093_SB1759enr SB1759 Enrolled LRB093 10047 JAM 10298 b 1 AN ACT concerning truth in budgeting. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The State Budget Law of the Civil 5 Administrative Code of Illinois is amended by changing 6 Sections 50-5 and 50-10 as follows: 7 (15 ILCS 20/50-5) (was 15 ILCS 20/38) 8 Sec. 50-5. Governor to submit State budget. The Governor 9 shall, as soon as possible and not later than the third 10 Wednesday in February of each year beginning in 1998, submit 11 a State budget, embracing therein the amounts recommended by 12 the Governor to be appropriated to the respective 13 departments, offices, and institutions, and for all other 14 public purposes, the estimated revenues from taxation, the 15 estimated revenues from sources other than taxation, and an 16 estimate of the amount required to be raised by taxation. 17 The amounts recommended by the Governor for appropriation to 18 the respective departments, offices and institutions shall be 19 formulated according to the various functions and activities 20 for which the respective department, office or institution of 21 the State government (including the elective officers in the 22 executive department and including the University of Illinois 23 and the judicial department) is responsible. The amounts 24 relating to particular functions and activities shall be 25 further formulated in accordance with the object 26 classification specified in Section 13 of the State Finance 27 Act. 28 The Governor shall not propose expenditures and the 29 General Assembly shall not enact appropriations that exceed 30 the resources estimated to be available, as provided in this 31 Section. SB1759 Enrolled -2- LRB093 10047 JAM 10298 b 1 For the purposes of Article VIII, Section 2 of the 1970 2 Illinois Constitution, the State budget for and 3 appropriations from the following funds shall be prepared on 4 the basis of revenue and expenditure measurement concepts 5 that are in concert with generally accepted accounting 6 principles for governments: 7 (1) General Revenue Fund. 8 (2) Common School Fund. 9 (3) Educational Assistance Fund. 10 (4) Road Fund. 11 (5) Motor Fuel Tax Fund. 12 (6) Agricultural Premium Fund. 13 These funds shall be known as the "budgeted funds". The 14 revenue estimates used in the State budget for the budgeted 15 funds shall include the estimated beginning fund balance, 16 plus revenues estimated to be received during the budgeted 17 year, plus the estimated receipts due the State as of June 30 18 of the budgeted year that are expected to be collected during 19 the lapse period following the budgeted year, minus the 20 receipts collected during the first 2 months of the budgeted 21 year that became due to the State in the year before the 22 budgeted year. Revenues shall also include estimated federal 23 reimbursements associated with the recognition of Section 25 24 of the State Finance Act liabilities. For any budgeted fund 25 for which current year revenues are anticipated to exceed 26 expenditures, the surplus shall be considered to be a 27 resource available for expenditure in the budgeted fiscal 28 year. 29 Expenditure estimates for the budgeted funds included in 30 the State budget shall include the costs to be incurred by 31 the State for the budgeted year, to be paid in the next 32 fiscal year, excluding costs paid in the budgeted year which 33 were carried over from the prior year, where the payment is 34 authorized by Section 25 of the State Finance Act. For any SB1759 Enrolled -3- LRB093 10047 JAM 10298 b 1 budgeted fund for which expenditures are expected to exceed 2 revenues in the current fiscal year, the deficit shall be 3 considered as a use of funds in the budgeted fiscal year. 4 Revenues and expenditures shall also include transfers 5 between funds that are based on revenues received or costs 6 incurred during the budget year. 7 By March 15 of each year, the Economic and Fiscal 8 Commission shall prepare revenue and fund transfer estimates 9 in accordance with the requirements of this Section and 10 report those estimates to the General Assembly and the 11 Governor. 12 For all funds other than the budgeted funds, the proposed 13 expenditures shall not exceed funds estimated to be available 14 for the fiscal year as shown in the budget. Appropriation 15 for a fiscal year shall not exceed funds estimated by the 16 General Assembly to be available during that year. 17 (Source: P.A. 90-479, eff. 8-17-97; 91-239, eff. 1-1-00.) 18 (15 ILCS 20/50-10) (was 15 ILCS 20/38.1) 19 Sec. 50-10. Budget contents. The budget shall be 20 submitted by the Governor with line item and program data. 21 The budget shall also contain performance data presenting an 22 estimate for the current fiscal year, projections for the 23 budget year, and information for the 3 prior fiscal years 24 comparing department objectives with actual accomplishments, 25 formulated according to the various functions and activities, 26 and, wherever the nature of the work admits, according to the 27 work units, for which the respective departments, offices, 28 and institutions of the State government (including the 29 elective officers in the executive department and including 30 the University of Illinois and the judicial department) are 31 responsible. 32 For the fiscal year beginning July 1, 1992 and for each 33 fiscal year thereafter, the budget shall include the SB1759 Enrolled -4- LRB093 10047 JAM 10298 b 1 performance measures of each department's accountability 2 report. 