursion Authority Total Funds 273,822,814 63,813,492 2,188,931 2,000,000 10,345,685 1,335,963 94,621,742 12,829,146 4,492,508 995,934,436 3,841,866 12,451,793 555,666 710,855 $1,478,944,897 197,711 93,906 (1,415,000) (575,000) 13,203 ($1,685,180) FY 2002 Governor's Recommendations Workload Adjusted Base 274,020,525 63,907,398 2,188,931 2,000,000 10,345,685 1,335,963 93,206,742 12,829,146 4,492,508 995,359,436 Enhancements 8,103,331 424,044 60,415 19,495 1,346,412 411,223 1,347,393 41,088,430 3,841,866 12,451,793 568,869 (43,039) 1,078,688 6,522 710,855 $1,477,259,717 $53,842,914 Less Federal & Other Funds: Federal Funds Other Funds Total Federal & Other Funds TOTAL STATE FUNDS 864,708,035 22,452,553 $887,160,588 $591,784,309 (1,125,000) (50,000) ($1,175,000) ($510,180) 863,583,035 22,402,553 $885,985,588 $591,274,129 1,563,605 56,000 $1,619,605 $52,223,309 Positions Motor Vehicles 6,365 4,800 6,365 16 4,800 Totals 282,123,856 64,331,442 2,249,346 2,000,000 10,365,180 1,335,963 94,553,154 13,240,369 5,839,901 1,036,447,866 3,798,827 13,530,481 575,391 710,855 1,531,102,631 865,146,640 22,458,553 $887,605,193 $643,497,438 6,381 4,800 545 DEPARTMENT OF TRANSPORTATION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates for the Department of Transportation (-$1,577,362) and the Georgia Rail Passenger Authority (-$3,500). 3. Adjustment to the Georgia Rail Passenger Authority for over estimated regular operating expenses. 4. Annualize the Governmental Liaison/Public Relations position at the Georgia Rail Passenger Authority. 5. Other Adjustments: Adjust for the following non-recurring items: a. Merit system accounting classes. b. Lighting design in Macon. c. Overpass in Franklin Springs. d. State match for Airport Systems Plan. e. Rail Spur in Valdosta. f. Repair and maintenance to airport hanger. g. Study for Talbot County. h. Equipment for the Georgia Rail Passenger Authority for initial equipment purchase. 6. Increase regular operating expenses to meet department needs. 7. Supplant other funds with motor fuel funds to meet department needs. 8. Reduce general consultant contact expenses for the Georgia Rail Passenger Authority. 9. Adjust Georgia Building Authority rental rates to a standard of $8.75 per rentalable square foot for the Georgia Rail Passenger Authority. ADJUSTED BASE $591,784,309 1,848,980 (1,580,862) (6,800) 45,952 (73,907) (65,000) (75,000) (125,000) (500,000) (60,000) (100,000) (4,250) 153,906 50,000 (21,038) 2,839 $591,274,129 ENHANCEMENT FUNDS ENHANCEMENTS 1. Increase funding in the Planning and Construction, Maintenance and Betterments, and Administration functions for pay for performance. 2. Provide state match for 13 positions and equipment for HERO's in Macon. 3. Increase telecommunications to connect remote sites to the network, radios and IT training. 4. Increase other agency funds for the Drug Dog program to include the purchase of 2 dogs and associated costs. 5. Increase state match for the Mass Transit Grant program to leverage additional federal funds. 6. Provide 9-month funding for 1 new position and associated costs for the Harbors and Waterways Program for the Brunswick Harbor. 7,585,809 150,853 1,717,241 Yes 145,213 43,777 546 DEPARTMENT OF TRANSPORTATION -- FY 2002 Budget Summary Governor's Recommendations 7. Provide 9-month funding for one new Transit Operations Manager in Inter-Modal Transfer Facilities division offset with federal funds. 8. Provide funds in the Air Transportation Division for a reduction in the lapse factor, increased insurance and bonding, and computer equipment. 9. Add funds for hourly support position in the Air Transportation function to be offset by $10,000 in airport receipts. 10. Provide 9-month funding for a planner for rail freight assistance and the rail line acquisition program in the Inter-Modal Transfer Facilities division. 11. Reduce funds in the Airport Aid Program based on projected expenses. 12. Georgia Rail Passenger Authority - Increase regular operating expenses, computer charges, real estate rentals, and telecommunications to cover projected costs. TOTAL ENHANCEMENT FUNDS 23,343 42,499 10,000 50,061 (43,039) 6,522 $9,732,279 CAPITAL OUTLAY CAPITAL OUTLAY 1. Provide shared funds for an initial phase of improvements to railroad trackwork and road crossing in Ware County. Total costs include $2,500,000 million from the city of Waycross and $2,000,000 from CSX Railroad. 2. Provide funds for the Department of Transportation's share of the cost to continue railroad planning, engineering, and program management assistance for the implementation of the Georgia Rail Passenger Program, which must have approval of the Program Management Team. 3. Provide for various repairs and maintenance in airport hangers and computer charges in the Air Transportation function. 4. Provide state funding for State Fund Construction: $14,082,321 for On System and $26,006,109 for Most Needed. TOTAL CAPITAL OUTLAY TOTAL STATE FUNDS 1,000,000 1,350,000 52,600 40,088,430 $42,491,030 $643,497,438 547 DEPARTMENT OF TRANSPORTATION Functional Budget Summary 1. Planning and Construction FY 2001 Appropriations Total State 1,179,781,246 324,724,880 FY 2002 Recommendations Total State 1,226,946,832 371,337,054 2. Maintenance and Betterments 229,902,266 212,919,211 233,121,763 216,098,708 3. Facilities and Equipment 4. Administration 19,606,694 24,495,122 18,874,694 23,695,122 19,606,694 25,489,544 18,874,694 24,689,544 5. Inter-Modal Transfer Facilities 20,833,179 7,781,223 21,542,452 8,655,303 6. Air Transportation 7. Harbor/Inter-Coastal Waterways TOTAL APPROPRIATIONS 3,615,535 710,855 $1,478,944,897 3,078,324 3,684,491 710,855 710,855 $591,784,309 $1,531,102,631 3,131,280 710,855 643,497,438 RECOMMENDED APPROPRIATION: The Office of Secretary of State is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $643,497,438 548 DEPARTMENT OF TRANSPORTATION Roles and Responsibilities The Department of Transportation plans, constructs, maintains and improves the state's roads and bridges; provides planning and financial support for other modes of transportation such as mass transit and airports; provides airport and air safety planning; and provides air travel to state departments. The department also provides administrative support to the State Tollway Authority, the Georgia Rail Passenger Authority, and the Georgia Southwest Railroad Excursion Authority. The department is governed by a board comprised of representatives from each of the state's congressional districts. The state representatives and senators from each congressional district elect that district's board member. The board in turn appoints a commissioner to lead the department. The great majority of the department's resources are directed toward maintaining and improving the state's network of roads and bridges. Proceeds from the state's motor fuel taxes are constitutionally earmarked solely for use on Georgia's roads and bridges. Non-road and bridge construction projects are supported by a combination of state general funds, federal funds and local funds. DEPARTMENT OPERATIONS The department's organization chart is based on specific processes or responsibilities such as personnel, planning, engineering and construction. However, the department's budget is divided into functions that may include the activities of several organizational divisions. These functions are discussed below. PLANNING AND CONSTRUCTION - Plans, maintains and improves the roads and bridges of the state highway system. As part of this overall responsibility, personnel provide a long-range state multi-modal transportation plan and long-range plans for urban areas; maintain an approved construction work program of priority projects; perform location and environmental studies; conduct mapping and photogrammetric surveys; acquire rights-of-way necessary to construct and maintain highways; supervise all construction and maintenance activities let to contract; ensure the quality of materials used in construction; and conduct research to improve planning and engineering methods. MAINTENANCE AND BETTERMENTS - Responsible for maintenance and repairs to the roads and bridges of the state highway system. The goal of this function is to preserve the existing road network and improve its safety by programming and supervising major reconstruction and resurfacing or rehabilitation projects let to contract; performing certain heavy and specialized maintenance such as emergency repairs; making spot improvements and safety modification; performing routine maintenance such as patching pavement failures, repairing shoulders, maintaining drainage, mowing rights-of-way, erecting and maintaining warning and directional signs, and inspecting roadside parks and rest areas; operating and maintaining state visitor information centers; issuing permits for special vehicles such as oversized and overweight carriers; and enforcing Georgia's special vehicle regulations. ADMINISTRATION - Provides executive management, personnel management, fiscal administration, public information, purchasing, equipment management and inventory, contract administration, and other general administrative functions for the department. FACILITIES AND EQUIPMENT - Used as a separate budget function for new and replacement equipment and facilities necessary for the efficient performance of the department's various operations. INTERMODAL TRANSFER FACILITIES - Provides funding and administration of public transportation programs, i.e. buses and vans, provided under the Urban Mass Transportation Act of 1964; provides funding and administration of light density rail rehabilitation and for the construction and signage of statewide Park and Ride lots; provides departmental financial assistance to cities and counties for airport planning, construction, approach aids, maintenance and other services as needed; maintains and updates the state airport system plan; publishes and distributes a state aeronautical chart and airport directory; and provides management assistance and technical expertise to local governments to develop, maintain and improve scheduled air service. AIR TRANSPORTATION - Operates aircraft for use by state officials in conducting state business and also performs various aerial photography services for the department in the course of construction or road and bridge improvement. HARBOR MAINTENANCE - Concerned with the department's role with assisting Chatham County, designated as the local assurer, in fulfilling its responsibility for the provision and maintenance of lands, dikes and control works necessary for present and future storage of dredge materials removed from the Savannah Harbor and River Navigation Channel. Navigation dredging is performed by the U.S. Army Corps of Engineers and these dredge materials are placed inside designated storage areas prepared by the local assurer. AUTHORITY Titles 6 and 32 of the Official Code of Georgia Annotated. 549 DEPARTMENT OF TRANSPORTATION Strategies and Services The Department of Transportation's focus has been on building and maintaining the state's network of roads and bridges. The vast majority of its funds, both state and federal, are dedicated to this purpose. As a result, Georgia is recognized nationally as having a superior highway system due primarily to the department's efforts and emphasis on roads and maintenance. The high quality of Georgia's transportation system has been essential to the economic success and growth of the state. But the department faces great challenges in developing appropriate strategies for future transportation needs and related transportation issues affecting the metro Atlanta region. The ability to build new highway infrastructure and capacity in the core of metropolitan areas is diminishing rapidly and air quality in non-attainment areas is a growing problem. To meet these challenges, the department is placing a greater emphasis on a more balanced transportation system that advances public transit, passenger rail and other mo des of travel. With the passage of reauthorized federal transportation legislation in FY 1998, the department received major increases in federal transportation dollars for everything from roads to rail projects. The federal authorization continues to provide the department with flexible funds to develop strategies for addressing the metro Atlanta region's air quality and sprawl problems. Federal funds, when combined with motor fuel appropriated funds, also enable the department to continue fulfilling its traditional responsibility to building and maintaining the state's network of roads. FEDERAL HIGHWAY FUNDING In September of 1998, Congress passed the Transportation Equity Act for the 21st Century called TEA-21. The federal funds authorized for Georgia include over $5.5 billion for core transportation construction and maintenance programs and over $70 million for special designated rail projects for the 6-year period covering fiscal years 1998-2003. As stipulated in TEA-21, 18% of the total authorization for Georgia is being allocated for FY 2001 and another 19% will be allocated for FY 2002. For FY 2002, this equates to a level of over $890 million. MASS TRANSIT / PASSENGER RAIL New initiatives for mass transit and rail projects include a recommendation of $6,647,920 in state general funds in the Amended FY 2001 Budget to match over $60 million in federal Mass Transit Grant funds for buses and bus-related facilities. These funds will allow the Metropolitan Atlanta Rapid Transit Authority (MARTA) to purchase approximately 70 natural gas-powered buses. Additionally, Gwinnett County will be able to continue the start-up of its bus system by establishing bus and maintenance facilities. The FY 2002 budget recommends a transit operations manager for the InterModal Transfer Facilities division within the department. This position will provide training and supervision for the transportation coordinators, oversee the departments FTA application process and monitor the program for compliance with the state and federal guidelines. The Amended FY 2001 Budget recommends a total funding of $3,900,000 in bonds to advance the development of the Atlanta Multi-Modal Passenger Terminal by providing right of way and beginning site preparation for a phased implementation of the facility. These funds will be matched with federal funds of $15.6 million. The facility represents a major investment in the hub for public transportation services to serve residents all over Georgia. The terminal will have the ability to provide regional bus and intercity bus service, commuter rail and intercity passenger rail service to the growing Metro Atlanta area. The terminal will also be designed to provide a direct connection to the MARTA Five Points Station and pedestrian linkages to emphasize a full integrated inter-modal approach for maximum passenger convenience and cost effectiveness. The Governor also recommends in FY 2002 $1,350,000 to continue contract planning, engineering and program management functions related to the initiation of passenger rail service. These funds are complemented by an additional $1,350,000 that has been recommended in the Amended FY 2001 Budget for the Georgia Regional Transportation Authority (GRTA). The total funding of $2.7 million will be managed by the department, GRTA and the Georgia Rail Passenger Authority through the inter-agency Program Management Team to bring the dream of passenger rail service into reality. Additional recommendations reflect and recognize the importance of freight rail to the state and its economy. The Amended FY 2001 Budget recommends $5,150,000 million in bonds to acquire strategic rail line segments between Ellijay and Tate, at Wylie Street in Atlanta and at the West End in Atlanta. Funding is also provided for a planner for the freight rail and the rail acquisition program. Improved mass transit, commuter rail and inter-city passenger rail, offer a long-term strategy for addressing metro Atlanta's air quality and traffic problems. Mass transit can have a significant impact on air quality and traffic problems, keeping metro Atlanta an attractive place for business locations and ensuring its continued strength as a business center into the next millenium. Another way which the department is combating smog is their participation in the Georgia Congestion Mitigation and Air Quality Improvement Program (CMAQ). The program is critical for meeting the national air quality standards required by the Federal Clear Air Act. Projects are planned and implemented through a 550 DEPARTMENT OF TRANSPORTATION -- Strategies and Services public/private partnership of organizations funded in part by the Federal CMAQ program. Federal CMAQ funds are authorized for the six years covered by TEA -21, FY 1998-FY 2003, and are available to air quality nonattainment areas only. The Georgia Department of Transportation has made efforts to coordinate plans across the region by meeting with other public and private organizations who have put together a framework agreement committing to specific actions, and coordinating resources and programs. The purpose of this program is to reduce congestion and improve air quality in the current non-attainment area through changes in behavior, especially drivers of single occupancy vehicles. It is also laying the groundwork for coordinated partnerships in other areas of Georgia faced with the possibility of similar problems as growth continues. Plans for coordination in areas such as Macon, Augusta, and Columbus are underway. Also, Metropolitan Planning Organizations (MPOs) and other stakeholders are participating with the department in the development of a procedures manual to guide the Georgia CMAQ program for FY 2002 and beyond. HIGHWAY CONSTRUCTION/ HIGHWAY MAINTENANCE With its traditional responsibility for road maintenance and construction, the department has spent well over $5.7 billion to construct, reconstruct and widen more than 8,300 lane-miles of road over the past decade. In FY 2001, approximately $1.1 billon worth of construction contracts is budgeted for 3,500 miles of state roads at an average expenditure of $314,000 per mile of road improvement. In addition, FY 2001 has seen 125 bridges let to contract, over 1,440 miles of state highway resurfaced or resealed, and 450 miles of state highway shoulders paved or widened. Improved highway facilities are necessary to encourage continued economic growth. One of the department's economic development related programs is the Governor's Road Improvement Program (GRIP). This ambitious program is intended to add four-lane highways to every section of the state and would place 98% of the state within 20 miles of a four-lane road. As envisioned, this developmental highway system, when complete, will add 2,697 miles of four-lane highways across the state. The state has appropriated over $1 billion for GRIP over the last nine years. As of October 2000, 1,531 miles of all GRIP corridors have been completed or are under construction. The Governor recommends that, of the motor fuel funds appropriated to the department, $31 million be designated as debt service payments. These funds are to authorize the guarantee of revenue obligations by the State Tollway Authority. AIRPORT AID The state airport system is defined in terms of its capacity and capability to serve the needs of the general aviation industry. The degree of success of Georgia's public airports is a direct function of the capability of the airports to meet existing and future aviation mobility needs. If the needs are well served, regional and local economies will have a broader window of opportunity to be strengthened and revitalized. By virtue of the benefits from activities associated with the use of aviation and aviation-related services, more areas of Georgia will have a competitive advantage in attracting industry and stimulating long-term economic development in communities that might not otherwise have had opportunities for growth. The department's Airport Aid program provides state funding assistance for capital improvements and for the maintenance of operational and safety requirements at Georgia's 103 publicly -owned airports. Projects include construction of new or extended runways, taxiways, aircraft parking aprons, and new lighting systems. The program also addresses critical airport needs such as pavement maintenance, obstruction removal, and visual and electronic navigational approach aids. State general funds are used to match federal and local funding for projects which enhance local development and improve the state's transportation infrastructure. A January 1999 pavement management study of 94 general aviation airports identified a funding need of $20 million. The Governor is recommending $1 million in the Amended FY 2001 Budget for pavement maintenance at publicly- owned airports. HARBOR MAINTENANCE Providing a safe passage for international shipping lines using Georgia's ports is an ever-increasing effort by the department. The world's shipping lines continue to increase the size of their ships, requiring ports to provide increasingly deeper channels to accommodate the larger vessels. Dredged material from the Savannah River channel is removed by the U.S. Army Corps of Engineers and deposited in diked areas. This is an ongoing process that requires the department to take care of dike construction and harbor maintenance. Understanding the importance of Georgia ports to the state's economy, the Governor is recommending $2,250,000 in bonds in the Amended FY 2001 Budget for needed harbor maintenance projects and one coordinator for responsibility of the Brunswick Harbor as maintenance begins to work with the Army Corps of Engineers, and coordinate use of the dredged material disposal areas with the Corps and dock operators. 551 DEPARTMENT OF TRANSPORTATION Results-Based Budgeting NON-HIGHWAY TRANSPORTATION SYSTEMS Purpose: Offer citizens and businesses opportunities for improved quality of life and economic development prospects through a balanced transportation system investing in public transit, aviation, rail, harbor, waterway projects, bicycle and pedestrian access facilities. Goal 1: Support public transportation services at the local and regional levels of the state to meet the needs of transit users. - Increase access to public transportation services as reflected by transit system on way passenger trips. FY 2000 Desired 2,344,477 FY 2000 Actual 2,400,477 FY 2001 Desired 2,461,700 FY 2002 Desired 2,584,786 Goal 2: Improve the safety, reliability, capability and utility of the statewide air transportation system to meet existing and future aviation needs by providing financial and technical support to publicly owned airports. - Reduce the maximum threshold level of public use airports which are not in compliance with the state 38 Airports 39 Airports 39 Airports 36 Airports licensing standards. - Increase the number or airports having pavement conditions 68 Airports 68 Airports rated good in comparison to established standards. 68 Airports 70 Airports - Increase the number of airports with expanded runway lengths to accommodate larger and more sophisticated aircraft. 3 Airports 2 Airports 8 Airports 4 Airports Goal 3: Provide adequate dredge material containment areas to support waterborne shipping access to ports. - Federal waterway dredging schedules will experience no delays attributed to deficient disposal areas. No Delay Goal 4: Provide and maintain safe and adequate railroad segments that link to the regional and national rail systems. - Increase the percentage of light density rail miles maintained at or above Federal Railroad Administration (FRA), Class II 65 miles Track Standards. Goal 5: Minimize the adverse economic impacts of changes in rail service by acquiring and preserving rail corridors of strategic importance. - Increase the inventory miles of preserved rail lines of strategic importance by purchasing the additional mileage indicated of 65 miles the 756 miles of total available identified rail. Goal 6: Promote economic development of the state by supporting the air transportation needs of the Department of Industry, Trade and Tourism, - The percentage of flights supporting the Department of Industry, Trade and Tourism. 146 Flights Goal 7: Meet the air transportation needs of public officials and state employees. - The percentage of flights supporting public officials and state employees will be maintained at 80% of FY 1998 requested flights. 1,046 Flights No Delay 141 miles 96 miles 92 Flights 653 Flights No Delay No Delay 143 miles 187 miles 59 miles 64 miles 90 Flights 91 Flights 821 Flights 1,026 Flights 552 DEPARTMENT OF TRANSPORTATION - Results-Based Budgeting NON-HIGHWAY TRANSPORTATION SYSTEMS (cont.) Goal 8: Provide a statewide network of bicycle routes and FY 2000 FY 2000 FY 2001 facilities and improved pedestrian access supporting a Desired Actual Desired broader range of travel opportunities. - Increase the number of state network roads posted for bike routes according to the statewide bicycle plan. (new program in 0 Roads 0 Roads 3 Roads development). Program Fund Allocation --Total Funds $37,268,096 $25,159,569 State Funds $9,052,393 $11,570,402 FY 2002 Desired 3 Roads $29,418,875 $13,497,438 PUBLIC ROAD NETWORK Purpose: The public road network throughout the state will be operationally efficient in moving people, goods and services in and out of communities. Goal 1: The public road network throughout the state will be operationally efficient in moving people, goods and services in and out of communities. - Maintain 99% of Georgia's Inter-state, state highways, and FY 2000 Desired FY 2000 Actual FY 2001 Desired FY 2002 Desired roads in category designated "Good" based on DOT "ride- 99.80% 99.90% 99.80% 99.80% ability" standards. - Increase the percentage of met needs versus identified needs based upon state fund availability for LARP. 54% 55% 55% 55% - Maintain percentage of heavy truck weight compliance at 99.6% through increase enforcement. 99.60% 99.60% 99.60% 99.60% Goal 2: The public road network will be planned, designed, constructed and maintained for safe travel by all users. - Operate and maintain the safest public road network in the southeast as reflected by annual fatalities for southeastern states by reducing the number of 1.68 1.52 1.68 1.50 fatalities/100M vehicle miles traveled. - The percentage of accidents reduced at high accident locations 8% 8% improved with Federal Highway Safety Funds. 10% 10% Goal 3: Improve the efficiency of the highway system through innovative traffic management technologies. Reduce incident detection and response time of the HERO units resulting in improved efficiency of freeways. 