The EPP is the standard budget establishment process. Proposed budgets are submitted to the Governor's Office, then to the legislature for appropriation. Maintenance items are normally budgeted under operating expenses. The LRBP was established to provide a single, comprehensive, and prioritized plan for allocating resources to build and maintain state buildings. The LRBP is funded through a combination of cash and bond revenues.
Cash is derived from portions of the cigarette tax, coal severance tax, and interest income.
Bond proceeds are derived from issuance of general obligation bonds. In addition, agencies use various other types of revenues to fund capital improvements including state and federal special revenue funds and other funds such as private donations. Our first specific objective was to find out how state agencies identify and address facilities maintenance needs. We noted variances in the formality and type of maintenance activities among the state agencies we reviewed. There are variations in work order systems, formality of preventive maintenance schedules, frequency of inspections, use of technology, etc.