STATE OF CALIFORNIA Budget C h a n g e Proposal - Cover Sheet DF-46 (REV 08/16)

Fiscal Year Business Unit —

Department Priority No. 2017-2018 8940 Military Department 9

Budget Request Name 8940-009-BCP-2017-GB

Program 6911-NATIONAL GUARD

Subprogram 6911010- ARMY- NATIONAL GUARD

Budget Request Description CMD Environmental Programs Increase to Meet Federal Requirements

Budget Request Summary

The California Military Department (CMD) requests position and Federal Trust Fund authority to support critical environmental requirements within the Environmental Programs Directorate, The requested resource will work to ensure adherence to environmental requirements mandated by federal and state law, Department of Defense Instructions, and Army Regulations.

Requires Legislation

• Yes M No

Code Section(s) to be Added/Amended/Repealed

Does this BCP contain information technology (IT) components? O Yes Kl No

If yes, departmental Chief Information Officer must sign.

Department CIO Date

For IT requests, specify the project number, the most recent project approval document (FSR, SPR, S1BA, S2AA, S3SD, S4PRA), and the approval date.

Project No. Project Approval Document: Approval Date:

If proposal affects another department, does other department concur with proposa l • Yes • No Attach comments of affected department, signed and dated by the department director or designee.

Prepared By Date Reviewed By Date COL Michael L. Herman 9/2/2016 Col Ronald J. Vestman 9/2/2016

Department Director Date Agency Secretary Date MG David S. Baldwin 9/2/2016

Department of Finance Use Only

Additional Review: • Capital Outlay • ITCU • FSCU • OSAE • CALSTARS C Dept. of Technology

BCP Type: • Policy • Workload Budget per Government Code 13308.05

PPBA Original Signed By Date submitted to the Legislature

Brendan Murphy

Analysis of Problem

A. . Budget Request Summary

The California Military Department (CMD) requests the establishment of one position and an increase of $144,000 in Federal Trust Fund authority within the Army Guard Headquarters, Environmental Programs Directorate. This position will be established at no cost to the State, as the position is authorized and will be fully funded by the National Guard Bureau. The requested position will be located at the Camp Roberts Installation and will be critical to executing federally funded Military Construction (MILCON), maintenance and repair projects, and real-estate actions state-wide by ensuring that required federal and state environmental prerequisites, including environmental assessments. Environmental Conditions of Property validations, historic preservation, and permitting are satisfied.

B. Background/History

In accordance with a Master Cooperative Agreement, title 40 of the Code of Federal Regulations (40 CFR), title 14 California Code of Regulations (14 CCR), Army Regulation 200-1 (AR 200-1), National Guard Bureau Regulation 420-10 (NGR 420-10), and California Army National Guard Regulation 200-1 (CAL 200-1), the California National Guard Environmental Programs Directorate provides guidance, compliance and oversight to the CMD in an effort to protect the environment. Due to the large number of California Army National Guard (CA ARNG) facilities, the complexity of the environmental programs in California and the continuously-increasing scope of environmental laws and regulations, the National Guard Bureau (NGB) determined in its 1999 Federal Manning model that the Environmental Programs Directorate requires 35 positions. The manning model was developed by NGB using the number of facilities, installations, and requirements for which each state is responsible. In FY 2013, Environmental Programs was authorized 7 State Civil Service (SCS) positions through the BCP process, bringing the state authorized positions to 33, in addition to a single federal technician. However, in order to keep up with increasing environmental project demands and changing environmental laws and requirements, it is necessary to request one more position to reach the NGB requirement of 35 positions.

The 35 positions are responsible for statewide environmental compliance within the CA ARNG. This directorate manages 17 programs including, but not limited to: Hazardous Materials, Hazardous Waste, Solid Waste, Pollution Prevention, Water and Air Quality Management, Underground and Aboveground Tank Management, Pest Management, Natural Resources, Cultural Resources, Endangered Species protection. Compliance Cleanup, Installation Restoration Program, Environmental Condition of Property (ECOP) studies, and National Environmental Protection Act (NEPA) and California Environmental Quality Act (CEQA) compliance. These and other programs generate a variety of projects that require project management, coordination with regulatory agencies, consultation with operating directorates, fieldwork, and acquiring permits.

Resource History (Dollars in thousands)

Program Budget P Y - 4 P Y - 3 P Y - 2 PY-1 PY Authorized Expenditures 2,597,000 2,325,000 2,695,000 3,386,700 3,885,000 Actual Expenditures 2,228,000 2,477,000 2,607,000 3,227,000 3,376,000 Revenues Authorized Positions 34 34 34 34 34 Filled Positions 23 27 27 29 31 Vacancies 11 7 7 5 3

