- Budget Message
- Issues in Brief
- Budget Recommendations
- Local Aid to Cities and Towns
- Capital Budget and Debt
- Budget Development
- Financial Statements
- Appropriation Recommendations
- Operating Transfers
- Local Aid - Section 3
- Outside Sections
- Tax Expenditure Budget
Chapter 29, Section 6 states that “The operating budget shall indicate the number of positions proposed to be authorized for each state agency or such other public instrumentality for the ensuing fiscal year, the number of positions for each state agency in the current and ensuing fiscal years and such other information as may be held to explain the anticipated results of the proposed expenditures”.
To address this requirement, the Governor’s budget recommendation includes budgeted Full Time Equivalency (FTE) counts summarized at the Government area level. Additional detail is included throughout the Budget Recommendations to indicate the employee level within specific departments.
Effect of the Budget on Personnel to Date
Annually, the Executive Office for Administration and Finance (ANF) provides FTE caps to the Executive Branch Departments, prioritizing hiring in areas where positions are critical for public health and safety or where a position results in additional revenue or cost savings for the Commonwealth. FTE caps are implemented at the department level and reviewed regularly by ANF budget analysts to ensure agencies are taking the necessary steps to live within capped levels. It is important to note that FTEs correspond to budgeted level of staffing during any given fiscal year. For a number of reasons, particularly timing of planned hire dates, actual state employee head count and the number of budgeted FTEs may vary within state agencies. In addition, FTE counts typically are less than employee headcount or jobs, since a portion of state employees do not work full-time schedules.
|PREVIOUS PAY PERIOD||12/17/11||34,822|
|CURRENT PAY PERIOD||12/31/11||34,815|
|VARIANCES VS. CURRENT|
|YTD VARIANCE FROM*||01/20/07||(2,658)|
|YTD VARIANCE FROM*||10/11/08||(3,470)|
|PREVIOUS VS. CURRENT||(7)|
|BENCHMARK VS. CURRENT*||10/11/08||38,285|
|*1269 jobs adjusted for MassDOT reform as of 11/01/2009|
Between the fall of 2008 and December 2011, the state workforce for jobs in the Executive Branch funded with operating dollars has declined by 3,470 jobs. The reduction can be attributed to layoffs, attrition and retirement across all agencies in the Executive Branch. This trend has been mirrored in the Non-Executive Branch, even after accounting for an increase of 2,770 positions in January 2010 corresponding to the transition of seven county sheriffs’ offices to state agencies, total non-Executive budgetary jobs have declined by over 2,300 jobs. When considering employees paid in both branches, from all funding sources, the total state FTEs have decreased by more than 6,100 since FY 2008, as reported in the FY 2011 Statutory Basis Financial Report.
H.2 Employment Levels
In reviewing the funding levels available to them for 2013, agencies must critically evaluate their employee level and determine further reductions are necessary to maintain a balanced budget. The Governor’s FY 2013 budget recommendation projects a total of 64,120 budgetary FTEs. This amount includes FTEs from both Executive and Non-Executive departments as well as positions funded from the operating accounts listed within the budget.
|Executive Branch Secretariats:|
|Administration and Finance||2,733||2,719||(14)|
|Energy and Environmental Affairs||1,982||1,976||(6)|
|Housing and Economic Development||712||706||(6)|
|Health and Human Services||19,669||19,908||239|
|Labor and Workforce Development||264||259||(5)|
|Budgetary Position Eliminations||-||(400)||(400)|
|Constitutional Officers and Independents||3,077||3,042||(35)|
|TOTAL STATE BUDGETED FTEs||64,417||64,120||(297|
|*Reflects the shift of nearly 1,900 FTEs from the Judiciary to Public Safety as part of the Governor's proposed reforms related to community supervision.|
The FY 2013 projected budgeted FTEs reflects the Governor’s proposal to consolidate the Probation Department under the Executive Branch in the new Department of Community Supervision. In addition, the Governor’s budget assumes targeted investments in Education and Health and Human Services, which will call for modest amounts of additional staffing to oversee and execute the Governor’s strategic priorities. Over 120 additional FTEs are projected within Health and Human Services for additional state caseworkers to address substantial caseload growth in the federal Medicaid program and Supplemental Nutritional Assistance Program (SNAP). Fifty percent of these costs are paid for by the federal government. The Governor’s budget does propose to hire up to 180 new state troopers in FY 2013 through a new police officer class that begins in the spring of 2013. Finally, the Governor’s FTE assumptions reflect that the state will hire up to 500 additional staff at the Committee for Public Counsel Services (CPCS), continuing the FY 2012 reform to shift legal representation of indigent persons from more expensive private attorneys that bill for hourly services to less costly salaried state employees.
The Governor’s proposal also calls for the elimination of an additional 400 budgetary FTEs across the Executive Branch. Outside Section 22 authorizes the Secretary of Administration and Finance to identify and sequester up to $30 M in FY 2013 savings generated by eliminating 400 FTEs, including salary and fringe costs.
Workforce Planning Goals
The Executive Office for Administration and Finance (ANF) and the Human Resources Division have worked together to implement clear policies surrounding employees. Each fall, ANF engages each agency in a spending plan process in which each account is evaluated to determine how funds will be spent for the current fiscal year. This requires a detailed description of employees for the current year - including those currently on staff, positions that are open and intended to be filled and new positions for which funding is available. The goals of the employee caps are to:
- Restrain Growth in State Employee Levels - Since payroll is a large portion of many agency expenditures, and reductions in force can take so long that savings cannot be realized in a fiscal year, caps are needed to manage hiring within available funding levels. Although some hiring may have small costs for the current year, the full year value of new staff have budget impacts that must be considered.
- Mitigate Shifts to Other Funding Sources – Employees come onto the state payroll several ways including the operating budget (FTEs and contractors), the capital budget, federal grants and trusts. All sources are carefully reviewed to ensure we are maintaining compliance with employment laws and also to ensure that we are not using one time sources to pay for ongoing costs.
- Manage Overtime Costs – Although hiring restrictions are important, overtime costs must be considered to ensure that proper staffing levels are maintained for public health and safety where responsibilities are 24 hours / 7 days per week. Oftentimes, the savings of FTE restrictions are simply shifted to higher overtime. Therefore, prudent management of both overtime and staffing levels must be evaluated.
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