Date: 01/24/2013

Final
Presentation from OSPB

COMMITTEE ON JOINT FINANCE

Votes: View--> Action Taken:
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10:35 AM -- Presentation from the Governor's Office of State Planning and Budgeting (OSPB)

Mr. Henry Sobanet, Director, and Mr. Erick Scheminske, Deputy Director, Governor's Office of State Planning and Budgeting (OSPB), presented an update on the state's budget and the role of the OSPB in state government. Committee members received a copy of the presentation (Attachment A). Mr. Sobanet made some introductory remarks. Mr. Sobanet began walking the committee through Attachment A and discussed the best way to project employment and revenue. He said the Colorado economy is growing faster than the national economy. Mr. Sobanet responded to a question from the committee about the possibility of a future recession. Discussion ensued on this topic. Mr. Sobanet continued his presentation with a discussion of changes in personal income and job growth (page 4 of Attachment A).

13JtFin0124AttachA.pdf13JtFin0124AttachA.pdf

10:46 AM

Mr. Sobanet continued walking the committee through Attachment A. He also responded to a question from the committee about the portion of General Fund revenue that comes from capital gains. Mr. Sobanet continued his presentation on page 6 of Attachment A. He next gave an overview of and addressed questions about the Governor's FY 2013-14 budget request (pages 7 and 8 of Attachment A). Mr. Sobanet responded to additional questions about funding for K-12 education, the potential availability of federal estate taxes, the expected stability of the tax base, the March economic forecast, and increasing the state's statutory reserve.


11:00 AM

Mr. Sobanet responded to a question about page 4 of Attachment A and the relative growth of personal income and capital gains. He next turned to page 9 of Attachment A and discussed the Lean Office within the OSPB. He said more than 2,200 state employees have been trained in lean principles. He explained the cost savings that have been realized through efficiencies identified through the lean process. Mr. Sobanet concluded his presentation with a discussion of the goals of his office. He addressed questions about the cost savings realized for parole hearings through the lean process, and about economic models used to estimate job creation.