HOUSE BILL No. 6078

 

April 27, 2010, Introduced by Reps. Spade, LeBlanc, Polidori, Gonzales, Moss, DeShazor, Slavens, Walsh, Agema, Booher, Bledsoe, Geiss, Green, Ball, Durhal, Mayes, Hildenbrand and Roy Schmidt and referred to the Committee on Judiciary.

 

     A bill to amend 1984 PA 431, entitled

 

"The management and budget act,"

 

by amending section 371 (MCL 18.1371), as amended by 2007 PA 2.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 371. (1) An employee of a state agency shall not make or

 

authorize an expenditure or incur an obligation that results in the

 

agency exceeding the gross appropriation level of an appropriation

 

line item made to that agency by the legislature. The chief

 

executive officer and the chief financial officer of a state agency

 

are responsible for any action taken by a state agency that results

 

in exceeding an appropriation. The chief executive officer of a

 

state agency shall report a violation of this subsection

 


immediately to the director and the chairpersons of the senate and

 

house appropriations committees, together with a statement of any

 

action taken to remedy the occurrence.

 

     (2) Within 15 days after a bill appropriating an amount is

 

enacted into law, the amount appropriated shall be divided into

 

allotments by department and by state agency based on periodic

 

requirements to represent a spending plan. The state budget

 

director shall review the allotments. Not later than June 1 of each

 

year, the director shall submit to the chairpersons of the

 

appropriations committees and the fiscal agencies a report that

 

provides estimates as to which departments are spending at a rate

 

that would exceed the level of the appropriation for the fiscal

 

year. This report shall include recommendations as to actions that

 

need to be taken to ensure that actual expenditures do not exceed

 

the appropriation at the close of the fiscal year. When it appears

 

that a spending plan, or sources of financing related to a spending

 

plan, do not provide the level of program service assumed in the

 

appropriation for the fiscal year, the state budget director shall

 

immediately notify the chairpersons and minority chairpersons of

 

the appropriations committees, the chairpersons and minority

 

chairpersons of the appropriate appropriations subcommittees, and

 

the fiscal agencies.

 

     (3) An officer or employee of a state agency who makes or

 

authorizes an expenditure or incurs an obligation knowing that the

 

expenditure or obligation will result in the state agency exceeding

 

the gross appropriation level of an appropriation line item made to

 

the state agency by the legislature is guilty of a misdemeanor

 


punishable by imprisonment for not more than 30 days or a fine of

 

not more than $500.00, or both.