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Alcoholic Beverages Division (IABD), the Division of Banking (DOB), the Credit Union Division (CUD), the Insurance Division (IID), and the Utilities Board (IUB)

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Alcoholic Beverages Division (IABD), the Division of Banking (DOB), the Credit Union Division (CUD), the Insurance Division (IID), and the Utilities Board (IUB) ADMINISTRATION AND REGULATION APPROPRIATIONS SUBCOMMITTEE ANALYSIS OF THE FY 2018 & FY 2019 GOVERNOR’S RECOMMENDATIONS FISCAL SERVICES DIVISION JANUARY 2018 Table of Contents TABLE OF CONTENTS Page Subcommittee Members and Staff ............................................................................................................. 1 Summary of FY 2019 Recommendations ..................................................................................................... 2 Department of Administrative Services .............................................................................................. 3 Auditor of State ................................................................................................................................... 6 Ethics and Campaign Disclosure Board ............................................................................................... 8 Office of the Chief Information Officer ............................................................................................... 10 Department of Commerce .................................................................................................................. 12 Office of Governor and Lieutenant Governor ..................................................................................... 15 Governor’s Office of Drug Control Policy ............................................................................................ 17 Department of Human Rights ............................................................................................................. 19 Department of Inspections and Appeals ............................................................................................ 21 Department of Management .............................................................................................................. 24 Iowa Public Information Board ........................................................................................................... 26 Department of Revenue……………………………………………………………………………………………………………….. 28 Secretary of State................................................................................................................................ 30 Treasurer of State ............................................................................................................................... 32 Iowa Public Employees Retirement System ........................................................................................ 34 Comparison to Other States – Full-Time-Equivalent (FTE) State Government Employees ……………. 36 LSA Publications ……………………………………………………………………………………………………………….……………. 36 Appendix A – General Fund Tracking ........................................................................................................... 37 Appendix B – Other Fund Tracking ............................................................................................................... 42 Appendix C – FTE positions Tracking ............................................................................................................ 46 Appendix D – Historical Appropriations: FY 2010 – Gov. Rec FY 2019 ....................................................... 53 Appendix E – Samples of Budget Unit Schedules 1 and 6 ....................................................................... 68 Appendix F – FY 2017 Year-End Appropriations .................................................................................... 71 General Fund Appropriations…………………………………………………………………………………………………….…… 73 Other Fund Appropriations…………………………………………………………………………………………………….………. 75 Appendix G – Federal Funds ................................................................................................................. 76 Appendix H – Budget Unit Briefs .......................................................................................................... 79 Appendix I – Fee Project ....................................................................................................................... 137 Appendix J – Issue Reviews .................................................................................................................. 