MINUTES OF THE JOINT SUBCOMMITTEE MEETING OF SENATE COMMITTEE ON FINANCE AND ASSEMBLY COMMITTEE ON WAYS AND MEANS Sixty-eighth Session May 18, 1995 The joint subcommittee meeting on Public Safety/Natural Resources/Transportation of the Senate Committee on Finance and the Assembly Committee on Ways and Means was called to order by Chairman Lawrence E. Jacobsen, at 7:55 a.m., on Thursday, May 18, 1995, in Room 321 of the Legislative Building, Carson City, Nevada. Exhibit A is the Agenda. Exhibit B is the Attendance Roster. SENATE COMMITTEE MEMBERS PRESENT: Senator Lawrence E. Jacobsen, Chairman Senator William R. O'Donnell Senator Bernice Mathews ASSEMBLY COMMITTEE MEMBERS PRESENT: Mr. Thomas W. Fettic, Chairman Mr. Larry L. Spitler, Chairman Mr. Morse Arberry, Jr. Mr. John W. Marvel Mr. Jack D. Close Ms. Chris Giunchigliani STAFF MEMBERS PRESENT: Bob Guernsey, Principal Deputy Fiscal Analyst Gary Ghiggeri, Principal Deputy Fiscal Analyst Debbra J. King, Program Analyst Jeanne L. Botts, Program Analyst Cristin Buchanan, Committee Secretary OTHERS PRESENT: Randy C. Day, Commissioner, Office of Nevada Commissioner for Veteran Affairs, Department of Motor Vehicles and Public Safety James P. Weller, Director, Department of Motor Vehicles and Public Safety G. Paul Corbin, Chief, Nevada Highway Patrol Division, Department of Motor Vehicles and Public Safety Gary Wolff, Lobbyist, Nevada Highway Patrol Association Raymond L. Sparks, Chief, Registration Division, Department of Motor Vehicles and Public Safety James P. Hawke, State Emergency Response Commission, Department of Motor Vehicles and Public Safety Robert R. Loux, Executive Director, Agency for Nuclear Projects, State Department of Conservation and Natural Resources John P. Comeaux, Director, Department of Administration Roy W. Trenoweth, State Forester Firewarden, Division of Forestry, State Department of Conservation and Natural Resources Patrick M. Murphy, Assistant State Forester, Resource Management and Conservation Camps, State Department of Conservation and Natural Resources Wayne Perock, Acting Administrator, Division of State Parks, State Department of Conservation and Natural Resources Mike Nolan, Budget Analyst, Budget Division, Department of Administration Salvage Wreckers/Body Shops - Page 1717 Debbra J. King, Program Analyst, Fiscal Analysis Division, Legislative Counsel Bureau, reviewed the technical adjustments to the budget, as outlined on page 4 of Exhibit C, and articulated the remaining issue on this budget deals with whether the agency's request for three investigators is justified. She informed the subcommittee the agency submitted information regarding work load levels, which support the three investigator positions. MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS CONTAINED ON PAGE 4 OF EXHIBIT C. MR. CLOSE SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS CONTAINED ON PAGE 4 OF EXHIBIT C. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Motor Vehicle Pollution Control - Page 1725 Ms. King attested this budget has been closed by the Assembly Committee on Ways and Means and only the Senate members of the subcommittee will have to make a recommendation. She reviewed the adjustments to the budget on page 6 of Exhibit C. Senator Jacobsen recollected that when the Assembly recommended closing the budget, there was discussion regarding the Enhancement 175, Improved Work Environment (E-175) decision unit, whereby the Assembly discussed the necessity of having three staff members attend conferences. Senator Mathews commented that as long as one staff member will be present in the office to answer phones while the three staff members attend conferences, she does not foresee a reason why all three members should not attend the conferences. Ms. King declared the program currently has four staff members. Senator O'Donnell asked what is the difference between one staff member attending the conferences and three members attending the conferences. Ms. King reviewed that for three staff members to attend the conferences, it will cost an additional $3,500 in Fiscal Year (FY) 1996 and $3,000 in FY 1997. SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN CONCURRENCE WITH THE RECOMMENDATIONS OF THE ASSEMBLY TO DEFER THE MAINTENANCE 590, CLEAN AIR ACT (M-590) DECISION UNIT, TO ELIMINATE THE TRAVEL APPROPRIATED IN DECISION UNIT E-175 AS IT RELATES TO DECISION UNIT M-590, AND RECOMMEND ALLOWING ONE STAFF MEMBER TO ATTEND CONFERENCES. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Commissioner for Veterans Affairs - Page 1737 Ms. King reviewed the issues relating to this budget account, on page 7 of Exhibit C. Mr. Marvel asked whether the agency will be left within the Department of Motor Vehicles and Public Safety (DMV&PS) or whether it will be transferred to the Office of the Military. Ms. King responded that under the current organizational structure, the agency will remain within the DMV&PS. Mr. Marvel questioned whether the agency's argument for remaining within the DMV&PS is because of the level of administrative support DMV&PS can provide. Ms. King clarified the agency feels the Office of the Military cannot provide adequate administrative support to "help them through the state budgeting system, and accounts payable system...They felt that the department of military would not be able to provide that support, because the department of military does not work with the state system." MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 7 OF EXHIBIT C, AND TO MOVE THE COMMISSIONER FOR VETERAN AFFAIRS TO THE OFFICE OF THE MILITARY. MR. FETTIC SECONDED THE MOTION. Discussion ensued following the motion. Ms. Giunchigliani asked whether the agency has had any communications from the Office of the Military that they cannot provide the administrative support the agency requires to operate. Randy C. Day, Commissioner, Office of Nevada Commissioner for Veteran Affairs, Department of Motor Vehicles and Public Safety, indicated there has been no communication between the agency and the Office of the Military. Ms. Giunchigliani explained: The reason...I ask is...they [Office of Nevada Commissioner for Veteran Affairs] made a case during a hearing that it was proper where they [the agency] were because it was working. I would...want an assurance that it we did move them, that it would still continue to work, otherwise, why mess with something that is working? Mr. Day interjected that according to his understanding the department of the military utilizes the federal system for processing much of its paperwork, payroll, etc., which is considerably different from the state system, which the agency uses. James P. Weller, Director, Department of Motor Vehicles and Public Safety, assured the committee the department can continue to provide the agency with the level of administrative support the agency requires. Senator Jacobsen called for a vote on the motion. THE MOTION FAILED. (MR. SPITLER, MR. ARBERRY, MR. CLOSE, AND MS. GIUNCHIGLIANI VOTED NO.) ***** MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 7 OF EXHIBIT C. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR MATHEWS MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 7 OF EXHIBIT C. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Highway Patrol - Page 1755 Ms. King commented on the Enhancement 325, Business/Government Environment (E-325) decision unit regarding the proposed dignitary protection program, as outlined on page 10 of Exhibit C. Mr. Arberry requested an explanation of how the program will be structured. Mr. Weller explained: There are certain positions recommended...the dignitary protection personnel, there would be somebody in charge of that, [who] would report to a captain in the highway patrol. Depending on what you do with the chief of the Capitol Police, would report to that same captain. Things would come together at that captain's level. Mr. Arberry asked where the dignitary protection personnel will be located. Mr. Weller indicated the dignitary protection personnel will be physically located in Carson City and may be stationed out of the mansion or out of headquarters, except when the Governor travels, wherein one or two troopers will accompany him. Mr. Marvel queried as to where the patrolmen will be stationed in the mansion. Mr. Weller reflected that there is space in the back of the mansion where the patrolmen can be stationed. Senator Mathews commented, "I think we are long overdue having some kind of security for the Governor's mansion...." MR. MARVEL MOVED TO RECOMMEND FUNDING THE DIGNITARY PROTECTION PROGRAM, WITH ONE LIEUTENANT AND FIVE TROOPERS. MR. FETTIC SECONDED THE MOTION. Mr. Arberry requested clarification whether the sergeant position requested in the Executive Budget is included in the motion. Mr. Marvel and Senator Jacobsen said, "No." Ms. Giunchigliani questioned, "I think the recommendation had been for six originally, so is this the same motion...I want to understand what I am voting on...I thought it was six plus one." Ms. King explained that currently, one sergeant is assigned to Governor security detail, which is funded from the General Fund. She clarified the motion by Mr. Marvel will replace the current sergeant with a lieutenant plus add five troopers. Ms. Giunchigliani asked, "What do you mean by replace?" Mr. Fettic responded the sergeant will become a lieutenant. Senator Jacobsen inquired whether Mr. Marvel wished to indicate the lieutenant assigned to the dignitary protection program will be responsible for the Capitol Police. Mr. Marvel answered in the negative. Senator Jacobsen solicited the Assembly committee members to vote on the motion. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR MATHEWS MOVED TO RECOMMEND FUNDING THE DIGNITARY PROTECTION PROGRAM, WITH ONE LIEUTENANT AND FIVE TROOPERS. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Ms. King continued her review of page 10 of Exhibit C, outlining the issue of the agency's request for a Computer Aided Dispatch (CAD) system. MR. MARVEL MOVED TO RECOMMEND FUNDING $435,900 FOR THE COMPUTER AIDED DISPATCH SYSTEM. MR. FETTIC SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR O'DONNELL MOVED TO RECOMMEND FUNDING $435,900 FOR THE COMPUTER AIDED DISPATCH SYSTEM. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Ms. King commented the last issue to be decided in this budget entails whether to reclassify a trooper position to a lieutenant colonel position Mr. Marvel referred to page 12 of Exhibit C and inquired what is the rank of the individual presently serving under the colonel, where the lieutenant colonel is being recommended. Ms. King clarified there currently is no position directly under the colonel, except for two bureau commanders who oversee the operations bureau and the general services bureau. Senator Jacobsen called on the agency to provide justification for the requested lieutenant colonel position. G. Paul Corbin, Chief, Nevada Highway Patrol Division, Department of Motor Vehicles and Public Safety, claimed that due to the agency's size, a position to assist the chief of the division is necessary. Mr. Marvel asked if the two majors currently acting as bureau commanders will remain majors. Mr. Corbin responded that should the committee approve the agency's request for the lieutenant colonel position, one of the two bureau majors will be promoted to the lieutenant colonel position and a captain will then be promoted into the vacant major position. Senator Mathews expressed her support for the lieutenant colonel position. She commented, "We are a growing state...the needs are out there and one man at the top cannot continue to do all of this work." Mr. Close corroborated Senator Mathews' opinion. He concluded, "If our desire is to make this unit the premier law enforcement unit of this state, we need to listen to them, in reference to the organization...It is going to require more organization from the top down...I would be in favor of it." Mr. Fettic asked if the lieutenant colonel position is needed to assume the day-to-day operations of the agency in order for the chief to do more in-state travel. Mr. Corbin reflected the responsibilities of the lieutenant colonel will include overseeing the day-to-day operation at headquarters in order to maintain "the paper flow," assisting in decision making, analyzing and gathering information and making recommendations, and assume control of the department in the absence of the colonel. Mr. Fettic inquired as to how often Mr. Corbin is able to travel in-state to visit each substation. Mr. Corbin reflected: At the present time, it is somewhat limited...I would like to get out 3 to 5 days a month to the far reaches of the state, to find out what is going on in Laughlin and in Jackpot, Ely and Wells,...There is more to our state than Reno and Las Vegas. We have got troopers all over this state and some of them say, `This is the first time I have ever seen the Chief out here.' MR. MARVEL MOVED TO RECOMMEND AUTHORIZATION OF THE LIEUTENANT COLONEL POSITION. