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Discussion Points Department of Law and Public Safety FY 2012-2013 Discussion Points 1. Federal enactments and budget proposals often significantly impact State programs and fiscal resources. The Department of Law and Public Safety anticipates receiving $188.8 million in federal funds in FY 2013, which is a decrease of $28.5 million from the estimated FY 2012 federal funding of $217.4 million. • Question: What specific increases or decreases in federal funding, including all in-but- not-of offices of the Department of Law and Public Safety, are anticipated in FY 2013? What specific new or revised federal mandates or matching requirements are expected? What impact would these changes have on the department's resources and activities in FY 2013? Please provide details regarding any local impact from these changes. Department Proper The FY 2013 Governor’s Budget Recommendation includes a reduction in federal funding, totaling $30.996 million, which consists of: • $17.451 million - Severe Repetitive Loss • $4.1 million – Justice Assistance Grants • $3.45 million – Port Security – NY/NJ (North) • $1.7 million – Port Security – Delaware Bay (South) • $1.377 million – Victim Compensation Award • $800,000 – Victim Assistance Grants • $500,000 – Violence Against Women Act • $500,000 – Emergency Management Performance Grant – Non-Terrorism • $445,000 – Medicaid Fraud Unit • $300,000 – Residential Treatment and Substance Abuse • $100,000 – Occupant Protection Child Passenger Safety Training and Education • $100,000 – Anti-Trafficking Task Force • $60,000 – Enforcing Underage Drinking Laws • $45,000 – Housing and Urban Development • $43,000 – Equal Employment Opportunity Commission • $25,000 – Hazardous Materials Emergency Preparedness The above reductions were offset by project grants, totaling $2.475 million, for the following programs: • $1.25 million – Repetitive Flood Claim Program • $1 million – Flood Mitigation Assistance • $125,000 – Bulletproof Vest Partnership • $100,000 – Child Safety/Child Booster Seats The Department continues to apply for eligible federal grants. It is very difficult to predict what the Federal Fiscal Year (“FFY”) 2013 funding changes will have on the Division of Criminal Justice’s (“DCJ”) resources until Congress passes a final budget. The National Criminal Justice Association projects the FFY 2013 funding to continue at the same level for victim services and modest gains in federal criminal justice funding. 1 Department of Law and Public Safety FY 2012-2013 Discussion Points (Cont’d) According to the President’s proposed FFY 2013 budget, the Justice Assistance Grant (“JAG”) program has a projected increase of 16.2% (note, this is a 24% reduction since FY 2010). However, the State’s JAG award will continue to experience a 10% penalty in discretionary funding until legislative changes are passed to bring the State in compliance with Sex Offender Registration and Notification Act (“SORNA”) (currently pending in the 2012-13 legislative session as S-850 and A-764). The Victims of Crime Act funding is generated from fines and penalties levied against criminals convicted of federal crimes and it is projected that funding levels will not be adversely affected. Any changes in federal funding levels will impact resources the DCJ provides to state, county, local and nonprofit agencies. Each of the federal programs administered by the DCJ has its own duration period spanning several years. Based on approved federal resources, the DCJ would adjust the funding that supports law enforcement and other criminal justice initiatives, victim services, including the 21 County Prosecutors' Offices of Victim Witness Advocacy, and the many nonprofit agencies providing direct services to victims of crime. Office of Homeland Security and Preparedness The Office of Homeland Security and Preparedness (“OHSP”) is anticipated to receive $27,893,235 in direct awards from the U.S. Department of Homeland Security (“DHS”) under the FFY 2012 funding cycle (SFY 2013). This funding level incorporates two (2) federal grant programs supporting New Jersey’s homeland security and emergency preparedness needs including the State Homeland Security Grant (“SHSP”) and the Urban Areas Security Initiative (“UASI”). OHSP will also be applying for FFY 2012 competitive funding on behalf of non profit organizations within the UASI region which seek funding under the FFY 2012 UASI Non Profit Security Grant Program but final award allocations will not be known until late summer. The $27,893,235 represents a decrease of approximately 44% or $22 million when compared to OHSP's FFY 2011/SFY 2012 federal funds. The decrease is attributable to a reduction nationwide in terms of available federal appropriations for the SHSP and UASI grant programs. Under the FFY 2012 federal budget, DHS/FEMA received approximately $875 million less in FFY 2012 than it did under the FFY 2011 federal budget to support approximately 16 different grant programs. OHSP anticipated a reduction to FFY 2012 SHSP and UASI, but