Overview of 2012 ERO No. 41

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ARCHIVE INFORMATION

This memorandum summarizes the provisions of the Governor’s Executive Reorganization Order (ERO) No. 41 enacted in 2012, the ERO process, and the resulting organizational changes for certain state agencies. [Note: When reorganization of the Executive Branch is initiated by the Governor, EROs frequently serve as the vehicle used for these proposed changes. EROs enable a Governor to transfer, abolish, consolidate, or coordinate agencies and functions within the Executive Branch.]

Agency Renaming and Transfer of Responsibilities to the Kansas Department for Aging and Disability Services

The 2012 Legislature approved the implementation of ERO No. 41, effective July 1, 2012, which:

  • Renamed the Department on Aging and the Secretary of Aging as the Department for Aging and Disability Services (KDADS) and the Secretary for Aging and Disability Services, respectively; and
  • Renamed the Department for Social and Rehabilitation Services and the Secretary of Social and Rehabilitation Services as the Department for Children and Families (DCF) and the Secretary for Children and Families, respectively.

Transfers from DCF to KDADS

ERO No. 41 transferred the powers, duties, and functions of the Disability and Behavioral Health Services section of DCF, including the agency’s designation as the Medicaid single state authority for substance abuse and mental health, to KDADS. The result of this reorganization:

  • Transferred the following programs to KDADS:
    • Mental health and substance abuse;
    • Seriously Emotionally Disturbed, Developmental Disability, Physical Disability, Traumatic Brain Injury, Technical Assistance, and Autism Home and Community Based Services (HCBS) Medicaid Waivers;
    • Licensure and regulation of Community Mental Health Centers;
    • Regulation of Community Developmental Disability Organizations;
    • Licensure of private psychiatric hospitals;
    • Licensure and regulation of facilities and providers of residential services;
    • Licensure and regulation of providers of addiction and prevention services;
    • Any other programs and related grants administered by the Disability and Behavioral Health Services section of DCF prior to July 1, 2012; and
    • State Hospitals and Institutions (Osawatomie State Hospital, Rainbow Mental Health Facility, Larned State Hospital, Parsons State Hospital and Training Center, and the Kansas Neurological Institute). [Note: The State of Kansas sold the Rainbow Mental Health Facility to the University of Kansas Endowment Association in January 2015, in accordance with 2014 Senate Sub. for Sub. for HB 2231]
  • Provided for the transfer to KDADS of personnel in DCF programs transferred to KDADS by the ERO, as determined necessary by the Secretary for Aging and Disability Services for the exercise and performance of powers, duties, and functions transferred by the ERO;
  • Provided for the transfer to KDADS of personnel in DCF programs transferred to KDADS by the ERO, determined jointly by the Secretary for Aging and Disability Services and the Secretary for Children and Families to have been involved in providing necessary administrative, technical and other support to the Disability and Behavioral Health Services section and to the institutions;
  • Provided for all classified employees transferred to KDADS to retain their classified employee status, and thereafter authorized KDADS to convert any vacant classified positions to unclassified service under the Kansas Civil Service Act;
  • Provided personnel transferred to KDADS under the ERO with retention of retirement benefits, leave balances, and rights which had accrued or vested prior to the transfer;
  • Required any subsequent transfers, layoffs, or abolition of classified service positions under the Kansas Civil Service Act to be made in accordance with civil service laws and any rules and regulations; and
  • Transferred to KDADS the balances of all funds or accounts appropriated or reappropriated for DCF within the state treasury for DCF programs transferred by ERO No. 41, to be used only for the purpose for which the appropriation was originally made.

Transfers from Department of Health and Environment to KDADS

ERO No. 41 transferred the powers, duties, and functions of some of the Health Occupations Credentialing Program of the Department of Health and Environment (KDHE) to KDADS. The result of this reorganization:

  • Transferred the following programs to KDADS:
    • Licensure of Adult Care Home Administrators and Dieticians (Licensure of Speech-Language Pathologists and Audiologists was transferred from KDHE to the Department on Aging by passage of 2012 Sub. for HB 2659);
    • Certification of Residential Care Facility Operators, Activity Directors, Social Services Designees, Nurse Aides, Medication Aides, and Home Health Aides;
    • Maintenance of the Kansas Nurse Aide Registry; and
    • Criminal History Record Check Program authorized by individual credentialing statutes or rules and regulations.
  • Provided that the authority of the Board of Adult Care Home Administrators established in statute would not be changed or diminished by enactment of ERO No. 41;
  • Transferred the Psychiatric Residential Treatment Facility Licensure Program of KDHE to KDADS;
  • Provided for the transfer to KDADS of personnel in KDHE programs transferred to KDADS by the ERO, as determined necessary by the Secretary for Aging and Disability Services for the exercise and performance of powers, duties, and functions transferred by the ERO;
  • Provided for the transfer to KDADS of KDHE personnel, determined jointly by the Secretary for Aging and Disability Services and the Secretary of Health and Environment to have been involved in providing necessary administrative, technical and other support to the transferred programs;
  • Provided for all classified employees transferred to KDADS to retain their classified employee status, and thereafter authorized KDADS to convert any vacant classified positions to unclassified service under the Kansas Civil Service Act;
  • Provided personnel transferred to KDADS under the ERO with retention of retirement benefits, leave balances, and rights which had accrued or vested prior to the transfer;
  • Required any subsequent transfers, layoffs, or abolition of classified service positions under the Kansas Civil Service Act to be made in accordance with civil service laws and any rules and regulations; and
  • Transferred to KDADS the balances of all funds or accounts appropriated or reappropriated for KDHE within the state treasury for KDHE programs transferred by ERO No. 41, to be used only for the purpose for which the appropriation was originally made.