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED. (MS. GIUNCHIGLIANI WAS ABSENT FOR THE VOTE.) ***** SENATOR MATHEWS MOVED TO RECOMMEND AUTHORIZATION OF THE LIEUTENANT COLONEL POSITION. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Highway Patrol Special - Page 1763 Ms. King declared the joint subcommittee will have to make a recommendation whether to merge this budget account into the Highway Patrol budget account and eliminate the $6 special fee. Referring to page 15 of Exhibit C, Ms. King pointed out DMV&PS is required to transfer the $6 special fee to this budget account even though it is not collecting the full $6. Mr. Marvel requested an explanation of how elimination of the Highway Patrol Special Account will benefit the 22 percent cap DMV&PS can take for administration. Ms. King indicated that should the $6 special fee be deposited into the Highway Fund, it is considered revenue and will therefore increase the 22 percent cap the DMV&PS can use toward administration. As an example, Ms. King stated the Highway Patrol Special Account currently has $10 million, which if it is deposited into the Highway Fund, will increase the amount DMV&PS can take by $2.2 million (22 percent of $10 million). Senator O'Donnell concluded, by merging this account with the Highway Fund, it will essentially take away the funds set aside for highway patrol salaries, and will additionally be appropriating 22 percent of the transferred funds for administration for DMV&PS. Ms. King declared the issue for the committee's consideration is a policy decision whether to continue funding the highway patrol from two sources: the $6 special fee plus a direct appropriation from the Highway Fund; or whether to eliminate the special account, in which the $6 special fee is deposited, and fund the highway patrol from a direct appropriation from the Highway Fund. Senator O'Donnell observed the department has been recommended to receive an additional $3.1 million appropriation. He commented, "I think...we could keep the special account intact and...allow the highway patrol to do its job and feel comfortable at the same time. The administration is going to have their money." He advised the joint subcommittee members the Senate Committee on Transportation is considering legislation which will enable the DMV&PS to determine whether an individual has outstanding parking tickets, moving violations or failure to appear (FTA) warrants, and will be able to collect those outstanding fees. "We assume we will be able to collect approximately $500,000 a year to go back into the Highway Fund from people who do not pay their tickets and court assessments," he testified. Senator Jacobsen inquired as to the amount currently in the special account. Ms. King reflected the balance in the Highway Patrol special account is approximately $6.5 million. She advised the committee that should they decide to keep this budget account, the department will be within $83,000 of the 22 percent, in the second year of the biennium. Additionally, Ms. King warned that if the proration issue is corrected to require the department to deposit only those funds which are actually collected, the Highway Patrol Special Account will have a $2 million shortfall in the second year of the biennium. Gary Wolff, Lobbyist, Nevada Highway Patrol Association, testified in opposition to the elimination of the Highway Patrol Special budget. He stated by eliminating the special account, it will decrease the division's ability to hire and train new troopers. As an alternative, Mr. Wolff proclaimed, "We understand their problem on the 22 percent. We have always supported the removal of the cap and increasing it, but by touching the special account, all you are doing is injuring the actual members of the highway patrol." Mr. Arberry commented that if the fiscal division's recommendations are followed, the off-balance currently being experienced will be eliminated. Mr. Wolff interjected the Nevada Highway Patrol Association has proposed an amendment to Assembly Bill (A.B.) 422, currently in the Assembly Committee on Transportation, which will eliminate prorated motor carriers. ASSEMBLY BILL 422: Revises provisions relating to state highway fund and funding for department of motor vehicles and public safety and administration of state highways. Mr. Wolff stated: The prorated carriers coming in the state do not pay enough money to offset the $6...We have put in an amendment to eliminate the prorate carrier. Once you have eliminated that, the carrier would give you sufficient funds to carry the $6.... Mr. Fettic questioned why the Highway Patrol Special account should receive the full $6 when only $3 is being collected. Mr. Wolff replied the amendment proposed to A.B. 422 specifically proposes to eliminate assessments to prorated carriers that are not paying the full $6. Mr. Fettic inquired, "What happens to the 22 percent cap? Are we digging a hole we are not going to be able to get out of?" Mr. Wolff replied, "These are all different issues. The reason they [DMV&PS] want the...special highway patrol fund, is so that they can get 22 percent of a higher figure." Senator O'Donnell summarized the DMV&PS is proposed to merge the Highway Patrol Special account with the Highway Fund in order to obtain additional funding for