MINUTES OF THE meeting

of the

ASSEMBLY Committee on Ways and Means

 

Seventy-First Session

May 25, 2001

 

 

The Committee on Ways and Meanswas called to order at 8:30 a.m. on Friday, May 25, 2001.  Chairman Morse Arberry Jr. presided in Room 3137 of the Legislative Building, Carson City, Nevada.  Exhibit A is the Agenda.  Exhibit B is the Guest List.  All exhibits are available and on file at the Research Library of the Legislative Counsel Bureau.

 

 

COMMITTEE MEMBERS PRESENT:

 

Mr.                     Morse Arberry Jr., Chairman

Ms.                     Chris Giunchigliani, Vice Chairwoman

Mr.                     Bob Beers

Mrs.                     Barbara Cegavske

Mrs.                     Vonne Chowning

Mrs.                     Marcia de Braga

Mr.                     Joseph Dini, Jr.

Mr.                     David Goldwater

Mr.                     Lynn Hettrick

Ms.                     Sheila Leslie

Mr.                     John Marvel

Mr.                     David Parks

Mr.                     Richard D. Perkins

Ms.                     Sandra Tiffany

 

COMMITTEE MEMBERS ABSENT:

 

None

 

STAFF MEMBERS PRESENT:

 

Mark Stevens, Fiscal Analyst

Steve Abba, Principal Deputy Fiscal Analyst

Connie Davis, Committee Secretary

Carol Thomsen, Committee Secretary

 

 

Chairman Arberry recognized Mark Stevens.  Mr. Stevens, Fiscal Analyst, Fiscal Analysis Division, identified himself for the record and announced that the Chairman had asked staff to begin moving "the one-shot appropriations" recommended in The Executive Budget to the Senate Committee on Finance.  Mr. Stevens stated that there were 13 appropriation bills for the committee to review during the meeting and 3 were "one-shot" appropriations for the Legislative Counsel Bureau, all of which had been reduced.  While Mr. Stevens indicated he had not reviewed the specific areas of reduction, he indicated that Mr. Malkiewich, Director, Legislative Counsel Bureau, would be available to explain the reductions, if the committee so desired.

 

 

Assembly Bill 187:  Makes appropriation to legislative fund for equipment and software for information systems for Legislative Counsel Bureau and Nevada Legislature.  (BDR S-732)

 

Mr. Stevens explained that A.B. 187 was a "one-shot" appropriation to the legislative fund for data processing equipment and software.  The original appropriation was requested at $760,000.  Due to pricing and other issues, the appropriation could be reduced by $60,000, and funding was recommended at $700,000.

 

MS. GIUNCHIGLIANI MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MR. PARKS SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Perkins, Mr. Goldwater, Ms. Cegavske, Ms. Tiffany were not present for the vote.)

 

********

 

Assembly Bill 189:  Makes appropriation to legislative fund for certain maintenance and rehabilitation projects on legislative building.  (BDR S-730)

 

Mr. Stevens explained that A.B. 189 was also an appropriation to the legislative fund for maintenance and rehabilitation projects.  Mr. Malkiewich had reviewed the list of projects with leadership and $102,040 was proposed for reduction.  Funding was recommended at $715,700.

 

MRS. CHOWNING MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MS. GIUNCHIGLIANI SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Perkins, Mr. Goldwater, Ms. Cegavske were not present for the vote.)

 

********

 

Assembly Bill 511:  Makes appropriation to Tahoe Regional Planning Agency for threshold research.  (BDR S-1398)

 

Mr. Stevens reported that A.B. 511 was a $400,000 "one-shot" appropriation to the Tahoe Regional Planning Agency (TRPA) that was recommended in The Executive Budget.  Both the Senate Committee on Finance and the Assembly Committee on Ways and Means, during budget closings, included $200,000 within the operating budget to be funded out of interest from bonds that would be issued for "threshold research."  Mr. Stevens explained the appropriation could be reduced to $200,000 for FY2001-02.  During the second year of the biennium, the interest on the bonds would be used as a funding source to support the entire $400,000 listed in the bill.

