CHARLESTON Ƶ A statewide hiring freeze of West Virginia court employees was implemented by the Supreme Court last week, according to a memo from Keith Hoover, administrative director.
Hoover wrote that the freeze was a Ƶprudent, proactiveƵ step after the Legislature declined to increase the Supreme CourtƵs Personal Services line item by $5.5 million. The line item funds salaries and benefits for a total of about 1,600 employees statewide.
But the Senate Finance Chairman says the Supreme Court already has the money to pay them.
Request vs. appropriation
Hoover wrote that ƵThis 3.77% decrease is significant,Ƶ referencing the difference between the money requested and the money received.
The actual Personal Services line-item remained flat at $140.7 million while the overall Supreme Court budget increased by $1.9 million, mostly due to required insurance premium and pension payments. The total budget is $168 million.
The Supreme Court asked the legislature for a $5.5 million increase to Personal Services to cover the rising costs of Public Employees Insurance Agency employer premiums, 43 new positions created by the LegislatureƵs 2023 addition of 16 new judges and magistrates and a few other positions.
There are 52 vacancies as of June 6, according to Jared Hunt, Supreme Court communications director. The most common vacancies are for circuit judge law clerks, probation officers and court reporters.
The budget increase was recommended by Gov. Patrick Morrisey.
Reappropriated funds
Senate Finance Chairman Jason Barrett, R-Berkeley, said the decision was made to keep the line item flat because of the Supreme CourtƵs Ƶlarge, reappropriated balances.Ƶ
The Court has millions in funds carried over from previous years, called reappropriated funds. Barrett was told if the courtƵs full budget request was agreed to, this number would increase by $5 million.
Hoover told the House Finance Committee in February that the Court had about $30 million in reappropriated funds. According to state budget documents, it had $30.8 million at the start of the fiscal year.
Hunt said the Court will also have around $30 million at the end of the fiscal year which is the end of the month.
Chief Justice Bill Wooton told the committee that the $30 million Ƶlets the Court continue operating if the bottom fell out.Ƶ
Hoover told the Senate Finance Committee that $16.5 million of those funds will pay for part of a new case management system.
ƵIf weƵre able to do that within our existing funds, thatƵs a win for West Virginia,Ƶ Hoover said.
Hunt said around $10.4 million of the reappropriated funds could be used for Personal Services next year. The Court is projecting $147.8 million in payroll next fiscal year with $140.7 appropriated.
ƵWith more than 1,600 employees, we spend around $5.6 million every pay period. That money will go quickly if we arenƵt very cautious with hiring decisions,Ƶ Hunt said in an e-mail.
Hunt emphasized that the Court is projecting spending 99% of the money given to them by the Legislature in fiscal year 2025.
ƵThis continues our practice of submitting a budget that is very close to our actual expenditures,Ƶ he said.
One-time expenses
Barrett expressed concern to the Gazette-Mail about the large amount of reappropriated funds, specifically WootonƵs assertion that the millions allow the Court to not ask the Legislature for money for one-time expenses.
ƵƵThe Court has proactively used our reappropriated funds to address one-time needs to avoid having to come back to the legislature asking for additional money,Ƶ Wooton told the House Finance Committee. He used similar language in the Senate Finance Committee.
Wooton said these funds have been used to purchase and maintain the West Virginia Judicial Tower and large technology items such as computer servers.
ƵWe have attempted to use reappropriated funds to avoid base building, which has been consistent with prior Legislative budget goals,Ƶ Hunt said.
ƵBase buildingƵ refers to the base operating budget that the next yearƵs budget will be built on.
Barrett argued it was the LegislatureƵs job to vet spending requests.
ƵI think the legislature should not just continue to appropriate higher dollar amounts than an agency needs,Ƶ he said. ƵBuilding up slush funds is not something I am interested in doing.Ƶ
In 2018, West Virginians voted to give the Legislature the ability to reduce the Supreme CourtƵs budget by 15%. Previously, the Supreme Court could set their own budget. This vote followed allegations of excessive and unregulated spending by the Court that resulted in impeachments and federal convictions of justices.
Other agencies
According to state budget documents, the amount of reappropriated fund balances differs greatly between agencies and branches of government. The Executive Branch had $669 million in reappropriated funds last June.
Barrett said agencies with reappropriated funds have had their budgets cut at times. He also said he was surprised and disappointed that the Supreme Court blamed the hiring freeze on the Legislature.
ƵOnce the Senate passed the budget with that slight decrease, I didnƵt hear anything from any justice, senior staff member related to that cut,Ƶ he said.
According to HooverƵs memo, there may be limited exemptions to the hiring freeze. The freeze will be in effect until the Court rescinds it.
Parts of this story were first reported by WCHS-TV.
