Post by melody on Mar 27, 2014 21:46:38 GMT -5
Legislative Budget and Finance Committee
3/19/14, 9:00 a.m., Hearing Room #2 North Office Building
By Jeff Cox, PLS
The officers of the committee met to discuss recurring statutory projects and the review processes of the committee.
Members present included Chairman Robert Mensch (R-Montgomery), Sen. James Brewster (D-Allegheny), Rep. Robert Godshall (R-Montgomery), and Rep. Phyllis Mundy (D-Luzerne).
Phillip Durgin, Executive Director, provided an overview of the committee’s recurring statutory projects. He explained how the committee has been able to streamline the projects over the years.
The first project Durgin discussed was the performance audit of the Department of Transportation (PennDOT) that is done every six years pursuant to a statute enacted in the early 1980s. He noted the next audit is due in June and pointed out two staff people are working on it. Durgin described PennDOT as a “huge agency” and expressed skepticism about the committee’s ability to make recommendations “of a meaningful nature” about the department’s operations. He indicated the committee has done some of these reports in-house using 12 to 14 staff people.
Rep. Mundy wanted to know who else audits PennDOT. Durgin responded that several financial audits are done. Rep. Mundy suggested the Auditor General could do a performance audit of the department. Durgin agreed. He pointed out the committee has done reports on parts of PennDOT such as the Shared Ride program. Durgin commented that his biggest concern is whether this report will be released in June and whether the committee will be criticized for doing “a shallow job.” Rep. Mundy noted the cost is $500,000. She asked if it is contracted out. Durgin responded that it has been done both ways.
He added he was not pleased with the last report which was contracted out.
Chairman Mensch asked Durgin and Rep. Mundy if they have seen any legislative action based on the reports. Rep. Mundy said it has been her experience that some legislators propose that reports be done so it looks like they are doing something about an issue but then there is no follow-up on the recommendations.
Rep. Godshall commented that he is “not enthused with the PennDOT study.” He argued that it should only be done if there is a special need and said that “there is no need to continue a $500,000 project.
Chairman Mensch suggested the need for legislation to repeal this mandate.
The next recurring project that was discussed was the audit of the Pennsylvania Game Commission’s compliance with its strategic plan which is done every three years. Rep. Godshall recommended that this project continue. The other officers agreed.
The officers then discussed the assessment of the adequacy of fees charged for the Commonwealth’s instant check system for firearm purchases. Rep. Mundy recommended that this project continue and the others agreed.
Durgin then discussed the costs and benefits study of mental health insurance coverage as required under the Insurance Company Law. He explained that this requires the committee to study how much it costs insurers to insure seven specific mental illnesses. According to Durgin, the study was done for $100,000 and the committee found what every other study has found which is it is not very expensive. The officers agreed that this study needs to be repealed.
The next project discussed was the annual study on the impact of slots on the State Lottery. Durgin pointed out it is being released today and it is only three page report. Rep. Godshall suggested that nothing will be done with it and questioned what good it does. Rep. Mundy commented that she would be concerned if Keno is added. Durgin pointed out the statute requires the committee to only look at slots and it cannot separate slots from table games. He pointed out that Lottery sales continue to increase. Chairman Mensch described this particular project as “easy and inexpensive.” Rep. Mundy suggested it be repealed and if a legislator wants a study on the impact of Keno then a separate resolution should be enacted. She expressed concern with recurring projects including the Game Commission but that particular one does not bother her as much because it is an independent agency.
The officers then addressed the performance audit of the Pennsylvania Fish and Boat Commission which is done every three years. Durgin commented this audit “is harder than the Game Commission one.” With the Game Commission audit, Durgin pointed out, the law is confined to the strategic plan whereas the Fish and Boat Commission is a performance audit of the whole Commission.
Regarding the Fish and Boat Commission, Rep. Godshall commented, “They need somebody looking over their shoulder.” He added, “If we don’t do it, they have nobody looking over their shoulder.”
