MINUTES OF THE
SENATE Committee on Finance
Seventy-first Session
May 17, 2001
The Senate Committee on Financewas called to order by Chairman William J. Raggio at 4:00 p.m., on Thursday, May 17, 2001, in Room 2134 of the Legislative Building, Carson City, Nevada. Exhibit A is the Agenda. Exhibit B is the Attendance Roster. All exhibits are available and on file at the Research Library of the Legislative Counsel Bureau.
COMMITTEE MEMBERS PRESENT:
Senator William J. Raggio, Chairman
Senator Raymond D. Rawson, Vice Chairman
Senator Lawrence E. Jacobsen
Senator William R. O’Donnell
Senator Joseph M. Neal, Jr.
Senator Bob Coffin
Senator Bernice Mathews
GUEST LEGISLATORS PRESENT:
Marcia de Braga, Assembly District No. 35
STAFF MEMBERS PRESENT:
Gary L. Ghiggeri, Fiscal Analyst
Bob Guernsey, Principal Deputy Fiscal Analyst
Georgia J. Rohrs, Program Analyst
Judy Jacobs, Committee Secretary
OTHERS PRESENT:
Carrie Townley Porter, State Coordinator, Nevada Women’s History Project
Mary Ann Convis, State Project Chairman, Nevada Women’s History Project
Paula Berkley, Lobbyist, Girl Scouts of the Sierra Nevada, Girl Scouts of the Frontier
Judy Holt, Manager/Budget and Finance, Office of Court Administrator
K. Neena Laxalt, Lobbyist, Nevada Propane Dealers Association
Don Hataway, Deputy Director, Budget Division, Department of Administration
Lorne J. Malkiewich, Director, Legislative Counsel Bureau
Senator Raggio announced Assembly Bill (A.B.) 267 would be heard first in deference to the appearance of Ms. de Braga.
ASSEMBLY BILL 267: Provides for creation of statue of Sarah Winnemucca for placement in National Statuary Hall Collection in United States Capitol. (BDR S-695)
Marcia de Braga, Assembly District No. 35, related in 1864 the United States Congress established a National Statuary Hall and authorized each state to contribute two statues of distinguished citizens. She said Nevada is one of the few states that has only one statue, which honors Senator Patrick McCarran. She said A.B. 267 requests state approval to contribute a second statue from Nevada, and the statue be of Sarah Winnemucca.
Ms. de Braga said promotion of the statue of Sarah Winnemucca is a Nevada Women’s History Project. She said Sarah Winnemucca was selected because she was the first public woman in Nevada whose accomplishments were amazing, not only for a woman, but especially for a Native American woman of that era.
Ms. de Braga said during Sarah Winnemucca’s short life, from 1844 to 1891, she learned to read and write, spoke five languages, toured most of the United States, gave over 300 speeches about the plight of her people, and testified in Washington, D.C., for the release of her people from the Yakima Reservation. Ms. de Braga stated Sarah Winnemucca was a passionately outspoken critic of the reservation system.
Ms. de Braga added Sarah Winnemucca acted as an interpreter and negotiator between the army and her people, the Paiutes, after the Bannock War, and she founded and ran a nongovernment school for Paiute children. Ms. de Braga asserted Sarah Winnemucca should be honored for her role as a Paiute leader and for her accomplishments.
Ms. de Braga said A.B. 267 establishes a committee composed of six people, to be appointed by the Governor, the majority leader of the Senate, and the speaker of the Assembly. She explained the committee would be charged with selecting an artist for the statue and approving the design, and would serve without compensation or per diem. She said the Department of Museums, Library and Arts would contract with the artist.
According to Ms. de Braga, the original bill requested $100,000 for the statue. She noted statues in the National Statuary Hall Collection must be made of marble or bronze, hence the request for the money. However, she said, the request for funding has been deleted from the bill. She explained the members of the Nevada Women’s Fund would provide the funding by collecting donations.
Carrie Townley Porter, State Coordinator, Nevada Women’s History Project, testified she has a degree in history and taught Nevada history in the public schools, and she is currently co-chairman of the Sarah Winnemucca Project. She distributed a brief history of Sarah Winnemucca (Exhibit C).
