The State and Local Budget Crisis: The State and Local Budget Crisis: Developing Strategies for Fair Housing Developing Strategies for Fair Housing

Success in Difficult Economic TimesSuccess in Difficult Economic Times

Presented byPresented byDerick Daniel, Executive DirectorDerick Daniel, Executive Director

Florida Commission on Human RelationsFlorida Commission on Human Relations

Workshop #4Workshop #4U.S. HUD 2010 National Fair Housing Policy ConferenceU.S. HUD 2010 National Fair Housing Policy Conference

July 23, 2010July 23, 2010

A state employee and the new reality

The new housing market

State Budget EnvironmentState Budget Environment Scarce resources available

Competing interest for limited budget dollars:• Public safety (prisons and law enforcement)• Education• Social Services• Environment• Health Care

State Budget EnvironmentState Budget Environment Civil rights not seen as priority

Often seen as a “nuisance” for businesses

Scarcity of state funds viewed as opportunity to reduce civil rights budgets or even abolish civil rights agencies

Under AttackUnder Attack During 2010 Legislative Session,

legislators compiled a “Priority List” of general government programs to be funded

Of about 150 programs, FCHR was 2nd from bottom

Under AttackUnder Attack Excessive audits and reviews

Frequently asked: If HUD/EEOC exists, why do we need state civil rights agencies?

Main focus: Reduce General Revenue budget dollars (FCHR is 73% General Revenue funded)

Under AttackUnder Attack State employees suffer

• No pay raises or bonuses• Increased workloads (“doing more with less”)• Stressful work environment (nature of job)• Benefits under scrutiny and either eliminated or

contributions for benefits assessed

Difficult to keep morale and productivity up – increased “employee burnout”

Hard to attract and retain qualified staff with low pay and increased demands of job

Under AttackUnder Attack Florida Legislature has required 10-15% in

cuts from state agencies for several years

FCHR annual budget has been cut by $1.6 million dollars (27% reduction) to date

FCHR has lost 18.5 positions (26% reduction) – from 72 to 53.5

Under AttackUnder Attack Florida Statutes require 10-year sunset reviews of

state agencies – reenact, modify or abolish

PRIORITY IS ON FUNDING THOSE AGENCIES THAT EITHER SAVE THE STATE MONEY OR CREATE JOBS

FCHR Efficiency MeasuresFCHR Efficiency Measures Reduce office space/increase number of employees

telecommuting

Timely resolution of cases = cost savings for businesses and state

Risk management training (loss prevention) for state agencies - reduce state employee discrimination claims

More equitable funding allocation and costs for administrative hearing services

FCHR Efficiency MeasuresFCHR Efficiency Measures Mediations conducted by telephone or paid by parties

(reduce travel costs)

Commission meetings also conducted telephonically

Document scanning (decrease paper usage and storage/archival costs)

Modify notification methods (reduce postage costs)

Reduce technology costs (e-mail services, fewer wireless devices and cell phones)

FCHR Efficiency MeasuresFCHR Efficiency Measures Eliminate management positions by

combining responsibilities and duties

Negotiate less expensive copier leases with vendor

Develop online case filing system & Paper reduction –e mail printing, etc

Reduce printing costs: In-house printing of letterhead and business cards; publications posted on website

Other Strategies:Other Strategies:Lessons “Learnt”Lessons “Learnt”

Identify and inform key policy makers – not just those who are “sympathetic” to civil rights, but members in leadership, substantive committees, Rules, Appropriations

Counter any opposition against civil rights agencies with direct arguments – “talk their talk”

Other Strategies:Other Strategies:Lessons “Learnt”Lessons “Learnt”

Training for businesses• Education is the best form of prevention• If you think education is expensive, try ignorance

Businesses can help make your case (operating savings, employee productivity and morale, less litigation costs) - case studies, best practices

Get lobbyists representing businesses to show support and show legislators why your agency is vital to their members

Other Strategies:Other Strategies:Lessons “Learnt”Lessons “Learnt”

“Walk the tightrope” – Must balance justice and business sides

Civil rights is NOT just about race – show statistics for other bases (disability, familial status, national origin, etc.)

Identify and implement efficiency measures in anticipation of future budget cuts – show them you are proactive in saving dollars

Other Strategies:Other Strategies:Lessons “Learnt”Lessons “Learnt”

Keep managers and staff apprised of political environment and potential impact on agency

Solicit ideas on cutting costs from your staff “from the ground up”

Develop and nurture management team support to get through the tough times

Where Do We Go From Here?Where Do We Go From Here? Build a business case for civil rights

Develop strong metrics•Risk management savings•Education savings (increased employee

productivity – work with businesses) •Reduction in litigation and associated costs

Anecdotal still important, but metrics need to be strong!

Where Do We Go From Here?Where Do We Go From Here? Civil rights must be seen as solution for

economic and social growth to attract and retain the “best and brightest” to your state

Work with human capital organizations – how does your state measure up in attracting high quality individuals

Where Do We Go From Here?Where Do We Go From Here? Build nationwide database through

IAOHRA/NAHWR

Deliver services through partners and alliances at all levels - national, state and local, private and public

Webinars/webcasting: If you can’t go to the people, have the people come to you

In Summary…In Summary… Rally support from other civil rights agencies,

partners, alliances, local communities, organizations and lobbyists who represent your customer base

Talk in terms of “$avings” and potential cost avoidance for the state and for businesses

Convince policy makers it will cost more to abolish your agency

NEVER believe the last cut is the final cut

Stay ahead of the curve –ANTICIPATE

Stay abreast of all legislation, economics and circumstances that MAY impact your agency

Be Proactive and creative- always think outside the box

In order to get past it, you will have to go through it

And the answer is …………..

The “PAIN INDEX” Created by Rick Newman, US NewsThe economic stimulus sent $250 billion to

states to fund schools, roads, Medicaid, welfare and local services

States have still had to cut spending by $50 billion, and have raised taxes by another $30 billion

PAIN Higher taxes and fewer services affects the

quality of life Economics could get worse as stimulus

money runs out and the federal government deals with the gap between spending and revenue

“PAIN”- all figures are per person based on FY 2009

State new taxes spending cuts PAIN

Florida $30 $237 $267 Georgia $15 $344 $359 Alabama -$3 $338 $335 Mississippi $28 $218 $246 Louisiana -$16 $358 $342

Alaska -$3 $1268 $1265

N. Dakota -$301 -$700 -$1001