ADDENDUM

TO THE

HOUSECALENDAR

OF

THURSDAY

MAY 26, 2005

H. 516

SENATE PROPOSAL OF AMENDMENT

SENATE PROPOSAL OF AMENDMENT

H. 516

An act making appropriations for the support of government.

The Senate proposes to the House to amend the bill by striking out all after the enacting clause and inserting in lieu thereof the following:

Sec. 1. SHORT TITLE

(a) This bill may be referred to as the BIG BILL - Fiscal Year 2006 Appropriations Act.

Sec. 2. PURPOSE

(a) The purpose of this act is to provide appropriations for the operations of state government during fiscal year 2006. It is the express intent of the general assembly that activities of the various agencies, departments, divisions, boards, and commissions be limited to those which can be supported by funds appropriated in this act or other acts passed prior to June 30, 2005. Agency and department heads are directed to implement staffing and service levels at the beginning of fiscal year 2006 so as to meet this condition unless otherwise directed by specific language in this act or other acts of the general assembly.

Sec. 3. APPROPRIATIONS

(a) It is the intent of the general assembly that this act serve as the primary source and reference for appropriations for fiscal year 2006.

(b) The sums herein stated are appropriated for the purposes specified in the following sections of this act. When no time is expressly stated during which any of the appropriations are to continue, the appropriations are single-year appropriations, and only for the purpose indicated, and shall be paid from funds shown as the source of funds. If in this act there is an error in either addition or subtraction, the totals shall be adjusted accordingly. Apparent errors in referring to section numbers of statutory titles within this act may be disregarded by the commissioner of finance and management.

(c) Unless codified or otherwise specified, all narrative portions of this act apply only to the fiscal year ending June 30, 2006.

(d) The balance of any appropriations remaining unexpended and unencumbered at the end of the fiscal year shall revert to the appropriate fund balance unless otherwise specified in this act or other acts of the general assembly. Refunds of expenditures and reimbursements shall be credited to the appropriate fund and to appropriation accounts in the current fiscal year.

Sec. 4. DEFINITIONS

(a) For the purposes of this act:

(1) "Encumbrances" means a portion of an appropriation reserved for the subsequent payment of existing purchase orders or contracts. The commissioner of finance and management shall make final decisions on the appropriateness of encumbrances.

(2) "Grants" means subsidies, aid, or payments to local governments, to community and quasi-public agencies for providing local services, and to persons who are not wards of the state for services or supplies, and cash or other direct assistance, including pension contributions.

(3) "Operating expenses" means property management, repair and maintenance; rental expenses; insurance, postage, travel, energy and utilities, office and other supplies; equipment, including motor vehicles, highway materials and construction, expenditures for the purchase of land, and construction of new buildings and permanent improvements; and similar items.

(4) "Personal services" means wages and salaries, fringe benefits, per diems, and contracted third-party services; and similar items.

Sec. 5. Secretary of administration - secretary's office

Personal services445,340

Operating expenses51,583

Grants400,000

Total896,923

Source of funds

General fund846,821

Transportation fund50,102

Total896,923

(a) The secretary of administration and the state archivist jointly are directed to develop a comprehensive strategy for the management of all records created by state agencies, including but not limited to the following areas:

(1) appraisal of all current records management programs required under 3 V.S.A. § 218;

(2) the use and management of electronic records;

(3) the development of records management training.

(b) The secretary of administration shall direct each agency to revise and implement by September 1, 2005 public records retention and storage policies based on actual retrieval histories and applicable statutory mandates.

(c) The secretary of administration and the state archivist shall report to the house and senate committees on government operations and appropriations on this initiative on or before January 15, 2006, and recommend any statutory changes that will reduce the amount of records maintained and stored by state agencies.

(d) Of the above appropriation $400,000, is for grants to regional marketing programs (RMP). These funds plus additional funds appropriated in this act for regional marketing activities shall continue to be distributed by the existing formula. RMP funds shall be used on the following marketing activities (in no specific order): regional websites, consumer/trade shows, packages/itineraries, regional publications and guides, toll free phone lines and fulfillment, public relations, advertising, familiarization tours, welcome center promotion, joint projects, and administration.

