Tuesday, March 20. 20151/20/2015 8:50:40 AM 1/20/2015 8:50:42 AM Governor Letters – delivered 16 letters. Harshman: Chair for the day. No roll call, no action will be taken, no public input. Members may ask Gov office for clarification. Tomorrow we begin mark-up. Kari Grey and Alex Kean. Grey: apologies for late delivery. We have 16 letters. Net change of 8.27 M in the profile from all the letters. Some letters are corrective in nature. Agency heads are here to answer questions if needed. 1/20/2015 8:53:12 AM Kean: GL1 – Table one at point in time of release of Oct CREG, shortfall, reversions, 86 M difference in PWMTF SPA. Excess at time of delivery of Gov supplemental budget. Table 2 is revenue shortfall projected by Jan 2015 CREG. Gov letter =166.9 M leaving shortfall of 333M. Table 3 identifies revenue options to overcome the shortfall. Reversions, CREG actions in Jan additional rev from PWMTF, SIPA at 21 M. gov is asking for the 40 M in the 2014 budget from SIPA to be released. Harshman: 44M natural gas bump from the cold winter last year not on there, will sweep to the LSA in July. Do we agree? Kean: yes Harshman: not an acct, excess revenue from spike in natural gas prices. Richards: yes, it is 44M. That money has not been swept. Explaining the source of those funds is subjective, very similar to the 40 M on the governor table. Stubson: 40 M change to go to SIPA. Is that change to be realized in 2015? Kean: That 40 M would be available as of July 1, 2015. Stubson: So that would leave 20 M flowing into SIPA if realized. Kean: Correct, the other 20 million is to go into the health account. Harshman: I would like to move to Gov letter 16, the one the folks are here for. So we will move that up 1/20/2015 9:00:33 AM GL16 Grey: A topic under discussion under Select Committee Tribal Relations. Committee wrote asking for action. Governor wrote letter. Health care on the reservation would be 100% federally funded so zero cost. Unclear if the state would have the 4% match under the agreement. Tribal Business council has agreed to reimburse the state for incurred admin costs. 16.9 M in federally funds annually. It is a 5 year waiver. We have only asked for one year. Perkins: Would this start in current fiscal year or next federal year? Grey: Waiver process implemented by the dept. of health, would take a couple of months. 16.9 M is 12 month number. Burns: Is this a complete pass through to the Indian health care on the reservation. One person needed –would that be a state employee? Grey: State employee, federally reimbursed, billing and reimbursement component. Burns: One position would be state employee reimbursed by the fed gov but subject to all state benefits. Grey: Correct. Federally funded position, benefits are federally matched at same rate. Burns: if state employee is a member of one of the tribes what would the default be..Beneficiary of state plan or tribal plan. Will work within dept. of health, state employee. I think they would be eligible for benefits on reservation, if a member of the tribe but would have to travel to Wind River Reservation. Connolly. We put up 16.9. At what point do we get reimbursed? Grey: I don’t know. Connolly: When we have a figure of 16.9 M, cost neutral. How does it get profiled? Richards: The Golden Rod does not include federal funds for DEQ or any other, would not impact the bottom line. Ross: what is the 4% again Grey: administrative cost from the state, not clear if covered by waiver. Burns: Harshman: will fund with GF dollars, then be reimbursed Grey: For all Medicaid, 4% comes out of GF dollars from the Dept. of Health. Will be reimbursed by Tribal council. Harshman: Recognition of Tribal members. Opportunity to address the committee 1/20/2015 9:09:35 AM Darryl O Neal. Councilman. Thank you for recognizing us and supporting us. Richard Brannon: Councilman for 5 weeks. We are here to save lives, extend life expectancy of people we serve. To improve life of those on the reservation. Funding will allow us to create a comprehensive integrated home for our medical population. CEI of Indian Health Organization for the last 6 years. Resigned and ran for business council to pursue health care issues for tribal people. Did epidemia studies, can extend by 32 years. We have purchase referred health now, contract care. Contract with providers for service that cannot be done in house. We have level 1, loss of limb, life or sight within 72 years. If that criteria is not met, that is it. WE have worked with our local delegation. Senator Larson, is my hero. Spoke with Bebout, Case, and Allen. All support it. Looking for help. This will be at no cost to the state. Reimbursement assumption is that we will get paid quarterly through the state of Wyoming. It is a 5 year program, which will allow us to have the cash flow and needed revenue to intervene in people’s lives. A diabetic patient will live longer – 37 visits per year – receive nursing service. If we have 5 interventions in someone’s life we can extend their life by years, maybe decades. Accredited by medical association, certified patient center home. Created care teams, do preventative health, screening. Look at the whole patient. Multidisciplinary team. Waiver should give us cost savings. We are funded at a low level so can only put a band aid on it. With waiver, can have very effective programs. Shoshoni and Arapahoe as well as other members of the reservation. Moniz: 5 year waiver. What happens at the end of that time? Brannon: two ways to get increased money from fed govt – facility replacement or joint venture. Agreement with Indian health care services for 20 years, increase cost by 1 per year, increase the funding, almost double of appropriated funding. Will allow us to get the financial backing to get the financing, for design and construction. Add 117 positions to the clinic. 100,000 cost per position so looking at 17M for 5 years but building clinic will give us 12M every year. Direct services is 6.7 M yearly for clinic. 