The next recurring project discussed was the annual report on distressed third class school districts. Durgin explained that this applies to the Duquesne School District. Sen. Brewster noted the school district is in his senatorial district and stressed the importance of how the dismantling is taking place. Durgin said the committee essentially pulls together public information to this report. Sen. Brewster pointed out that it is now being discussed whether the Duquesne School District will continue to have K-6. He suggested that this project be continued for at least another year.
Noting the problems in the Chester-Upland School District, Rep. Godshall wanted to know why this only applies to the Duquesne School District. According to Durgin, Duquesne was the only distressed third class school district when the resolution was adopted. Sen. Brewster cautioned there are more school districts on the verge of being distressed including two in his district. He suggested looking at the scope of the report but added, “I think this is an important issue.”
The officers then discussed the annual report to be done annually beginning in 2016 regarding the Small Games of Chance Act. Durgin said this one has not been started yet. Rep. Mundy asked about the scope of this report. Durgin explained that the report is on the impact of small games of chance on the State Lottery. Rep. Mundy said the committee members should be standing on the floor and saying that “annually is quite often and maybe the reports be done every two years, three years, or five years.” Chairman Mensch commented that the committee currently does not have the resources to conduct the study.
Sen. Brewster asked if some of the resolutions calling for studies need to be challenged on the frequency. Rep. Mundy responded that the members can speak on the floor or offer amendments to the resolutions. Patricia Berger, the committee’s Legal Counsel, pointed out that the projects being discussed are statutorily required and not by resolution.
Chairman Mensch asked about the scope of the project. Durgin said it would either be massive or simple depending on the number of licenses that are issued to taverns.
Chairman Mensch then asked if everyone agreed on the need to drop the PennDOT performance audit; the costs and benefits study of mental health insurance coverage; and the impact of slots on the State Lottery. The other officers agreed. They then had a discussion about how to proceed. Chairman Mensch wanted to know if it would be better to introduce a bill in both the House and the Senate and whether each individual statute would need to be amended. Berger suggested the repeals could be done in a single bill. After a brief discussion, a motion was made by Rep. Mundy and seconded by Sen. Brewster that a bill will be introduced in the Senate by Chairman Mensch and a bill will be introduced by Rep. Godshall in the House. The motion was adopted. Berger said she would draft the language.
Durgin then provided an overview of the review process for the issuing of requests for proposal (RFPs) and selecting contractor/consultants. He explained the RFP is placed on the Department of General Services’ website and staff scores the proposals they are received. Durgin further explained that after the scoring process the top three proposals are presented to the officers. He said that the proposed change is for the input of the officers before a RFP is sent out. After a lengthy discussion, the officers agreed to maintain the current policy.
The officers then discussed the handling of confidential drafts of reports. Durgin explained that the issue arose over the report on the merger of the Fish and Boat Commission and the Game Commission. He said the report was originally due in November and the sponsor of the resolution contacted him in December requested and insisted on a written draft. Durgin noted that the normal procedure would be to provide an oral overview of the findings and answer any questions the sponsor may have. He said the verbal overview has been sufficient in the past. Durgin told the officers the new policy would be that only a verbal overview would be done and if the sponsor has a problem the sponsor would bring it up with the Chairman. Chairman Mensch said the officers need to support Durgin in this matter and the members agreed.
A discussion then followed on the process for distributing reports after they have been reported for release. According to Durgin, the current policy has been to provide hard copies to the members of all of the relative standing committees. He suggested providing hard copies only to the chairs and vice chairs of the committee. Chairman Mensch pointed out the reports are available on the committee’s website. The officers agreed to the change.
The officers then had a discussion regarding pay raises for the staff. Durgin offered an overview of how the raises have been handled in the past and pointed out there have been no raises for some staff members for four years. He suggested a two percent raise. A motion was made by Rep. Mundy and seconded by Rep. Brewster to approve the raises if it is within the committee budget. The motion was approved.
