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Comptroller optimistic, yet cautious

Lawmakers will have to balance spending needs and tax cuts

Susan Combs

As the Texas Legislature descended on the state Capitol this week, members were met with the good news from the state comptroller that they would have a $14 billion surplus to use in writing the 2008-2009 budget.

But they also had to wrestle with how to avoid breaking the state's constitutional limit on spending increases, since the $13.5 billion in local property tax cuts approved last year will have to be replaced with state spending.

This week, the Legislative Budget Board adopted a spending cap allowing only 13.1 percent growth in state spending. Since property tax cuts are expected to cost that much, lawmakers must now either cut state agency budgets, vote to exceed the spending cap, or quickly pass a constitutional amendment asking voters to approve exempting property tax cut costs from the spending cap. The spending cap, based on economic indicators, was added to the Texas Constitution in 1978 to restrict government growth.

Meanwhile, State Comptroller Susan Combs and other state leaders cautioned that the surplus was not "just loose change. A lot of it is already allocated to education and various other things. So it's not really just free money."

For example, public education needs - fueled by enrollment growth - will require an infusion of $7 billion. Lawmakers will also be asked to spend additional money on prison construction and other pressing state needs.

According to the LBB's Fiscal Size-Up report, nearly forty percent of Texas' all funds budget goes toward education, with health and human services accounting for the second biggest budget category, at nearly 35 percent of total spending.

Combs' revenue estimate reflects that the state's economy has been "producing vigorous revenue growth to serve Texans' needs. However, it is my duty as comptroller to point out that I do expect a cooling of the economy in the months ahead."

Three important measures of the Texas economy -- the housing market, oil and gas prices and consumer spending -- are slowing, Combs noted. In particular, she noted "a dramatic shift" in new home starts in Texas, which a year ago were up 20.7 percent and were down 12.4 percent last October.


Lone Star

Joey Longley

Joey Longley· Director of the Sunset Advisory Commission

Career highlights and education: I am a graduate of Texas A&M University with a BBA degree in Business Management. I have grown up working at Sunset, starting as an entry-level analyst out of college. I have been the director since 1995.

What I like best about my job is: Having a role in shaping state policy by melding policy research with politics to help the Legislature make government work better.

Best advice I've ever received for my current job: Know who's the boss and don't surprise them.

Advice you would give a new hire in your office: Park the ego you gained from your education and listen and learn.

People would be surprised to know that I: Used to have shoulder-length hair and was a singer in a rock 'n roll band.

If I snuck out early, I could probably be found: On the golf course.

One thing I wished more people knew about my job: What the Sunset Commission actually does.

Book, magazine or newspaper article I've read recently that really influenced my thinking: I have been through a one-year read of the Bible each of the last six years. You can't help but be influenced by the daily contact.

Each week, the Texas Government Insider profiles a key government executive or decision-maker in state government. If you would like to suggest a “Lone Star,” please email us at editor@spartnerships.com. We’re also interested in hearing about promotions, reorganizations, awards or other news related to work inside Texas state agencies. Drop us a line!


Houston task force targets store crime

Bill White

Houston city leaders have formed a task force of store owners, security consultants, gasoline company representatives and community members to study ways to reduce crime at the city's convenience stores.

In announcing the formation of the task force, Mayor Bill White said, "We're doing this because we want to protect our stores, their employees and customers. We wanted some of the best minds in the business to help us with strategies to prevent crime and not just to react to it."

The groups will analyze the stores' surveillance technologies, building codes, management processes and law enforcement procedures and make recommendations to the mayor for new ways to reduce crime.

The city already has begun combating neighborhood crime with better lighting in troubled areas.


Lawmaker wants dedicated tax for parks

Rep. Harvey Hildebran has filed the Texas Parks Restoration Act to set aside all money from the sporting goods sales tax for state parks.

Last year, the State Park Advisory Committee reported that Texas ranks 49th in the country in per capita spending for parks and recommended the state spend $80 million a year on state and local parks.

Texas lawmakers two years ago capped the amount of revenue flowing from the sporting goods tax to state parks at $32 million, diverting the rest to general revenue needs. Last year, only $20.5 million went to parks, including $5 million for local parks.