Sec. 6. IN-STATE TRAVEL REDUCTION

(a) The secretary of administration is directed to reduce in-state travel budgets, thereby reducing operating expense appropriations by $125,000 in general funds throughout the executive branch of state government and in place of this funding, encourage departments and agencies to utilize Vermont interactive television for meetings. The secretary shall report to the house and senate committees on appropriations by the end of December 2006 on the use of Vermont interactive television by state agencies and departments during fiscal year 2006.

Sec. 7. Information and innovation - GOVnet

Personal services567,046

Operating expenses189,353

Total756,399

Source of funds

Internal service funds756,399

Sec. 8. Information and innovation - communications and information technology

Personal services3,482,819

Operating expenses563,177

Total4,045,996

Source of funds

Internal service funds4,045,996

(a) The commissioner of information and innovation shall, with the cooperation of the legislative director of information technology, report to the general assembly by January 15, 2006 on the potential for conversion of the current legislative e-mail service to the same system used by the executive branch. The report shall include direct savings and costs associated with such a conversion, a time line for such a conversion and how customer service, training, privacy and security concerns would be addressed in such a conversion.

(b) The commissioner of information and innovation shall report to the general assembly by January 15, 2006 on the potential for conversion of the current telephone system to a voice-over internet protocol (VOIP) based system. The report shall include the estimated cost of such a conversion, the potential savings a VOIP system may provide, and consideration of customer service concerns from both the state employee and state citizen perspective.

Sec. 9.Finance and management - financial operations

Personal services2,139,003

Operating expenses1,203,059

Total3,342,062

Source of funds

Internal service funds3,342,062

(a) Pursuant to 32 V.S.A. § 307(e), financial management fund charges not to exceed $4,295,964, plus the costs of fiscal year 2006 salary increases bargained as part of the State/VSEA agreement, are hereby approved. Of this amount, $867,229 will be used to support the HRMS system that is operated by the department of human resources.

Sec. 10. Finance and management - budget and management

Personal services908,332

Operating expenses128,752

Total1,037,084

Source of funds

General fund816,881

Transportation fund111,313

Interdepartmental transfer108,890

Total1,037,084

(a) The department of finance and management shall propose to the legislature on January 15, 2006 the necessary statutory language and process changes required to consolidate at least 20 percent of the special funds currently in the statewide accounting system.

Sec. 11. Human resources - operations

Personal services1,606,082

Operating expenses314,842

Total1,920,924

Source of funds

General fund1,281,126

Transportation fund347,778

Interdepartmental transfer292,020

Total1,920,924

Sec. 12. Human resources - HR workforce planning & employment services

Personal services841,435

Operating expenses301,357

Total1,142,792

Source of funds

General fund708,084

Transportation fund199,708

Special funds235,000

Total1,142,792

(a) A limited service position of assistant secretary of contract negotiations and administration is created effective July 1, 2005within the secretary of administration’s office to eliminate the need to utilize third party contractors in contract negotiations with the VermontState Employee’s Association, and to assist with contract administration. The position shall be used to assist the secretary in collective bargaining, labor relations and dispute resolution, and with any other task or duty relating to the establishment and maintenance of good labor relations. The position is abolished on June 30, 2007, unless extended by the General Assembly.

Sec. 13. Human resources - employee benefits & wellness

Personal services1,448,884

Operating expenses355,564

Total1,804,448

Source of funds

Internal service funds1,804,448

Sec. 14. Human resources - information technology

Personal services515,184

Operating expenses370,605

Total885,789

Source of funds

Internal service funds885,789

Sec. 15. Libraries

Personal services1,881,114

Operating expenses1,573,421

Grants70,000

Total3,524,535

Source of funds

General fund2,328,186

Special funds227,820

Federal funds812,529

Interdepartmental transfer156,000

Total3,524,535

Sec. 16. Tax - administration/collection

Personal services11,477,404

Operating expenses2,684,071

Total14,161,475

Source of funds

General fund13,167,874

Transportation fund213,601

Tobacco fund58,000

Special funds542,000

Interdepartmental transfer180,000

Total14,161,475

Sec. 17. Buildings and general services - administration

Personal services1,438,892

Operating expenses109,308

Total1,548,200

Source of funds

Interdepartmental transfer1,548,200

(a) The department shall eliminate the director of security position. Savings associated with the elimination of this position shall remain in the balance of the facilities operations fund to reduce fund deficits or fee for space charges.

