Joint Appropriations Minutes 02/01/2005 8:00 AM

David Gilbertson, Chief Justice, introduced the following staff: DJ Hanson - State Court Administrator, John Ellenbecker - Director of Budget and Finance, and Keith Bonenberger - Court Services.

Documents 1, 2, 3, and 4 were distributed to all committee members.

The bulk of the UJS budget is for personnel. A request for additional FTEs for Court Service Officers, replacements for computer contract vendors - relying more on Technology.

DJ Hanson presented information about South Dakota's branches of government.
Growth of General Funds FY1995 was $566,119,275 in FY05 was $972,368,092.
Growth in FTEs in FY1995 was 13,550.8 and in FY05 12,389.2.
FY05 Funding level is $32,332,310 with 77.1% being for Personal Services.

Senator Apa asked if UJS worked with Court Appointed Special Advocates (CASA) grants program. UJS administrates the grant but does not work with them to a great extent otherwise.

Representative Hunhoff wanted to know the definition of filings and dispositions which are new cases that come into the court system. A disposition is when there has been a final judgment made.

Juvenile Filings, domestic relations filings, and miscellaneous filings are going up. FY04 UJS selected disbursements are totaled at $28,305,653. UJS is no longer processing support changes.

Representative Hunhoff wanted to know where those funds are now going. Mr. Hanson said that they are now going to the Department of Social Services.

Budget Recommendation (refer to page 12 of Document 2). Total budget request is $1,850,252. There is a total of 17.7 FTE A decrease of $299,520 in computer services.

Supreme Court, presented by John Ellenbecker
The program mission is to render timely appellate decisions, to superintend operations of the circuit court and to provide administrative directives and supervision over the Unified Judicial System.

Nineteen FTEs are requested for this program. Personal Services is an increase of $233 in General Funds for Longevity. Travel increases of $1280 are requested for lodging and mileage. Contractual services request $2,811 for space billing increase as well as an increase of $1,022 in General Funds for Liability insurance. Total increase in Supreme Court is $5,346.

Judicial Qualifications Commission
The mission is to receive complaints regarding justices and judges and to investigate complaints. To provide recommendations of candidates to fill judicial vacancies. There are no FTEs in this program. No increase requested.

State Court Administrator's Office
The mission is to provide the Supreme Court and the Circuit Courts with administrative support in the areas of budget and finance, human resources, trial court services, information technology, public information and education, and general legal counsel.

Thirty-two FTEs are requested; an increase of 8 FTE. For personal services, there is a request of $170 increase in General Funds for Longevity, $637 increase in Court Automation fund for longevity, an increase of $56,166 federal fund for a detention center help desk/programmer, an increase of $62,999 in Court Automation Fund for a project manager, an increase of $56,166 in Court automation Fund for a network security administrator, and increase of $224,664 in Court Automation Fund for a senior programmer/analyst, and an increase of $56,1666 in general Funds for a court services program coordinator. Travel has a request for an increase of $1,360 in General Funds for lodging and mileage. Contractual Services requests an increase of $1,490 in General Funds for space billing as well as an increase of $3,406 in General Funds for liability insurance. The total State Court Administrator's office is requesting an increase of $463,224.

The 4 FTEs are linked to the contractual services. Pam Templeton, director of information and technology, explained Document 3 page 1 as well as the graph on page 13 in Document 2. It is an increase in development projects. Maintenance needs have increased and have pulled from the development projects to maintain the computer maintenance projects. There is additional work that was not contracted for in the past.

Representative Hunhoff asked about the maintenance of the computer program modules. Thery are the computer programs that comprise of the computer system in production. The 5,383 systems are integrated. The UJS systems are all internally developed. There is a good working relationship with BIT, but UJS maintains its computer systems. Three different providers are used within the Minneapolis area.

Representative Haverly asked if this is an overlap in services and if there will be a drop off in spending. Ms. Templeton responded that there will probably not be a decrease in costs as the system will need to be updated regularly. There is a long range plan in place. Representative Klaudt asked if UJS is trying to go completely electronic, why are there requests for more secretarial positions. The answer was that UJS is trying to keep up with the growing case loads that are becoming increasingly difficult.

