Banking Department

The Enacted Budget passed by the Legislature on May 1, 2003 made no changes to the Executive Budget including a requirement that the Superintendent of Banks report to the Governor and Legislature by January 2004 on the activities and policies of the Holocaust Claims Processing Office and the Tokyo and London offices.

· An FTE level of 569, which represents a decrease of 12 FTEs from the Governor’s revised estimated 3/31/03 level. The revised estimate is a decrease of 18 FTEs from last year’s Executive Budget estimate for 3/31/03. The decreases from last year’s estimate occurred in the Administration program (-1 FTE), the Analysis and Compliance program (-3 FTEs), and the Regulation program (-14 FTEs). Next year’s proposed cuts will occur solely in the Regulation program (-12 FTEs).

· Overall funding for the Department will decrease by $1.8 million (2.4 percent). The entire decrease is the result of a decrease in Special Revenue Funds-Other funding.

· The only significant changes in the Analysis and Compliance program is a decrease of $150,000 (5.8 percent) in personal services, which reflects the loss of 3 FTEs from the enacted SFY 2002-03 budget.

· The Regulation program is reduced by $1.8 million (2.9 percent). This is primarily made up of a reduction of $1.6 million (4.6 percent) in personal services, a reduction of $193,000 (1.6 percent) in nonpersonal services. This reflects the loss of 26 FTEs in the program from the enacted SFY 2002-03 budget.

· According to the Assembly Ways and Means Committee, the Governor recommends $647,000 to continue the ongoing efforts of the Holocaust office. This office funds 12 FTE positions to assist survivors of the Holocaust or their heirs in making claims on assets believed to have been in existence during the time period of 1933-1945. In addition, the State Insurance Department suballocates $447,000 to the Banking Department to assist these efforts.

· According to the Assembly Ways and Means Committee, the cost of the Banking Department offices in London and Tokyo are $1,082,723 and $1,149,965, respectively.

Banking Department
Program Details-State Operations
	Enacted	Proposed	Enacted	Change in	Percent
Program	2002-03 Budget	2003-04 Budget	2003-04 Budget	Appropriation	Change
All Funds	$72,348,000	$70,588,000	$70,588,000	($1,760,000)	-2.4%
Special Revenue-Fed	$500,000	$500,000	$500,000	$0	0.0%
Special Revenue-Other	$71,848,000	$70,088,000	$70,088,000	($1,760,000)	-2.4%
Fiduciary Fund	$2,700,000	$2,700,000	$2,700,000	$0	0.0%
					_
Administration	$6,351,000	$6,511,000	$6,511,000	$160,000	2.5%
Personal Service	$4,198,000	$4,247,000	$4,247,000	$49,000	1.2%
Nonpersonal Service	$557,000	$421,000	$421,000	($136,000)	-24.4%
Fringe Benefits	$1,596,000	$1,693,000	$1,693,000	$97,000	6.1%
Special Revenue-Other	$0	$150,000	$150,000	$150,000	100.0%
Fiduciary Fund (P.293)	$2,700,000	$2,700,000	$2,700,000	$0	0.0%

Analysis & Compliance	$3,976,000	$3,820,000	$3,820,000	($156,000)	-3.9%
Special Revenue-Fed	$200,000	$200,000	$200,000	$0	0.0%
Special Revenue-Other	$3,776,000	$3,620,000	$3,620,000	($156,000)	-4.1%

(SRO)	$3,776,000	$3,620,000	$3,620,000	($156,000)	-4.1%
Personal Service	$2,592,000	$2,442,000	$2,442,000	($150,000)	-5.8%
Nonpersonal Service	$198,000	$205,000	$205,000	$7,000	3.5%
Fringe Benefits	$986,000	$973,000	$973,000	($13,000)	-1.3%
					_
Regulation Program	$62,021,000	$60,257,000	$60,257,000	($1,764,000)	-2.8%
Special Revenue-Fed	$300,000	$300,000	$300,000	$0	0.0%
Special Revenue-Other	$61,721,000	$59,957,000	$59,957,000	($1,764,000)	-2.9%
					_
(SRO)	$61,721,000	$59,957,000	$59,957,000	($1,764,000)	-2.9%
Personal Service	$34,983,000	$33,379,000	$33,379,000	($1,604,000)	-4.6%
Nonpersonal Service	$12,307,000	$12,114,000	$12,114,000	($193,000)	-1.6%
Fringe Benefits	$13,293,000	$13,299,000	$13,299,000	$6,000	0.0%
Maintenance Undistrib	$1,138,000	$1,165,000	$1,165,000	$27,000	2.4%