HBA-NLM C.S.S.B. 176 76(R)BILL ANALYSIS Office of House Bill AnalysisC.S.S.B. 176 By: Ratliff Appropriations 4/28/1999 Committee Report (Substituted) BACKGROUND AND PURPOSE Currently, the Texas Constitution requires that each bill contain only one subject. An exception to the one-subject rule is allowed for the General Appropriations Act because it aggregates all the subjects on which Texas spends money. However, the Act must be strictly limited to the subjects and accounts of money. C.S.S.B. 176 clarifies and specifies reporting and accounting requirements in the General Appropriations Act that are applicable to state agencies. This bill also clarifies and specifies account reporting procedures applicable to state agencies. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 324.008, Government Code, by adding Subsection (d), to require the governing body of a state agency to deliver a certified copy of minutes of any meeting, including changes or corrections, to the Legislative Reference Library (library). SECTION 2. Amends Subchapter B, Chapter 403, Government Code, by adding Section 403.0131, as follows: Sec. 403.0131. APPROPRIATION CERTIFICATION SUMMARY. Requires the comptroller of public accounts, as soon as practical after the comptroller certifies the appropriations made by the legislature in a regular or special session, to prepare a summary table that details the basis for the certification of all major funds. Provides that the table must be similar in format and detail to the summary tables of the major fund estimates published in the comptroller's biennial revenue estimate and must include the biennial appropriations from all major funds. Requires the comptroller to deliver a copy of each table prepared under this section to specified state officials and the Legislative Budget Board (LBB). SECTION 3. Amends Section 403.021, Government Code, to define "state agency." Requires a state agency to report all payables and binding encumbrances, rather than estimated encumbrances, by appropriation account for all appropriation years annually. Requires a state agency to report payables and binding encumbrances to LBB, rather than to the Legislative Budget Office. Requires the comptroller to lapse certain balances by November 1, rather than October 1, of each fiscal year. Requires each state agency to reconcile all expenditures as reported in the uniform statewide accounting system, with the state agency's own strategic planning and budget structure. Requires each state agency to report a method of financing in the automated budget and evaluation system. Authorizes LBB to determine a schedule for the each state agency's reconciliation. Makes conforming and nonsubstantive changes. SECTION 4. Amends Section 751.024, Government Code, as follows: Sec. 751.024. New title: REPORTS CONCERNING GRANT FUNDS. (a) Requires each agency and each institution of higher education to report to the Office of State-Federal Relations (office), LBB, and the budget division of the governor's office specified information. (b) Authorizes LBB to prescribe, rather than develop, reporting procedures and time schedules necessary to implement Subsection (a). Deletes existing Subsection (c) relating to LBB consultation with the director in prescribing a report form under Subsection (b). SECTION 5. Amends Section 2101.011, Government Code, to define "appropriated money" and "appropriation item." Requires the executive head of each state agency to submit a financial report of the agency's use of appropriated money during the preceding fiscal year, not later than November 20 of each year, to certain persons and entities. Sets forth required information to be included in the annual report. Deletes text requiring the submission of financial information by a state agency. Makes nonsubstantive changes. SECTION 6. Amends Chapter 2102, Government Code, by adding Section 2102.0091, as follows: Sec. 2102.0091. REPORTS OF PERIODIC AUDITS. Requires a state agency to file with certain authorities, a copy of each report submitted by its internal auditor. Sets forth filing deadlines. Requires a state agency to file with the governor's office budget division any response made by its governing body to the report of the internal auditor. SECTION 7. Amends Section 2152.064, Government Code, to require a state agency to file a certain report with LBB, rather than the presiding officer of each house of the legislature and legislative leaders. Requires the agency to include an explanation for the need to use a nonresident bidder, for contract with a value of $250,000 or more. Requires a state agency to report a listing of the total value of all purchases from nonresident bidders during the six months before the report is filed. Requires the state agency to explain the need to use nonresident bidders if the amount reported exceeds $1 million or 25 percent of the total value of all purchases. Requires LBB to prepare a summary report of the information received under this section for each reporting period, and requires each summary report to be filed with certain state officials. SECTION 8. Amends Section 2166.152, Government Code, by adding Subsection (e), to prohibit money appropriated by the legislature from being used for a capital construction project until the required analysis is filed with certain budget authorities. SECTION 9. Amends Section 2205.039, Government Code, by amending Subsection (b), and adding Subsection (c), as follows: (b) Includes the destination of each person who is a passenger or crew member of the aircraft, the date of each flight, and a detailed and specific description of the official business purpose of each flight, among the information required to be included in a travel log form. Makes nonsubstantive changes. (c) Requires a state agency other than the State Aircraft Pooling Board (board) to send travel logs to the board for each month the agency operates an aircraft. SECTION 10. Amends Section 2205.041, Government Code, to set forth required information to be requested by the aircraft use form. SECTION 11. Amends Chapter 109, Civil Practice and Remedies Code, by adding Section 109.0015, as follows: Sec. 109.0015. NOTICE OF CERTAIN LAWSUITS. Defines "state agency." Requires a state agency to notify certain authorities in regard to the filing of lawsuits for which the state may be liable for payment of a judgment. Provides that the notification must be made in the manner provided. SECTION 12. Provides a derivation table for information purposes only for provisions of the General Appropriations Act. SECTION 13. Effective date: September 1, 1999. SECTION 14. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.S.B. 176 modifies the original in SECTION 5 (proposed Section 2101.011(b), Government Code), to require the executive head of each state agency to submit a financial report of the agency's use of appropriated money during the preceding fiscal year, not later than November 20 of each year, rather than the 90th day of each fiscal year, to certain persons and entities. C.S.S.B. 176 modifies the original in SECTION 11 (proposed Section 109.0015(a), Government Code) to remove the language specifically providing that the term "state agency" also includes a public junior college in this section.