Commission Agenda Item No. 2
Presenter: Reggie Pegues

Request to Exceed Capital Budget Transfer Limitations
May 27, 2021

I.          Executive Summary: The Texas Parks and Wildlife Commission (Commission) is considering the approval of additional capital budget items and requesting approval from the Legislative Budget Board (LBB) and the Governor of Texas to exceed the transfer limitation on capital budget expenditures.

II.        Discussion: The Texas Parks and Wildlife Department (TPWD) is seeking Commission approval to use additional Fiscal Year (FY) 2021 Sporting Goods Sales Tax (SGST) revenue authorized from TPWD Rider 35 for capital budget items in excess of the transfer limit.

These capital budget items are documented for approval in Exhibit A and are necessary for TPWD to address capital construction and repair needs, land acquisition, and capital transportation and equipment needs at state parks. At this time, the disposition and final amount of FY 2021 additional SGST that will be available to TPWD is pending legislative action on House Bill 2 (Supplemental) and Senate Bill 1 (Appropriations). As such, the amounts in Exhibit A represent the maximum in each category, and as part of this action, TPWD is also seeking Commission authorization to adjust these amounts as necessary to respond to any legislative changes impacting SGST funding.

To pursue the purchase of these capital budget items, Article IX, Section 14.03 of the General Appropriations Act (86th Texas Legislature) requires the Commission to request approval from the LBB and the Governor to exceed the 25 percent transfer limitation on capital budget expenditures. Additionally, because land acquisition is currently not listed in the agency’s capital budget rider, the Commission’s request to the LBB and the Governor would also seek to establish land acquisition as a new capital category in the capital budget rider. Upon adoption of this item, a formal memo requesting approval of these items will be submitted to the LBB and Governor’s Office under the Commission Chairman’s signature.

III.     Recommendation: The staff recommends the Commission adopt the following motion:

“The Texas Parks and Wildlife Commission approves the capital budget items as reflected in Exhibit A and requests approval from the Legislative Budget Board and the Governor to exceed the 25 percent transfer limitation on capital budget expenditures contingent on full availability of the additional FY 2021 Sporting Goods Sales Tax revenue for TPWD use and in funds/categories as identified in the allocation proposed in the House Committee Substitute for House Bill 2. In the event legislative action results in a different amount of available SGST revenue or a different allocation, the Commission authorizes TPWD to adjust information in Exhibit A as necessary to reflect changes in legislative action, and the Commission approves such adjustments and requests approval from the Legislative Budget Board and the Governor to exceed the 25 percent transfer limitation on capital budget expenditures.”

Attachment – 1

  1. Exhibit A – Capital Budget Expenditures

Commission Agenda Item No. 2
Exhibit A

Capital Budget Expenditures
Capital Budget Category Items Description/Justification Funding Source Total
Construction and major repairs Various capital construction projects Funds include amounts to support the FY 2020-2021 portfolio in the following ways: (1) reprioritization of Cedar Hill Camp Loop to move contract letting from FY 2022-2023 to FY 2021; (2) to resume development of projects deferred from the current biennium portfolio as a result of the legislative five-percent reductions; and (3) address ongoing capital project needs because of heightened costs related to field conditions, change orders, or increased material and/or labor supply costs. SGST-5004 / SGST-64 $16,016,117
Land acquisition Expand acreage at existing parks Funding would allow TPWD to pursue strategic acquisitions aimed at providing expanded recreational opportunity at existing parks. SGST-64 $3,500,000
Capital transportation Park staff and vehicles/Park Police Officer trucks These funds will purchase 206 field trucks and 20 staff vehicles that meet the state criteria for replacement (10 years old or 110,000 miles). Field trucks are used to maintain the park grounds and carry equipment and supplies throughout the parks. Staff vehicles are used for program staff and site administrative staff to safely conduct business. Not maintaining the park grounds can lead to unsafe areas for park guests, volunteers, and staff. This request will also provide funding to replace 70 State Park Police Officer trucks that meet the same criteria. Park Police Officers use the trucks to patrol the parks, respond to emergencies, and serve as first responders in the parks and surrounding communities. Additionally, these funds will also purchase 25 UTVs to be used by staff and volunteers to maintain trails and camp sites. SGST-64 $9,933,750
Capital Equipment Tractors, excavators, skid steers, aerial lifts, message boards, radios These funds will purchase heavy equipment needed for different regions to maintain park grounds and facilities. At this time, regions share heavy equipment and there are safety concerns with towing heavy equipment across the state to different sites. With these funds, every region will have their own equipment when needed. Message boards are important in notifying the public of emergencies happening in the park, as well as notifying the public of any prescribed burns in the area. These funds will also purchase Vehicle APEX 800 radios to replace existing VHF radios. APEX radios are a need for officer safety and communication. SGST-64 $4,230,892
Total - Capital Budget Items $33,680,759