Department of Taxation and Finance
The enacted budget passed by the Legislature made the following changes to the Executive Budget (analysis as of March 30, 2006):
- Decreases the Department’s total State Operations appropriation by $1.6 million in the following areas:
- decreases by $400,000 the personal services appropriation and by $200,000 the non-personal services appropriation for the Audit, Collection and Enforcement Program which , according to the Senate Majority, would have funded 10 FTE positions;
- eliminates a $1 million maintenance undistributed appropriation for the Revenue Processing and Reconciliation Program.
The Senate and Assembly made the following changes to the Executive Budget (analysis as of March 15, 2006):
Senate:
- Rejected the Executive proposal to add 10 new FTEs in the Audit, Collection, & Enforcement Program and reduces personal service funding by $400,000 and non-personal services funding by $200,000.
Assembly:
- Eliminated the $1 million maintenance undistributed appropriation in the Revenue Processing & Reconciliation Program.
The Executive Budget recommends (analysis as of January 24, 2006):
· An increase of 10 FTEs to an estimated level of 4,776. These FTEs are found in the Audit, Collection and Enforcement Program. According to the Assembly analysis, these are enforcement officer positions.
· Indicates that the Department continues to experience heavy attrition of its aging workforce. To meet this challenge, the Department will: continue its management development initiative plan for succession; continue training programs and opportunities for staff; and fully utilize existing personnel assets through reorganization, reclassification, and redeployment.
· Although there is virtually no change to the estimated FTE level, it appears that the program areas have been reorganized and consolidated. However, no explanation of these changes is provided. Clarification of the impact of these changes, if any, should be sought at statewide labor-management.
· Proposes a General Fund increase of $14 million, or 3.6%.
· Proposes an increase of $17 million, or 46% for contractual services in the Technology and Information Services Program. This should be raised as evidence of a possible increase in contracting out and should be clarified at statewide labor-management.
· According to the Assembly, the decrease in Internal Service Funds of $8.4 million is due to a cost reduction in income tax return processing as a result of increased electronic filing.
· Tax and Finance is one of three pilot agencies in 2005 that participated in an initiative to incorporate performance based planning into the budget process. This includes development of a strategic overview and multi-year “business plans”. To our knowledge PEF members who will assumedly implement these plans has had no role in the process and has not had access to these plans. The implications of this pilot program should be raised at labor/management.
Program Details-State Operations
Enacted
Proposed
Enacted
Change in
Percent
Program
2005-06 Budget
2006-07 Budget
2006-07 Budget
Appropriation
Change
All Funds
$418,202,000
$433,136,000
$431,536,000
$13,334,000
3.2%
General Fund
$311,584,000
$333,452,000
$331,852,000
$20,268,000
6.5%
Special Revenue-Fed
$500,000
$582,000
$582,000
$82,000
16.4%
Special Revenue-Oth
$44,591,000
$46,000,000
$46,000,000
$1,409,000
3.2%
Internal Service
$61,527,000
$53,102,000
$53,102,000
($8,425,000)
-13.7%
Audit, Collection & Enforcement
$0
$125,016,000
$124,416,000
$124,416,000
100.0%
Personal Services
$0
$112,600,000
$112,200,000
$112,200,000
100.0%
Nonpersonal Service
$0
$7,834,000
$7,634,000
$7,634,000
100.0%
Special Revenue - Fed.
$0
$582,000
$582,000
$582,000
100.0%
Special Revenue-Other
$0
$4,000,000
$4,000,000
$4,000,000
100.0%
Federal Equitable Sharing Agreement Acct - (SRF)
$0
$500,000
$500,000
$500,000
100.0%
Motor Fuel Tax Compliance Acct - (SRF)
$0
$82,000
$82,000
$82,000
100.0%
Tax Revenue Arrearage Acct - (SRO)
$0
$4,000,000
$4,000,000
$4,000,000
100.0%
Centralized Operations Support Prg
$0
$41,648,000
$41,648,000
$41,648,000
100.0%
Personal Services
$0
$5,644,000
$5,644,000
$5,644,000
100.0%
Nonpersonal Service
$0
$36,004,000
$36,004,000
$36,004,000
100.0%
Conciliation & Mediation
$2,239,000
$1,721,000
$1,721,000
($518,000)
-23.1%
Personal Services
$2,147,000
$1,630,000
$1,630,000
($517,000)
-24.1%
Nonpersonal Service
$92,000
$91,000
$91,000
($1,000)
-1.1%
Mgmt, Admin & Counsel Prg
$0
$19,739,000
$19,739,000
$19,739,000
100.0%
Personal Services
$0
$15,361,000
$15,361,000
$15,361,000
100.0%
Nonpersonal Service
$0
$4,378,000
$4,378,000
$4,378,000
100.0%
Revenue Processing & Reconciliation Pgm
$0
$135,871,000
$134,871,000
$134,871,000
100.0%
Personal Services
$0
$41,878,000
$41,878,000
$41,878,000
100.0%
Nonpersonal Service
$0
$655,000
$655,000
$655,000
100.0%
Maintenance Undist.
$0
$1,000,000
$0
$0
-100.0%
Special Revenue-Other
$0
$39,236,000
$39,236,000
$39,236,000
100.0%
Internal Service
$0
$53,102,000
$53,102,000
$53,102,000
100.0%
NYC Assessment Acct
$0
$39,236,000
$39,236,000
$39,236,000
100.0%
Personal Services
$0
$15,881,000
$15,881,000
$15,881,000
100.0%
Nonpersonal Services
$0
$15,553,000
$15,553,000
$15,553,000
100.0%
Fringe Benefits
$0
$7,275,000
$7,275,000
$7,275,000
100.0%
Indirect Costs
$0
$527,000
$527,000
$527,000
100.0%
Tax Policy, Revenue Acct & Taxpayer Guidance Prg
$0