MANAGEMENT AND BUDGET ACT S.B. 184: COMMITTEE SUMMARY
Senate Bill 184 (as introduced 2-7-07)
Sponsor: Senator Ron Jelinek
Committee: Appropriations
Date Completed: 2-7-07
CONTENT
Senate Bill 184 would amend two sections of the Management and Budget Act that deal with year-end appropriation overexpenditures. The bill would amend Section 371 to eliminate a quarterly report that compares appropriation allotments to actual expenditures. The bill would add a new reporting requirement to Section 371, which would require the Office of the State Budget by June 1 of each year, to submit to the Legislature a report summarizing which appropriation line items were being spent at a rate above the level assumed in the appropriation bill. This report also would include recommendations from the Office of the State Budget to ensure that actual expenditures did not exceed the appropriated level in these line-item appropriations.
The bill would amend Section 395 of the Management and Budget Act to clarify that departments must spend Federal, State restricted, local or private funds appropriated only up to the levels actually received. If levels of Federal, State restricted, local or private funds were being received at a level below the amount assumed in the appropriation bill, the department would have to adjust the overall level of the appropriation line item to reflect this funding shortfall.
MCL 18.1371 & 18.1395
FISCAL IMPACT
Senate Bill 184 would have no fiscal impact on State or local government. The bill would eliminate a current quarterly reporting requirement and replace it with one new annual report.
Fiscal Analyst: Gary S. Olson
Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. sb184/0708