EXECUTIVE ORDER
BJ 08-114

Executive Department—Expenditure Reduction


WHEREAS, pursuant to R.S. 39:75(A)(1), the Division of Administration is directed to submit a monthly budget status report to the Joint Legislative Committee on the Budget (hereafter "Committee") indicating the balance of the budget for the state general fund and dedicated funds by comparing the official forecast for these funds to the total authorized appropriations from each fund; once approved by the Committee, the most recent budget status report becomes the official budget status of the state;

WHEREAS, if the most recently approved budget status report indicates that the total appropriation from any fund will exceed the official forecast for that fund, R.S. 39:75(B) requires the Committee to immediately notify the governor that a projected deficit exists for that fund;

WHEREAS, by letter dated December 19, 2008, the Committee notified the governor that it approved a budget status report at its December 19, 2008 meeting, indicating a projected deficit of three hundred forty million, nine hundred forty-eight thousand, two hundred thirty-four dollars ($340,948,234) exists in the state general fund for Fiscal Year 2008-2009, based on the revised official forecast of revenue available for appropriation adopted by the Revenue Estimating Conference on December 15, 2008, compared to total appropriations;

WHEREAS, once notified that a projected deficit exists, pursuant to Article VII, Section 10 of the Constitution of Louisiana and R.S. 39:75(C)(1)(a), the governor has interim budget balancing powers to adjust the budget, including the authority to reduce appropriations for the executive branch of government for any program that is appropriated from a fund that is in a deficit posture, not exceeding three percent (3%) in the aggregate of the total appropriations for each budget unit for the fiscal year, and if the governor does not make necessary adjustments in the appropriations to eliminate the projected deficit within thirty (30) days of the determination of the projected deficit in a fund, R.S. 39:75(D) mandates the governor call a special session of the Louisiana Legislature for that purpose;

WHEREAS, as authorized by R.S. 39:75(C)(1)(a) I am exercising my unilateral interim budget balancing powers to reduce the projected deficit by $162,544,637, which reductions exceed in the aggregate seven-tenths of one percent of the total of state general fund allocations or appropriations;

WHEREAS, after utilizing that authority there still remains $178,403,597 of the projected deficit which must be eliminated, therefore I direct the commissioner of administration to present to the Joint Legislative Committee on the Budget for its approval a plan to eliminate the remaining amount of the projected deficit pursuant to R.S. 39:75(C)(2) at its meeting in January of 2009;

WHEREAS, my executive order and the plan to be submitted to the Joint Legislative Committee on the Budget may utilize all or a portion of the general fund dollar savings objective specified in Executive Order BJ 2008-108.

NOW THEREFORE, I, Bobby Jindal, Governor of the state of Louisiana, by virtue of the authority vested by the Constitution and laws of the state of Louisiana, do hereby order and direct as follows:

SECTION 1: The following departments, agencies, and/or budget units (hereafter "Unit" and/or "Units") of the executive branch of the state of Louisiana, as described in and/or funded by appropriations through Acts 19, 29, and 49 of the 2008 Regular Session of the Louisiana Legislature (hereafter "the Acts"), shall reduce expenditure of funds appropriated to the Unit from the state general fund by the Acts, in the amounts shown below:

Act 19-General Operating Appropriations Act:

Schedule 01-Executive Department State General Fund

01-100

Executive Office

$ 287,733

01-102

Inspector General

$ 25,000

01-107

Division of Administration

$ 2,516,646

01-111

Governor ’s Office of Homeland Security

$ 380,275

Schedule 03-Veterans Affairs

03-130

Veterans Affairs

$ 163,764

03-131

Louisiana War Veterans Home

$ 81,131

03-132

Northeast Louisiana War Veterans Home

$ 33,638

03-134

Southwest Louisiana War Veterans Home

$ 34,792

03-135

Northwest Louisiana War Veterans Home

$ 58,282

03-136

Southeast Louisiana War Veterans Home

$ 56,841

Schedule 04-Elected Officials

04-139

Secretary of State

$ 1,802,816

04-141

Office of Attorney General

$ 564,580

04-146

Lieutenant Governor

$ 121,766

04-147

State Treasurer

$ 47,294

04-160

Agriculture and Forestry

$ 1,270,144

Schedule 05-Economic Development

05-252

Office of Business Development

$ 961,756

Schedule 06-Culture, Recreation and Tourism

06-261

Office of the Secretary

$ 317,971

06-262

Office of the State Library

$ 291,303

06-263

Office of State Museum

$ 269,804

06-264

Office of State Parks

$ 876,269

06-265

Office of Cultural Development

$ 324,525

06-267

Office of Tourism

$ 173,179

Schedule 07-Transportation and Development

07-275

Public Works and Intermodal Transportation

$ 61,222

07-276

Engineering and Operations

$ 142,981

Schedule 08-Corrections Services

08A-400

Corrections Administration

$ 210,513

08A-401

C. Paul Phelps Correctional Center

$ 76,326

08A-402

Louisiana State Penitentiary

$ 658,840

08A-405

Avoyelles Correctional Center

$ 88,086

08A-406

Louisiana Correctional Institute for Women

$ 285,245

08A-409

Dixon Correctional Institute

$ 201,675

08A-412

J. Levy Dabadie Correctional Center

$ 67,030

08A-413

Elayn Hunt Correctional Center

$ 1,866,873

08A-414

David Wade Correctional Center

$ 1,620,311

08A-415

Adult Probation and Parole

$ 241,351

08A-416

B. B. “Sixty ” Rayburn Correctional Center

$ 108,966

Schedule 08-Public Safety Services

08B-419

Office of State Police

$ 1,326,349

Schedule 08-Juvenile Justice

08C-403

Office of Juvenile Justice

$ 4,955,492

Schedule 09-Health and Hospitals

09-305

Medical Vendor Administration

$ 2,287,075

09-306

Medical Vendor Payments

$ 48,041,471

09-307

Office of the Secretary

$ 1,497,455

09-320

Office of Aging and Adult Services

$ 488,193

09-324

Louisiana Emergency Response Network

$ 179,700

09-326

Office of Public Health

$ 1,880,325

09-330

Office of Mental Health-State Office

$ 794,375

09-331

Office of Mental Health-Area C

$ 726,406

09-332

Office of Mental Health-Area B

$ 952,290

09-333

Office of Mental Health-Area A

$ 1,190,854

09-340

Office of Citizens with Developmental Disabilities

$ 1,273,754

09-351

Office of Addictive Disorders

$ 1,459,126

Schedule 10-Social Services

10-355

Office of Family Support

$ 3,418,503

10-357

Office of the Secretary

$ 242,068

10-370

Office of Community Services

$ 3,050,866

10-374

Louisiana Rehabilitation Services

$ 394,461

Schedule 11-Natural Resources

11-431

Office of the Secretary

$ 118,203

11-432

Office of Conservation

$ 144,214

Schedule 12-Revenue

12-440

Office of Revenue

$ 593,524

12-441

Louisiana Tax Commission

$ 60,687

Schedule 13-Environmental Quality

13-850

Office of the Secretary

$ 36,614

13-851

Office of Environmental Compliance

$ 88,620

13-852

Office of Environmental Services

$ 67,238

13-853

Office of Environmental Assessment

$ 96,517

13-855

Office of Management and Finance

$ 73,644

Schedule 14-Workforce Commission

14-474

Office of Workforce Development

$ 139,263

Schedule 19-Higher Education

19A-671

Board of Regents

$ 1,593,653

19A-600

Louisiana State University Board of Supervisors

$20,722,973

19A-615

Southern University Board of Supervisors

$ 2,767,564

19A-620

University of Louisiana Board of Supervisors

$13,469,869

Schedule 19-Special Schools and Commissions

19B-661

Office of Student Financial Assistance

$ 3,142,577

19B-662

Louisiana Educational TV Authority

$ 9,065

19B-673

New Orleans Center for the Creative Arts

$ 173,340

Schedule 19-Education

19D-678

State Activities

$ 322,380

19D-681

Subgrantee Assistance

$ 5,743,034

19D-697

Non-Public Educational Assistance

$ 272,891

19D-699

Special School District

$ 465,871

Schedule 20-Other Requirements

20-930

HIED Debt Service

$ 740,381

20-977

DOA – Debt Service and Maintenance

$ 924,824

Act 49-Ancillary Appropriations for Operating Expenses Act:

21-813

Sabine River Authority

$ 30,000

Act 29-Comprehensive Capital Outlay Act:

26-115

Capital Outlay

$ 300,000

Non-Appropriated Requirements:

22-922

General Obligation Debt Service

$20,000,000

SECTION 2:

A. No later than January 26, 2009, the head of each Unit listed in Section 1 of this Order shall submit to the commissioner of administration (hereafter "commissioner") a mid-year budget reduction plan, on the BA-7 form and questionnaire, which reflects the Unit ’s proposed allocation of the expenditure reduction ordered in Section 1 of this Order (hereafter "mid-year budget reduction plan"), and a description of the methodology used to formulate the mid-year budget reduction plan.

B. In the event that positions of employment will be affected by the mid-year budget reduction these positions should be included in your mid-year budget reduction plan.

C. No Unit shall implement the expenditure reduction mandated by Section 1 of this Order without the commissioner’s prior written approval of the Unit’s mid-year budget reduction plan.

D. After the commissioner has given approval of a Unit ’s mid-year budget reduction plan, any change to the mid-year budget reduction plan requires prior written approval from the commissioner.

SECTION 3: The commissioner of administration is authorized to develop additional guidelines as necessary to facilitate the administration of this Order.

SECTION 4: All departments, commissions, boards, offices, entities, agencies, and officers of the state of Louisiana, or any political subdivision thereof, are authorized and directed to cooperate in the implementation of the provisions of this Order.

SECTION 5: This Order is effective upon signature and shall remain in effect through June 30, 2009, unless amended, modified, terminated, or rescinded prior to that date.

IN WITNESS WHEREOF, I have set my hand officially and caused to be affixed the Great Seal of Louisiana, at the Capitol, in the city of Baton Rouge, on this 30th day of December, 2008.

Bobby Jindal
Governor

ATTEST BY
THE GOVERNOR
Jay Dardenne
Secretary of State