Admin budget OK’d, including $$ to purchase state-owned building for Div. of Purchasing

With no discussion or questions, JFAC has voted 20-0 in favor of a budget for the state Department of Administration for next year that reflects Gov. Butch Otter’s recommendation, including setting aside up to $1 million to purchase an office building on Sixth Street near the Capitol that’s now owned by the state endowment, and is scheduled for auction. Rep. Neil Anderson, R-Blackfoot, who proposed the successful budget motion, said the appraised value is around $700,000, and some of the money could revert back if not needed. “I think this would be a great place for the Division of Purchasing,” Anderson said.

The single-story brick building has 4,800 square feet of office space plus 31 parking spaces. Admin Director Bob Geddes told JFAC at an earlier budget hearing, “In the event that the Department of Lands auctions off the facility in fiscal year ‘18, we want to be in a position to bid on it.”

The budget also includes intent language reflecting the recommendations of both Otter and the Legislature’s joint Change in Employee Compensation Committee for changes to state employee health insurance, which already have been incorporated into all other agency budgets; the insurance program falls under the Department of Administration. In addition to splitting the costs of health insurance increases between the state and state employees, the changes include cutting from 30 months to 6 months the health insurance continuation premium for employees who are disability status.

Next up: The Permanent Building Fund budget, the state’s budget for capital projects, which includes Gov. Butch Otter’s proposed $35 million construction plan for university campuses.