Louisiana 2013 2013 Regular Session

Louisiana House Bill HB437 Comm Sub / Analysis

                    DIGEST
The digest printed below was prepared by House Legislative Services.  It constitutes no part of
the legislative instrument.  The keyword, one-liner, abstract, and digest do not constitute part of
the law or proof or indicia of legislative intent.  [R.S. 1:13(B) and 24:177(E)]
CONFERENCE COMMI TTEE REPORT DIGEST
House Bill No. 437 by Representative Harris
Keyword and oneliner of the instrument as it left the House
BUDGETARY CONTROLS:  Provides with respect to the development of the budget
Report adopts Senate amendments to:
1. Delete the proposed provision that the state treasurer certify the balance of any fund
supporting appropriations estimated by the conference.
2. Change the proposed requirement of the conference's designation of nonrecurring funds
from "shall" designate funds not available for three consecutive fiscal years as
nonrecurring to "may" designate money not available for the preceeding two fiscal years
or the succeeding tow fiscal years as nonrecurring.
Report rejects Senate amendments which would have:
1. Added that financing for appropriations using prior year funds shall only be authorized in
the amounts remaining after the satisfaction of the remission of cash balances to the state
treasurer, the liquidation of any bona fide liabilities, and authorized withdrawals after the
close of the fiscal year as provided for by law.
2. Made the provisions of proposed law null, void, and of no effect on June 30, 2015.
Report amends the bill to:
1. Require that financing for any appropriation from statutorily dedicated funds shall be
limited to the prior year fund balance and shall not include anticipated fund balances for
the ensuing year unless otherwise provided by law.
2. Delete the section of the bill which would make the bill take effect only if other House
Bills were enacted into law. Digest of the bill as proposed by the Conference Committee
REVENUE ESTIMATING CONFERENCE
Present law sets forth requirements relative to the expenditure of state funds and establishes the
Revenue Estimating Conference (REC) to prepare and publish initial and revised estimates of
money to be received by the state general fund and dedicated funds for the current and next fiscal
years which are available for appropriation, the most recent of which is called the official
forecast. In each estimate, the REC must also designate money as nonrecurring.  Money not
designated as nonrecurring is designated recurring.
Proposed law retains present law and adds that the REC shall include a forecast of all funds as
defined in Art. VII, ยง10(J) of the Const. of La., with an estimate of money available for
appropriation from each dedicated fund.  Proposed law also provides that the REC may designate
as nonrecurring, money 	available for appropriation from any source that is defined in 	present law
(R.S. 39:2(27)) as nonrecurring. (R.S. 39:24 (A))
EXECUTIVE BUDGET
Present law requires the governor to prepare an executive budget to include recommendations for
appropriations from the state general fund and dedicated funds which shall not exceed the official
forecast of the REC.  Proposed law retains present law and provides that the executive budget
shall not include recommendations for appropriations from any fund in excess of the official
forecast of money available for appropriation from that fund. (R.S. 39:34(A))
APPROPRIATION BILLS
Present law requires, after submitting his executive budget, that the governor then cause to be
introduced a General Appropriation Bill (GAB) for the ordinary operating expenditures in
conformity with the budget estimate.  Proposed law retains this provision and provides that the
general appropriation bill and other appropriation bills shall not appropriate any funds which are
not part of the official REC forecast. (R.S. 39:51(A))
EXPENDITURE OF STATE FUNDS
Present law provides that appropriations from the state general fund and dedicated funds shall not
exceed the official forecast.  Proposed law retains present law and also specifies that unless
otherwise provided by 	present law permitting the use and transfer of funds to avoid a projected
deficit, the amount appropriated out of any fund shall not exceed the official forecast of money
available for appropriation from that fund.  Proposed law further provides that financing for any
appropriation from statutorily dedicated funds shall be limited to the prior fiscal year fund
balance and shall not include anticipated fund balances for the ensuing fiscal year unless
otherwise provided by law. (R.S. 39:54(A))
Effective July 1, 2013. (Amends R.S. 39:24(A), 34(A), 51(A), and 54(A))