Judicial Training
The mission is to provide awareness of and access to quality education and training programs on the national, state and local level to judicial and non-judicial personnel of the UJS. There are no FTEs in this program, no general funds recommended. There is an increase in travel of $21,073 LEOTF for in-state and out-of-state training events. Contractual services request an increase of $9,536 LEOTF for education and training consultant and registration fees as well as an increase of $3,000 in court Automation Fund for education and training consultant, and registration fees. Supplies and material requests an increase of $5,300 LEOTF for education and instructional supplies, printing, and food supplies as well as an increase of $2,000 in Court Automation Fund for education and instructional supplies, printing, and food stuffs. Total increases are $70,784.

Circuit Court
The mission is to provide support services to circuit court through proper accounting, filing and docketing procedures.

There are 121.9 FTEs in this program. Personal services has a decrease of $244 for longevity. There is a request for 3 additional FTEs for a scheduling clerk ($33,558), a computer assisted court recorder ($36,104) and a secretary ($31,345) all our of General Funds. Travel has a request for an increase of $5,872 out of General Funds. Contractual services and a decrease of $18,701 for freelance court reporting as well as increases in Liability insurance ($5,723) and miscellaneous ($4,738) out of General Funds. Supplies and materials has a request of $8,723 for miscellaneous charges. Capital assets has a decreased amount of $4,402 for changes per capital asset request.

Representative Hunhoff asked about timeliness in Human Resources as to what the measurement is for filings and dispositions. The response was that there is an expectation for that case to get resolved as quickly as possible. There are case management standards in which the state of South Dakota is doing well with.

Representative Glenski wanted to know what happened to interest earned. Those funds are invested in the state and are based on average fund balance, and are just estimates. There was less money invested in FY04.

Court Services
The mission is to protect the citizens of South Dakota from juvenile and adult offenders under the jurisdiction of the UJS and to assist those offenders in coming productive citizens as an alternative to incarceration in a public correctional institution.

There are 122 FTEs. Personal Services request $1,273 in General Fund for longevity. There is a request for 2 FTEs for the positions of court service officers, a combined cost of $94,588. A request for 1.6 FTE is needed for a court services secretary, for $46,744. Increase of $16,966 is requested for travel. Contractual services requests an increase of $5,628 for liability insurance as well as $7,464 for miscellaneous changes. Supplies and materials needs an additional $8,677 for drug screening supplies, an other fund authority, as well as $3,676 for miscellaneous charges from the General Fund. Capital assets of $26,313 is needed for changes per capital asset request.

Senator Earley expressed his concern about the expansion of the system, and asked if there was a plan in regards to expansion. The Chief Justice responded that it is impossible to cut down on case loads, because the UJS simply has to take the cases that come in. UJS is a reacting agency which makes planning difficult.

Senator Apa asked if tracking occurs of the charges under UJS's control as far as the improvement. Keith Baunenburger replied that there are performance indicators of juvenile records.

Representative Klaudt asked about the intensive probation and what the analysis is as to why the program is not as successful as it was previously. Mr. Baunenburger said that it is due to specific child circumstances.

Community-Based Juvenile Services
There are no FTEs recommended for the program an no recommended increase.

Representative Hunhoff asked about performance indicators as to cost. The reply was that the average is based on accumulation of quarter hours per individuals. That is how much service they are receiving. A follow up question asked was what is the actual FY05 midpoint. The reply was that as of December, UJS is exceeding the 50% level.

Computer Services
The mission is to provide network services including connectivity from the desktop to multiple computing platforms and environments; to create and maintain highly effective information systems that support the functions of the UJS; to support judicial desktop workstations statewide.

No FTEs in this program. All changes withing Computer Services is out of the Court Automation Fund. There is a reduction in contractual services of $299,520. An increase of $44,150 is for computer services with the state, $2,000 for central services, a reduction of $40,450 in equipment service an maintenance, and $900 increase for miscellaneous changes. Supplies and materials request an increase of $1,500. Capital assets request $291,420 for changes per computer services budget request.

Senator Apa asked if in the next two to three years, there will be a need to increase state automation fees. Mr. Ellenbecker responded that other funds are coming in from search funds and that UJS will probably not need to come in for an increase in state automation funds.

Representative Klaudt asked about the CASA Program and who authorizes the grant checks. Mr. Ellenbecker said the UJS does; he elaborated that the clerks of court collect liquidated cost revenue and deposit it in the state treasury where $2 for each charge is deposited in the CASA Fund that is granted to CASA organizations by the CASA Commission that is staffed by UJS personnel.

