Joint Legislative Budget Committee appropriations report

              FY 2008 APPROPRIATIONS REPORT INTRODUCTION



This annual Appropriations Report provides detailed information on FY 2008 and FY 2009 appropriations, as provided in the General Appropriation Act (Laws 2007, Chapter 255 [H.B. 2781]) and other legislative acts. The Report also includes the economic and state revenue forecast upon which the budget was based. This Report provides information relative to the legislative intent of appropriations.







TABLE OF CONTENTS



BUDGET HIGHLIGHTS



   



             







Page







FY 2008 ......................................................................................................................................................................BH-2 FY 1998 - FY 2008 "Then and Now" Comparisons.................................................................................................BH-13







BUDGET DETAIL



Summary of Appropriations by Individual Chapter - Fiscal Years 2007, 2008 and 2009..........................................BD-2 Summary of Budget-Related Vetoes ..........................................................................................................................BD-4 Summary of Appropriated Funds by Agency for Fiscal Years 2007, 2008, and 2009 ...............................................BD-5 Summary of the Capital Outlay Appropriations (Laws 2008, Chapter 257) ..............................................................BD-8 Summary of Additional Operating Appropriations ..................................................................................................BD-10 Summary of Total Spending Authority (Appropriated and Non-Appropriated Funds) for Fiscal Years 2007 and 2008......................................................................................................................................BD-12 State Personnel Summary by Full-Time Equivalent Positions for Fiscal Years 2007 and 2008 ..............................BD-15







BUDGET UNITS (see Specific Agency Pages) ..................................................................................................................... 1



       







CAPITAL OUTLAY



Capital Outlay............................................................................................................................................................... 432 Summary of Rent Charges............................................................................................................................................ 448 Lease-Purchase Appropriations .................................................................................................................................... 451 Privatized Lease-to-Own Appropriations ..................................................................................................................... 453







ECONOMIC AND REVENUE FORECAST



    General Fund Revenue ................................................................................................................................................. 456 Budget Stabilization Fund ............................................................................................................................................ 465







         







GENERAL PROVISIONS OF THE GENERAL APPROPRIATION ACT, OTHER OVERALL ISSUES, AND GENERAL LEGISLATION



General Provisions of the General Appropriation Act and Other Overall Issues ......................................................... 470 Salary Adjustments for State Employees Since FY 1998 and Elected Official Salaries .............................................. 476 Budget Cycle and Strategic Program Area Reviews .................................................................................................... 477 FY 2008 Budget Reconciliation Bills (BRB) ............................................................................................................... 478 Crosswalk of General Appropriation Act to Appropriations Report Totals   FY 2008................................................................................................................................................................. 489   FY 2009................................................................................................................................................................. 498 Detailed List of FY 2008 and FY 2009 Changes by Agency ....................................................................................... 507 Summary of Risk Management Charges ...................................................................................................................... 528 Health and Dental Insurance Allocations ..................................................................................................................... 530







     







FY 2007 GENERAL FUND ADJUSTMENTS..................................................................................................................... 540







JOINT LEGISLATIVE BUDGET COMMITTEE



The Joint Legislative Budget Committee was established in 1966, pursuant to Laws 1966, Chapter 96. The primary powers and duties of the JLBC relate to ascertaining facts and making recommendations to the Legislature regarding all facets of the state budget, state revenues and expenditures, future fiscal needs, and the organization and functions of state government. The following members serve on the Committee during the 48th Legislature: Representative Russell K. Pearce Chairman 2007 Representative Kirk Adams Representative Andy Biggs Representative Tom Boone Representative Olivia Cajero Bedford Representative Linda J. Lopez Representative Pete Rios Representative Steve Yarbrough Senator Robert L. Burns Chairman 2008 Senator Paul Aboud Senator Amanda Aquirre Senator Jake Flake Senator Jorge Luis Garcia Senator Jack W. Harper Senator Thayer Verschoor Senator Jim Waring







The objectives and major products of the staff of the JLBC are:                   Analysis and recommendations for the state budget, which is presented in January of each year; Technical, analytical, and preparatory support in the development of appropriations bills considered by the Legislature; Periodic economic and state revenue forecasts; Preparation of fiscal notes on legislation and ballot propositions that have a fiscal impact on the state or any of its political subdivisions; An annual Appropriations Report, which is published shortly after the budget is completed and provides detail on the budget along with an explanation of legislative intent; Strategic Program Area Reviews to evaluate the efficiency and effectiveness of state government programs; Support to the JLBC with respect to recommendations on business items placed on the committee's agenda such as transfers of appropriations pursuant to A.R.S.   35-173; Support to the Joint Committee on Capital Review (JCCR) with respect to all capital outlay issues including land acquisition, new construction, and building renewal projects; Analyze the state tax structure, tax burdens on individuals and businesses and tax incentives for businesses pursuant to A.R.S.   41-1272A4.







