Armbrister joins Perry staff

Retiring Democrat to head governor's legislative efforts

Sen. Ken Armbrister, who did not seek re-election, will join Gov. Rick Perry's staff as legislative director when his term of office expires in January.

Known as a strong technical craftsman on legislative issues, Armbrister has a wide range of experience on topics ranging from environmental legislation to taxes.

"With more than two decades of legislative service, Ken Armbrister brings a wealth of experience and knowledge to this new role in my administration," Perry said, "He has served in both chambers and on every Senate committee, and he knows how to work across party lines to get things done. I am honored that Sen. Armbrister will continue his distinguished record of public service in my administration."

A former Victoria police captain, Armbrister now owns and operates a private security company in Victoria. He served on the Victoria school board, was elected to the Texas House in 1983 and to the Texas Senate in 1986. In the Senate, Armbrister served as chair of numerous committees, including Natural Resources, Criminal Justice, State Affairs and Intergovemental Relations. As chairman of a select committee on taxes in 1999, Armbrister shepherded passage of a tax cut bill.

In announcing his decision not to seek re-election last year, Senator Armbrister said he was particularly proud of two educational initiatives that he passed during his tenure in the Senate. "I passed statutory permanence to UH-Victoria to ensure higher education opportunities would be guaranteed in Victoria, and also worked to help Wharton County College and the Texas State Technical College to form a partnership and a new campus in Fort Bend County."

A Democrat, Armbrister has been praised for his bi-partisan approach to legislative conflicts. He is a graduate of Sam Houston State University and the FBI National Academy.

Lone Star

David Dewhurst· Lieutenant Governor of Texas

Career highlights:
I have been blessed to build a successful business that has created good jobs, and I am humbled by the trust and confidence I've earned with Texas voters who have twice chosen me to serve as their lieutenant governor.

What I like best about my job is:
The sky is the limit and everyday is an opportunity for me to help make Texas a better place. Whether it's finding ways to improve our public schools and unlock the future for our children, or cutting property taxes to help strengthen our economy, I get to work with excellent colleagues to make Texas a better place to live, raise a family and grow a business.

Best advice I've ever received:
Listen, respect others' opinions and this quote from Theodore Roosevelt: "Far better it is to dare mighty things, to win glorious triumphs, even though checkered by failure, than to take rank with those poor spirits who neither enjoy much nor suffer much, because they live in the gray twilight that knows not victory nor defeat."

What advice would you give a new hire in your office?
Never underestimate your ability to impact the state of Texas and improve the quality of life for all Texans. Through hard work and consensus building, one person not only can make a difference, but does make a difference.

If I ever snuck out of work early, I could probably be found:
Riding my roping and cutting horses.

Book, magazine or newspaper article I've read recently that really influenced my thinking:
The Bible continually shapes my thinking, but topically, reading accounts of the horrible murder of little Jessica Lunsford in Florida at the hands of a child predator. That led to my work with her father, Mark. With his help, I will pass a tougher "Jessica's Law" in Texas to protect our children from these monsters who prey on them. Our children are our future.

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!

Interim report suggests procurement review

Earlier this year, the Texas Government Insider reported that the Texas Building and Procurement Commission (TBPC) proposed that the legislature consider consolidating its procurement functions with those of the Department of Information Resources (DIR) and placing the entire charter under DIR. The proposal was made in TBPC's Strategic Plan.

In its recently submitted Interim Report 2006, the House Committee on State Affairs included the recommendation and said, "The suggestion by TBPC to assess agency restructuring to leverage synergy is one that should be explored thoroughly, discussed at great lengths, and ultimately considered a valuable solution."

It has been past practice for members of the committee to introduce legislation aligned with the recommendations in its interim reports.

Fuelberg argues for increased ERS funding

Speaking to the Texas Association of State Systems for Computing and Communications, Ann Fuelberg, executive director of Employee Retirement System of Texas, explained the agency's legislative appropriations request for additional funding for both its insurance and retirement plans.

