Committee: Joint Appropriations Subcommittee #2
South Dakota Department of Game, Fish, and Parks
Mr. Dave Becker, LRC, presented the committee with budget information ( Document #1).
Mr. John Cooper, Secretary, Department of Game, Fish, and Parks (GFP), presented the committee
with a budget summary ( Document #2). Secretary Cooper introduced GFP Commissioners Ms.
Sandy Hagny and Mr. John Kranz. Secretary Cooper also introduced GFP staff members: Mr.
Doug Hofer, Director, Parks and Recreation Division; Mr. Doug Hansen, Director, Wildlife
Division; Mr. Ken Andersen, Director, Administration Division; and Mr. Rollie Noem, Director,
Custer State Park Division.
Secretary Cooper previewed the organizational structure of GFP. He noted this year Custer State
Park received 1.7 million visitors, a record number. The visibility of the park's buffalo roundup has
been increased, and the herd reduction program generated over $1 million for the first time ever.
Buyers at the roundup came from 18 states and several countries. The park is continuing its work
on infrastructure and is using labor from the Department of Corrections.
Secretary Cooper briefly outlined several spending issues within the Division of Parks and Recreation. Property purchased between Lake Thompson and Lake Henry by GFP is being developed. The goal is to have the park operational by Memorial Day 1999. The Division is also looking for additional funds to operate a phone bank. The phone bank was piloted as a program between July and October 1999 using correctional labor.
The auditors also noted an exception with the Animal Damage Control program. The program is
in fair balance right now. The auditors suggested the state retain the current three-part payment
system involving the counties, the state, and the federal government. They suggested that the ratio
of funds paid in by the state and local governments be changed from a 1:1 ratio to a 2:1 ratio, and
that the state work to increase the amount of federal funds contributed. Senator Dennert inquired
which counties have opted out of the program. Secretary Cooper noted three or four counties have
not paid for the last two fiscal years, and currently two counties are not paying.
In response to Representative Klaudt's question, Secretary Cooper explained how the Animal
Damage Control Program is budgeted. He noted the costs of the program are increasing but revenue
brought in by the program are decreasing. Representative Putnam noted the state mandates the
counties pay for the Animal Damage Control program. Senator Frederick inquired as to the
definition of wildlife.
Mr. Hansen presented the committee with Documents #3 and #4.
Mr. Noem addressed the sale of bison. The revenue generated from the sale is used to operate Custer
State Park. The revenue allows the park to invest money in infrastructure with minimal reliance on
general funds. Secretary Cooper noted that as defined by state statute, bison are not defined as
wildlife. Currently the park uses only $133,000 in general funds. The park is in good financial shape
from the high number of park visitors and the sale of bison. In the future, however, the park budget
will be impacted by a decrease in timber sales due to previous forest fires. Mr. Noem projects the
sale of bison will remain strong for the foreseeable future.
Representative Putnam assumed the gavel.
Mr. Hansen explained what other states in the middle of a diversion problem are doing. Secretary
Cooper said the Department will be supporting House Bill 1038 which will repeal the 10% payment
to county treasurers and not use them as the point of distribution. Mr. Hansen reminded the
committee that overall it was a good audit; only one issue is at fault. Senator Hainje asked whether
the Department is using as much federal money as possible in the budget. Secretary Cooper
responded that the Department has made adjustments to maximize flexibility of federal money. Mr.
Hansen noted so far the Department has not reverted any federal funds back.
Senator Kleven inquired about boat license fees. Mr. Hofer explained those were recently adjusted.
Other license fees charged by the Department include fees for snowmobiles, parks, hunting, and
fishing. Secretary Cooper indicated there did not seem to be a drop off in the number of licenses
purchased when license fees are raised.
Mr. Andersen provided an overview of the Administration Division and explained his role with the Conservation Reserve Enhancement program. He is requesting an increase of 1.5 FTE for the call
center, an increase in personal services, and an increase in the amount budgeted for the reservation
system. Mr. Andersen provided additional detail about the costs of the reservation system.
Mr. Hofer furnished the committee with an overview of the Division of Parks and Recreation. He
noted that for the first time, visitation to state parks, excluding Custer, was in excess of 5 million
visitors. Through the use of the reservation sytem there has been an increase in the park's occupancy
rate. Mr. Hofer also addressed fund balance projections.
Senator Kleven assumed the gavel.
Mr. Hofer explained sixty percent of the Division's FTEs are seasonal employees. Overall the
budget is up approximately$300,000. The budget increase is expansion driven, not just inflationary
driven. The increases include $73,000 to operate the Lake Thompson Park, $46,000 to operate the
Mickelson trail, and $65,000 for seasonal salary bases.
Senator Frederick assumed the chair.
Senator Lange inquired as to expansion of the park system. Mr. Hofer noted expansion is tied to
Missouri River legislation. There is potential for the Department to take over all recreation areas
along the Missouri currently managed by the U.S. Corp of Engineers. Mr. Hofer went on to review
the snowmobile trail system.
Mr. Noem presented the budget for Custer State Park. The main revenue generator for the park is
the entrance fee. Bison sales are another strong revenue source. The park maintains 1500 head of
bison and sells off 500 annually. This year for the first time the park generated more than $1 million
in revenue. For FY00 the park is requesting an overall increase of $194,000 to cover costs for
personal services, benefits, contractual services, and supplies and materials. Mr. Noem noted capital
development is the part of the park budget where general funds are involved.
Representative Putnam requested a copy of the Commissioners organizational chart.
MOTION:
ADJOURN
Moved by:
Senator Dennert
Second by:
Representative Klaudt
Action:
Prevailed by voice vote.
Deborah Rumrill