The officers concluded the meeting with a brief discussion on updating the committee’s website. Durgin said any updates would fall under Legislative Data Processing’s purview who has already agreed to cooperate and do the update at no cost. Chairman Mensch said any suggestions for the website should be sent to Durgin.
Legislative Study Shows PFBC Tops Among Resource Agencies in Cost Effectiveness
HARRISBURG, Pa. (March 19) – A study issued today by the bipartisan Legislative Budget and Finance Committee (LBFC) concluded that the Pennsylvania Fish and Boat Commission (PFBC) is among the most efficiently run state agencies when compared to other fish and wildlife agencies across the country.
It also concluded that merging the PFBC and the Pennsylvania Game Commission would not produce substantial cost savings and would not likely result in a streamlined, smaller government agency, but would create a less efficient mega-agency.
“The report makes it clear that we are extremely efficient in how we use our financial resources,” said PFBC Executive Director John Arway. “Specifically, the LBFC found that of the states surveyed, our agency ‘has the lowest expenditures per license.’”
“That means that for each dollar of license fees brought in, the PFBC returns a greater value to its license buyers and the citizens of the Commonwealth than all of the other state agencies included in their analysis,” he said.
“We take very seriously the responsibility to use as efficiently and effectively as possible the funds anglers and boaters have entrusted to us,” he added. “In ranking the PFBC at the top nationally, the LBFC recognizes that we are a model for how to efficiently manage angler and boater dollars and the other funding we receive in pursuit of our mission.”
“Simply put, we do a lot with a little when compared to other agencies across the country,” Arway added. “This report supports our long-standing contention that Pennsylvania is best served by retaining the existing agency structure of separate and independent fish and wildlife agencies.”
Executive Director Arway provided brief comments before the LBFC this morning when the full report was released. Click here to read his comments.
The full report is available at: lbfc.legis.state.pa.us/. Select “Reports Released” in the left navigation column and then scroll to the heading “Game and Fisheries.”
3/19/14, 9:00 a.m., Hearing Room #2 North Office Building
By Jeff Cox, PLS
The officers of the committee met to discuss recurring statutory projects and the review processes of the committee.
Members present included Chairman Robert Mensch (R-Montgomery), Sen. James Brewster (D-Allegheny), Rep. Robert Godshall (R-Montgomery), and Rep. Phyllis Mundy (D-Luzerne).
Phillip Durgin, Executive Director, provided an overview of the committee’s recurring statutory projects. He explained how the committee has been able to streamline the projects over the years.
The first project Durgin discussed was the performance audit of the Department of Transportation (PennDOT) that is done every six years pursuant to a statute enacted in the early 1980s. He noted the next audit is due in June and pointed out two staff people are working on it. Durgin described PennDOT as a “huge agency” and expressed skepticism about the committee’s ability to make recommendations “of a meaningful nature” about the department’s operations. He indicated the committee has done some of these reports in-house using 12 to 14 staff people.
Rep. Mundy wanted to know who else audits PennDOT. Durgin responded that several financial audits are done. Rep. Mundy suggested the Auditor General could do a performance audit of the department. Durgin agreed. He pointed out the committee has done reports on parts of PennDOT such as the Shared Ride program. Durgin commented that his biggest concern is whether this report will be released in June and whether the committee will be criticized for doing “a shallow job.” Rep. Mundy noted the cost is $500,000. She asked if it is contracted out. Durgin responded that it has been done both ways.
He added he was not pleased with the last report which was contracted out.
Chairman Mensch asked Durgin and Rep. Mundy if they have seen any legislative action based on the reports. Rep. Mundy said it has been her experience that some legislators propose that reports be done so it looks like they are doing something about an issue but then there is no follow-up on the recommendations.
Rep. Godshall commented that he is “not enthused with the PennDOT study.” He argued that it should only be done if there is a special need and said that “there is no need to continue a $500,000 project.