She noted that the funded ratio of the ERS fund has been affected by several factors, including state contributions below the annually required contribution, lower-than-expected investment returns and higher-than-expected retirements. ERS has requested a legislative appropriation of $660 million to continue the current contribution rate and another $117 million so ERS will receive the annual required contribution (for 31-year amortization).

On the insurance side, ERS has requested $247 million above its last biennial appropriation to maintain 100 percent contribution for employees and a 50 percent contribution for dependents.

While several interim studies have been conducted on ERS, to date no legislation has been filed affecting the structure or eligibility requirements for the state retirement system and no bills have been filed that directly apply to state employee insurance benefits.

Fuelberg also told the audience of state employees that a balanced retirement plan would include income from ERS, the Social Security system and personal savings like the Texa$aver Program.

Also this week, the ERS board instructed the system's staff to lay the groundwork for investing about 15 percent of the retirement system's portfolio in private equity and real estate. Consultants have advised the board that its lack of investments in those areas has hurt the system's returns, compared with other large public pensions.

While ERS's current investment strategy would earn the fund an estimated return of 7.7 percent, the new investments could boost that to 8 percent average annual returns, experts predicted.

Congress exempts sales tax, skips military funding

Before the U.S. Congress adjourned last week, Texas representatives were able to secure a two-year extension of the sales tax deduction from the federal income tax, a key proposal in Texas, which relies heavily on the sales tax to fund state and local government.

Prior to 2004, residents of states with a sales tax could not deduct the amount they paid in sales taxes from their federal income taxes, while taxpayers subject to state income taxes could receive a deduction.

However, Congress failed to pass spending measures with funding for critical Texas projects, including $3.5 million for a stress-disorders study that was critical to keeping Waco's Veterans Administration Hospital open. The fate of those proposals will not be known until the new Congress convenes in January.

San Antonio leaders hope to organize a statewide effort to advocate for the military spending bill, which overall earmarks $741 million in Texas military construction.

"We've always known we are not in this alone," said Richard Perez, a San Antonio city councilman. "It doesn't affect just San Antonio, but the whole state."

TWDB recommends Brownsville plant

The Texas Water Development Board is calling for the construction of a large-scale seawater desalination demonstration plant in Brownsville, which according to a new report, could represent an "historic and unprecedented water supply breakthrough" for all of Texas.

With construction possible by 2010, the plant could produce 25 million gallons per day. Its cost would be paid for through $115 million in state grants and $150 million by the Brownsville Public Utilities board.

With Texas' growing metropolitan areas facing groundwater and surface ownership issues, water supplies from desalination plants on the Texas coast could be an important new source of water, the report noted. The 2007 State Water Plan has also recommended construction of seawater desalination plants at Corpus Christi, Freeport and South Padre Island.

The TWDB will ask the legislature for $2.5 million to help those proposals get underway.

TTI study sheds light on road financing

The Texas Transportation Institute recently presented a report to the Legislature's Study Commission on Transportation Financing suggesting that Texas could finance road bonds by indexing the gas tax to rising construction costs.

While the Texas Department of Transportation has estimated that Texas will need to raise $86 billion to pay for its highway needs, the study believes the figure to be closer to $56 billion.

Texas Transportation Commissioner Ric Williamson disputed the study, which was commissioned by the Governor's Business Council, noting that it eliminated $22 billion in local and county road construction projects from the state's needs estimate. Williamson said those projects should be included in any estimate of the state's unmet transportation needs.

The study also suggested that the state keep toll revenues in local areas and use the gas tax to finance bonds.

TPWD may transfer historic properties

The Texas Parks and Wildlife Department is considering the transfer of 21 historical properties to the Texas Historical Commission.

Prompted by an inquiry from House Speaker Tom Craddick, TPWD and THC officials have been studying the transfer to better manage sites with historical value. Among those being considered were the Port Isabel Lighthouse, the Sabine Pass Battleground and the Confederate Reunion Grounds State Historical Park in Mexia.

The possible sites were chosen based on only two criteria: whether they required protection from park police and whether they had outdoor recreation areas such as picnic areas.

Ag commissioner challenges water action

Agriculture Commissioner Susan Combs this week took issue with the U.S. Department of State for its position in a dispute over claims by South Texas irrigation districts against Mexico for withholding water from the Rio Grande.