(b) The commissioner of the department may utilize up to $33,000 of funds allocated for major maintenance for improvements to rooms 27 and 28 of the state house.

Sec. 18. Buildings and general services - engineering

Personal services1,876,190

Operating expenses444,472

Total2,320,662

Source of funds

General fund2,173,473

Transportation fund102,189

Interdepartmental transfer45,000

Total2,320,662

Sec. 19. Buildings and general services - information centers

Personal services3,294,693

Operating expenses1,202,513

Grants370,000

Total4,867,206

Source of funds

General fund42,914

Transportation fund4,824,292

Total4,867,206

Sec. 20. Buildings and general services - purchasing

Personal services704,895

Operating expenses169,370

Total874,265

Source of funds

General fund656,618

Transportation fund217,647

Total874,265

Sec. 21. Buildings and general services - public records

Personal services863,949

Operating expenses701,543

Total1,565,492

Source of funds

General fund1,071,612

Transportation fund182,620

Special funds311,260

Total1,565,492

Sec. 22. Buildings and general services - postal services

Personal services599,500

Operating expenses142,952

Total742,452

Source of funds

General fund40,000

Transportation fund30,000

Internal service funds672,452

Total742,452

Sec. 23. Buildings and general services - copy center

Personal services788,629

Operating expenses215,702

Total1,004,331

Source of funds

Internal service funds1,004,331

Sec. 24. Buildings and general services - supply center

Personal services246,376

Operating expenses132,601

Total378,977

Source of funds

Internal service funds378,977

Sec. 25. Buildings and general services - federal surplus property

Personal services63,749

Operating expenses70,299

Total134,048

Source of funds

Enterprise funds134,048

Sec. 26. Buildings and general services - state surplus property

Personal services58,930

Operating expenses65,680

Total124,610

Source of funds

Internal service funds124,610

Sec. 27. Buildings and general services - property management

Personal services1,240,936

Operating expenses2,606,448

Total3,847,384

Source of funds

Internal service funds3,847,384

Sec. 28. Buildings and general services - all other insurance

Personal services59,648

Operating expenses11,739

Total71,387

Source of funds

Internal service funds71,387

Sec. 29. Buildings and general services - general liability insurance

Personal services223,314

Operating expenses38,632

Total261,946

Source of funds

Internal service funds261,946

Sec. 30. Buildings and general services - workers' compensation insurance

Personal services958,583

Operating expenses152,019

Total1,110,602

Source of funds

Internal service funds1,110,602

(a) Pursuant to 32 V.S.A. § 307(e), workers' compensation fund charges not to exceed $8,664,387, plus the costs of fiscal year 2006 salary increases bargained as part of the State/VSEA agreement, are hereby approved.

Sec. 31. Buildings and general services - fee for space

Personal services10,385,701

Operating expenses9,960,599

Total20,346,300

Source of funds

Internal service funds20,346,300

(a) Pursuant to 29 V.S.A. § 160a(b)(3), facilities operations fund charges not to exceed $20,131,621, plus the costs of fiscal year 2006 salary increases bargained as part of the State/VSEA agreement, are hereby approved.

(b) The following 6 (six) classified positions with any incumbents shall be moved from the department of health – Vermont state hospital to the department of buildings and general services: Custodian I (position numbers 740652, 740684, 740716, 741010), Custodian III (position number 740651), and VSH Housekeeper (position number 740650).

Sec. 32. Geographic information system

Grants393,957

Source of funds

Special funds393,957

Sec. 33. Auditor of accounts

Personal services1,866,196

Operating expenses103,338

Total1,969,534

Source of funds

General fund468,742

Transportation fund59,317

Special funds54,455

Internal service funds1,387,020

Total1,969,534

Sec. 34. State treasurer

Personal services2,158,253

Operating expenses329,009

Grants25,000

Total2,512,262

Source of funds

General fund837,580

Transportation fund104,035

Special funds1,475,133

Private purpose trust fund95,514

Total2,512,262

(a) Of the above general fund appropriation, $25,000 shall be transferred into the armed services scholarship fund established in 16 V.S.A. § 2541.

