Suspends deadline for withdrawing appropriations from preceding fiscal year from state treasury. (OR SEE FISC NOTE GF EX See Note)
Impact
SCR28 is particularly impactful as it allows for the suspension of the regular financial management procedures related to fiscal year end closures. By extending the timeframe in which appropriations may be withdrawn, the legislation aims to support lawmakers in effectively managing the state's financial obligations, especially in cases where certain liabilities may only manifest or be identified after the fiscal year has concluded. This resolution can facilitate better financial planning and accountability in budgetary processes moving forward.
Summary
Senate Concurrent Resolution No. 28 (SCR28) introduces a significant change regarding the management of state treasury funds in Louisiana. Specifically, this bill aims to suspend the deadline established in R.S. 39:82, which mandates that appropriations from the previous fiscal year must be withdrawn within 45 days after the end of that fiscal year, against which bona fide liabilities existed. The intention behind this suspension is to afford the state legislature additional time to address these appropriations without being bound by the timeline that would otherwise limit their financial flexibility post each fiscal year.
Sentiment
Discussions surrounding SCR28 highlight a pragmatic approach from legislators in addressing the complexities of state financial management. The sentiment appears largely supportive among those who recognize the advantages of having enhanced timeframes for processing appropriations, allowing for a more thorough evaluation and consideration of the state’s financial commitments. However, the lack of specific voting history also suggests that further discussions may be necessary to reach a consensus amongst all legislative members.
Contention
While the resolution seems to provide beneficial adjustments to the appropriation withdrawal deadlines in light of legitimate financial liabilities, it could also generate some contention. Critics of extending such deadlines might argue that this may lead to a lack of urgency in managing state funds, allowing for misallocation or ineffective planning. Such concerns emphasize the balance that must exist between flexibility and accountability in fiscal governance, as stakeholders evaluate the potential long-term implications of this resolution on the state's budgeting practices.
Provides relative to actions of Joint Legislative Committee on the Budget relative to the forty-five day close period. (gov sig) (EN SEE FISC NOTE GF EX See Note)
Suspends certain provisions of law relative to the application of certain wages and benefits for the next calendar year. (Items #8 and #30) (EN SEE FISC NOTE SD See Note)