Ohio is facing a $8 billion dollar budget gap.  Governor-elect Kasich has stressed the need to streamline state government as part of solving the budget crisis as well as making government more efficient. 

During his campaign he already announced one very creative proposal to eliminate the Ohio Dept. of Development.  Could an idea being tested in other states- combining State environmental programs-be a proposal worth considering in Ohio? 

Good in Theory?

A brief overview of the current state structure suggests combining responsibilities would gain efficiencies.  Similar functions and staff with similar capabilities are spread across five different state agencies. 

Combining functions and potentially agencies could benefit those organizations.  Greater efficiency is not only good for business, its good for agencies that are constantly fighting for funding to support their programs.

The counter argument is that combining large government agencies you run the danger of creating even a larger bureaucracy.  Not only could there be even more layers of management the organization could become too large to effectively manage. 

An Overview of the Current Ohio Structure

Most environmental regulatory functions are split between the Ohio EPA and the Dept. of Natural Resources.  However,  there are clean up, regulatory and grant programs related to the environment spread across a total of five different state agencies. 

Here is just a quick look at various functions that have commonalities and are divided up between multiple agencies.

Brownfield Redevelopment and Clean Up

• Clean Ohio Program- divided between Ohio Dept. of Development and Ohio EPA

Federal Water Pollution Permitting Programs

• Combined Animal Feeding Operations NPDES (Clean Water Act) permit program-  Department of Agriculture
• NPDES (Clean Water Act) permit program- Ohio EPA

Litter and Recycling

• Division of Soil & Water Resources (Previously Divisions of Soil & Water Conservation and Division of Recycling & Litter Prevention)- ODNR
• Division of Solid Waste Management (manages Solid Waste Management District recycling efforts)- Ohio EPA

Wetlands

• Environmental Review Program (Wetlands)- ODNR
• Division of Surface Water (401 and Isolated Wetlands Permitting)- Ohio EPA

Ground Water Management

• Ground water well information (within Division of Soil & Water Resources)- ODNR
• Division of Drinking and Ground Waters- Ohio EPA

Surface Water and Lake Erie

• Soil and Water Conservation programs – ODNR
• Coastal Zone Management Program – ODNR
• Great Lake Compact Program (Under development)- ODNR
• Lake Erie grants program- Lake Erie Commission
• Surface water Lake Erie Unit- Ohio EPA
• Surface water regulatory and permitting programs- Ohio EPA

Underground Storage Tanks

• Bureau of Underground Storage Tanks (BUSTR)- regulation and clean up of releases of hazardous substances from USTs- Dept. of Commerce
• Clean up of hazardous substances un-related to USTs- Ohio EPA
  Diesel Engine Grant Programs

Diesel Emission Reduction Programs

• Diesel Emission Reduction Grant Program- Ohio Dept. of Development
• School bus diesel emission grant program- Ohio EPA

The list of similar functions spread across multiple agencies is probably longer.   In addition to similar regulatory functions, each of these agencies maintain their own Information Technology Offices, HR, Motor Pools, Facilities Management, Press Offices and Director’s Offices.  Combining support offices could also gain efficiencies.

Not a Budget Fix

After modifications to its funding strategy, Ohio EPA utilizes no general revenue funds to support its programs.  ODNR has substantially reduced its reliance on GRF.  So combining agencies is not going to do much to fix the $8 billion dollar budget hole.

However, both agencies (as well as the other three agencies) assess multiple fees to business to support their programs.  These fees have regularly been increased to support rising human resource expenses within the Agencies.  Fees, while imposing costs on businesses, have traditionally not received the same political attention as GRF.

While streamlining and combining functions may not solve the $8 billion budget hole, it could avoid or reduce the need to raise fees on businesses. 

For a discussion of what has occurred in other states…continue reading.Continue Reading Ohio EPA + ODNR?