Ms. Porter explained the group was founded by Jean Ford when Ms. Ford realized there were so few records accessible on the history of Nevada women. Ms. Porter said the group is a non-profit organization and a program of the Nevada Women’s Fund in Reno. She explained the group’s mission is to provide visibility and support for the gathering and dissemination of history about the roles and contributions of Nevada women of every race, class, and ethnic background. She asserted the Sarah Winnemucca project fulfills that mission.
Ms. Porter reiterated the group is certain it can raise funds for the statute, so the request for funding was deleted from the bill. She noted people have already donated $7,000, unsolicited, although the plan to raise funds has not been formulated yet. She stated many social and service organizations have indicated they will donate funds, and her organization does not believe it will be difficult to raise $100,000.
Ms. Porter said in the past the Nevada Women’s Fund has been successful in obtaining grants, often attributable to the professional women who are members, including professional grant writers. She said large cash contributions have been made by individuals and it appears that will continue. She said the Nevada Women’s History Project is pleased to come to the Legislature with the proposal for a Sarah Winnemucca statue.
Mary Ann Convis, State Project Chairman, Nevada Women’s History Project, said she is co-chairman for the Sarah Winnemucca Project. She declared the group not only intends to raise funds, but also to use the project as an educational tool. She said one of the members, a retired teacher, has already put together a lesson plan and contacted all the middle schools in Washoe County. She noted the lesson plan is on e-mail and therefore available to anyone on the Internet.
Ms. Convis added the retired teacher has agreed to put together a lesson plan for any grade level when requested by any teacher in the state, and some teachers have already made that request. A project is under way at Fort McDermott, she said, where it is believed the site of the school established by Sarah Winnemucca has been found. She said the group would appreciate approval of the project.
Paula Berkley, Lobbyist, Girl Scouts of the Sierra Nevada, and Girl Scouts of the Frontier, testified when she learned of the Sarah Winnemucca project she contacted girl scouts all over the state. She reported after they learned about Sarah Winnemucca they wrote over 100 letters supporting placement of a statue in Washington in her honor.
Senator Raggio asked where the contributions should be directed. He noted the contributions should be made to an organization that has the correct Internal Revenue Service (IRS) code to qualify for a tax-deductible designation. According to Ms. de Braga, the Department of Museums, Library and Arts has agreed to handle the funding. Senator Raggio reiterated anyone making a contribution would probably prefer it be deductible. Ms. Porter responded the Nevada Women’s Fund is a non-profit organization, thus funds coming into that group are deductible. She said if the project is approved, the funds already collected by the Nevada Women’s Fund will be turned over to the accountants at the Department of Museums, Library and Arts.
Ms. Porter said none of the $100,000 to be collected will be used for travel, per diem, or any other costs associated with any of the individuals involved in the project. The $100,000 will only be used to find an artist and construct and transport the statue.
Senator Neal asked why Sarah Winnemucca was chosen. Ms. de Braga replied Sarah Winnemucca was chosen because she was Nevada’s first public woman, and she accomplished so much for a woman of her era.
Ms. Convis related according to Paiute legend, there were both dark-skinned and light-skinned brothers and sisters at the time of creation. As a result, she said, when white people came across the desert, Sarah’s father and grandfather called them their brothers from the creation, and the Paiutes treated the white people peacefully.
Senator Mathews asked whether women from other states are recognized in the National Statuary Hall Collection. Senator Raggio responded there are presently nine women. He said 46 states have two statues, and Nevada is one of the states with only one statue. Ms. de Braga interjected there are no minority women depicted.
ASSEMBLY BILL 237: Makes supplemental appropriation to District Judges’ Salaries and Judicial Pensions Fund for shortfall in money budgeted for retirement benefits and pensions for District Judges and widows. (BDR S‑1256)
Judy Holt, Manager/Budget and Finance, Office of Court Administrator, said A.B 237would provide $109,918 from the General Fund as a supplement to district court judges’ salaries and pension funds. She explained there is a shortfall in the pension fund because retirement of two district court judges was not anticipated, nor was the death of another whose spouse now receives benefits. She stated there is some urgency for the appropriation because there are insufficient funds to cover the next payroll.
Asked by Senator Raggio whether staff had checked the amounts, staff members indicated they had and were in agreement with the urgency of the situation.
SENATOR COFFIN MOVED TO DO PASS ASSEMBLY BILL 237.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
ASSEMBLY BILL 15: Requires establishment of program to provide supportive assistance to certain persons who obtain legal guardianship of certain children. (BDR 38-368)
Senator Raggio noted the committee should look at the first reprint of A.B. 15. He recalled funding would be derived from Temporary Assistance for Needy Families (TANF), and it was acceptable to that agency.
