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ARIZONA STATE SENATE
Fifty-Fourth Legislature, Second Regular Session
AMENDED
budget procedures; budget reconciliation; 2020-2021.
Purpose
Makes statutory and session law changes relating to budget procedures necessary to implement the FY 2021 state budget.
Background
The Arizona Constitution prohibits substantive law from being included in the general appropriations, capital outlay appropriations and supplemental appropriations bills. However, it is often necessary to make statutory and session law changes to effectuate the budget. Thus, separate bills called budget reconciliation bills (BRBs) are introduced to enact these provisions. Because BRBs contain substantive law changes, the Arizona Constitution provides that they become effective on the general effective date, unless an emergency clause is enacted.
S.B. 1690 contains the budget reconciliation provisions for changes relating to budget procedures.
Provisions
2. Appropriates $50,000,000 in FY 2020 from the state General Fund to the Fund.
3. Reverts any unexpended and unencumbered monies from the FY 2020 appropriation on June 30, 2021 to the state General Fund.
4. Allows Fund monies to be spent only following a state of emergency declaration by the Governor for the following forms of economic assistance during the state of emergency:
a. housing assistance, including payments to prevent eviction or foreclosure;
b. monies for entities to provide services for homeless persons, including shelter, food, clothing and transportation;
c. economic assistance to small businesses with fewer than 50 employees, nonprofit organizations and health care providers; and
d. monies for food bank operations.
5. Specifies that Fund monies are continuously appropriated and exempt from lapsing.
6. Requires the Office of the Governor, before spending Fund monies, to notify the President of the Senate, Speaker of the House of Representatives and Joint Legislative Budget Committee on the intended use of the monies.
7. Requires Fund monies to be used to supplement, and not supplant, any monies allocated by the federal government for economic assistance during a state of emergency.
8. Allows the Office of the Governor to accept and spend local, state and federal monies and private grants, gifts, contributions and devices to assist in carrying out statutory Fund purposes.
9. Specifies that it is the Legislature's intent for cities, towns and counties to review their eviction policies and procedures during the Governor's Coronavirus Disease 2019 State of Emergency to allow individuals and families to remain in their places of residence.
10. Delays, from July 1, 2020, to July 1, 2021, the establishment of the Motor Vehicle Pool Consolidation Fund, administered by the Arizona Department of Transportation.
11. Requires counties to be reimbursed for expenses incurred administering the 2020 Presidential Preference Election as determined by the Secretary of State and pursuant to the FY 2021 general appropriations act.
12. Continues to require, retroactive to July 1, 2020, any unrestricted federal monies received by Arizona in FY 2021 to be deposited in the state General Fund and to be used to pay essential governmental services.
13. Continues to set the Capital
Outlay Stabilization Fund square-footage rental rates for
state-owned buildings at $17.87 for office space and $6.43 for storage space in
FY 2021.
14. Asserts that the Legislature is not required to appropriate monies to or transfer monies from the Budget Stabilization Fund in FY 2021, FY 2022 and FY 2023.
15. Makes conforming changes.
16. Becomes effective on the general effective date, with retroactive provisions as noted.
Amendments Adopted by Committee of the Whole
1. Establishes the Fund, administered by the Office of the Governor, and outlines authorized uses of Fund monies.
2. Appropriates $50,000,000 in FY 2020 from the state General Fund to the Fund and reverts any unexpended and unencumbered monies from the FY 2020 appropriation on June 30, 2021 to the state General Fund.
3. Specifies that Fund monies are continuously appropriated and exempt from lapsing.
4. Requires the Office of the Governor, before spending Fund monies, to notify the President of the Senate, Speaker of the House of Representatives and Joint Legislative Budget Committee on the intended use of the monies.
5. Allows the Office of the Governor to accept and spend local, state and federal monies and private grants, gifts, contributions and devices to assist in carrying out statutory Fund purposes.
6. Adds a legislative intent clause relating to municipal and county eviction policies during the Governor's Coronavirus Disease 2019 State of Emergency.
Senate Action
RULES 3/18/20 DP 6-1-1-0
Prepared by Senate Research
March 19, 2020
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