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December 6, 2016

State Agency Budget Requests for 2017-18 Offer Few Major Changes

State agency legislative budget requests for 2017-18 yielded few surprises. The requests primarily maintain current operating levels, with increases correlated to projected workload increases. This report delineates issues included in the budget requests, by agency.

Florida’s state agencies have completed the agency legislative budget requests necessary to serve the public during the 2017-18 fiscal year.  As in the past, the requests primarily seek funding at continued levels to maintain current services. Most agencies have a few issues that are detailed here.

One issue included in many of the budget requests is funding to cover the fiscal impact of the proposed change to the Fair Labor Standards Act through which many state employees who earn less than $47,476 per year would have to be paid overtime for work exceeding 40 hours per week. A district court issued an injunction against implementation of the overtime requirement, scheduled to take effect on December 1, 2016. Final disposition of the requirement is pending.

A second issue included in many of the requests is additional funding for targeted salary increases. Some agencies face high turnover of staff in positions for which there are more competitive openings in the local private or governmental sector. Affected agencies, primarily in the health and human services and public safety areas, seek additional funds to be able to attract and retain these personnel.

A brief review of significant changes requested in individual agency budgets follows.

Human Service Agencies

Agency for Health Care Administration

  • $540.5 million in additional funding to provide Medicaid services. This figure reflects the projected cost and caseload increases agreed to by staff of the Governor and Legislature during the August 2016 Social Services Estimating Conference.
  • $455 million, an increase of $60 million, to provide health insurance for additional low-income children who would otherwise lack health care coverage.
  • $608 million, an increase of $371 million in state funding, for the Low Income Pool (LIP). LIP reimburses specific hospitals for providing uncompensated care to indigent patients. The request replaces federal funding that will no longer be available in 2017-18.

Agency for Persons with Disabilities

  • $7.5 million to serve an additional 682 of 20,000 Floridians on the waiting list for home and community services.
  • $4.7 million to hire an additional 58 staff for regional centers to ensure the health and safety of clients living in the community.
  • $4.6 million to implement new residential programs for clients with intensive behavioral or medical issues.

Department of Children and Families

  • $27.5 million in federal funding to update the ACCESS Florida electronic system to better detect fraud, allow mobile applications, and provide real-time integration of social services programs. This is the first of three years of requests necessary to implement the updated system.
  • $6.6 million to create seven forensic multidisciplinary teams to oversee individuals who have committed nonviolent offenses or are at risk of committing such offenses. The Department estimates a savings of $29.7 million if these individuals were placed in secure residential care.
  • $4 million in increased funding to address projected caseload in children’s out-of-home foster care.
  • $3 million to expand community action teams to work with children with mental health or substance abuse issues in the community, rather than referring these children for residential care.
  • $6.4 million to increase staffing within the state mental hospitals consistent with the recommendations in an independent February, 2016 staffing review.

Department of Elder Affairs

  • $67 million, an increase of $4 million, for services that enable elderly Floridians at risk of nursing home placement to remain in their homes and communities.
  • $25.1 million, an increase of $3 million, to support elders who have Alzheimer’s Disease and their caretakers and allow these elders to remain in their homes and communities.

Department of Health

  • $44.9 million, in addition to the current $269.2 million, to provide additional meals to eligible children and to expand the provision of afterschool meals. These meals are federally funded.
  • $266.4 million, an increase of $13 million, to pay for food under the Women, Infants, and Children Program. This food is federally funded.
  • $12.7 million in additional federal funding to cover increase costs and workload in disability determinations referred by the Social Security Administration.
  • $3.8 million in additional funding for 21 epidemiologists to work with county health offices.

Department of Veteran’s Affairs

  • $1 million in additional funding to support employers who train and hire veterans.
  • $768,468 for 10 additional staff to assist veterans with the timely receipt of their benefits and reduce the current backlog of assistance requests.

Public Safety Agencies

Department of Juvenile Justice

  • $2.6 million to provide vocational education and job placement services for an additional 500 clients.
  • $2.5 million for an additional 30 clients adjudicated to non-secure residential services.
  • $2.7 million for an additional 30 clients adjudicated to secure residential services.

Department of Corrections

  • $26.2 million for major repairs and renovations to correctional institutions.
  • $22 million for a current-year shortfall in funding for inmate health care.
  • $25.8 million in additional funding for 398 additional positions in critical shortage areas, health care, and security.

Department of Law Enforcement

  • $6.4 million to create 38 special agent positions in counterterrorism.

Environmental Agencies

Department of Agriculture and Consumer Services

  • $99 million in additional funding to meet the demand for a projected 29 million additional free and reduced-priced school meals. The requested funds are federal flow-through funds.
  • $4.1 million in additional funding to reestablish the Bronson Animal Disease Diagnostic Laboratory to support Florida’s livestock industry. The Laboratory has been closed since it suffered hurricane damage in 2013.

Department of Environmental Protection

  • $14.9 million in additional funding to restore and maintain the half of Florida’s beaches that are classified as “critically eroded.”
  • $10 million in additional funding for land resource stewardship management, administration and planning.
  • $5 million in additional funding for the acquisition of community-based parks, open spaces, and greenways included in local comprehensive plans. These funds are requested from the Florida Forever Program.

Transportation, Housing and Economic Development Agencies

Department of Transportation

  • $3.4 million in additional funding to provide additional transportation availability for inter-city buses and non-urban areas for riders who are elderly, have disabilities, or are low-income. The funding will cover an additional 117,677 trips for qualified clients.

Department of Economic Opportunity

  • $75 million to fund the flexible economic development tools associated with business incentives used to attract businesses to Florida.
  • Continuation funding of $76 million for Visit Florida.
  • Continuation funding of $23.5 million for Enterprise Florida.
  • Continuation funding of $19.5 million for Space Florida.

Florida Housing Finance Corporation

  • $76 million to support the construction and renovation of affordable housing statewide. This request utilizes the available funds in the State Housing Trust Fund.
  • $197 million to allocate to local government to address local affordable housing needs. This request utilizes the available funds in the Local Government Trust Fund.

Education Agencies

Department of Education

  • $231 million in additional funding to accommodate new students and increase funding for public K-12 students by $176 to $7,360 per student.
  • $49 million transferred from teacher bonuses through the controversial Best and Brightest Program to teacher and administrator recruitment and retention, including professional development and revised performance bonuses.
  • $15 million in additional funding for the voluntary prekindergarten program to increase funding by $50 per full year student and $43 per summer student, a 2% increase.
  • $29 million in additional funding for the Bright Futures Scholarship Program to cover summer term scholarships for 43,455 students.

Board of Governors

  • $100 million in additional state funding for state university performance incentives and an additional $50 million in existing funding from the state universities, increasing the total funding for the incentives from $500 million to $650 million.

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