5 year plan gives us the startup capital and needed funding. Will allow us to have cash flow to fund growth Burns: Apology for not attending reception last night, late meetings. Brannon: said close of business 5 pm Harshman: Finished at 730 or so here last night. Thank you for coming down. Transition back to letter 2. Break. Governor letter 2 Kean: Cap on School foundation program raised from 475 to 550 Ross; so no spillover Kean; correct Harshman: tip a couple of million Richards: 2 M is profiled, letter donates we have 53 M in unrealized gains so would tip by June if you don’t raise the cap. Perkins: Hedge so that if they are still there at the end of the year could be offset by capital losses. Richards: correct Harshman: We have had that happen. Stubson: Did we just increase to 475? Harshman: no, we tipped x last year 1/20/2015 9:29:26 AM Gov letter 3 Grey: Supreme court request. 8 counties, Security needs. Counties that can’t afford security changes. Labor 1.27 million excluding labor costs. Greear: county will provide labor costs? Grey: yes – courts did not provide information to not expose risks. Connolly: ranges of low to high in terms of dollar figures. 1.27 M is which range? Grey: I don’t know, will look at report. Perkins. I believe the 1.27 M was the high number. All counties on board except Weston. Harshman: 1.27 m buys materials. County will do maintenance and work? Grey: yes Nicholas: What is the value of the labor cost? County employees so no cost to them? Grey: Correct. Counties will implement. I was unaware that Weston was not on board Nicholas: Don , may we have the low and medium number? 1/20/2015 9:33:46 AM Gov letter 4 – Wyoming Grown Grey: Through workforce services. Encourage Wyoming grads to come back and work in the state. Implemented in other states with a lot of success. Greear: $10,000 in a large dept. Can the dept. reallocate? Why the money? Grey: 3 fold equation. Desire to bring attention to this program. Costs to set up the exchange. Workforce services is highly federally funded with a lot of requirements and not much flexibility. Gov did not ask if dept. could fund it. He wanted to highlight the program Burns: one time fund, lure people back for one year Grey: on-going program. This represents start- up costs. No new employee, simple to administer. Not representing a an ongoing cost. Burns: Exchange is what? Grey: You connect the job seeker with the job opportunity. Exchange is not an official term. 1/20/2015 9:37:34 AM GL 5 Wyo Veterans Memorial Park in Cody Grey: Legislature has provided funds in the past. This year want a women’s memorial in the park. Gov supports 200,000 for a women’s memorial. Greear: Matching funds. Total cost? Grey: This is the total cost. No discussion of matching funds. Nicholas: Draft plan of what it is being used for? Funding analysis? Grey: I would ask Larry Bartlebort. Representative of money given in the past Nicholas: Please request that info. Burns: Why part of the supplemental budget? Grey: Project as part of the supplemental cycle. Timing is right, not an emergency, ongoing support given by the Gov. 1/20/2015 9:40:34 AM Gov letter 6 Mineral Royalty Grant Program Harshman: favorite of committee Kean: Restore funding for the MRG. Governor exercised line item veto last year Harshman: money is there, want it freed up? Richards: I agree. Nicholas: why vetoed? Harshman: Well written on our part. Another 3 million not profiled on the GF. Connolly: gov saying oops, wrong veto want it restored? Kean: JAC reduced money available in state lands budget for mineral royalty grant. Initially to be used for court security. IN process of 300’s was going to be transferred into the GF instead of being used for court security. 1/20/2015 9:43:15 AM Gov letter 7 – Clean Water State Revolving Fund Kean: Reallocation of funding so it goes back to 80% federal and 20% state. Brings money back to GF and monies are profiled. Richards: included in gov profile but not in his specific recommendations. We followed gov, included in profile, asked for explanation. Not included in Dec 1 explanation. Harshman: Stubson: confused – I expect on rebalancing, will see a dec. in GF and in in Fed . In letter looks like dec. in both. Kean: Through budget reductions, agency identified it could take it here but program lost money, so did not get proper allocation between funding sources, need to correct it. Stubson: Dec. in federal funding generally and may see .. 1/20/2015 9:46:07 AM Gov letter 8 – local govt funding Grey: 25M for local govts. 60% operation, 40% infrastructure. Attached to a letter is breakout for impact of individual counties and towns. Additional request for 6.4 M for municipal solid waste cease and transfer loan and 2.6 M for severance tax distribution. To correct a 1995 overpayment on the books. Greear: Grey: Request for additional 6.4 M in that account. Harshman: profiled? Richards: yes, profiled in request but without explanation Harshman: balance in fund? Richards: 28 M with a 17 M appropriation. I do not know what these funds are being requested for. Grey: cease and transfer acct – body set formula for people to apply for these funds. Accounting issue for small communities, revisiting this session. Separate from landfill remediation acct which is for work on landfills that will continue on. 6.4 M in cease and transfer. Richards: cease and transfer 20 M, 14m grants 5m loans. Request to put money back into that account to replace expenditures from that acct. Harshman: Which amount? Greear: municipal solid waste fund, authorized limited amounts out of that fund to go to cease and transfer. Only one applicant qualified. Rectifying that so program will get used next grant cycle. Stubson: Lust funding mechanism. Looked good until that lust funding kicked in. then that funding would take over. Greear: correct based on DEQ information. Diversion of Lust funds. Begins in 2019. Long term stabilization saw a huge number of landfills that said it was time to close and transfer. I think we will need more funds for that acct. Harshman: less for remediation. Greear: remediation costs in long run should go down Ross: 6.4 M of GF? Grey: correct Burns. 2.6 M severance tax distribution, overpayment paid to towns and counties, effort to recoup Grey: correct, don’t know. Burns: Sheridan County got hammered for CBM overpayment of 1 M, Richards: State Treasurer made incorrect payment to local in 1995. Joe Meyer looked into amount overpaid. State Treasurer office could never identify exactly how much each community was overpaid so did not take action. Carried on books as a negative amount for 20 years. Moniz: all counties or just some were overpaid? Richards: All counties and municipalities were overpaid. Amount is in dispute. 1/20/2015 9:55:59 AM Reconvene upon adjournment.