3 For the fiscal year beginning July 1, 1997 and for each 4 fiscal year thereafter, the budget shall include one or more 5 line items appropriating moneys to the Department of Human 6 Services to fund participation in the Home-Based Support 7 Services Program for Mentally Disabled Adults under the 8 Developmental Disability and Mental Disability Services Act 9 by persons described in Section 2-17 of that Act. 10 For the fiscal year beginning July 1, 2005 and for each 11 fiscal year thereafter, the budget must contain one or more 12 line items appropriating moneys to fund all costs in the 13 budget year estimated for payment of liabilities incurred in 14 a prior fiscal year and authorized to be paid in the budget 15 year under Section 25 of the State Finance Act. 16 The budget shall contain a capital development Section in 17 which the Governor will present (1) information on the 18 capital projects and capital programs for which 19 appropriations are requested, (2) the capital spending plans, 20 which shall document the first and subsequent years cash 21 requirements by fund for the proposed bonded program, and (3) 22 a statement that shall identify by year the principal and 23 interest costs until retirement of the State's general 24 obligation debt. In addition, the principal and interest 25 costs of the budget year program shall be presented 26 separately, to indicate the marginal cost of principal and 27 interest payments necessary to retire the additional bonds 28 needed to finance the budget year's capital program. 29 For the budget year, the current year, and 3 prior fiscal 30 years, the Governor shall also include in the budget 31 estimates of or actual values for the assets and liabilities 32 for General Assembly Retirement System, State Employees' 33 Retirement System of Illinois, State Universities Retirement 34 System, Teachers' Retirement System of the State of Illinois, SB1759 Enrolled -5- LRB093 10047 JAM 10298 b 1 and Judges Retirement System of Illinois. 2 The budget submitted by the Governor shall contain, in 3 addition, in a separate book, a tabulation of all position 4 and employment titles in each such department, office, and 5 institution, the number of each, and the salaries for each, 6 formulated according to divisions, bureaus, sections, 7 offices, departments, boards, and similar subdivisions, which 8 shall correspond as nearly as practicable to the functions 9 and activities for which the department, office, or 10 institution is responsible. 11 Together with the budget, the Governor shall transmit the 12 estimates of receipts and expenditures, as received by the 13 director of the Bureau of the Budget, of the elective 14 officers in the executive and judicial departments and of the 15 University of Illinois. 16 (Source: P.A. 91-239, eff. 1-1-00.) 17 Section 10. The State Finance Act is amended by changing 18 Section 25 as follows: 19 (30 ILCS 105/25) (from Ch. 127, par. 161) 20 Sec. 25. Fiscal year limitations. 21 (a) All appropriations shall be available for 22 expenditure for the fiscal year or for a lesser period if the 23 Act making that appropriation so specifies. A deficiency or 24 emergency appropriation shall be available for expenditure 25 only through June 30 of the year when the Act making that 26 appropriation is enacted unless that Act otherwise provides. 27 (b) Outstanding liabilities as of June 30, payable from 28 appropriations which have otherwise expired, may be paid out 29 of the expiring appropriations during the 2-month period 30 ending at the close of business on August 31. Any service 31 involving professional or artistic skills or any personal 32 services by an employee whose compensation is subject to SB1759 Enrolled -6- LRB093 10047 JAM 10298 b 1 income tax withholding must be performed as of June 30 of the 2 fiscal year in order to be considered an "outstanding 3 liability as of June 30" that is thereby eligible for payment 4 out of the expiring appropriation. 5 Notwithstanding the provisions of subsections (b-5) and 6 (c) of this Section, when a State agency receives and 7 approves a request for payment of an outstanding liability 8 prior to June 30 of a fiscal year, the payment must be made 9 from the appropriations for that purpose for the fiscal year 10 in which the State agency received and approved the request 11 for payment. 12 (b-5)However,Payment of tuition reimbursement claims 13 under Section 14-7.03 or 18-3 of the School Code may be made 14 by the State Board of Education from its appropriations for 15 those respective purposes for any fiscal year, even though 16 the claims reimbursed by the payment may be claims 17 attributable to a prior fiscal year, and payments may be made 18 at the direction of the State Superintendent of Education 19 from the fund from which the appropriation is made without 20 regard to any fiscal year limitations. 21 Medical payments may be made by the Department of 22 Veterans' Affairs from its appropriations for those purposes 23 for any fiscal year, without regard to the fact that the 24 medical services being compensated for by such payment may 25 have been rendered in a prior fiscal year. 26 Medical payments may be made by the Department of Public 27 Aid and child care payments may be made by the Department of 28 Human Services (as successor to the Department of Public Aid) 29 from appropriations for those purposes for any fiscal year, 30 without regard to the fact that the medical or child care 31 services being compensated for by such payment may have been 32 rendered in a prior fiscal year; and payments may be made at 33 the direction of the Department of Central Management 34 Services from the Health Insurance Reserve Fund and the Local SB1759 Enrolled -7- LRB093 10047 JAM 10298 b 1 Government Health Insurance Reserve Fund without regard to 2 any fiscal year limitations. 