7 min. 7 min. 7 min. 7 min. Goal 4: Support and promote sustainable economic development throughout Georgia. - Increase the multi-lane roadway mileage of the Governor's Road Improvement Program (GRIP), currently open or under construction. Goal 5: Support and promote environmental sensitivity in road construction projects. - Create or rehabilitate (mitigate) a minimum level of 10% of wetlands acreage each year to replace those wetland acres destroyed for bridge and construction projects. Program Fund Allocation --Total Funds State Funds 1,531 miles 1,530 miles 1,576 miles 1,610 miles 600 acres/200 mitigated 220 acres/400 mitigated $1,648,114,815 $608,403,575 250 acres/1000 250 acres/1000 mitigated mitigated $1,453,785,328 $1,501,683,756 $580,213,907 $630,000,000 TOTAL - All Programs Total Funds State Funds $1,685,382,911 $1,478,944,897 $1,531,102,631 $617,455,968 $591,784,309 $643,497,438 553 [This page intentionally blank] 554 DEPARTMENT OF VETERANS SERVICE Total Budgeted Positions -- 133 Veterans Service Board Commissioner 2 Assistant Commissioner Field Services 3 Education and Training Division 7 Assistant Commissioner 5 Information Division 2 Assistant Commissioner Claims 2 Area 1 32 Area 2 22 Area 3 31 Administrative Division 6 Veterans Home, Milledgeville 1 Cemetery Accounting Division 3 Nursing Home, Augusta 4 Claims Division 13 555 DEPARTMENT OF VETERANS SERVICE -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Operating Exp/Pymts. To GA. Medical College ROE for Projects WWII Veterans Memorial Total Funds Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds FY 1999 Expenditures 5,183,283 195,723 92,245 173,265 250,711 14,339,340 27,100 66,850 7,393,118 395,500 $28,117,135 8,874,861 19,950 $8,894,811 FY 2000 Expenditures 5,242,410 279,436 92,245 163,057 269,784 14,389,340 27,080 82,020 FY 2001 Current Budget 5,732,166 297,803 100,000 163,057 264,941 14,810,500 27,080 83,660 7,724,029 7,840,660 692,500 $28,961,901 436,000 196,373 $29,952,240 FY 2002 Agency Requests Adjusted Base Enhancements Totals 5,765,985 297,803 100,000 163,057 264,941 14,810,500 27,080 83,660 9,000 87,757 3,526 5,102,118 5,765,985 297,803 109,000 250,814 268,467 19,912,618 27,080 83,660 7,840,660 312,077 8,152,737 436,000 436,000 $29,789,686 $5,514,478 $35,304,164 10,196,923 4,515 39,500 $10,240,938 9,702,324 $9,702,324 9,702,324 $9,702,324 544,859 10,247,183 $544,859 $10,247,183 TOTAL STATE FUNDS Positions Motor Vehicles $19,222,324 129 1 $18,720,963 129 1 $20,249,916 133 1 $20,087,362 133 1 $4,969,619 $25,056,981 133 1 556 DEPARTMENT OF VETERANS SERVICE -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Capital Outlay Operating Exp/Pymts to GA. Medical College ROE for Projects WWII Veterans Memorial Total Funds FY 2001 Annualizers and Current Budget Adjustments 5,732,166 297,803 100,000 163,057 264,941 14,810,500 27,080 83,660 33,819 (47,782) 7,840,660 436,000 196,373 $29,952,240 (196,373) ($210,336) Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 9,702,324 $9,702,324 $20,249,916 ($210,336) Positions 133 Motor Vehicles 1 FY 2002 Governor's Recommendations Workload Adjusted Base 5,765,985 297,803 100,000 163,057 217,159 14,810,500 27,080 83,660 Enhancements 9,000 3,526 3,000,000 7,840,660 436,000 312,077 Totals 5,765,985 297,803 109,000 163,057 220,685 17,810,500 27,080 83,660 8,152,737 436,000 $29,741,904 $3,324,603 $33,066,507 9,702,324 157,393 9,859,717 $9,702,324 $20,039,580 133 1 $157,393 $3,167,210 $9,859,717 $23,206,790 133 1 557 DEPARTMENT OF VETERANS SERVICE FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET Governor's Recommendations FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. 2. Adjust for DOAS rates. 3. Adjust Georgia Building Authority rental rates to a standard of $8.75 per rentable square footage. Other Adjustments: 4. WW II Veterans Memorial Contribution. ADJUSTED BASE ENHANCEMENT FUNDS ENHANCEMENTS 1. Increase in Real Estate Rentals. 2. Increase travel expenses. 3. Increased payment to the Medical College of Georgia to operate the Veterans Nursing Home in Augusta. 4. Increase the privatized contract to operate the Veterans Nursing Home in Milledgeville. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS $20,249,916 33,819 (47,782) (196,373) $20,039,580 3,526 9,000 154,684 3,000,000 $3,167,210 $23,206,790 558 DEPARTMENT OF VETERANS SERVICE Functional Budget Summary 1. Veteran Assistance FY 2001 Appropriations Total State $21,808,580 $15,728,920 FY 2002 Recommendations Total State $23,438,799 $15,732,706 2. Veterans Nursing Home - Augusta 8,143,660 4,520,996 9,627,708 7,474,084 TOTAL APPROPRIATIONS $29,952,240 $20,249,916 $33,066,507 $23,206,790 RECOMMENDED APPROPRIATION: The Department of Veteran Services and the Veterans Nursing Home in Augusta are the budget units for which the following State 'Fund Appropriation is recommended for FY 2002: $23,206,790. 559 DEPARTMENT OF VETERANS SERVICE Roles and Responsibilities The Department of Veterans Service serves more than 685,000 Georgia veterans, their dependents, and beneficiaries in all matters pertaining to veterans' affairs. Since all veterans' benefits mu st be applied for, the major activities of the department generally consist of informing veterans and their families about all available state and federal benefits and directly assisting and advising them in obtaining those benefits to which they are entitled. VETERANS EDUCATION ASSISTANCE As the state approving agency for the federally sponsored Veterans Education Assistance Program, the department is responsible for approving and supervising all institutions (including public and private schools and establishments offering on-the-job training and apprenticeship programs) in Georgia which participate in this program. In addition to approving these institutions, the Department of Veterans Service also inspects them regularly to ensure that all criteria for continued approval are met. This function is 100 percent federally funded and employs seven staff. The Department is required by law to: Generally promote and protect the rights of Georgia veterans under all state and federal laws. Furnish information to all veterans of all wars as to their rights and benefits under federal and state laws and local ordinances. Assist all veterans and their dependents and beneficiaries in the preparation and processing of claims with the appropriate federal agencies. Report to the appropriate federal or state agency any instances of incompetence, dishonesty or neglect of duty by any employee or agency dealing with veterans' affairs. Maintain complete copies of all records on veterans filing claims for benefits through the department. Advise the Board, the Governor, and the General Assembly in regard to veterans legislation and policies. INSTITUTIONS FOR VETERANS The Department of Veterans Service operates two institutions that offer health care services to eligible veterans. Located next to the Central State Hospital in Milledgeville, the 475-bed Georgia State Veterans Home complex is situated on approximately 17 acres of land. The complex is comprised of three skilled nursing units and one domiciliary unit (i.e. building limited to simp le lodging). A separate unit dedicated to Alzheimer's disease care is currently under construction and is expected to open in Spring 2001. There are 375 skilled care beds and 100 beds in the domiciliary unit. Upon completion, an additional 21 beds will be available for Alzheimer's care. The facility is staffed and operated through a contract with a private vendor. A second facility is maintained in Augusta. The Georgia War Veterans Nursing Home is staffed by 209 employees and operated through a contract with the Medical College of Georgia and the University System of Georgia. At this 192-bed facility, physicians and medical students provide a complex range of services and nursing care to sick and disabled veterans. GOVERNING AND RESPONSIBILITIES The Department of Veterans Service is governed by the seven-member Veterans Service Board appointed by the Governor, with confirmation by the Senate. The day-to-day operation of the department is the responsibility of the Commissioner who is appointed by the Board for a four-year term. AUTHORITY Title 38-4, Official Code of Georgia Annotated; Chapter 36, Title 38, United States Code. Veterans Nursing Home and Domiciliary Total Patient Days 250,000 200,000 150,000 100,000 50,000 0 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 Fiscal Year Veterans Home - Augusta Veterans Domiciliary - Milledgeville Veterans Home - Milledgeville 560 DEPARTMENT OF VETERANS SERVICE Strategies and Services The Department of Veterans Service regularly prepares and distributes news releases, radio programs, and technical bulletins on veterans' benefits, changes in laws, and proper procedures for filing claims. In addition, the Commissioner, department staff and field office managers make personal appearances before veterans' organizations throughout the state to explain veteran rights and benefits and the assistance available from the department. VETERANS ASSISTANCE In addition to the central office in Atlanta, the department maintains a claims processing staff at the regional office of the U.S. Department of Veterans Affairs in Atlanta and 46 field offices or satellite branches across the state. At these locations, agency personnel assist and advise veterans and their families in several ways. Assistance is given in initiating, filing and processing of claims. When necessary, the department will represent veterans before claims or appellate boards. Veterans are also assisted in securing social security and related benefits. Additionally, assistance is provided in securing burial benefits, in arranging for the burial of eligible veterans in national cemeteries and in securing flags and grave markers. In FY 2000, the department processed 648,959 requests for assistance; it is projected that this number will increase to 660,000 in FY 2001. GEORGIA WAR VETERANS HOME MILLEDGEVILLE In FY 2001, this privatized facility will provide an estimated 161,000 days of patient care to veterans in need of continuous nursing care and rehabilitation (skilled nursing care). Since the facility was privatized in FY 1997, residents of the home have reported significant improvements in the quality of care received. In 1998 the facility received the American Health Care Association Quality Award for quality improvement. As the veteran population has aged the acuity level (or level of care) of the skilled nursing patients has also increased significantly. In FY 1989, approximately 40 % of the skilled patients at this facility required total care. Today, approximately 69 % require this intensive level of care. In addition to the skilled nursing component, the Pete Wheeler Domiciliary provides living accommodations and minimal medical care to veterans who are able to maintain some level of independence in carrying out their daily living. A patient exercise program has been implemented throughout the home to increase physical activity with an anticipated reduction in patient falls and injuries. GEORGIA VETERANS NURSING HOME AUGUSTA In FY 2001, this facility will provide an estimated 65,700 days of patient care to veterans in need of continuous nursing care and rehabilitation. In addition, the facility provides educational experience to students of the various schools comprising the Medical College of Georgia. Through this association, the nursing home is allowed access to technology and expertise not readily available to other skilled nursing facilities. These resources have enabled the home to become a leader in long-term care training and research. GEORGIA VETERANS MEMORIAL CEMETERY Funded in FY 2000, the Georgia Veterans Memorial Cemetery in Milledgeville will be the first state government operated veterans cemetery in the state. Located on 142 acres in Baldwin State Forest with 17 acres developed to accommodate 1,000 burial sites, the cemetery will also include a six-acre storm retention lake, a main entrance, a ceremonial area and a hearse parking area. The cemetery is scheduled to open in June 2001. Veterans Request for Assistance 700,000 650,000 600,000 550,000 500,000 1996 1997 No. of Veterans 1998 1999 Fiscal Year 2000 2001 No. of Requests for Assistance 561 DEPARTMENT OF VETERANS SERVICE Results-Based Budgeting VETERANS ASSISTANCE Purpose: Assist Georgia veterans to obtain all benefits to which they are legally entitled in recognition of their military service. Goal 1: Veterans will receive the benefits for which they apply and are entitled, and veterans and their families will FY 2000 FY 2000 FY 2001 FY 2002 be satisfied with the services they receive. '[1.] Desired Actual Desired Desired - 98% of the claims that the VA determines are substantiated, will be approved the first time they are submitted. >95% [2.] >97% >98% - In a survey of 500 randomly selected veterans and their families or representatives receiving assistance in FY 2002, at least 91% will rate degree of satisfaction as either good or >85% [2.] >90% excellent. Program Fund Allocation-Total Funds State Funds 20,656,020 22,065,251 13,604,955 15,248,471 Notes: 1- Goals 1 and 2 in the FY 2001 Budget Report were combined into a single goal for FY 2002. 2- This data is provided by the US Department of Veterans Services and will not be available until 2001. >91% 24,867,441 17,893,268 VETERANS NURSING HOME AND DOMICILIARY Purpose: Provide daily skilled nursing and domiciliary care to eligible Georgia Veterans at the Georgia War Veterans Home in Milledgeville, and the Georgia War Veterans Nursing Home in Augusta. Goal 1: Ensure that veterans residing at the Georgia War Veterans Home in Milledgeville and Georgia War Veterans Nursing Home in Augusta receive quality, cost-effective FY 2000 FY 2000 FY 2001 FY 2002 care. Desired Actual Desired Desired - Each facility will successfully pass annual U.S. Department of Veterans Affairs and State Licensure Inspections. 100% 100% 100% 100% - The percentage of veterans and their families surveyed who received care at the Georgia War Veterans Home or the Georgia War Veterans Nursing Home that rate their care as good or 85% [1] 87% N/A better. - Per day patient costs will be equal to or less than the southeast regional average for similar services as follows: -- Skilled Nursing Care Cost (Georgia/Southeast) < Southeast Region [1] < Southeast Region -- Domiciliary Care Cost (Georgia/Southeast) < Southeast Region [1] < Southeast Region Program Fund Allocation-Total Funds 8,305,881 7,886,989 State Funds 5,116,008 5,001,445 Note: 1 - This data is provided by the US Department of Veterans Services and will not be available until 2001. < Southeast Region < Southeast Region 8,199,066 5,313,522 TOTAL - All Programs Total Funds State Funds $28,961,901 $29,952,240 $33,066,507 $18,720,963 $20,249,916 $23,206,790 562 STATE BOARD OF WORKERS' COMPENSATION Total Budgeted Positions -- 164 Board of Directors 8 Executive Director's Office 3 Administrative Services Division 16 Appeals and Settlements Division 13 Claims Processing Division 27 Fraud/Compliance Division 14 Insurance Consultant 1 Legal Division 64 Licensure and Quality Assurance Division 10 Managed Care and Catastrophic Disability Division 8 563 STATE BOARD OF WORKERS' COMPENSATION -- Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds FY 1999 Expenditures 9,080,769 621,050 135,099 79,165 1,177,909 121,323 267,926 202,387 39,025 $11,724,653 480,107 $480,107 FY 2000 Expenditures 9,311,369 521,161 135,608 19,931 1,328,494 100,251 258,340 206,609 29,795 $11,911,558 FY 2001 Current Budget 9,847,042 434,815 140,600 9,288 1,206,524 99,400 220,320 251,656 $12,209,645 FY 2002 Agency Requests Adjusted Base Enhancements Totals 9,919,377 434,815 140,600 9,288 1,206,524 99,400 220,320 251,656 117,828 15,100 92,814 15,100 41,656 (41,656) 10,037,205 449,915 140,600 9,288 1,299,338 114,500 261,976 210,000 $12,281,980 $240,842 $12,522,822 449,543 $449,543 260,000 $260,000 260,000 $260,000 260,000 $260,000 TOTAL STATE FUNDS Positions Motor Vehicles $11,244,546 164 1 $11,462,015 164 1 $11,949,645 164 1 $12,021,980 164 1 $240,842 2 $12,262,822 166 1 564 STATE BOARD OF WORKERS' COMPENSATION -- Financial Summary Current Budget and Governor's Recommendations Budget Classes/Fund Sources Personal Services Regular Operating Expenses Travel Equipment Real Estate Rentals Per Diem, Fees & Contracts Computer Charges Telecommunications Year 2000 Project Total Funds FY 2001 Annualizers and Current Budget Adjustments 9,847,042 434,815 140,600 9,288 1,206,524 99,400 220,320 251,656 72,335 $12,209,645 $72,335 Less Federal & Other Funds: Federal Funds Other Funds Governor's Emergency Funds Total Federal & Other Funds TOTAL STATE FUNDS 260,000 $260,000 $11,949,645 $72,335 Positions 164 Motor Vehicles 1 FY 2002 Governor's Recommendations Workload Adjusted Base 9,919,377 434,815 140,600 9,288 1,206,524 99,400 220,320 251,656 Enhancements 117,828 11,900 5,000 41,656 (41,656) Totals 10,037,205 446,715 140,600 9,288 1,206,524 104,400 261,976 210,000 $12,281,980 $134,728 $12,416,708 260,000 $260,000 $12,021,980 164 1 260,000 $134,728 2 $260,000 $12,156,708 166 1 565 STATE BOARD OF WORKERS' COMPENSATION FY 2002 Budget Summary ADJUSTMENTS TO CURRENT BUDGET FY 2001 STATE APPROPRIATIONS Annualizers: 1. Annualize the cost of the FY 2001 salary adjustment. ADJUSTED BASE Governor's Recommendations $11,949,645 72,335 $12,021,980 ENHANCEMENT FUNDS ENHANCEMENTS 1. Add an additional position for the increased workload from the Peoplesoft accounting program. 2. Fund an administrative services position for administering the Local Area Network (LAN). 3. Fund additional delivery service expenses to the 10 field offices. 4. Fund increased expenses to maintain the LAN servers. 5. Fund Phase III of the multi-state Workers' Compensation system study. 6. Transfer $41,656 from Telecommunications to Computer Charges to realign the budget with project expenditures. TOTAL ENHANCEMENT FUNDS TOTAL STATE FUNDS 49,071 71,957 5,000 1,200 7,500 Yes $134,728 $12,156,708 566 STATE BOARD OF WORKERS' COMPENSATION Functional Budget Summary FY 2001 Appropriations Total State FY 2002 Recommendations Total State 1. Workers' Compensation Board $12,209,645 $11,949,645 $12,416,708 $12,156,708 TOTAL APPROPRIATIONS $12,209,645 $11,949,645 $12,416,708 $12,156,708 RECOMMENDED APPROPRIATION: The Workers' Compensation Board is the budget unit for which the following State Fund Appropriation is recommended for FY 2002: $12,156,708. 567 STATE BOARD OF WORKERS' COMPENSATION Roles and Responsibilities WORKERS' COMPENSATION LAW Most Georgia employees are covered by the state's workers' compensation law. Before this law was passed, employees might not gain benefits from employers when they were injured on the job. The law now ensures employees certain benefits paid to them as a result of on the job injuries. The same law also then provides employers with a form of limited liability from these injuries. The state's workers' compensation law applies to all employers that have at least three full-time, part-time, or seasonal employees. Some categories of workers are exempt, however, including: federal employees, railroad workers, farmers, domestic servants, business partners, independent contractors, and some corporate officers. The state created the State Board of Workers' Compensation to oversee the workers' compensation law. It may create rules, regulations, and policies to enforce this area of law. The Board is also vested with the responsibility of conducting training seminars that educate emp loyers, employees, insurers, self-insurers, physicians, and rehabilitation suppliers about workers' compensation law changes and other related issues. If either the employer or an employee involved in a workers' compensation claim wishes to contest the facts involved in the case, an administrative law judge under the Board or a Board mediator may be used to settle the issue. Either party disagreeing with this ruling may appeal the decision through the appellate division, state superior or appellate courts, but that avenue may only be used to debate points of law, not facts of a case. ORGANIZATIONAL STRUCTURE The board consists of three directors, one of which is a chair, all appointed by the Governor. Each serves for a term of four years. The board acts in a quasi-judicial manner, as well as in an administrative and regulatory fashion. Underneath the board is the legal division. This division reviews requests for hearings and conducts them in disputed cases. The division's screening and administration section processes claims sent to the board. If a claim does not need a full hearing, the alternative dispute resolution section may handle it. If the case is not eligible for this, then it would head to the trial section. The claims processing division maintains the filing system used by the board. The administrative services division performs accounting and personnel functions for the central and regional offices. The fraud/compliance division investigates worker's compensation fraud and issues of non-compliance. Other divisions under the board include: managed care and rehabilitation; licensure and quality assurance; and insurance issues. AUTHORITY Title 34-9, Official Code of Georgia Annotated. State Board of DADE CATOOSA FANNIN TOWNS UNION RABUN WHITFIELD WALKER MURRAY GILMER WHITE LUMPKIN HABERSHAM STEPHENS CHATTOOGA GORDON FLOYD BARTOW PICKENS DAWSON CHEROKEE FORSYTH HALL BANKS FRANKLIN HART MADISON JACKSON ELBERT Workers' Compensation Office Locations POLK PAULDING COBB HARALSON GWINNETT DEKALB BARROW WALTON CLARKE OGLETHORPE OCONEE WILKES LINCOLN DOUGLAS CARROLL CLAYTON FULTON ROCK- DALE NEWTON GREENE MORGAN TALLIFERRO COLUMBIA MCDUFFIE WARREN FAYETTE COWETA HENRY BUTTS JASPER PUTNAM HANCOCK GLASCOCK RICHMOND HEARD SPALDING JEFFERSON BURKE MERIWETHER PIKE TROUP LAMAR MONROE JONES BALDWIN WASHINGTON HARRIS UPSON TALBOT BIBB CRAWFORD WILKINSON TWIGGS JOHNSON JENKINS EMANUEL SCREVEN MUSCOGEE TAYLOR PEACH HOUSTON BLECKLEY LAURENS TREUTLEN CANDLER BULLOCH EFFINGHAM CHATTA- MARION HOOCHEE SCHLEY MACON DOOLY STEWART WEBSTER SUMTER CRISP PULASKI WILCOX DODGE M O N TGOMERY EVANS WHEELER TOOMBS TATTNALL TELFAIR BRYAN CHATHAM LIBERTY QUITMAN TERRELL RANDOLPH LEE CLAY CALHOUN DOUGHERTY TURNER BEN HILL IRWIN WORTH TIFT JEFF DAVIS APPLING LONG COFFEE BACON WAYNE PIERCE MCINTOSH EARLY BAKER BERRIEN ATKINSON BRANTLEY GLYNN MILLER MITCHELL COLQUITT COOK LANIER WARE CAMDEN SEMINOLE DECATUR GRADY THOMAS BROOKS CLINCH CHARLTON LOWNDES ECHOLS 568 STATE BOARD OF WORKERS' COMPENSATION Strategies and Services After its establishment in 1920 by the Georgia General Assembly, the responsibility of the State Board of Workers' Compensation has grown to overseeing workers' compensation matters for 187,000 employers and almost four million employees. Funded by assessments from insurance companies and self-insured employers, the board ensures that employees injured on the job who are eligible for replacement of a portion of lost wages, medical payments, or vocational rehabilitation service, receives them, while at the same time providing a limited liability coverage for employers. Several new strategies have been implemented by the state over the past decade in order to improve the services delivered by the board. MANAGED CARE If employers choose to, they may pick a managed care organization as the deliverer of medical service to their injured workers. The organization they choose must be certified by the board, which has the statutory authority to issue certification. In order to be certified, a managed health care plan will include: financial incentives to reduce service costs and utilization without sacrificing the quality of service; adequate methods of peer review; service utilization review to prevent inappropriate or excess treatments; and efforts to promote services that contribute to workplace health and safety. There are 21 certified managed care organizations covering over 145,000 employees. Nearly every county in the state has a certified managed care organization. Method of Resolution by Fiscal Year (1994-1998) 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 1994 1995 1996 1997 1998 Trial Held Alternate Method Used . Board surveys show that 80% of doctors, employers, insurers, and employees who participated in certified managed care organizations have a positive view of the system. Doctors value the increased communication provided by the managed care organization. Employees are pleased with the care when they are allowed to choose their authorized physician from the network. Finally, employers like the easier access due to the proactive education process. The division overseeing medical care and rehabilitation is conducting seminars showing employers and employees the benefits of introducing managed care into their workers' compensation services. ALTERNATE DISPUTE RESOLUTION Sometimes a disputed workers' compensation claim does not need to have a full evidentiary hearing. During the mid-1990's, the board realized that these cases could be handled through a less costly mediation process. The staff for this division handles over 500 cases a month, which previously may have gone to a full hearing. Certain issues are addressed better in a mediation venue. These include: change of physician; approval of income benefits to an employee; provision of emergency medical treatment; resolution of medical and attorney fee disputes; along with other issues. With an average time of only 41 days for a claim to be processed under this method, this section has shown cost savings to the employers and employees of Georgia. FRAUD AND COMPLIANCE This section was created and staffed in 1995 with a goal of educating and assisting parties involved in workers' compensation so benefits allowable under law are successfully received. To do this, the division conducts compliance checks while investigating and prosecuting fraud throughout the state. The compliance section has officers located throughout the state. Each officer conducts approximately 15 randomly generated, or in some instances complaint-based, checks a day. Since it's inception, the section has found over 4,500 businesses not carrying the required workers' compensation coverage. These employers now carry the proper insurance for an additional 23,500 employees. At least 15 of these employers have been criminally prosecuted. The fraud section has been granted law enforcement powers by the General Assembly and has issued 240 arrest warrants for workers' compensation fraud. 