SENATOR MATHEWS MOVED TO DO PASS A.B. 15.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
ASSEMBLY BILL 291: Imposes additional fee for processing application for game tag for support of programs to control predators and protect wildlife habitat. (BDR 45-160)
Senator Raggio pointed out A.B. 291 would provide an additional $3 fee on game tags to be used for predator control.
SENATOR NEAL MOVED TO DO PASS A.B. 291.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Senator Raggio noted, with the passage out of committee of A.B. 291, it would be appropriate to indefinitely postpone Senate Bill 30, which would have imposed a $5 fee on game tags.
SENATE BILL 30: Makes various changes to provisions relating to wildlife. (BDR 45-647)
SENATOR MATHEWS MOVED TO INDEFINITELY POSTPONE S.B. 30.
SENATOR JACOBSEN SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
ASSEMBLY BILL 662: Revises provisions relating to authorization for expenditure of money in Heil trust fund for wild horses. (BDR 45-1516)
Senator Raggio recalled a question had been raised as to whether there would be any legal consequences, or whether it would violate any laws if a foundation was established with funds bequeathed to the state by the Heil Trust Fund. The chairman stated R. Michael Turnipseed, Director, State Department of Conservation and Natural Resources, obtained an unofficial opinion from the Office of the Attorney General (Exhibit D) indicating the use of the funds would be appropriate and would successfully withstand any legal challenge.
SENATOR O’DONNELL MOVED TO DO PASS A.B. 662.
SENATOR RAWSON SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
SENATE BILL 10: Makes appropriation to Department of Motor Vehicles and Public Safety for creation and maintenance of branch office in Fernley. (BDR S-605)
Senator Raggio reported staff conferred with Senator Mark E. Amodei, Capital Senatorial District, who agreed it would be appropriate to defer the creation of a motor vehicle office in Fernley as provided in S.B. 10. Gary L. Ghiggeri, Fiscal Analyst, Fiscal Analysis Division, Legislative Counsel Bureau, reported transactions from August last year through January this year were checked and there were so few transactions it was determined the office would not be necessary.
SENATOR RAWSON MOVED TO INDEFINITELY POSTPONE S.B. 10.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
SENATE BILL 97: Makes appropriation to State Public Works Board for construction of residence facilities at Great Basin College, Elko campus. (BDR S-697)
Senator Raggio said it has been determined the appropriation for Great Basin College can be accommodated in the measure dealing with revenue bonding, so the bill will not be necessary.
SENATOR RAWSON MOVED TO INDEFINITELY POSTPONE S.B. 97.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
SENATE BILL 174: Requires cooperative efforts to make available through existing state programs community-based services to provide minimum essential personal assistance to certain persons with disabilities. (BDR 38-190)
Senator Raggio noted S.B. 174 was heard March 22, 2001, and an amendment was proposed for Section 14. He noted the amendment would reduce the appropriation to $5,000 annually to cover travel expenses for the advisory committee. The proposed adjustments to the bill are set forth in Exhibit E.
SENATOR RAWSON MOVED TO AMEND AND DO PASS S.B. 174 WITH THE AMENDMENTS OFFERED IN EXHIBIT E.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Senator Raggio announced the bill would be returned with the formal amendment for committee approval.
SENATE BILL 207: Requires department of human resources to establish program for provision of medical assistance to certain working persons with disabilities who are ineligible for Medicaid. (BDR 38-227)
Senator Rawson reported he had an amendment for S.B. 207 that he wanted the committee to consider. He passed out copies of the proposed amendment (Exhibit F). He explained the amended measure will allow disabled people receiving Medicaid to work, and although they will be ineligible for Medicaid, they can maintain their medical benefits. He said the amendment entitled “Ticket to Work/Work Incentives Program,” will make state law consistent with federal law. He said the Department of Human Resources has received a grant to conduct a study, and the amendment sets the dates for the study.
SENATOR RAWSON MOVED TO AMEND AND DO PASS S.B. 207 WITH THE AMENDMENTS PROPOSED IN EXHIBIT F.