 

MR. DINI MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MRS. DE BRAGA SECONDED THE MOTION.

 

THE MOTION CARRIED UNANIMOUSLY.

 

********

 

Assembly Bill 517:  Makes appropriation to Department of Human Resources for furnishings and equipment for Division of Child and Family Services.  (BDR S‑1422)

 

Mr. Stevens advised the members of the committee that representatives of the Division of Child and Family Services and staff had reviewed the appropriation in A.B. 517 that would fund furnishings and equipment for the agency.  After their review, the agency requested the appropriation be reduced to $118,006.  Staff made additional adjustments totaling $762 and recommended that A.B. 517 be amended to reflect an appropriation of $117,244. 

 

MR. DINI MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MS. GIUNCHIGLIANI SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 524:  Makes appropriation to Department of Information Technology for phase II of digital microwave upgrade.  (BDR S-1358)

 

Mr. Stevens explained that the appropriation of $9.1 million in A.B. 524 would provide funding for Phase II of the digital microwave upgrade for the eastern part of the state.  Funding would also be provided for the engineering and preparation work for Phase III of the project.  After a meeting to determine funding reductions, the Governor and leadership recommended that the appropriation be reduced by $4.5 million to a total of $4,641,986, which would provide digital capability from Las Vegas to Ely and most of the engineering work for the second part of Phase II and Phase III.

 

MR. HETTRICK MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MS. GIUNCHIGLIANI SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 518:  Makes appropriation to University and Community College System of Nevada for start-up costs for new state college.  (BDR S-1426)

                       

Mr. Stevens reported that A.B. 518 included $1.0 million in The Executive Budget that would provide start-up costs for the Nevada State College in Henderson.

 

MR. DINI MOVED TO APPROVE THE $1.0 MILLION FUNDING FOR START-UP COSTS FOR THE NEVADA STATE COLLEGE IN HENDERSON.

 

MS. TIFFANY SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mrs. Cegavske voted no; Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 527:  Makes appropriation to Legislative Counsel Bureau for new and replacement equipment and various maintenance projects.  (BDR S‑1361)

 

Mr. Stevens called attention to the fact that A.B. 527 was the third of three "one‑shot" appropriations for the Legislative Counsel Bureau and would fund new and replacement equipment and various maintenance projects throughout the Legislative Building.  The director of the Legislative Counsel Bureau met with leadership and proposed a reduction of $13,762 for an amended "one-shot" appropriation of  $747,823.

 

MR. HETTRICK MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MS. GIUNCHIGLIANI SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 529:  Makes appropriation to Department of Human Resources for software and computer equipment for Nevada rural health communications system.  (BDR S-1368)

 

Mr. Stevens stated that A.B. 529 provided $279,000 for computer equipment related to Nevada rural health communications systems.  Mr. Stevens explained that the new equipment would convert the agency's communications system from analog to digital and would enhance their client tracking capability.  At staff's request, the Division of Mental Health and Developmental Services reviewed the funding request and as a result, the price of the computer equipment was reduced.  Staff agreed with a revised agency request for funding in the amount of $236,490.  While Mr. Stevens noted that staff did not believe the $3,700 request for training could be adequately justified, it was included in the revised funding request of $236,490, and he indicated it was up to the committee to decide if they wanted to leave funding for the training in the appropriation.

 

MR. HETTRICK MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MR. DINI SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 530:  Makes appropriations to Department of Human Resources for Welfare Division’s telephone system and for costs relating to fingerprinting of employees of Welfare Division.  (BDR S-1370)

 

Mr. Stevens called on Steve Abba to provide an overview of A.B. 530.  Mr. Abba, Principal Deputy Fiscal Analyst, Fiscal Analysis Division, stated that A.B. 530 provided a one-time appropriation for the Welfare Division that included $27,000 in each year of the biennium for lease payments of 11 replacement telephone systems in the division's rural offices.  The appropriation also included $13,000 in each year of the biennium to conduct background checks on the division's current employees.  Mr. Abba explained that Nevada Revised Statutes (NRS) 179 held employers liable concerning their employees' access to records involving children.  Mr. Abba explained that the division currently had a requirement that all new employees, before beginning employment, undergo background checks at their own expense; however, the division had not conducted background checks on existing employees.