Chairman Mensch suggested the need for legislation to repeal this mandate.
The next recurring project that was discussed was the audit of the Pennsylvania Game Commission’s compliance with its strategic plan which is done every three years. Rep. Godshall recommended that this project continue. The other officers agreed.
The officers then discussed the assessment of the adequacy of fees charged for the Commonwealth’s instant check system for firearm purchases. Rep. Mundy recommended that this project continue and the others agreed.
Durgin then discussed the costs and benefits study of mental health insurance coverage as required under the Insurance Company Law. He explained that this requires the committee to study how much it costs insurers to insure seven specific mental illnesses. According to Durgin, the study was done for $100,000 and the committee found what every other study has found which is it is not very expensive. The officers agreed that this study needs to be repealed.
The next project discussed was the annual study on the impact of slots on the State Lottery. Durgin pointed out it is being released today and it is only three page report. Rep. Godshall suggested that nothing will be done with it and questioned what good it does. Rep. Mundy commented that she would be concerned if Keno is added. Durgin pointed out the statute requires the committee to only look at slots and it cannot separate slots from table games. He pointed out that Lottery sales continue to increase. Chairman Mensch described this particular project as “easy and inexpensive.” Rep. Mundy suggested it be repealed and if a legislator wants a study on the impact of Keno then a separate resolution should be enacted. She expressed concern with recurring projects including the Game Commission but that particular one does not bother her as much because it is an independent agency.
The officers then addressed the performance audit of the Pennsylvania Fish and Boat Commission which is done every three years. Durgin commented this audit “is harder than the Game Commission one.” With the Game Commission audit, Durgin pointed out, the law is confined to the strategic plan whereas the Fish and Boat Commission is a performance audit of the whole Commission.
Regarding the Fish and Boat Commission, Rep. Godshall commented, “They need somebody looking over their shoulder.” He added, “If we don’t do it, they have nobody looking over their shoulder.”
The next recurring project discussed was the annual report on distressed third class school districts. Durgin explained that this applies to the Duquesne School District. Sen. Brewster noted the school district is in his senatorial district and stressed the importance of how the dismantling is taking place. Durgin said the committee essentially pulls together public information to this report. Sen. Brewster pointed out that it is now being discussed whether the Duquesne School District will continue to have K-6. He suggested that this project be continued for at least another year.
Noting the problems in the Chester-Upland School District, Rep. Godshall wanted to know why this only applies to the Duquesne School District. According to Durgin, Duquesne was the only distressed third class school district when the resolution was adopted. Sen. Brewster cautioned there are more school districts on the verge of being distressed including two in his district. He suggested looking at the scope of the report but added, “I think this is an important issue.”
The officers then discussed the annual report to be done annually beginning in 2016 regarding the Small Games of Chance Act. Durgin said this one has not been started yet. Rep. Mundy asked about the scope of this report. Durgin explained that the report is on the impact of small games of chance on the State Lottery. Rep. Mundy said the committee members should be standing on the floor and saying that “annually is quite often and maybe the reports be done every two years, three years, or five years.” Chairman Mensch commented that the committee currently does not have the resources to conduct the study.
Sen. Brewster asked if some of the resolutions calling for studies need to be challenged on the frequency. Rep. Mundy responded that the members can speak on the floor or offer amendments to the resolutions. Patricia Berger, the committee’s Legal Counsel, pointed out that the projects being discussed are statutorily required and not by resolution.
Chairman Mensch asked about the scope of the project. Durgin said it would either be massive or simple depending on the number of licenses that are issued to taverns.
Chairman Mensch then asked if everyone agreed on the need to drop the PennDOT performance audit; the costs and benefits study of mental health insurance coverage; and the impact of slots on the State Lottery. The other officers agreed. They then had a discussion about how to proceed. Chairman Mensch wanted to know if it would be better to introduce a bill in both the House and the Senate and whether each individual statute would need to be amended. Berger suggested the repeals could be done in a single bill. After a brief discussion, a motion was made by Rep. Mundy and seconded by Sen. Brewster that a bill will be introduced in the Senate by Chairman Mensch and a bill will be introduced by Rep. Godshall in the House. The motion was adopted. Berger said she would draft the language.