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Analysis of Problem

Workload History Workload Measure P Y - 4 P Y - 3 P Y - 2 PY-1 PY CY

Consultations 8 22 39 61 78 82 NEPA/CEQA Reviews 79 132 193 248 298 313

ECOP reviews 2 2 5 7 7 16

Monitoring (hours) 8 294 341 275 302 318

Enviro Contracts Managed 23 11 8 7 8 14

C. state Level Considerations

The Military Department's state mission is to protect the safety of the citizens of California by providing military support to civil authorities during natural disasters and other emergencies. This mission requires strategic placement of units throughout the state. The Military Department's CA ARNG has almost 100 facilities statevyide including 3 major training bases covering over 50,000 acres, an aviation repair depot servicing military helicopters from 13 western states, 3 aviation support facilities, 2 consolidated equipment shops, 32 ground vehicle maintenance shops, and 2 supply depots. For these units to be effective, their facilities, equipment and activities must be in compliance with all federal, state, and local environmental laws as well as Department of Defense Instructions and Army regulations. The primary benefit for authorizing this position is that Environmental Programs will be able to better meet all federal, state, and local regulatory and legal requirements. Impacts of noncompliance with federal, state, and local regulatory and legal requirements may result in the following: lawsuits against the CMD, project delays, denial of funding, negative perception on the CMD and The Adjutant General (TAG), and notices of violation (NOVs) requiring the CMD to take away operating funds from a unit or training installation in order to pay substantial punitive fines. The federal funds are only provided to support filled positions; if this position is not authorized, the funds will not be available to support other programs.

D. Justification

This request supports CMD 2016 Strategic Priorities three and four: internal controls, providing efficient and effective inspection programs and executive effective internal controls, and effective organizations, modernizing installations, armories and Air bases, and affecting comprehensive capital project planning. Granting this proposal will improve the quality of environmental compliance in the CMD, allowing the Department to be better able to meet all federal, state, and local regulatory and legal requirements. Authorization of this request will resolve the workload problem for the Environmental Directorate and will also avoid future fines and penalties due to non-compliance, and ensure that construction and operational activities are not delayed or cancelled due to inadequate or delayed completion of environmental requirements. If the proposal is not granted, the CMD is at risk of losing multi-million dollar, federally-funded statewide projects and not meeting all environmental requirements.

E. Outcomes and Accountability

The primary benefit for authorizing this position is that the CMD will be better positioned to meet all federal, state, and local regulatory and legal requirements. Authorizing this position will provide greater environmental protection and enhancement of CMD projects; will increase the environmental directorate's ability to support more CMD projects; and will reduce the risk of environmental noncompliance.

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Analysis of Problem

Projected Outcomes Workload Measure CY BY BY+1 BY+2 BY+3 BY+4

Consultations 82 82 86 90 95 100

EPA/CEQA Reviews 313 313 329 346 363 381

ENCOPs 16 16 17 18 19 20

Monitoring (hours) 318 318 333 383 403 423

ENV Contracts Managed 14 14 15 16 17 18

F. Analysis of All Feasible Alternatives

Alternative #1 : Authorize position and Federal Trust Fund authority to support critical environmental requirements within the Environmental Programs Directorate.

Pros: • Decreases environmental liabilities. • Increases environmental protection and enhancement. • Provides added oversight of CMD construction projects.

Cons: • Growth in State Government.

Alternative #2: Use federal funds to contract environmental requirements.

Pros:

• Does not grow State Government.

Cons: • Environmental Programs will have to increase federal funding to outsource the work by hiring a

contractor to meet the workload requirements in support of CMD projects. • Contracting is less responsive to immediate needs.

• Contractors cannot develop or manage contracts; one of the key duties of this position.

Alternative #3: Deny the proposal.

Pros:

• Does not grow State Government.

Cons: • Places the CMD at risk of non-compliance with state, federal, and local environmental laws

resulting in notices of violation (NOVs) that could potentially cost the CMD thousands upon thousands of dollars to correct. Furthermore, because the CMD does not have funding allocated for NOVs, the funding would have to come from the CMDs state operating budget.

• This action involves not accepting federal funds from NGB for FY17 and would ensure that these funds are directed to other states. This alternative does not ensure the CMD will meet environmental compliance requirements, risks losing multi-million dollar construction projects to other states, and could place soldier health, safety, and the environment at risk.

G. Implementation Plan Immediately upon receipt of approved budget and FY17 federal funding, the Environmental Programs Directorate will do the following:

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Analysis of Problem

• Create Vacancy Packet • Submit Vacancy Packet to State Personnel • State Personnel will announce vacancy for 30 days • Conduct interviews • Select Candidate • While on a 6 month to 1 year probation, the candidate will be in a training mode with significant

productivity beginning B Y + 1 .

H. Supplemental Information

Current National Guard Bureau Manning Model Document requiring 35 positions.

I. Recommendation

Alternative # 1 — Approve request for one position and Federal Trust Fund authority to support environmental requirements within the Environmental Programs Directorate.