 

MRS. CHOWNING MOVED DO PASS.

 

MR. PARKS SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was absent for the vote.)

 

********

 

Assembly Bill 531:  Makes appropriation to Department of Human Resources for vehicle, furnishings, and equipment for Nevada Youth Training Center within Division of Child and Family Services.  (BDR S-1372)

 

Mr. Stevens advised the members of the committee that A.B. 531 would make an appropriation for furnishings and equipment for the Nevada Youth Training Center at Elko and staff recommended that A.B. 531 be passed.

 

MR. DINI MOVED DO PASS.

 

MRS. CHOWNING SECONDED THE MOTION.

                    

Mr. Parks asked if the issue concerning the price of television sets had been resolved.  In response, Mr. Stevens said that six television sets were requested and that request had not been revised based on the fact that the Nevada Youth Training Center was one of the most conservative groups in state government and rarely asked for anything.

 

THE MOTION ON THE FLOOR CARRIED.  (Mr. Goldwater was not present for the vote.)

********

 

Assembly Bill 532:  Makes appropriation to Department of Human Resources for vehicle, office equipment, and remodeling for Northern Nevada Child and Adolescent Services.  (BDR S-1376)

 

Mr. Stevens discussed the minor adjustments that were made in the one-time appropriation for phone systems, motor vans, and remodeling costs for Northern Nevada Child and Adolescent Services.  Mr. Stevens discussed the adjustment in the prices for the vans and remodeling and explained that staff recommended a reduction of $2,500 to reflect a one-time appropriation of $72,892.

 

MS. GIUNCHIGLIANI MOVED TO AMEND AND DO PASS THE REDUCED APPROPRIATION.

 

MS. LESLIE SECONDED THE MOTION.

 

THE MOTION CARRIED  (Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 533:  Makes appropriation to Department of Business and Industry for replacement of computers in Consumer Affairs Division. (BDR S‑1384)

 

Mr. Stevens advised the members of the committee that A.B. 533 provided an appropriation to the Consumer Affairs Division for computer replacement equipment.  Based on revised computer prices, the appropriation was reduced to $15,150.  Additionally, Mr. Stevens indicated that if the committee wanted to further reduce the appropriation, two computers in the group that were on a 5‑year cycle for replacement had been replaced in July 1998 and could be deferred further reducing the funding to $12,120.

 

MS. TIFFANY MOVED TO AMEND AND DO PASS A.B. 533 TO REFLECT AN ADJUSTMENT IN THE FUNDING FOR A TOTAL APPROPRIATION OF $15,150.

 

MRS. CHOWNING SECONDED THE MOTION

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

********

 

Assembly Bill 598:  Makes appropriation to Department of Human Resources for enhanced health clinic for Jan Evans Juvenile Justice Center.  (BDR S‑1405)

 

Mr. Stevens advised the members of the committee that A.B. 598 provided an appropriation to the Department of Human Resources for the enhanced health clinic at the Jan Evans Juvenile Justice Center.

 

MS. LESLIE MOVED DO PASS.

 

MRS. CEGAVSKE SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

********

 

BUDGET CLOSINGS

 

 

OFFICE OF CONSUMER HEALTH ASSISTANCE – BUDGET ACCOUNT 1003 BUDGET PAGE ELECTED-13

 

Mr. Stevens discussed the unresolved issue of whether to transfer the Office of Hospital Patients into the Governor's Office of Consumer Health Assistance.  Mr. Stevens explained that the Senate had recommended the transfer and the Assembly did not.