Executive Reorganization Order Process

The Governor is authorized under Article 1, Section 6 of the Kansas Constitution to reorganize state agencies, within the executive branch of government, by issuing an executive reorganization order.

  • EROs must be transmitted to both houses of the Legislature on the same day, within the first 30 calendar days of any regular session.
  • An ERO becomes effective and has the effect of general law on July 1 unless, within 60 calendar days of transmittal to the Legislature, either the Senate or the House of Representatives adopts a resolution disapproving the ERO.

Purpose of ERO No. 41

According to testimony presented by then-Secretary for Aging, Shawn Sullivan, before the Senate Committee on Ways and Means on February 15, 2012, the general intent of ERO No. 41 was to realign the agencies to more effectively analyze and update policies to ensure quality service to those who serve the Medicaid populations.

Implementation of ERO No. 41

The implementation of ERO No. 41 resulted in the transfer of $928,817,413, including $400,017,726 from the State General Fund (SGF), and 108.5 Full-time Equivalent (FTE) positions from DCF to KDADS.

The implementation of ERO No. 41 resulted in the transfer of $898,844, including $645,573 from the State General Fund (SGF), and 12.7 Full-time Equivalent (FTE) positions from KDHE to KDADS.

Secretary Sullivan testified on February 15, 2012, before the Senate Committee on Ways and Means, that prior Medicaid policies were developed and administered in several state agencies that posed challenges for administrative consolidation and coordination. He indicated reorganization would consolidate the Medicaid fiscal and contract management function in KDHE and program management in KDADS while allowing DCF to strengthen its focus on children and families.

With the implementation of ERO No. 41, the total number of FTE positions in DCF decreased from 3,119.1 FTE in the FY 2012 approved budget to 3,010.6 FTE in FY 2013. The approved budget for FY 2013 included 2,987.6 FTE positions due to other adjustments.

With the implementation of ERO No. 41, the total number of FTE positions in KDHE decreased from 975.4 FTE in the FY 2012 approved budget to 962.7 FTE in the FY 2013 approved budget. Due to other reductions, the FY 2013 approved budget FTE count for KDHE was 894.2 FTE.

Agency Reorganization

Kansas Department for Aging and Disability Services

KDADS was reorganized resulting in the following commissions:

  • Commission on Aging—included four divisions: Community Based Services; Transitional Services and Client Assessment, Referral, and Evaluation (CARE); Information and Community Resources; and Quality Review;
  • Community Services and Programs Commission—included Home and Community Based Services (HCBS) Waivers, Money Follows the Person Program (MFP) [Note: Kansas stopped MFP transitions in July 2017; individuals transitioning by that time had 365 days of MFP, after which they were transitioned to the appropriate HCBS program. The MFP program has ended]; Program for All-Inclusive Care for the Elderly (PACE), Behavioral Health Services (combines Mental Health and Addiction and Prevention Services), Medicaid and Management Operations (KanCare Implementation), and State Hospitals;
  • Survey, Certification and Credentialing Commission—included Health Occupations Credentialing; and
  • Financial and Information Services Commission.

As of October 17, 2023, KDADS is organized to include these five commissions: Long Term Services and Supports; Behavioral Health Services; Financial and Information Services; State Hospitals; and Survey, Certification and Credentialing.

Department for Children and Families

DCF was reorganized to create the following under Family Services:

  • Child Support Services (formerly Child Support Enforcement);
  • Economic and Employment Services (formerly Economic and Employment Support)—includes Cash Assistance Programs, Child Care and Early Education Programs, Supplemental Nutrition Assistance Program, and Work Program;
  • Prevention and Protection Services (formerly Children and Family Services)— includes Adoption Program, Adult Protective Services, Child Protective Services, and Foster Care; and
  • Rehabilitation Services (formerly Vocational Rehabilitation Services)—includes Employment Services, Independent Living, Services for People who are Deaf and Hard of Hearing, and Disability Determination Services.

Kansas Department of Health and Environment

After reorganization, KDHE consisted of the following main divisions:

  • Public Health—included the Office of the Director and the Bureaus of Surveillance and Epidemiology, Oral Health, Local and Rural Health, Disease Control and Prevention, Child Care and Health Facilities, Environmental Health, Health Promotion, Family Health, Public Health Preparedness (formerly Homeland Security), and Public Health Informatics (formerly the Center of Health and Environment Statistics). The Administration Program was also included in the Division of Health function. [Note: Prior to SFY 2019, the Public Health Division was reorganized to include the Office of the Director and five bureaus: Disease Control and Prevention; Health Promotion, Family Health, Community Health Systems, and Epidemiology and Public Health Informatics);
  • Environmental Services—includes the Bureaus on Air, Environmental Remediation, Environmental Field Services, Health and Environmental Laboratories, Waste Management, and Water; and
  • Health Care Finance—includes HealthWave (Children’s Health Insurance Program—CHIP) and Medicaid, State Employee Health Care Benefits Program, State Workers Compensation, and the health care data responsibilities of the former Health Care Data Governing Board.

by Iraida Orr
Principal Research Analyst
785-296-4408