administration, which will result in less funds available to the highway patrol for salaries and additional troopers. He commented, "We created this special account...to get outside of that 22 percent cap...It is just an accounting mechanism...if you...merge everything together, you are...allowing the administration to strip off more money...We have just given the administration more money." Mr. Spitler requested clarification on the amendments proposed to A.B. 422. Mr. Wolff explained the amendment will eliminate the prorate carrier from the special fund. He explained, "The amendment...we proposed...was to eliminate the prorate carrier off the special fund, that does not directly finance it...We need to keep all the regular carriers and normal registration fees, and that guarantees highway patrol those funds." Mr. Spitler asked, "You support proration or you do not?" Mr. Wolff said, "We support the $6 fee, provided the prorate carrier pays the $6 fee. If they do not, we have put an amendment to eliminate that carrier that would not sufficiently satisfy the prorated fee." Mr. Spitler deducted if the committee is to make the recommendation to maintain the Highway Patrol Special Account, but correct the inequity that occurs regarding the $6 special fee, the Nevada Highway Patrol Association will support such an action. Mr. Wolff replied in the affirmative. MR. SPITLER MOVED TO RECOMMEND RETAINING THE HIGHWAY PATROL SPECIAL ACCOUNT, AND TO REQUEST A BILL DRAFT REQUEST TO CHANGE THE PRORATE FORMULA. MR. MARVEL SECONDED THE MOTION. Raymond L. Sparks, Chief, Registration Division, Department of Motor Vehicles and Public Safety, interceded that if Mr. Spitler's motion is successful, the Highway Patrol Special account will be depleted before the end of the biennium. Ms. King affirmed Mr. Sparks' comment. She drew attention to page 16 of Exhibit C, which details the projected shortfall. She explained, "If you do correct the allocation and proration problem...they do not collect the $6 that is prorated, that will result in approximately $4 million each year, less, in receipts for this fund." Mr. Arberry inquired from where the Highway Patrol Special account will recover the lost revenue. Senator O'Donnell explained the lost revenue will need to be appropriated from the Highway Fund. Mr. Wolff conjectured: What you are looking at is approximately $10 million funding a year. If you take out the prorate carrier...we are coming up with a little bit over $2 million loss...That means that instead of $10 million, we get $8 million, in the highway patrol fund, a year...If you take $10 million and put it back in the Highway Fund, they are going to get 22 percent...If you take our fund away, what you...are going to give them about $2.5 million...Senator O'Donnell is...right, if you leave the fund alone and you guarantee the fund through the Highway Fund, you have no problem here and you do not have to touch the 22 percent. Mr. Close illustrated the obligation the state has to the highway patrol. He commented: If we eliminated the $6, and that money went back in, the state will still be committed to give to the highway patrol, the money they needed to operate. The only difference is...the administration account that we give to DMV will increase...It seems to me that we are committed to the highway patrol and we are going to give them the funds...to do their job. The only thing we are doing is try to minimize the money that will go to the administration. Ms. Giunchigliani explained the special account is not accomplishing what is intended and should therefore be combined into the Highway Patrol budget. She stressed, "Why are we going to continue to do something that is not working? We are not collecting the dollars we thought we were going to collect. If we are going to fund [the] highway patrol, then let's fund [the] highway patrol....get rid of the account..." Mr. Wolff indicated the Nevada Highway Patrol Association will not object to the merger of the special fund into the Highway Patrol budget if salary savings were not required. He explained that salary savings create a public safety issue. Mr. Spitler withdrew his previous motion. SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET, MAINTAINING THE SPECIAL ACCOUNT. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** MR. FETTIC MOVED TO RECOMMEND CLOSING THE BUDGET, MAINTAINING THE SPECIAL ACCOUNT. MR. CLOSE SECONDED THE MOTION. THE MOTION FAILED. (MS. GIUNCHIGLIANI, MR. ARBERRY AND MR. SPITLER VOTED NO.) ***** MS. GIUNCHIGLIANI MOVED TO ELIMINATE THE HIGHWAY PATROL SPECIAL BUDGET ACCOUNT, ELIMINATE VACANCY SAVINGS WITHIN THE HIGHWAY PATROL, AND AUGMENT THE HIGHWAY PATROL BUDGET BY $890,000 EACH YEAR, FROM THE HIGHWAY FUND, TO MAKE UP FOR VACANCY SAVINGS. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Mr. Spitler explained, "The reason the motion was a good motion, it corrects the accounting function, but it does not penalize the officers because they are not held to the vacancy savings..." Senator O'Donnell rebutted that by merging the special account into the Highway Patrol budget, it will require an augmentation from the Highway Fund for salaries. Ms. Giunchigliani countered: What will happen in the next biennium is really not much will change. The money that is collected will still go into the Highway Fund, so it is really not the hit that you are alleging...We shift money around so that no one can understand it..If we want highway patrol, we fund highway patrol. If we don't, then we cut the budgets. Senator O'Donnell replied, "That would make the assumption that in...lean years, such as 1993, the highway patrol would be funded directly out of the Highway Fund, even though the Highway Fund dollars may not be there..." Mr. Spitler interceded by imposing vacancy savings on an agency such as the highway patrol, which is responsible for public safety, is an injustice. He outlined the motion simply changes the accounting of the funds. Senator O'Donnell questioned the intent of the department if the merger of the accounts was a simple change in an accounting mechanism. Mr. Spitler