State Controller moves LUMA costs onto regular budget as work continues; committee approves funding and language

The Joint Finance‑Appropriations Committee on March 12 approved enhancements to the State Controller’s Office that move LUMA (the statewide enterprise financial system) personnel and operating costs from a continuously appropriated account to the controller’s FY 2026 appropriations.

The motion adopted by the committee adds 7 FTE for LUMA personnel costs, operating and computer‑service‑center dedicated funds for LUMA, additional financial specialists to support smaller agencies, and a communications manager for transparency initiatives. The request also adjusts leadership fund allocations to align effort for statewide accounting functions. The committee recorded a majority vote in favor and issued a due‑pass recommendation (combined committee totals recorded as 15 ayes, 3 nays, 2 absent/excused).

State Controller office staff and Legislative Services Office analysts clarified that the move does not represent net new spending in the long term; LSO told members the request largely shifts spending from a continuously appropriated account (which expires at the end of the fiscal year) onto the on‑budget appropriation so the ongoing costs of LUMA are visible within the regular budget. Representative Petzke, who moved the language vote later in the item, secured roll‑call approval for attached language that authorizes accounting corrections and the transfer of indirect cost recovery revenues to the general fund at year end.

Ending: Committee members approved the controller’s request to place LUMA costs on the FY 2026 budget and adopted related language about indirect cost transfers and an accounting correction for the Division of Veterans Services; the measures carry a due‑pass recommendation to the next legislative step.