This week, Gov. Rick Perry reaffirmed his commitment to keeping a park at Tarrant County's Eagle Mountain Lake and said the state needs to spend more on parks generally but he also sounded a note of caution against building too large of a dedicated fund.


Supreme Court refuses to intervene in Medicaid case

The U.S. Supreme Court refused this week to hear the state's appeal of a ruling by U.S. District Judge William Wayne Justice that found the state of Texas out of compliance with an 11-year-old agreement to improve health care for uninsured children. That means that Justice's ruling still stands and could lead to federal court direction of state Medicaid funding.

Susan F. Zinn, the San Antonio attorney representing plaintiffs in the class action lawsuit, said she has asked Justice for a hearing to enforce the consent decree, which Texas signed in 1996.

The Texas Attorney General's office argued that Texas spends more money than any other state on Medicaid screening and outreach. But the plaintiffs say the number of children represented by the lawsuit who received no medical checkups increased from 941,000 in 1993, when the suit was filed, to almost 1.5 million in 2005.


Houston buys park land to forestall development

The $9.2 million purchase of a northwest Houston park by the City of Houston will help preserve the 20-acre wooded area, an important habitat for birds and other wildlife.

The city purchased the property, known as the West 11th Street Park, from the Houston Independent School District, which declared the property surplus in 2004. Nearby residents have used the park for enjoyment since the 1950s, when the area surrounding it was first developed.

Part of the purchase was paid for with a bank loan secured by a portion of the land in a creative arrangement to allow non-profit groups more time to raise money to pay for the park. Area residents had feared the land would be sold to private developers, who would construct town homes and condominiums on the wooded site.


State hires assistance to put out huge fire

Officials at the Texas Commission on Environmental Quality have hired a private company to help put out a gigantic mulch fire that has been smoldering in the south Texas town of Helotes since Christmas.

The commission hired a company to oversee the fire fighting operation, which is expected to last until late January.

Mayor Jon Allen said the enormous pile of mulch has created smoky conditions and has caused health concerns for local residents.


Grant to help Austin identify lead problems

Lloyd Doggett

The City of Austin's Office of Neighborhood Housing and Community Development will get a $3.7 million lead hazard reduction demonstration grant from the U.S. Department of Housing and Urban Development to fund the testing of children for lead poisoning.

"Healthy children need healthy homes," said U.S. Rep. Lloyd Doggett. "This grant will help treat children suffering from lead poisoning and rehabilitate housing that poses health risks to Austin families."

Approximately 180 children and 135 homes are expected to be served during the three-year project, which also provides for removal of lead paint from homes identified through the testing as contaminated.


Travis County groups pooling mental health resources

Public spending on mental health resources in Travis County will significantly increase with the formation of a new partnership pooling the resources of a number of non-profit groups, hospitals and local governmental entities.

But now a collaboration of hospitals, nonprofit groups, governments and the Travis County Healthcare District plans to spend more than $3 million to broaden the safety net. Specifically, the Travis County Healthcare District will provide $1.9 million to pay for 585 uninsured people each year to receive services at Seton Shoal Creek, a private psychiatric hospital; the City of Austin has earmarked $1 million for new transitional housing for homeless people coming out of the state psychiatric hospital and Travis County will spend $400,000 on a new mobile crisis outreach team to help people at home.

Austin has lagged behind other major Texas metropolitan areas in providing emergency psychiatric care because it only recently formed a hospital district which could address the cost.


East Texas towns join forces for wastewater plant

Led by the Sabine River Authority, several small and mid-sized East Texas towns are considering pooling their resources on the construction of a regional wastewater treatment facility.

The cities of Greenville, Caddo Mills and Quinlan, as well as the Cash and Caddo Basin Special Utility Districts, are participating in the SRA-led study partially funded by the Texas Water Development Board.

Officials say the ideal plant would serve the growing areas around Greenville and help eliminate the need for new septic systems in the region.


Texas colleges rank high in value

Texas public colleges fared well in a national ranking of the "best values" in higher education, with the University of Texas at Austin ranked 24, Texas A&M University at 26 and UT-Dallas placing 69th.