surmised, "I do not think that they realized that we were going to make as firm a commitment as we have made, and not hold them responsible to stick to vacancy savings to fund their agency...We are saying that we are funding that vacancy savings...." Mr. Close stated his support of the motion is based on "making sure we have accountability." He pointed out that the motion does not address the problem with the prorated motor carriers. Senator Jacobsen declared that the motions are conflicting and the details will be discussed when the Senate Committee on Finance and the Assembly Committee on Ways and Means meet jointly to close the budgets. Capitol Police - Page 1769 Ms. King identified the issue for the committee's consideration regarding whether or not to transfer this budget account into the DMV&PS, as proposed in the Executive Budget. MS. GIUNCHIGLIANI MOVED TO RECOMMEND CLOSING THE BUDGET AS RECOMMENDED BY THE GOVERNOR. MR. FETTIC SECONDED THE MOTION. Prior to the vote, Mr. Fettic expressed concern the Capitol Police will "lose their identity" once they are transferred under the highway patrol. He asked Ms. Giunchigliani if she will agree to include a letter of intent that the Capitol Police will keep their identity. Ms. Giunchigliani responded, "Certainly." Mr. Arberry elucidated that a letter of intent will "tie the director's hands." Mr. Fettic explained "I have seen agencies join together before, and one agency ends up beating up the other agency. I just want to be sure that there is a Capitol Police..." THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR MATHEWS MOVED TO RECOMMEND CLOSING THE BUDGET AS RECOMMENDED BY THE GOVERNOR, INCLUDING A LETTER OF INTENT TO MAINTAIN THE IDENTITY OF THE CAPITOL POLICE. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Bicycle Safety Program - Page 1809 Senator O'Donnell requested the budget to be held pending a hearing in the Senate Committee on Transportation later in the day, where hearings will be held regarding bicycle and pedestrian safety. Gary Ghiggeri, Principal Deputy Fiscal Analyst, Fiscal Analysis Division, Legislative Counsel Bureau, requested the budget be closed. He indicated the program can appear before the Interim Finance Committee (IFC) should additional funding be required. Senator O'Donnell agreed. SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF RECOMMENDATIONS. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Ms. Giunchigliani recollected the committee had requested the administrator of the program to work with the Nevada Department of Transportation (NDOT) to determine whether the program can obtain Intermodal Surface Transportation Efficiency Act (ISTEA) funds to decrease Highway Fund appropriation. She commented, "I am curious if we got anything back, because...the prior debate we had is do we need this position or should we just put this as grant money directly to local governments." Senator O'Donnell indicated the bicycle safety administrator will be appearing before the transportation committee to provide some of the requested information. Ms. King clarified funding of the position with additional ISTEA funds, the funding mechanism, as outlined in item 4 on page 19 of Exhibit C, can be switched, so that the position in NDOT will be 35 percent funded, and the position in the DMV&PS will be 65 percent funded. Senator Jacobsen solicited a motion from the Assembly members. No motion was forthcoming. Mr. Spitler surmised the Assembly members of the subcommittee are hesitant to make a motion since the agency has not provided a response to previous requests by the committee. Senator Jacobsen declared the budget be held on the Assembly side of the subcommittee. Narcotics Control - Page 1791 Ms. King testified the Assembly closed the budget with a letter of intent allowing the agency to approach IFC for additional funds if grant revenue falls short of expectations. She indicated that since the agency is not funded through a General Fund Appropriation, the agency cannot approach IFC and therefore the letter of intent must be removed. MR. MARVEL MOVED TO RECOMMEND REMOVING THE LETTER OF INTENT PROVISION. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Senator Jacobsen called a recess at 9:15 a.m. and called the meeting back to order at 9:30 a.m. Ms. King reviewed ancillary DMV&PS issues, as outlined on page 2 of Exhibit C. She addressed the matter concerning home storage of state vehicles. MR. FETTIC MOVED TO RECOMMEND REQUESTING CALL BACK INFORMATION TO ANALYZE CONTINUING HOME STORAGE BY THOSE WHO ARE NOT COMMISSIONED OFFICERS. MR. MARVEL SECONDED THE MOTION. THE MOTION CARRIED. (MR. ARBERRY AND MS. GIUNCHIGLIANI WERE ABSENT FOR THE VOTE.) ****** Ms. King reviewed the issues concerning budgetary integrity, on page 2 of Exhibit C. MR. MARVEL MOVED TO RECOMMEND A LETTER OF INTENT TO HAVE THE AGENCY PREPARE A COST ANALYSIS AND DEVELOP A COST ALLOCATION PLAN. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED. (MR. ARBERRY AND MS. GIUNCHIGLIANI WERE ABSENT FOR THE VOTE.) ***** Addressing page 3 of Exhibit C, Ms. King reviewed the unresolved issue regarding overtime for the highway patrol, and questioned whether the committee wishes to require quarterly overtime reports from the division. MR. SPITLER MOVED TO RECOMMEND REQUIRING QUARTERLY OVERTIME REPORTS. MR. MARVEL SECONDED THE MOTION. THE MOTION CARRIED. (MR. ARBERRY AND MS. GIUNCHIGLIANI WERE ABSENT FOR THE VOTE.) ***** Ms. King identified, "The problem may resolve itself now that the vacancy savings have been eliminated in those budget accounts [Highway Patrol and Highway Patrol Special]." The last issue facing the department is whether to establish a central microfilm/document imaging unit, as referenced on page 3 of Exhibit C. MR. MARVEL MOVED TO RECOMMEND A LETTER OF INTENT TO REQUIRE THE DEPARTMENT TO INVESTIGATE THE FEASIBILITY OF ESTABLISHING A CENTRALIZED MICROFILM/DOCUMENT IMAGING SYSTEM. MR. FETTIC SECONDED THE MOTION. THE MOTION CARRIED. (MR. ARBERRY AND MS. GIUNCHIGLIANI WERE ABSENT FOR THE VOTE.) ***** Motorcycle Safety - Page 1813 Ms. King reviewed the issues remaining in the budget on page 20 of Exhibit C. She advised the Senate committee members the Assembly voted to recommend closing the budget funding a marketing campaign and easy-up shelters, limit out-of-state training and travel to $2,000 per year for the motorcycle coordinator and funding travel for one-half of the board to attend motorcycle events. James P. Hawke, State Emergency Response Commission, Department of Motor Vehicles and Public Safety, commented the recommendations by the Assembly are sufficient for the agency. SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH THE RECOMMENDATIONS MADE BY THE ASSEMBLY. