OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 ↓ (860) 240-0200
http: //www. cga. ct. gov/ofa
sHB-5014
AN ACT MAKING ADJUSTMENTS TO STATE EXPENDITURES AND REVENUES FOR THE FISCAL YEAR ENDING JUNE 30, 2013.
OFA Fiscal Note
Explanation
The bill includes: 1) an increase to the FY 13 original appropriation of $328. 1 million, this results in a total of $20. 7 billion in FY 13 (for twelve appropriated funds); and 2) provisions to implement the budget.
Sections 1 - 12 include appropriations totaling $20. 7 billion in FY 13, an increase of $328. 1 million from the original FY 13. The table below summarizes the changes by fund. A detailed compilation of agency budget changes is contained in the budget document favorably reported by the Appropriations Committee (available at www. cga. ct. gov/ofa). The various narrative sections of the budget document provide directives on the use of specific funds in the budget bill.
Fund Summary |
Original FY 13 Appropriation $ |
sHB 5014 FY 13 $ |
Difference $ |
Gross Appropriations by Fund | |||
General Fund |
19,918,305,927 |
19,350,660,487 |
(567,645,440) |
Special Transportation Fund |
1,345,782,066 |
1,305,349,793 |
(40,432,273) |
Banking Fund |
26,176,878 |
25,605,784 |
(571,094) |
Insurance Fund |
26,131,750 |
28,516,537 |
2,384,787 |
Consumer Counsel and Public Utility Control Fund |
25,986,745 |
25,351,390 |
(635,355) |
Workers' Compensation Fund |
22,037,360 |
21,167,588 |
(869,772) |
Mashantucket Pequot and Mohegan Fund |
61,779,907 |
61,779,907 |
- |
Soldiers, Sailors and Marines' Fund |
3,051,536 |
3,039,412 |
(12,124) |
Regional Market Operation Fund |
932,821 |
932,821 |
- |
Criminal Injuries Compensation Fund |
3,602,121 |
3,602,121 |
- |
Outdoor Fund |
- |
12,613,849 |
12,613,849 |
Military Fund |
- |
569,742 |
569,742 |
Total Gross Appropriations |
21,433,787,111 |
20,839,189,431 |
(594,597,680) |
General Fund Lapses | |||
General Other Expenses Reductions - Executive |
(9,066,200) |
- |
9,066,200 |
General Other Expenses Reductions - Legislative |
(374,000) |
- |
374,000 |
General Personal Services Reduction - Executive |
(11,538,800) |
- |
11,538,800 |
General Personal Services Reduction - Legislative |
(476,000) |
- |
476,000 |
Labor Management Savings - Executive |
(806,963,225) |
- |
806,963,225 |
Labor Management Savings - Judicial |
(30,622,622) |
- |
30,622,622 |
Labor Management Savings - Legislative |
(6,671,872) |
- |
6,671,872 |
Unallocated Lapses |
(91,676,192) |
(91,676,192) |
- |
Unallocated Lapses - Judicial |
(5,400,672) |
(5,400,672) |
- |
Unallocated Lapses - Legislative |
(3,028,105) |
(3,028,105) |
- |
General Fund Lapses Total |
(965,817,688) |
(100,104,969) |
865,712,719 |
Special Transportation Fund Lapses | |||
Estimated Unallocated Lapses |
(11,000,000) |
(11,000,000) |
- |
Labor-Management Savings |
(56,949,138) |
- |
56,949,138 |
Special Transportation Fund Lapses Total |
(67,949,138) |
(11,000,000) |
56,949,138 |
Banking Fund Lapses | |||
Branch Savings Target - Judicial |
(63,729) |
(63,729) |
- |
Net Appropriations by Fund | |||
General Fund |
18,952,488,239 |
19,250,555,518 |
298,067,279 |
Special Transportation Fund |
1,277,832,928 |
1,294,349,793 |
16,516,865 |
Banking Fund |
26,113,149 |
25,542,055 |
(571,094) |
Insurance Fund |
26,131,750 |
28,516,537 |
2,384,787 |
Consumer Counsel and Public Utility Control Fund |
25,986,745 |
25,351,390 |
(635,355) |
Workers' Compensation Fund |
22,037,360 |
21,167,588 |
(869,772) |
Mashantucket Pequot and Mohegan Fund |
61,779,907 |
61,779,907 |
- |
Soldiers, Sailors and Marines' Fund |
3,051,536 |
3,039,412 |
(12,124) |
Regional Market Operation Fund |
932,821 |
932,821 |
- |
Criminal Injuries Compensation Fund |
3,602,121 |
3,602,121 |
- |
Outdoor Fund |
- |
12,613,849 |
12,613,849 |
Military Fund |
- |
569,742 |
569,742 |
Total Net Appropriations |
20,399,956,556 |
20,728,020,733 |
328,064,177 |
Spending Cap
The revised FY 13 budget is under the spending cap by approximately $700,000, assuming any deficiency appropriations in FY 12 do not deviate from the originally budgeted total on an all-funds basis. This is $277. 7 million closer to the cap than the original FY 13 budget, which is under the spending cap by $278. 4 million.