Kiplinger's Personal Finance, which publishes the financial-oriented "Kiplinger Letter, " said its ranking focus on traditional four-year schools with broad-based curriculums, so schools that offer great value but focus on special or narrow academic programs are excluded.

The University of North Carolina came in at No. 1 on the 2007 list.


TAMU may expand with Corpus land deal

Flavius Killebrew

The City of Corpus Christi is negotiating with Texas A&M University-Corpus Christi to sell or give Oso Beach Municipal Golf Course and surrounding land to the university.

The land acquisition will allow enrollment to almost double to about 16,000 students, university officials said.

"We're pretty desperate for having a place that is relatively close to allow us to continue growth," university President Flavius Killebrew said. "In terms of providing the kind of synergy for expansion, this certainly seems to have that."

City and university officials have been talking about the proposed deal involving about 200 acres since June, and they hope to have a decision within 10 days. The city is considering a donation since the university's success is critical for the region's economic success and long-term growth. However, the deal is dependent on the city finding an alternate municipal golf course by either buying an existing course or building a new one.


Victoria to get ethanol facility

An ethanol producer has signed a letter of intent with the Victoria County Navigation District to build and operate an ethanol production facility in the Port of Victoria Industrial Park.

Officials say the project will provide 200 construction jobs in the short term and about 40 to 50 full time employees once the plant is operational.

The plant will turn corn and sorghum into fuel ethanol, providing a renewable gasoline component and opening a significant new market for Texas agriculture products.


AG: Edwards authority lacks legal clout

Doug Miller

In an opinion released this week, the Texas Attorney General's office ruled that a law governing the Edwards Aquifer Authority is contradictory and needs to be cleared up before the agency imposes stricter water limitations.

The law permitting the EAA to reduce pumping from the aquifer seems to also mandate that it issue pumping permits above a specified amount, the opinion stated.

Rep. Harvey Hilderbran requested the opinion. Edwards Aquifer Authority board of directors Chairman Doug Miller (pictured) said the opinion points to the need to get new aquifer legislation in place.

"Now we know and the legislature knows that we've got to take some action," he said.


Taser use faces legislative scrutiny

A proposal in the Texas Legislature would restrict how law enforcement officers in Texas use tasers - guns that emit an electrical shock - on criminal suspects.

Rep. Lon Burnam would restrict the use of tasers to the same criteria for using deadly force, meaning they could only be used to counteract the threat of deadly force. Tasers essentially incapacitate people with an electrical shock, and have been used to defuse potentially dangerous situations for police officers.

While some law enforcement officials oppose the new restrictions, Burnam said he was concerned about the "overuse and abuse" of the weapons.


Chertoff plans meeting with Texas mayors

Although doubt has been cast on a proposed fence along the U.S.-Mexico border, Department of Homeland Security Secretary Michael Chertoff plans to meet with the mayors of a dozen Texas border cities to discuss its construction.

Texas Republican Sens. Kay Bailey Hutchison and John Cornyn said Tuesday that about a dozen Texas border mayors will meet with Chertoff next week to try to influence how a fence would be laid out within their communities. The proposal has raised concerns about property rights.

The Republican-controlled Congress last year approved, but did not fund, a fence - partially physical and partially "virtual" through the use of surveillance and law enforcement - to curb illegal immigration. But a spokesman for House Speaker Nancy Pelosi said it was unlikely the new Congress would follow through.


Texans to push for military spending

Although the last Congress failed to act on a military spending bill, Texas lawmakers this week said they will continue to advocate for funding for projects on the state's bases.

In jeopardy is $126 million in new funding for projects at Fort Sam Houston and Lackland AFB. Officials acknowledged it could take several months of congressional scrutiny before the appropriations are resolved.

U.S. Rep. Lamar Smith, whose district includes Fort Sam Houston, said he will press for additional funding for the base, which is expected to receive 11,000 new military personnel, beginning this year, as the Pentagon consolidates military medical training for all enlisted personnel. Current funding levels, he noted, "will not address the new and growing needs of our local military installations."