569 STATE BOARD OF WORKERS' COMPENSATION Results Based Budgeting WORKERS' COMPENSATION SERVICES Purpose: To fairly administer the law for workers injured on the job by ensuring no-fault and indemnity payments and by protecting employers from tort lawsuits. Goal 1: Ensure access to medical care for all workers FY 2000 FY 2000 FY 2001 FY 2002 injured on the job so that those workers can return to work. - At least 84% of workers injured on the job will return to work within one year of their injuries during FY 2002. [1] - The number of workdays lost by each employee with a work Desired >85% Actual 79% Desired >84% Desired >84% related injury in FY 2002 will be reduced to the FY 1999 60 days 62 days 60 days 60 days average of 60 workdays. GOAL 2: Control the growth of workers' compensation costs by developing reasonable fee schedules and specialized managed care programs. - The FY 2002 cost of medical care for injured workers will increase 20% or less over the FY 2001 costs for medical only claims. $91,000.00 $80,691.00 $109,2000.00 $131,040.00 +20% +6% +20% +20% GOAL 3: Payments of entitled benefits to injured workers by employers and insurers will be correct and timely. - The percent of injured workers receiving their first weekly payment on the twenty-first day after their injury will remain at >85% 85% >85% >85% the FY 1999 rate of 85%. GOAL 4: Ensure prompt due process to any party in a workers' compensation claim case by providing a judicial forum to address legal complaints with a trial level decision and by evaluating settlement agreements. - At least 2,513 cases will be settled without the need for a formal hearing in FY 2002. - Trial decisions for 75% of workers' compensation cases in FY 2,370 3,540 2,440 2,513 2002 will be rendered within 60 days of the initial trial. >75% 74% >75% >75% (Efficiency Measure) GOAL 5: Increase communication and improve relations between private industry and all users of the workers' compensation system. - At least 95% of employer attendees will be satisfied with the >95% 99% >95% >95% Board-sponsored workers' compensation training seminars. Program Fund Allocation -- Total Funds State Funds 11.911,558 12,209,645 12,416,708 11,462,015 11,949,645 12,156,708 Notes: 1-Based on actual data collected, the FY 2001 desired result is too high. Although the number of total claims has decreased by 1,500, the number workers returning to work within one year of their injury is remaining constant and is governed largely by the type of injury and the ability of the employers to make jobs available. TOTAL - All Programs Total Funds $11,911,558 $12,209,645 $12,416,708 State Funds $11,462,015 $11,949,645 $12,156,708 570 [This page intentionally blank] 571 STATE OF GEORGIA GENERAL OBLIGATION DEBT SINKING FUND Financial Summary Expenditures, Current Budget and Agency Requests Budget Classes/Fund Sources General Obligation Debt Sinking Fund (Issued) - State General Funds - Motor Fuel Tax Funds Total (Issued) General Obligation Debt Sinking Fund (New) - State General Funds Total (New) TOTAL STATE FUNDS FY 1999 Expenditures FY 2000 FY 2001 Expenditures Current Budget FY 2002 Agency Requests Existing Obligations Enhancements Totals 453,874,183 35,000,000 $488,874,183 535,401,785 35,000,000 $570,401,785 501,706,729 25,000,000 $526,706,729 580,920,721 $580,920,721 580,920,721 $580,920,721 73,742,506 $73,742,506 $562,616,689 53,958,710 $53,958,710 $624,360,495 $526,706,729 $580,920,721 $580,920,721 572 STATE OF GEORGIA GENERAL OBLIGATION DEBT SINKING FUND Financial Summary FY 2001 Governor's Recommendations Budget Classes/Fund Sources General Obligation Debt Sinking Fund (Issued) - State General Funds - Motor Fuel Tax Funds Total (Issued) General Obligation Debt Sinking Fund (New) - State General Funds Total (New) TOTAL STATE FUNDS Existing Obligations FY 2001 Governor's Recommendations Enhancements Totals 580,920,721 $580,920,721 580,920,721 $580,920,721 $580,920,721 $580,920,721 EXPLANATIONS: Existing Obligations: The Governor recommends that the net state fund requirement of $580,920,721 for existing obligations be appropriated. 573 [This page intentionally blank] 574 Capital Outlay SUMMARY OF CAPITAL OUTLAY RECOMMENDED BY THE GOVERNOR Amended FY 2001 [1] CASH BONDS LOTTERY Department of Agriculture 100,000 2,000,000 Georgia Building Authority 650,000 16,600,000 Department of Community Affairs Georgia Environmental Facilities Auth. 28,000,000 Georgia Regional Trans. Authority 1,350,000 Department of Corrections 13,020,000 Department of Defense State Board of Education 3,000,000 [2] 468,000,000 105,725,000 113,286,683 Georgia Bureau of Investigation 7,655,000 Georgia State Financing & Invest. Comm. 3,000,000 Department of Human Resources 11,000,000 Dept. of Industry, Trade and Tourism Georgia Ports Authority 6,000,000 Georgia World Congress Center Auth. 16,700,000 Department of Juvenile Justice 17,155,000 Department of Labor 3,400,000 Department of Natural Resources 41,400,000 Jekyll Island State Park Authority 5,000,000 Department of Public Safety 300,000 1,000,000 Regents, University System of Georgia 29,650,000 179,655,000 Office of Secretary of State 2,022,638 State Soil & Water Conservation Comm. 3,640,000 Dept. of Technical and Adult Education 91,410,000 Department of Transportation 68,898,115 31,275,000 Department of Veterans Service ____1_3_2_,9_0_0_ __1_,_4_9_0_,0_0_0_ __________ Total $571,103,653 $588,125,000 $113,286,683 FY 2002 CASH BONDS 349,416,991 __________ $349,416,991 __________ $0 LOTTERY __________ $0 [1] - Shown here for informational purposes only; see "The Governor's Amended Budget Report - Fiscal Year 2001" for details. [2] - The $468 million will be in a separate supplementary appropriations bill. A significant portion of capital outlay projects requested for FY 2002 are recommended in the Amended FY 2001 budget. Also, all projects recommended to be funded by bonds are recommended in the Amended FY 2001 budget due to favorable bond market conditions. Amount [Millions] Recommended Capital Outlay $600 $571.1 $588.1 $500 $400 $349.4 $300 $200 $113.3 $100 $0.0 $0.0 $0 Amended FY 2001 FY 2002 Cash Bonds Lottery 576 DEPARTMENT OF ADMINISTRATIVE SERVICES FY 2002 Capital Outlay Projects Capital Outlay Projects GEORGIA BUILDING AUTHORITY NEW CONSTRUCTION - Design of the State History Museum. Requested Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 150,000 150,000 Cash RENOVATIONS & IMPROVEMENTS - Removal of underground storage tanks on non-state owned land for the Georgia Environmental Facilities Authority. - Predesign of 330 Ponce de Leon renovation. - Predesign of Trinity-Washington Building renovation. - Lower Wall Street parking lot repairs including repaving correction of drainage problems and additional lighting improvements. - Finish renovations of #2 Peachtree Street. - Complete renovations of #2 Peachtree Street Annex. - Twin Towers floor coverings replacement. 500,000 250,000 250,000 1,000,000 12,000,000 2,000,000 2,125,000 500,000 Cash 250,000 Bonds 250,000 Bonds 1,000,000 Bonds 12,000,000 Bonds 2,000,000 Bonds MAJOR REPAIRS - Replace roof and install floor drains in mechanical rooms in the Twin Towers. - Passenger elevator modernization in various Capitol Hill area buildings. - Removal of spline ceilings in the Twin Towers Building. - Replace fire alarm and emergency generator in the #7 Martin Luther King, Jr., and Agriculture Buildings. - Freight Depot fire alarm system replacement. 1,100,000 1,685,000 1,000,000 50,000 325,000 1,100,000 Bonds EQUIPMENT - Replacement of Freight Depot kitchen equipment. 375,000 TOTALS $22,810,000 $17,250,000 Cash Bonds Lottery $650,000 $16,600,000 577 DEPARTMENT OF AGRICULTURE FY 2002 Capital Outlay Projects Capital Outlay Projects DEPARTMENT OF AGRICULTURE NEW CONSTRUCTION - Contruct an Office Building for the Poultry and Egg Grading Office currently located in Oakwood. Requested 150,000 MAJOR REPAIRS - Continue repairs at the Atlanta Farmers' Market, including ($1,000,000) for paving. - Fund repairs and maintenance at Farmers' Markets statewide. 2,000,000 2,000,000 GEORGIA AGRIRAMA DEVELOPMENT AUTHORITY NEW CONSTRUCTION - Fund various projects at the Agrirama Development 1,475,000 Authority, including 1940's farm, 19th century restaurant, wood frame turpentine quarters, brick store front, 2 log houses, and relocation of a town church. TOTALS $5,625,000 Cash Bonds Lottery Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 100,000 Cash 2,000,000 Bonds $2,100,000 $100,000 $2,000,000 578 DEPARTMENT OF COMMUNITY AFFAIRS FY 2002 Capital Outlay Projects Capital Outlay Projects Requested GEORGIA ENVIRONMENTAL FACILITIES AUTHORITY NEW CONSTRUCTION - Provide for low interest loans for local water and sewer 15,000,000 construction projects to support environmental protection and economic development. - Provide state match to federal funds for clean water and 8,000,000 drinking water capitalization grants. Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 17,000,000 Bonds 8,000,000 Bonds RENOVATIONS & IMPROVEMENTS - Provide funds to remediate underground and above- ground storage tanks on state-owned property. 3,000,000 3,000,000 Bonds GEORGIA REGIONAL TRANSPORTATION AUTHORITY NEW CONSTRUCTION - [Recommend adding a portion of the funds needed to continue program management for implementation of the Georgia Rail Passenger Program which must have approval of theProgram Management Team. The balance of the costs will be provided by the Department of Transportation.] 1,350,000 Cash TOTALS $26,000,000 $29,350,000 Cash Bonds Lottery $1,350,000 $28,000,000 579 DEPARTMENT OF CORRECTIONS FY 2002 Capital Outlay Projects Capital Outlay Projects CORRECTIONAL FACILITIES NEW CONSTRUCTION - Construct Jackson Probation Detention Center (200 beds). [$410,000 State funds and $3,690,000 Federal funds] - Predesign, design and construction for Fulton County Probation Detention Center (300 beds). [Recommend a 500 bed facility - $1,310,000 State funds and $9,610,000 federal funds] - Construct Turner County Probation Detention Center (200 beds). - Construct a 200-bed probation detention center. Construct Phase II of the Bainbridge Substance Abuse Treatment Center (192 beds). [Recommend predesign.] - Construct a new medical facility for Coastal State Prison. [Recommend predesign.] Requested 4,100,000 6,635,000 4,100,000 4,300,000 3,170,000 4,375,000 RENOVATIONS & IMPROVEMENTS - Convert Wrightsville YDC back to Johnson State Prison. - Perform minor construction and repair projects. - Expansion of the City of Morgan Wastewater System. - Install 7 pump stations and 1 treatment plant at various facilities. - Reengineer the roof at Lee State Prison. - Harden control stations at detention centers. - Install Pantilt Zoom Cameras. - Install Video Motion Detectors. - Harden the control station at Dooly State Prison. - Renovate the generator circuits for various facilities. - Construct a new Gym at the Hays State Prison. - Expand the visitation Area at Dodge State Prison. - Renovate GEMA building 5 basement. - Pave and resurface roads and parking lots. - Replace lavatory and toilet fixtures. - Provide emergency generators. - Demolish an old school building at Patten PDC. - Renovate GEMA building 11. - Renovate various food warehouses. 1,780,000 5,100,000 1,350,000 125,000 185,000 600,000 350,000 1,500,000 1,000,000 550,000 150,000 260,000 240,000 675,000 500,000 1,080,000 240,000 385,000 375,000 MAJOR REPAIRS - Perform central repair projects for various facilities. - New water well at Lee State Prison. - Upgrade the wastewater system at various facilities. - Replace aging boilers and hot water heaters. - Clean and resurface water towers. - Replace HVAC system at Walker State Prison. - Provide a portable backup chiller. 910,000 160,000 1,165,000 360,000 460,000 720,000 155,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 410,000 Bonds 1,310,000 Bonds 75,000 Bonds 75,000 Bonds 500,000 Bonds 2,500,000 Bonds 125,000 Bonds 185,000 Bonds 240,000 Bonds 300,000 Bonds 250,000 Bonds 385,000 Bonds 700,000 Bonds 1,165,000 Bonds 580 DEPARTMENT OF CORRECTIONS -- FY 2002 Capital Outlay Projects Capital Outlay Projects Requested Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source - Replace metal roofs at several facilities. - Repair roofs at various facilities. - Replace membrane roofs. - Replace control system faceplates. - Replace electronic perimeter sensors. - Replace perimeter security equipment. - Replace security glass. - Replace Security Communication Loop Equipment. - Replacement of fire alarm systems. - Fire Alarm System certification and maintenance. - Replace 1400 RR Brink discontinued locks. - Replace discontinued VonDuprin Controls. - Renovate the electrical infrastructure at Lee Arrendale. - Replace the heating systems at Rivers State Prison. - Replace 3 elevators at Rivers State Prison. - Replace freezers and cooler units. - Replace 5 kitchen floors. 860,000 450,000 500,000 1,000,000 870,000 75,000 275,000 300,000 930,000 400,000 700,000 450,000 175,000 300,000 450,000 160,000 335,000 400,000 Bonds 225,000 Bonds 250,000 Bonds 200,000 Bonds 275,000 Bonds 930,000 400,000 700,000 450,000 175,000 300,000 Bonds Bonds Bonds Bonds Bonds Bonds 160,000 Bonds 335,000 Bonds EQUIPMENT - Purchase major equipment for construction services. 450,000 TOTALS $55,735,000 $13,020,000 Cash Bonds Lottery $13,020,000 581 DEPARTMENT OF DEFENSE FY 2002 Capital Outlay Projects Capital Outlay Projects ARMORIES MAJOR REPAIRS - Fund a wide range of repairs and maintenance to armories statewide in order to ensure that the facilities are safe, secure and code compliant. Requested 3,000,000 TOTALS $3,000,000 Cash Bonds Lottery Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 3,000,000 Bonds $3,000,000 $3,000,000 582 STATE BOARD OF EDUCATION FY 2002 Capital Outlay Projects Capital Outlay Projects LOCAL SCHOOL SYSTEMS NEW CONSTRUCTION - Special capital outlay for additional classrooms needed as a result of House Bill 1187. This will be a supplemental appropriation. - Regular Capital Outlay funds to construct schools in 13 school systems. - Regular Advance Capital Outlay funds to construct schools in 6 school systems. - Low-Wealth Capital Outlay funds to construct schools in 4 school systems. - Regular Capital Outlay funds deferred from FY 2001. - Regular Advance Capital Outlay funds deferred from FY 2001. - Low-Wealth Capital Outlay funds deferred from FY 2001. - Growth Capital funds to construct schools in 18 school systems. Requested 468,000,000 35,591,129 31,198,142 12,721,197 3,343,033 290,434 289,797 106,666,467 RENOVATIONS & IMPROVEMENTS - Regular Capital Outlay funds for renovations, modifications, and/or additions to schools in 8 school systems. - Regular Advance Capital Outlay funds for renovations, modifications and/or additions to schools in 1 school system. - Low-Wealth Capital Outlay funds for renovations, modifications and/or additions to schools in 3 school systems. - Growth Capital Outlay funds for renovations, modifications and/or additions to schools in 10 school systems. 6,738,663 358,816 2,417,809 6,620,216 EQUIPMENT - Purchase vocational lab equipment for 35 school systems with new programs or programs housed in new facilities. - Purchase agriculture equipment for 29 school systems with new programs or programs housed in new facilities. 11,657,500 3,619,500 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 468,000,000 Cash 35,590,000 Bonds 31,195,000 Bonds 12,720,000 Bonds 3,345,000 Bonds 290,000 Bonds 290,000 Bonds 106,666,467 Lottery 6,740,000 Bonds 360,000 Bonds 2,420,000 Bonds 6,620,216 Lottery 7,815,000 Bonds 2,975,000 Bonds 583 STATE BOARD OF EDUCATION -- FY 2002 Capital Outlay Projects Capital Outlay Projects STATE SCHOOLS RENOVATIONS & IMPROVEMENTS - Renovate boy's dorm at Georgia School for the Deaf. - Resurface parking lot and basketball court at the Atlanta Area School for the Deaf. - Renovate 4 student cottages, the Hendricks Building, and Cottages 5 and 6 at the Georgia School for the Blind. Requested 1,300,000 25,000 675,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,300,000 Bonds 25,000 Bonds 660,000 Bonds TOTALS 691,512,703 687,011,683 Cash Bonds Lottery $468,000,000 $105,725,000 $113,286,683 584 STATE FORESTRY COMMISSION FY 2002 Capital Outlay Projects Capital Outlay Projects HERTY FOUNDATION EQUIPMENT - One 4,500 pound capacity lift truck. - Heating and air conditioning units. - Process control technology for pilot operations. - New tensile testing equipment in the laboratory. - Additional laboratory equipment to evaluate uniformity of paper. - Purchase a hydro-entangling showers pilot paper machine to enhance the Foundation's productivity. Requested 20,000 60,000 25,000 30,000 40,000 250,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source TOTALS $425,000 Cash Bonds Lottery 585 GEORGIA BUREAU OF INVESTIGATION FY 2002 Capital Outlay Projects Capital Outlay Projects NEW CONSTRUCTION - Predesign, design and construct 6 crime scene specialist garage labs at existing Regional Offices. - Construct a new North Georgia Regional Crime Lab and a new Region 8 investigative office in Dahlonega. - Design and construct a free standing morgue, medical examiner and toxicology annex adjacent to the Southwest Region Lab. - Predesign and design of an administrative annex to the Headquarters facility. - Provide design funds to renovate headquarters lab. Requested 430,000 5,375,000 2,345,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 430,000 Bonds 4,880,000 Bonds 2,345,000 Bonds 250,000 50,000 TOTALS $8,450,000 $7,655,000 Cash Bonds Lottery $7,655,000 586 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION FY 2002 Capital Outlay Projects Capital Outlay Projects STATEWIDE FACILITIES RENOVATIONS & IMPROVEMENTS - Fund various ADA renovation projects throughout the state. Requested 5,399,485 TOTALS $5,399,485 Cash Bonds Lottery Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 3,000,000 Bonds $3,000,000 $3,000,000 587 DEPARTMENT OF HUMAN RESOURCES FY 2002 Capital Outlay Projects Capital Outlay Projects HOSPITALS AND INSTITUTIONS RENOVATIONS & IMPROVEMENTS Atlanta Regional Hospital - Renovate bathrooms. - Renovate Bldg. 6. - Replace floor tile in patient buildings. Requested 605,000 225,000 2,020,000 Central State Hospital - Life safety upgrades final phase. - Install medical gas system in nursing home #1. - Renovate client bathrooms - phase I. - Asbestos abatement - phase I. 1,200,000 325,000 2,005,000 2,115,000 Northwest Georgia Regional Hospital - Renovate hospital to meet ADA standards. - Asbestos abatement - 34 buildings. - Install ozone equipment in laundry. 95,000 390,000 65,000 Augusta Regional Hospital - Repair facility paging system. 90,000 Southwestern State Hospital - Replace ceiling and lights in Building 414. 395,000 Savannah Regional Hospital - Phase I of II to upgrade fire alarm system. - Back flow potable water protection. 380,000 165,000 MAJOR REPAIRS Northwest Georgia Regional Hospital - Repair sewer lines. - Replace roof - Building 103. - Replace roof, gutters and trim - Buildings 510-512. - Reroof buildings. - Correction to mechanical deficiencies - final phase. - Replace natural gas main piping campus-wide. 390,000 360,000 70,000 50,000 1,875,000 85,000 Atlanta Regional Hospital - Reroof buildings. - Replace roofs Buildings 11 and 16. 385,000 135,000 Central State Hospital - Re-roof 3 buildings. - HVAC renovations phase IV. - Repair elevators. 1,095,000 2,645,000 305,000 Southwestern State Hospital - Replace roofs. - Install new floor covering in patient areas -Building 414. 330,000 170,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,200,000 Bonds 325,000 Bonds 380,000 Bonds 165,000 Bonds 390,000 360,000 70,000 50,000 1,875,000 Bonds Bonds Bonds Bonds Bonds 385,000 Bonds 135,000 Bonds 1,095,000 Bonds 2,645,000 Bonds 330,000 Bonds 588 DEPARTMENT OF HUMAN RESOURCES - FY 2002 Capital Outlay Projects Capital Outlay Projects West Central Georgia Regional Hospital - Replace water heater and controls in Building 11. - Upgrade HVAC monitoring/control system panel. - Replace 600-ton chiller at thermal plant. - Replace steam coils and valves campus-wide. - Replace hospital domestic water lines campus-wide. Requested 110,000 435,000 560,000 95,000 170,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 110,000 Bonds 560,000 Bonds 170,000 Bonds Augusta Regional Hospital - Replace water heaters. 230,000 230,000 Bonds Gracewood State Hospital - Refurbish swimming pool. 85,000 EQUIPMENT Northwest Georgia Regional Hospital - Replace emergency standby generator. 310,000 310,000 Bonds Southwestern State Hospital - Replace existing emergency power systems. 145,000 145,000 Bonds OTHER FACILITIES AND PROGRAMS NEW CONSTRUCTION South Georgia Regional Public Health Laboratory - Predesign for new lab. (Fund design for new lab in Tifton with remaining bond funds from Dekalb lab project plus recommended bond funds). - Transfer lab facilities in Waycross and Albany DHR buildings to new lab. 120,000 6,000,000 70,000 Bonds Savannah Regional Office Building - Predesign to renovate office space. 60,000 RENOVATIONS & IMPROVEMENTS Outdoor Therapeutic Program at Warm Springs - Expand girls shower to include laundry facility. 40,000 Savannah Regional Office Building - Replace fluorescent fixtures. 40,000 MAJOR REPAIRS Waycross Regional Health Building - Waterproof basement. 75,000 TOTALS $26,445,000 $11,000,000 Cash Bonds Lottery $11,000,000 589 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM FY 2002 Capital Outlay Projects Capital Outlay Projects GEORGIA PORTS AUTHORITY NEW CONSTRUCTION - Design and construct Container Berth 8. [Recommend design and engineering.] Requested 42,500,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 6,000,000 Bonds GEORGIA WORLD CONGRESS CENTER NEW CONSTRUCTION - Construct a parking deck on the Northside Drive site. [Recommend constructing a surface lot on the site.] 19,000,000 1,700,000 Bonds EQUIPMENT - Purchase furniture and equipment for the Phase IV expansion. 15,000,000 15,000,000 Bonds TOTALS $76,500,000 $22,700,000 Cash Bonds Lottery $22,700,000 590 DEPARTMENT OF JUVENILE JUSTICE FY 2002 Capital Outlay Projects Capital Outlay Projects YOUTH DEVELOPMENT CENTERS (YDC) NEW CONSTRUCTION Augusta YDC - Design warehouse to replace 3 existing buildings. Sumter YDC - Construct expanded classroom areas and vocational training building. Macon YDC - Construction and equipment for additional space for food preparation and for a freezer/cooler. Bill Ireland YDC - Design new vocational school building. Muscogee YDC - Add funds for construction of the proposed facility. Additional YDC - Construct an additional YDC facility based on department population projections. - Predesign for 2 additional YDCs. RENOVATIONS & IMPROVEMENTS Augusta YDC - Renovate 3 housing units. - Renovate academic school. Bill Ireland YDC - Replace infrastructure of cottages. - Design renovations to academic facility. - Renovate auditorium. Claxton RYDC - Construct 20 bed expansion contingent upon population projection study and master plan development. Macon YDC - Construct new expansion of academic complex. MAJOR REPAIRS Augusta YDC - Resurface buildings with vinyl siding. - Replace underground cables. Macon YDC - Reroof 9 buildings. Requested 180,000 1,300,000 370,000 180,000 2,550,000 1,040,000 1,250,000 3,200,000 3,000,000 200,000 500,000 120,000 340,000 1,000,000 1,620,000 860,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,300,000 Bonds 370,000 Bonds 2,550,000 Bonds 150,000 Bonds 1,250,000 Bonds 3,000,000 Bonds 1,000,000 Bonds 320,000 Bonds 591 DEPARTMENT OF JUVENILE JUSTICE - FY 2002 Capital Outlay Projects Capital Outlay Projects Bill Ireland YDC - Resurface roads and parking lots. Requested 660,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source EQUIPMENT Augusta YDC - Replace furniture and fixtures. 990,000 REGIONAL YOUTH DETENTION CENTERS (RYDC) NEW CONSTRUCTION Savannah RYDC - Construct 6 offices for education and library. 400,000 Additional RYDC - Construct an additional RYDC facility based on department population projections. - Construction of Crisp, Rome, Macon, and Augusta RYDC's. (Previous funding available) 50,000 2,360,000 2,360,000 Bonds STATEWIDE - VARIOUS FACILITIES RENOVATIONS & IMPROVEMENTS - Minor construction projects at various YDCs and RYDCs. 2,300,000 1,860,000 Bonds MAJOR REPAIRS - Repairs at various YDCs and RYDCs. 2,355,000 2,235,000 Bonds EQUIPMENT - Provide emergency power back-up systems at facilities. 760,000 760,000 Bonds TOTALS $27,585,000 $17,155,000 Cash Bonds Lottery $17,155,000 592 DEPARTMENT OF LABOR FY 2002 Capital Outlay Projects Capital Outlay Projects DIVISION OF REHABILITATIVE SERVICES NEW CONSTRUCTION - Design and Construct a new technology building for the Orthotics and Prosthetics Department to provide them with proper ventilation, larger work spaces, and a secure location to store patient records. Requested 2,969,134 MAJOR REPAIRS - Replace existing roofs for 1 administrative building and 3 dormitories for Cave Spring, repair and replace sections of concrete walls and modify drainage to divert storm water away from the buildings and provide security lighting for the for the Georgia Industries for the Blind facility in Bainbridge. [Recommend replacing the existing roofs at Cave Spring, and repair or replacement of sections of concrete walls and drainage modifications.] 517,777 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 2,970,000 Bonds 430,000 Bonds TOTALS $3,486,911 Cash Bonds Lottery $3,400,000 $3,400,000 593 DEPARTMENT OF NATURAL RESOURCES FY 2002 Capital Outlay Projects Capital Outlay Projects PARKS, RECREATION AND HISTORIC SITES PROPERTY ACQUISITION - Purchase 2 tracts of land as part of the Arabia Mountain Greenway Project. Requested 3,500,000 NEW CONSTRUCTION - Provide for land acquisition, design and construction to develop a new 1,463 acre state park and lake in Houston County. - Fund construction of access roads and facilities for initial development at Resaca Battlefield Historic Site. - Construct a new Suwannee River State Park in Fargo. - Construct a 45-room lodge at Georgia Veterans State Park. - Construct a museum at the Little White House Historic Site. - Construct an interpretive center at Sweetwater Creek State Park in Douglas County. - Construct an expansion of the Gordonia-Altamaha golf course to 18 holes. 4,000,000 750,000 5,606,250 7,019,600 2,500,000 1,500,000 4,000,000 RENOVATIONS & IMPROVEMENTS - Construct an expansion to the lodge at George T. Bagby State Park. - Construct an expansion to the lodge at Little Ocmulgee State Park. - Renovate existing facility in Folkston for use as the Okefenokee Education and Visitors Center. - Restore the house and outbuildings on the Hardman estate in White County. - Provide for trails projects at the following locations: High Falls in Monroe County, Victoria Bryant in Franklin County, Sapelo Island in McIntosh County, Cloudland Canyon in Dade County, and Tallulah Gorge in Rabun and Habersham Counties. 3,668,500 2,748,500 2,000,000 2,000,000 250,000 COASTAL RESOURCES MAJOR REPAIRS - Repair coastal boat ramps. 50,000 WILDLIFE RESOURCES PROPERTY ACQUISITION - Acquire the Chickasawhatchee tract. - Provide funds to protect lands through fee simple purchase or conservation easements as needs arise. 