SENATOR MATHEWS SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
SENATE BILL 448: Makes appropriation to State Department of Conservation and Natural Resources for improvement projects at state parks and revises particular purposes and extends periods for expenditure of certain money previously appropriated for park improvement projects. (BDR S-1392)
Mr. Ghiggeri reported S.B. 448 was amended by the committee earlier in the week to reduce the appropriation from $1.5 million to $500,000, and provide funding from room tax collections. He said the State Department of Conservation and Natural Resources prepared another amendment, which would extend the reversion date in the bill, because the department has been unable to complete the project.
Mr. Ghiggeri explained the Budget Division asked for an amendment to extend the reversion date for certain projects that have not been completed by the Division of State Parks. He said the staff had Amendment No. 760 to Senate Bill 448 (Exhibit G) drafted, and the division is willing to explain it to the committee next Monday.
SENATE BILL 478: Authorizes state department of conservation and natural resources to develop and carry out program to encourage certain persons to use clean-burning fuel in motor vehicles. (BDR 43-137)
K. Neena Laxalt, Lobbyist, Nevada Propane Dealers Association, drew attention to Amendment No. 692 to Senate Bill 478 (Exhibit H). She testified S.B. 478 was originally written as a tax exemption for the use of clean-burning fuels. She said the fiscal impact was removed, and now there is no fiscal impact. She said now the bill only authorizes the State Department of Conservation and Natural Resources, specifically the Division of Environmental Protection, to carry out programs to encourage the use of clean-burning fuels.
Senator Raggio asked whether there are grants available to encourage the proposal. Ms. Laxalt expressed hope that grants will materialize.
SENATOR RAWSON MOVED TO AMEND WITH AMENDMENT NO. 692 AND DO PASS SENATE BILL 478.
SENATOR JACOBSEN SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
SENATE BILL 208: Makes various changes to provisions concerning public dental health. (BDR 40-738)
Senator Rawson reported an amendment (Exhibit I) was prepared for S.B. 208 as discussed earlier. He explained there was an appropriation of approximately $800,000 for the biennium that was removed. He said the amended bill would now allow the Health Division to appoint a person already employed by the state who works for the University and Community College System of Nevada (UCCSN). He explained the person would act as a state dental health officer. Thus, he said, no new salary would have to be funded. He said the job would be taken over by a dentist or hygienist already employed by UCCSN. The person’s pay would continue from UCCSN, and the person would perform the duties described in S.B. 208.
Senator Rawson noted Nevada is one of the last states that does not have a dental health officer. He said the position will be important for providing information and obtaining grants. He opined that eventually the office may be separated from UCCSN.
Senator Rawson declared he is employed by UCCSN and is a dentist, but he will not be a candidate for the job, nor will he ever accept the job. Thus, he said, his endorsement is not about himself.
SENATOR COFFIN MOVED TO AMEND AND DO PASS S.B. 208 AS SET FORTH IN EXHIBIT I.
SENATOR RAWSON SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR O’DONNELL WAS ABSENT FOR THE VOTE.)
* * * * *
SENATE BILL 497: Authorizes issuance of general obligation bonds by state for purchase of certain facilities. (BDR S-1475)
Senator Raggio reminded the committee testimony had been presented by Daniel G. Miles, Vice Chancellor, Finance and Administration, University and Community College System of Nevada, proposing an amendment to S.B. 497 (Exhibit J). The chairman recalled UCCSN asked for authority providing flexibility regarding additional space to be acquired for Truckee Meadows Community College (TMCC). The funds will be derived from general obligation bonds, he said, and the amendment provides that the university must make sufficient payments to the state from other sources to pay the bonds.
SENATOR RAWSON MOVED TO AMEND AND DO PASS S.B. 497 WITH THE AMENDMENT PROPOSED IN EXHIBIT J.
SENATOR MATHEWS SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR O’DONNELL WAS ABSENT FOR THE VOTE.)
* * * * *
SENATE BILL 319: Provides for licensing and regulation of halfway houses for alcohol and drug abusers as facilities for dependent and repeals requirements for certification of operators of such halfway houses. (BDR 40-1211)
Senator Raggio asked whether a fee was connected with S.B. 319. Senator O’Donnell replied it includes a fee to help cover the costs.
SENATOR O’DONNELL MOVED TO DO PASS S.B. 319.
SENATOR RAWSON SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Senator Raggio requested the committee to consider the matters for the Department of Education in the Joint Subcommittee on K-12/Human Resources Closing Report (Exhibit K).
