PROPOSED
HOUSE OF REPRESENTATIVES AMENDMENTS TO H.B. 2618
(Reference to printed bill)
Strike everything after the enacting clause and insert:
"Section 1. Title 35, Arizona Revised Statutes, is amended by adding chapter 1.1, to read:
CHAPTER 1.1
APPROPRIATION OF FEDERAL AND STATE MONIES
35-251. Definition of noncustodial federal monies
in this chapter, unless the context otherwise requires, "noncustodial federal monies":
1. Means federal monies that meet one of the following criteria:
(a) Are designated by the federal government as block grant monies.
(b) Are designated by the federal government as general revenue sharing monies.
(c) Provide this state with broad authority to make spending decisions regarding the development, implementation or operation of a program or service.
(d) Are considered essential to meet total spending obligations of a federally required or matched program or service authorized by the legislature in which the federal government requires at least one per cent of the program or service funding to come from this state.
2. Does not include federal monies or research grants awarded to the universities, university employees or the Arizona board of regents for and on behalf of the universities under its jurisdiction, federal monies for use by the department of emergency and military affairs and federal monies awarded directly to school districts or community colleges.
35-252. Receipt of noncustodial federal monies; accounting
All noncustodial federal monies received by any budget unit must be accounted for in separate accounts or funds as necessary to meet accounting, budgetary and auditing requirements. The department of administration may use the most efficient system of accounts and records, consistent with legal requirements and standards, and necessary fiscal safeguards.
35-253. Appropriation of federal and state monies; legislative powers and duties
A. The legislature retains the primary and ultimate authority to appropriate all state and noncustodial federal monies. If the legislature does not make an appropriation for either a particular fund, a specific grant program or a block of noncustodial federal monies, the budget unit that has lawful authority shall administer and spend these monies pursuant to federal and state law.
B. The legislature shall specify in each federal monies appropriation the purposes for which the federal monies are to be used, consistent with federal law. For purposes of obtaining expenditure authority for unanticipated federal monies that may become available when the legislature is not in session, the legislature may make a lump sum appropriation. The joint legislative budget committee shall review in advance the expenditure of any monies from the lump sum appropriation, subject to any condition specified by the legislature.
C. If the amount of the federal monies received is less than the amount appropriated, the appropriation of federal monies is reduced to the amount of the federal monies received. The activities financed by the federal monies must be reduced proportionately.
D. If the amount of the federal monies received is more than the amount appropriated, the total appropriation of federal and state monies allocated for a program must remain at the amount designated by the legislature. The state treasurer shall credit the excess federal monies to the appropriate budget unit account."