State of Oklahoma
Commission for Rehabilitation Services

Department of Rehabilitation Services
State Office, 3535 NW 58th Street, 2nd Floor
Oklahoma City, Oklahoma 73112

Monday, February 8, 2010, 10:00 am

Agenda

1.

Call to Order and Roll Call

Commissioner White   

PRESENT
Commissioner Ben White
Commissioner Ray Kirk
Commissioner Steve Shelton

PRESENT FOR THE DEPARTMENT
Joanie Batty, Diane Bowers, Tina Calloway, Lizzy Chacko, David Couch, Hope Crumley, Goli Dunkle, Karen Dunn, Cheryl Gray, Vickie Hardy, Jody Harlan, Larry Hawkins, Susan Hawkins, Chris Kennedy, Paula Land, Ray Leard, John Marcellus, Mary Martin, Beverly Melvin, Candrace Murrell, Jane Nelson, Kevin Nelson, Mike O’Brien, Rick Olderbak, Kathleen Reed, Linda Santin, Kevin Statham, Sandra Stokes, Noel Tyler, Randy Weaver.

OTHERS PRESENT
Theresa Hamrick, ORC; Bert Lynch, Chickasaw Nation VR, Rene Ryan, TSHA; Stella Church, Secretary for Howard Hendricks; Michelle Wilson, Chickasaw Nation VR.

INTERPRETERS
Hazel Lucas
Tonya Puryear

CALL TO ORDER AND ROLL CALL
The meeting was called to order at 10:00 a.m. by Commissioner White, Commission Chair. Commission Assistant, Kathleen Reed, called the roll.
All Commissioners being present, a quorum was declared by the Chair.
 

2.

Statement of Compliance with Open Meeting Act

Commission Assistant   

Ms. Kathleen Reed, Commission Assistant, confirmed the Commission for Rehabilitation Services is in compliance with the Open Meeting Act.
 

3.

Introduction of Guests

Commissioner White   

There were no guests introduced.
 

4.

Public Comments

Commissioner White   

There were no public comments.
 

Report Items

5.

Report from the Director

Mike O’Brien, Ed.D.
 

Gallaudet Regional Academic Bowl
Director O’Brian praised Oklahoma School for the Deaf (OSD) for hosting the Gallaudet Regional Academic Bowl this past weekend, which is really a significant accomplishment. A number of the Gallaudet faculty, including a president of Gallaudet University, Dr. T. Alan Hurwitz, attended the event. Dr. Hurwitz had dinner with Director O’Brien and the OSD students; he also addressed those in attendance. Sixteen states were represented at this Academic Bowl. Director O O’Brien also had a chance to sit through some of the academic competition and he found that he could only answer about half of the questions asked to the students. It was truly an honor to see Dr. Hurwitz on the OSD campus, praising OSD and the things OSD has accomplished under the leadership of Superintendent Hawkins. Director O’Brien publicly congratulated Superintendent Hawkins for those accomplishments.

Director O’Brien, Commissioner Kirk, and about six other DRS staff attended the Oklahoma School for the Blind Homecoming, it was quite a celebration. Mr. Larry Hawkins continues as Superintendent at both schools, and will continue that roll until at least August, 2010. The savings that is being encountered there and the fact that the OSB staff and faculty are working well with him means this collaboration can continue for a while. Mr. David Couch is also covering dual roles, as DRS Chief Of Staff and Acting VR Administrator, he seems to be managing very successfully, and Director O’Brien voiced his appreciation to both men.

Employment activities
Employment has increased this month. Last month the figures were in the two hundreds, it is now over four hundred people. So DRS has had a better month on employment activities.

Budget
Messages continue to be dire from the legislature. The 10% reductions for December, 2009, and January, 2010, appear to be permanent through the rest of the fiscal year. Any references to 5%, 7%, 7.5%, 10% reductions for next fiscal year are in addition to the 10% reductions already taken this fiscal year. So, in reality, it is 15%, 17% or even 20% reductions. DRS will continue to manage the reductions with the Federal carryover funds for VR and VS, at least through the summer. The biggest concern continues to be OSB and OSD, because they are 100% state funded and at this point they are taking the biggest hits. One of the dormitories at OSD has already been closed to save on expenses. At OSB six positions will not be filled at this time, and a shared Superintendent is being utilized as a means of conserving funding. At some point some stricter administrative reductions may have to be considered in the next six to eight weeks. Also some positions are not being filled as they become vacant.