Dallas red light camera tickets to begin

The City of Dallas, which has been conducting a warning phase of its red light cameras, next week will begin issuing citations to drivers caught on film running a red light. Officials said in the last month, 1,305 warnings had been issued to violators.

Police officials said that on Monday, citations carrying a fine of $75 for the first and second violation and $150 for a third violation within a 12-month period, will be issued to drivers.

Cameras employing radar detection snap pictures when a traffic signal turns red. Two pictures are taken by the cameras. To receive a citation, the first picture must show that the front of the vehicle had not entered the intersection when the light turned red and the second picture must show the vehicle continued through the intersection. That photo also records the license plate of the vehicle. The camera records the date, time of day and time elapsed since the beginning of the red signal.

Police said drivers who enter the intersection prior to the light turning red, but who, for whatever reason, are trapped in the intersection when the light changes, do not trigger the camera and will not receive a citation. So far, Dallas has used cameras at 10 intersections, but plans to expand their use to 50 more locations by May.


FEMA sends Texas $5.1 million for Rita recovery

The Federal Emergency Management Agency has earmarked $5.1 million to Texas to help the state recover from damages inflicted by Hurricane Rita.

The money will fund two projects: the Texas Department of Transportation will receive $4 million for emergency measures during the response and recovery and Lamar University will receive $1.1 million for repairs at its hurricane-damaged Vincent-Beck Baseball Stadium.

Since Rita struck in 2005, Texas has received $368 million in FEMA Public Assistance grants.


Coastal erosion top Galveston concern

Galveston officials hope the Texas Legislature will find funding to augment efforts to stave off coastal erosion that is eating away some of the island's best properties.

Lou Muller, park board executive director, said erosion was the board's "top priority," adding that "our concern is that the legislature may choose to substitute federal money for the state money we've had for the last four (legislative) cycles."

Muller said he hopes area lawmakers can convince their colleagues to support a permanent funding source to combat the erosion problem.


Central Texas communities to share EMS

The Central Texas Council of Government and officials from Copperas Cove, Gatesville and Coryell County are discussing how to fund and administer a proposed centralized emergency dispatch center.

Officials are hoping a new centralized system could help save lives by improving response time and preventing dropped calls.

Among the issues on the table is the proposed hiring of an outside consultant who can best advise Coryell County on how to build a multi-agency interoperability communications system and which agencies should be included. The biggest obstacle would be funding the upgrade of the bulk of the county from the old VHF (very high frequency) system to newer technology such as a 700 or 800 megahertz system.


City officials take on new responsibilities

Albert Uresti

Officials at several Texas municipalities have taken on new duties and leadership roles. Among the recent changes in local government:

  • Grant Madden was officially named the new Emergency Services Director for the City of Sweetwater.
  • Blaine Hinds will retire as city manager of Bonham on April 30. City Council members there hope to name a permanent replacement upon Hinds' retirement.
  • Albert Uresti (pictured) has been named interim city manager of Ingleside.
  • Beaumont City councilman Audwin Samuel has been named chair of the public safety and crime prevention committee of the National League of Cities.

State employees' job satisfaction: State leaders receive alert

Mary Scott Nabers

By Mary Scott Nabers, CEO of Strategic Partnerships, Inc.

Lawmakers assembling this week at the state Capitol will be asked to absorb a flood of information on crucial issues that must be addressed in the 140-day session. There will be thousands of distractions each day as critical and time sensitive issues reach their desks. It does not take long for most offices to begin feeling overwhelmed. But, in spite of the huge workload, attention should be given to a state auditor's report that lays out noteworthy obstacles the state faces in maintaining a well-qualified workforce to perform essential government services.

Currently, Texas state agencies employ about 145,000 regular employees, both fulltime and part-time. That number does not include 187,000 workers employed at the state's colleges and universities. That is a huge workforce and one that is critically important to the delivery of services to a population that is increasing at breakneck speed.

There are some interesting statistics in the report. The average state employee is 43.4 years old, has been employed by the state for 10 years and earns a salary of just shy of $35,000. Women dominate the workforce (comprising 55 percent), and state employees are ethnically diverse, with 55 percent Anglo workers, 23 percent Hispanic and 21 percent African-American.