The dispute is being arbitrated by a tribunal authorized by the North American Free Trade Agreement, and in late November, the State Department submitted a brief claiming that NAFTA protections did not apply in the case.

Farmers and irrigation districts in South Texas want Mexico to pay $500 million in damages suffered when the water was withheld. Combs said she was "shocked" by the State Department's actions and said the Texas Department of Agriculture will submit documents supporting the irrigation districts' claims.

Dallas jails troubled by overtime costs, overcrowding

The Dallas County jail spent more than $10 million on overtime last fiscal year, even after adding 80 additional jail guard positions. The overtime pay is nearly double what the county spent the previous year.

At the same time, the U.S. Department of Justice has concluded that overcrowded conditions and failure to address inmate health care needs have contributed to several deaths and placed many other inmates at "risk of serious harm."

Dallas County commissioners were briefed this week on the report, which included a long list of "remedial measures" recommended by the Justice Department. The county could face a lawsuit if it does not address the federal government's concerns.

Fort Worth considers public works investment

Strained to keep up with fast growth, the City of Fort Worth is considering issuing $150.9 million in certificates of obligation, which don't require voter approval as bonds do, to invest in neighborhood streets critical to school children. Two children have been struck by cars this year walking to school on a road framed by drainage ditches near a new subdivision.

All told, city officials believe they will need $2.8 billion to build and maintain roads and other infrastructure over the next 10 years to address the city's needs. In the short term, officials believe immediate needs can be remedied without a tax increase through sale of the certificates of obligation.

Bryan, Allen move toward reinvestment zones

City councils in both Bryan and Allen approved tax increment financing districts to encourage development in their downtown areas.

Tax increment financing allows cities to pay for public works projects by dedicating tax revenues that accrue from rising property values.

In Bryan, the city council this week gave initial approval to plans to create the reinvestment zone to pay for landscaping, facade grants, signage and other beautification efforts to attract businesses.

Downtown business owners in Bryan have identified $25 million in projects that can be completed over a 20-year period. A master plan would be developed by an advisory board and approved by the city council.

In Allen, city officials plan to improve streets, add parking and upgrade storm sewers in hopes that these projects will provide an incentive to developers, who normally assume responsibilities for those costs.

HCC narrows search for chancellor

The Houston Community College has pared its list of nominees for chancellor to four finalists.

They include Larry K. Christiansen, president of Mesa Community College in Arizona; Mary Spangler, chancellor of Oakland Community College in Michigan; and Bill Vega, who retired in 2004 after 11 years as chancellor of the Coast Community College District in California. HCC officials declined to name the fourth candidate.

Jay Alyer, chairman of HCC's board, called the finalists "the brightest stars who are available in the community college world right now."

HCC began the search for a new chancellor after Dr. Bruce Leslie (pictured) resigned in June to accept a position at the Alamo Community College District in San Antonio.

Midland tackles drilling issue

The city of Midland has become the latest Texas municipality to grapple with the issue of oil and gas drilling encroaching on residential areas.

While many North Texas cities in the Barnet Shale area have imposed restrictions on drilling, Midland city officials will soon rule on a permit request that some residents fear could lead to widespread oil and gas production in residential areas. They fear the drilling would adversely affect their land values.

While some officials note that wells have already been drilled within city limits, others point to an ordinance which allows a permit to be denied if the well would interfere with the path of growth and orderly development of the city.

Nacogdoches County jail at capacity

With its 292-bed at capacity, Nacogdoches County has been forced to pay $218,000 this year to house inmates in other East Texas jails, prompting county officials to re-evaluate the criminal court process.

Some officials believe if the court system worked more efficiently, the county would have more bed space in the jail. Currently, inmates wait several weeks in jail before their cases are heard in court.

Building a new jail would place a burden on taxpayers, requiring an estimated $750,000 a year in operational costs just to run a 96-bed new facility, noted County Judge Sue Kennedy.

New UTEP tuition plan may be used as model

The University of Texas at El Paso recently introduced a new guaranteed tuition rate program that may duplicated by all 35 Texas public universities.

