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Update on Real ID Act

February 21, 2007 - It is virtually impossible for California—or any other state—to implement the Real ID Act by the federal deadline of May 2008. Federal regulations for implementing the act are expected to be delayed until July or August of 2007 and there is no federal plan to fund the costly mandate. Nonetheless, the administration has indicated that it may request funding to implement Real ID as part of the spring revision process. Given the current lack of information regarding federal requirements and funding, as well as growing opposition to the act in other states, we recommend the state go slowly for now, and limit spending to planning activities.


Report

Information Technology at the Water Boards

February 21, 2007 - On numerous occasions, the Legislature has stressed the fundamental role that management of data—including permitting, enforcement, and water quality—plays in assisting the State Water Resources Control Board carry out its mission. Legislative oversight of the board’s information technology (IT) projects is critical, as we find that the board has been developing information technology systems outside of the budget process and that the board lacks an up-to-date strategic plan to guide its IT activity. We make a number of recommendations to provide the necessary oversight.


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CALFED Bay-Delta Program

February 21, 2007 - The budget proposes $473.6 million across eight state agencies for the CALFED Bay-Delta Program in 2007-08. We recommend tying the use of performance measures (currently under development) to the budget process, and raise concerns about a number of CALFED’s budget proposals. Specifically, we find that the funding proposal for the South Delta Improvements program is premature, matching funds are lacking to allow the surface storage feasibility study work to practically proceed, and that the budget inappropriately proposes bond funds to replace water user funding contributions that have run out to support a conservation planning effort that benefits the water users.


Report

Funding for State Parks Maintenance

February 21, 2007 - Despite a growing backlog in deferred maintenance at state parks (currently over $900 million) the budget provides no funding to address the problem. There is also a significant funding shortfall related to ongoing maintenance at state parks. To address these problems, we recommend using $160 million of Proposition 84 bond funds allocated to state park restoration and rehabilitation for deferred maintenance, and augmenting the department’s ongoing maintenance budget by $15 million, funded from fees.


Report

Wildland Fire Protection Expenditures

February 21, 2007 - The fire protection budget of the state’s forestry department (mostly funded from the state General Fund) continues to rise significantly. This reflects changing forest conditions fueling fire risk, increasing housing development at the wildland-urban boundary, and increasing labor costs. We make a number of recommendations to control the rising costs, including clarifying state and local roles for providing emergency services, modifying the criteria by which land is designated a state responsibility for fire protection, and enacting a fee on private landowners to partially cover the state‘s costs in providing fire protection services that benefit them.


Report

Implementation of "AB 32" Global Warming Solutions Act of 2006

February 21, 2007 - The budget proposes $36 million across several state agencies to implement 2006 legislation (AB 32, Nuñez) that sets objectives and provides a roadmap for reducing greenhouse gas emissions in the state. The Governor’s climate change budget proposals circumvent legislative direction, by moving prematurely to implement a market-based regulatory mechanism and assigning a role to the Cal-EPA Secretary that goes beyond coordination. There also is no long-term plan for funding these proposals, a concern since most of the proposed funding sources will run out in the next budget year.


Report

Budget Status of State Water Project

February 21, 2007 - We recommend that funding for the State Water Project (SWP), the state’s main water conveyance system connecting Northern and Southern California, be brought "on budget." This is because SWP’s current off-budget status makes it difficult for the Legislature to comprehensively address the state’s water policy issues, particularly in light of SWP’s increasing fiscal and programmatic ties to other state on-budget programs, such as the CALFED Bay-Delta Program.


Report

Flood Management Issues

February 21, 2007 - The budget reflects a major infusion of funding, mostly from bond funds, for flood management. We make a number of recommendations to ensure that a systematic approach is used to complete improvements and repairs to the state’s Central Valley flood control system, including requiring the Department of Water Resources to provide a plan for independent review and oversight of its flood-related capital outlay projects.


Report

Resources Bonds

February 21, 2007 - The budget proposes over $2.3 billion in bond funding for various resources programs, most of which comes from two resources bonds approved by voters in November 2006. The state would spend substantially higher bond amounts than in the current year, particularly for flood management. To ensure the effective and efficient implementation of the new bonds, we recommend that the Legislature set funding priorities to guide new programs created by the bonds; establish appropriate cost-sharing arrangements; ensure related programs are coordinated; and exercise oversight by holding hearings, establishing reporting requirements, and controlling administrative costs. review infrastructure


Report

Sex Offender Proposals Generally Consistent With New Laws, But More Detail Required

February 21, 2007 - The Governor's budget includes two proposals related to the management of sex offenders under parole supervision. We recommend approval of the proposal implementing recommendations of the High Risk Sex Offender Task Force, but find that the proposal to implement new state laws lacks important implementation details and is overbudgeted. We further recommend the creation of a in-prison sex offender treatment pilot program, funded from savings generated by our recommended technical adjustments to the Governor's proposal.


Report

The State Has Inadequately Maintained Its Major Investment in Prison Infrastructure

February 21, 2007 - The state faces a growing and costly backlog of special repair work due in part to the way the California Department of Corrections and Rehabilitation has managed and organized the responsibilities for keeping prisons in good repair. We recommend adjustments to an administration proposal to increase spending for these purposes by $46 million, as well as further actions by the Legislature to protect the state's major investment in correctional infrastructure.


Report

Enhancing Public Safety by Increasing Parolee Employment

February 21, 2007 - Estimates are that a majority of state parolees are not regularly employed, a factor which research has shown to be linked to offending. We identify several steps the Legislature should take to increase rates of parolee employment, including targeting funding to cost-effective programs, continuing federal funding, looking outside of California for successful approaches, requiring the department to track parolee employment rates, improving the contracts for parole referral programs, and improving case management.


Report

Governor's Prison Overcrowding Package Is More Balanced But Too Big

February 21, 2007 - The Governor requests a total of $9.6 billion for a 14-part package of proposals designed primarily to address overcrowding in state prisons and county jails. While the package offered by the administration has merit, we identify a number of concerns, in particular that the package would result in a large surplus of state prison capacity and provide the wrong mix of beds. We recommend that the Legislature consider an alternative package that would also address overcrowding but result in a more limited surplus of prison beds, provide a better mix of beds, and reduce state costs.


Report

Juvenile Population Shift Warranted But Construction Funding Not Justified

February 21, 2007 - The Governor's budget proposes to shift some juvenile offenders from the state to the local level and enact a new state grant program to build county juvenile facilities. We find the juvenile institutional population shift proposed by the administration to be fundamentally sound policy, in part because the juvenile system is a generally a local responsibility. Accordingly, we recommend its approval by the Legislature with some technical modifications. However, our analysis indicates that the administration's proposal to provide $400 million in lease-revenue bond funding to build 5,000 new local juvenile beds is not justified given the current surplus of 4,000 such beds statewide.


Report

The California Prison Receivership: An Update

February 21, 2007 - The federal court appointment last year of a Receiver to take over the state's prison medical care system is already resulting in a number of actions intended to improve inmate care as well as significant uncertainties regarding the state costs and savings likely to result from his actions . Our analysis indicates that the Legislature faces uncertainties over the extent of costs and savings resulting from the actions of the Receiver. We also find that there are opportunities for legislative oversight of these major changes in the prison medical system, such as legislative hearings to better understand the fiscal and operational implications of the remedial plan that the Receiver is to submit to the federal court along with metrics to measure progress in improving inmate medical services.