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Committee advances bill to let prior budget continue, authorizes short‑term reallocations

2167190 · January 29, 2025
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Summary

The Senate Ways and Means Committee voted to recommend Senate Bill 14, which would allow the previous fiscal year's appropriations to continue in force until the Legislature enacts a new budget or amends, lapses or eliminates those appropriations.

The Senate Ways and Means Committee voted to recommend Senate Bill 14, which would allow the previous fiscal year's appropriations to continue in force until the Legislature enacts a new budget or amends, lapses or eliminates those appropriations. The committee recorded a motion, a second and a voice vote recommending the bill favorably; the record does not include a roll‑call tally.

What the bill does: as introduced, SB 14 provides a mechanism for continuous state budgeting so that, if a new budget is not enacted, the prior year's appropriations carry forward. The bill authorizes the Secretary of Administration to make temporary reallocations among accounts to cover cash‑flow issues, subject to numeric limits explained in committee discussion: a total temporary reallocation cap of $400,000,000; a limitation that the total amount of temporary allocations from the State General Fund at any one time cannot exceed 9% of the total amount authorized to be expended from the SGF for that fiscal year; and an additional short‑term allowance of up to 3% beyond those limits for a period not to exceed 30 days, as described by committee staff.

Several senators raised concerns about the scope of executive authority and constitutional limits. Senator Petty urged caution, saying the bill appeared to give the Secretary of Administration authority to reduce state matching when federal funds are reduced or terminated, a decision she said traditionally rests with the Legislature. Senator Alley and Senator Holscher asked whether the measure could allow government operations to continue indefinitely without a new enacted budget and whether that arrangement raised constitutional questions.

Committee staff clarified several points. David, a committee staff member, confirmed the bill as introduced does not specify an end date; the prior year’s budget would carry forward until the Legislature acts. He also summarized the bill’s temporary reallocation mechanics, including the $400 million total for temporary reallocations and the 9% cap on SGF temporary allocations and the additional 3% up to 30 days.

On process and intent, Senator Peck said he supported the bill, explaining, "I personally think that Senate Bill 14 is something that the legislature should have passed many years ago because of the fact that it makes certain that when we have issues come forward, if there should be quote an impasse ... at least our entities, our agencies, and those who receive the state funding would continue to receive them." Other senators expressed reservations about delegation of appropriation authority and about checks on the Secretary of Administration.

Formal action: a senator moved that the committee pass SB 14 and recommend it favorably; the motion was seconded and the committee gave voice approval. The transcript records one individual voice saying "No," but no roll‑call or numbered tally was recorded on the transcript excerpt. The chair closed the meeting after the action.

Ending: With the committee’s favorable recommendation, SB 14 moves forward in the legislative process; questions raised during the hearing about separation of powers, duration of the carry‑forward authority, and the limits on reallocations are likely to be part of debate in subsequent committee reports or floor consideration.