Texas Parks and Wildlife Department

Revised Exceptional Item Request for the 2012-2013 Biennium

1. Level LBB Recommended Funding and FTE reductions across FY 2012 and 2013:
Many of the LBB' s recommended reductions call for deferral of programs for 6 months
in 2012. As such, the associated funding and FTE cuts are front-loaded into FY2012.
TPWD requests that these reductions be leveled equally between each year of the
biennium to help make the recommended reductions more manageable from an
operational, business and budgeting standpoint. The net impact of this request is zero.
Detail on strategy amounts and FI'Es is included in the attached.

2. Partially Reinstate Funding and Capital Budget Authority for Capital Equipment,
Transportation and Information Technology: The LBB recommended capital budget
rider eliminated funding for capital transportation, information technology and equipment
items. However, the recommendations continue rider language allowing TPWD to use
gifts, grants and federal funds for capital items when designated for such purposes by the
grantor (Rider 12). TPWD requests reinstatement of capital budget authority for
information technology '.trlli!SP9J1a~j5mand, capital equipment items. For FY20 12, the
request is to simply reinstate theline-items (at zero dollars) in the event amounts become
available under Rider 12. For FY2013, TPWD requests partial reinstatement at an amount
equal to 50% of the total requested in these categories, for a total of $3 .98 million. This
will help minimize impacts and disruption to core services that could otherwise result
from complete elimination of funding in these areas. See attached for details.

3. Capital Repairs and Construction: Rider 31 in the 2008-09 General Appropriations

Act required TPWD to conduct .~,M}f~Y,to .identify strategies necessary to return Texas
State Parks to a "high quality" park system. This study, conducted by Fisher Heck and
Pros Consulting, recommended that the department focus on an annual reinvestment of
approximately 4 to 6 percent of the total value of state park assets into repair and
replacement projects and calculated a 4 percent annual reinvestment at $32.35 million.
Consistent with the study recommendations, TPWD requests $32.35 million in G.O. bond
authority in FY2013. Approval of this authority will allow the department to maintain
facilities statewide in a working, safe and usable condition and help prevent deterioration
of these assets through ongoing r~p,cprs.~d renovations. Due to the process and timing of
bond issuance, debt service on these amounts is expected to be minimal during the 2012-
13 biennium. .

4. Employee Separation Costs: LBB recommendations call for a total reduction of 304.6
FTEs to TPWD in 2012. Such reductions-in-force will result in additional funding
impacts due to required payments to employees for any outstanding leave balances (lump
sum payments) as well as unemployment benefits to former employees. Assuming 50%
of the required FTE reductionsimpactcurrent active employees, TPWD estimates
employee separation costs at a total of $1.4 million and requests these estimated amounts
in FY 2012. TPWD also requests an associated rider allowing payment of a portion of the
costs from general revenue funds.

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5. Technical Adjustments:

a. Capital Budget Land Acquisition. The LBB recommended capital budget rider
(Rider 2) did not include aline-item for land acquisition, but did continue rider
language authorizing appropriation of any landsale proceeds (Rider 13). TPWD
requests reinstatement of the land acquisition line-item in the capital budget rider
as a placeholder in the event amounts become available under the authority of this
rider.

b. Exemption from Article IX Transferability Provisions for Information Resources

Strategy: The LBB recommended Article IX provisions regarding transferability
(sec. 14.01 Appropriation Transfers) include new restrictions on the ability to
transfer funds in items for "Indirect Administration and Support". Specifically,
appropriations within the Indirect Administration and Support goals may not be
increased by a transfer from another goal. This poses challenges for the
Information Resources function in light of the data center cost increases. TPWD
requests an exemption from Article IX, Sec. 14.01 (c) (2) as it relates to the
Information Resources strategy.

c. Construction and Landowners Incentive Grants: This rider allows TPWD to treat
local park and landowner incentive grants as construction appropriations for the
purpose of determining the life of the appropriation. LBB' s recommendations
strike this rider entirely. TPWD requests reinstatement of this rider as it applies to
grants awarded before 2012.

d. Use of Federal Funds for Statewide Aquatic Vegetation Management: LBB's

recommended rider language (Rider 19) requires TPWD to spend $156,654 in
federal funds each year on aquatic vegetation management, but strikes language
specifying that the use of the federal funds is contingent upon receipt of a federal
grant for that purpose. TPWD requests reinstatement of this portion of the rider
language.

e. FTE Adjustment: The LBB recommended 15% administrative reductions include

a disproportionate impact to Coastal Fisheries FTEs as compared to the proposed
funding cuts. The 15% administrativereduction in Strategy A.2.3. Coastal
Fisheries Management totals $52;376 per year, yet the associated FTE reduction
is 12.9 in each year. This discrepancy stems from multiple issues tied to the
program level information used as the basis for the 15% administrative reduction
calculation. The correct FTE count for Coastal Fisheries administration is 4.9
(rather than 86.3), which would yield a reduction of 0.7 FTEs. TPWD requests an
adjustment (increase) of 12.2 FTE in each year in Strategy A.2.3.