Growth Rate
The growth rate for all appropriated funds is 2. 7% over estimated FY 12 expenditures. See the table below for details.
Growth Rates of Appropriations under sHB 5014 (in millions)
|
Est. Exp. FY 12 $ |
Original Approp. FY 13 $ |
sHB 5014 |
Change From FY 12 Est. to sHB 5014 FY 13 $ |
Change From Orig. FY 13 to sHB 5014 FY 13 $ | ||
General Fund |
18,782. 5 |
18,952. 5 |
19,250. 6 |
468. 1 |
2. 5% |
298. 1 |
1. 6% |
Transportation Fund |
1,230. 5 |
1,277. 8 |
1,294. 3 |
63. 8 |
5. 2% |
16. 5 |
1. 3% |
Other Approp. Funds |
164. 5 |
169. 6 |
183. 1 |
18. 6 |
11. 3% |
13. 5 |
8. 0% |
TOTAL |
20,177. 5 |
20,400. 0 |
20,728. 0 |
550. 5 |
2. 7% |
328. 0 |
1. 6% |
Section 13 allocates funding of up to $460,000 in FY 13 in DSS' Housing/Homeless Services account to upgrade the Homeless Management Information System.
Section 14 suspends the provisions of CGS Sec. 17a-17 in FY 13 to allow for a 1% Department of Children and Families (DCF) cost of living adjustment for residential care of children private providers. Funding for this purpose is provided in DCF's budget under this bill.
Section 15 distributes the four subgrants of the Priority School District Grant by the four programs. Funds totaling $123,100,581 is included in SDE's budget in FY 13 under this bill for these programs.
Section 16 reduces Franklin's manufacturing transition grant by $395,228 to reflect the actual payment the town should have received. Section 44 (b) of PA 11-61 had misapplied the total acquisition cost of a certain commercial motor vehicle in calculating the town's grant.
Section 16 also includes an additional one-time payment of $39,411 to the town of Ledyard and $62,954 to the town of Montville to compensate the two towns for a shortfall that occurred when phasing in previously exempted tribal lands to the State Owned PILOT program.
Section 17(a) carries forward1 from FY 12 into FY 13 the unexpended balance of the strategic master plan for higher education funding (estimated at $172,830) within the Office of Financial and Academic Affairs for Higher Education and transfers this funding to the Office of Legislative Management. Of the total, $28,854 will be used by the Connecticut Academy of Science and Engineering for the purposes of studying the effectiveness of state programs to provide a skilled workforce. The remaining $143,976 will be used to develop a strategic master plan for higher education within Connecticut.
Section 17(b) carries forward $52,050 from the Office of Legislative Management (OLM), Other Expenses account from FY 12 into FY 13 and transfers the funding to the Connecticut Academy of Science and Engineering (CASE) for the purpose of a study to evaluate the effectiveness of state programs to provide a skilled workforce.
Section 18 carries forward $500,000 from Other Expenses account in the Commission on Human Rights and Opportunities (CHRO) from FY 12 into FY 13 and transfers such funding to the Connecticut Academy of Science and Engineering (CASE) account in the Office of Legislative Management (OLM). CASE will use the funding to conduct a disparity study on the state's current set-aside program for small contractors and minority business enterprises.
Section 19 transfers $2 million from the systems benefits charge, a non-appropriated account, to the Operation Fuel account in the Department of Energy and Environmental Protection.
Section 20 carries forward $20,000 of DECD's Main Street Initiatives account from FY 12 into FY 13 for the West Indian parade.
Section 21 carries forward up to $300,000 of the Department of Motor Vehicles Equipment account from FY 12 into FY 13 and transfers to the Other Expenses account for a one time programming cost for the implementation of an Organ and Tissue Donation account.