Georgia J. Rohrs, Program Analyst, Fiscal Analysis Division, Legislative Counsel Bureau, pointed out four of the budgets were closed in the Joint Subcommittee on Human Resources/K-12 of the Senate Committee on Finance and the Assembly Committee on Ways and Means with only technical adjustments. She stated those four were budget account 101-2670, Education of Handicapped Persons; budget account 101-2715, Individuals with Disabilities; budget account 101-2676, Occupational Education; and budget account 101-2678, NDE School to Careers.
Education of Handicapped Persons – NRS 395 – Budget Page K12 ED-76 (Volume I)
Budget Account 101-2670
Individuals with Disabilities (IDEA) – Budget Page K12 ED-79 (Volume I)
Budget Account 101-2715
Occupational Education – Budget Page K12 ED-90 (Volume I)
Budget Account 101-2676
NDE School to Careers – Budget Page K12 ED-107 (Volume I)
Budget Account 101-2678
Senator Raggio asked whether the Budget Division had any concerns regarding those four budgets. Don Hataway, Deputy Director, Budget Division, Department of Administration, indicated it did not.
SENATOR NEAL MOVED TO CLOSE BUDGET ACCOUNTS 101-2670, 101‑2715, 101-2676, AND 101-2678 WITH THE TECHNICAL ADJUSTMENTS AS RECOMMENDED BY THE JOINT SUBCOMMITTEE.
SENATOR RAWSON SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Education State Programs – Budget Page K12 ED-1 (Volume I)
Budget Account 101-2673
Turning to page 13 in the closing packet, Ms. Rohrs said the joint subcommittee recommended 2.5 new positions for the budget, including increasing the half-time Charter School Consultant position to a full-time position; adding a new full-time Administrative Services Officer to serve as the Distributive School Account (DSA) administrator; and adding a Computer Systems Programmer II for the transition of the Statewide Management of Automated Record Transfers (SMART) from contract management to state management. She explained a Management Analyst position for the SMART program is not recommended.
Ms. Rohrs stated the subcommittee did not recommend the transfer of funding from traditional travel and operating expense categories to program categories.
SENATOR NEAL MOVED TO CLOSE BUDGET 101-2673 AS RECOMMENDED BY THE JOINT SUBCOMMITTEE.
SENATOR RAWSON SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Other State Education Programs – Budget Page K12 ED-18 (Volume I)
Budget Account 101-2699
M-200 Demographics/Caseload Changes – Page K12 ED-19
Ms. Rohrs referred to page 18 in the closing packet and reported the subcommittee recommended funding for the SMART program for ongoing replacement of equipment. She indicated the cost over the biennium would be $697,300 for all school districts except Clark County. She noted Lyon County requested $165,023 in funding for fiscal year (FY) 2002 to convert from MacSchool to PowerSchool because the MacSchool software system will no longer be supported.
Ms. Rohrs said the budget includes a request for $1,435,110 for the biennium to provide 16 school district SMART administrators and two consultants for direct technical assistance and training.
According to Ms. Rohrs, the subcommittee had concern that funding ongoing equipment and positions might establish a precedent whereby the state would be expected to be responsible for all hardware and software costs related to the SMART program. Therefore, she said, the subcommittee recommended issuing a Letter of Intent to clarify funding for hardware, software, and personnel for the SMART program should not be considered an ongoing responsibility of the state.
E-325 Improve Pupil Achievement – Page K12 ED-20
Ms. Rohrs said the subcommittee recommended funding in the amount of $150,000 in each year of the biennium to reimburse as many as 75 teachers per year, up to $2,000 each, for those who successfully complete the National Teacher Certification Program.
E-300 Maximize Internet & Technology – Page K12 ED-20
Ms. Rohrs stated the subcommittee did not approve funding in the amount of $340,000 for evaluation of charter schools and class-size reduction programs.
SENATOR NEAL MOVED TO CLOSE BUDGET ACCOUNT 101-2699 ACCORDING TO SUBCOMMITTEE RECOMMENDATIONS WITH TECHNICAL ADJUSTMENTS, WITH A LETTER OF INTENT REGARDING FUNDING FOR THE SMART PROGRAM, AND WITH DELETION OF THE STUDY IN DECISION UNIT E-300.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Teacher Education and Licensing – Budget Page K12 ED-23 (Volume I)
Budget Account 101-2705
Ms. Rohrs said teacher-licensing fees will have to be increased to make the budget self-supporting. She reported the subcommittee recommended $143,409 in teacher licenses and fees be used to purchase equipment to electronically store teacher licensing files in the upcoming biennium. She said the project has been approved by the Department of Information Technology (DoIT) and by the Division of State Library and Archives.
