The State Budget Act sets forth the process for the preparation and submission of the proposed biennial budget for the Executive Department of the State Government. (NRS 353.150-353.246) Specifically, the Act requires the Chief of the Budget Division of the Office of Finance to prepare a final version of the proposed budget, which must include the adjusted base budget for each department, institution and agency of the Executive Department. (NRS 353.230) Section 2 of this bill defines the term “adjusted base budget” to mean the amount appropriated or authorized to support ongoing expenditures budgeted to the department, institution or agency by the Legislature for the second year of the current biennium, as adjusted for: (1) the removal of any one-time appropriation or authorization that was appropriated or authorized by the Legislature to the department, institution or agency for the second year of the biennium; (2) statewide fringe benefits, assessments, rent insurance premiums and cost allocations; (3) contractual obligations that are approved or expired during the current biennium; (4) ongoing expenditures approved by the Interim Finance Committee during the current biennium; (5) any annualization of costs that occurred for part of the second year of the current biennium; (6) actual caseloads incurred during the first year of the biennium; (7) rate changes that are projected to affect the budget of the department, institution or agency during the next biennium; and (8) any other adjustment that is necessary based on the limit upon total proposed expenditures or as otherwise determined by the Chief. The Act further requires the Chief to provide to the Fiscal Analysis Division of the Legislative Counsel Bureau each agency's adjusted base budget by program or budgetary account for the next 2 fiscal years. (NRS 353.211) Section 1 of this bill defines the term “adjusted base budget” to mean the amount appropriated or authorized to support ongoing expenditures budgeted to the agency by the Legislature for the second year of the current biennium, as adjusted for: (1) the removal of any one-time appropriation or authorization that was appropriated or authorized by the Legislature to the agency for the second year of the current biennium; (2) statewide fringe benefits, assessments, rent insurance premiums and cost allocations; (3) contractual obligations that are approved or expired during the current biennium; (4) ongoing expenditures approved by the Interim Finance Committee during the current biennium; (5) any annualization of costs that occurred for part of the second year of the current biennium; (6) actual caseloads incurred during the first year of the biennium; (7) rate changes that are projected to affect the budget of the agency during the next biennium; and (8) any other adjustment that is necessary based on the limit upon total proposed expenditures or as otherwise determined by the Chief. Section 2.5 of this bill makes an appropriation to the Legislative Fund to update the budgeting software of the Fiscal Analysis Division of the Legislative Counsel Bureau to accommodate the amendatory provisions of this bill.

Statutes affected:
As Introduced: 353.211, 353.230
Reprint 1: 353.211, 353.230
As Enrolled: 353.211, 353.230
BDR: 353.211, 353.230