Sec. 34a. 32 V.S.A. § 436 is amended to read:

§ 436. INTERFUND BORROWING

Notwithstanding any provisions of law, the state treasurer, with the approval of the governor, may borrow from any funds heretofore or hereafter created by the legislature such available amounts as he or she may determine to be necessary or desirable for the purpose of defraying the expenses of government, including the payment of notes issued for such purposes. Such borrowing may be only made twice a year; first, during the period commencing 15 business days prior to the end of the state's fiscal year and ending 15 business days after the end of the state's fiscal year, and second, during the period commencing on December 10, or the preceding Friday if December 10 shall fall on a Saturday or Sunday, and ending on January 10 of the succeeding year. During the period commencing with the first day of the state's succeeding fiscal year and ending on a date not more than 15 business days thereafter,No later than the last day of the period during which the funds were borrowed the state treasurer shall transfer to any such fund from which such initial borrowing has been made an amount equal to such borrowed amount, together with interest thereon at such rateas the state treasurer in his or her sole discretion shall determine.

Sec. 34b. COMMISSION ON FUNDING THE STATE TEACHERS’ RETIREMENT SYSTEM OF VERMONT PENSION ACCUMULATION FUND

(a) A commission is created to make recommendations for funding an adequate, sustainable, and actuarially sound retirement benefit plan for the state teachers’ retirement system of Vermont. The commission shall be comprised of the following 13 members:

(1) two members of the house of representatives, appointed by the speaker of the house;

(2) two members of the senate, appointed by the committee on committees;

(3) the chair of the board of trustees of the Vermont state teachers’ retirement system;

(4) the commissioner of finance and management;

(5) the commissioner of education;

(6) the state treasurer;

(7) two members of the Vermont national education association, appointed by the association;

(8) one member of the Vermont superintendents’ association, appointed by the association;

(9) one member of the Vermont school boards’ association, appointed by the association; and

(10) one public member with pension and benefit experience, appointed by the governor.

(b) The commission shall file a report of its recommendations with the governor and the general assembly on November 15, 2005.

(c) Legislative members shall be entitled to per diem compensation and expenses as provided for in section 406 of Title 2.

Sec. 35. State treasurer - abandoned property

Personal services541,534

Operating expenses242,188

Total783,722

Source of funds

Private purpose trust fund783,722

Sec. 36. Vermont state retirement system

Personal services20,448,159

Operating expenses729,324

Total21,177,483

Source of funds

Pension trust fund21,177,483

Sec. 37. Municipal employees' retirement system

Personal services1,427,518

Operating expenses213,732

Total1,641,250

Source of funds

Pension trust fund1,641,250

Sec. 38. State labor relations board

Personal services157,439

Operating expenses40,128

Total197,567

Source of funds

General fund187,100

Transportation fund4,597

Special funds5,870

Total197,567

Sec. 39. Executive office - governor's office

Personal services1,158,112

Operating expenses369,756

Total1,527,868

Source of funds

General fund1,206,200

Transportation fund157,483

Special funds3,185

Interdepartmental transfer161,000

Total1,527,868

Sec. 40. Executive office - national and community service

Personal services191,634

Operating expenses121,871

Grants1,745,415

Total2,058,920

Source of funds

General fund56,528

Federal funds2,002,392

Total2,058,920

Sec. 41. VOSHA review board

Personal services31,652

Operating expenses8,542

Total40,194

Source of funds

General fund20,097

Federal funds20,097

Total40,194

Sec. 42. Use tax reimbursement fund - municipal current use

Grants6,898,455

Source of funds

General fund4,569,542

Transportation fund2,328,913

Total6,898,455

Sec. 43. Lieutenant governor

Personal services118,723

Operating expenses17,649

Total136,372

Source of funds

General fund117,089

Transportation fund19,283

Total136,372

Sec. 44. Legislature

Personal services2,925,702

Operating expenses2,191,219

Total5,116,921

Source of funds

General fund4,414,316

Transportation fund702,605

Total5,116,921

Sec. 45. Legislative council

Personal services1,685,880

Operating expenses136,604

Total1,822,484

Source of funds

General fund1,588,701

Transportation fund233,783

Total1,822,484

(a) The amount of $30,000 in general funds that are carried forward in this appropriation shall revert to the general fund in fiscal year 2006.