Committee recessed at 9:50 a.m.
Reconvened at 10:15 a.m. to hear the Office of the Governor's budget hearing.

Rob Skjonsberg, Chief of Staff, Marty Davis, Finance Officer and Jason Dilges, Commissioner of the Bureau of Finance and Management (BFM) presented the budget request. Document 5 was distributed. The Governor's Office is funded primarily from the State General Fund. For FY 2006, the budget request is $2,925,662 and 22.5 FTE, no change from the previous year's request.

Mr. Skjonsberg said $670,000 of the $943,513 in contractual services is for the Homestake Mining Project. Senator Earley asked what the remaining portion was designated for. Mr. Skjonsberg said the money is used for various membership dues, computer services, janitorial services, and office expenses, the same amount as in 2004.

Mr. Skjonsberg told the Committee the Contingency fund balance is $62,0000. These funds have been used for the Korean War Memorial, dedication ceremony and legislative conferences.

Representative Peters asked the status of the office budget today. Ms. Davis said as of January 31, 2005, they are on target at 41.4% remaining.

Representative Glenski asked how much had been spent to date on the Homestake Lab project. Mr. Dilges said year to date from the $670,000 General Fund appropriation from (FY 05), the state has transferred $490,000 to the Science & Technology Authority, leaving a balance of $180,546. Mr. Dilges explained that at the end of Fiscal Year 2003, BFM came to the Appropriations Committee with no budget for the Homestake Laboratory Conversion project. BFM identified $420,000 of leftover General Funds in other state agencies, and the interim Special Committee approved the transfer from such agencies. This $420,000 in FY03 money was carried over and spent as part of the FY 04 budget. The state added the $670,000 as part of the FY 05 budget. Mr. Dilges said last legislative session $10 million from the General Fund was appropriated on a one-time basis and $3.5 million for insurance and contingency costs as well as $800,000 for a mine closure fund. Approximately $1,560,000 has been spent to date. Mr. Skjonsberg told the Committee the Governor is working with the Science & Technology Authority on a plan, and he hopes to have some clarity on the project within the next few months and for sure within the next 12 months.

Representative Klaudt quoted SDCL 4-8A-9 and asked if the interim Special Committee would ever see a request for spending from the contingency fund. Mr. Dilges said that is what the Committee was hearing today as part of the budget process.

Representative Gant asked why the Governor's Office was not requesting an increase in travel expenses, like other state agencies. Mr. Dilges said the Governor's Office is paying for these costs using other funds. Mr. Dilges told the Committee when agencies request additional funding for travel, BFM looks at the agencies travel history, the amount of miles and reimbursements to employees for their own vehicle or meals and lodging. The request may be granted or the department asked to make efficiency cuts. Each agency is treated on an individual basis.

Senator Greenfield asked if it was appropriate for local governmental entities to transfer funds from line item to another. Mr. Dilges said he is charged with making sure state government runs efficiently as possible. Mr. Dilges said that the more one limits government in its efforts to operate and manage its operation, the more it will cost.

Senator Earley asked where the money came from to purchase the new airplane and how much was spent. Mr. Skjonsberg said the state sold 2 airplanes and purchased 1 with funds that were intended for that use. Mr. Dilges said some time back each state received an allocation of funds from Amtrak to pursue Amtrak rail lines in their state. South Dakota chose not to build Amtrak and that money has been used for other purposes. The check for the airplane was written out of the State Aeronautics Fund; however, to ensure that Aeronautics funds were not being rerouted from their intended use, BFM transferred the Amtrak funds into the Aeronautics Fund. The cost of the airplane was $1.5 million.

Mr. Dilges said the state sold two airplanes. The 310, a drug plane given to the State of South Dakota by the FBI, was sold for $150,000. Those funds were unencumbered and went into the Aeronautics Fund. The Aztek, owned by the Department of Game, Fish & Parks and purchased with Wildlife Funds, was sold for $88,000 and the money was sent back to the Wildlife Fund. The airplane purchase has been capitalized out of DOT funds and will be billed out $2.90/mile - 60 cents less than the King Air. The airplane costs will be paid by state agencies in line with the cost allocation plan approved by the Federal government.

Senator Earley asked for a condition statement on the Amtrak Fund. Mr. Dilges agreed to provide the information.

Senator Apa spoke about the importance of the Homestake Mine issue.