Senator Coffin asked whether legislation would be required. Ms. Rohrs replied it would not because it is just an expenditure for electronic storage. Senator Raggio asked whether the license fee would have to be raised. Ms. Rohrs answered it would in order for the budget to be self-supporting, but the Commission on Professional Standards in Education has the authority to raise the fees, so the Legislature would not be involved.
SENATOR NEAL MOVED TO CLOSE BUDGET 101-2705 IN ACCORDANCE WITH THE RECOMMENDATIONS OF THE JOINT SUBCOMMITTEE.
SENATOR RAWSON SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Proficiency Testing – Budget Page K12 ED-32 (Volume I)
Budget Account 101-2697
Ms. Rohrs related the Governor’s modified budget provided an additional $1,067,000 in state funds to meet the revised costs for the administration of state-mandated examinations. She said the department estimated there would be a shortfall of $1.89 million in the High School Proficiency Exam Testing Program contracts. She said the subcommittee recommended approval of a transfer from excess funds in the criterion-referenced test (CRT) contract category to the High School Proficiency Exam Testing Program contract of $312,301 in FY 2002 and $313,587 in FY 2003. She added the subcommittee also recommended $200,410 be funded by the state for the balance of the shortfall, contingent upon the same amount being reverted should the science portion of the proficiency exam be delayed for 1 or more years.
Ms. Rohrs said an amendment to Senate Bill 148 is pending in the Senate Committee on Finance, which will delay implementation of the new science portion of the High School Proficiency Exam Testing Program for 2 years.
SENATE BILL 148: Makes various changes regarding educational personnel. (BDR 34-219)
E-325 Improve Pupil Achievement – Page K12 ED-36
Ms. Rohrs noted the subcommittee recommended approval of a new Planning, Research, and Evaluation Consultant position to coordinate the K-8 CRT program. She said $500,000 over the biennium is recommended for development and implementation of alternative assessments in lieu of the High School Proficiency Exam Testing Program for students with disabilities and pupils whose primary language is not English. She said students would receive a mastery diploma, as outlined in Assembly Bill 319.
ASSEMBLY BILL 319: Makes various changes to provisions governing education. (BDR 34-784)
Ms. Rohrs said the joint subcommittee recommended a Letter of Intent be issued directing the department to involve more people in the request for proposal (RFP) process for testing contracts. She indicated the subcommittee felt language should be included within the testing contracts with penalties attached to ensure the timely return and accuracy of test results to be enforced by the State Board of Education
Senator Raggio explained A.B. 319 sets up a bifurcated diploma. He opined the $500,000 should not be included in the budget at this time. Senator Rawson recalled a discussion in which it was determined more funds were needed to develop the tests for the disabled. Senator Raggio suggested the matter should be discussed when the bill is heard.
Ms. Rohrs said she had been informed the sum in the bill understated the needs, and that $500,000 would be more appropriate than $340,000, as set forth in A.B. 319.
SENATOR O’DONNELL MOVED TO CLOSE BUDGET ACCOUNT 101‑2697 AS RECOMMENDED BY THE JOINT SUBCOMMITTEE EXCEPT TO DELETE THE $500,000 ALLOCATION FROM A.B. 319.
SENATOR NEAL SECONDED THE MOTION.
Senator Neal asked whether S.B. 148 would have an impact on the budget. Mr. Ghiggeri suggested the closing as moved by Senator O’Donnell is similar to what the pending amendment to S.B. 148 would envision. Ms. Rohrs pointed out the amendment to S.B. 148 would delay the science portion. Senator Raggio opined delay of the science portion does not appear to be in contention, and the budget could be closed on that basis, and then S.B. 148 can be amended, if necessary.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
NDE, Staffing Services – Budget Page K12ED-47 (Volume I)
Budget Account 101-2719
Ms. Rohrs explained the reasons for the new budget account as set forth on page 28 of the closing packet. She said the joint subcommittee recommended transfer and consolidation of positions that are presently less than full time in any one account and are funded from multiple sources. The transfer will create full-time equivalent (FTE) positions. Ms. Rohrs reported the subcommittee also recommended issuing a Letter of Intent directing the department to provide quarterly reports to the LCB Fiscal Analysis Division staff on the status of the Staffing Services budget account. The letter also will require notices regarding changes to the staffing structure of the budget.