Section 22 carries forward $5. 0 million of DSS' Connecticut Home Care Program account from FY 12 into FY 13 for the Connecticut Home Care Program for Elders. This adjustment will allow the same level of service to be provided in FY 13 due to existing funding levels.
Section 23 specifies the parameters of the Youth Violence Initiative. Funding of $1. 5 million is provided in the Judicial Department's budget in FY 13 under this bill for this program.
Section 24 allows the Governor, under certain circumstances, to recommend the transfer of non-appropriated accounts for the purposes of funding Generally Accepted Accounting Practices (GAAP) implementation. The potential non-appropriated accounts eligible for recommendation include 17 funds with over 100 accounts. The FY 11 end-of-year balance for these funds and accounts exceeded $120 million.
Section 25 distributes surplus funds totaling $1. 8 million from the Probate Court Administration Fund. The chart below details the allocation of the funds:
Probate Surplus Funds Distribution
Section 25(b) |
Agency |
Program |
Amount $ |
5 |
JUD |
Greater Hartford Male Youth Leadership Program |
225,000 |
6 |
JUD |
Forensic Sex Evidence Exam kits |
300,000 |
7 |
JUD |
ECHO program in the Justice Education Center |
250,000 |
8 |
DCF |
African Caribbean American Parents of Children with Disabilities |
50,000 |
9 |
SDE |
Neighborhood Youth Center - Arte Inc. (Latino art, culture & talent) |
25,000 |
10 |
DECD |
City of Norwich for the Norwich Freedom Bell |
100,000 |
11 |
SDE |
Boy & Girls Club of New London |
75,000 |
12 |
DEEP |
Connecticut Greenways Council |
65,000 |
13 |
DECD |
Nutmeg State Games |
15,000 |
14 |
JUD |
Justice Policy Division of the Institute for Municipal and Regional Policy |
100,000 |
15 |
SDE |
Technology Improvements for Education Reform Districts |
500,000 |
16 |
SDE |
Neighborhood Youth Center - Neighborhood Music School |
50,000 |
17 |
DSS |
Perlas Hispanas Center in New Britain (social services for low-income Spanish seniors) |
25,000 |
18 |
JUD |
CT Pardon Team, Inc. |
35,000 |
TOTAL |
1,815,000 | ||
Section 26 eliminates the Department of Transportation's scheduled 4% fare increases on 1/1/13 for rail, bus and ADA transit. The Department of Transportation's budget in FY 13 under this bill includes an increase to the: (1) Rail Subsidy account of $6,753,189, (2) Bus Subsidy account of $1,487,670 and (3) ADA Para-Transit Subsidy account of $59,150 to reflect the elimination of the scheduled fare increases.
Section 27 transfers $211,418 in FY 13 from the General Fund to the Military Fund to support the Governor's Guards and Governor's Guards Horses. There is a corresponding reduction in General Fund revenue.
Section 28 clarifies the scope, timing and method by which budgetary information is transmitted between the Office of Policy and Management and Office of Fiscal Analysis. There is no related fiscal impact.
Sections 29 - 33 requires Charter School payments be considered Education Equalization Grants. These payments must be sent to municipalities where such schools are located; furthermore the municipalities shall send this funding to the charter schools identified by SDE. The SDE's budget in FY 13 under this bill includes the transfer of $59,839,400 from the Charter School account to the Education Equalization Grants account.
The Education Equalization Grants account is a distressed municipalities' grant and is therefore partially exempt from the spending cap.
The Out Years
The table below reflects the projected expenditures for FY 14 - FY 16 based on sHB 5014, the revised FY 13 budget.
Projected Expenditures FY 14 - FY 16 ($ in millions)
|
|
Projected | ||
|
sHB 5014 FY 13 |
FY 14 |
FY 15 |
FY 16 |
General Fund |
19,250. 6 |
20,367. 4 |
21,357. 9 |
22,219. 6 |
Special Transportation Fund |
1,294. 3 |
1,337. 0 |
1,388. 4 |
1,442. 5 |
Other Appropriated Funds |
183. 1 |
260. 8 |
265. 7 |
270. 8 |
Total |
20,728. 0 |
21,965. 2 |
23,012. 0 |
23,932. 9 |
% growth |
|
6. 0% |
4. 8% |
4. 0% |
Over/(Under) Spending Cap |
(0. 7) |
687. 5 |
1,153. 2 |
1,358. 6 |
1 In Sections 13 - 33, any funds that are carried forward from FY 12 into FY 13 that would otherwise have lapsed would affect the surplus/deficit balance in the relevant funds.