Sec. 46. Legislative information technology

Personal services309,186

Operating expenses254,227

Total563,413

Source of funds

General fund563,413

(a) The amount of $20,000 in general funds that are carried forward in this appropriation shall revert to the general fund in fiscal year 2006.

Sec. 47. Sergeant at arms

Personal services444,507

Operating expenses62,909

Total507,416

Source of funds

General fund466,681

Transportation fund40,735

Total507,416

Sec. 48. Joint fiscal committee

Personal services1,045,988

Operating expenses72,385

Total1,118,373

Source of funds

General fund982,901

Transportation fund135,472

Total1,118,373

Sec. 49. Lottery commission

Personal services1,279,592

Operating expenses1,097,167

Total2,376,759

Source of funds

Enterprise funds2,376,759

(a) The lottery commission shall not reduce funding for the responsible gambling program.

(b) The lottery commission shall transfer $180,000 to the department of health, office of alcohol and drug abuse programs, to support the gambling addiction program.

(c) Notwithstanding any other provision of law, all rules necessary to implement the Tri-State Triple Play game shall be promulgated by the Tri-State Lotto Commission, including those portions of the rules that are specific to the operation of the Tri-State Triple Play game in the state of Vermont.

Sec. 50. Payments in lieu of taxes

Grants2,500,000

Source of funds

General fund600,000

Special funds1,900,000

Total2,500,000

(a) The above appropriation is for state payments in lieu of property taxes under subchapter 4 of chapter 123 of Title 32, and the payments shall be calculated in addition to, and without regard to, the appropriations for PILOT for Montpelier and correctional facilities elsewhere in this act.

Sec. 51. Payments in lieu of taxes - Montpelier

Grants184,000

Source of funds

General fund184,000

Sec. 52. Payments in lieu of taxes - correctional facilities

Grants40,000

Source of funds

General fund40,000

Sec. 53. Total general government126,158,239

Source of funds

General fund39,311,479

Transportation fund10,065,473

Special funds5,148,680

Tobacco fund58,000

Federal funds2,835,018

Enterprise funds2,510,807

Internal service funds40,039,703

Pension trust funds22,818,733

Private purpose trust funds879,236

Interdepartmental transfer2,491,110

Total126,158,239

Sec. 54. Protection to persons and property - attorney general

Personal services5,356,126

Operating expenses924,563

Total6,280,689

Source of funds

General fund2,822,155

Transportation fund69,615

Special funds1,112,209

Tobacco fund290,000

Federal funds617,000

Interdepartmental transfer1,369,710

Total6,280,689

(a) Of the above appropriation, $25,000 shall be reserved by the attorney general for payment of expenses incurred by towns in defense of grand list appeals engaged in litigation with the Washington electric cooperative.

(b) Notwithstanding any other provisions of law, the office of the attorney general, Medicaid fraud control unit is authorized to retain one-half of any civil monetary penalty proceeds from global Medicaid fraud settlements. All penalty funds retained shall be used to finance Medicaid fraud and residential abuse unit activities.

Sec. 54a. 33 V.S.A. § 2005(a) is amended to read:

§ 2005. PHARMACEUTICAL MARKETERS

(a)(1) Annually on or before January 1December 1 of each year, every pharmaceutical manufacturing company shall disclose to the office of the attorney general the value, nature, and purpose of any gift, fee, payment, subsidy, or other economic benefitprovided in connection with detailing, promotional, or other marketing activities by the company, directly or through its pharmaceutical marketers, to any physician, hospital, nursing home, pharmacist, health benefit plan administrator, or any other person in Vermont authorized to prescribe, dispense, or purchase prescription drugs in this state. Disclosure shall include the name of the recipient. Disclosure shall be made on a form and in a manner prescribed by the office of the attorney general and shall require pharmaceutical manufacturing companies to report the value, nature, and purpose of all gift expenditures according to specific categories. The office of the attorney general shall report annually on the disclosures made under this section to the general assembly and the governor on or beforeMarch 1April 1.