Securing homeland security funds: efforts are underway to make it easier for states and local governments to access homeland security funds.Follow the yellow brick road! Follow the yellow brick road! If only it were that easy. How do communities track down their portion of the $2.5 billion in federal funding for homeland security Noun 1. Homeland Security - the federal department that administers all matters relating to homeland security Department of Homeland Security executive department - a federal department in the executive branch of the government of the United States available in FY 2005? While the path has not been well-marked, by no means straight and with no magic "ruby slippers," efforts are underway to repave the road, put up some road signs and clear up some misconceptions about this grant making process. Amid growing concern a year ago that federal homeland security money was sitting in the U.S. Treasury U.S. Treasury Created in 1798, the United States Department of the Treasury is the government (Cabinet) department responsible for issuing all Treasury bonds, notes and bills. Some of the government branches operating under the U.S. Treasury umbrella include the IRS, U.S. and not reaching local governments in a timely fashion, then-Secretary Tom Ridge Thomas Joseph Ridge (born August 27 1945 near Pittsburgh, Pennsylvania) is an American politician who served as a member of the United States House of Representatives (1983–1995), Governor of Pennsylvania (1995–2001), Assistant to the President for Homeland Security established the Task Force on State and Local Homeland Security Funding. Massachusetts Governor Mitt Romney  This article or section contains information about one or more candidates in an upcoming or ongoing election.Content may change as the election approaches. and Mayor Donald Pusquellic of Akron, Ohio Akron is a city in the U.S. state of Ohio and the county seat of Summit County.GR6 The municipality is located in northeastern Ohio on the Cuyahoga River between Cleveland to the north and Canton to the south, approximately 60 miles (96 km) west of , chaired the group of state and local elected and appointed officials and tribal leaders. They examined the distribution of federal funds Federal Funds Funds deposited to regional Federal Reserve Banks by commercial banks, including funds in excess of reserve requirements. Notes: These non-interest bearing deposits are lent out at the Fed funds rate to other banks unable to meet overnight reserve for the State Homeland Security Grant Program (for planning, training, equipment and exercises) and the Urban Areas Security Initiative (for high risk urban areas) and developed specific recommendations to expedite the process. "Everyone put aside their differences, rolled up their sleeves and really worked together to try and fix the problem without pointing fingers at any level of government," says New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Senator Michael Balboni Michael Balboni (born in May 1959, Long Island, New York) is the Deputy Secretary for Public Safety for the State of New York, which is the senior homeland security and law enforcement official in Governor Eliot Spitzer's Administration. , a member of the task force. The task force discovered there was: * A general misunderstanding about how the grant programs work. * A conflict between homeland security needs and federal, state and municipal purchasing requirements. * A need for standards. HOW THE GRANT PROGRAM WORKS States and cities do not get a blank check Blank check A check that is duly signed, but the amount of the check is left blank to be supplied by the drawee. from the U.S. Treasury for homeland security. "A lot of people thought that just because the federal law requires states to 'obligate' the funds within 60 days of receiving the grant award that it meant cash would be on the streets," Balboni explains. "The process is much more complicated than that." There are plans and applications to be developed, reviewed and approved. This could take up to six months after Congress appropriates the funds. Then the procurement process begins. Couple that with inevitable delays when vendors are unable to deliver specialized equipment quickly, and months, if not years, can be added to the timeline. At what point does money actually hit the street? Homeland security funds are provided to state and municipal governments on a reimbursement basis. State and local governments must submit an invoice for delivery of goods or services in order to get any of the funds from the U.S Treasury. RECOMMENDATIONS FOR CHANGE Existing state and local procurement The process of obtaining personnel, services, supplies, and equipment from local or indigenous sources. procedures, which in some cases include a requirement that municipalities have cash-in-hand before starting the process, were slowing things down if not stopping it altogether, the task force discovered. "Most states' current procedures are a deliberate process that does not necessarily coincide with a rapid draw down of federal funds," Balboni says. "It made us realize that all levels of government need to take a close, hard look at their procurement processes." The task force made several recommendations: * State and local governments should work with their legislative bodies to establish expedited authorization and appropriations processes and modify procurement procedures for times of emergencies. * Congress should exempt (and it did) the 2005 DHS DHS Department of Homeland Security (USA) DHS Department of Human Services DHS Department of Health Services DHS Demographic and Health Surveys DHS Dirhams (Morocco national currency) Office of Domestic Preparedness homeland security grants from the Cash Management Improvement Act, which requires the funds to be provided to states and municipal governments on a reimbursement basis. This allows states and municipalities to draw down funds up to 120 days in advance of purchase. * State and local governments should establish procedures for bulk purchasing Bulk Purchasing is when products are bought in large quantities. This often results in a lower price per item, or Unit price. Wholesale is selling or related to selling goods in large quantities for resale to the consumer. and distribution with the state. * The Department of Homeland Security Noun 1. Department of Homeland Security - the federal department that administers all matters relating to homeland security Homeland Security executive department - a federal department in the executive branch of the government of the United States should work with states to establish a multi-state cooperative purchasing consortia. This will allow states to expedite purchasing by "piggy-backing" on other states' existing purchase orders. * DHS should work to open up access to federal procurement systems such as the General Service Administration schedule. And if necessary, state and municipal governments need to change their procedures to make sure they can use them. NEED FOR NATIONAL STANDARDS The lack of national standards guiding the distribution, tracking and oversight of homeland security grants contributed to the delays in disbursement DISBURSEMENT. Literally, to take money out of a purse. Figuratively, to pay out money; to expend money; and sometimes it signifies to advance money. 