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** High Level Nuclear Waste - Page 1893 Jeanne L. Botts, Program Analyst, Fiscal Analysis Division, Legislative Counsel Bureau, reviewed the recommendations proposed by the fiscal analysis staff, as outlined on pages 1 through 3 of Exhibit D. MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS CONTAINED ON PAGES 1 THROUGH 3 OF EXHIBIT D, INCLUDING THE LETTER OF INTENT. MR. FETTIC SECONDED THE MOTION. Discussion ensued following the motion. Ms. Giunchigliani inquired whether the motion encompassed the issue of where to locate the agency. Mr. Marvel answered in the negative and stated that issue will be decided separately. He asked if the agency will be bringing a proposed work program before IFC and how much that program will cost. Robert R. Loux, Executive Director, Agency for Nuclear Projects, State Department of Conservation and Natural Resources, answered in the affirmative, clarifying there will be two work programs requested before IFC. One work program will provide additional authority for in-state travel and operating expenses for the current fiscal year and the second issue is to seek authorization to accept an appropriation from the Department of Energy (DOE) in the amount of $6 million. Senator O'Donnell requested an explanation of the $6 million appropriated by the DOE. Mr. Loux recalled the United States Congress appropriated $11 million to the state, which was "fenced off...until the secretary [of the DOE] could certify that we [the State of Nevada] are not obstructing the site characterization efforts at Yucca Mountain." He indicated once it was determined the state was not interfering, a $6 million appropriation, from the $11 million, was approved. Senator O'Donnell questioned how the agency intends to use the $6 million. Mr. Loux responded, "We...have proposed to engage in a number of activities that are directly related to the department's decision to try to reach a suitability decision in Yucca Mountain in 1998." Senator O'Donnell asked if the appropriation is "based upon some kind of outcome that the federal government thinks might happen." Mr. Loux answered in the negative and asserted some of the funds will be utilized to bring some programs up to the same level as the federal government to enable the state to actively participate in the site decisions which will be made by the DOE in 1998. Senator O'Donnell inquired whether any of the appropriated funds will be utilized to buy radio time. Mr. Loux responded in the negative. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS CONTAINED ON PAGES 1 THROUGH 3 OF EXHIBIT D, INCLUDING THE LETTER OF INTENT. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Ms. Giunchigliani requested the administration to indicate their position on the proposed move of the agency. John P. Comeaux, Director, Department of Administration, expressed the position of the Governor is that the High Level Nuclear Waste agency should be under his direct supervision. He explained the purpose of moving the agency under the State Department of Conservation and Natural Resources, was for the department to provide administrative supervision and guidance. Since that purpose has not been met, the Governor has proposed to transfer the agency back under his control. Mr. Marvel questioned whether a bill draft will be necessary if the agency is placed back under the jurisdiction of the Governor. Mr. Comeaux responded in the affirmative. Senator O'Donnell asked for clarification of the agency transfer. Mr. Comeaux answered: The idea there...was simply to have the director...provide some administrative guidance to the agency, but not to become involved in the policy making for that agency. I believe that if the director of conservation and natural resources was given the appointment authority...then that would open the door to becoming involved in policy making and that is something the Governor has never been interested in. MS. GIUNCHIGLIANI MOVED TO RECOMMEND A BILL DRAFT TO MOVE THE HIGH LEVEL NUCLEAR WASTE AGENCY UNDER THE JURISDICTION OF THE OFFICE OF THE GOVERNOR. MR. SPITLER SECONDED THE MOTION. Mr. Close questioned whether the Governor's Office has sufficient staff to resume the responsibilities of administering the agency or whether additional staff will be required. Mr. Comeaux responded that additional staff or expenses will not be necessary. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR MATHEWS MOVED TO RECOMMEND A BILL DRAFT TO MOVE THE HIGH LEVEL NUCLEAR WASTE AGENCY UNDER THE JURISDICTION OF THE OFFICE OF THE GOVERNOR. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Ms. Giunchigliani queried whether the recommendation to close the budget according to staff proposals deleted the cable TV contract. Ms. Botts replied in the negative and stated the cable TV contract is still included in the budget and a vote will be necessary if the committee wishes to delete that contract. MR. ARBERRY MOVED TO RECOMMEND REMOVING THE CABLE TV CONTRACT FROM THE BUDGET. The motion died for lack of a second. Division of Forestry - Page 1927 Ms. Botts reviewed the recommendations by the fiscal analysis staff on pages 5 through 7 of Exhibit D. During her testimony, Ms. Botts referred to a memorandum from Mike Nolan, Budget Analyst, Department of Administration to Roy Trenoweth, State Forester, Firewarden, Nevada Division of Forestry (Exhibit E), referring to the division's request to transfer $101,040 from the forest fire reimbursement revenue to cover budgetary shortfalls. Senator O'Donnell asked, "On this $101,040, do we need to take any action to move that into a work program?" Ms. Botts replied, "No, that would be an IFC action." MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 5 THROUGH 7 OF EXHIBIT D. MR. FETTIC SECONDED THE MOTION. Ms. Botts pointed out Mr. Spitler recommends that the letter of intent include the provision that nonemergency overtime be approved, in writing, by a supervisor, in advance. She stated the other issue the committee needs to decide on is whether the two Accounting Specialists should report to the regional foresters or to the director's office. Mr. Marvel commented, "In view of the audit report, I would suggest that they report to the central office." THE MOTION CARRIED. (MR. ARBERRY WAS ABSENT FOR THE VOTE.) ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 5 THROUGH 7 OF EXHIBIT D. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Natural Resources Administration - Page 1879 Ms. Botts reviewed the recommendations contained on page 8 of Exhibit D. MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 8 OF EXHIBIT D. MR. CLOSE SECONDED THE MOTION. THE MOTION CARRIED. (MR. ARBERRY WAS ABSENT FOR THE VOTE.) ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 8 OF EXHIBIT D. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Forestry Intergovernmental Agreements - Page 1935 Ms. Botts reviewed pages 9 and 10 of Exhibit D. She indicated the remaining issue to be decided by the committee is whether to require counties to deposit special taxes levied by the counties into the state treasury. Mr. Marvel inquired as to the position of the Nevada Association of Counties (NACO) on this issue. Roy W. Trenoweth, State Forester Firewarden, Division of Forestry, State Department of Conservation and Natural Resources, revealed that any reservations the counties may have had regarding this issue have been resolved and that NACO has no opposition to the proposal. MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 9 AND 10 OF EXHIBIT D, INCLUDING REQUIRING ALL COUNTIES TO DEPOSIT REVENUE FROM THE SPECIAL TAX LEVIED BY THE COUNTIES, WITH THE STATE TREASURY. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED. (MR. ARBERRY WAS ABSENT FOR THE VOTE.) ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 9 AND 10 OF EXHIBIT D, INCLUDING REQUIRING ALL COUNTIES TO DEPOSIT REVENUE FROM THE SPECIAL TAX LEVIED BY THE COUNTIES, WITH THE STATE TREASURY. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Forest Fire Suppression - Page 1939 Ms. Botts examined the adjustments contained on pages 11 and 12 of Exhibit D. She indicated the Fiscal Analysis Division recommends requiring the division to complete a list of approved expenditures from the Suppression account, prior to the 1995 fire season, and whether the committee wishes to establish a separate expense category to track various incidents. Senator Jacobsen apprised the division, "The committee feels that your quarterly report to IFC should be in a little more detail...That this agency has been one of our concerns...So spend a little more time and detail in telling us what you are doing and how you are complying." MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 11 AND 12 OF EXHIBIT D. MR. SPITLER SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR MATHEWS MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 11 AND 12 OF EXHIBIT D. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Forestry Nurseries - Page 1951 Ms. Botts addressed the adjustments on page 13 of Exhibit D. MR. MARVEL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 13 OF EXHIBIT D. MR. CLOSE SECONDED THE MOTION. Ms. Giunchigliani questioned, "Are these the same nurseries that public people can also purchase from? How do they advertise that...Their money is going down and I am curious whom all they sell to." Mr. Trenoweth indicated there are certain criteria one must meet before buying from a Forestry Nursery. Patrick M. Murphy, Assistant State Forester, Resource Management and Conservation Camps, State Department of Conservation and Natural Resources, interjected: One of the reasons that the nursery is in trouble is directly related to the drought...We are...a nonprofit nursery. A lot of the clientele we sell to for...conservation planting...have not been...buying our plant material. So consequently, it is contract sales that have been going down. To answer your question specifically about advertisement, we try to...advertise through such things as Nifty Nickel...We are not to compete with private industry... THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR MATHEWS MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 13 OF EXHIBIT D. SENATOR O'DONNELL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** State Parks - Page 1979 Ms. Botts spoke about the proposal to eliminate free admission to state parks for senior citizens, as outlined on page 15 of Exhibit D. Mr. Arberry questioned whether consideration has ever been given to allow free access to individuals with disabilities. Wayne Perock, Acting Administrator, Division of State Parks, State Department of Conservation and Natural Resources, testifieded that the statute governing fees charged to senior citizens does not contain any reference to disabled individuals. He indicated the need for consistency within the state system with other state agencies who provide allowances for senior citizens. Ms. Botts reviewed paragraph 2 on page 15 of Exhibit D. Mr. Perock interjected he is rescinding the agency's request to fill the Park Supervisor I position on July 1, 1995. He explained: I have looked over the vacancy savings for our agency and, even though these other positions are to come on- line October 1, 1995, we are going to have to delay, by almost another 3 months, the hiring to make up for the vacancy savings. We are also going to have to delay filling all the other positions that might come as a result of promotions. Ms. Botts reviewed the remaining adjustments to the budget on pages 16 and 17 of Exhibit D. She advised the committee Washoe County has