According to current UTEP requirements, students may be eligible to lock in their rate of tuition for four years if they take five courses every semester throughout that period.

Sen. Florence Shapiro is getting support from higher education leaders for proposed legislation that would permit the same guarantee across the state's public universities. Shapiro stated that there is a need for stability so parents can know how much their children's education will cost.

According to the Texas Higher Education Board, tuition has increased a full 40 percent since the 2002-03 academic year.

Baylor accounting students best on CPA exams

Students in Baylor University's graduate accounting and tax programs earned higher scores than students from any other graduate program in the state, and second highest in a nationwide comparison on the 2005 CPA exams.

The high scores were achieved by students in the Master of Accountancy and Master of Tax programs.

Dr. Charles Davis said the students' performance demonstrates the quality of the university's graduate accounting programs. Davis also noted that Baylor's graduate programs are ranked 24th place nationally by Public Accounting Report.

Petition may force recall of new city ordinance

Dallas county community activists recently gathered signatures on a petition asking the Farmers Branch City Council to re-examine its new city ordinance that requires apartment renters to provide proof of citizenship.

The group was required to turn over more than 700 registered voters' signatures to force the repeal of the ordinance. At last count, the group claimed to have more than 850 signatures.

Former Rep. Domingo Garcia, a Dallas attorney, said the petition garnered support from a diverse group representing many ethnic groups.

Identity theft at UTD possible

University of Texas at Dallas officials have reported that the social security numbers and other personal information of approximately 5,000 current and former students, faculty and staff members may have been compromised.

UTD officials discovered the possible compromise through a computer network Dec.10 and have since been following protocol by notifying those who may have been exposed and asking possible victims to contact UTD as well.

According to UTD spokeswoman Susan Rogers, officials suspect, but have not verified, that sensitive information may have been accessed.

In a letter to students, faculty and staff, UTD President David Daniel stated that the university is working aggressively to defend the system's integrity and to assess the level of the threat to the university's information technology system.

Rita clean-up continues

Southeast Texas cities are struggling to finish clean-up of damages caused by Hurricane Rita last year, but report that progress is slow.

The City of Orange has completed demolition of 168 of 287 commercial and residential buildings that were damaged beyond repair by Hurricane Rita, a process that begins with a court hearing to determine whether the property should be condemned. While it costs about $3,500 to demolish a 1,500-square foot house, demolition costs--borne by the homeowner--have been offset by Community Development Block Grant monies and the Stark Foundation, which contributed $500,000 to the effort.

Neighboring Bridge City has demolished 11 homes, many with the help of prisoner work crews. In Vidor, 37 structures have been demolished or repaired, according to the code enforcement office.

Schools use Internet to partner with parents

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

Smart elected officials follow a few common sense commandments when communicating with the public. Tell the truth. Address concerns quickly. Don't get defensive.

While these dictums are not exactly etched in stone anywhere, they represent sound advice that has endured through the ages.

Now, some Houston-area school districts have taken those lessons to the next level by using the immediacy and accessibility of the Internet to dispel rumors. Instead of wishing rumors away, these districts are meeting them head on.

The Katy Independent School District maintains a "Fact or Fiction" Web page while Fort Bend has a "Rumor Watch," illustrated cleverly with a private investigator's magnifying glass. The Clear Creek, Cypress-Fairbanks and Pearland school districts also have similar features, as does the College of the Mainland in Texas City. These efforts are similar to another phenomenon recently reported in this column -- that some government entities, including Houston's Metro, are planning blogs to exchange information quickly with constituents.

Some school officials confessed that they had misgivings about lending credibility to rumors by posting them on an official Web page. On the other hand, they were facing rumors that were spreading via high speed Internet on parent BlackBerries, text messages and e-mail. Who knows if the rumors contributed to the defeat of a Katy bond proposal earlier this year?

The rumors range from allegations about frivolous expenses (Imported Italian tile at a new Katy school? Not true.) to questions about dress codes (Mandatory school uniforms in Fort Bend schools? True, but only at five campuses.).

