Commission Agenda Item No. 2
Presenter:  Mike Jensen

 

Action
FY 2011 Operating and Capital Budget and
Conservation and Capital Accounts
TPWD Budget and Investment Policy Resolutions
August 26, 2010

I.       Executive Summary:  The Commission is considering the approval of the FY 2011 operating and capital budget, as well as the Budget and Investment Policy Resolutions.

II.     Discussion:  Request for Approval of the Proposed FY 2011 Operating and Capital Budget and the Budget and Investment Policy Resolutions:

The proposed combined budget for fiscal year 2011 is based on legislative appropriations and other authority provided in special provisions and the supplemental appropriations bill.

In addition, Section 11.043 of the Parks and Wildlife Code provides that funds in the Texas Parks and Wildlife Conservation and Capital Account (Account 5004) may only be spent on projects that have been individually approved by the Commission.

Through the budget policy, the Commission authorizes the Executive Director to approve and execute, or have executed on his behalf, necessary expenditures, budget adjustments and transfers.  Budget adjustments, excluding federal grants and bonds, which exceed $250,000 require prior approval of the Chairman of the Commission and the Chairman of the Finance Committee.  The Investment Policy must be reviewed annually by the Commission as required by statute.  All Texas Parks and Wildlife Department funds, with a few exceptions, are required to be deposited in the State Treasury.  The policy also includes requirements for bank accounts, training and other reporting requirements.

III.    Recommendation:  Staff recommends the Texas Parks and Wildlife Commission adopt the following motion:

"The Executive Director is authorized to expend funds to operate the Texas Parks and Wildlife Department in accordance with the Proposed FY 2011 Operating and Capital Budget (Exhibits A, B) and approves expenditure of FY 2011 Texas Parks and Wildlife Conservation and Capital Account funds, including additional funds realized in FY 2011, for the individual projects listed (Exhibit C).  The Commission also approves the Budget Policy (Exhibit D), and the Investment Policy (Exhibit E)."

                                                                  Attachments – 5

  1. Exhibit A – FY 2011 Agency Budget by Strategy
  2. Exhibit B – FY 2011 Operating and Capital Budget by Division/Object of Expense
  3. Exhibit C – Conservation and Capital Accounts
  4. Exhibit D – Budget Policy
  5. Exhibit E – Investment Policy

Commission Agenda Item No. 2
Exhibit A

FY 2011 Agency Budget by Strategy


Commission Agenda Item No. 2
Exhibit B

FY 2011 Operating and Capital Budget by Division/Object of Expense


Commission Agenda Item No. 2
Exhibit C

Conservation and Capital Account Project Listing

Division

Project Name

Project

Communications

License Plate Marketing For Conservation Plates

Funding to pay for various marketing efforts for all conservation plates. Includes print and online advertising and point of sale materials.

Inland Fisheries

Freshwater Resource Management

Develop fish stocking plans, habitat improvement and research to improve the statewide fisheries programs.

State Parks

Equipment Replacement

Funding for capital equipment replacement such as the replacement of tractors, mowers, etc.

State Parks

State Park Field Operations In Region 1

Funding for operating costs such as fuel: consumable supplies; utilities; travel; and rent related to Region 1 operations.

Wildlife

Implementation Of The Texas Wildlife Action Plan

Projects will involve the following areas: (1) nongame inventory and monitoring on public and private lands; (2) rare plant surveys on public and private lands; (3) invasive species monitoring and management; (4) habitat restoration for priority species on public and private lands; (5) climate change adaption strategies; (6) data management and analysis; (7) habitat modeling.

Wildlife

Sponsorships For Wildlife Diversity Partner Programs

Co-sponsorships for various conferences, initiatives, or outreach programs to partners at the state and national level (Partners for Amphibians and Reptile Conservation, Southern Wings, Partners in Flight, Texas Plant Conservation Conference, Texas Birding Classic, Urban Wildlife Conference and others).

Wildlife

Hardware/Software To Implement Science Review Recommendations

Purchase miscellaneous research and survey hardware/software to supplement current survey efforts, test advances in technology for potential hardware/software purchases as current hardware becomes obsolete.

Wildlife

Twims Development

Development of big game applications within Texas Wildlife Information Management Services.

Wildlife

Software Development

Modifications to CyberTracker data capture software.

Wildlife

White-Tailed Deer Research

Contribute to research projects involving white-tailed deer.

Wildlife

Bighorn Sheep Research

Contribute to research associated with bighorn sheep stocking.

Wildlife

Mule Deer Research

Contribute to research projects involving mule deer.

Wildlife

Pronghorn Research

Contribute to research projects involving pronghorn.

Wildlife

MLDP Permits

Purchase paper and fund mailing of MLD Permits.