requested the state parks division to take over the facilities at Washoe Lake. She stated the division can collect sufficient fees to operate the park and fund one position, with the exception of approximately $90,000 for start-up equipment. MS. GIUNCHIGLIANI MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF RECOMMENDATIONS, INCLUDING A BILL DRAFT REQUEST AND THE LETTERS OF INTENT. MR. ARBERRY SECONDED THE MOTION. Ms. Giunchigliani clarified her motion does not include a recommendation on decision unit 1 on page 15 of Exhibit D. She stated, "I think that is a separate policy issue." Mike Nolan, Budget Analyst, Budget Division, Department of Administration, interceded: I would like to make one clarification before you vote on [adjustment] 8 [on page 16 of Exhibit D], uniform allowance costs. Everything is correct except, officially...we [the Budget Division] were unable to agree officially and forward our concurrence because we have an agreement with State of Nevada Employees Association (SNEA). But I provided Jeannie [Botts] with the cost information that would generate the savings, and of course, you as a body, are free to do whatever you choose. THE MOTION CARRIED. (MR. SPITLER WAS ABSENT FOR THE VOTE.) ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF RECOMMENDATIONS, INCLUDING A BILL DRAFT REQUEST AND THE LETTERS OF INTENT. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Ms. Giunchigliani recommended requesting information on the rates the Division of Wildlife charges before the committee takes action on decision unit 1 on page 15 of Exhibit D. Mr. Perock recollected the wildlife division has proposed legislation which will change the way they currently operate. Ms. Giunchigliani requested Mr. Perock to obtain a copy of the proposed legislation so the committee may review the proposed changes in the wildlife division and make appropriate suggestions to the State Parks budget. Senator Jacobsen requested Mr. Perock to comment on the status of some of the parks. Mr. Perock indicated the Kershaw-Ryan and Ward Ovens state parks will contain day-use facilities; however, camping will not be permitted at the Kershaw-Ryan park and limited camping will be allowed at Ward Ovens. He stated the Carson River Ranches have limited hunting activity available and two concerns the agency has are: ...We have one ranger at Fort Churchill...and when you put Fort Churchill and all these ranches together, it is almost a 10 mile strip, and that is a lot of area for one man to cover. We...have grazing that is supplementing our expenditures...mixing people and cows...we are a little uncomfortable with that. Senator Jacobsen questioned the status of the boat ramp at Little Washoe Lake. Mr. Perock said the agency is attempting to acquire the county boat ramp at Little Washoe Lake, which will increase revenue for the park and allow for additional services. Division of Water Planning - Page 1991 Ms. Botts articulated the committee may close the budget even though there is a proposal to transfer the agency under the state engineer. She concluded, "There could still be a separate budget account for water planning, even if that position were reporting to the state engineer." Ms. Botts reviewed the adjustments and decision units contained on pages 18 and 19 of Exhibit D, including a proposal for a letter of intent. Mr. Arberry questioned what happens under decision unit Maintenance 200, Demographics Caseload Changes (M-200), which contains an appropriation of $1,500 for each year of the biennium for Geographic Information System (GIS) training, if Assembly Bill (A.B.) 234 does not pass. ASSEMBLY BILL 234: Makes appropriation to division of water planning of state department of conservation and natural resources for office equipment and computer hardware and software. Ms. Botts declared the funding for GIS training is contingent upon passage of A.B. 234. She clarified, "If that did not pass, that funding would not be authorized for that training. It is incorporated in the budget." Mr. Arberry asked whether the reclassification of the Management Assistant II to a Management Assistant III needs to be funded. Ms. Botts asserted the position has already been approved and upgraded by the State Personnel Division and the budget has been adjusted to reflect the additional expense in salary. Mr. Arberry questioned, "So are we now setting a precedent in doing this? Ms. Botts maintained, "I do not know that we really have that much of a decision in that personnel has already approved it, and we are just changing the budget to reflect that reality...If we did not add that...they would have to make that up...in vacancy savings." MS. GIUNCHIGLIANI MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 18 AND 19 OF EXHIBIT D, INCLUDING A LETTER OF INTENT. MR. ARBERRY SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGES 18 AND 19 OF EXHIBIT D, INCLUDING A LETTER OF INTENT. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Water Planning Capital Improvements - Page 1997 Ms. Botts indicated the same letter of intent recommended in the Division of Water Planning budget is also recommended in this budget account. She proceeded to comment on the technical adjustments made to the budget, as outlined on page 20 of Exhibit D. SENATOR O'DONNELL MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 20 OF EXHIBIT D, INCLUDING A LETTER OF INTENT. SENATOR MATHEWS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** MS. GIUNCHIGLIANI MOVED TO RECOMMEND CLOSING THE BUDGET IN ACCORDANCE WITH STAFF PROPOSALS ON PAGE 20 OF EXHIBIT D, INCLUDING A LETTER OF INTENT. MR. MARVEL SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. ***** Determining that no further business remained to be decided, Senator Jacobsen adjourned the meeting at 10:50 a.m. RESPECTFULLY SUBMITTED: Cristin Buchanan, Committee Secretary APPROVED BY: Senator Jacobsen, Chairman DATE: Assemblyman Thomas W. Fettic, Chairman DATE: Assemblyman Larry L. Spitler, Chairman DATE: Senate Committee on Finance Assembly Committee on Ways and Means Joint Subcommittee on Pub. Safety/Nat'l Res./Transportation May 18, 1995