Pennsylvania House Bill HB1146

Pennsylvania 2023-2024 Regular Session

• Introduced: 5/10/23
• Refer: 5/10/23

Caption

In Commonwealth budget procedures, further providing for lapsing of funds.

Impact

The proposed amendments are expected to influence the existing rules surrounding how state funds are managed and disbursed. The ability for the Secretary of the Budget to grant waivers for lapsing funds means that agencies may have increased opportunities to retain unspent funds for their intended purposes, rather than losing them at the end of the fiscal year. This could lead to more strategic planning and execution of state-funded programs as agencies could carry over funds for subsequent needs. However, it also raises questions regarding oversight and accountability in the use of these waivers that would need to be addressed to prevent misuse.

Summary

House Bill 1146 aims to amend the Administrative Code of 1929 in relation to budget procedures, specifically addressing the lapsing of state funds. The bill proposes that the Secretary of the Budget may waive certain provisions regarding the lapsing of funds upon receiving a written request from state agencies. This modification is intended to facilitate better management of the Commonwealth’s budget by allowing exceptions that could ensure the prudent utilization of state resources. By enabling these waivers, the bill seeks to provide more flexibility in budget management and to potentially restrict the automatic lapsing of funds that are not utilized within a set time frame.

Sentiment

Overall, the sentiment surrounding HB 1146 appears to be cautiously optimistic among supporters who believe that the flexibility granted by the bill will optimize budget use and enhance fiscal management. However, there are concerns from various stakeholders regarding the potential for increased discretion at the executive level and the implications it may have on legislative oversight. Critics worry that without proper checks, this could lead to an erosion of transparency in budget management.

Contention

A notable point of contention within discussions on HB 1146 revolves around the extent of authority it grants to the Secretary of the Budget. Detractors highlight the potential risks associated with allowing waivers that could bypass traditional fiscal accountability measures. There are concerns that this change could pave the way for less stringent controls over the appropriations, thereby impacting the integrity of the budget process. Balancing the need for flexibility in budget management while ensuring robust oversight represents a significant challenge that stakeholders will need to navigate as the bill progresses.