Durgin then provided an overview of the review process for the issuing of requests for proposal (RFPs) and selecting contractor/consultants. He explained the RFP is placed on the Department of General Services’ website and staff scores the proposals they are received. Durgin further explained that after the scoring process the top three proposals are presented to the officers. He said that the proposed change is for the input of the officers before a RFP is sent out. After a lengthy discussion, the officers agreed to maintain the current policy.
The officers then discussed the handling of confidential drafts of reports. Durgin explained that the issue arose over the report on the merger of the Fish and Boat Commission and the Game Commission. He said the report was originally due in November and the sponsor of the resolution contacted him in December requested and insisted on a written draft. Durgin noted that the normal procedure would be to provide an oral overview of the findings and answer any questions the sponsor may have. He said the verbal overview has been sufficient in the past. Durgin told the officers the new policy would be that only a verbal overview would be done and if the sponsor has a problem the sponsor would bring it up with the Chairman. Chairman Mensch said the officers need to support Durgin in this matter and the members agreed.
A discussion then followed on the process for distributing reports after they have been reported for release. According to Durgin, the current policy has been to provide hard copies to the members of all of the relative standing committees. He suggested providing hard copies only to the chairs and vice chairs of the committee. Chairman Mensch pointed out the reports are available on the committee’s website. The officers agreed to the change.
The officers then had a discussion regarding pay raises for the staff. Durgin offered an overview of how the raises have been handled in the past and pointed out there have been no raises for some staff members for four years. He suggested a two percent raise. A motion was made by Rep. Mundy and seconded by Rep. Brewster to approve the raises if it is within the committee budget. The motion was approved.
The officers concluded the meeting with a brief discussion on updating the committee’s website. Durgin said any updates would fall under Legislative Data Processing’s purview who has already agreed to cooperate and do the update at no cost. Chairman Mensch said any suggestions for the website should be sent to Durgin.
Legislative Study Shows PFBC Tops Among Resource Agencies in Cost Effectiveness
HARRISBURG, Pa. (March 19) – A study issued today by the bipartisan Legislative Budget and Finance Committee (LBFC) concluded that the Pennsylvania Fish and Boat Commission (PFBC) is among the most efficiently run state agencies when compared to other fish and wildlife agencies across the country.
It also concluded that merging the PFBC and the Pennsylvania Game Commission would not produce substantial cost savings and would not likely result in a streamlined, smaller government agency, but would create a less efficient mega-agency.
“The report makes it clear that we are extremely efficient in how we use our financial resources,” said PFBC Executive Director John Arway. “Specifically, the LBFC found that of the states surveyed, our agency ‘has the lowest expenditures per license.’”
“That means that for each dollar of license fees brought in, the PFBC returns a greater value to its license buyers and the citizens of the Commonwealth than all of the other state agencies included in their analysis,” he said.
“We take very seriously the responsibility to use as efficiently and effectively as possible the funds anglers and boaters have entrusted to us,” he added. “In ranking the PFBC at the top nationally, the LBFC recognizes that we are a model for how to efficiently manage angler and boater dollars and the other funding we receive in pursuit of our mission.”
“Simply put, we do a lot with a little when compared to other agencies across the country,” Arway added. “This report supports our long-standing contention that Pennsylvania is best served by retaining the existing agency structure of separate and independent fish and wildlife agencies.”
Executive Director Arway provided brief comments before the LBFC this morning when the full report was released. Click here to read his comments.
The full report is available at: lbfc.legis.state.pa.us/. Select “Reports Released” in the left navigation column and then scroll to the heading “Game and Fisheries.”