HB 1222 — Line-Item Appropriation Transparency Act; make certain technical amendments to.

1222 (As Sent to Governor) AN ACT TO AMEND SECTION 27-104-351, MISSISSIPPI CODE OF 1972, TO MAKEREVISE CERTAINTHE TECHNICALCONDITIONS AMENDMENTSBY TOWHICH A STATE AGENCY MAY PROVIDE A RECIPIENT ENTITY PASS-THROUGH FUNDING UNDER THE LINE-ITEM APPROPRIATION TRANSPARENCY ACT;

(b) "Pass-through funding" means a line-item appropriation by the Legislature to a state agency that is itemized on a separate line in a budget* * * state agency's appropriation bill and that is intended to be passed through the state agency to one or more:

(i) Local government entities;

1222 *HR31/R1301**HR31/R1301SG* ~ OFFICIAL ~ G1/2 22/HR31/R130122/HR31/R1301SG PAGE 1 (RF\JAB) (ii)(i) PrivateLocal organizations,government includingentities; not-for-profit organizations;

(ii) Private organizations, including not-for-profit organizations;

(e) "State money" means * * * funds in the State General Fund,Fund and all state-support special funds thatwhich are in the Budget Contingency Fund, Capital Expense Fund, Working-Cash Stabilization Reserve Fund, Education Enhancement Fund, Healthcare Expendable Fund, Tobacco Control Program Fund, BP Settlement Fund, Gulf Coast Restoration Fund and any other special funds that are determined by the Joint Legislative Budget Committee to be statea supportstate-support special funds.fund.

(3)(f) A"Department" statemeans agencythe mayDepartment notof provideFinance aand recipientAdministration. entity state money from pass-through funding unless:

(a)H. The state agency enters into a written agreement with the recipient entity;

and H.

1222 *HR31/R1301**HR31/R1301SG* ~ OFFICIAL ~ 22/HR31/R130122/HR31/R1301SG PAGE 2(RF\JAB) (b)(3) TheA writtenstate agreementagency describedmay innot paragraphprovide (a)a of this subsection requires the recipient entity tostate providemoney tofrom thepass-through statefunding agencyunless: the following:

(i)(a) *The *state *agency Aenters writteninto descriptiona andwritten anagreement itemizedwith report submitted at least quarterly detailing the expenditurerecipient ofentity, thewhich statedetails money * * * or the intendedcriteria expenditureand ofreporting anyrequirements stateas moneyprovided thatin hasthis notsection; been spent;

and (b) The written agreement described in paragraph (a) of this subsection requires the recipient entity to provide to the state agency the following:

(i) * * * A written description and an itemized report detailing the expenditure of state money or the intended expenditure of any state money that has not been spent.

Such report shall be submitted at least quarterly on dates determined by the department;

AfterDisbursements shall only be made after the written agreement described in paragraph (a) of this subsection has been signed,signed theand state agency shall establish a disbursement schedule in which only a portion of the pass-through funds will be disbursedcontingent duringupon the firstrecipient sixentity (6)complying months of a fiscal year, with the remainingquarterly fundsreporting beingrequirements disbursedrequired duringby theparagraph second(b) six (6) months of thethis fiscalsubsection. year.

Disbursements(4) shall* be* contingent* uponOn or before June 30 of each year or a date determined by the recipientdepartment, entitya complyingstate withagency shall provide to the quarterlydepartment reportinga requirementscopy inof paragraphthe (b)written agreements, written descriptions, and reports of itemized expenditures required under subsection (3) of this subsection.section.

(4)H. * * * On or before June 30 of each year, the state agency shall provide to the Department of Finance and Administration's Office of Budget and Fund Management a copy of the written description and itemized reports required by subsection (3) of this section.

(5) The * * * Department of Finance and Administration's Office of Budget and Fund Management is responsible for obtaining H.

1222 *HR31/R1301**HR31/R1301SG* ~ OFFICIAL ~ 22/HR31/R130122/HR31/R1301SG PAGE 3(RF\JAB) (5) * * * The department is responsible for obtaining the written descriptionsagreements, written descriptions, and itemized reports required underby subsection (3) of this section from the * * * state agencies.

The *department * * office is further responsible for * * * consolidating and presenting a report on the previous fiscal year's pass-through expenditures and providing it to the Joint Legislative Budget Committee by October 1 of each year.

(6) NotwithstandingThe subsectiondepartment (3)shall ofcreate thisall section,of athe statefollowing agencydocuments iswhich notshall requiredbe toin complysuch withform thisand sectioncontain tosuch theinformation extentas that the pass-throughdepartment fundingprescribes: is issued:

(a) Written agreement as described in subsection (3)(a) of this section;

(b) Written description and itemized report as described in subsection (3)(b) of this section;

and (c) Final itemized report as described in subsection (3)(b) of this section.

A state agency shall utilize these documents when complying with the criteria set forth in this act.

( * * *7) Notwithstanding subsection (3) of this section, a state agency is not required to comply with this section to the extent that the pass-through funding is issued:

(c) In accordance with a state program under parameters in statute or rule that guides the distribution of the pass-through funding;

(d) Under the authority of the Mississippi Accountability and Adequate Education Program Act of 1997, Section 37-151-1 et seq.;

or (e) In accordance with an appropriations act of the Legislature that specifically provides an exemption from the provisions of this section.

(7) Unless a recipient entity is required to comply with Section 31-7-1 et seq.

because it is an agency or public body, the fact that it is a recipient entity does not create such an obligation.

1222 *HR31/R1301**HR31/R1301SG* ~ OFFICIAL ~ 22/HR31/R130122/HR31/R1301SG PAGE 4(RF\JAB) SECTION(c) 2.In accordance with a state program under parameters in statute or rule that guides the distribution of the pass-through funding;

(d) Under the authority of the Mississippi Accountability and Adequate Education Program Act of 1997, Section 37-151-1 et seq.;

or (e) In accordance with an appropriations act of the Legislature that specifically provides an exemption from the provisions of this section.

( * * *8) Unless a recipient entity is required to comply with Section 31-7-1 et seq.

because it is an agency or public body, the fact that it is a recipient entity does not create such an obligation.

SECTION 2.

1222 *HR31/R1301**HR31/R1301SG* ~ OFFICIAL ~ 22/HR31/R130122/HR31/R1301SG ST:

PAGE 55(RF\JAB) (RF\JAB) make certain technical amendments to.