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Budget/Policy Analysis

Report

Analysis of the 2005-06 Budget Bill, Health and Social Services Chapter

February 24, 2005 - Analysis of the 2005-06 Budget Bill, Health and Social Services Chapter


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Analysis of the 2005-06 Budget Bill, Judiciary and Criminal Justice Chapter

February 24, 2005 - Analysis of the 2005-06 Budget Bill, Judiciary and Criminal Justice Chapter


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Analysis of the 2005-06 Budget Bill, Resources Chapter

February 24, 2005 - Analysis of the 2005-06 Budget Bill, Resources Chapter


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Analysis of the 2005-06 Budget Bill, Transportation Chapter

February 24, 2005 - Analysis of the 2005-06 Budget Bill, Transportation Chapter


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Analysis of the 2005-06 Budget Bill, Capital Outlay Chapter

February 24, 2005 - Analysis of the 2005-06 Budget Bill, Capital Outlay Chapter


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Analysis of the 2005-06 Budget Bill, Education Chapter

February 24, 2005 - Analysis of the 2005-06 Budget Bill, Education Chapter


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Williamson Act—Subventions for Open Space

February 18, 2004 - The Williamson Act allows cities and counties to enter into contracts with landowners to restrict certain property to open space and agricultural uses. In return for these restrictions, the property owners pay reduced property taxes because the land is assessed at a lower-than-maximum level. We recommend that the Legislature provide for the gradual elimination of payments to local governments for the local revenue losses associated with Williamson Act contracts.


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Vehicle License Fee Issues

February 18, 2004 - The prior administration’s action to increase the VLF and the current administration’s subsequent action to reverse that increase have resulted in a number of issues of concern to the Legislature, including (1) the amount of VLF backfill that local governments did not receive during the current year “gap” period, (2) the amount of the backfill loan to the state from local governments, and (3) the amount of backfill to be provided to local governments experiencing hardship. We review the status of these issues and recommend that the State Controller provide information to the Legislature regarding the status of VLF backfill payments and gap period revenues. Accordingly, we withhold recommendation on the administration’s proposal to provide $51 million in local government hardship funding. We also recommend that the Legislature adopt the administration’s proposal to retain the current vehicle depreciation schedule adopted in conjunction with the 1991 program realignment.


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Local Government Housing Mandates

February 18, 2004 - As part of its general plan, every city and county is required to prepare a "housing element" which assesses the conditions of its housing stock and outlines a five-year plan for housing development. This mandate costs much more than the Legislature expected and does not ensure the construction of affordable housing. We recommend that the Legislature eliminate the mandate.


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Booking Fees

February 18, 2004 - Booking fees are charges imposed on cities, special districts, school districts, colleges, and universities to recover the costs associated with booking persons into the county jail. County authority to impose booking fees gives local agencies incentives to use county booking and detention services wisely and efficiently. Eliminating this incentive likely would result in significant increases to county costs, without any identifiable gain to public safety. We recommend the Legislature maintain county authority to impose booking fees.


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UC Research Facilities

February 18, 2004 - The University of California (UC) receives billions of dollars a year from faculty research contracts and grants (primarily with the federal government and private companies and organizations). Included in this revenue is hundreds of millions of dollars that the university charges for the use of facilities for this research. Because UC has the ability to recover these costs, we recommend the construction of new faculty research facilities be funded from this nonstate revenue.


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Surplus Property Program

February 18, 2004 - We describe the state's process of identifying and disposing of unneeded state land, and acknowledge some of the limitations in the revenue generating ability of the surplus property program.


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Evaluating Future Economic Development Program Proposals

February 18, 2004 - We recommend that the Legislature require a well-researched problem, a demonstrable net benefit, and built-in evaluations when considering any future proposals for state economic development programs. This would allow the Legislature to be more certain of the effectiveness of proposed programs.


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Contracting Out for State Services

February 18, 2004 - The administration proposes a constitutional amendment to expand the circumstances in which the state can contract with private entities. We provide guidelines the Legislature may want to consider as it evaluates the administration's proposal. We refer to a report published in our 1996 Perspectives and Issues in which we found that carefully managed privatization can, under the right circumstances, provide specialized expertise, save money, and/or result in improved service delivery. Poorly managed privatization, or privatization under the wrong circumstances, however, can lose money and result in poor service delivery.


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State Information Technology Projects

February 18, 2004 - In March 2003, the Department of Finance began a statewide assessment of 117 state information technology (IT) projects. The results of the assessment indicate that departments are having problems (1) developing their IT projects and (2) adhering to state policies. Our analysis examines the assessment results, identifies some possible deficiencies in the state's IT processes, and makes recommendations on how the Legislature can address the deficiencies.