Karen Strong, who provides communications training on behalf of the Texas Association of School Boards, said she finds the rumor pages "intriguing." While she did not know how many school districts had joined this trend, she noted that the principle remains true to advice she's been dispensing for years. "Basically, we tell them (school officials) to be open, address concerns quickly and offer solutions."

New technology has helped schools partner with parents by offering online newsletters, grade and attendance records, homework and test schedule information and the ability to pay for school lunches. This new trend of addressing rumors online will only strengthen that partnership. Using the Internet to dispel rumors blends old wisdom with modern communications methods.

Delgado named associate commissioner at DSHS

Ben Delgado has been appointed associate commissioner of the Department of State Health Services, a new position in the agency.

Delgado, whose career has encompassed public health, child and adult protective services and consumer protection, will have broad involvement in the day-to-day operations of DSHS, addressing both program and business support functions. He has served in key executive management positions for the Department of Family and Protective Services and the Department of Health, as well as a number of other Texas government positions.

Delgado will report to newly appointed DSHS Commissioner Dr. David Lakey.

Combs speaks on CPA plans

Comptroller-elect Susan Combs hopes to re-tool technology within her new agency to make it more user-friendly and similar to online banking in the private sector by providing the ability for online tax payments, tax account maintenance and account review summaries.

In remarks this week to the Texas Association of State Systems for Computing and Communications conference, she also promised to make security a priority. "We must make sure the best disaster recovery plans and procedures are in place and tested regularly," she said. "Additionally, once we have recovered from a disaster, we must be able to resume normal operations as quickly as possible. Many times, agencies have plans in place to recover from a disaster but their plan for resuming normal operations is less detailed and thought out."

She also promised to review expenditure analysis to make it more consistent, so that reliable information is available to the legislature and taxpayers.

UT System names Rodriguez academic fellow

The University of Texas System Office of Academic Affairs has announced the appointment of Dr. Ana Maria Rodriguez, newly named senior vice provost for Undergraduate Studies, Academic Assessment, and Retention at The University of Texas-Pan American, as its first Academic Fellow to work on a new initiative to enhance faculty leadership development within the UT System.

Rodriguez, a 33-year employee at UTPA, will serve as an Academic Fellow through August 2007, working with the UT System Executive Vice Chancellor for Academic Affairs, the UT System Faculty Advisory Council and colleagues from the nine academic institutions on creating and implementing the initiative.

"Personally, I feel very honored that the UT System has deemed me worthy of this appointment as the first fellow. Also, I feel very proud that the first one is going to UT Pan American because I think it shows that the System recognizes the fact that there is leadership at UTPA to help move it forward," said Rodriguez.

Rodriguez began her career as a junior high school teacher. She subsequently earned her Master of Education majoring in guidance and counseling from Pan American University, now UTPA, and then her doctorate in education from the University of Houston. Rodriguez joined Pan American University in 1973.

Superintendent salaries rising, survey reports

A recent statewide survey has found that the salaries and benefits paid to Texas school superintendents rose by 4 percent over last year.

The survey, conducted by the Texas Association of School Boards, found the average annual salary is $104,415.

The top paying district is Dallas, where the superintendent makes $312,000 to supervise a district of 161,000 students. The TASB's survey was based on responses from 814 districts.

Healthcare expert Deutscher joins SPI

Strategic Partnerships, Inc., is pleased to announce that healthcare specialist Gene Deutscher, who has served as a consultant to both public and private healthcare endeavors, has joined the firm as a senior consultant.

Deutscher's experience includes HMO engagements in which he assisted both start-up organizations and those that were experiencing operations, sales and financial or regulatory problems. He has served in various senior management positions, including posts at the Tarrant County Hospital District, the Kelsey-Seybold Clinic and Humana Inc.

A Vietnam veteran, Deutscher achieved the rank of captain in the United States Marine Corps. He received his undergraduate degree from Duke University and earned a master's in hospital administration from Columbia University. He also has studied as a fellow at The Wharton School at the University of Pennsylvania.

Mayor determined to make his mark

The City of Glenn Heights has its fourth mayor in four years with the recent swearing in of Clark Choate.