The report lays out some alarming facts as well and state leaders will want to take note of some of the following:

  • The state's workforce is aging, with the median age jumping about two years in the last four years. Well over 12,000 employees were eligible to retire last year. Although 10,000 of those eligible for retirement decided to continue working, a mass exodus could occur at any time which would leave the state vulnerable. Most of those eligible for retirement are in the higher ranks of governmental agencies and these are the individuals holding the bulk of historical perspective and intelligence gained from decades of experience.
  • The state will continue to face increased competition with private industry for well-trained workers. Texas currently employs more than 30,000 people in occupations in which there will be a national shortage in the next decade. Since the state typically pays less than the private sector, this is a concern that becomes even greater with the realization that rising health care costs and inflation have offset recent state employee pay raises.

The auditor's report noted that the state would be well-advised to increase its investment in training to maintain the quality of its workforce. One positive note in the report lauded state programs offering flexible work schedules and telecommuting, saying "such programs help employees achieve success in both the workplace and at home and influence employee retention and morale."

The state of Texas, like every other employer, must continually search for creative ways to protect its most valuable asset: its workers.


New consultants join SPI team

Ray Baray

Strategic Partnerships, Inc., is pleased to announce it has hired a new senior consultant, a consulting coordinator and a research analyst, all of whom bring extensive government backgrounds to the SPI team.

Joining SPI as a senior consultant is Ray Baray, who recently completed service as Deputy Secretary of State in New Mexico. Prior to his stint in New Mexico, Baray served as Intergovernmental Relations Manager for the City of San Antonio. He has also worked as a public affairs officer for private sector organizations and as a special assistant to a Texas Attorney General and House member. He is a graduate of Trinity University.

Maria Campos

Maria Campos, who has served as a key aide to members of both the Texas House and Senate, joins SPI as a consulting coordinator. A graduate of St. Edward's University, Maria has extensive knowledge of state government, as well as a strong portfolio of community involvement and volunteerism.

Kathleen Costello

Kathleen Costello has joined the SPI team as a research analyst. Costello, a certified project management professional, has worked in a variety of private sector positions and has extensive experience as a systems analyst and project manager with several major state agencies.


Texas cities, ports eligible for security funding

The U.S. Department of Homeland Security's Infrastructure Protection Program has determined that several Texas cities and ports are eligible for security funding.

"Our nation's ports and transit systems are vital to the global economy and our way of life," Sen. Kay Bailey Hutchison said. "I am pleased that the Department of Homeland Security has prioritized risk analysis in determining funding eligibility. Our nation's security is enhanced when risk and need trump politics in distributing homeland security dollars."

The IPP includes a number of individual grant programs that target specific areas vulnerable to terrorist attacks, such as ports and mass transit. Based on risk analysis, Houston, Galveston, and Texas City have been designated Tier 1 and may apply for a collective total of $15,720,981 in security funding. The ports of Beaumont and Port Arthur, also Tier 1, may apply for a collective total of $10,961,035. The ports of Corpus Christi, Brownsville, Freeport, Matagorda and Victoria are also eligible to apply for funding.

Grant money is also available for the protection of critical mass transit operations including bus, rail and ferry systems. Transit systems in the Dallas, Ft. Worth and Arlington areas are eligible to apply for program funding.


Fort Bend County emergency manager recognized

Jeff Braun

Fort Bend County emergency management coordinator Jeff Braun has been named the "Emergency Manager of the Year" by the Emergency Managers Association of Texas.

Given each year to honor the development and implementation of distinguished emergency programs in Texas, the award went to Braun this year in recognition of his "leadership in developing a highly effective emergency management program using innovative and creative initiatives that have enhanced not only the local emergency management program, but also regional efforts as well," according to the association.

The EMAT also noted that Braun developed networking groups among the 17 jurisdictions within the county and was instrumental in the creation of the Fort Bend County Coordination Council, the Fort Bend County Public Information Officer Network and the Fort Bend County Hospital Planning Group.


