State Budget Agency Functions

Alabama statute requires Alabama’s Legislative Fiscal Office to prepare official fiscal notes on legislation but the Executive Budget Office also prepares them independently.

Normally review state agencies’ legislative proposals, but not currently.

Accounting functions includes maintenance of accounting and reporting systems, and establishing accounting policies for the state. The State Controller’s Office performs the day to day accounting functions.

Note that with respect to Finance, OSPB does review grants based on a set of criteria but we do not manage the total grant. On personnel and hiring controls, OSPB does not maintain specific agency controls but does review agency FTE levels and depending on the direction of the governor and at times has implemented hiring controls.

OMB oversees compliance with requirements mandated by the Cash Management Improvement Act of 1991. OMB also is responsible for promulgating accounting policy through the Statewide Budget and Accounting Manual. Grants management is accomplished at the agency level, however OMB manages the federal funds clearinghouse providing for a statewide review of all federal funds coming into Delaware. Question 2.1, OMB prepares analyses of legislation including fiscal projections, however the official fiscal impacts of pending legislation are developed by the Legislature’s Office of the Controller General.

We have a centralized grant request system through which we provide approval to all state agencies prior to their application of all grants. Each agency manages their own grant awards system.

The Grant Accountability and Transparency Act went into effect on July 3, 2014. A Grant Accountability and Transparency Unit was created within the Governor’s Office of Management and Budget to assist agencies in standardizing the grant application, processing and monitoring processes as well as help agencies and providers comply with the new federal regulations – the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (2 CFR 200). The Budgeting for Results Unit within the Governor’s Office of Management and Budget does demographic analysis.

The State Budget Officer is a member of the Revenue Forecasting Committee and the Contract Review Committee.

Contract Approval – Budget analysts certify funding availability; Analysts are not responsible for outright approval. Debt Management – This is primarily the responsibility of the State Treasurer, but the Budget Office works closely with the Treasurer’s Office on all debt matters and assists in the preparation of materials for bond sales. Personnel/hiring controls – The Budget Office must approve hiring freeze exceptions for positions subject to the Statewide hiring freeze.

Responsibilities for management analysis, statewide performance measures, program evaluation, and strategic planning are shared with the Governor’s Office. Responsibilities for debt and cash management are shared with the Office of the Treasurer and Receiver General. Responsibilities for end-of-year reconciliation are shared with Office of the Comptroller.

1) The State Budget Office estimates non-tax revenue and the State Treasurer estimates tax revenue. 2) The State Budget Office reviews all intergovernmental mandates and prepares fiscal notes as part of the Executive Budget process. Legislative fiscal agencies prepare fiscal notes as bills progress through the legislative process. 3) Debt management and cash management are primarily duties of the State Treasurer. 4) State accounting and state internal audit functions are centralized in the State Budget Office.

There is a consensus revenue estimating process that includes members from the House and Senate budget offices and others, as invited. The budget office is not responsible for all fiscal notes, just those related to the budget. The Budget office does review all fiscal notes of bills passed by the legislature before the bills are signed by the Governor. The budget office’s role in debt/cash management is advisory and to provide assistance as needed.

Budget Office is partially responsible for debt and cash management.

The budget agency provides coordination and guidance as it works with state agencies in the development of agency level performance measures.

Budget analyzes agency caseload projections. Agencies that are affected by proposed legislation are asked by legislative fiscal staff to prepare fiscal notes. Budget reviews agency fiscal notes before they are forwarded to legislative staff. Budget analysts review contracts before forwarding them to the Board of Examiners (Governor, Attorney General and Secretary of State) for approval; smaller contracts may be approved by the budget director acting as clerk to the board. Parts of the Department of Administration include a centralized grants office, an audit division, assist Taxation with the tax expenditure report, train agencies on strategic planning, and do capital planning.

Tax expenditure reports are prepared by the Dept. Of Revenue. The Budget Office is a component unit of the Department of Administrative Services (DAS) which performs the central payroll, accounting, reporting, and personnel support functions for the State. The DAS Division of Accounting Services reports monthly revenue collections against prior year same period, and year to date, as well against budget plan, for the State fiscal year.

The Office of Management and Budget frequently reviews proposed legislation and regulations. However, it does not have a formal or statutory role in approving those proposals prior to release.

We review proposed regulations only to the extent there is a fiscal impact and our analysis is limited to the fiscal impacts, not the merits of the regulation.

The Budget Office is responsible for only those fiscal notes related to the budget recommendations or OMB functions.

A tax expenditure report is prepared by the Department of Taxation every two years and is published with the Governor’s Executive Budget.

The data reported here includes all functions of the Chief Financial Office, which is located within the Department of Administrative Services. Other functions within the Department of Administrative Services, but not in the Chief Financial Office, include Revenue Estimating, Accounting, Contract Approval, Economic Analysis, and Demographic Analysis. The Department of Revenue prepares the tax expenditure report with the assistance of the Budget and Management Section. The report is published with the Governor’s biennial recommended budget. For debt management, the State Treasurer sets overall policy, while the Chief Financial Office coordinates execution of transactions for debt issuance and debt service for most state agencies. While the Budget and Management has some responsibilities related to Cash Management, that is primarily a function of the Treasurer.

The tax expenditure report is prepared by the Department of Revenue and included in the Governor’s annual recommended budget which is published by the Office of the Budget. The Budget Office also prepares cash flow estimates for the state treasurer and schedules major payments, and conducts sales tax anticipation notes, bond, and other forms of short-term debt.

Budget Office does approve purchase requisitions for funding, but not actual contracts.

Office of Revenue & Fiscal Affairs responsibly for appropriation impact statements; the Board of Economic Advisors are responsible for revenue providing revenue estimates and impacts.

South Dakota works with South Dakota Building Authority to issue bonds.

Legislative Budget Board (the legislative’s budget agency) is responsible for fiscal notes, not the Executive Budget Office. LBB coordinates statewide performance measure and compiles reports.

Debt management and cash management are primarily duties of the State Treasurer, to which the budget agency contributes.

Economy: Responsible for the coordination of the non-general fund revenue estimates completed by the agencies. Management: Management analysis is done on an ‘as requested ‘ basis. Program evaluation is on an ‘as requested’ basis. Budget agency coordinates the strategic planning process. Capital planning, the agency is responsible for coordinating the 6-year capital outlay plan. Finance: Cooperates with the accounting agency on year-end reconciliation.

Budget Office functions also include position control on the number and type of full-time equivalent positions.

Budget Office functions also include position control on the number and type of full-time equivalent positions.