Subcommittee Meeting of September 2, 2009 Synopsis

The subcommittee reviewed two items during it meeting of September 2, 2009. The first item was the impact of the 2011 budget cuts of $445,000 to the maintenance program for the Capitol and the Capitol facilities. Bruce Whittington of DFCM explained that within the budget are certain fixed costs that must be paid. These fixed costs include water, power, elevator maintenance and other critical elements. Bruce explained that after those are deducted there are not enough funds to provide the basic maintenance service. That the preventative maintenance would be sacrificed and that over very short time failures would occur that would cost more to repair than had been saved due to the budget cuts. The executive director presented three options for the subcommittee to discuss:
1. Request full funding of the maintenance program to $3,600,000 which is were the rate committee feels the services should be.
2. Request the same funding as this past year (FY 2010) as ongoing funding, then in FY2012 budget year request the additional funds to get back up to $3,600,000.
3. Use one-time-money from the saving generated by the Capitol Restoration. Funds available may be as much as $460,000. This will get the Maintenance program through the soft money year and then address the ongoing issues in FY2012 budget.
The subcommittee felt it was better to provide the saving to the general fund and let Executive Appropriations determine the use and then ask for ongoing funding to the FY2010 level to keep the program stable. The executive director will build the budget around that recommendation.

The subcommittee also reviewed the fees the board charges for the use of the Rotunda and other facilities on Capitol Hill. The executive director put forth two proposals:
1. Proposal one was a slight modification and clean up of the fees that the legislature approved in FY2010 budget. This proposal also included a modification of fees during the legislative session. The proposal was to continue to charge a fee but one that would be greatly reduced.
2. Proposal two was a major shift away from the previous proposal in that it recognized the use of the rotunda and the frustration that has developed around the rental rates for both the rotunda and other spaces on Capitol Hill. The proposal provides the majority of spaces other than the rotunda for no charge. It also suggests that during the legislature all spaces as a public service be provided at not charge. However there are time limitations to the use of the spaces.
The subcommittee felt that the second proposal was the better over all direction and suggested some minor modifications that improved the proposal. They recognized that in order to achieve this new direction that an reduction in dedicated credits of $60,000 will need to be made and an increase in the General Fund of $60,000 will be required. One can not exist without the other.
The executive director will prepare the proposal for the full board meeting that will occur towards the end of the month. The executive director will also need to have this item presented on the executive appropriations committee agenda so that it can be in effect come January.

Subcommittee Meeting Wednesday, September 2, 2009 at 3:00 PM

The executive director will present his recommendations to the subcommittee for their review of the office budget and the proposed fee schedule for space rental within the capitol complex.

The executive director will discuss the make up of the office budget and the newly proposed fee schedule for space rentals on Capitol Hill.

Subcommittee Meeting of August 5, 2009 Synopsis

The Budget Development and Board Operations Subcommittee meet and discussed the following:
o The executive director provided an update on the progress of the sale of the existing Lions. Mr. Hart reported that due to the closing of the 2009 fiscal year the office had not had the time to get the Lions on ebay. They should be posted during the month and a report of the sale should be available during the meeting in September.
o The executive director presented the 2011 budget preview and discussed the options of how the office will try to make up the $466,000 short fall due to the loss of the one time backfill from last year. Mr. Hart went on to discuss that it will be critical to look at all aspects of the CPB and to make changes. Some of the changes that will be considered are modifying the food services program, using some of the funding from the restoration saving to fund the maintenance on Capitol Hill. Additional the subcommittee suggested that the board look into the option of having a non state government entity provide the maintenance for the Capitol and Capitol Hill rather than DFCM.
o The board fee schedule was introduced by the executive director as a starting point. He stated that the fees that are charged for the rental of space on Capitol Hill make up about $110,000 dollar of the offices budget or about 15%. At the same time there needed to be and understanding about how these fees are impacting the uses of the space and specifically the organizations that meet on the Hill to discuss legislation. The subcommittee members provided good recommendation for the executive director to consider such as a special fee for the legislative session, a one day free options for any group, an opportunity for those renting space on the Hill to have the use of meeting room or the rotunda once during session. The executive director was asked to consider these items and to make a recommendation in September prior to the board meeting.
o The subcommittee reviewed modification suggested by Alan Bachman to the rule R131-13 Health Reform - Health Insurance Coverage in State Contracts which discusses health care provided by the design and construction profession on Capitol Preservation Board projects. The amendment clarified several items and Alan asked the subcommittee for their support and to fine the amendment with the rule making office so that the board could make it effective when they meet in September. The Subcommittee approved the modifications.

Subcommittee Meeting August 5, 2009

The Budget and Operation Subcommittee is scheduled to meet Wednesday, August 5, 2009 at 3:00 p.m. in the Capitol Board Room. The agenda will be an update on the progress of the Lions, 2011 budget review and discussion and Review, discussion of the CPB fee schedule and a review of the rule on Health Care by our attorney.

Subcommittee Meeting of June 1, 2009 Synopsis

The Budget Development and Board Operations Subcommittee meet and reviewed the Capitol Facilities Rental structure within the context of the board budget which was developed around both general fund appropriations and dedicated credits.