TEA official will oversee student health

Jeff Kloster

The Texas Education Agency this week announced that Jeffrey Kloster, former general manager and counsel for RunTex Inc., will serve in a newly created position, associate commissioner for health and safety.

Commissioner of Education Shirley Neeley said Kloster will focus on issues such as childhood obesity, homeland security and campus safety issues.

"Childhood obesity and juvenile diabetes are growing at alarming rates in Texas and across the nation," she noted, adding that Kloster will also "focus additional attention on school security issues to ensure that Texas schools remain a safe, secure environment for our 4.5 million students."

Lizzette Reynolds

The agency also announced that Lizzette Gonzalez Reynolds will become the senior advisor on statewide initiatives, replacing Christi Martin, who recently resigned. Reynolds will oversee numerous programs, such as the teacher incentive grant programs, the Texas High School Project, Communities in Schools, and many grant programs.


Rice gets $3 million for cancer study

Rebekah Drezek

Rice University will begin a five-year program to develop miniaturized molecular imaging technologies for screening, diagnosis and monitoring of breast cancer, thanks to a $3 million grant from the U.S. Department of Defense.

The program's principal investigator is Rice bioengineer Rebekah Drezek, one of three U.S. scientists chosen by the DOD for the Era of Hope Scholar Award.

Rice will conduct the study in collaboration with The University of Texas M.D. Anderson Cancer Center to develop a micro endoscope and fiber optic system for diagnostic and therapeutic breast cancer imaging.


TAMU establishes ag endowment

Norman Borlaug

Texas A&M University has announced the establishment of a Borlaug-Monsanto Chair for Plant Breeding and International Crop Improvement, partly named for Norman Borlaug, the TAMU professor who won the Nobel Peace Prize in 1970.

"We consider this a tremendous opportunity to continue Dr. Borlaug's legacy," said Elsa Murano, vice chancellor and dean of agriculture at A&M. Borlaug, 92, currently is a distinguished professor of international agriculture at Texas A&M in College Station.

Borlaug's work aimed at increasing and diversifying crop yields in parts of the world where agriculture was less developed than in the United States, saving thousands of lives through his research advances.


DuBois named provost at M.D. Anderson

Raymond DuBois

Dr. Raymond DuBois has been named as executive vice president and the first provost for The University of Texas M. D. Anderson Cancer Center.

Beginning in September, DuBois will assume the duties of Margaret Kripke, chief academic officer and executive vice president, who announced her intention to retire from her leadership post last June. Kripke will remain on the M. D. Anderson faculty.

But DuBois will be the first M.D. Anderson executive to have the title of provost, a term used at most universities to describe the highest-ranking academic officer.

He currently serves as director of the Vanderbilt-Ingram Cancer Center in Nashville, and also is a professor of medicine, cell/developmental biology and cancer biology at Vanderbilt. His research interests focus on studies of the molecular and genetic bases for colorectal cancer.


DIR gets new program manager

Connie Pechel, director of IT business operations at the Texas Department of Aging and Disability Services, has accepted a position with the Department of Information Resources.

She will serve as program manager for the TexasOnline e-government portal.


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TDHCA offers training on HOME contracts

The Texas Department of Housing and Community Affairs will offer free training on Feb. 7, from 9 to 4 p.m. at 208 East 10th Street, Austin, TX in the Rusk Building. The workshop will focus on administration of the Owner-Occupied Assistance program. HOME Wednesday Workshops are being offered by the HOME Division in response to requests for in-depth training of individuals directly responsible for daily administration of HOME contracts. Registration forms must be submitted online and are located here. If you have any questions, please contact Kay Fairbanks, Portfolio Analyst & Training Coordinator, at (512) 475-3969 or by email at kay.fairbanks@tdhca.state.tx.us


Water law seminar highlights issues, offers CLE hours

The Texas Rural Water Association will host a Water Law Seminar Jan. 17-18 at the Austin Marriott which will offer 10.25 hours in CLE credit hours, including one hour of ethics. The agenda features water expets including Austin attorneys Doug Caroom of Bickerstaff, Heath, Pollan & Caroom; Charles C. "Chuck" Bailey and Rob Neblett of Jackson, Walker. For more information, click here.