OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http://www.cga.ct.gov/ofa

sSB-521

AN ACT CONCERNING THE ADMINISTRATION OF THE DEPARTMENT OF CORRECTION.


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 19 $

FY 20 $

Admin. Serv., Dept.

GF - Cost

46,721

46,721

State Comptroller - Fringe Benefits1

GF - Cost

16,974

16,974

Correction, Dept.

GF - Cost

1,000

1,000

Correction, Dept.

GF - Potential Minimal Revenue Gain

See Below

See Below

Note: GF=General Fund

Municipal Impact: None

Explanation

This bill makes various changes to the statutes governing the Department of Correction (DOC) and results in a cost to the state.

Section 1 requires any applicant to the DOC to submit a pre-employment psychological examination and results in no cost to the state due to the applicant paying any associated fees.

Sections 2-4 and 6 establish the First Chance Trust Fund, a non-lapsing fund administered by the Criminal Justice Policy Advisory Commission (CJPAC). The bill specifies that the Office of Policy and Management and the Department of Administrative Services (DAS) develop a mechanism that allows any state agency to assess a 1% withholding on certain state contracts, and to deposit any revenue generated from the withholding into the First Chance Trust Fund. It then requires CJPAC to use that revenue to provide grants for programs for at-risk youth in distressed municipalities.

It is anticipated that DAS would need to hire a Processing Technician to process any 1% contract withholdings. The annualized cost for a Processing Technician is anticipated to be about $63,695 ($46,721 for salary and $16,974 for fringe benefits).

The 1% withholding on certain contracts results in the vendor not being paid 100%. It is anticipated that certain vendors may increase their bids to cover for the 1% withholding. To the extent that agencies choose to assess the 1% withholding, this could increase contract costs, which could be significant.

The bill makes a change to the risk reduction credits report and results in no fiscal impact to the state.

Section 5 requires the Commissioner of DOC to establish a wellness initiative for the benefit of employees who interact with inmates and results in a cost to the state of $1,000 per year for supplies and materials.

Section 7 makes a procedural change for who reviews an inmates risk reduction credits and results in no fiscal impact to the state.

Section 8 makes a technical change regarding the establishment and maintenance of optical shops and results in no fiscal impact to the state.

Section 9 allows the DOC Correctional Enterprises to sell products to benefit corporations and results in potential minimal revenue gain. There are approximately 120 benefit corporations in Connecticut and based on their business it appears that the Correctional Enterprises will not meet the needs of most of them resulting in a potential minimal revenue gain to the state.

Section 10 eliminates inmate discharge savings accounts and results in no fiscal impact to the state.

Sections 11-14 make conforming changes to statute and result in no fiscal impact to the state.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.

1 The fringe benefit costs for most state employees are budgeted centrally in accounts administered by the Comptroller. The estimated active employee fringe benefit cost associated with most personnel changes is 36.33% of payroll in FY 19 and FY 20.