Mississippi Senate Bill SB2445

Mississippi 2023 Regular Session

• Introduced: 1/16/23
• Refer: 1/16/23
• Failed: 1/31/23

Caption

Unencumbered cash balance; revise distribution of certain amount to the 2022 Capacity Project Fund.

Impact

The passage of SB2445 will lead to a systematic approach in managing the state's finances, with specific provisions that direct any unencumbered cash balance towards necessary infrastructure projects. By reinforcing the financial foundation of state transportation initiatives, the bill is expected to ensure timely maintenance and development of highway projects which are vital for connectivity and safety in the state. Such an allocation could potentially improve public safety and stimulate job creation within the construction and transport sectors.

Summary

Senate Bill 2445 aims to amend existing sections of the Mississippi Code of 1972, particularly regarding the distribution of the unencumbered cash balance in the General Fund at the end of each fiscal year. The bill stipulates that if funds are available, a set amount will be allocated to the State Highway Fund, thus enhancing financial resources available for transportation projects. This adjustment is crucial for infrastructure improvements and maintenance activities managed by the Department of Transportation, fundamental for Mississippi's economic development.

Contention

There may be concerns regarding the discretion allowed to the Department of Finance and Administration and the State Treasurer in determining the amounts classified as 'unencumbered cash balance'. Critics could argue that this gives too much control over the distribution of state funds, raising questions about transparency and potential bias in fund allocation. Ensuring that there are clear guidelines and oversight in how these funds are managed will be essential to address potential stakeholder concerns.