Wildlife

Deer And Habitat Management Publications

Funding to pay for preparing and printing Big Game Publications.

Wildlife

Big Game Harvest Survey

Strengthen results of Big Game Harvest Survey by increasing sample size and changing the scale at which harvest is monitored.


Commission Agenda Item No. 2
Texas Parks and Wildlife Commission
Commission Policy
Exhibit D
August 26, 2010

BUDGET POLICY

It is the policy of the Texas Parks and Wildlife Commission to authorize the Executive Director to approve and execute or have executed on his behalf, expenditures, budget adjustments and transfers as follows:

  1. Adjust the budget to bring unexpended balances forward from prior year approved budgets.
  2. Adjust the budget for transfers between budgetary units, major expense categories, or line items.
  3. Adjust the budget to increase funds to allow payment of appraisal fees, witness fees, and investigation expenses on land acquisition and construction projects.
  4. Approve and/or execute contracts and interagency agreements necessary in the daily operation of the Department.  Revenues derived from interagency agreements may be budgeted and expended.
  5. Adjust the budget for appropriated revenues, such as sale of equipment, donations, concessions, escrow, refunds, insurance proceeds, and publications revenue, so long as the expenditures are in agreement with the stated program goals and there will be sufficient cash during the fiscal year.
  6. Approve and/or execute construction, repair, or renovation budgets, contracts, interagency agreements, and change orders if necessary to complete a project as approved by the Commission.  Adjust the budget from one Department facility major repair or development project to another or from available revenue to cover increased project costs or changes in scope.
  7. Allocate super combo license revenue to the related stamp funds according to the documented methodology and authorize the related transfers of revenue to appropriate accounts.
  8. Adjust the budget to cover the costs of lawsuits or settlements if deemed to be in the best interest of Texas Parks and Wildlife.
  9. Adjust the budget to place a Department facility into reasonable operation when its condition poses a health or safety hazard or seriously hampers its ability to function.
  10. Authorize classification changes anytime during a budgetary year, providing that such changes have been thoroughly justified and funds are available.
  11. Increase the number of positions when new facilities are placed into operation and/or new programs are implemented, staying within the authorized FTE limit.
  12. Adjust the budget to make capital expenditures for construction projects funded in part with proceeds of bonds issued by the Texas Public Finance Authority.
  13. Approve and/or execute the reimbursement of construction project costs with the proceeds of tax-exempt bonds issued by the Texas Public Finance Authority, pursuant to federal Internal Revenue Code guidelines.

The Chairman of the Commission and Chairman of the Finance Committee are authorized to increase, decrease or otherwise adjust the budget during the fiscal year based on revenue and expenditure information and document those actions as noted below.  Any budget adjustments that exceed a threshold of $250,000, excluding federal and bond funds, require the prior approval of the Chairman of the Commission and Chairman of the Finance Committee through such means as a conference call or memo. Donations or gifts exceeding $500 shall be accepted by the Chairman of the Commission or Chairman of the Finance Committee on a monthly basis, with Commission acknowledgement of the acceptance of the donations at each scheduled Commission meeting.

Subject to notification of the TPW Commission of any changes to previously discussed purposes or uses of funds, the Department is authorized to use dedicated accounts and sub-accounts for purposes consistent with those outlined in relevant statutory provisions or administrative rules as set forth in the Texas Administrative Code.

This policy shall rescind any existing policy on budget adjustments and transfers.

            APPROVED this the 26th day of August 2010.

In official recognition of the adoption of this resolution in a lawfully called public meeting of the Texas Parks and Wildlife Commission, we hereby affix our signatures this 26th day of August 2010.

                                                                                    ______________________________
                                                                                    Peter M. Holt, Chairman

                                                                                    ______________________________
                                                                                    T. Dan Friedkin, Vice Chairman

                                                                                   ______________________________
                                                                                   Mark E. Bivins, Member

                                                                                    ______________________________
                                                                                    Ralph H. Duggins, Member

                                                                                    ______________________________
                                                                                    Antonio Falcon, M.D., Member

                                                                                   ______________________________
                                                                                    Karen J. Hixon, Member

                                                                                    ______________________________
                                                                                    Dan Allen Hughes, Jr., Member

                                                                                    ______________________________
                                                                                    Margaret Martin, Member

                                                                                    ______________________________
                                                                                    S. Reed Morian, Member


Commission Agenda Item No. 2
Texas Parks and Wildlife Commission
Commission Policy
Exhibit E
August 26, 2010

INVESTMENT POLICY

All funds paid to Texas Parks and Wildlife Department (TPWD) pursuant to the Parks and Wildlife Code or allocated to TPWD per Section 151.801 of the Texas Tax Code are required by Section 11.042 of the Parks and Wildlife Code to be deposited in the treasury with two exceptions, the Operation Game Thief Fund and the Texas Park Development Fund.  The Operation Game Thief Fund is held outside the treasury and, as authorized by Parks and Wildlife Code §12.201, is invested according to rules adopted by the Operation Game Thief Committee.  Although not required, the Texas Park Development Fund is deposited in the treasury and invested by the Comptroller.