20,000,000 3,500,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 3,500,000 Bonds 500,000 Bonds 750,000 Bonds 5,600,000 Bonds 2,500,000 Bonds 500,000 Bonds 2,000,000 Bonds 2,000,000 Bonds 250,000 Bonds 20,000,000 Bonds 3,500,000 Bonds 594 DEPARTMENT OF NATURAL RESOURCES -- FY 2002 Capital Outlay Projects Capital Outlay Projects NEW CONSTRUCTION - Construct critical buildings for law enforcement boats and supplies at Lake Lanier, Lake Sinclair, Georgia Veterans and Bartletts Ferry. - Design and construct an adult conference facility for educational conferences at Charlie Elliott Wildlife Center. - Construct a new public fishing area in Pulaski/Bleckley Counties. - Construct a new public fishing area in Burke County. Requested 300,000 3,000,000 2,000,000 1,700,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 300,000 Bonds JEKYLL ISLAND AUTHORITY RENOVATIONS & IMPROVEMENTS - Provide funds for phase II of the historic district revitalization plan. - Undertake major improvements to island golf courses. 2,500,000 2,500,000 2,500,000 Bonds 2,500,000 Bonds TOTALS $75,092,850 $46,400,000 Cash Bonds Lottery $46,400,000 595 DEPARTMENT OF PUBLIC SAFETY FY 2002 Capital Outlay Projects Capital Outlay Projects STATE PATROL NEW CONSTRUCTION - Design, construction and equipment for a new headquarters building. [Recommend design] - Design, construction and equipment for a patrol post located at the World Congress Center. Requested 24,970,000 11,600,000 PUBLIC SAFETY TRAINING CENTER NEW CONSTRUCTION - Construction of regional burn buildings. 300,000 TOTALS $36,870,000 Cash Bonds Lottery Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,000,000 Bonds 300,000 Cash $1,300,000 $300,000 $1,000,000 596 REGENTS, UNIVERSITY SYSTEM OF GEORGIA FY 2002 Capital Outlay Projects Capital Outlay Projects RESEARCH AND REGIONAL UNIVERSITIES NEW CONSTRUCTION Georgia Institute of Technology - Construction and equipment for an Advanced Computing and Technology Building, Phase II [Recommend predesign and design only.] Requested 33,315,000 Georgia Southern University - Design, construction and equipment for a major addition, renovation and upgrade of the library. 15,251,000 Georgia State University - Design, construction and equipment for the Teaching Laboratory Building. - Payback Project: Parking Deck Acquisition. 45,000,000 2,100,000 Medical College of Georgia - Design, construction and equipment for a Health Sciences building. 35,457,000 University of Georgia - Design, construction and equipment for a Performing & Visual Arts Center Phase III. - Design, construction and equipment for a College of Pharmacy facility. - Design, construction, and equipment for the Rural Development Center, Tifton. Project support, in the amount of $5,000,000 is required from the City of Tifton. - Construct the Animal Health and Bioresources Facility, Phase I. [Planning and design previously funded.] - Design, construction and equipment for a vaccine research and commercialization facility. - Planning and predesign for Coverdell Center. - Payback Project: Parking Deck. 38,128,000 35,000,000 4,900,000 3,800,000 10,000,000 50,000 12,800,000 RENOVATIONS & IMPROVEMENTS Georgia Institute of Technology - Design, construction and equipment to renovate the Coon Building, Phase II. 4,500,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 660,000 Bonds 4,900,000 Bonds 10,000,000 Bonds 50,000 Bonds 597 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- FY 2002 Capital Outlay Projects Capital Outlay Projects Georgia Southern University - Construction and equipment for renovation of the Marvin Pittman Elementary School building for the Fine Arts project, Phase II. Requested 4,500,000 Georgia State University - Construction to renovate and replace the south exterior brick of the library. 3,700,000 University of Georgia - Upgrade of School of Law computer ports, internet connections and related infrastructure. 3,200,000 MAJOR REPAIRS Medical College of Georgia - Replace HVAC lines and electrical switchgear at central plant. 4,100,000 EQUIPMENT Georgia Medical College - Equipment for the Georgia Radiation Center: CT-PET Simulator room, Single Photon Low Energy Linear Accelerator and other equipment for Intensity Modulated Radiation Therapy (IMRT) treatment. 2,200,000 Georgia Southern University - Loose equipment for the new Science and Nursing Building. 2,032,000 STATE UNIVERSITIES NEW CONSTRUCTION Albany State University - Design, construction and equipment for a classroom, office, and laboratory facility. 21,500,000 Augusta State University - Construction and equipment for new classrooms, Phase II. [Recommend funds for construction.] - Payback Project: New University Center. 20,533,000 5,200,000 Fort Valley State University - Design, construction and equipment for an academic classroom building. 15,563,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 4,500,000 Bonds 3,700,000 Bonds 3,200,000 Cash 2,200,000 Bonds 2,030,000 Bonds 18,890,000 Bonds 598 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- FY 2002 Capital Outlay Projects Capital Outlay Projects Georgia Southwestern State University - Construction and equipment for the Health and Physical Education (HPE) Recreation, Athletic and Student Success Center. [Recommend funds for construction.] - Design, construction and equipment for a Health and Human Services building. Requested 19,524,000 12,500,000 Kennesaw State University - Construction and equipment for the Classroom and Convocation Center. [Recommend funds for construction]. - Design, construction and equipment for a Social Science building. - Construction of math and science classroom addition. [Planning and design were previously funded.] - Payback Project: Parking Decks. 23,348,000 28,542,000 4,000,000 15,000,000 North Georgia College and State University - Design, construction and equipment for a technology center/library. - Design, construction and equipment for a new physical plant space and renovate space for the Military Leadership Center. 20,440,000 5,000,000 Savannah State University - Design, construction and equipment for an academic classroom building. 12,450,000 State University of West Georgia - Design, construction and equipment for a Health, Wellness and Lifelong Learning Center. 26,975,000 RENOVATIONS & IMPROVEMENTS Armstrong State University - Replacement and upgrade of electrical distribution system. 3,000,000 Fort Valley State University - Construction for the renovation of the O'Neal Veterinary building. 3,000,000 Georgia College and State University - Construction funds for central chiller plant building and system. - Design, construction and equipment for a Nursing/Health Science Building renovation. 4,200,000 9,753,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 18,590,000 Bonds 23,000,000 Bonds 3,000,000 Bonds 3,000,000 Bonds 4,200,000 Bonds 599 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- FY 2002 Capital Outlay Projects Capital Outlay Projects EQUIPMENT Clayton College and State University - Equipment for the new University Learning Center. Requested 2,697,000 Columbus State University - Equipment for the new Technology and Commerce Center. 1,098,000 Georgia College and State University - Equipment for the new Russell Library and Information Technology Center. 1,367,000 Savannah State University - Equipment for the new Housing Residence Center. 1,002,000 ASSOCIATE DEGREE COLLEGES NEW CONSTRUCTION Abraham Baldwin Agricultural College - Construction and equipment for the Agricultural Sciences Building for the Division of Agriculture and Forest Resources. [Recommend funds for construction.] 7,406,000 Floyd College - Design, construction and equipment the Bartow Center. 19,076,000 Georgia Perimeter College - Design, construction and equipment for a Student Center, Clarkston Campus. 6,863,000 Macon State College - Construction and equipment for a Nursing, Health Science, and Outreach Complex. [Recommend funds for construction.] - Design, construction and equipment for a Professional Services and Conference Center. 16,830,000 20,750,000 Middle Georgia College - Construction of a Wellness Center and classrooms. [Planning and design were previously funded.] 5,000,000 RENOVATIONS & IMPROVEMENTS Atlanta Metropolitan College - Improvement of Campus Road entrance and rehabilitate acquired property. 1,000,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 2,695,000 Bonds 1,100,000 Bonds 1,370,000 Bonds 1,000,000 Bonds 7,005,000 Bonds 15,500,000 Bonds 1,000,000 Bonds 600 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- FY 2002 Capital Outlay Projects Capital Outlay Projects Darton College - Construction and equipment for a major addition to the Physical Education Building including renovation and upgrade of the existing facility. [Recommend funds for construction]. Requested 12,450,000 Middle Georgia College - Construction funds for replacement of aging utility infrastructure. 16,014,000 South Georgia College - Renovation of the gymnasium for new classrooms and laboratories and addition of a new swimming pool. 4,000,000 EQUIPMENT Coastal Georgia Community College - Loose equipment for the new Camden Center. 951,000 ATTACHED AGENCIES NEW CONSTRUCTION Georgia Military College - Design, construction, and equipment for a new academic building. [Predesign was previously funded.] - Predesign for a new barracks to replace barracks from the 1890s and 1930s. 14,031,456 95,000 RENOVATIONS & IMPROVEMENTS Georgia Public Telecommunications Commission - Digital conversion of 7 broadcast towers. [Recommend conversion of 3 towers.] - Structural engineering studies of 9 broadcast towers. 13,744,400 1,350,000 OTHER PROJECTS NEW CONSTRUCTION Georgia Technology Regional Engineering Program (GTREP) - Savannah Facility - Predesign, design, construction and equipment or purchase of a building near Savannah Airport. 5,000,000 Yamacraw - Design, construction and equipment for Yamacraw IT Building at Georgia Southern. 20,000,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 12,340,000 Bonds 4,000,000 Bonds 950,000 Bonds 5,825,000 Bonds 1,350,000 Bonds 5,000,000 Bonds 20,000,000 Bonds 601 REGENTS, UNIVERSITY SYSTEM OF GEORGIA -- FY 2002 Capital Outlay Projects Capital Outlay Projects Requested GEORGIA RESEARCH ALLIANCE RENOVATIONS & IMPROVEMENTS - Renovation of a nutraceutical testing lab ($75,000) and a 1,125,000 pharmaceutical lab ($200,000) at the University of Georgia, an x-ray crystallography lab ($300,000) at Georgia State University, a bioinformatics lab ($300,000) at the Georgia Institute of Technology, and upgrade the SER-CAT synchrotron beamline ($250,000). Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,125,000 Cash EQUIPMENT - Equipment for facilities at member universities to ensure Georgia's competitiveness in GRA focus areas: advanced communications, biomanufacturing, digital content, e-business, functional genomics and proteomics, global infectious disease, and smart sensor systems. [Recommend funding for equipment for 7 eminent scholars.] 35,075,000 25,325,000 Cash TRADITIONAL INDUSTRIES PROGRAM EQUIPMENT - Equipment for industry-driven research in the areas of food processing, pulp and paper, carpet, textile, and apparel. 1,800,000 1,800,000 Bonds TOTALS $719,285,856 $209,305,000 Cash Bonds Lottery $29,650,000 $179,655,000 602 OFFICE OF SECRETARY OF STATE FY 2002 Capital Outlay Projects Capital Outlay Projects STATE EXAMINING BOARDS NEW CONSTRUCTION - Design, construction and equipment for an annex building for the Licensing Testing Center in Macon. $990,000 is included in the current FY 2001 budget for pre-design and renovation. TOTALS Requested 2,495,851 $2,495,851 Cash Bonds Lottery Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 2,022,638 Cash $2,022,638 $2,022,638 603 STATE SOIL AND WATER CONSERVATION COMMISSION FY 2002 Capital Outlay Projects Capital Outlay Projects Requested COMMISSION AND DISTRICT ADMINISTRATION RENOVATIONS AND IMPROVEMENTS - Upgrade Category 1 watershed structures to bring dams into compliance with the State's Safe Dams Act. 3,639,000 TOTALS $3,639,000 Cash Bonds Lottery Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 3,640,000 Bonds $3,640,000 $3,640,000 604 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION FY 2002 Capital Outlay Projects Capital Outlay Projects TECHNICAL COLLEGES PROPERTY ACQUISITION Athens Technical College - Purchase 5.78 acres adjoining the Main Campus. Requested 236,250 Chattahoochee Technical College - Purchase 20 acres on Sandtown Road for future campus expansion. 1,417,500 Central Georgia Technical College - Purchase 5.6 acres and building for Adult Learning Center. 1,785,000 Coosa Valley Technical College - Purchase 5.36 acres Patton Property on Main Campus. 630,000 DeKalb Technical College - Purchase 18 acres and building on 8100 Sagl Parkway for Economic Development and Georgia Virtual Technical College. - Purchase 7.55 acres and building on Montreal Road for Adult Literacy and Economic Development Center. 5,060,000 1,700,000 Lanier Technical College - Purchase 16.2 acres for Forsyth County Campus. - Purchase 17.5 acres for Main Campus. 979,994 803,250 Southwest Georgia Technical College - Purchase 3 acres for John Deere and Caterpillar Training Center. 1,200,000 Southeastern Technical College - Purchase 25 acres of property adjacent to campus for future growth. 525,000 Northwestern Technical College - Purchase 33.38 acres on Highway 27. 315,000 West Central Technical College - Purchase 3.8 acres and building for Douglasville Campus. 5,971,700 NEW CONSTRUCTION Albany Technical College - Predesign for Culinary Arts, Marketing and Certified Customer Services Building. 76,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,420,000 Bonds 1,785,000 Bonds 605 TECHNICAL AND ADULT EDUCATION -- FY 2002 Capital Outlay Projects Capital Outlay Projects Altamaha Technical College - Predesign for Appling County Classroom Building. Requested 40,000 Appalachian Technical College - Design and construction of Technology Annex Building. - Predesign for Cherokee County Campus. 6,113,834 121,000 Athens Technical College - Design and construction for a Business Information Technology Building. 6,860,738 Atlanta Technical College - Predesign for an Allied Health Building. 146,000 Chattahoochee Technical College - Provide for a Campus Master Plan - Predesign for a Classroom Building. 75,000 130,000 Central Georgia Technical College - Predesign for Milledgeville Campus Expansion. 81,000 Coosa Valley Technical College - Design and construction of Health Occupation Building. - Predesign and design for an Economic Development Building. 8,057,153 210,000 DeKalb Technical College - Predesign for a Classroom Building. 145,000 East Central Technical College - Design and construction of Child Development Center. - Predesign for a Regional Telecommunications Training Center. 1,270,608 130,000 Flint River Technical College - Design and construction of Crawford County Workforce Development Center. 2,691,360 Griffin Technical College - Design and construction of a Technology Building. - Predesign for a Fayette County Campus. 11,156,165 97,000 Lanier Technical College - Predesign for Forsyth Campus Classroom Building. - Predesign for a Classroom Building. 97,000 40,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 75,000 Bonds 90,000 Bonds 8,060,000 Bonds 210,000 Bonds 100,000 Bonds 1,270,000 Bonds 2,690,000 Bonds 11,160,000 Bonds 606 TECHNICAL AND ADULT EDUCATION -- FY 2002 Capital Outlay Projects Capital Outlay Projects Middle Georgia Technical College - Predesign for a Media Center, Child Development Center and Dental Hygiene Building. Requested 86,000 Moultrie Technical College - Design and construction of Allied Health/Classroom Building for Tift Area Campus. 9,695,530 North Georgia Technical College - Predesign for Toccoa-Stephens County Education Extension. - Predesign for Visual Communications Technology Center. 49,000 116,000 North Metro Technical College - Predesign for a Technology Classroom Building. 57,000 Northwestern Technical College - Predesign for a Center for Manufacturing Excellence. 6,751,140 Ogeechee Technical College - Design and construction of Agribusiness/General Classroom Building. - Predesign for a Computer Science Technology Building. 7,380,935 97,000 Okefenokee Technical College - Predesign for a Classroom Building. 75,000 Sandersville Technical College - Design and construction of Jefferson County Technical Education Center. 1,700,190 South Georgia Technical College - Predesign for an Annex Building in Crisp County. 83,000 Southeastern Technical College - Design and construction of Allied Health Building. 7,873,492 Southwest Georgia Technical College - Predesign for Classroom Student Services/ Administration Building. 155,000 Swainsboro Technical College - Design and construction of Technology Center. 3,919,040 Valdosta Technical College - Predesign for Classroom/Lab Facility. 146,000 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 9,695,000 Bonds 50,000 Bonds 85,000 Bonds 7,380,000 Bonds 1,700,000 Bonds 7,870,000 Bonds 90,000 Bonds 3,920,000 Bonds 80,000 Bonds 607 TECHNICAL AND ADULT EDUCATION -- FY 2002 Capital Outlay Projects Capital Outlay Projects RENOVATIONS & IMPROVEMENTS Albany Technical College - Reconfigure West Campus Boundary. Requested 1,023,400 Atlanta Technical College - Renovate Dental Hygiene Lab. 517,800 Central Georgia Technical College - Renovate Adult Learning Center. 4,552,519 Columbus Technical College - Renovate Columbus North Building. 1,547,150 Lanier Technical College - Renovate Instructional Services Building. 1,372,151 North Georgia Technical College - Renovate Environmental Sciences and Industrial Training Building. 5,346,192 Savannah Technical College - Renovate Phase 3 Bookstore, Administrative and Business Offices. 3,340,216 South Georgia Technical College - Renovate Martin Hall. 3,298,599 Southeastern Technical College - Renovate Glennville Center and Child Development Center. 1,712,800 West Georgia Technical College - Renovate Classrooms and Instructional Offices. 3,721,920 MAJOR REPAIRS - Major repairs at Technical Colleges throughout the state. 4,580,155 EQUIPMENT - Replace obsolete equipment at state technical institutes. - Equipment for 4 Regional Quick Start Centers. 13,843,752 788,546 Altamaha Technical College - Equipment for Polytechnical Building. 1,475,600 Augusta Technical College - Equipment for the aviation and maintenance program. 1,000,000 608 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 1,550,000 Bonds 3,340,000 Bonds 1,710,000 Bonds 12,500,000 Bonds 1,475,000 Bonds 1,000,000 Bonds TECHNICAL AND ADULT EDUCATION -- FY 2002 Capital Outlay Projects Capital Outlay Projects Coosa Valley Technical College - Equipment for renovation of buildings A, B and C. Requested 860,252 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 860,000 Bonds Central Georgia Technical College - Equipment for Eatonton Center. 482,819 480,000 Bonds Georgia Virtual Technical College - Equipment for IT Industry Certification Initiative. 1,013,750 Griffin Technical College - Equipment for Jasper County Technical Education Center. 455,438 455,000 Bonds Gwinnett Technical College - Equipment for International Center for Workforce Development. 4,200,000 Sandersville Technical College - Equipment for Jefferson County Technical Education Center. 450,000 Savannah Technical College - Equipment for Phase 2 renovations. 837,029 Southeastern Technical College - Equipment for Economic Development Center. 500,000 500,000 Bonds West Central Technical College - Equipment for Haralson County Campus. 8,659,485 8,660,000 Bonds Central Georgia Technical College - Equipment for Adult Education Center. 1,150,000 1,150,000 Bonds TOTALS $163,075,452 $91,410,000 Cash Bonds Lottery $91,410,000 609 DEPARTMENT OF TRANSPORTATION FY 2002 Capital Outlay Projects Capital Outlay Projects Requested HIGHWAY PLANNING AND CONSTRUCTION NEW CONSTRUCTION Federal Road Programs - Federal road programs ($972,049,138 federal funds) 210,760,035 matched with state funds. State Road Programs - State Fund Construction: ON System 40,721,772 OFF System 38,012,509 Most-Needed 84,229,333 - Governor's Road Improvement Program. 400,000,000 - [Recommends economic development road project in Cherokee County ($8,000,000) and for a new interchange and the widening of Georgia Highway 20 between McDonough and the Atlanta Raceway ($12,000,000)]. - Authorize the use of $31 million in motor fuel funds as debt service payments for revenue obligations of the State Tollway Authority. HIGHWAY MAINTENANCE AND BETTERMENTS RENOVATIONS & IMPROVEMENTS - Resurfacing and Rehabilitation, On-System. 38,641,836 - Resurfacing and Rehabilitation, Off-System (LARP). 60,000,000 - Pavement maintenance at school institutions. 2,700,000 INTER-MODAL TRANSFER FACILITIES PROPERTY ACQUISITION - Ellijay-Tate rail line - West End Atlanta - Wylie Street - Vidalia-Hester rail line 3,000,000 1,700,000 450,000 500,000 NEW CONSTRUCTION - Add a portion of the funds needed to continue program 2,700,000 management for implementation of the Georgia Rail Passenger Program which must have approval of the Program Management Team. The balance of the costs will be provided by the Georgia Regional Transportation Authority. - Acquisition, right of way and site preparation for a 3,900,000 phased implementation of the Atlanta Multi-Modal Passenger Terminal to match $15,600,000 in federal funds. - Track and signal improvements and equipment to 23,800,000 begin initial service to Athens via the Atlanta/Athens Commuter Rail Line in accordance with the Georgia Rail Passenger Program to match $127,000,000 in federal funds. Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 210,760,035 Cash 21,918,026 Cash 4,041,084 Cash 34,291,084 Cash 20,000,000 Bonds 14,082,321 Cash 31,500,000 Cash 26,006,109 Cash Yes 38,641,836 Cash 21,076,690 Cash 3,000,000 Bonds 1,700,000 Bonds 450,000 Bonds 1,350,000 Cash 3,900,000 Bonds 610 DEPARTMENT OF TRANSPORTATION -- FY 2002 Capital Outlay Projects Capital Outlay Projects Requested - Track and signal improvements and equipment to 12,000,000 begin initial service to Macon via the Atlanta/Macon Commuter Rail Line in accordance with the Georgia Rail Passenger Program to match $68,000,000 federal funds. - Atlanta Chattanooga Corridor study to match 2,200,000 $4,050,000 in federal funds. - Mass Transit Grants to match federal funds for transit needs across the state: Statewide 343,750 Gwinnett 2,819,858 Columbus 120,481 Cobb 770,600 Augusta 213,232 Atlanta - MARTA 2,863,384 Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 343,750 2,819,858 120,481 770,600 213,232 2,380,000 Cash Cash Cash Cash Cash Cash RENOVATIONS & IMPROVEMENTS - Rehabilitation to the following rail lines: Kirby - Vidalia Dover - Metter (Bulloch Lead) Preston - Omaha Preston - Rochelle Tate - McCaysville Ardmore - Sylvania Midville - Swainsboro - Relocation of the rail line in city of Waycross. - State matching for capital improvements maintenance and approach aids at publicly owned airports through the Airport Aid Program. - [Recommend a joint airport facility for Liberty County and the U.S.Army through the Airport Aid Program]. 3,000,000 700,000 2,000,000 3,000,000 1,200,000 250,000 350,000 1,000,000 36,306,259 1,000,000 Cash 1,000,000 Cash 1,000,000 Cash FACILITIES & EQUIPMENT RENOVATIONS & IMPROVEMENTS - Renovations of DOT owned buildings. 7,000,000 5,000,000 Cash HARBOR/INTERCOASTAL WATERWAYS NEW CONSTRUCTION - Raise dikes at the Savannah Harbor at area 2A. - Study the needs of the Savannah Upper Harbor. 2,225,000 500,000 2,225,000 Bonds TOTALS $989,978,049 $100,173,115 $349,416,991 Cash Bonds Lottery $68,898,115 $31,275,000 $349,416,991 611 DEPARTMENT OF VETERANS SERVICE FY 2002 Capital Outlay Projects Capital Outlay Projects GEORGIA WAR VETERANS NURSING HOME - MILLEDGEVILLE Requested RENOVATIONS & IMPROVEMENTS - Upgrade fire alarm system. - Renovate the fire sprinkler system. - Extend the dryer venting system to the exterior of the Russell building. - Repair the congregate bathrooms in the Wheeler building building. - Exterior renovations to A&B wings of the Wheeler building. - Exterior window repair to the Vincent building - Renovate the "C" wing. - Conduct exterior repairs to the Russell building. - Upgrade circulation kiosks in the main entrances. 350,000 300,000 25,000 60,000 200,000 350,000 990,000 35,000 40,000 MAJOR REPAIRS - Replace heat exchange units - Replace hot water/condensate return systems - Roof replacement, Wood building 90,000 100,000 15,000 EQUIPMENT - Provide furnishings and equipment for the new Alzheimer's wing. 132,900 GEORGIA WAR VETERANS NURSING HOME - AUGUSTA Governor's Recommendations Amended FY 2001 FY 2002 Amount Source Amount Source 350,000 Bonds 300,000 Bonds 25,000 Bonds 60,000 Bonds 200,000 Bonds 350,000 Bonds 90,000 Bonds 100,000 Bonds 15,000 Bonds 132,900 Cash NEW CONSTRUCTION - Construct an additional two-story building for Alzheimer's patients and skilled nursing. - Construct a parking deck. 9,827,270 4,376,300 TOTALS $16,891,470 Cash Bonds Lottery $1,622,900 $132,900 $1,490,000 612 DEPARTMENT OF AGRICULTURE Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects FARMERS' MARKETS MAJOR REPAIRS - Farmers' Markets Statewide FY 2003 FY 2004 FY 2005 FY 2006 1,250,000 1,250,000 1,250,000 1,250,000 TOTALS $1,250,000 $1,250,000 $1,250,000 $1,250,000 613 DEPARTMENT OF COMMUNITY AFFAIRS Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects FY 2003 FY 2004 FY 2005 FY 2006 GEORGIA ENVIRONMENTAL FACILITIES AUTHORITY NEW CONSTRUCTION - Loan program for local governments. 20,000,000 20,000,000 20,000,000 20,000,000 RENOVATIONS & IMPROVEMENTS - Remediation of state-owned fuel storage tanks. 