Choate, 75, is serving out the last months of a term in office vacated by Alvin Dubois, who resigned in August. Choate defeated former City Manager Sheyi Ipaye in a special election runoff.

A political newcomer, Choate listed his priorities as increasing police and fire personnel, making road improvements and encouraging economic development.

Phone tax refund can be claimed

Individuals and businesses can receive a credit for long-distance federal telephone excise taxes they've paid over the last three years, provided that they claim the funds on their 2006 returns, due in April.

The Treasury Department announced in May it would no longer collect the tax, which was originally imposed upon those wealthy enough to afford the luxury of a telephone.

The taxpayer refunds are estimated to total $15 billion. Taxpayers who do not have copies of phone bills can still claim a standard amount based on their exemptions, ranging from $30 for one exemption to $60 for four or more. Experts say much higher refunds could be claimed by taxpayers who are able to produce their phone records.

Pilot Point school chief retires

Pilot Point school Superintendent Cloyce Purcell has announced he will retire at the end of the current school year. In a recent letter to the Pilot Point school board, Purcell said he would "explore other opportunities, spend time as a parent and grandparent and perhaps make up some travel with my wife."

Pilot Point schools have been struggling with a deficit, which Purcell attributed to decreasing tax revenue and enrollment numbers.

District may adopt closed-campus plan

Prompted by concerns for student safety, Fort Worth school district officials are studying plans to close campuses for lunch during the next academic year.

This week, the board heard estimates that keeping all students on campus for lunch would cost $2.3 million to $3.7 million annually. Neighboring districts such as Aledo, Birdville, Carroll, and Crowley have already implemented a closed-campus policy during lunch.

Recent Reports

• NEW!House Interim Reports.
• NEW!Quality Assurance Team Report.
• NEW!Fiscal Notes Reference Guide for State Agencies.
• NEW!Topics for the 80th Legislature.
• A report on the audit of the Teacher Retirement System's Fiscal Year 2006 Financial Statements, SAO Report No. 07-006
• An Audit Report on Performance Measures at Five State Agencies, SAO Report No. 07-005.
• A Summary Report on Full-Time Equivalent State Employees for Fiscal Year 2006, SAO Report No. 07-704.
• 2006 Comprehensive Annual Report on Public Schools.
• Final Draft of the 2007 State Water Plan.
• School-based Interventions for Childhood Obesity.

Event Links

• TWC Texas Business Conferences
• LBJ School Professional Development Calendar
• TBPC Contract Management Training Schedule
• TBPC Procurement Training Schedule
• Texas Veterans Benefits Seminars
• Upcoming Executive Women in Texas Government events

Texas Government Insider Archives

Volume 1, 2, 3 and 4 Archives - 11/7/03 - 10/13/06

Resources

• Guide to the Sunset Process
• Public Information Handbook · 2006
• Open Meetings Handbook · 2006
• Administrative Law Handbook · 2006
• LBB Budget and Performance Assessments
• Texas Fact Book '06-'07
• LBB's Fiscal Size-up '06-'07
• State Budget Resources

Strategic Partnerships, Inc. (SPI) is a research and consulting firm offering business development and public affairs services.

Founded in Texas in 1994 by former government executives and public sector experts, SPI has developed a national reputation as the premier marketing partner dedicated to helping companies secure contracts in the $1.5 trillion state and local government marketplace.

To learn more about SPI services click here or contact our sales department at 512-531-3900.

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TDSHS conference slated to discuss HIV

The Texas Department of State Health Services will hold the 15th Texas HIV/STD prevention conference Dec. 12-15 at Austin's Renaissance Hotel.

Rural health, environmental issues to be discussed

The state Office of Rural Community Affairs has slated a meeting of state agency heads to discuss and exchange ideas reguarding rural Texas at the Texas State Capitol in the Member's Lounge, Rm. E2.1002 on Dec. 12 at 9 a.m.

UT offers free software seminar

The University of Texas Center for Lifelong Engineering Education will host a "breakfast brawl" at the J.J. Pickle Research Campus on Dec. 12, 8:30 to 10:30 a.m., entitled "Process Management in Sofware Development. Click here for more information.