***Adopted***

AMENDMENT No. 1 PROPOSED TO

                             House Bill NO. 345

                             By Representative(s) Brown

     AMEND on lines 18 and 19 by deleting the word and figure "subsection (2)" and inserting the word and figures "subsections (2) and (3)"

     AMEND FURTHER by deleting lines 51 through 53 in their entirety and inserting in lieu thereof the following:

     "(3)  A state agency may take any action that otherwise would be prohibited under subsection (1) of this section if all of the funds to be expended to fund that action are federal funds, state-source special funds or a combination of federal funds and state-source special funds.  For the purposes of this subsection, the term "state-source special funds" means all revenues or income from any source, other than federal funds or appropriations from the State General Fund, that are received, collected by or available for the support of or expenditure by a state agency."

     AMEND FURTHER by inserting the following at the end of line 62:  "However, that suspension does not prohibit an agency from hiring new employees, promoting employees, or reclassifying, reallocating or realigning a pay grade with regard to any of its employees or job positions, if all of the funds to be expended to fund the action taken by the agency are federal funds, state-source special funds or a combination of federal funds and state-source special funds.  For the purposes of this section, the term "state-source special funds" has the meaning provided in Section 1(3) of this act."

     AMEND FURTHER the title on line 13 by inserting the following after the semicolon:  "TO PROVIDE AN EXCEPTION TO THE PROHIBITED ACTIONS OF THIS ACT IF ALL OF THE FUNDS TO BE EXPENDED BY AN AGENCY TO FUND THOSE ACTIONS ARE FEDERAL FUNDS, STATE-SOURCE SPECIAL FUNDS OR A COMBINATION OF FEDERAL FUNDS AND STATE-SOURCE SPECIAL FUNDS;"