Legislative Analyst's Office Analysis of the 2003-04 Budget Bill

State Personnel Board (1880)

The State Personnel Board (SPB) has the authority under the State Constitution and various statutes to adopt civil service rules and regulations. An executive officer appointed by the board is responsible for administering the merit aspects of the state civil service system. (The Department of Personnel Administration administers the nonmerit aspects of the state's personnel systems.) These duties include, but are not limited to, adopting classifications within the State Civil Service System, conducting hearings and appeals on matters of discipline for civil service employees, and developing and administering the merit-based civil service hiring and promotional process.

The board and its staff are also responsible for establishing and administering, on a reimbursement basis, merit systems for certain city, county, and civil defense employees, to ensure compliance with federal requirements. In addition, SPB is responsible for coordinating equal employment opportunity efforts within state and local government agencies, in accordance with state policy and federal law.

The budget proposes $16 million for SPB support in 2003-04, which is $3.4 million, or 17 percent, below current-year estimated expenditures. The proposed expenditures consist of $3 million from the General Fund and $13 million in reimbursements from state departments and other government entities. This reduction is due to the proposal to cut SPB's General Fund support by more than half (discussed below).

No Information on Proposed General Fund Cut

We withhold recommendation on the requested reduction of $3.8 million General Fund and 57 positions, pending receipt of detailed information on the proposed cuts. 

The Governor's budget proposes a reduction of $3.8 million General Fund and 57 positions for SPB. This would result in a 53 percent decline in General Fund support from the current year, leaving $3.1 million for the budget year. Activities funded by reimbursements would be unaffected. The budget notes that General Fund support for the following SPB functions would be retained:

• Hearing appeals of disciplinary actions, as prescribed in the State Constitution.
• Developing exams for the civil service hiring process.
• Providing advice and assistance related to the Dymally-Alatorre Bilingual Services Act, which sets standards for access to state services by non-English-speaking persons.

At the time of our analysis, we did not have any specific information on the nature or allocation of the total proposed reduction. For example, we do not know the impact of these reductions on other SPB functions, some of which are also specified in the Constitution. Such duties include (1) enforcing laws that govern the civil service system, (2) adopting classifications that spell out qualifications for and duties of positions in state government, and (3) hearing various nondisciplinary appeals. Consequently, we withhold recommendation on this proposal, pending receipt of detailed information on the proposed cuts.