138 Administration and Regulation Appropriations Subcommittee ADMINISTRATION AND REGULATION APPROPRIATIONS SUBCOMMITTEE MEMBERS SENATE HOUSE Dennis Guth, Chairperson John Landon, Chairperson Jake Chapman, Vice Chairperson Stan Gustafson, Vice Chairperson Liz Mathis, Ranking Member Timi Brown-Powers, Ranking Member Jim Lykam Ako Abdul-Samad Dan Zumbach Jane Bloomingdale Abby Finkenauer Kristi Hager Larry Sheets Todd E. Taylor LEGISLATIVE SERVICES AGENCY Fiscal Services Division Legal Services Division Christin Mechler (515.250.0458) Gus Harb (515.281.3745) [email protected] [email protected] Angel Banks-Adams (515.281.6301) Tim McDermott (515.281.8090) [email protected] [email protected] 1 Administration and Regulation Appropriations Subcommittee Fiscal Staff: Angel Banks-Adams Christin Mechler Analysis of Governor’s Budget Administration and Regulation Appropriations Subcommittee | LSA – Fiscal Services Division 2 Administration and Regulation Appropriations Subcommittee DEPARTMENT OF ADMINISTRATIVE SERVICES Overview and Funding History Agency Overview: The Department of Administrative Services (DAS) was established on July 1, 2003, by combining all or a portion of four existing State agencies (General Services, Revenue and Finance, Personnel, and Information Technology). Currently, the DAS consists of four enterprises providing corporate-level facility and business services to other agencies of State government, and a Core/Finance Operations Division responsible for the internal administration of the Department. The four enterprises are the General Services Enterprise (GSE), Human Resources Enterprise (HRE), Central Procurement and Fleet Services Enterprise (CPFSE), and State Accounting Enterprise (SAE). The Information Technology Enterprise (ITE) was moved out of the DAS to create the independent Office of the Chief Information Officer (OCIO) in FY 2015. Administration and Regulation Appropriations Subcommittee | LSA – Fiscal Services Division 3 Administration and Regulation Appropriations Subcommittee General Fund Recommendations Actual Estimated Gov Rec Gov Rec vs FY 2017 FY 2018 FY 2019 Est FY 2018 (1) (2) (3) (4) Administrative Services, Department of Administrative Services Operations $ 3,872,647 $ 3,629,496 $ 3,566,936 $ -62,560 Utilities 2,509,649 2,447,360 2,899,231 451,871 Terrace Hill Operations 385,933 386,660 386,660 0 Total Administrative Services, Department of $ 6,768,229 $ 6,463,516 $ 6,852,827 $ 389,311 Governor’s Recommendations FY 2019 – Significant Changes Operations – A decrease to revise the FY 2019 appropriation to match the FY 2018 base $ -62,560 after the Governor’s recommended FY 2018 deappropriation. Utilities – An increase to revise the FY 2019 appropriation to match the FY 2018 base $ 451,871 after the Governor’s recommended FY 2018 deappropriation. Discussion Items FY 2018 Governor’s Budget Adjustment – The Governor’s FY 2018 budget adjustment for the Department of Administrative Services totals $389,311. The Governor is recommending that a decrease of $62,560 in funding be implemented in the Operations line item of the Department’s budget appropriation. More information on how the reduction will be achieved will be provided once available. The Governor is also recommending an increase of $451,871 be implemented in the Utilities line item of the Department’s budget. This increase is intended to cover the expected FY 2018 shortfall of utility costs (electricity, water, and natural gas) on the Capitol Complex, Terrace Hill, and the laboratory buildings in Ankeny. Utility Rate Costs – The DAS utilities are funded through a General Fund appropriation to cover utility costs for the Capitol Complex, Terrace Hill, and the laboratory buildings in Ankeny. In FY 2016, the DAS received a supplemental appropriation totaling $450,000 (SF 2109, FY 2016 Supplemental Appropriations Act). At the 2017 Governor’s Budget Hearing, DAS Director Janet Phipps stated that the Department is expecting a shortfall in Utilities funding of approximately $450,000 at the close of FY 2018. FY 2018 and FY 2019 DAS Service Rate Increases – The Customer Council met on July 19, 2017, and adopted the following rate changes for FY 2018, FY 2019, and FY 2020. Action taken on the previously approved FY 2018 and FY 2019 rates: • Reduce the FY 2018 rate for Capitol Complex Association/Iowa Labs Association fees from $6 per square foot to $5.75 per square foot. The DAS is aware of customer agency budget constraints and the need to provide routine maintenance on the Capitol Complex and at the Iowa Laboratories Facility in Ankeny, so a more gradual rate increase has been proposed and adopted for FY 2018 through FY 2020. • Reduce the FY 2019 rate for Capitol Complex/Iowa Labs Association fees from $6.25 per square foot to $6 per square foot. The DAS is aware of customer agency budget constraints and the need to provide routine maintenance on the Capitol Complex and at the Iowa Laboratories Facility in Ankeny, so a more gradual rate increase has been proposed and adopted for FY 2017 through FY 2019. Administration and Regulation Appropriations Subcommittee | LSA – Fiscal Services Division 4 Administration and Regulation Appropriations Subcommittee Approved rate increases for FY 2019 and FY 2020: • Increase the FY 2019 rate for Capitol Complex Association
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