3,000,000 3,000,000 3,000,000 3,000,000 TOTALS $23,000,000 $23,000,000 $23,000,000 $23,000,000 614 DEPARTMENT OF CORRECTIONS Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects CORRECTIONAL FACILITIES NEW CONSTRUCTION - Construct 1,000-bed close security prison. - Construct 200-bed transitional centers at 3 locations. - Construct Phase II of the Bainbridge Substance Abuse Treatment Center (192 beds). - New medical facility for Coastal State Prison. RENOVATIONS & IMPROVEMENTS - Perform minor construction and repair projects. - Renovate generator circuits. - Pave and resurface department roads. - Renovate food warehouses at various facilities. - Installation of video motion detectors. - Replace lavatory and toilet fixtures. - Replace emergency generators. - Construct a new kitchen for Rogers State Prison MAJOR REPAIRS - Perform central repair projects for various facilities. - Replacement of RR Brink Company locks. - Upgrades to various wastewater systems. - Replacement of security control faceplates. - Emergency roofing repairs. - Repair fire alarm system. - Fire Alarm System and Certification. - Replacement of boilers and hot water heaters. - Replacement of perimeter security electronics. - Replacement of security glass. - Replacement of freezers and coolers. - Replacement of kitchen floors. - Cleaning and resurfacing water towers. - Replace communication loop equipment. - Repair and replace membrane roofs. - Replacement of Georgia Diagnostic and Classification Prison's steam system. TOTALS FY 2003 FY 2004 FY 2005 FY 2006 42,000,000 4,100,000 3,170,000 4,375,000 8,200,000 4,875,000 600,000 350,000 500,000 1,500,000 400,000 300,000 75,000 4,875,000 300,000 350,000 500,000 400,000 1,000,000 4,875,000 250,000 350,000 300,000 400,000 4,925,000 4,875,000 300,000 250,000 400,000 740,000 700,000 400,000 1,000,000 450,000 530,000 400,000 300,000 75,000 275,000 240,000 250,000 300,000 300,000 500,000 3,400,000 740,000 285,000 1,100,000 450,000 400,000 350,000 275,000 250,000 300,000 500,000 740,000 1,100,000 450,000 400,000 400,000 350,000 300,000 740,000 450,000 400,000 500,000 400,000 300,000 $72,105,000 $20,275,000 $14,840,000 $8,615,000 615 STATE BOARD OF EDUCATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects LOCAL SCHOOL SYSTEMS RENOVATIONS & IMPROVEMENTS Renovate, modify, and construct additions to existing schools and build new schools as required to provide adequate, safe facilities for all students attending public school in the 180 local school systems in Georgia. - Regular Capital Outlay Program Funding - Regular Advanced Funding - Low-Wealth Program Funding - Exceptional Growth Program Funding FY 2003 FY 2004 FY 2005 FY 2006 50,000,000 50,000,000 80,000,000 55,000,000 75,000,000 80,000,000 55,000,000 75,000,000 80,000,000 55,000,000 75,000,000 80,000,000 STATE SCHOOLS RENOVATIONS & IMPROVEMENTS - Atlanta Area School for the Deaf - Georgia Academy for the Blind - Georgia School for the Deaf TOTALS 180,000 215,000 310,000 245,000 165,000 370,000 105,000 100,000 735,000 235,000 220,000 250,000 $180,705,000 $210,780,000 $210,940,000 $210,705,000 616 GEORGIA BUREAU OF INVESTIGATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects NEW CONSTRUCTION - Predesign and design funds for an administrative annex to the headquarters facility. - Construct an administrative annex to the headquarters building. - Construct a new Macon Regional Drug Enforcement office. - Construct a new Gainesville Regional Drug Enforcement office. - Construct a new Region 11(Athens) Investigative Office. - Construct a new Region 1 (Calhoun) Investigative Office. TOTALS FY 2003 250,000 969,570 $1,219,570 FY 2004 4,212,600 770,609 $4,983,209 FY 2005 726,679 $726,679 FY 2006 744,665 $744,665 617 GEORGIA STATE FINANCING AND INVESTMENT COMMISSION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects RENOVATIONS & IMPROVEMENTS Correctional Facilities - ADA renovations to prison to comply with DOJ and state requirements. FY 2003 500,000 State Hospitals - ADA renovations to men's and women's restrooms 500,000 State Parks - ADA renovations to comply with DOJ and state requirements. 500,000 Technical and Adult Education - Various ADA renovations to comply with DOJ and state requirements. 500,000 Colleges and State Universities - Restroom modifications and signage at various campuses. 2,000,000 Veterans - Various ADA projects. 500,000 TOTALS $4,500,000 FY 2004 400,000 100,000 500,000 100,000 2,000,000 75,000 $3,175,000 FY 2005 300,000 100,000 250,000 100,000 2,000,000 50,000 $2,800,000 FY 2006 1,200,000 700,000 1,250,000 700,000 50,000 $3,900,000 618 DEPARTMENT OF HUMAN RESOURCES Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects HOSPITALS AND INSTITUTIONS RENOVATIONS & IMPROVEMENTS Savannah Regional Hospital - Fund phase I of II to upgrade fire alarm system. - Upgrade campus fire alarm system - phase II of II. FY 2003 360,000 Atlanta Regional Hospital - Install 900 linear feet of CMP pipe with retention pond. - Replace 48 skylights. Augusta Regional Hospital - Upgrade phone system. Campus-wide phase II. - Abatement of asbestos in ceilings. - Enslosure for swimming pool in Gymnasium. 220,000 564,967 130,000 Central State Hospital - Renovate client care bathrooms - phase II and III. - Abatement of asbestos - phase II of III. - Renovate auditorium - phase II. - Install building paging system. - Upgrade fire alarm system. 1,380,489 3,849,691 Gracewood State Hospital - Complete installation of underground cable communication system. 882,000 MAJOR REPAIRS Northwest Georgia Regional Hospital - Repair sewer lines. - Replace roof - building 103. 250,000 Central State Hospital - HVAC renovations phase IV. - Repair Allen Building windows. - Waterproof buildings - phase I and phase II. - Underground utilities repair - phase VI of VI. 2,041,500 550,735 Augusta Regional Hospital - Replace air handlers in 15 buildings. - Replace roofs-Gymnasium, Bldg. 12, and Admin. Bldg. 2. 478,703 Gracewood State Hospital - Replace HVAC units. - Replace steam and chilled water lines. - Replace roofs. - Replace floor covering in 8 buildings. - Replace 1000 ton absorption chiller. 1,087,576 63,000 460,177 324,034 882,000 FY 2004 360,000 530,942 811,653 359,059 200,000 150,000 2,017,500 694,853 242,000 983,987 FY 2005 552,900 648,122 637,535 100,000 163,296 250,000 60,000 211,400 1,279,800 75,304 FY 2006 52,000 80,000 90,412 619 DEPARTMENT OF HUMAN RESOURCES Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects Northwest Georgia Regional Hospital - Replace direct burial primary electrical cables. - Repair sewer lines. - Replace roofs - various buildings. FY 2003 1,500,000 250,000 Southwestern State Hospital - Replace emergency power systems - Thomasville. 160,000 EQUIPMENT Southwestern State Hospital - Replace existing emergency power systems. 160,000 Augusta Regional Hospital - Replace food service equipment. OTHER FACILITIES AND PROGRAMS RENOVATIONS & IMPROVEMENTS Outdoor Therapeutic Program - Cleveland - Construct dining hall expansion. 388,000 Savannah Regional Office Building - Replace carpet in second floor offices and basement. Skyland Regional Office Building - Atlanta - Install closed circuit TV system for monitoring. - Replace ceiling and flooring tile in office areas. Waycross Regional Health Building - Install new telecommunications system with intercom. - Replace old plumbing. - Recarpet all offices. - Conduct study, design and conversion of HVAC system. MAJOR REPAIRS Waycross Regional Health Building - Repave and restripe parking lot. TOTALS $15,982,872 FY 2004 200,000 150,000 60,000 60,000 172,065 57,780 75,000 20,223 $7,145,062 FY 2005 250,000 60,000 125,000 $4,413,357 FY 2006 80,000 26,964 202,230 36,000 21,678 $589,284 620 DEPARTMENT OF INDUSTRY, TRADE AND TOURISM Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects GEORGIA PORTS AUTHORITY PROPERTY ACQUISITION - Acquire property on Hutchinson Island. FY 2003 FY 2004 FY 2005 FY 2006 10,000,000 10,000,000 10,000,000 10,000,000 NEW CONSTRUCTION - Deepen the Brunswick Harbor. - Deepen the Savannah Harbor. - Construct Container Berth 8 and provide support equipment. - Design future container terminal on Hutchinson Island. - Fund phase II of the Intermodal Container Transfer Facility (ICTF). - Upgrade Gate 3 at Garden City Terminal to improve throughput in existing interchange facility. - Construct 6 acres of container storage adjacent to Home Depot warehouse. - Provide for ICTF Chatham Yard rail connection. 20,300,000 17,600,000 21,450,000 1,000,000 1,500,000 30,000,000 21,300,000 2,000,000 2,400,000 30,000,000 18,850,000 2,000,000 15,000,000 12,000,000 2,000,000 MAJOR REPAIRS - Upgrade and overlay storage areas. - Provide for roll-on/roll-off operations at Ocean Terminal. - Upgrade and overlay warehouse floors. 6,700,000 7,500,000 6,400,000 2,400,000 5,000,000 EQUIPMENT - Provide equipment positioning system. 1,500,000 1,500,000 GEORGIA WORLD CONGRESS CENTER NEW CONSTRUCTION - Construct a surface parking lot above remediated Herndon Homes site. 1,800,000 TOTALS $80,350,000 $74,700,000 $71,150,000 $44,000,000 621 DEPARTMENT OF JUVENILE JUSTICE Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects YOUTH DEVELOPMENT CENTERS (YDC) RENOVATIONS & IMPROVEMENTS Augusta YDC - Renovate 3 housing units. FY 2003 1,250,000 STATEWIDE - VARIOUS FACILITIES RENOVATIONS & IMPROVEMENTS - Minor construction projects at various YDCs and RYDCs. 2,300,000 MAJOR REPAIRS - Provide for central repairs at various YDCs and RYDCs. 2,500,000 EQUIPMENT - Provide emergency power back-up systems at facilities. 745,000 TOTALS $6,795,000 FY 2004 1,250,000 2,300,000 2,500,000 480,000 $6,530,000 FY 2005 2,400,000 2,600,000 $5,000,000 FY 2006 2,400,000 2,600,000 $5,000,000 622 DEPARTMENT OF LABOR Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects DIVISION OF REHABILITATIVE SERVICES RENOVATIONS & IMPROVEMENTS - Renovate the Outpatient Clinic to comply with the Life Safety Code. - Obtain an energy efficient central air conditioning system, replace heat pumps, provide a sprinkler system, and other incidental repairs to Georgia Hall on the campus of the Warm Springs Institute. - Upgrade walkway lighting at the Warm Springs Institute. - Install new ADA compliant restrooms and water coolers throughout the Cave Spring facility. FY 2003 1,382,400 2,263,800 171,714 122,880 MAJOR REPAIRS - Remove asbestos, replace roof and renovate Founders Hall on the campus of the Warm Springs Institute. 2,132,776 TOTALS $6,073,570 FY 2004 FY 2005 FY 2006 623 DEPARTMENT OF NATURAL RESOURCES Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects PARKS, RECREATION AND HISTORIC SITES NEW CONSTRUCTION - Construction of new and replacement facilities, including cottages, roads, camp sites, trails and recreational structures. FY 2003 12,051,000 FY 2004 12,023,500 FY 2005 12,639,500 FY 2006 14,445,000 RENOVATIONS & IMPROVEMENTS - Renovations and enhancements at state parks and historic sites. 16,187,634 9,918,000 7,857,000 4,113,000 MAJOR REPAIRS - Major repairs at state parks and historic sites. $3,153,000 $2,673,000 $1,454,000 $1,125,000 EQUIPMENT - Major equipment purchases for state parks and historic sites. 460,000 492,000 450,000 475,000 COASTAL RESOURCES NEW CONSTRUCTION - Construct boat ramps with docks. - Construct public fishing piers. 105,000 175,000 105,000 175,000 105,000 175,000 105,000 175,000 MAJOR REPAIRS - Repairs and maintenance to Coastal Resources regional headquarters facilities. - Repairs to coastal boat ramps. - Repairs and maintenance for offshore buoys. - Repairs to artificial reefs. 15,000 50,000 48,000 200,000 20,000 50,000 48,000 200,000 20,000 50,000 48,000 200,000 30,000 50,000 48,000 200,000 WILDLIFE RESOURCES PROPERTY ACQUISITION - Acquisition of additional wildlife management areas throughout the state. 982,330 982,330 982,330 982,330 NEW CONSTRUCTION - Development of public fishing facilities. - Construct boat ramps throughout the state. - Construct floating boathouses on Lakes Allatoona, Chatuge and Hartwell. - Construct office, wildlife management area and public fishing area facilities. - Construct the adult conference facility at Charlie Elliott Wildlife Center. 460,176 50,000 135,000 918,441 3,000,000 RENOVATIONS & IMPROVEMENTS - Renovate dikes on Altamaha Wildlife Management Area. 95,000 460,176 50,000 70,000 105,000 460,176 50,000 60,000 115,000 460,176 50,000 125,000 624 DEPARTMENT OF NATURAL RESOURCES Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects MAJOR REPAIRS - Repairs and maintenance for boat ramps statewide. - Repairs and maintenance for offices and other buildings. - Repairs and maintenance for fish hatcheries and public fishing areas statewide. - Repairs and maintenance for roads in wildlife management areas. - Repairs to coastal facilities. FY 2003 65,500 96,400 236,370 90,000 65,000 FY 2004 69,000 66,000 48,000 95,000 70,000 FY 2005 73,500 63,000 48,000 100,000 75,000 FY 2006 77,500 55,000 48,000 105,000 80,000 GEORGIA NATIONAL FAIRGROUNDS & AGRICENTER NEW CONSTRUCTION - Amphitheater Development. - Outdoor Entertainment/Sports Arena. 3,500,000 500,000 RENOVATIONS & IMPROVEMENTS - Construct North-South Connector Road and roadway to Equestrian Center. - Drainage and related site improvements throughout 1,100 acre site. - Arboretum/Botanical/Nature Area Development. - Cover existing Outside Horse Ring for use as office space, storage area, etc. - Roquemore Conference Center Expansion. - Miscellaneous improvements. - Administrative Office Expansion. 300,000 360,000 250,000 3,687,343 3,075,894 600,000 360,000 JEKYLL ISLAND AUTHORITY RENOVATIONS & IMPROVEMENTS - Historic district revitalization. - Improvements to island golf courses. - Water park new attraction. - Campground improvements. 2,700,000 2,450,000 1,000,000 2,350,000 500,000 2,200,000 TOTALS $49,698,851 $34,257,349 $31,261,400 $22,749,006 625 DEPARTMENT OF PUBLIC SAFETY Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects PUBLIC SAFETY TRAINING CENTER NEW CONSTRUCTION - Construction of 2 regional burn buildings per year through FY 2004. TOTALS FY 2003 FY 2004 FY 2005 300,000 300,000 $300,000 $300,000 FY 2006 626 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects RESEACH AND REGIONAL UNIVERSITIES PROPERTY ACQUISITION Georgia State University - Facilities Support Center Acquisition & Renovation. - Facilities Building. NEW CONSTRUCTION Georgia Institute of Technology - Undergraduate Learning Center. - Family Housing Replacement Bldg #1. - Parking Deck - North Campus #2. - Physical Plant Replacement Bldg. - Campus Electrical Substation Expansion. - Family Housing Replacement Bldg #2. - Molecular/Material Sciences & Engineering Bldg. Georgia Southern University - Fine Arts Phase III. - Multi-Use Academic Facility. - Support Services Complex. - Fine Arts Phase V. - Academic Classroom Bldg. Georgia State University - Academic Bldg. - Humanities Bldg. - West Campus Chilled Water Loop. - School of Art & Design. Medical College of Georgia - Boiler Plant Replacement. - Satellite Steam Boiler Plant. University of Georgia - Special Collections Library & Repository. - Student Apartments - Ph II - East Campus Units. - Student Apartments - Ph I - Oglethorpe House Addition. - Parking Deck 3. - RDC Conference Center Expansion and Auditorium. - Master Plan Infrastructure - DW Brooks Drive. - Master Plan Infrastructure - Herty Mall & Reed Alley. - Computer Science/Math/Statistics/Math Education Facility. FY 2003 4,900,000 33,000,000 20,000,000 13,515,000 5,000,000 25,000,000 2,800,000 30,000,000 30,000,000 12,000,000 12,000,000 9,800,000 4,900,000 4,900,000 FY 2004 7,500,000 10,000,000 24,299,000 40,000,000 4,831,785 67,500,000 FY 2005 4,900,000 23,150,000 45,500,000 5,000,000 45,000,000 3,500,000 FY 2006 26,667,362 20,000,000 627 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects - Parking Deck 2. - Master Plan Infrastructure - Central Campus. - Performing and Visual Arts Center (Drama and Dance). - Marine Education & Research - Sapelo Island. - Veterinary Bioresources Facility - Phase II. - Horticulture Facility. - Student Apartments - Hull Street Units. - PDRC Poultry Housing Facility. Valdosta State University - Fine Arts Bldg. - Center for Health Professions, Human Services & Applied Research. RENOVATIONS & IMPROVEMENTS Georgia Institute of Technology - Renovation of Old Civil Engineering Bldg. - Renovation - Boggs Undergraduate Laboratory. - Renovation - Bunger Henry. Georgia Southern University - Fine Arts Phase IV. - Lewis Hall Renovation. Georgia State University - Renovation for High Technology Classrooms. - Library Archive Storage Bldg. - Plaza Courtyard Redevelopment. Medical College of Georgia - Sanders R & E Building Sprinkler System. - Sanders R & E Ventilation Improvement & Roof Replacement. University of Georgia - P.E. Building Renovation for Marine Sciences. - Chappelle Matthews Public Service Complex - Phase II of IV. - Memorial Hall Renovation. - Poultry Science Building Renovation. - Chappelle Matthews Public Service Complex - Phase III of IV. - Environmental Health Sciences (Old Creamery) Renovation. FY 2003 FY 2004 12,800,000 4,500,000 FY 2005 22,000,000 4,900,000 3,750,000 FY 2006 40,000,000 35,000,000 1,800,000 13,800,000 14,063,331 5,000,000 16,000,000 16,000,000 5,000,000 3,850,000 4,400,000 4,950,000 4,300,000 2,500,000 1,500,000 3,500,000 4,500,000 4,500,000 4,900,000 4,500,000 3,000,000 628 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects Valdosta State University - Renovation of Nevins Hall Science Bldg. Georgia Southern University - Renovaton & Addition - Pittman Administration Building. MAJOR REPAIRS Medical College of Georgia - Replace Ceiling & Lighting - School of Dentistry. University of Georgia - Master Plan Infrastructure - East Campus. - Biological Sciences Bldg HVAC Retrofit. STATE UNIVERSITIES NEW CONSTRUCTION Albany State University - Central Receiving/ Warehouse. - Library Addition. Armstrong Atlantic State University - Technology Resource Center & Infrastructure Upgrade. - Student Center Addition. Augusta State University - Academic Technology Commons. - Continuing Education Bldg. Clayton College & State University - Athletic, Fitness/Wellness Addition to Physical Education Bldg. - Student Center Information Services Bldg. - Music Education Bldg Performance/ Opera/ Theater Addition. Columbus State University - Center for Information Resources (Library). - Davidson Student Center - Addition II. Fort Valley State University - Student Services Center. - Fine Arts Complex. FY 2003 FY 2004 4,500,000 FY 2005 FY 2006 26,311,750 1,200,000 2,200,000 4,800,000 4,990,505 19,000,000 4,700,000 6,600,000 4,677,999 26,500,000 4,349,374 26,000,000 17,107,208 16,321,390 2,903,300 11,570,719 27,142,059 629 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects Georgia College & State University - Intramural Sports Complex. - Performing Arts Complex. - Ennis Hall Renovation. Kennesaw State University - Student Recreation Center Addition. - Information & Instructional Technology Center. - Distance Learning Classroom Bldg. Savannah State University - Marine Biology & Environmental Sciences Addition. Southern Polytechnic State University - Underground Utilities. - Science & Engineering Bldg. - Student Success Bldg. State University of West Georgia - Geosciences (Callaway) Addition. RENOVATIONS & IMPROVEMENTS Clayton College & State University - Renovation of Administration Bldg. - Renovation of Arts & Sciences Bldg. Fort Valley State University - Lyons Center Renovation. - Bishop Hall (Mass Communication) Addition. Georgia College & State University - Herty Hall Renovations - Phase II. - Beeson Renovation. - Centennial Center - Basement Expansion. Georgia Southwestern State University - Renovation - Jackson Hall. Kennesaw State University - Communications Classroom & Office Addition. - Music Building Expansion. Savannah State University - Drew-Griffith Renovation. - Kennedy Fine Arts Renovation. - Hubert Technical Science "B" & "C" Renovations. FY 2003 1,635,085 FY 2004 FY 2005 FY 2006 26,249,796 7,255,298 6,500,000 25,500,000 4,990,000 2,394,000 3,200,000 44,500,000 12,025,540 4,904,668 1,279,410 3,094,600 1,551,337 775,955 4,775,615 11,200,000 1,363,701 4,000,000 4,950,000 1,500,000 5,000,000 1,950,000 2,892,265 630 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects State University of West Georgia - Renovation of the University Community Center. - Campus Electrical Improvements. MAJOR REPAIRS Augusta State University - Campus Storm Drainage/ Retention System. Clayton College & State University - Central Plant - Chiller System Replacement. ASSOCIATE DEGREE COLLEGES PROPERTY ACQUISITION Dalton College - Manufacturing & Technology Center. NEW CONSTRUCTION Abraham Baldwin Agricultural College - Nurses Education Building. Atlanta Metropolitan College - Continuing Education/Performing Arts Bldg. - Plant Ops/Campus Safety Building. Bainbridge College - River Regional Center. Coastal Georgia Community College - Joint Use Facility. Floyd College - Physical Plant Facility. - Bartow Center Phase 2. - Library Technology Addition. Georgia Perimeter College - Health Sciences Bldg - Decatur Campus. Gordon College - Residence Hall. Macon State College - Information Technology, Work Force Development Center. FY 2003 FY 2004 FY 2005 FY 2006 2,503,550 4,719,000 1,288,460 3,900,000 3,900,000 3,250,000 5,000,000 4,073,396 5,000,000 11,000,000 2,100,000 19,386,000 6,700,000 9,000,000 4,000,000 7,500,000 631 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects South Georgia College - Library Addition. Waycross College - Continuing Ed/Public Service Bldg. Georgia Perimeter College - Student Center Bldg, Clarkston Campus. RENOVATIONS & IMPROVEMENTS Floyd College - Road Improvements to Main Campus. - Renovate Old Plant for Nursing. Abraham Baldwin Agricultural College - Renovate Historic Buildings (Herring, Lewis, Tift Halls). Atlanta Metropolitan College - Renovation of Science Building Labs. Dalton College - Renovation /Modernization Gignilliat Memorial Hall. Darton College - Academic Services Building Phase I. - Academic Services Building Phase II. Fort Valley State University - Woodward Gymnasium Renovation. - Ohio Hall Renovation. - Poulty House & Classroom. - Infrastructure Expansion. Gainesville College - Replacement of HVAC campuswide. Georgia Perimeter College - Renovation-Bldgs CD & CF, Clarkston Campus. - Upgrade Campus Electrical System - Clarkston Campus. - Renovation - Ground Floor of Bldg SC - Decatur Campus. - Campus Entrance Enhancements - Clarkston Campus. - Utilities Upgrade, Dunwoody Campus. FY 2003 FY 2004 FY 2005 2,000,000 FY 2006 2,624,322 1,125,000 9,000,000 1,000,000 844,327 1,016,776 3,724,600 4,800,000 2,500,000 4,533,650 2,842,706 374,370 588,317 3,000,000 12,000,000 2,700,000 2,114,476 2,566,300 2,114,476 632 REGENTS, UNIVERSITY SYSTEM OF GEORGIA Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects Middle Georgia College - Renovation of former dormitories - Old Browning Hall & Talmadge Hall. - Renovation - Peacock & Wiggs Hall. - Georgia Hall. - Addition to Whipple Hall - Nursing Building. South Georgia College - Stubbs Hall Renovation. - Renovation of Peterson Hall. - Collins Hall Renovation. Darton College - Learning Resource Center (LRC) addition to Technology Building. MAJOR REPAIRS Coastal Georgia Community College - Repair Physical Education Building. Waycross College - Renovations & Additions to Building A. ATTACHED AGENCIES NEW CONSTRUTION Georgia Military College - Construction of New Barracks. - Program Design of New Facilities Engineering Building. - Construction of New Facilities Engineering Building. OTHER PROJECTS NEW CONSTRUCTION Skidaway Institue of Oceanography - Coastal Technology Development Center. - Student Apartment Buildings. - Support Services Adminstration Building. - Addition to Life Science Building. TOTALS FY 2003 4,500,000 FY 2004 4,116,874 FY 2005 4,337,380 FY 2006 1,310,863 2,961,113 4,218,800 2,863,413 17,000,000 4,973,960 4,116,198 $95,000 $6,000,000 $1,500,000 6,000,000 2,000,000 9,088,206 2,077,233 $378,086,276 $353,169,720 $340,816,742 $330,914,080 633 STATE SOIL AND WATER CONSERVATION COMMISSION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects FY 2003 COMMISSION AND DISTRICT ADMINISTRATION RENOVATIONS AND IMPROVEMENTS - Upgrade Category 1 watershed structures to bring dams into compliance with the State's Safe Dams Act. TOTALS FY 2004 FY 2005 FY 2006 3,821,685 $3,821,685 634 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects TECHNICAL COLLEGES PROPERTY ACQUISITION Northwestern Technical College - Land acquisition for campus expansion. FY 2003 315,000 NEW CONSTRUCTION Albany Technical College - Student Center, Media Center, Culinary Arts Building. 7,564,641 Altamaha Technical College - Classroom Building at Baxley, Appling County Campus. 4,002,720 Appalachian Technical College - Cherokee County Campus. 12,124,923 Atlanta Technical College - Allied Health Building. 14,578,000 Central Georgia Technical College - Milledgeville Campus Expansion. 8,119,050 Chattahoochee Technical College - Marietta Campus Classroom Building. 12,955,440 Coosa Valley Technical College - Polk County Campus Economic Development Building. 3,632,500 DeKalb Technical College - Clarkston Campus Classroom/Student Center Building. 14,477,400 East Central Technical College - Coffee Campus Allied Health Center. 5,802,129 Griffin Technical College - Fayette County Campus. 10,939,000 Lanier Technical College - Classroom addition on main campus. - Forsyth Campus Classroom Building. - Allied Health Building. - Maintenance Building. 3,967,280 149,000 567,000 Middle Georgia Technical College - Media/Instructional Training Center. - Child Development Center. - Dental Hygiene Training Facility. 4,853,280 2,224,516 1,477,186 FY 2004 5,000,000 9,742,800 14,886,560 FY 2005 FY 2006 635 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects North Georgia Technical College - Clarkesville Campus Technology Center. - Toccoa-Stephens County Education Extension. North Metro Technical College - Technology Classroom and Lab Building. Ogeechee Technical College - Computer Science Technology Building. Okefenokee Technical College - General Classroom Building. South Georgia Technical College - Crisp County Center Expansion. - Information Technology Center. - New Dormitory. Southwest Georgia Technical College - Classroom/Student Services/Administration Building. Valdosta Technical College - Classroom/Lab Facility. RENOVATIONS & IMPROVEMENTS Atlanta Technical College - Renovate Dental Hygiene Lab. Central Georgia Technical College - Renovate Adult Learning Center. North Georgia Technical College - Parker-Nellis Building Renovation. Savannah Technical College - Phase III Renovation. South Georgia Technical College - Martin Hall Dormitory Major Repair. Southeastern Technical College - Glennville Technical Education Center Renovation. - Child Care Facility Renovation. West Georgia Technical College - Building B Major Renovation. FY 2003 6,658,349 4,884,100 FY 2004 FY 2005 FY 2006 5,681,400 9,823,480 7,460,941 8,309,809 70,000 6,952,255 45,000 4,451,340 15,509,293 14,559,900 150,000 771,717 600,000 498,850 3,298,599 500,000 300,000 300,000 235,000 636 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects MAJOR REPAIRS Atlanta Technical College - HVAC Repairs. FY 2003 800,000 EQUIPMENT Albany Technical College - Student Center, Media Center, Culinary Arts Building. Altamaha Technical College - Classroom Building at Baxley, Appling County campus. Appalachian Technical College - Technology Annex Building. - Cherokee County Campus. 1,547,048 Atlanta Technical College - Allied Health Building. Central Georgia Technical College - Milledgeville Campus Expansion. Chattahoochee Technical College - Marietta Campus Classroom Building. Coosa Valley Technical College - Rome Campus Health Building. - Polk County Campus Economic Development Building. 2,532,588 DeKalb Technical College - Clarkston Campus Classroom/Student Center Building. East Central Technical College - Ben Hill-Irwin Campus Child Care Facility. - Coffee Campus Allied Health Center. 480,838 Flint River Technical College - Crawford County Workforce Development Center. 