February 28, 2008

Additional budget information forthcoming ...

This Legislative Bulletin includes additional information about the proposed budgets of the House and Senate. It includes additional information about items in the House and Senate budgets addressing natural resources (inadvertenly left out of the Feb. 27 Legislative Bulletin), as well as additional information about selected human services budget items. See below.

 Tomorrow's Legislative Bulletin will focus on additional budget items, including HB 599.  Stay tuned!

Senate names budget conferees

The Senate named its budget conferees yesterday.  They are: Sens. Charles Colgan, Janet Howell, Edd Houck, Richard Saslaw, William Wampler and Walter Stosch.  Much earlier in the session the House named its budget conferees.  They are: Dels. Lacey Putney, Phillip Hamilton, Kirk Cox, Johnny Joannou, Beverly Sherwood and Clark Hogan. 

The budget conference begins today.  The General Assembly schedule calls for the conferees to complete their work by Tuesday, March 4. 

House-Senate Budget Comparison:  Natural Resources

Water Quality Improvement Fund Interest Appropriation -- Department of Conservation and Recreation

House:  Eliminates the funding scheme proposed by the Governor.  In its place, approved $6.0 million from the general fund and $9.0 million from the WQIF reserve fund in fiscal year 2009.  For the second year, sets aside $15.0 million in a special revenue reserve fund that can be tapped for WQIF if FY 2009 revenue collections meet or exceed the official revenue projections.   Contingent on the passage of HB 1335, these funds would be deposited into the newly created Virginia Natural Resources Commitment Fund for the implementation of agricultural best management practices.  (Item 361 #2h, Item 361 #3h and Item 473.1 #1h)

Senate:  Replaces $6.0 million from the general fund with $6.0 million in interest earnings on the WQIF.  (It is projected that the fund will earn $12.5 million in interest in FY 2008 and $2.5 million in FY 2009.)  These funds would be deposited to the Virginia Natural Resources Commitment Fund if SB 511 is enacted. (Item 361 #10s)

Virginia Water Revolving Loan Fund -- Department of Environmental Quality

House:  Eliminates $1.2 million in general fund support to match federal dollars for the Virginia Water Facilities Revolving Loan Fund  (Item 368 #2h).

Senate:  Not addressed.

Combined Sewer Overflow Projects -- Department of Environmental Quality

House:  Eliminates $6 million in general fund support over the biennium for the Richmond and Lynchburg CSO projects.  (Item 368 #1h).

Senate:  Appropriates $20 million in bond proceeds for the Richmond and Lynchburg CSO projects (Item C-110.10 #2s), and removes $6.0 million in general funds over the biennium for the projects. (Item 368 #6s).

Dam Safety Loans and Grants -- Department of Conservation and Recreation

House:  Reduces the general fund support for loans and grants to private entities and localities for improving dams that need renovation or repair by $1.0 million over the biennium.  (Item 361 #4h)

Senate:  Takes $2.0 million over the biennium, eliminating the proposed increase in funds for the Dam Safety, Flood Prevention and Protection Fund (Item 361 #11s)

Virginia Outdoors Foundation -- Department of Conservation and Recreation

House:  Reduces the proposed increase for the Virginia Outdoors Foundation by $1.9 million over the biennium.  (Item 362 #4h)

Senate:  Reduces the proposed increase for the Virginia Outdoors Foundation by $1.0 million over the biennium, and clarifies that VOF will receive $1.75 in operational funding each year.  (Item 362 #5s)

Virginia Land Conservation Foundation -- Department of Conservation and Recreation

House:  Reduces the level of general funds support for the Foundation by $2.0 million over the biennium.  (Item 362 #5h)

Senate:  Not addressed.

 Reduced Funding for Purchase of Development Rights (PDR) Programs

House: Eliminates $5.0 million of the $6.0 million over the biennium included in the introduced budget to provide state matching funds to the Department of Agriculture and Forestry for local purchase of development rights programs. (Item 94 #2h)

Senate:  Eliminates $2.5 million in the first year, and $1.5 million in the second year for this program.  (Item 94 #2s)

Correction:  Veterans' behavioral health services

(Yesterday's bulletin did not include information on the House's amendment)

House:  Provides $2.9 million each year of the biennium to establish a program pursuant to enactment of HB 475.  The Department of Mental Health, Mental Retardation and Substance Abuse Services would work with the Department of Rehabilitative Services and Department of Veterans Services to serve individuals with assessment and treatment for stress-related injuries and brain disorders resulting from service in combat areas. (Item 425 #2h)

Senate:  Includes $750,000 in the first year and $250,000 in the second year contingent on passage of SB 297 , for veterans who are not eligible for behavioral health services through the federal Department of Veterans Affairs (Item 315 #3s)

Budget item focus: Forced consolidation of local social services agencies

Item 339#1h of the proposed House budget would require local departments of social services that serve localities with populations of 20,000 or smaller to consolidate their administrative operations with neighboring localities.  The House claims that this would save the state $1 million in the second year of the new biennium.

 The Senate budget does not propose any such consolidation.

 The House amendment targets about 40 localities, including the VML member cities of Bristol, Franklin, Galax, Manassas Park, Norton, Radford, and Williamsburg and the county of Bath.  Besides the localities targeted because of their population, any locality with a smaller community as its neighboring jurisdiction could be affected as well because the state may determine that a larger community must take or consolidate, with a smaller community. 

 We have been down this path before.  Past studies of the issue of consolidation of local social services have reached the same conclusion: there is no evidence that consolidation would save money or bring about better services. 

 This amendment does not call for any study -- just action to make consolidation happen.

 Local officials should call, email or fax their House and Senate members to oppose the House amendment compelling consolidation.

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