Joint Legislative Budget Committee 1716 West Adams Phoenix, Arizona 85007 Phone: (602) 926-5491 Email: jlbcwebmaster@azleg.gov JLBC Website: http://www.azleg.gov/jlbc.htm







JOINT COMMITTEE ON CAPITAL REVIEW



The Joint Committee on Capital Review (JCCR) was first established on April 11, 1986, pursuant to Laws 1986, Chapter 85. The primary powers and duties of the Joint Committee on Capital Review relate to ascertaining facts and making recommendations to the Legislature regarding state expenditures for land, buildings and improvements. This portion of the state budget is known as "capital outlay". The following members serve on the Committee during the 48th Legislature: Senator Robert L. Burns Chairman 2007 Senator Paula Aboud Senator Linda Aguirre Senator Marsha Arzberger Senator Karen S. Johnson Senator Thayer Verschoor Senator Jim Waring Representative Russell K. Pearce Chairman 2008 Representative Tom Boone Representative Trish Groe Representative John Kavanagh Representative Phil Lopes Representative David Lujan Representative David Schapira







The JCCR is staffed by the JLBC Staff. The objectives and major products of the JCCR are:







 



                           







Recommend capital appropriations to the Legislature. Approve capital transfers within a budget unit. Review the scope, purpose and cost of projects before releasing appropriations. Develop "Building Renewal Formula." Approve the use of Renewal funds for infrastructure repair. Approve lease-purchase agreements. Approve corrections facilities expenditures from the Corrections Fund. Review the issuance of revenue bonds by the Board of Regents. Approve DOA land and building purchases and condemnations. Review "Capital Improvement Plans." Determine rental rates for buildings owned by or leased to the state. Review Community College District bond projects. Review School Facilities Board assumptions for new school construction. Review School Facilities Board lease-to-own agreements. Review School Facilities Board building renewal calculations.







APPROPRIATIONS COMMITTEE MEMBERS Forty-eighth Legislature First Regular Session



SENATE Robert "Bob" Burns, Chairman Carolyn S. Allen, Vice-Chairman Paula Aboud Amanda Aguirre Jake Flake Jorge Luis Garcia Albert A. Hale Jack W. Harper John Huppenthal Karen S. Johnson Jim Waring HOUSE Russell K. Pearce, Chairman Trish Groe, Vice-Chairman Kirk Adams Andy Biggs Judy M. Burges Olivia Cajero Bedford Cloves Campbell Doug Clark John Kavanagh Phil Lopes Linda J. Lopez David Lujan Nancy McLain Rick Murphy Pete Rios David Schapira Jerry P. Weiers







STAFF OF THE JOINT LEGISLATIVE BUDGET COMMITTEE



                  Director.......................................................................................................................... Richard Stavneak Executive Assistant ....................................................................................................... Linda Monsanto Assistant Directors ........................................................................................................ Lorenzo Martinez ....................................................................................................................................... Steve Schimpp ....................................................................................................................................... Stefan Shepherd Revenue Section Chief .................................................................................................. Tim Everill Principal Economists ..................................................................................................... Brian Cary ....................................................................................................................................... Hans Olofsson Principal Research/Fiscal Analyst ................................................................................. Bob Hull Principal Fiscal Analyst................................................................................................. Jake Corey Senior Fiscal Analyst..................................................................................................... John Malloy Fiscal Analysts .............................................................................................................. Kevin Bates ....................................................................................................................................... Eric Billings ....................................................................................................................................... Matt Busby ....................................................................................................................................... Jay Chilton ....................................................................................................................................... Kimberly Cordes-Sween ....................................................................................................................................... Jenna Goad ....................................................................................................................................... Steve Grunig ....................................................................................................................................... Dan Hunting ....................................................................................................................................... Eric Jorgensen ....................................................................................................................................... Nick Klingerman ....................................................................................................................................... Martin Lorenzo ....................................................................................................................................... Leatta McLaughlin ....................................................................................................................................... Leah Ruggieri ....................................................................................................................................... Amy Strauss ....................................................................................................................................... Amy Upston Assistant Fiscal Analyst ................................................................................................ Grant Nülle Staff Intern..................................................................................................................... Blake Riley Senior Administrative Assistant .................................................................................... Sharon Savage Administrative Assistant/JCCR Clerk ........................................................................... Yvette Medina Administrative Assistant/JLBC Clerk ........................................................................... Sandy Schumacher