SENATOR RAWSON MOVED TO CLOSE BUDGET ACCOUNT 101‑2719 AS RECOMMENDED BY THE JOINT SUBCOMMITTEE, INCLUDING THE LETTER OF INTENT.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Education Support Services – Budget Page K12 ED-48 (Volume 1)
Budget Account 101-2720
Ms. Rohrs said the subcommittee recommended four new positions, including an Account Clerk II, an Information Systems Specialist, two Auditor III positions, and a half-time Management Assistant, as discussed on pages 31 and 32 of the closing packet. She indicted the Information Systems Specialist was requested to support the department’s computer network.
Ms. Rohrs added the joint subcommittee also recommended allocating the General Fund portion of indirect costs directly to the budget, rather than transferring indirect costs periodically from individual budget accounts to help the cash flow within the budget. She said the subcommittee also recommended approval of $22,932 for two 2-way interactive video units for Carson City and Las Vegas, and for wiring and projection units to enable board members, staff, and the public to participate in meetings without the need for travel.
Ms. Rohrs noted the budget has a history of revenue problems, and a Letter of Intent was recommended by the subcommittee directing the department to carefully review its projected revenues and expenditures prior to purchase.
SENATOR RAWSON MOVED TO CLOSE BUDGET ACCOUNT 101‑2720 AS RECOMMENDED BY THE JOINT SUBCOMMITTEE.
SENATOR NEAL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Nutrition Education Programs – Budget Page K12 ED-60 (Volume I)
Budget Account 101-2691
Drug Abuse Education – Budget Page K12 ED-67 (Volume I)
Budget Account 101-2605
Indicating the Nutrition Education Programs and Drug Abuse Education budgets were in conjunction, Ms. Rohrs said the subcommittee recommended modifications that would more appropriately reflect the funding structure for several existing positions. She said the subcommittee recommended issuing Letters of Intent to direct the department to conduct a program review of K-12 substance abuse prevention programs that have proven effective in other states. She said the review should include an analysis of which programs appear to be working, and how other states assess their programs. Then, she said, a determination should be made how Nevada can improve its programming and assess its results.
SENATOR RAWSON MOVED TO CLOSE BOTH BUDGET ACCOUNT 101‑2691 AND BUDGET ACCOUNT 101-2605 AS RECOMMENDED BY THE JOINT SUBCOMMITTEE, INCLUDING THE LETTER OF INTENT.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
* * * * *
Improving America’s Schools – Title I – Budget Page K12 ED-85 (Volume I)
Budget Account 101-2712
Discretionary Grants – Unrestricted – Budget Page K12 ED-102 (Volume I)
Budget Account 101-2706
Ms. Rohrs stated the subcommittee recommended transferring two half-time positions in FY 2003 to the Title I budget. She indicated the positions are currently funded by the Goals 2000 Grant, which expires this year. She said the subcommittee recommended making the half-time Title I Grants and Project Analyst position, which was added as a temporary position during the interim, a permanent position, and recommended increasing it from a half-time to a full-time position. She said that would depend on the department’s ability to find an appropriate federal funding source for the additional salary costs. She explained the intent is an additional position that will serve as a grants writer.
Senator Raggio recalled there was a long discussion in the joint subcommittee about the need for a grants writer, and this should resolve the problem.
SENATOR RAWSON MOVED TO APPROVE BOTH BUDGET ACCOUNT 101‑2712 AND BUDGET ACCOUNT 101-2706 AS RECOMMENDED BY THE JOINT SUBCOMMITTEE.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
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Legislative Counsel Bureau – Budget Page LCB-1 (Volume I)
Budget Account 327-2631
Nevada Legislature Interim – Budget Page LCB-4 (Volume I)
Budget Account 327-2626
Lorne J. Malkiewich, Director, Legislative Counsel Bureau, proposed closing two budgets for the LCB. He said the Nevada Legislature Interim budget account for biennium amounts to $877,000. He noted that included an increase over base of $137,000, of which $76,000 is the increase in Step 9 and the 4 percent cost of living adjustment (COLA).
