appropriationof federal
monies
HB 2212 grants the state Legislature appropriation authority over all “noncustodial federal funds”, as defined by the bill.
s Gives the Legislature authority to appropriate “noncustodial federal monies”. If no legislative appropriation is made for either a particular fund, specific grant program or block of non-custodial federal monies, the state agency that has lawful authority must administer and spend these monies pursuant to federal and state law.
s Defines non-custodial federal monies as federal monies, not including federal monies or research grants awarded to the universities, university employees or the Arizona Board of Regents for and on behalf of the universities under their jurisdiction, federal monies for use by the Department of Emergency and Military Affairs, and federal monies awarded directly to school districts or community colleges, that meet one or more of the following criteria:
1. Are designated by the federal government as block grant monies.
2. Are designated by the federal government as general revenue sharing monies.
3. Provides this state with broad authority to make spending decisions regarding the development, implementation or operation of a program or service.
4. Are considered essential to meet total spending obligations of a federally required or matched program or service authorized by the Legislature in which the federal government requires at least one per cent of the program or service funding to come from this state.
s Defines “budget unit” as any department, commission, board, institution, or other agency of the state organization receiving, spending or disbursing state monies or incurring obligations against the state
s Requires a reduction of the appropriation of federal monies if the amount of federal monies received by a budget unit is less than the amount appropriated. The activities financed by the federal monies shall be reduced proportionately as well.
s Requires that if the amount of the federal monies received by a budget unit is greater than the amount appropriated, the total appropriation of federal and state monies allocated for a program shall remain at the amount designated by the Legislature. The State Treasurer is required to credit the excess federal monies to the appropriate agency account.
s Requires that all “noncustodial federal monies” received by any budget unit be accounted for in separate accounts or funds as necessary to meet accounting, budgetary and auditing requirements. Allows the Department of Administration discretion to use the most efficient system available consistent with legal requirements and standards and necessary fiscal safeguards to do so.
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44th Legislature
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Second Regular Session 2 February
5, 2001
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