378,000 Griffin Technical College - Technology Building. - Fayette County Campus. 2,701,952 Athens Technical College - Business/Information Technology Classroom Building. 1,750,000 Lanier Technical College - Classroom addition on main campus. FY 2004 760,950 750,000 3,014,455 4,280,000 2,109,000 3,280,000 200,000 3,780,000 1,810,987 2,200,000 FY 2005 1,500,000 FY 2006 637 DEPARTMENT OF TECHNICAL AND ADULT EDUCATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects - Forsyth Campus Classroom Building. - Allied Health Building. FY 2003 FY 2004 FY 2005 3,000,000 4,000,000 Middle Georgia Technical College - Media/Instructional Training Center. - Child Development Center. - Dental Hygiene Training Facility. 600,000 250,000 300,000 Moultrie Technical College - Tift Satellite Technical Center. 2,189,000 North Georgia Technical College - Clarkesville Campus Technology Center. - Toccoa-Stephens County Education Extension. 1,933,789 1,250,000 North Metro Technical College - Technology Classroom and Lab Building. 984,000 Northwestern Technical College - Center for Manufacturing and Technology. 1,740,000 Ogeechee Technical College - Agri-Business/General Classroom Building. - Computer Science Technology Building. 3,147,105 4,370,000 Okefenokee Technical College - General Classroom Building. 981,430 Sandersville Technical College - Jefferson County Campus. 450,000 South Georgia Technical College - Crisp County Center Expansion. - Information Technology Center. 1,250,000 Southeastern Technical College - Allied Health Building. 2,573,833 Southwest Georgia Technical College - Classroom/Student Services/Administration Building. 3,593,299 Swainsboro Technical College - Technology Center. 1,000,000 Valdosta Technical College - Classroom/Lab Facility. TOTALS $186,615,029 $57,437,541 $30,057,155 FY 2006 1,250,000 3,750,000 $4,451,340 638 DEPARTMENT OF TRANSPORTATION Capital Outlay Projected Needs For Fiscal Years 2003 Through 2006 Capital Outlay Projects PLANNING AND CONSTRUCTION NEW CONSTRUCTION Federal Road Program - State match requirement for federal road programs. FY 2003 FY 2004 FY 2005 FY 2006 180,429,260 180,429,260 180,429,260 180,429,260 State Road Programs - Construction related projects for the state road program. - Continued work on the Governor's Road Improvement Program. 103,275,000 400,000,000 103,275,000 400,000,000 103,275,000 400,000,000 103,275,000 400,000,000 HIGHWAY MAINTENANCE AND BETTERMENTS RENOVATIONS & IMPROVEMENTS - Resurfacing and rehabilitation on-system roads and bridges. - Resurfacing and rehabilitation off-system roads and bridges. 50,000,000 50,000,000 50,000,000 50,000,000 50,000,000 50,000,000 50,000,000 50,000,000 INTER-MODAL TRANSFER FACILITIES PROPERTY ACQUISITION - Freight rail line acquisition. 4,000,000 5,000,000 5,000,000 5,000,000 NEW CONSTRUCTION - State match requirement for construction of the Atlanta Multimodal Transfer Facility. - State match requirement for intercity rail passenger corridor development. 4,000,000 23,600,000 3,000,000 18,000,000 3,000,000 35,600,000 4,200,000 37,800,000 RENOVATIONS & IMPROVEMENTS - Airport development and improvement projects. - Freight rail rehabilitation projects. 17,061,186 5,000,000 12,946,289 5,000,000 14,389,730 6,000,000 12,500,000 6,000,000 FACILITIES AND EQUIPMENT - Major renovations of DOT-owned buildings. 15,000,000 10,000,000 10,000,000 10,000,000 TOTALS $852,365,446 $837,650,549 $857,693,990 $859,204,260 639 [This page intentionally blank] 640 Appendix STATE FUNDS SURPLUS Departments/Agencies General Assembly Audits and Accounts, Department of Judicial Branch Administrative Services, Department of Agriculture, Department of Banking and Finance, Department of Community Affairs, Department of Community Health, Department of Corrections, Department of Defense, Department of Education, State Board of Forestry Commission, State Georgia Bureau of Investigation Governor, Office of the Human Resources, Department of Industry, Trade and Tourism, Department of Insurance, Office of Commissioner of Juvenile Justice, Department of Labor, Department of Law, Department of Natural Resources, Department of Pardons and Paroles, Board of Public Safety, Department of Public Service Commission Regents, University System of Georgia Revenue, Department of Secretary of State, Office of Soil and Water Conservation Commission, State Student Finance Commission, Georgia Teachers' Retirement System Technical and Adult Education, Department of Transportation, Department of Veterans Service, Department of Workers' Compensation, State Board of Total Surplus Audited State Funds Surplus, June 30 Unallotted State Funds Lapse, June 30 Estimated Lottery Funds Surplus, June 30 Total Surplus Fiscal Year 1999 3,653,692.39 370,965.83 Fiscal Year 2000 4,049,536.40 293,100.99 539,099.47 722,254.93 3,337,116.57 190,260.41 150,136.71 236,474.27 3,993,356.94 2,981,897.55 60,204.74 9,680,851.55 1,248,387.53 175,932.47 1,259,603.75 12,271,729.81 99,707.61 366,272.06 7,664,026.28 61,761.28 1,160,807.01 476,110.15 276,441.48 501,790.52 29,815.16 2,349,044.65 1,353,928.50 830,218.68 40,484.75 19,889,982.03 479,426.21 467,727.55 1,718,145.66 60,209.70 278,140.04 $78,253,749.31 47,717,603.89 5,680,704.00 24,855,441.42 $78,253,749.31 115,203.31 182,092.36 67,459.70 19,643.70 3,532,949.51 11,322,039.11 34,715.41 18,572,354.36 1,154,016.01 50,934.69 2,229,453.50 11,434,487.99 524,711.69 606,234.13 1,700,676.61 66,214.20 1,436,498.72 1,522,045.91 69,553.03 596,316.09 462,195.98 2,250,566.55 6,552,328.55 854,575.92 7,954.91 1,772,483.66 60,625.10 707,728.03 452,455.41 1,054,258.06 151,223.15 $74,628,887.67 67,304,653.00 885,907.39 6,438,327.00 $74,628,887.39 642 SUMMARY OF POSITIONS Departments/Agencies Administrative Services, Department of - Unit A Georgia Building Authority - Unit B Agriculture, Department of - Unit A Georgia Agrirama Development Authority - Unit B Banking and Finance, Department of Community Affairs, Department of Community Health, Department of - Unit A PeachCare for Kids - Unit C Corrections, Department of Defense, Department of Education, State Board of - Unit A School Readiness, Office of - Unit C Employees' Retirement System Forestry Commission, State Georgia Bureau of Investigation Georgia State Financing and Investment Commission Governor, Office of the Human Resources, Department of Industry, Trade and Tourism, Department of Insurance, Office of Commissioner of Juvenile Justice, Department of Labor, Department of Law, Department of Merit System of Personnel Administration Natural Resources, Department of - Unit A Georgia Agricultural Exposition Authority - Unit B Pardons and Paroles, State Board of Public Safety, Department of - Unit A Units Attached for Administrative Purposes - Unit B Public Service Commission Regents, Board of - Unit A Regents Central Office - Unit B Ga. Public Telecommunications Commission - Unit C Revenue, Department of Secretary of State, Office of Real Estate Commission Soil and Water Conservation Commission, State Student Finance Commission, Georgia - Unit A Teachers' Retirement System Technical and Adult Education, Department of - Unit A Transportation, Department of Veterans Service, Department of Workers' Compensation, State Board of Fiscal Year 2000 Fiscal Year 2001 Fiscal Year 2002 Actual Budgeted Recommendations 1,113 572 871 21 138 428 497 7 14,926 286 712 72 50 722 813 57 307 12,793 203 326 3,871 1,992 177 145 1,928 51 850 1,907 176 152 36,698 8,224 250 1,414 368 31 30 8 104 3,541 6,365 133 164 1,152 551 870 21 146 398 488 7 15,014 416 712 81 53 722 816 84 354 12,619 202 326 4,323 1,992 184 143 1,538 51 842 1,942 181 152 36,002 7,814 250 1,401 373 31 31 8 122 3,513 6,365 133 164 1,149 478 870 21 146 404 500 7 15,578 420 716 83 53 722 840 84 362 11,522 201 326 4,056 3,888 186 146 1,614 51 846 2,034 182 155 36,115 7,828 250 1,401 382 31 31 8 122 3,513 6,381 133 166 TOTAL 103,493 102,587 104,001 643 FY 2003 DEPARTMENT BUDGET ESTIMATES The budget process used for Fiscal Year 2002 incorporates a multi-year estimating process required of state agencies. Agencies were required to estimate future costs of their Fiscal Year 2002 request. Estimating future cost of actions taken in any budget year should be an integral part of the budget decision making process. Agencies were asked to include Fiscal Year 2003 estimates of their budget requests and future operating costs associated with capital outlay projects. The table below is a summary of the agencies' Fiscal Year 2003 estimate of their Fiscal Year 2002 budget requests. Departments/Agencies Administrative Services, Department of - Unit A Agriculture, Department of - Unit A Banking and Finance, Department of Community Affairs, Department of Community Health, Department of - Unit A Indigent Care Trust Fund - Unit B PeachCare for Kids - Unit C Corrections, Department of Defense, Department of Education, State Board of - Unit A Lottery for Education - Unit B School Readiness, Office of - Unit C Forestry Commission, State Georgia Bureau of Investigation Georgia State Financing and Investment Commission Governor, Office of the Human Resources, Department of Industry, Trade and Tourism, Department of Insurance, Office of Commissioner of Juvenile Justice, Department of Labor, Department of Law, Department of Natural Resources, Department of - Unit A Pardons and Paroles, State Board of Public Safety, Department of - Unit A Units Attached for Administrative Purposes - Unit B Public School Employees' Retirement System Public Service Commission Regents, Board of - Unit A Regents Central Office - Unit B Lottery for Education - Unit D Revenue, Department of Secretary of State, Office of Real Estate Commission {continued on next page} FY 2002 Requests 73,140,110 51,193,414 11,559,904 63,639,823 1,455,118,409 148,828,880 32,607,617 936,801,088 11,864,047 5,706,966,038 38,310,000 251,317,174 39,091,341 63,575,123 5,399,485 51,195,630 1,370,655,098 93,664,126 16,073,934 286,512,668 65,310,315 15,969,495 145,949,402 52,289,665 124,983,855 15,805,752 13,499,104 10,994,834 1,523,875,215 250,190,083 26,966,000 271,523,118 33,472,892 2,347,683 FY 2003 Estimates 50,647,439 49,715,633 11,917,608 67,448,048 1,455,118,409 148,828,880 32,607,617 963,315,191 8,864,047 5,733,141,679 38,223,350 250,019,249 40,054,804 63,062,121 4,614,000 45,943,133 1,364,160,325 94,350,997 15,801,329 266,178,144 65,310,315 15,969,495 145,949,402 52,289,665 128,782,871 17,523,676 13,499,104 10,994,834 1,462,215,806 224,036,357 26,966,000 267,940,827 33,943,158 2,429,000 644 FY 2003 DEPARTMENT BUDGET ESTIMATES [Continued] Departments/Agencies FY 2002 Requests FY 2003 Estimates Soil and Water Conservation Commission, State Student Finance Commission, Georgia - Unit A Lottery for Education - Unit B Teachers' Retirement System Technical and Adult Education, Department of - Unit A Lottery for Education - Unit B Transportation, Department of Veterans Service, Department of Workers' Compensation, State Board of TOTAL STATE FUNDS 2,479,499 36,234,050 284,591,793 3,090,000 272,477,628 13,843,752 1,262,262,841 25,056,981 12,262,822 15,172,990,688 2,733,300 36,350,479 292,515,616 3,090,000 292,852,822 13,843,752 1,262,262,841 21,648,186 12,248,922 15,109,408,431 645 IMPACT OF THE CAPITAL OUTLAY PROGRAM ON THE FY 2002 RECOMMENDED BUDGET The Capital Outlay Program consists of projects and activities to: acquire property; procure equipment; develop and construct new facilities and structures; renovate, enlarge, enhance, preserve, and improve existing facilities and structures; and conduct major repairs to ensure capital assets achieve their service life. Funding is considered in the Capital Outlay Program for projects that are primarily facility related, non-recurring on an annual basis, and it is deemed desirable to request and recommend funding separate from the operating budget for ongoing agency expenses. For example, annual motor vehicle replacements and other routine equipment needs are usually funded as part of an agency's general operating budget. The Capital Outlay Program impacts the state's operating budget through a mix of debt service payments for bondfunded projects and "pay-as-you-go" financing using lottery, tobacco settlement, and cash revenues. Also, as completed capital projects become operational, there may be associated additional operating expenses. The following table summarizes the impact of the Capital Outlay Program on the FY 2002 Recommended Budget. General Obligation Debt Sinking Fund Existing Obligations, Issued Debt Service Bond Funded FY 2002 Projects New Debt Service Subtotal, Debt FY 2002Budget $580,920,721 0 $580,920,721 Percentage of Budget 3.8% ___ 3.8% Cash Funded FY 2002 Projects $349,416,991 2.3% Lottery Funded FY 2002 Projects $0 FY 2002 Additional Operating Cost Of Newly Completed State Projects Total $15,963,263 $946,300,975 0.1% 6.1% In summary, $946.3 million of the FY 2002 Governor's Recommended Budget directly supports the Capital Outlay Program, representing 6.1% of the total. Details of funding expenses of major capital projects becoming operational are contained in the Department Budget Summaries and Budget Highlights sections. Also, as the major capital projects recommended in the FY 2002 and Amended FY 2001 budgets are completed, there will be additional operating expenses in future years. The total future additional operational impact of these recommended capital projects is estimated at $35 million on an annual basis. The state has developed and maintains a sound debt management plan, overseen by a Debt Management Advisory Committee, for the effective and prudent use of debt in addressing Georgia's growing capital needs. In recognition of the state's sound fiscal policies, moderate debt levels well within constitutional and statutory controls, conservative revenue estimates, a diverse and strong economy, and responsive leadership, the state currently enjoys triple-A ratings from Moody's, Fitch, and Standard & Poor's. 646 FINANCING CAPITAL OUTLAY NEEDS - ISSUANCE OF DEBT In November of 1972, the voters of the State of Georgia approved a comprehensive amendment to the Constitution of 1945 (Ga. Laws 1972, p. 1523, et seq.), which permitted the state to finance its needs directly through the issuance of general obligation debt. Prior to the adoption of the amendment, the state's capital outlay needs were met through the issuance of bonds by 10 separate state authorities and secured by lease rental agreements between the authorities and various state departments and agencies. The provisions of the amendment were implemented by the General Assembly in 1973 with the enactment of the act, and the constitutionality of the new system of state financing was favorably adjudicated by the Supreme Court of Georgia in a decision rendered on July 16, 1974, in Sears v. State of Georgia, 232 Ga. 547 (1974). In November of 1982, the voters of the State of Georgia ratified a new state constitution which became effective July 1, 1983, and such new constitution continues the amendment in full force and effect. Georgia State Financing and Investment Commission The commission is an agency and instrumentality of the state and its members are the Governor, the President of the Senate, the Speaker of the House of Representatives, the State Auditor, the Attorney General, the Director of the Office of Treasury and Fiscal Services, and the Commissioner of Agriculture. The commission is responsible for the issuance of all public debt of the state, including general obligation debt and guaranteed revenue debt. The commission is further responsible for the proper application of the proceeds of such debt to the purposes for which it is incurred. The commission has two statutory divisions, a Financing and Investment Division and a Construction Division, each administered by a director who reports directly to the commission. The Financing and Investment Division performs all services relating to the issuance of public debt, the investment and accounting of all proceeds derived from the incurring of general obligation debt or such other amounts as may be appropriated to the commission for capital outlay purposes, the management of other state debt, and all financial advisory matters pertaining thereto. The Construction Division is responsible for all construction and construction-related matters resulting from the issuance of public debt or from any such other amounts as may be appropriated to the commission for capital outlay purposes, except that in the case of bond proceeds for public road and bridge construction or reconstruction, the commission contracts with the Department of Transportation or the Georgia Highway Authority for the supervision of and contracting for designing, planning, building, rebuilding, constructing, improving, operating, owning, maintaining, leasing, and managing of public roads and bridges for which general obligation debt has been authorized and in all other cases when the commission shall contract with a state department, authority, or agency for the acquisition or construction of projects under the policies, standards, and operating procedures established by the commission. The Construction Division is also responsible for performing such construction-related services for state agencies and instrumentalities as may be assigned to the commission by executive order of the Governor. Purpose of Bonds The Constitution of the State of Georgia [see Article VII, Section IV, Paragraph I] provides that the state may incur public debt of two types for public purposes: 1) general obligation debt and 2) guaranteed revenue debt. General obligation debt may be incurred to acquire, construct, develop, extend, enlarge, or improve land, waters, property, highways, buildings, structures, equipment, or facilities of the state, its agencies, departments, institutions, and certain state authorities, to provide educational facilities for county and independent school systems, to provide public library facilities for county and independent school systems, counties, municipalities, and boards of trustees of public libraries or boards of trustees of public library systems, to make loans to counties, municipal corporations, political subdivisions, local authorities, and other local government entities for water or sewerage facilities or systems, and to make loans to local government entities for regional or multijurisdictional solid waste recycling or solid waste facilities or systems. Guaranteed revenue debt may be incurred by guaranteeing the payment of certain revenue obligations issued by an instrumentality of the state to finance certain specified public projects. Constitutional Debt Limitations The Constitution [see Article VII, Section IV, Paragraph II] provides that: No debt may be incurred at any time when the highest aggregate annual debt service requirements for the then current year or any subsequent year for outstanding general obligation debt and guaranteed revenue debt, including the proposed debt, and the highest aggregate annual payments for the then current year or any subsequent fiscal year of the state, exceed 10% of the total revenue receipts, less refunds, of the state treasury 647 FINANCING CAPITAL OUTLAY NEEDS - ISSUANCE OF DEBT in the fiscal year immediately preceding the year in which any such debt is to be incurred. security of, loans for educational purposes that may be outstanding at any time shall not exceed $72 million. No debt may be incurred at any time when the term of the debt is in excess of 25 years. No guaranteed revenue debt may be incurred to finance water or sewage treatment facilities or systems when the highest aggregate annual debt service requirements for the then current year or any subsequent fiscal year of the state for outstanding or proposed guaranteed revenue debt for water facilities or systems or sewerage facilities or systems exceed 1% of the total revenue receipts less refunds, of the state treasury in the fiscal year immediately preceding the year in which any debt is to be incurred. The aggregate amount of guaranteed revenue debt incurred to make loans for educational purposes that may be outstanding at any time shall not exceed $18 million, and the aggregate amount of guaranteed revenue debt incurred to purchase, or to lend or deposit against the The Constitution [see Article VII, Section IV, Paragraph I(b)] also provides that the state may incur public debt to supply a temporary deficit in the state treasury in any fiscal year created by a delay in collecting the taxes of that year. Such debt shall not exceed, in the aggregate, 5% of the total revenue receipts, less refunds, of the state treasury in the fiscal year immediately preceding the year in which such debt is incurred. The debt incurred shall be repaid on or before the last day of the fiscal year in which it is incurred out of taxes levied for that fiscal year. No such debt may be incurred in any fiscal year under the provisions of this subparagraph if there is then outstanding unpaid debt from any previous fiscal year which was incurred to supply a temporary deficit in the state treasury. [No such debt has been incurred under this provision since its inception.] 648 TOTAL DEBT AUTHORIZED BY STATE IN GENERAL OBLIGATION AND REVENUE BONDS The following table sets forth by purpose the aggregate general obligation debt and guaranteed revenue debt authorized by the General Assembly of the State for the fiscal years ended June 30, 1975, through June 30, 2001. The amounts of such general obligation debt and guaranteed revenue debt actually issued and the amounts authorized but unissued have been aggregated for presentation in the third and fourth columns of this table and labeled "Direct Obligations." Agency Department of Transportation State Board of Education Regents, University System of Georgia Georgia World Congress Center Department of Human Resources Georgia Ports Authority Department of Corrections Department of Public Safety Georgia Bureau of Investigation Department of Revenue Department of Labor Department of Natural Resources Dept. of Technical and Adult Education Ga. Environmental Facilities Authority Department of Administrative Services Department of Agriculture Georgia Building Authority Stone Mountain Memorial Association Department of Veterans Service Jekyll Island State Park Authority Office of Secretary of State Department of Defense Department of Community Affairs Dept. of Industry, Trade and Tourism Ga. Emergency Management Agency State Soil & Water Conservation Comm. Department of Juvenile Justice Georgia Golf Hall of Fame Georgia Forestry Commission Ga. Agricultural Exposition Authority Other Subtotal Net Increase resulting from the 1986B, 1992A, 1993E, GEFA Series 1997, GA 400 Tollway Series 1998, and 1998E Refunding Bond Issues. Total General Obligation Debt Authorized 2,592,735,000 2,259,793,000 1,885,187,000 554,105,000 207,166,000 429,055,000 651,225,000 65,130,000 69,930,000 900,000 33,000,000 400,030,000 381,249,000 208,500,000 57,605,000 24,240,000 399,255,000 48,400,000 3,440,000 20,640,000 1,050,000 5,020,000 8,200,000 24,265,000 200,000 3,840,000 160,315,000 6,000,000 1,600,000 14,057,000 15,000,000 $10,531,132,000 $159,780,000 Guaranteed Revenue Debt Authorized 96,105,000 97,470,000 $193,575,000 $6,925,000 Obligations Issued 2,688,840,000 2,259,790,000 1,885,185,000 554,105,000 207,165,000 429,055,000 651,225,000 65,130,000 69,930,000 900,000 33,000,000 354,030,000 381,245,000 305,970,000 57,605,000 24,240,000 399,255,000 48,400,000 3,440,000 20,640,000 1,050,000 5,020,000 8,200,000 24,265,000 200,000 3,840,000 160,315,000 6,000,000 1,600,000 14,055,000 15,000,000 $10,678,695,000 $166,705,000 Obligations Unissued 3,000 2,000 1,000 46,000,000 4,000 2,000 $46,012,000 $10,690,912,000 $200,500,000 $10,845,400,000 $46,012,000 Source: Georgia State Financing and Investment Commission 649 OUTSTANDING DEBT OWED BY STATE OF GEORGIA The following table sets forth the pro-forma outstanding principal amount of indebtedness of the State on November 30, 2000. State Obligations: General Obligation Debt Guaranteed Revenue Debt Net State Obligations Original Amount Outstanding 10,644,900,000 200,500,000 $10,845,400,000 5,461,330,000 149,240,000 $5,610,570,000 Authority Debt: Georgia Highway Authority Georgia Education Authority (Schools) Georgia Education Authority (University) Georgia Building Authority Georgia Building Authority (Hospitals) Georgia Building Authority (Penal) Georgia Building Authority (Markets) Georgia Ports Authority Jekyll Island-State Park Authority Stone Mountain Memorial Association Total Authority Debt 492,735,000 0 514,924,000 358,985,000 33,550,000 88,760,000 12,000,000 13,925,000 43,535,000 21,370,000 14,550,000 $1,594,334,000 $0 Summary of Indebtedness: Net State Obligations Authority Debt Total Source: Georgia State Financing and Investment Commission 5,610,570,000 0 $5,610,570,000 650 PRINCIPAL AND INTEREST OWED ON OUTSTANDING BONDS The following table sets forth the aggregate fiscal year debt service of the State of Georgia on all outstanding general obligation and guaranteed revenue debt, as of November 30, 2000. Fiscal Year 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Total General Obligation Debt Principal 128,710,000 330,880,000 336,745,000 370,610,000 381,510,000 397,310,000 393,910,000 358,465,000 369,400,000 392,485,000 366,025,000 337,375,000 279,760,000 231,170,000 235,565,000 164,765,000 123,745,000 109,860,000 77,900,000 42,540,000 32,600,000 $5,461,330,000 Authority Debt Principal Guaranteed Revenue Debt Principal 11,050,000 11,525,000 12,050,000 12,565,000 13,115,000 13,730,000 13,980,000 14,675,000 15,340,000 14,305,000 16,905,000 $0 $149,240,000 Total Principal 128,710,000 341,930,000 348,270,000 382,660,000 394,075,000 410,425,000 407,640,000 372,445,000 384,075,000 407,825,000 380,330,000 354,280,000 279,760,000 231,170,000 235,565,000 164,765,000 123,745,000 109,860,000 77,900,000 42,540,000 32,600,000 $5,610,570,000 Total Interest 170,817,831 310,595,621 290,823,581 269,586,753 246,316,684 222,342,351 198,181,466 173,639,870 150,296,715 126,378,094 102,603,533 81,037,755 62,350,429 47,609,293 35,364,979 23,549,878 16,101,206 10,214,294 5,462,741 2,476,601 652,000 $2,546,401,673 Total Debt Service 299,527,831 652,525,621 639,093,581 652,246,753 640,391,684 632,767,351 605,821,466 546,084,870 534,371,715 534,203,094 482,933,533 435,317,755 342,110,429 278,779,293 270,929,979 188,314,878 139,846,206 120,074,294 83,362,741 45,016,601 33,252,000 $8,156,971,673 Source: Georgia State Financing and Investment Commission Outstanding Debt - Principal and Interest 700 600 500 400 300 200 100 0 Interest Principal Outstanding Debt [$M] 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Fiscal Year 651 STATE DEBT SERVICE AS PERCENTAGE OF PRIOR YEAR NET TREASURY RECEIPTS The following sets forth the highest aggregate annual