3 Additionally, payments may be made by the Department of 4 Human Services from its appropriations, or any other State 5 agency from its appropriations with the approval of the 6 Department of Human Services, from the Immigration Reform and 7 Control Fund for purposes authorized pursuant to the 8 Immigration Reform and Control Act of 1986, without regard to 9 any fiscal year limitations. 10 Further, with respect to costs incurred in fiscal years 11 2002 and 2003 only, payments may be made by the State 12 Treasurer from its appropriations from the Capital Litigation 13 Trust Fund without regard to any fiscal year limitations. 14 (c) Further, payments may be made by the Department of 15 Public Health and the Department of Human Services (acting as 16 successor to the Department of Public Health under the 17 Department of Human Services Act) from their respective 18 appropriations for grants for medical care to or on behalf of 19 persons suffering from chronic renal disease, persons 20 suffering from hemophilia, rape victims, and premature and 21 high-mortality risk infants and their mothers and for grants 22 for supplemental food supplies provided under the United 23 States Department of Agriculture Women, Infants and Children 24 Nutrition Program, for any fiscal year without regard to the 25 fact that the services being compensated for by such payment 26 may have been rendered in a prior fiscal year. 27 (d) The Department of Public Health and the Department 28 of Human Services (acting as successor to the Department of 29 Public Health under the Department of Human Services Act) 30 shall each annually submit to the State Comptroller, Senate 31 President, Senate Minority Leader, Speaker of the House, 32 House Minority Leader, and the respective Chairmen and 33 Minority Spokesmen of the Appropriations Committees of the 34 Senate and the House, on or before December 31, a report of SB1759 Enrolled -8- LRB093 10047 JAM 10298 b 1 fiscal year funds used to pay for services provided in any 2 prior fiscal year. This report shall document by program or 3 service category those expenditures from the most recently 4 completed fiscal year used to pay for services provided in 5 prior fiscal years. 6 (e) The Department of Public Aid and the Department of 7 Human Services (acting as successor to the Department of 8 Public Aid) shall each annually submit to the State 9 Comptroller, Senate President, Senate Minority Leader, 10 Speaker of the House, House Minority Leader, the respective 11 Chairmen and Minority Spokesmen of the Appropriations 12 Committees of the Senate and the House, on or before November 13 30, a report that shall document by program or service 14 category those expenditures from the most recently completed 15 fiscal year used to pay for (i) services provided in prior 16 fiscal years and (ii) services for which claims were received 17 in prior fiscal years. 18 (f) The Department of Human Services (as successor to 19 the Department of Public Aid) shall annually submit to the 20 State Comptroller, Senate President, Senate Minority Leader, 21 Speaker of the House, House Minority Leader, and the 22 respective Chairmen and Minority Spokesmen of the 23 Appropriations Committees of the Senate and the House, on or 24 before December 31, a report of fiscal year funds used to pay 25 for services (other than medical care) provided in any prior 26 fiscal year. This report shall document by program or 27 service category those expenditures from the most recently 28 completed fiscal year used to pay for services provided in 29 prior fiscal years. 30 (g) In addition, each annual report required to be 31 submitted by the Department of Public Aid under subsection 32 (e) shall include the following information with respect to 33 the State's Medicaid program: 34 (1) Explanations of the exact causes of the SB1759 Enrolled -9- LRB093 10047 JAM 10298 b 1 variance between the previous year's estimated and actual 2 liabilities. 3 (2) Factors affecting the Department of Public 4 Aid's liabilities, including but not limited to numbers 5 of aid recipients, levels of medical service utilization 6 by aid recipients, and inflation in the cost of medical 7 services. 8 (3) The results of the Department's efforts to 9 combat fraud and abuse. 10 (h) As provided in Section 4 of the General Assembly 11 Compensation Act, any utility bill for service provided to a 12 General Assembly member's district office for a period 13 including portions of 2 consecutive fiscal years may be paid 14 from funds appropriated for such expenditure in either fiscal 15 year. 16 (i) An agency which administers a fund classified by the 17 Comptroller as an internal service fund may issue rules for: 18 (1) billing user agencies in advance based on 19 estimated charges for goods or services; 20 (2) issuing credits during the subsequent fiscal 21 year for all user agency payments received during the 22 prior fiscal year which were in excess of the final 23 amounts owed by the user agency for that period; and 24 (3) issuing catch-up billings to user agencies 25 during the subsequent fiscal year for amounts remaining 26 due when payments received from the user agency during 27 the prior fiscal year were less than the total amount 28 owed for that period. 29 User agencies are authorized to reimburse internal service 30 funds for catch-up billings by vouchers drawn against their 31 respective appropriations for the fiscal year in which the 32 catch-up billing was issued. 33 (Source: P.A. 92-885, eff. 1-13-03.) SB1759 Enrolled -10- LRB093 10047 JAM 10298 b 1 Section 99. Effective date. This Act takes effect upon 2 becoming law.