Legislative Sessions
Legislative session seems to be going well. Good contact with legislators is being maintained. Director O’Brien is conducting weekly meetings with David Couch, Chief of Staff; Cheryl Gray, CFO; Kevin Nelson, Legislative Liaison; and Jean Jones, DRS
Legislative Information Officer, to keep up on the legislative issues.


DRS Public Hearings
DRS, in partnership with ORC, will be having Public Hearings for the review of DRS policy changes and input from the public in conjunction with preparations for the DRS State Plan. These Public Hearings are scheduled for Monday, February 8 in Oklahoma City at DRS State Office; Tuesday, February 9 in Lawton; Wednesday, February 10 in Tulsa.

Comments from the Commission:
Commissioner Kirk – Why is DRS having Disability Awareness Day when the budget is experiencing reductions? The concern is the appearance that it may be in bad taste.

Director O’Brien - The program has been cut to half a day, there will be no lunches or snacks served. DRS, on every level, has significantly reduced the cost for this event. There is still some support for this event but everything has been cut way down and with that in mind the event can still be justified. During this critical time of budget reductions it is still essential that people with disabilities come to the Capitol and talk to the Legislators

Commissioner Shelton – Director O’Brien, you mentioned that the agency would be able to make it through the summer with the current budget. But it sounds as if the budget for the next fiscal year will start where this fiscal year budget leaves off? How is DRS going to handle the next fiscal year budget?

Director O’Brien – Right now the agency is looking at several things. VR and VS are in a unusual position in that they have money they HAVE TO spend, so they have to keep spending. The amounts that can be carried over plus the Stimulus Money they have has to be spent. What is being planned is for next fall, in October, when moving into the new federal fiscal year. Things that may have to be reviewed include whether or not Priority Group Three can remain open. DRS positions statewide will have to be reviewed, some adjustments will be made where there are full caseloads and where there are not full caseloads. He is confident Priority Groups One and Two will remain open, these are the people with the greatest need. However, Priority Group Three will probably have to be closed but not until the last second. This would be the first major change. How we will assign people to carry out the workloads will be the next major change. Right now DRS is not talking about furloughs or RIFs because there is still federal carryover and ARRA Stimulus funds to help stretch the budget out.

Commissioner White – The combination of agencies has been talked about especially in the South part of Oklahoma; what are your thoughts on this issue? Also, what are your thoughts regarding education budget and whether or not Rainy Day Funds will be used to help support education so there will be no reductions for education?

Director O’Brien – DRS has not been mentioned in the potential combining of agencies. On the federal level DRS has had some fortunate things happen which has pulled DRS for the time being out of the talk regarding combining DRS with the Department of Labor. In terms of education there has been some mention to “hold harmless” the schools as long as they can. But even in a “hold harmless” scenario there has been some talk that there will be some budget reductions. There has been some talk about Rainy Day funds, but there are some mixed messages about whether or not the Legislature will go there, and if they do use Rainy Day funds, how much will be used.

It looks as if any Rainy Day funds will be for education and not anything else, although a lot of the legislators express the need to consider other agencies beyond education itself. The schools will get the best deal they can get, but the question will be “How good is that?”

Kevin Nelson – Mr. Nelson concurred with Director O’Brien’s comments. Most of the efforts regarding consolidation are directed toward an idea that has been introduced into the Legislature over the last three years and deals with the consolidation of law enforcement functions that are maintained by state government. There are a few agencies added to that like the Aeronautics Commission going to the Department of Commerce. But the debate that is going on, both in the media and the Legislature, is as to whether or not the consolidation of agencies is going to generate any savings. This is something that they will have to look at in areas where there is not as much state money. Furthermore, the Legislature’s experience in separating DRS from Department of Human Services (DHS) was a successful decision.