was not aware of the amount until recently and has been working with its state and local partners in developing spending plans. There are no new federal matching requirements under FFY 2012 funding. • Question: At this time last year there was concern that a reduction in federal funding to the Juvenile Justice Commission would result in the JJC State Advisory Group not meeting all of the priorities identified and in a reduced number of youth being served. Now that the FY 2012 federal funds have been awarded, how did JJC fare in the allocation of Juvenile Accountability Block Grants, Title II, and Title V appropriations? Please explain. Below shows the reductions the Juvenile Justice Commission received for Title II and Title V formula grants as well as the Juvenile Accountability Block Grant (“JABG”). 2 Department of Law and Public Safety FY 2012-2013 Discussion Points (Cont’d) Percent Program FFY 2011 FFY 2012 Difference Change Title II $1,226,113 $629,296 $596,817 (48.7%) Title V $50,000 $0 $50,000 (100%) JABG $897,492 $546,251 $351,241 (39.1%) $2,173,605 $1,175,547 $998,058 (45.9%) There are no specific or revised federal mandates or matching requirements for this funding. The reductions in Title II and Title V funding will impact the Juvenile Justice Delinquency Prevention Committee's priorities in: Aftercare/Reentry, Gender Specific Services, Juvenile Justice System Improvement, Delinquency Prevention, Disproportionate Minority Contact, and Strategic Community Action Planning. The 48.7% reduction in FFY 2012 Title II funds could result in the State Advisory Group (“SAG”) not having the ability to fund any new programs and/or services for youth in New Jersey, resulting in a reduced number of youth being served with local programs. The JJC was aware of the potential reduction of Title II funds and planned accordingly. The JJC continues to explore alternate strategies to stretch funds which serve as seed funds provided under a three-year cycle towards the goal of sustainability with alternative funds at the local level. The 100% reduction in Title V funds could result in no funding for local units of government to specifically address the issue of delinquency and violence. The severity of the reduction is mitigated in FY 2013 through a careful review of funding needs to community providers. Existing resources have been reallocated to maintain similar levels of service. JABG supports both state and local efforts. The state must pass through 75% of the total JABG award to 21 Counties and eligible units of local government. The goal of JABG is to help communities implement accountability-based programs that focus on both offenders and the juvenile justice system from diversion through reentry. With the funding reduction, State and Local planning bodies will have to reevaluate what is being funded and address only the areas with the greatest need or service gap. JJC already collaborates with County and locals to share funding opportunities; however, those opportunities do not replace formula driven funds in Title II, Title V and JAGB. The JJC will continue to explore additional funding opportunities. 2. During the FY 2012 Assembly Budget Hearings with the Department of Law and Public Safety, the Attorney General mentioned that a notable best practice had been implemented to address questions which were raised about outside counsel billings in the Christie Administration transition report. The Attorney General noted a savings in the first month of implementation between $80,000 and $90,000. Annually, the department outsources cases and assignments retaining outside counsel for various reasons. The department also enters into client service agreements with other departments to handle legal cases through outside counsel. The department noted that the annual amount paid by State agencies to outside counsel ranged from $21 million to $24 million. 3 Department of Law and Public Safety FY 2012-2013 Discussion Points (Cont’d) • Question: Please provide a list of cases and assignments, by department, for which outside counsel was retained, including the amount paid by case for FY 2011 and FY 2012 to date. What amount is budgeted in FY 2013 for the services of outside counsel? How much in savings can be attributed to the best practice method that went into effect last year? The total annual amount paid by state agencies for outside counsel services is estimated to be $21 million in FY 2012. For FY 2011, the actual cost was $21,549,742.15. This figure is consistent with previous years; although there have been occasions when it has been higher (for example in FY 2009 the amount was $24.5 million.) The attached reports (Attachment A and B) detail the expenditures for FY 2011 and FY 2012 (as of March 28, 2012). The Division of Law improved its handling and supervision of outside legal counsel in the following manner. First, the Division amended the guidelines provided to its outside counsel to clearly state what costs are reimbursable and how they are to be reimbursed.
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