The executive director at the last meeting on the 12th of May was asked to provide additional information about what a supplemental amount would be to avoid the problems associated with not being able to earn all the dedicated credits. During the meeting he presented several options that addressed those concerns and explained how the rentals of the capitol facilities are directly connected to the office budget. The executive director presented three options that looked at facility use fee during legislative sessions. These options included:
1) No reduction in fees,
2) Reduction in fees,
3) No fees
He recommended that the subcommittee take a hard look at the third option of no fees. He suggested that while this option would require the largest supplemental it would also provide the public with greater access to Capitol facilities. Members of the subcommittee expressed there concern with not only this year’s shortfall in the budget due to the dedicated credits, but with the FY2011 budget which will need modification to provide complete maintenance and operation activities on Capitol Hill.

The subcommittee asked the executive director to provide additional detail on both the expenditure and revenue side of the budget and to present the information to the board for their information and discussion at the June board meeting. Leadership will need to assess the issues and will then need time to consider the corrective actions prior to deciding on a budget in September.

The office will continue to charge for space as it has been directed to do by the Board and the Legislature for space rental until directed otherwise.

Subcommittee Meeting of May 12, 2008 Synopsis

The Budget Development and Board Operations subcommittee meet and reviewed the following:
1. Bountiful Lions Club Request – the executive director presented information regarding the recommend way of disposing of the lion such that everyone is treated fairly. These recommendations included:

· The Capitol Preservation Board is exempt from the State Surplus rules and can act independently.

· Need to have a designation of “No Historical Significance or Value” (State Historic Preservation Officer)

· Advertise in the News Paper for a week to ten days (two weekends) our out intent to offer the Lions for Sale on ebay.

· State Surplus will using their codes and accounts publish on ebay each of the four lions and any statement that we wish to make.

· Surplus recommends that we run the ebay bidding for 14 days where anyone can bid and the highest bid win the lions.

· Surplus recommends that the CPB have no minimum bid ($1.00) is enough to win. The winner would be required as stated in the advertisement to completely remove the awarded lion and all the associated items.

· It was the executive director’s recommendations that if there is any money offered for these lions that it offset the cost which surplus will incur listing these lions on line with ebay for the CPB.

· Schedule - following the board meeting (if approved), the CPB office would place the add in the news paper for 10 working days. Immediately following the new paper add Surplus would place the items for sale on ebay. Bidding would be closed within 14 calendar days. The whole process should be over with in four weeks from the Board meeting.

The Subcommittee recommends this procedure to the Board.

2. The Subcommittee reviewed the FY2010 office budget plan and the question of reduced lower fees for space during the legislative sessions. All members recognized the connection between the large amount of dedicated credits that make up the boards budget and there relationship to the fees charged for space rental. The concept of reduced fees during the Legislative session will have a negative impact on the office dedicated credit budget. During the discussion the executive director presented three options that looked at facility use fee during legislative sessions. These options included 1) No reduction in fees, 2) Reduction in fees, and 3) No fees.

Recognizing this connection the subcommittee requested that the executive director review each of the options and inform the subcommittee, at the next meeting, what additional General Fund would be needed to offset the reduction of the dedicated credits.

3. The next meeting was scheduled for Monday, June 1, 2009 at 3:00 PM. The Meeting will be held in the Capitol Board Room.

Subcommittee Meeting of April 22, 2008 Synopsis

The Subcommittee reviewed five items during the meeting as follows:
· Capitol Preservation Board Parking Rules – members of the subcommittee approved the rule changes and recommended it to the full board for approval at the next board meeting.
· Bountiful Lions Club Request – the subcommittee decided to request clarification on the proper way to dispose of or gift items to an organization. The question was raised regarding fairness in recognizing one organization over others. The Executive Director was asked to provide additional information at the next meeting.
· Capitol Preservation Board Facility Use Rule – The subcommittee approved several minor modifications dealing with such items as; insurance, open flame for catering, relocation of catering fees to fee section, and some general edits. The subcommittee did not make a decision on fees or costs for legislative session. Further discussion will be had at the next meeting.
· CPB office budget development was reviewed.
· CPB office budget plan for FY2010 was discussed.

The next meeting of the Budget Development and Board Operations Subcommittee will be on May 7, 2009.

AGENDA

CAPITOL PRESERVATION BOARD JOINT SUBCOMMITTEE MEETING

Budget Development and Board Operations
Preservation, Planning and Maintenance Subcommittee


Wednesday, April 22, 2009
3:00 p.m.
Capitol Room 170
Utah State Capitol


1. Call to Order
· Approval of May 20, 2008 Meeting Minutes
2. Capitol Preservation Boards Parking Rule
3. Bountiful Lions Club Request
4. Capitol Preservation Boards Facility Use Rule
5. Capitol Preservation Board FY2010 Budget - Office Plan
6. Capitol Preservation Board FY2011 Budget
7. Close out of the Capitol Project Paperwork
8. Update on the State Office Building/Executive Building Study

April Meeting Change

There will be a combined meeting of the Preservation and Maintenance subcommittee and the Budget and Board Operations subcommittee on April 22 at 3:00 PM in Room 170 of the Utah State Capitol.

Subcommittee Meeting Schedule for 2009

The Budget and Board Operations meetings will all be held typically at 3:00 pm in the Capitol Boardroom unless noted otherwise. The meeting dates are as follows:

· April 22, 2009 - Room 170 State Capitol
· May 7, 2009 - Room 130 State Capitol
· June 4, 2009
· July 2, 2009
· August 6, 2009
· September 3, 2009
· October 1, 2009
· November 5, 2009

January, February and March Meetings

During the Months of January, February and March due to the new time frame of the Legislative Session the subcommittee meetings have been cancelled. Subcommittee meetings will begin in April.