Provides for funds transferred to public and quasi-public entities which are not budget units of the state (OR NO IMPACT See Note)
Impact
The proposed legislation has the potential to significantly enhance fiscal responsibility in the management of state funds by requiring entities to specify the intended use of public money along with measurable goals and objectives. Should these entities fail to utilize funds effectively, the transferring agency is empowered to demand the return of any unspent amounts. This shift in policy could lead to improved oversight of public spending and potentially reduce instances of misallocation or mismanagement of state resources.
Summary
House Bill 664, presented by Representative Schroder, is designed to establish stricter regulations and accountability mechanisms for the transfer of state funds to public and quasi-public entities that do not qualify as state budget units. The bill mandates that these entities must submit comprehensive budgets and demonstrate compliance with existing audit requirements before receiving state funds. This oversight aims to ensure that state resources are allocated effectively and that recipient entities are held accountable for their financial activities.
Sentiment
The sentiment surrounding HB 664 has been generally supportive among proponents who believe that increased transparency and accountability are essential in government fiscal operations. Advocates argue that the bill is a necessary step to curb wasteful spending and ensure that public funds are used for their intended purposes. Conversely, there may be apprehension among some stakeholders concerned about the bureaucratic implications and the additional reporting requirements that could burden agencies tasked with compliance.
Contention
Some points of contention regarding HB 664 may arise around the compliance requirements for smaller public or quasi-public entities, which could struggle with the regulatory burden imposed by this legislation. Critics might argue that while accountability is crucial, the additional financial reporting and monitoring obligations could hinder the operational efficiency of these organizations, particularly those with limited administrative resources. The balance between ensuring transparency and maintaining operational effectiveness will be a critical aspect of the ongoing debate surrounding this bill.
Requires certain quasi public and nongovernmental entities to submit information to the legislative auditor and be approved by the Joint Legislative Committee on the Budget prior to receiving state monies or assistance (RE +$135,000 GF EX See Note)
Requires certain quasi public and nongovernmental entities to submit information to the legislative auditor and be approved by the Joint Legislative Committee on the Budget prior to receiving state monies or assistance
Provides relative to budgets of certain courts and other local entities including provisions for public participation in the budget making process (OR NO IMPACT See Note)