Regarding education, Director O’Brien was accurate in saying that most of the discussion between the Governor and the Legislature comes down to how much of the Rainy Day fund will be used, as opposed to the second half of the Stimulus Fund. The Legislature would like the Governor to use as much of the Stimulus funds as possible, including in that education funds, rather than to use the Rainy Day funds. They would like to reserve the Rainy Day funds for fiscal year 2012. Whereas the Governor’s Budget, which has recognized DRS both as a health care social services function as well as an education function, calls for a lesser level of cuts versus other agencies. So the budget reductions to DRS in the Governor’s Budget has been minimal and ultimately the Legislative leadership will be just as lenient. However, the real question is going to be how much will be released from the Stimulus fund and the Rainy Day fund to fill the budget gap.

Commissioner White thanked Mr. Nelson and Director O’Brien for their explanations.

 

 

6.

Employee Longevity Recognition

Commissioners
 

The Commission for Rehabilitation recognized those DRS employees who have served the State of Oklahoma and the Department of Rehabilitation Services for 25 or more years with integrity and dedication. Total combined years of service this quarter is 350. See page 1 of the February 2010 Commission packet for the written longevity recipient list.

 

Packet document (opens in a new window): DRS Employee Recognition

 

7.

Financial report as of December 31, 2009

Cheryl Gray,
Chief Financial Officer

The written Financial Status Report for FY 2010 begins on page 2 of the February 2010 Commission Meeting packet. Ms. Gray reviewed the All Programs Agency Summary as of December 31, 2009.

• Total Budget for the agency is $136,772,076.00
• Expenditures Year to Date are $50,752,682.95
• Percentage Expended is 37.1%
• Total Encumbrances are $77,000,018.42
• Percentage of the Budget used as of end of November 93.4%
• The previous month percentage of budget used was 92.7%.

Ms. Gray reported there have been16 Budget Revisions from the end of September, 2009 to date. An updated Summary of these Budget revisions will be presented at the March Commission meeting.

Comments from the Commission:
There were none.

 

Packet document (opens in a new window): Financial Status Report December 2009

 

8.

Report from Management Services Division to include Quarterly MSD Unit Reports

Goli Dunkle,
MSD Administrator

Ms. Dunkle reviewed the written Management Services Division (MSD) Status Reports beginning on page 9 of the February 2010 Commission packet and the written Personnel Activity Report which is begins on page 25.

Comments from the Commission:
Commissioner White – Referring to page 10 of the February 2010 Commission packet, the 2012 Paperless Project. What will the budget impact be for this Paperless Project?

Ms. Dunkle – MSD has moved ahead with this project. Scanning is almost all done for a couple of units in MSD; this project is funded using Stimulus money.

Director O’Brien – Use of Stimulus money has allowed for the purchase of scanning equipment and the employment of clients - 68 high school students in Transition and another 18-20 adult - to do the scanning. This has been done without tapping into the regular DRS budget. The Stimulus money will also help maintain the scanning equipment.

Commissioner Kirk appreciates the Quarterly reports from the MSD Units.

Director O’Brien – the Personnel Activity Report will show the dates of when position became vacant and that to date they are not filled, this is because of the budget reductions. It will be a while before some of these positions are filled, particularly those vacant positions at the schools.

Commissioner Kirk complimented Mr. Larry Bishop for a very professional presentation to a hospital committee while trying to obtain a grant on the behalf of OSB and OSD.

 

Packet documents (opens in a new window): Personnel Activity Report and  MSD Commission Report

 

9.

