BOISE – Idaho will eliminate 94 state employees’ jobs under a governmental reorganization plan Gov. Butch Otter wants in place by July 1, and dozens more will have to reapply for a chance at new versions of their old jobs.

“I am proposing significantly reprioritizing and restructuring state government,” Otter said in his State of the State message.

The details of what that means are just now becoming clear: Otter wants to “devolve” or eliminate two state agencies, the 180-employee Department of Administration, and the 36-employee Division of Human Resources. Those agencies’ functions would be parceled out to other state agencies or contracted to the private sector. In the process, 94 state jobs would be eliminated, while more than 100 others would change and move to other agencies.

Otter’s newly named director of Administration, former state Controller Keith Johnson, is charged with working himself out of a job in six months.

“Butch and I have talked about his intention to eliminate the department,” said Johnson, “and I understand what he’s asking me to do. I’m one of those that’s being eliminated come July 1st.”

State legislators had plenty of questions about the plan Monday, as Otter’s budget director, Brad Foltman, briefed the Joint Finance-Appropriations Committee on the governor’s budget proposals.

“Basically, I’m OK with however he wants to run government, but usually there are some efficiencies that show up and some savings,” said House Appropriations Chair Rep. Maxine Bell, R-Jerome. “Devolving to me means lessening. … When you take people and eliminate a job that they’ve had, there’s got to be a very good reason for it.”

Rep. George Eskridge, R-Dover, said, “I want to see what the net result is. If you’re going to make government more efficient, that’s good. If you reduce the number of employees and get the same work done, that’s good.” But, he said, “I want to make sure we don’t lose some of the functions we have.”

Rep. Shirley Ringo, D-Moscow, said, “I’ve heard these people up in the halls talk about the fact that their jobs are going away. I feel really bad about that.”

Foltman said the aim is greater efficiency and better decision-making in state government more than cost savings. “We do look at the cost-benefit of it, but that wasn’t the motivating factor for it,” he said. “It was to improve state government, without increasing the budget.”

The Department of Administration is one state agency that’s grown over the years into what Foltman described as a “multi-headed monster.” The agency is charged with everything from negotiating health insurance contracts for state employees to overseeing information technology advances to staffing the state Capitol Commission.

Foltman said the new administration looked at that and asked, “Why does it look that way – is there a better way we can provide it?”

Two new, much smaller divisions will be created. The 31-person General Services Division, under the governor’s office, will handle insurance, purchasing and facilities, and oversee contracts for maintenance, landscaping and security. An eight-person human resources bureau will become part of the state Division of Financial Management.

Other functions will be dispersed to other agencies. The state’s Building Safety Division will take on the Division of Public Works and the Capitol Commission. The Military Division will operate the state’s microwave communication system. The Human Rights Commission will take over equal employment issues for state employees, and the Division of Professional-Technical Education will take on training programs. The state Controller’s Office will pick up some payroll-related functions, and the state Historical Society will take over records retention.

Otter also wants to separate the departments of Commerce and Labor, which were combined together into a single department three years ago.

Then-Gov. Cecil Andrus launched the last thorough reorganization, in 1975, that created today’s state government structure, with 20 departments. Before that, there were more than 200 departments of state government, Foltman said, each with a director reporting directly to the governor.

But over the past 30 years, functions have been added, slowly expanding the role of departments like Administration.

“I would expect more of this kind of thing under the course of this governor’s tenure,” said Foltman, who has served as budget director under three governors and has worked in state government since 1970.

Johnson said employees at Administration are very concerned. “We’ll help them with everything from resume preparation to job interview skills, making sure everyone lands on their feet.”

The governor’s proposed budget includes spending $200,000 this year to pay off accrued vacation for employees who lose their jobs in the reorganization.