According to Mr. Malkiewich, no new positions are requested over the interim, only some minor changes. He said the only adjustments needed are the fact that the Step 9 and the COLA were omitted from Legislative Branch budgets, and the decision unit M-200 amounts were also inadvertently left out. He said the Budget Division and the Fiscal Analysis Division of the LCB are aware of those omissions.
Senator Rawson asked whether the budget would be carried in the reapportionment legislation if there is an increase in the number of Legislators as a result of reapportionment. Mr. Malkiewich pointed out the budget is small because it only includes the Secretary of the Senate, Chief Clerk of the Assembly, and their assistants.
Mr. Malkiewich commented no matter what is decided regarding reapportionment, it will have no effect on any budget this biennium. He said the first thing a change will affect would be the budget for the next legislative session and the biennium beyond because the new Legislators would not start until February 2003.
Senator Raggio asked whether those adjustments were needed to close the budget. Mr. Malkiewich replied they were.
SENATOR RAWSON MOVED TO CLOSE BUDGET ACCOUNT 327-2626 WITH THE ADJUSTMENTS SUGGESTED BY MR. MALKIEWICH.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED.
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Mr. Malkiewich said the Legislative Counsel Bureau budget, account 327-2631, also did not include the amounts of the COLA and decision unit M-200. He distributed a two-page document (Exhibit L) showing the changes in the budget with those figures added back in. He indicated the other proposed changes that were included.
According to Mr. Malkiewich, the items in the decision unit E-700 series have been included in A.B. 527 as a one-shot appropriation.
ASSEMBLY BILL 527: Makes appropriation to Legislative Counsel Bureau for new and replacement equipment and various maintenance projects. (BDR S-1361)
Accordingly, Mr. Malkiewich said, the first page of the handout show the cuts in the budget for the LCB, and then the items are set out showing which are within A.B. 527 and which are outside of the bill. He said:
We are proposing, out of the LCB budget, cuts totaling $377,000, $263,000 of which is within the budget of the LCB as presented in The Executive Budget, $113,000 of which is included in A.B. 527, which basically is the one-shot for new and replacement equipment, and things like that.
Mr. Malkiewich reported all five divisions cut their budgets looking for places to save. He opined the budgets were lean coming in, and since no utility increases were included, the LCB will absorb those. He said any other needed changes will be handled within existing revenue. He reiterated the proposal is to cut $377,000. He noted the second page of the handout was included to provide information. He said the three bills listed are still in the other house. He explained they are one-shot appropriations, and the LCB intends to propose cutting $60,000 from the computer hardware and software appropriation, and $102,000 from the appropriations for various building projects. He said those bills should be coming to the Senate in a short time.
Mr. Malkiewich repeated A.B. 527 is a one-shot appropriation that includes the decision unit E-700 series enhancements. He drew attention to the bottom of the second page showing a summary of the cuts. He noted there will be a reduction of $275,802 in FY 2001, a reduction of $159,026 in FY 2002, and a reduction of $104,485 in FY 2003, total cuts of just over $500,000.
Mr. Malkiewich reported there is a problem with the Legal Division budget. He opined the operating budget is low, and he requested language be included in the Appropriations Act to carry forward any unspent amounts in this year’s appropriation to the Legal Division until next year. He explained money in the Legislative Fund does not revert, it remains there if not spent. He said the legal and operating budgets were probably under-budgeted, carrying forward any savings they might have this year, so that will provide a small cushion. If those funds are not needed, he said, they will lapse into the Legislative Fund on June 30, 2002, instead of June 30, 2001.
SENATOR NEAL MOVED TO CLOSE BUDGET ACCOUNT 327-2631 WITH THE CHANGES PROPOSED BY MR. MALKIEWICH AND INCLUDED ON THE FIRST PAGE OF HIS HANDOUT, EXHIBIT J, TO CARRY OVER THE UNSPENT AMOUNT OF APPROPRIATIONS TO THE LEGAL DIVISION FROM FISCAL YEAR 2001, AND THE COLA AND DECISION UNIT M-200 PROVISIONS.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
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Senator Raggio adjourned the hearing at 5:11 p.m.
RESPECTFULLY SUBMITTED:
Judy Jacobs,
Committee Secretary
APPROVED BY:
Senator William J. Raggio, Chairman
DATE: