MISSISSIPPI LEGISLATURE

2024 Regular Session

To: Appropriations A

By: Representatives Currie, Turner, Boyd (19th)

House Bill 1037

(As Sent to Governor)

AN ACT TO AMEND SECTION 27-104-231, MISSISSIPPI CODE OF 1972, TO REVISE THE PROCESS FOR STATE AGENCIES TO AVOID OR LIMIT THE NEED FOR ANY ADDITIONAL, DEFICIT OR SUPPLEMENTAL APPROPRIATIONS; TO REQUIRE A STANDARDIZED REQUEST FORM PROMULGATED BY THE LEGISLATIVE BUDGET OFFICE AND THE DEPARTMENT OF FINANCE AND ADMINISTRATION; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 27-104-231, Mississippi Code of 1972, is amended as follows:

     27-104-231.  (1)  This section shall be known and may be cited as the "Deficit Appropriation Prevention Act."

     (2)  It is the responsibility of each state agency, department and institution to operate within the limits of its annual appropriations by the Legislature and any other approved expenditures of monies.  A state agency, department or institution shall not operate in a manner that results in * * *a year‑end deficit the need for an additional, deficit, or supplemental appropriation, except as provided in this * * *act section.

     (3)  If it is determined by a state agency, department or institution that the likelihood of * * *a deficit needing an additional, deficit, or supplemental appropriation for the current fiscal year exists, the state agency, department or institution shall use a standardized request form promulgated by the Legislative Budget Office and the Department of Finance and Administration to notify the Governor, Lieutenant Governor, Speaker of the House, and Chairs of the House and Senate Appropriations Committees, the Legislative Budget Office and the Department of Finance and Administration within fifteen (15) days of this determination.  The standardized request form must include a description of the need, an explanation of why the agency cannot cover the expenses with their existing appropriation, the impact of disapproval and a plan to avoid or limit any additional deficit or supplemental appropriation.  The agency shall also include in the report a listing of all funds the entity is authorized to expend, the amount appropriated from each fund, the amount of funds expended at the time of the request and the current cash balance of the fund.

     (4)  * * *After the determination of the likelihood of a deficit, the state agency, department or institution shall work with the Legislative Budget Office and the Department of Finance and Administration to develop a plan to avoid or limit any deficit. Such plan shall include limiting travel and conference attendance to that deemed essential by the director of the agency, department or institution, and restricting the purchase of equipment, vehicles and other nonnecessities. The Legislative Budget Office and the Department of Finance and Administration shall approve, recommend changes, or create new plans to avoid or limit the need for any additional, deficit or supplemental appropriations for each state agency, department or institution based on the information provided in the standardized request forms.

     (5)  For purposes of this section, the term "state agency" shall have the same meaning as provided in Section 27-103-103.

     SECTION 2.  This act shall take effect and be in force from and after July 1, 2024.

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