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DF-46 (REV 03/13) F i s c a l Summary

(Dollars in thousands)

BCP No. 9

Proposal Title Program 6911- National Guard

Personal Services Positions Dollars Personal Services CY BY BY + 1 CY BY BY + 1 Total Salaries and Wages ^ 0.0 1.0 1.0 $0 $65 $65 Total Staff Benefits ̂ 0 67 67 Total Personal Services 0.0 1.0 1.0 $0 $132 $132 Operating Expenses and Equipment

General Expense 0 4 4 Printing 0 0 0 Communications 0 2 2 Postage 0 0 0 Travel-In State 0 2 2 Travel-Out of State 0 0 0 Training 0 1 1 Facilities Operations 0 0 0 Utilities 0 0 0 Consulting & Professional Services: interdepartmental^ 0 0 0 Consulting & Professional Services: External ^ 0 0 0 Data Center Services 0 0 0 Information Technology 0 0 0 Equipment ̂ 0 1 0 Other/Special Items of Expense:

5390900- Other Items of Expense-Misc. 0 2 2

Total Operating Expenses and Equipment $0 $12 $11 Total State Operations Expenditures $0 $144 $143

Fund Source Item Number Fund Source Org Ref Fund General Fund Special Funds^ Federal Funds 8940 001 0890 $0 $144 $143 Other Funds (Specify) Reimbursements Total Local Assistance Expenditures $0 $0 $0

Fund Source Item Number Fund Source Org Ref Fund General Fund Special Funds^ Federal Funds Other Funds (Specify) Reimbursements Grand Total, State Operations and Local Assistance $0 $144 $143

' itemize positions by ciassification on ttie Personal Services Detail worksheet. ^ Provide benefit detail on the Personal Services Detail worksheet. [ ( ^ Provide list on the Supplemental information worksheet.

Other/Special items of Expense must be listed individually. Refer to the Uniform Codes Manual for a list of standard titles. ^ Attach a Fund Condition Statement that reflects special fund or bond fund expenditures (or revenue) as proposed.

Persona l S e r v i c e s Detail (Whole dollars)

BCP No. 9

Proposal Title CMD Enviornmental Programs Increase to Meet Federal Requirements

Salaries and Wages Detail

Classification^ ^ Positions Salary

Range Dollars

Classification^ ^ CY BY BY + 1 Salary Range CY BY BY + 1

Assoc EnvlrntI PInr 0.0 1.0 1.0 4,829-6,048 $0 $65,000 $65,000

Total Salaries and Wages ^ 0.0 1.0 1.0 $0 $65,000 $65,000

Staff Benefits Detail CY BY BY + 1 OASDI $0 $5,000 $5,000 Health/DentalA/ision Insurance 0 21,000 21,000 Retirement

Miscellaneous 0 0 0 Safety 0 0 0 Industrial 0 0 0 Other: 0 16,000 16,000

Workers' Compensation 0 9,000 9,000 Industrial Disability Leave 0 0 0 Non-Industrial Disability Leave 0 0 0 Unemployment Insurance 0 0 0 Other: Medicare 0 16,000 16,000

Total Staff Benefits ^ $0 $67,000 $67,000

Grand Total, Personal Services $0 $132,000 $132,000

^ Use standard abbreviations per the Salaries and Wages Supplement. Show any effective date or limited-term expiration date in parentheses if the position is not proposed for a full year or is not permanent, e.g. (exp 6-30-13) or (eff 1-1-13) Note: Information provided should appear in the same format as it would on the Changes in Authorized Positions.

^ If multiple programs require positions, please include a subheading under the classification section to identify positions by program/element.

^ Totals must be rounded to the nearest thousand dollars before posting to the Fiscal Summary.

Supplemental Information (Dollars in thousands)

BCP No. Proposal Title 9 CMD Enviornmental Programs Increase to Meet Federal Requin

Equipment C Y BY BY +1

Standard Complement

Total $0 $0 $0

Consulting & Professional Services

Total $0 $0 $0

Facility/Capital Costs

Total $0 $0 $0

One-Time/Limited-Term Costs Yes x No

Description BY BY +1 BY +2

Description Positions Dollars Positions Dollars Positions Dollars

Computer/Software 0.0 1 0.0 0 0.0 0

0.0 $1 0.0 $0 0.0 $0

Full-Year Cost Adjustment Yes No X

Provide the incremental change in dollars and positions by fiscal year.

Item Number BY BY+1 BY +2

Item Number Positions Dollars Positions Dollars Positions Dollars

Total 0.0 $0 0.0 $0 0.0 $0

Future Savings Yes No x

Specify fiscal year and estimated savings, including any decrease in positions.

Item Number BY BY +1 BY +2

Item Number Positions Dollars Positions Dollars Positions Dollars

Total 0.0 $0 0.0 $0 0.0 $0

Spec ia l Fund Detail (Dollars in thousands)

BCP No. 9

Proposal Title CMD Enviornmental Programs Increase to Meet Fede

Special Fund Title Item Number Dollars

Special Fund Title Org Ref Fund CY BY BY + 1

Total Special Funds - State Operations ^ $0 $0 $0

Special Fund Title Item Number Dollars

Special Fund Title Org Ref Fund CY BY BY + 1

Total Special Funds - Local Assistance ^ $0 $0 $0

' Total must tie to "various" funds identified for State Operations, Speciai Funds in the Fiscai Summary. Add rows if necessary.

^ Total must tie to "various" funds identified for Local Assistance, Special Funds in the Fiscal Summary.