2. , the task force also determined, and the Department of Homeland Security should: * Establish national standards for managing grant funding. * Develop an automated grant tracking system. * Identify and distribute a list of best practices. * Develop minimum grant management staffing requirements. * Expand and improve grant management tracking. * Establish its own Office of the Comptroller. And that Congress should: * Establish deadlines for obligating funds from one level of local government to another. "We're light years ahead of where we were on 9/11 because we worked cooperatively," Balboni says. "I'm optimistic that things will improve even more with continued collaboration among the different levels of government, and that means money will flow more quickly from Washington to Main Street." For a full copy of the report go to: www.dhs.gov/interweb/assetlibrary/HSAC-FundingTaskForceRpt0604-FINAL.pdf NEW JERSEY MOVES FIRST New Jersey has taken the lead in establishing an expedited procurement process for homeland security needs. Its budget bill for 2005 allows a state agency or local government to directly purchase, without a public bidding process, homeland security-related goods or services, that will be paid by the U.S. Department of Homeland or any other federal agency. Purchases, however, must be made from vendors that meet one of the following criteria: * Hold a current state contract for the equipment, goods or service sought. * Participate in a federal procurement program established by a federal department or agency. * Are approved by the state treasurer Noun 1. state treasurer - the treasurer for a state government financial officer, treasurer - an officer charged with receiving and disbursing funds in consultation with the New Jersey Domestic Security Preparedness Task Force. Goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. being purchased need to be referred to in the grant agreement issued by the state administrative agency An official governmental body empowered with the authority to direct and supervise the implementation of particular legislative acts. In addition to agency, such governmental bodies may be called commissions, corporations (e.g. . New York Senator Michael Balboni says he has drafted similar provisions to be introduced in New York. "My legislation will remedy the problem by allowing for an alternative to the traditional procurement procedures. With the threat of terrorism imminent, these measures are needed now more than ever in all our state legislatures." BULK BUYING bulk buying Noun the purchase of goods in large amounts, often at reduced prices bulk buying n → compra a granel bulk buying n → PAYS OFF Delaware has found that using statewide purchasing and distribution saves time and money. The Delaware Emergency Management Agency (DEMA Founded in 1976 as the Data Entry Management Association, it later changed its name to the Association for Input Technology and Management. In 1993, it merged with TAWPI. ) purchases all authorized equipment for 10 different emergency response groups providing equipment to approximately 9,000 emergency responders. Involved are emergency medical, tire, government administration, hazardous material, health care, law enforcement, public health, public safety, communications and public works public works pl.n. Construction projects, such as highways or dams, financed by public funds and constructed by a government for the benefit or use of the general public. Noun 1. . Through the use of bulk purchasing, hard-nosed negotiations, enforcement of contract prices and early payment for additional discounts, the state has saved more than $1 million, to date. The use of centralized procurement also ensures accuracy and accountability. DEMA buyers can switch to federal procurement systems once state avenues are exhausted. Jamie Turner, director of the agency, says state procurement codes allow the agency to negotiate with GSA (1) (Global mobile Suppliers Association, Sawbridgeworth, U.K., www.gsacom.com) A membership organization of suppliers of GSM products and services. Its goal is to promote GSM as the worldwide mobile communications standard. See GSM Association and GSM. (the federal General Services Administration The General Services Administration (GSA) was established by section 101 of the Federal Property and Administrative Services Act of 1949 (40 U.S.C.A. § 751). The GSA sets policy for and manages government property and records. ]) vendors to buy equipment at discounted prices. "It saves time and money," Turner says. States can take advantage of other federal volume purchasing avenues, as well. Delaware uses the Defense Supply Center Philadelphia because of an agreement between the Defense Logistic Agency and the U.S. Department of Homeland Security.
HOW IT WORKS
It can take 20 months for money to make its way from the Department
of Homeland Security account to state and local governments.
Oct. 1, 2004 Start of federal FY 2005.
Oct. 18, 2004 President signed FY 2005 appropriations bill for DHS.
Dec. 2, 2004 DHS made available applications and grant allocations
for each state.
Jan. 16, 2005 Deadline to submit applications.
Feb. 15, 2005 Deadline for approving applications and making
obligations.
April 15, 2005 State deadline for making obligations to local
governments.
June 15, 2005 Procurement request made for large, specialized, "made
to order" equipment.
June 15, 2006 (One year, later) Equipment is finished being built
and delivered and invoice is submitted to federal
government.
June 18, 2006 Funds transferred from the U.S. Treasury.
Molly Ramsdell is NCSL's specialist on homeland security. |
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