LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: SB 503 SLS 20RS 895
Bill Text Version: ENROLLED
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.:
Date: May 29, 2020 9:43 AM Author: WHITE, B
Dept./Agy.: Statewide
Subject: Suspends deadline for withdrawing appropriations Analyst: Alan M. Boxberger
APPROPRIATIONS EN SEE FISC NOTE GF EX See Note Page 1 of 1
Suspends deadline for withdrawing appropriations from preceding fiscal year from state treasury. (gov sig)
Proposed law provides that in any year in which the Joint Legislative Committee on the Budget (JLCB) is unable to meet to
approve the transactions before the forty-fifth day following the last day of the fiscal year due to a declared disaster or
emergency, the transactions shall be placed on the agenda of the next JLCB meeting for approval and may be approved
after the forty-fifth day following the last day of the fiscal year. Proposed law provides a procedure for incorporating
appropriations from the preceding year against which bona fide obligations existed as of the last day of the fiscal year with
approval of the JLCB in scenarios wherein the JLCB is unable to meet to approve such transactions due to a declared disaster
or emergency. Proposed law provides that such transactions may be approved after the forty-fifth day following the last day
of the fiscal year. Proposed law provides that the next meeting of the JLCB shall take place no later than thirty days after
the end of the declared disaster or emergency.
EXPENDITURES 2020-21 2021-22 2022-23 2023-24 2024-25 5 -YEAR TOTAL
State Gen. Fd. SEE BELOW SEE BELOW SEE BELOW SEE BELOW SEE BELOW
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total
REVENUES 2020-21 2021-22 2022-23 2023-24 2024-25 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0 $0 $0 $0 $0
EXPENDITURE EXPLANATION
There is no direct material impact on state or local governmental expenditures as a result of this proposed measure.
Proposed law provides a mechanism for the Joint Legislative Committee on the Budget (JLCB) to incorporate appropriations
from the preceding year against which bona fide obligations existed as of the last day of the fiscal year in the event that the
JLCB is unable to meet to approve such transactions due to a declared disaster or emergency. Proposed law requires that
such transactions be placed on the agenda of the next meeting of the JLCB and may be approved after the forty-fifth day
following the last day of the fiscal year. Proposed law provides that the next meeting of the JLCB shall take place no later
than thirty days after the end of the declared disaster or emergency.
In practice, the provisions of proposed law could conceivably result in state agencies making expenditures against both the
previous and current fiscal year appropriation concurrently beyond the existing forty-five day limit, with expenditures coded
to the prior year paying for goods and services encumbered and received prior to the close of that fiscal year but not yet
liquidated. Proposed law does not dissolve the requirement that a bona fide obligation must exist for each expenditure on
the last day of the previous fiscal year (June 30th), but would nullify the requirement that such bona fide obligations be
carried forward into the subsequent fiscal year by carry forward budget adjustment (a BA-7 approved either unilaterally by
the Division of Administration or with consent of the Joint Legislative Committee on the Budget as authorized in present law)
within the prescribed forty-five day window if it coincides with a declared disaster or emergency. Potential expenditure
impacts are shown as SGF only for purposes of this fiscal note, but may be realized in any means of finance.
REVENUE EXPLANATION
There is no anticipated direct material effect on governmental revenues as a result of this measure.
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
13.5.2 >= $500,000 Annual Tax or Fee Evan Brasseaux
6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Staff Director


Statutes affected:
SB503 Engrossed: 39:82(B)
SB503 Enrolled: 39:82(B)