Legislative Report

Kevin Nelson
Legislative Liaison

Budget
Mr. Nelson reported that the primary issue is the Budget. The major fight between the Legislature and the Governor is the use of the Rainy Day and Stimulus funds - how much and when. The Governor has proposed a greater use of both in order to cover the budget gaps which looks to be around $1 million. Legislature has proposed significantly less, trying to carry over some funding for the next fiscal year. Both have expressed some doubt as to the Governor’s Plan or the Legislators’ Plan going forward, they are talking and there should be a budget agreement by the April 1st deadline. For some agencies that’s good, for some that’s bad. Budgets that are principally State funded will be hit the hardest, principally administrative functions. The Governor is targeting money to try to hold education and social services harmless. For DRS it means taking an additional 1.5% cut, instead of facing an additional 3% reduction on top of the 10% already in place. April 1st is critical because that is the deadline for establishing the Education budget which, because it is so large a portion of the state’s budget, drives the decision on most of the other agency budgets.

Legislation
There is very little NEW this year.
There are Bills that would require Administrative Rules to receive an affirmative vote of the legislature to go into effect. Whereas last year, agencies were successful in defending against this type of legislation, this year it will be much harder to block in part because we are coming upon an election year, and there will be a lot more fiscal limitation. There will be a lot of Worker’s Compensation Bills introduced. All Bills that were dead last year are now revived.

Two bills that are particularly being tracked for DRS:
The first bill establishes an opportunity for parents with children with disabilities to take the money that is currently going to their local school district, in effect as a voucher, and to provide that money to private schools. It will be a point of contention between the education community and the schools. It will be interesting to see how Education deals with this. DRS will need to analyze this issue and see how it applies to the agency.

In the past, there has been bills introduced to try to establish term limits for secondary legislative offices – Lieutenant Governor, on down. Now there is a bill that would impose twelve year term limits for commission members, which does not allow for reappointment without one sitting out for six years before a reappointment can be made. This is on DRS watch list.

Comments from the Commission:
Commissioner Shelton – requested for future reference, a written legislative report be submitted so he has a copy prior to the meeting.
Mr. Nelson will comply to this request.

Commissioner Kirk – referencing the bill regarding vouchers, this will have a significant impact for OSB and OSD and possibly the end of public education.
Mr. Nelson – this has definite impact on public education. If money is being removed from education to children with disabilities. Some school districts will have a track record and be able to get this funding, but it may definitely affect OSB and OSD either for the positive or negative.

Commissioner White – Any voucher requested from a parent with a child in a public school would be worth significantly less than it would take to support a child in a private school. It would be an advantage for them to voucher to the two schools that specialize in people with disabilities. It would be a terrible thing to end up having these children warehoused.
Commissioner White thanked Mr. Nelson for his report.

 

 

10.

Report from the Oklahoma Rehabilitation Council

Teresa Hamrick,
ORC Programs Manager

Ms. Hamrick reviewed the written ORC report for the month of January, 2010, which is available on page 31 of the February 2010 Commission Packet.

• Ms. Hamrick attended the SILC Congress held in Las Vegas in January, 2010. She explained that in the Rehab Act it is stated that one of ORC’s responsibilities is to cooperate with SILC and the state agency and to facilitate a working relationship between the two, so ORC tries to do that on the national level as well as the state level.


• Comments on the DRS policy revisions have been prepared by ORC and will be read at the Public Hearings to be held this week. The written comments will then come before the Commission in March.


• The Virgil Taylor Scholarship requirements have been completed. It instructs what students need to do to apply for this scholarship. This is now organized and hopefully all questions are addressed.


• The National Coalition of SRC is working on a national meeting, some big hitter speakers will be coming in for this meeting.


• Marilyn Burr, Director of CAP, has been presenting her optional hiring program for the agency. It is a Webinar training, which is presented once or twice a year and sponsored by ORC, at no cost to the agency. This training does have CEU credits for CRC’s so there are benefits for attending as well as learning.


• The ORC has been included in the development of the agency’s State Plan, ORC compliments the agency and appreciates the invites. The Rehab Act says that ORC will partner with the agency on this task and that has been what is happening.


• ORC participates in People with Disability Awareness Day, partnering with the DRS PIO Unit. ORC donates the publicity buttons that you see people wearing; the buttons are no cost to the agency.

Comments from the Commission
There were none.

 

Packet document (opens in a new window): Oklahoma Rehabilitation Council Report

 

Action Items

11.