debt service, including recommended debt, as a percentage of the net treasury receipts for the prior fiscal year. The maximum percentage allowed by the current state Constitution is 10%, effective in FY 1984. Prior to FY 1984 the maximum percentage allowed by the Constitution was 15%. Fiscal Year 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 Highest Annual Debt Service $721,172,089 (Est.) 721,172,089 (Est.) 700,994,815 702,079,328 606,591,877 588,641,451 568,226,855 504,930,220 491,857,523 431,894,693 Prior Year Net Treasury Receipts $14,471,504,932 (Est.) 14,959,980,702 13,539,916,503 12,478,602,944 11,905,829,999 11,166,835,592 10,303,573,061 9,409,526,943 8,346,376,907 7,452,615,507 Percentage 5.0% (Est.) 4.8% (Est.) 5.2% 5.6% 5.1% 5.3% 5.5% 5.4% 5.9% 5.8% Debt as a Percentage of Prior Fiscal Year Net Receipts 20% 15% 15%, Pre-FY1984 10% Constitutional Limits 10%, Effective FY1984 Percentage 5% 0% 1970 1975 1980 1985 1990 Fiscal Year Source: Georgia State Financing and Investment Commission 1995 2000 2005 652 BASIS OF BUDGETING AND ACCOUNTING BUDGETING The annual budget of the State of Georgia is prepared on the modified accrual basis utilizing encumbrance accounting with the following exceptions: federal and certain other revenues are accrued based on the unexecuted portion of long-term contracts; and intrafund transactions are disclosed as revenues and expenditures. The budget represents departmental appropriations recommended by the Governor and adopted by the General Assembly prior to the beginning of the fiscal year. Annual appropriated budgets are adopted at the department level. All unencumbered annual appropriations lapse at fiscal year end unless otherwise specified by constitutional or statutory provisions. Supplementary and amended appropriations may be enacted during the next legislative session by the same process used for original appropriations. Encumbrances are used to indicate the intent to purchase goods or services. Liabilities and expenditures are recorded upon issuance of completed purchase orders. Goods or services need not have been received for liabilities and expenditures to be recorded. FUND ACCOUNTING The State of Georgia uses funds to report on its financial position and the results of its operations determined in conformity with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities. A fund is a separate accounting entity with a self-balancing set of accounts. Funds presented in this report are follows: Budget Fund - The fund used to account for activities and functions as set forth in the Appropriations Act. General Fund (Statutory Basis) - The fund used to account for the collection of specific revenues of the State of Georgia as provided by statute or administrative action; and transfers to the various state organizations for operational costs in the fiscal year. This is not a General Fund as defined by generally accepted accounting principles. No appropriations of expenditures are made to the General Fund (Statutory Basis). Debt Service Fund (Statutory Basis) - The fund used to account for the accumulation of resources for, and the payment of, general obligation bond debt principal, interest and related costs. The unretired principal balance of general obligation bond issues is also reported in this fund, as is an "amount to be provided" (from future appropriations) for retirement of bond principal. This is not a Debt Service Fund as defined by generally accepted accounting principles. All funds included in this report are reported in conformity with statutory requirements. BASIS OF ACCOUNTING The State of Georgia maintains its Budget Fund and its Debt Service Fund in accordance with the modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Further, the modified accrual basis of accounting calls for expenditures to be recorded when the related fund liability is incurred. Contractual obligations for services that have not yet been performed and for goods that have not been delivered at the end of the fiscal year are recognized as expenditures and liabilities. The recognition of encumbrances as expenditures and liabilities is in accordance with Constitutional provisions and State budgetary policy. The General Fund (Statutory Basis) is maintained substantially on the cash receipts and disbursements basis of accounting, with the exception of the accrual of amounts due to the various state organizations for operational costs of the fiscal year. 653 THE BUDGET PROCESS IN GEORGIA An understanding of the budget process in Georgia will help readers to use more easily the contents of the FY 2002 Budget Report. The following information is presented for this purpose. Annual state appropriations, as approved by the General Assembly and signed into law by the Governor, are the authority for the expenditure of all state funds. Budgets are established for each agency based on appropriations, and state laws prescribe strict conditions that govern all expenditures. THE SOURCES OF FUNDING Budgets are based on the availability of state general funds, state dedicated funds (such as motor fuel taxes, state lottery funds and the Indigent Care Trust Fund), reserves and surpluses, funds collected and retained for expenditure by agencies, federal funds, and a few smaller categories. Broadly, funds are identified in the Budget Report and in general use as state funds and total funds. The term "funds" as generally used in this budget report, unless otherwise noted, refers to revenues available or received by the state. [The state's specific governmental accounting fund classifications are noted in the state Comprehensive Annual Financial Report prepared by the Department of Audits and Accounts.] STATE FUNDS--(1) The taxes and fees collected by the state and deposited directly into the state treasury to be appropriated; (2) Reserves; (3) Surplus funds; (4) Lottery receipts; (5) Indigent Care Trust Funds; (6) Motor Fuel tax funds; and (7) Tobacco Settlement funds, all of which form the basis for the Governor's revenue estimate. TOTAL FUNDS--All funds available for appropriation, including (1) State funds as described above; (2) Federal funds; and (3) Other funds from a number of sources, mostly fees and charges assessed and retained by agencies. STATE FUNDS State funds generally comprise over half of the total appropriations in the budget. The state fund total is most frequently used in news reports and is the total that most often generates public debate and deliberations by the House and Senate Appropriations Committees. The level of federal and other funding is often driven by the level of state fund appropriations. Taxes represent the largest portion of state revenue sources, about 90%. The two largest tax sources are the income tax and the sales tax. Other revenue sources include fees and sales, lottery funds, and Indigent Care Trust Funds. FEDERAL AND OTHER FUNDS Federal funds flow directly to state agencies from the many federal programs that provide grants to state and local governments. While most federal funds for local governments go directly to the recipient cities and counties, some grant funds are distributed to local governments through the state budget. Other funds include a broad category of revenues that are collected by agencies and retained for expenditure without going through the state treasury. They are expressly approved by an appropriations act or can be amended into an agency's budget with approval of the Office of Planning and Budget (OPB). Funds that are collected by agencies and turned over to the state treasury by law become state general funds and are available for appropriation by the General Assembly for any purpose. Funds retained by state agencies for direct expenditure include college tuition fees, state park revenues, and a host of other fees and collections for various services rendered. REVENUE ESTIMATE Georgia's State Constitution requires that the General Assembly approve a budget that balances expenditures with anticipated fund availability. Therefore, each year's budget cannot exceed the total of revenues expected to be collected and any surplus or reserve funds that are available for expenditure. The Governor, who is the Budget Director, is responsible for establishing the official revenue estimate. He is assisted in this responsibility by a state economist under contract as a consultant with OPB, which serves as the budget staff for the Governor. The basis for making revenue projections is a computerized econometric mo del. From this model, a range of estimates is provided to the Governor by his economic advisor. In December, just prior to finalizing his budget recommendations to the General Assembly, the Governor adopts a final revenue estimate--an action that, when added to surplus and reserve funds, determines the size of the forthcoming appropriations bill. SURPLUS FUNDS Surplus funds come from two sources: (1) Excess revenue collections over the revenue estimate; and (2) Unspent appropriations that were lapsed back to the state treasury and may be available for re-appropriation. 654 THE BUDGET PROCESS IN GEORGIA Lapses occur in two ways: (1) Appropriation amounts that OPB never allotted to agencies for expenditure, an action that automatically puts the funds back into the treasury; and (2) Appropriations that were allotted for expenditure but were unspent at the end of the year. These funds are lapsed back into the treasury by the State Auditor following the annual audits of each agency. RESERVES Two reserves are established by the state on June 30, the end of the state's fiscal year, if funds are available--the Midyear Adjustment Reserve and the Revenue Shortfall Reserve. The Midyear Adjustment Reserve is established by the State Auditor on June 30 each year and represents 1% of net revenue collections for that fiscal year, to the extent surplus funds are available up to that total. The Reserve is set aside to be appropriated in an amended budget at the next session of the General Assembly. The Reserve is considered to be the primary fund source for the State Board of Education's "Midterm Adjustment." This adjustment is appropriated in the upcoming amended budget each year to provide the state's share of the increased cost of new students enrolled in the fall. The Revenue Shortfall Reserve is also established on June 30 after the Midyear Adjustment Reserve has been filled. It is equal to 3% of the fiscal year's net revenue collections, to the extent surplus funds are available. The Revenue Shortfall Reserve is the state's "rainy day" fund and is available to offset an unexpected shortage in revenues during the upcoming fiscal year. Effective June 30, 2000 the Governor is authorized, at his discretion, to allocate no more than 1% additional surplus to the Revenue Shortfall Reserve, for a maximum of 4%. Occasionally, other reserves can be available for appropriation. For instance, the Motor Fuel Reserve represents funds earmarked for expenditure by the Department of Transportation in years when motor fuel tax collections exceed the original budgeted estimate for motor fuel collections in the preceding fiscal year. All motor fuel tax collections are constitutionally allocated to the Department of Transportation whether appropriated or not, but are routinely included in the state's amended budgets. HOW BUDGETS ARE APPROVED The budget process for any given year, from the first planning stages to post-auditing, involves a series of actions spread over about two and one-half years. Three kinds of budgets can be approved in Georgia - -an original budget, an amended budget, and a supplementary budget. An original budget is just what is says - - the first budget passed for a fiscal year. Generally, this budget remains in effect until the General Assembly convenes in January, at which time the budget is generally changed by adding appropriations, decreasing appropriations, or shifting expenditures between object classes. An amended budget is one in which any type of change can be made - additions, deletions, or transfers. A supplementary budget is one which includes only new spending. Generally, a supplementary bill is passed early in the session to provide appropriations needed before a more extensive amended bill can be passed. All of these budgets, at the end of the session, become one operating budget for the state, with no distinction made for the various appropriations acts that are passed. The General Assembly can meet at any time in special session and amend the budget in effect. These occasions are rare, having occurred only twice in recent decades. Both were triggered by economic recessions in Georgia that required major budget cuts to avoid spending more money than was available for expenditure. State law requires all state agencies to submit a request for appropriations for the next fiscal year to OPB no later than September 1 of each year. Most agencies start preliminary work on these requests in the spring for a fiscal year that is 14 to 15 months in the future. At the same time, agencies may request amendments for changes in the current fiscal year's budget. In early September, the Governor begins a four-month period in which he studies the budget requests of each department and develops his recommendations to the General Assembly. During this interim, he meets with department heads and consults with OPB staff in finalizing his proposals. BUDGET ANNOUNCEMENTS The Governor normally appears before a joint meeting of the House and Senate Appropriations Committees during the first week in January to announce his recommendations for amending the current year's budget. The next year's budget recommendations are announced by the Governor during his annual Budget Message, which is delivered to a joint legislative session during the first week of the annual session. The Legislature convenes on the second Monday in January. LEGISLATIVE ACTION By law, an appropriations bill is introduced in the House of Representatives and first goes to the House Appropriations Committee for consideration before being voted on by the entire House. The bill follows a similar 655 THE BUDGET PROCESS IN GEORGIA path through the Senate. The House and Senate versions usually differ. While still working within the total revenue estimate established by the Governor, a conference committee is then appointed to reach a compromise on the two versions. The conference committee's version must be totally accepted or rejected by each house. A rejection results in appointment of a new conference committee. The process is the same for amended and outyear appropriations bills. The only difference is the General Assembly generally takes actions on amended and supplementary bills before taking up the budget for the following year. That is done because changes in the current year's budget often impact the following year's budget. ADMINISTRATION OF THE BUDGET Once an Appropriations Act has been signed into law, OPB, on behalf of the Governor, is responsible for ensuring that all state expenditures conform to the legislative mandate. State agencies are responsible for ensuring that they do not exceed spending authorizations by total appropriations or by object class. This is accomplished through approval by OPB of an annual operating budget, quarterly allotments and expenditure reports. agency and operation, including all colleges and universities, authorities and school districts. OBJECT CLASS APPROPRIATIONS All funds are appropriated through common and unique object classes. There are more than a dozen common object classes such as personal services, regular operating expenses, capital outlay, travel and real estate rentals. Unique object classes, of which there are almost a hundred in the State Board of Education alone, usually relate only to a specific agency. The Appropriations Act in recent years has provided some flexibility for state agencies by authorizing some transfers between common object classes. The limits are: no common object class spending can exceed 102 percent of appropriations for that class, and total spending on all common object classes cannot exceed the total funds authorized. Further transfers between these object classes are possible with permission of the Fiscal Affairs Subcommittee of the General Assembly, as recommended by the Governor. After the fiscal year ends, the State Auditor is responsible for auditing all expenditures of every state Budget Development Calendar July August September 1st October December January February March April May June July 1st Agencies develop and finalize budget request information. Agencies submit budget requests to the Office of Planning and Budget (OPB) for compilation, review, and analysis. OPB assists the Governor in developing the official revenue estimate and expenditure recommendations, and in preparing the budget report documents. The Governor presents the budget reports to amend the current fiscal year budget, and for the upcoming fiscal year budget, to the General Assembly. Budget hearings are held by appropriation committees and appropriation acts are passed to amend the current fiscal year budget ending June 30th, and for the upcoming fiscal year effective July 1st. Governor signs acts into law, and may veto specific appropriations. Budgets are loaded into financial systems and verified for consistency with final appropriation actions. New fiscal year begins. 656 GEORGIA STATISTICS Socio-Economic Characteristics Population (millions) 10 8 6 4 2 0 1940 1950 Georgia Population Growth 1960 1970 Years (2000 is estimated) 1980 1990 2000 Population (1999 estimated) (millions) % of Population Age 17 & Under (1999) % of Population 65 & Older (1999) % of Population by Race (1998) White Black Other Median Household Income (1997) Average Annual Pay (1997) % of Population Below Poverty Level (1997) Civilian Labor Force Unemployment Rate Georgia (2000 - May) Georgia 7.8 million 26.5% 9.8% 69.3% 28.5% 2.1% 36,663 29,020 14.5% 3.3 U.S. 272.7 million 25.8% 12.7% State Rank1 10 29 49 82.5% 46 12.7% 5 4.6% 33 37,005 22 30,336 20 13.3% 16 3.9 27 Major Industry Groups Government 16% Manufacturing 17% Services Wholesale & Retail Trade 0% 10% 20% Percent of Total Employment of 4.0 million (2000) 26% 25% 30% State Bond Ratings Standard & Poor's Ratings Group AAA Moody's Investors Service, Inc. Aaa Fitch Investors Service, Inc. AAA (Georgia is one of only nine states awarded the top rating by all three rating services.) 1Rank is based on 1 being the highest 657 GEORGIA STATISTICS Political Characteristics Number of Counties State with Fewest Counties State with Most Counties Georgia 159 Delaware 3 Texas 254 Number of Cities 535 Number of State Representatives 180 Number of State Senators 56 Education Characteristics Number of School Districts 180 Post Secondary Institutes Number of Board of Regents' Institutes 34 Number of Department of Technical & Adult Education Colleges 33 Public Schools Total K-12 Enrollment (calculated FTEs for school year 2000-2001) Number of High School Graduates (1999) Number of Graduates HOPE Scholarship Eligible (1999) 1,397,610 65,548 40,292 Students Receiving HOPE Scholarship Awards (1999) Board of Regents Department of Technical & Adult Education Private Colleges and Universities in Georgia Total Awards: Students Dollars # per System 69,604 69,821 14,180 153,605 $210,320,654 % of Total 45.3% 45.5% 9.2% Students 250,000 200,000 150,000 100,000 50,000 0 Postsecondary Education Enrollment & Graduations 2000 203,806 101,194 Enrolled 34,373 15,304 Graduates Regents DTAE Physical Characteristics Land Area Total Land Under Public Ownership Total Forested Land Highest Elevation Largest Lake (all lakes are man-made) Longest River 57,919 square miles 4,982 square miles (9%) 37,500 square miles (64%) Brasstown Bald Mountain, 4,784 feet Clark Hill Reservoir (112 square miles) Chattahoochee (426 miles) 658 ACT ADA ADAP ADR AFIS AGTEC AHEC AIDS AOB AP APS ARC ASAC ATDC BLS BOR BOS CAC CAMS CBD CCACTI CCH CCSP CDBG CHIP CJCC CJIS CMAQ CMI COE CPI CPS CRCT CTA CTR DARE DCA DD DCH ACRONYMS Assertive Community Treatment Americans with Disabilities Act Alcohol and Drug Awareness Program [or AIDS Drug Assistance Program] Alternate Dispute Resolution Automated Fingerprint Identification System Applied Genetics Technology Facility Area Health Education Center Acquired Immunity Deficiency Syndrome Annual Operating Budget Advanced Placement Adult Protective Services Appalachian Regional Commission Assistant Special Agent-in-Charge (GBI) Advanced Technology Development Center at Georgia Tech Federal Bureau of Labor Statistics Board of Regents Business Outreach Services at University of Georgia Clean Air Campaign Cost Accounting Management System Central Business District Consortium on Competitiveness for the Apparel, Carpet & Textile Industries Computerized Criminal History Community Care Services Program Community Development Block Grant Children's Health Insurance Program Criminal Justice Coordinating Council Criminal Justice Information System Congestion Mitigation and Air Quality Chronically Mentally Ill U.S. Army Corps of Engineers Consumer Price Index Child Protective Services Criterion Referenced Competency Test Centralized Taxpayer Accounting System Centralized Taxpayer Registration System Drug Abuse Resistance Education Department of Community Affairs Developmental Disability Department of Community Health 659 DFCS DHR DITT DJJ DLEA DMA DNA DNR DOAS DOT DPS DRG DRI DRS DTAE DUI DVS EBT EDI EDS EFT EIP EM EMS EPA EPD ERS EZ/EC ESOL FACETS FFELP FFP FICA FLEX FoodPAC FPL FTE FY GAAP ACRONYMS Department of Family and Children Services Department of Human Resources Department of Industry, Trade and Tourism Department of Juvenile Justice Drug Law Enforcement Agency Division of Medical Assistance Deoxyribonucleic acid Depart ment of Natural Resources Department of Administrative Services Department of Transportation Department of Public Safety Diagnosis Related Group Data Resources Inc. (DRI/McGraw Hill) Division of Rehabilitation Services Depart ment of Technical and Adult Education Driving under the influence Department of Veterans Services Electronic Benefits Transfer System Economic Development Institute at Georgia Tech Electronic Data System Electronic Fund Transfer Employment Incentive Program Electronic Monitoring Program Emergency Medical Services Environmental Protection Agency Environmental Protection Division Employees Retirement System Empowerment Zone/Enterprise Community Program English for Speakers of Other Languages Family and Children Electronic Tracking System Federal Family Education Loan Program Federal Finance Participation Federal Insurance Contributions Act Flexible Benefits Program Food-processing Advisory Council Federal Poverty Level Full-Time Equivalent Fiscal Year Generally Accepted Accounting Principles 660 GALILEO GAPP GBA GBHC GBI GCC GCIA GCIC GDC GDOE GED GEFA GELI GEMA GEMS GENESIS GERSC GEP GFC GFOA GHFA GIS GIST GLRS G.O. Bonds GPA GPB GPSTC GPTC GPTV GRA GRATIS GRPA GRTA GRIP GSAMS GSFIC GSHF GTA ACRONYMS Georgia Library Learning Online Georgia Addiction, Parenting and Pregnancy Report Georgia Building Authority Georgia Better Health Care Georgia Bureau of Investigation Georgia Cancer Coalition Georgia Correctional Industries Administration Georgia Crime Information Center Georgia Department of Corrections Georgia Depart ment of Education General Education Development diploma Georgia Environmental Facilities Authority Georgia Early Learning Initiative Georgia Emergency Management Agency Georgia Employment Management System Georgia Education Network Student Information System Governor's Education Reform Study Commission Georgia Environmental Partnership Georgia Forestry Commission Government Finance Officers Association Georgia Housing and Finance Authority Geographic Information System Georgia Interactive Statewide Telecommunications Georgia Learning Resources System General Obligation Bonds Georgia Ports Authority Georgia Public Broadcasting Georgia Public Safety Training Center Georgia Public Telecommunications Commission Georgia Public Television Georgia Research Alliance Georgia Registration and Title Information System Georgia Rail Passenger Authority Georgia Regional Transportation Authority Governor's Road Improvement Program Georgia Statewide Academic and Medical System Georgia State Financing and Investment Commission Georgia Sports Hall of Fame Georgia Technology Authority 661 GTRI GTSG GWCC HB HMO HOPE HR HUD HVAC HWTF ICAPP IGT ICTF IN$ITE ISO 9000 ITBS ITT JCO LARP LEPD LOS M&O MARTA MATCH MHMRSA MIS MOA MR MRR NAFTA NCEA NET NPEC NVRA O.C.G.A OCA OECD OPLS OPB ACRONYMS Georgia Tech Research Institute Georgia Temporary Support Grant Georgia World Congress Center House Bill Health Maintenance Organization Helping Outstanding Pupils Educationally House Resolution Housing and Urban Development Heating, Ventilation and Air Conditioning Hazardous Waste Trust Fund Intellectual Capital Partnership Program Intergovernmental Transfer Indigent Care Trust Fund Financial Analysis Software International Standardization Organization 9000 manufacturing standards Iowa Test of Basic Skills Department of Industry, Trade and Tourism Juvenile Corrections Officer Local Assistance Road Program Law Enforcement Personnel Dependents Level of Service Maintenance and Operations Metropolitan Atlanta Rapid Transit Authority Multi-Agency Team for Children Mental Health, Mental Retardation and Substance Abuse Management Information System Memorandum of Agreement Mental Retardation Major Repair and Rehabilitation North American Free Trade Act National Consortium for Educational Access Non-emergency Transportation Nonpublic Post-secondary Education Commission National Voter Registration Act Official Code of Georgia, Annotated Office of Consumer Affairs Office of Economic Cooperation and Development Office of Public Library Services Office of Planning and Budget 662 ORS PBIS PFA POSTC PSC PSG PREP PY QCC QBE QS 9000 R&D RBB RBRVS RDC REBA RESA ROTC RYDC SAAG SAT SB SBWC SCH SCRIBE SED SHCFCU SIS SOC SR SREB SWCC STARS SWTF SUCCESS TANF TAPP T&E TEG ACRONYMS Office of Regulatory Services Performance Based Inspection System Public Fishing Area designated by the Department of Natural Resources Peace Officer Standards Training Council Public Service Commission Partnership for a Smog-free Georgia Post-secondary Readiness Enrichment Program Program Year Quality Core Curriculum Quality Basic Education Act Quality Standards 9000 Research and Development Results-Based Budgeting Resource Based Relative Value Scale Regional Development Center Regional Economic Business Assistance Grants Regional Education Services Agencies Reserve Officers' Training Corps Regional Youth Detention Center Special Assistant Attorney General, Department of Law Scholastic Achievement Test Senate Bill State Board of Workers' Compensation