Note: This year IFF rated maintenance bills according to a more refined system. This is an enhancement bill, and will be rated as a standalone bill. IFF will only consider enhancement line items in these ratings. This means that FTP reductions passed in maintenance legislation will not be evaluated here, among other things.
Bill Description: Senate Bill 1432 is an enhancement of $864,900 and a transfer of 58.00 full-time positions for the Department of Health and Welfare (DHW) for the Divisions of Indirect Support, Licensing and Certification, and Independent Councils (collectively known as “Other Programs”) for fiscal year 2027. This legislation appropriates a total of $72,465,200 and 267.75 full-time positions to the agency.
Rating: -2
Is the continuation or growth in ongoing spending, if any, inappropriate for the changes in circumstances, scope of the agency, or current economic environment? Conversely, is the continuation or growth in ongoing spending appropriate given any change in circumstances or economic pressures?
This legislation authorizes an ongoing spending enhancement for these DHW Divisions of $434,900, adding onto last year’s (FY26) increase in ongoing spending of $140,400. FY26’s ongoing spending is wrapped into FY27’s base increase, making ongoing spending especially important to scrutinize. Volatility in these increases (or decreases) is to be expected, and makes discernment on the propriety of new spending imperative.
This ongoing expenditure consists of three enhancements. The first being a Budget Restoration to Independent Councils ($60,000 GF). Almost all agencies faced the additional 2% JFAC holdback, and agencies asking for exemptions or restorations do a disservice to agencies that accepted the entire 5% holdback.
(-1)
The second enhancement is OITS Modernization ($524,900 G/FF). This completes the transfer of employees from DHW to OITS. The third item implements Senate Bill 1314 to consolidate regional behavioral health boards, among other changes. This represents a reduction (savings) of $6,200 General and $143,800 Federal funds, already approved in S1314
(0)
Does this budget incur any wasteful spending among discretionary funds, including new line items? Conversely, does this budget contain any provisions that serve to reduce spending where possible (i.e. base reductions, debt reconciliation, etc.)?
This legislation authorizes onetime spending for these DHW Divisions of $430,000, adding additional expenditures after last year’s (FY26) onetime spending of $3,578,300. Onetime spending is often even more volatile than ongoing spending, which is to be expected due to the onetime expenses generally being utilized for projects or capital outlay. This also calls for special scrutiny and discernment.
The sole onetime expenditure is for replacement items ($430,000 D/FF).
(0)
Does this budget perpetuate or expand state dependence on federal dollars, thereby violating principles of federalism? Conversely, does this budget actively reduce the amount of federal dollars used to balance this budget?
This legislation appropriates $271,300 in new federal enhancements to the agency for replacement items and the above mentioned grants. This represents a commitment to continued reliance on borrowed federal dollars, deepening the dependence on the federal government and violating the principles of federalism.
New enhancements outweigh reductions in federal spending from S1314.
(-1)
Does the budget grow government through the addition of new, objectionable, permanent FTPs or through funding unlegislated efforts to create new or expanded existing programs? Conversely, does this budget reduce the size of government staff and programs except where compelled by new legislation?
This legislation represents a reduction of 58.00 FTP at the DHW. This is a transfer of employees to OITS.
(0)