Parks and Wildlife Code §11.065 authorizes the commission to adopt rules for investment of the Lifetime License Endowment Account.  The Lifetime License Endowment Account is deposited in the treasury and invested by the Comptroller.  TPWD will review the benefit of this arrangement and determine the feasibility of other investment opportunities.

In addition, TPWD has established an account at The Texas Treasury Safekeeping Trust Company, an organization created by the Texas Legislature to invest and safeguard funds for the state and various subdivisions whose sole shareholder and director is the Texas Comptroller of Public Accounts.  TPWD’s account at The Texas Treasury Safekeeping Trust Company is for the purpose of accepting donations of marketable securities which shall be held only until accepted by the Commission.  Donations of marketable securities shall be sold promptly upon acceptance by the Commission and the proceeds shall be deposited into the treasury.

I.        Objectives of TPWD

  1. A.         Suitability of the investment to TPWD requirements
  2. B.         Preservation and safety of principal
  3. C.         Liquidity
  4. D.         Marketability
  5. E.          Diversification of the portfolio
  6. F.          Yield

II.     Policy Guidelines

  1. A.         TPWD funds, unless designated otherwise by Parks and Wildlife Code §11.042, shall be held in the treasury and invested by the Comptroller under Texas Government Code §404.024.
  2. B.         Mitigation funds distributed to TPWD shall be deposited in the treasury and accounted for separately. 
  3. C.         Bank accounts authorized by the General Appropriations Act of the 81st  Legislature, Article VI, Riders 3 and 4, and Texas Government Code §403.241-403.252 and §660.025 should be either interest-bearing accounts or accounts with no fees.  Any interest earned in excess of bank fees shall be deposited in the General Revenue Fund.
  4. D.         All bank accounts will be insured up to $100,000 under FDIC.  If at any time deposits exceed $100,000 in any financial institution, the custodian of the affected account(s) is required to obtain collateralization that meets state requirements to cover the amount exceeding $100,000.

III. Investment Officers

  1. A.  The Investment Officers shall be the Deputy Division Director of Administrative Resources, a staff member or members designated by the Department’s Chief Financial Officer, and a designee identified by the Operation Game Thief Committee.
  2. B.   The Investment Officers shall attend investment training every other year from a program recommended by the Texas Higher Education Coordinating Board.
  3. C.   The Investment Officers are required to disclose any personal business or familial relationship with a business organization offering to sell investments to TPWD. 
  4. D.  The Investment Officers are required to provide a written copy of the investment policy to every business organization engaging in investment activity with TPWD and must obtain written acknowledgement that the policy was received and reviewed and appropriate procedures and controls are in place to preclude unauthorized transactions.
  5. E.      The establishment of any bank accounts under II.C. above must be approved by one of the Investment Officers.  Continuance of bank accounts is dependent upon timely and accurate record keeping and reporting.

IV. Reporting

  1. A.  Reports shall be prepared within 45 days of the end of each quarter and distributed to members of the Texas Parks and Wildlife Commission, the Executive Director and the Chief Financial Officer.  These quarterly reports shall comply with state requirements for content.
  2. B.   A report on changes to the Public Funds Investment Act shall be prepared and distributed to members of the Texas Parks and Wildlife Commission, the Executive Director and the Chief Financial Officer within six months of the end of a regular legislative session.

V.  Review

  1. A.  The Texas Parks and Wildlife Commission shall review this policy at least annually.

            APPROVED this the 26th day of August 2010.

In official recognition of the adoption of this resolution in a lawfully called public meeting of the Texas Parks and Wildlife Commission, we hereby affix our signatures this 26th day of August 2010.

                                                                                    ______________________________
                                                                                    Peter M. Holt, Chairman

                                                                                    ______________________________
                                                                                    T. Dan Friedkin, Vice Chairman

                                                                                   ______________________________
                                                                                   Mark E. Bivins, Member

                                                                                    ______________________________
                                                                                    Ralph H. Duggins, Member

                                                                                    ______________________________
                                                                                    Antonio Falcon, M.D., Member

                                                                                   ______________________________
                                                                                    Karen J. Hixon, Member

                                                                                    ______________________________
                                                                                    Dan Allen Hughes, Jr., Member

                                                                                    ______________________________
                                                                                    Margaret Martin, Member

                                                                                    ______________________________
                                                                                    S. Reed Morian, Member


Back to Top
Back to Top