Semester Credit Hours Statewide Correctional Repository and Information System Severely Emotionally Disturbed State Health Care Fraud Control Unit Student Information System State Operations Center Senate Resolution Southern Regional Education Board Soil and Water Conservation Commission State Tracking, Accounting, and Retrieval System Solid Waste Trust Fund System for the Uniform Calculation and Consolidation of Economic Support Services Temp orary Assistance to Needy Families Treatment and Aftercare for Probationers and Parolees Program Training and Experience Tuition Equalization Grant 663 TIP TIP3 TIS TMDL TRS UCR UGA UI USGS WIA WMA WORM YCA YDC YDF ACRONYMS Traditional Industries Program Traditional Industries Program in Pulp and Paper Transportation Information System Total Maximum Daily Loads (environmental standards) Teachers' Retirement System Uniform Crime Report University of Georgia Unemployment Insurance United States Geologic Survey Workforce Investment Act Wildlife Management Area Write Once, Read Many Youth Challenge Academy Youth Development Campus Youth Development Facility 664 GLOSSARY ADJUSTED BASE--The beginning point for development of the state budget for the upcoming fiscal year. The adjusted base consists of the current fiscal year Annual Operating Budget, less non-recurring expenditures, plus the amount to annualize pay for perfo rmance. AGENCY FUNDS--Funds collected by the various agencies of state government and retained to be spent on agency programs. These funds are estimated in the Governor's Budget Report and the Appropriations Act. The agencies can change the amount of ht ese funds by amendments to the Annual Operating Budget based on actual collections during the year. Also known as Other Funds. ALCOHOLIC BEVERAGE TAX--A state excise tax of 50 cents per liter upon the first sale, use, or final delivery within the state and an import tax of 50 cents per liter of distilled spirits; an excise tax of 70 cents per liter upon the first sale, use, or final delivery within the state and an import tax of 50 cents per liter on all alcohol. ALLOTMENT--The authorization for a state agency to withdraw funds from the state treasury for expenditure. Before each fiscal year begins, agencies must file an annual operating budget plan based on an Appropriations Act. Allotments are requested quarterly based on the plan. Once a quarterly allotment is approved for an agency, that agency can draw funds as needed. AMENDED BUDGET REPORT--A document submitted by the Governor to the General Assembly in which the Governor recommends spending changes in the current fiscal year for the agencies of state government. The Amended Budget Report can involve budget additions, budget deletions or transfers of funds within agency object classes. Also known as the "supplemental budget" or the "little budget." ANNUAL OPERATING BUDGET (AOB)--A plan for annual expenditures based on the Appropriations Act, by agency and functional budget. The plan details a level of expenditure by object class for a given fiscal year and must be approved by OPB before taking effect. ANNUAL OPERATING BUDGET AMENDMENT-Revisions to the annual operating budget, which must be submitted to OPB for approval. Typically, these revisions are due to the receipt of funding that was not included during the appropriations process or transfer of funds from one activity/function to another. APPROPRIATION--An authorization by the General Assembly to a state agency to spend, from public funds, a sum of money not in excess of the sum specified for the purposes in the authorization. APPROPRIATIONS ACT--Legislation that has been passed by the General Assembly to authorize expenditure of state, federal and other funds during a given fiscal year. While under consideration, it is called an appropriations bill. ATTACHED AGENCIES--Smaller agencies are sometimes attached to a larger state agency for "administrative purposes only" to reduce administrative costs by consolidation. These small agencies operate autonomously but receive funding through the larger agency. Authorities by law cannot directly receive state funds and are attached to budgeted state agencies for any state appropriations that might occur. ATTRITION--A means of reducing state employment, especially during economic slowdowns, by eliminating positions as they become vacant rather than filling them with new employees. AUSTERITY REDUCTIONS--Spending cuts throughout all departments of state government as a result of slower growth in revenues than expected, resulting in projected shortfalls in anticipated revenue growth. AUTHORITY--A public corporation formed to undertake a state responsibility that operates in a competitive financial and business environment and should be run like a business corporation. Most authorities generate revenue and need to operate without the strict regiment of rules that confine most departments of government. Authorities usually have the power to issue revenue bonds to construct facilities. BUDGET--A complete financial plan for a specific fiscal year as proposed in the Governor's Budget Report and as modified and adopted by appropriations and revenue acts. BUDGET ACCOUNTABILITY AND PLANNING ACT--An Act passed by the 1993 General Assembly that fundamentally changed Georgia's budget process. The Act made accountability and efficiency the driving forces behind budget decisions, as well as the attainment of agreed-upon goals that have been outlined in comprehensive strategic plans for the state and each of its agencies. Through the implementation of Results-Based Budgeting, which is now underway, expenditures will be more closely linked to program achievements and results. The measure mandated an ongoing review of agency continuation budgets and a more detailed review of expenditures at the individual program level. Procedures and requirements for grant awards by state agencies also were established. 665 GLOSSARY BUDGET CLASS--See object class. BUDGET CYCLE--A period of time in which a specific budget is in effect, usually 12 months. See fiscal year for dates applying to state and federal budgets. BUDGET ESTIMATE--A statement which accompanies explanations, as required by state law, in which a budget unit states its financial requirements and requests for appropriations. Also known as an agency's budget request, which must be submitted to OPB by September 1 of each year. BUDGET MESSAGE--A speech by the Governor to the General Assembly in which the Governor outlines his spending proposals and revenue projections, including recommendations for increasing or decreasing revenues, that are embodied in an accompanying budget document. The formal budget message, dealing primarily with the following year's budget, is made to a joint session during the first week that the Legislature convenes. A speech detailing the Governor's Amended Budget recommendations is made to a joint session of the House and Senate Appropriations Committees during the week before the session. BUDGET REPORT--A document that displays all programs, efforts and expenditures that are recommended by the Governor for each agency during a specific fiscal year. The Budget Report includes the Governor's official estimate of state revenue to be collected during the fiscal year and details any surplus, reserve or other funds that are available for expenditure. The fund availability outlined by the Governor determines the size of the budget for any given year. The Budget Report for the upcoming fiscal year is also known as the "big budget," the "outyear budget" and the "Governor's budget." The Amended Budget Report, which recommends changes to the current fiscal year budget, is known as the "little budget." BUDGET UNIT--A department, board, commission, office, institution or other unit of organization that has, under general law, an independent existence and thus is authorized to receive and expend an appropriation. A department or agency may have one or more budget units in the Appropriations Act. CAPITAL OUTLAY--Funds designated specifically to acquire, construct, renovate or repair public facilities and other assets. These funds may be appropriated in cash-- from state general funds, lottery funds or other funds--or be provided through the sale of general obligation bonds or revenue bonds. CIGAR AND CIGARETTE TAX--The state tax on cigars is 13% of the wholesale cost price; the tax on cigarettes is 12 cents per pack of 20 ($1.20 per carton). CONFERENCE COMMITTEE--A group of six legislators--three Representatives and three Senators --who are appointed by the presiding officers of the respective houses to reconcile different versions of the appropriations bill and other legislation that have been passed by the House and Senate. CORPORATE INCOME TAX--The tax is a nongraduated percentage tax based on a corporation's federal taxable net income. The tax rate is 6% of a corporation's taxable net income attributed to business done in Georgia. DEDICATED FUNDS--Funds collected from a specific revenue source that must be appropriated for a specific expenditure. An example in Georgia is motor fuel tax funds, which must be constitutionally appropriated for programs related to providing and maintaining an adequate system of public roads and bridges. DEBT LIMITATION--The State Constitution places a ceiling on state indebtedness by limiting general obligation bond debt service payments to 10% of net treasury receipts for the prior fiscal year. EMERGENCY FUND--An appropriation to the Office of the Governor that is set aside for the Governor to provide grants to state agencies to meet emergency needs. Grants from the fund cannot involve a recurring obligation. ENHANCEMENT FUNDS--Funding for required services that are above adjusted base level. ENTITLEMENT PROGRAMS --Certain programs, usually federal in origin, that provide benefits to individuals based on specific eligibility requirements. Medicaid is the largest entitlement program operated by the state. FEDERAL FUNDS--Funding from the federal government to pay for all or portions of specific programs. Often, federal funds require a state fund "match" in order to receive the federal allocation. FISCAL AFFAIRS SUBCOMMITTEE--Twenty members of the House of Representatives and the Senate comprise the Fiscal Affairs Subcommittee, which is authorized to meet when the General Assembly is not in session to consider fiscal affairs transfers as described below at the request of the Governor. The membership includes the House Speaker and four other State Representatives appointed by the Speaker, the Lieutenant 666 GLOSSARY Governor and four Senators appointed by the Lieutenant Governor, and five members of each house appointed by the Governor. FISCAL AFFAIRS TRANSFERS--Appropriations are made through allocations to specific object classes, and funds must be spent within those object classes. Language in each Appropriations Act states that "...no funds whatsoever, shall be transferred between object classes without the prior approval of at least 11 members of the Fiscal Affairs Subcommittee in a meeting called to consider said transfers. This...shall apply to all funds of each budget unit whatever source derived." Fiscal affairs transfers can be considered at any time at the Governor's request but are usually considered near the end of the fiscal year to help agencies to meet emergency needs and to address unanticipated budget problems. FISCAL YEAR--Any 12-month period at the end in which financial accounts are balanced. The state fiscal year begins July 1 and ends June 30. The federal fiscal year begins October 1 and ends September 30. FRINGE BENEFITS --Benefits that are provided to state employees over and above their salaries, as an inducement to employment. These benefits include retirement, health insurance and employer Social Security contributions. Fringe benefits are about 36% of an employee's salary. FUNCTIONAL BUDGET--A group of related activities aimed at accomplishing a major service or program for which a unit of government is responsible. Used synonymously with activity. FUNDS--[i.e., state, total, other] As used for the general purposes of the budget summaries and schedules in this document, unless otherwise noted, refers to state revenues available or received. The state's specific governmental accounting fund classifications are documented in the state Comprehensive Annual Financial Report prepared by the Department of Audits and Accounts. GENERAL FUNDS--State money that is used for general purposes of state government. General funds are derived from taxes, fees and other general revenues and are appropriated to finance the ordinary operations of governmental units. These funds are included in the Governor's Revenue Estimate and are a part of the State's Budget Fund for accounting purposes. GENERAL OBLIGATION BONDS--Bonds sold by the state to fund major capital outlay projects or for the management of state debt. The bonds are backed by "the full faith, credit and taxing power of the state." GUARANTEED REVENUE BONDS--State-sold bonds that have the principal and interest payable from earnings of a public enterprise. The state is required by law to appropriate one year's debt payment and to retain the total at that level until the bonds have been retired. Guaranteed Revenue Bonds can only be issued for specific purposes as outlined in the State Constitution. INDIGENT CARE TRUST FUNDS--A program that involves the use of Medicaid funds to compensate disproportionate share hospitals for indigent care and to support expanding primary care programs. Participating hospitals make payments into the Trust Fund, and these payments are used to match with Medicaid funds. Most of the funds are then returned to the hospitals, with a small amount used for state-level programs. An amendment to the State Constitution authorized the newly revamped program and restricts the use of these funds. These funds are included in the Governor's Revenue Estimate and are a part of the State's Budget Fund for accounting purposes. INDIRECT FUNDING--The Appropriations Act each year allocates direct funding to the Department of Administrative Services (DOAS) for computer and telecommunications services to be provided to seven state agencies. These funds are allocated in this manner to facilitate cash flow for DOAS but are available to DOAS only as services are provided to each agency. INDIVIDUAL INCOME TAX--The tax is based upon an individual's federal adjusted gross income with specific adjustments as provided by state law. The tax is computed at a graduated rate and assessed in a range of 1% to 6% dependent on income levels and filing status. INHERITANCE TAX--Based on the value of the estate of residents as required to be reported for federal tax purposes. The Inheritance Tax is the amount equal to the amount allowable as a credit for state tax credits under the Internal Revenue Code. INSURANCE PREMIUM TAX--Tax based on premiums on persons, property, or risks in Georgia written by insurance companies conducting business in the state. The tax rate is 2.25% of gross direct premiums, with reductions for companies with certain percentages of their assets in Georgia. INTER-AGENCY TRANSFERS --A transfer of funds between state departments, either in an Appropriations Act or by the State Office of Planning and Budget pursuant to a legislative authorization. LAPSE--The automatic termination of an appropriation. Since most appropriations are made for a single fiscal year, 667 GLOSSARY any unexpended or unencumbered fund balances at the end of the fiscal year lapse into the state's general treasury, unless otherwise provided by law. There are two kinds of lapses. Non-allotted lapses occur when appropriations are never allotted to a state agency for expenditure and automatically revert to the state treasury on June 30 of each year. Audited lapses occur when budgeted funds are allotted to a state agency for expenditure but are not spent. These unspent funds are identified and lapsed by the State Auditor in the annual audit of each state agency. LAPSE FACTOR--A budgeting tool that withholds funds from appropriations, based on anticipated employee turnover and lower employee replacement costs. LEGISLATIVE BUDGET OFFICE--An agency within the Legislative Branch that serves as budget advisor to the General Assembly. LINE-ITEM APPROPRIATION--An appropriation spelled out in language in the Appropriations Act that authorizes specific expenditures for a state agency. LOTTERY FUNDS --The net proceeds from the sale of lottery tickets dedicated to funding educational purposes and programs. By law educational purposes include capital outlay projects for educational facilities; tuition grants, scholarships or loans to citizens of Georgia to attend postsecondary institutions in Georgia; training to teachers in the use of electronic instructional technology; costs associated with purchasing, repairing and maintaining advanced electronic instructional technology; a voluntary prekindergarten program; and an education shortfall reserve. These funds are included in the Governor's Revenue Estimate and are a part of the State's Budget Fund for accounting purposes. LUMP SUM--A single appropriation for a specific purpose that does not specify a breakdown by object class expenditure. MALT BEVERAGE TAX--Taxed at $1.08 per standard case of 24 12-ounce containers; $10 per 31 gallons for draft malt beverages. MATCHING FUNDS--A type of federal or state grant that requires the government or agency receiving the grant to commit funding for a certain percentage of costs to be eligible for it. MIDTERM ADJUSTMENT--Additional appropriations to the State Board of Education in an Amended or Supplementary Budget to fund State Quality Basic Education (QBE) requirements for increased enrollment. Initial QBE funding cannot fully and accurately anticipate future enrollment. Midterm adjustments in funding are based on full-time equivalent enrollment counts during the fall quarter. MIDYEAR ADJUSTMENT RESERVE--A reserve of funds that is set aside each year from prior fiscal year surplus funds to provide additional spending for state agencies in an Amended or Supplementary Budget. The reserve totals 1% net revenue collections, to the extent that surplus funds are available. It is established prior to the Revenue Shortfall Reserve, which is explained els ewhere. MOTOR FUEL RESERVES --If actual motor fuel tax collections exceed the estimate, these funds are set-aside in a reserve and are appropriated to the State Department of Transportation in a subsequent Appropriations Act. MOTOR FUEL TAX FUNDS--All motor fuel revenue collections are allocated for public highway and bridge construction or maintenance by provisions of the State Constitution. These funds are included in the Governor's Revenue Estimate and are a part of the State's Budget Fund for accounting purposes. The state tax is 7 cents per gallon plus 3% of the retail sales price. MOTOR VEHICLE LICENSE TAX--Collected for the title registration and license tags of motor vehicles, trailers, and truck tractors. The cost of a regular license plate for a passenger car or light truck is $20. NON-APPROPRIATED FUNDS--Monies received or spent that are not contemplated by an Appropriations Act. These funds must be amended into an agency's budget through a request to the Office of Planning and Budget. OBJECT CLASS--A grouping of similar expenditure items that form the basis of appropriations and records of expenditure. Establishment of budget object classes and changes are coordinated with the State Auditor's Chart of Accounts to ensure consistency in statewide financial reports. Common object classes are those that are shared by almost all agencies, including personal services, regular operating expenses, travel, motor vehicle purchases, postage, equipment, computer charges, real estate rentals and telecommunications. Unique object classes are those that apply to only one or a few agencies, such as public library materials and driver's license processing. OFFICE OF PLANNING AND BUDGET (OPB)--A part of the Office of the Governor with the responsibility of providing the Governor with assistance in the development and management of the state budget. OPB also is responsible for working with the State Auditor's Office in evaluating each program in state government at least once 668 GLOSSARY every 10 years. The Governor is the Director of the Budget. ORIGINAL APPROPRIATION--The first budget passed that sets appropriations for all of state government for the next full year after a legislative session. The budget is generally amended in midyear to more accurately reflect current needs of state agencies. OTHER FUNDS--Funds received by state agencies and institutions for services performed such as tuition fees paid by students to colleges, universities and technical institutes and fees collected by state parks. These funds are not turned into the state treasury but are retained by agencies and spent in accordance with an Appropriations Act or state law. Also known as agency funds. PERSONAL SERVICES --The cost of state employees, including salary, fringe benefits and other expenses. This also includes temporary labor. PRIVATIZATION--A general term for the strategy that refers to the transfer of public sector activities to the private sector. Georgia's current privatization efforts are based on three considerations: government should not be in the business; and the private sector can perform more effectively, and more efficiently. PROPERTY TAX--Taxable value (assessed value) of real and personal property is 40% of fair market value, except for certain property as specified in state law. The state millage rate is 0.25 mills, or 25 cents per $1,000 of assessed value. The state tax is collected locally with local property taxes and is remitted to the state. RESULTS-BASED BUDGETING--A form of budgeting in which resources are allocated in such a way as to achieve specified, agreed-upon results--for instance, a reduction in infant mortality. The emphasis is shifted from reporting efforts to reporting results. Results -based budgeting, which is required in Georgia by Senate Bill 335, is being phased in over several years, beginning in FY 1998. REVENUE ESTIMATE--An estimate of revenues that will be collected by the state during a fiscal year. These revenues include taxes, fees and sales, and other general revenues that flow into the state treasury and are available for expenditure in a budget recommended by the Governor and approved by the General Assembly. REVENUE SHORTFALL RESERVE--An account established by the State Auditor to make up shortages that might occur in revenue collections at the end of the fiscal year. More commonly known as the "rainy day" fund. The reserve is equal to 3% of the state's net revenue collections, to the extent that surplus is available. Funds are set-aside in the Revenue Shortfall Reserve only after the Midyear Adjustment Reserve is fully funded. SALES TAX--Common name for the state Sales and Use Tax levied upon retail sales, rentals, leases, use or consumption of tangible personal property, and certain services. The statewide sales tax rate is 4%. Various items are exempt from the state sales tax by state law. STATE AID--Grants and other funding provided by Georgia's state government to assist cities, counties, public schools and other allied groups in providing various services and programs to the citizens of Georgia. STATE FUNDS--Includes (1) The taxes and fees collected by the state and deposited directly into the state treasury to be appropriated; (2) Reserves; (3) Surplus funds; (4) Lottery receipts; (5) Indigent Care Trust Funds; (6) Motor Fuel tax funds; and (7) Tobacco Settlement funds, all of which form the basis for the Governor's revenue estimate. STATEMENT OF FINANCIAL CONDITION--A statement which discloses the assets, liabilities, reserves and equities of the state and its governmental units at the end of each fiscal year. STATE TREASURY--A function of state government that receives, manages, invests and allocates all state revenues that are available for expenditure through the state's general fund budgetary process. The function is managed by the Office of Treasury and Fiscal Services within the Department of Administrative Services. STRATEGIC PLANNING--The process through which a preferred future direction and organizational mission are established and periodically updated in light of changing trends and issues. Goals, objectives and strategies are adopted and implemented to guide an organization toward that preferred future direction. SUBOBJECT CLASS--The lowest level of detail used in recording expenditures. Supplies and materials is a subobject class of regular operating expenses. SUPPLEMENTARY APPROPRIATIONS--Increased funding that is approved by the General Assembly in a separate, stand-alone Appropriations Act, usually passed early in the session to get new money into projects with a high time priority. A supplementary appropriations act, which is often called a "speedy bill," cannot reduce spending or transfer funds previously appropriated. SURPLUS --Unspent funds at the end of a fiscal year. Surplus funds come from two sources: excess revenue 669 GLOSSARY collections over the revenue estimate, and unspent appropriations that were lapsed back to the state treasury and are available for re-appropriation. TOBACCO SETTLEMENT FUNDS--Funds received as part of the 1998 national settlement with five major tobacco manufacturers to recover smoking related costs. The settlement provides for annual payments to Georgia based on a formula, with annual adjustments based on inflation and future national sales of cigarettes. As a matter of policy, the Governor will recommend these funds for only two purposes - rural economic development and improving health care. These funds are included in the Governor's Revenue Estimate and are part of the State's Budget Fund for accounting purposes. UNIT--A state agency or a division within an agency that is authorized to receive an appropriation. Functions or activities are a part of a unit. USER TAXES AND FEES --Charges associated with using a particular service provided by state government to its citizens. The charge generally recovers the cost of providing the service. Examples include state park receipts and driver's licenses. VETO--An action by the Governor that rejects appropriations passed by the General Assembly. The Governor is authorized to veto by line-item specific spending authorizations or language within an appropriations bill or the entire bill. Line item vetoes are more customary. WINE TAX--An excise tax of 11 cents per liter on the first sale, use, or final delivery within the state and an import tax of 29 cents per liter for table wines; dessert wines have an excise tax of 27 cents per liter and an import tax of 40 cents per liter. 670