Review and Discussion with possible vote to approve the January 11, 2010, Commission for Rehabilitation Minutes

Kathleen Reed,
Commission Assistant

The DRS Commission Minutes for the month of January, 2010 begin on page 32 of the February Commission packet.

Motion to approve the January 11, 2010 Commission Minutes as corrected – Commissioner Shelton
Motion seconded by Commissioner Kirk

 

Packet document (opens in a new window): Commission Minutes - 01-11-10

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed
 

12.

Review and Discussion with possible vote for Approval to pursue Donations of Hygiene Products from Coalgate-Palmolive Company for distribution to those attending the Job Readiness Workshops within the Transition to Work Program

Martha Steidley,
VR Specialist

Comments from the Commission
Commissioner White noted that the program referenced here is confined to the northeastern part of the state and asked if that was intentional or simply the scope of this program.

Director O’Brien stated it was the latter.
Motion to approve the pursuit of Donations of Hygiene Products from the Coalgate – Palmolive Company for distribution to those attending the Job Readiness Workshops within the Transition to Work Program – Commissioner Kirk
Motion seconded by Commissioner Shelton

 

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed
 

13.

Review and Discussion with possible vote for Approval of Donations to the Oklahoma School for the Blind

Larry Hawkins,
OSB/OSD Superintendent

The written OSB Action Item is available on page 43 of the February 2010 Commission Packet.

Motion to approve the donations to the Oklahoma School for the Blind -Commissioner Kirk
Motion seconded by Commissioner Shelton

 

Packet document (opens in a new window): OSB Donation Report

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed
 

14.

Review and Discussion with possible vote for Approval of Donations to the Oklahoma School for the Deaf

Larry Hawkins,
OSB/OSD Superintendent

The written OSD Action Item is available on page 45 of the February 2010 Commission Packet.
Motion to approve the donations to the Oklahoma School for the Deaf – Commissioner Shelton
Motion seconded by Commissioner Kirk

Superintendent Hawkins thanked Director O’Brien and Ms. Karen Dunn for taking the time to attending the Gallaudet Academic Bowl. The Commission added their appreciation to Director O’Brien and Ms. Dunn for taking their weekend to be at OSD.

 

Packet document (opens in a new window): OSD Donation Report

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed
 

15.

Vote to Convene into Executive Session Proposed Executive Session: to Discuss Performance Appraisal for the DRS Director As Authorized by the Open Meeting Act 25 O.S. 1991, 307 (B) (1)

Commissioners
 

Proposed Executive Session: To Discuss Performance Appraisal for the Director as authorized by the Open Meeting Act, 25 O.S. 1991, 307 (B) (1)

Motion to convene into Executive Session – Commissioner Shelton
Motion Seconded by Commissioner Kirk

 

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed
 

16.

Vote to Reconvene into Regular Session

Commissioners
 

Motion to reconvene into Regular Session – Commissioner Shelton
Motion Seconded by Commissioner Kirk

 

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed
 

17.

Vote on Actions from Executive Session

Commissioners
 

 

 

Kirk Voted: None taken  |  Shelton Voted: None taken  |  White Voted: None taken

No action was taken
 

18.

New Business

 
 

ANNOUNCEMENTS
Being no announcements Commissioner White moved to New Business.

NEW BUSINESS
Commissioner White called for any new business.
Being none, Commissioner White entertained a motion to adjourn

 

 

Kirk Voted: None taken  |  Shelton Voted: None taken  |  White Voted: None taken

No action was taken
 

19.

Adjournment

Date and location of next regular meeting of the Commission for Rehabilitation Services:

Monday, March 8, 2010,
10:00 a.m.
Department of Rehabilitation Services State Office,
3535 NW 58th Street, 2nd Floor
Oklahoma City, Oklahoma 73112

 
 

Motion to adjourn the meeting - Commissioner Kirk
Motion seconded by Commissioner Shelton

Meeting adjourned at 12:30 p.m.

 

 

Kirk Voted: Aye  |  Shelton Voted: Aye  |  White Voted: Aye

Motion Passed