 

Mrs. Chowning spoke in opposition to the transfer.  After talking with representatives from the Office of Hospital Patients, Mrs. Chowning remained unconvinced that the assistance provided to senior citizens with large hospital bills would continue if the service was folded into the Office of Consumer Health Assistance.

 

MR. MARVEL MOVED TO CLOSE THE BUDGET FOR THE OFFICE OF CONSUMER HEALTH ASSISTANCE IN ACCORDANCE WITH THE SENATE CLOSURE.

 

MRS. CEGAVSKE SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mrs. Chowning, Ms. Giunchigliani, and Mrs. de Braga voted no, Mr. Goldwater was not present for the vote.)

 

BUDGET CLOSED. 

 

********

 

CONTROLLER'S OFFICE – BUDGET ACCOUNT 1130 – BUDGET PAGE ELECTED‑076

 

Mr. Stevens discussed the unresolved issue concerning a new Management Assistant position that was not included in The Executive Budget but was submitted as a revised Governor's recommendation after release of the budget.  While the Senate Committee on Finance approved the position, the Assembly Committee on Ways and Means did not.

 

MR. DINI MOVED TO CLOSE THE BUDGET FOR THE CONTROLLER'S OFFICE IN ACCORDANCE WITH THE SENATE CLOSURE.

 

MS. TIFFANY SECONDED THE MOTION. 

 

Ms. Giunchigliani asked that the motion be amended to include a Letter of Intent regarding use of travel funds specifically for Controller-related business.

 

MR. DINI AMENDED THE MOTION ON THE FLOOR TO CLOSE THE BUDGET FOR THE CONTROLLER'S OFFICE IN ACCORDANCE WITH THE SENATE CLOSURE AND TO INCLUDE A LETTER OF INTENT REGARDING THE USE OF TRAVEL FUNDS SPECIFICALLY FOR CONTROLLER-RELATED BUSINESS.

 

MS. TIFFANY SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

BUDGET CLOSED.

 

********

 

SECRETARY OF STATE BUDGET ACCOUNT 1050 –BUDGET PAGE ELECTED-081

 

Mr. Stevens reported that the Senate had approved 20 positions, 18 of which were in The Executive Budget. 

 

Ms. Giunchigliani advised the members of the committee that she had discussed the issue of the positions with representatives from the Secretary of State's Office and two positions, one for the Elections Division and one for the Information Technology Division, were agreed on in addition to the positions previously approved by the Assembly.

 

Mr. Stevens asked if the issue of the Assembly's approval of software maintenance in both years of the biennium and the Senate's approval for only the second year of the biennium had been discussed.  Ms. Giunchigliani indicated the issue had not been discussed.  Mr. Stevens pointed out the Assembly built the cost for software maintenance into the budget at $140,000 in the first year of the biennium and $180,000 in the second year while the Senate built it in for the second year only at $170,000.

 

MS. GIUNCHIGLIANI MOVED TO CLOSE THE BUDGET FOR THE SECRETARY OF STATE TO INCLUDE TWO ADDITIONAL POSITIONS, TO THE TEN POSITIONS PREVIOUSLY APPROVED, ONE FOR THE ELECTIONS DIVISION, AND ONE FOR THE INFORMATION TECHNOLOGY DIVISION.

 

MS. TIFFANY SECONDED THE MOTION.

 

THE MOTION CARRIED.  (Mr. Goldwater was not present for the vote.)

 

BUDGET CLOSED.

 

********

 

PROFICIENCY TESTING – BUDGET ACCOUNT 2697 – BUDGET PAGE K-12ED-032

 

Mr. Stevens discussed the unresolved issue for the Proficiency Testing budget concerning the Joint Subcommittee's closure.  The joint subcommittee closed the budget with an additional $500,000 for development implementation of an alternative assessment in lieu of a high school proficiency examination for students with disabilities or whose primary language was not English.  The Senate did not close the budget with the additional $500,000 for an alternative assessment.

 

Ms. Giunchigliani indicated the issue was still being discussed with members of the Senate.

 

It was Mrs. Chowning's opinion that an alternative assessment would simply assess the knowledge of non-English speaking students enabling them to pass the proficiency test and would provide statistics that were more accurate.

 

Chairman Arberry suggested that final action be held pending further discussion with the Senate.

 

WICHE LOAN & STIPEND – BUDGET ACCOUNT 2681 – BUDGET PAGE WICHE‑001

 

Mr. Stevens explained that the Assembly had balanced forward funds in the WICHE budget from FY2001 to FY2002 and then reduced the General Fund obligation that was required in the first year of the biennium.  Additionally, the Assembly concurred with the Governor's recommendation for the reserve level which was zero in the second year of the biennium.  While the Senate also balanced forward the funds, they used the money for additional program expansion and provided a reserve level of $50,000 in FY2003. 

 

Mr. Stevens pointed out that there were a few areas in which the number of slots was different between the Senate and the Assembly, and WICHE had provided revised numbers to assist in closing the budget. 

 

Mr. Stevens provided the following information concerning additional slots for WICHE:

 

• Physical Therapy - The Assembly provided no additional slots, the rationale being that the University of Nevada, Las Vegas had a physical therapy school.  The Senate provided for 6 new slots in each year of the biennium.  WICHE provided a revised request for 3 slots in each year of the biennium;

 

• Nursing – The savings that the Assembly generated from eliminating the physical therapy slots was put into 10 nursing slots in FY2002 and an additional 10 for a total of 20 slots in FY2003.  The Senate provided 5 slots for FY2002 and 10 slots for FY2003.  WICHE provided a revised request for zero slots in FY2002 and 10 slots in FY2003;

 

• Mental Health – The Assembly did not provide any slots for the Mental Health area and the Senate provided 5 slots for FY2002 and 10 slots for FY2003.  WICHE provided a revised request for zero slots in FY2002 and 5 slots in FY2003;

 

• Teaching – The Assembly provided zero slots for both years of the biennium and the Senate provided 5 slots in FY2002 and 10 slots in FY2003.  WICHE provided zero slots for both years of the biennium.

 

It was Ms. Giunchigliani's opinion that the Assembly should concur with the Governor's recommendation concerning zero reserves in FY2003 and that the Assembly should stand firm on their prior decisions concerning the number of slots.

 

Mr. Dini indicated there was an extreme shortage of physical therapists throughout the state, while Mrs. Cegavske's opinion was that, after speaking with former Assemblyman Jack Close, the slots for physical therapists should be eliminated.  Mr. Dini maintained that there was a shortage of therapists in Yerington, and he said that at least three slots should be provided for physical therapists.

 

Chairman Arberry suggested that final action be held pending a discussion with Senator Rawson before the meeting of the full Joint Committee.

 

DMV, FIELD SERVICES – BUDGET ACCOUNT 4735 – BUDGET PAGE DMV-013

 

Mr. Stevens called attention to the motor vehicle privilege tax in the base budget, and he indicated that the Assembly had increased the privilege tax revenue based on revised estimates from the agency.  The Executive Budget reflected the motor vehicle privilege tax as a "flat" revenue source in each year of the biennium compared to the actual figures in FY2000.  However, based on information from the agency, Mr. Stevens reported that the Assembly increased revenue by $901,000 in FY2002 and by $1.2 million in FY2003.  Mr. Stevens advised the members of the committee that the issue was related to the 22 percent cap and that if the committee believed the 22 percent cap should be retained, the revenue adjustments were necessary.

 

It was the consensus of the committee to hold firm with the Assembly closure.

 

The Chairman adjourned the meeting at 9:05 a.m.

 

 

RESPECTFULLY SUBMITTED:

 

Connie Davis

Committee Secretary

 

APPROVED BY:

 

                       

Assemblyman Morse Arberry Jr., Chairman

 

DATE: