Senate Bill No. 460-Committee on Finance

(On Behalf of the Budget Division of the
Department of Administration)

June 11, 1997
____________

Referred to Committee on Finance

SUMMARY--Revises provisions governing procedure for revision of work programs and allotments and acceptance of gifts and grants by state agencies. (BDR 31-1735)

FISCAL NOTE: Effect on Local Government: No.
Effect on the State or on Industrial Insurance: No.

EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.

AN ACT relating to state financial administration; revising the provisions governing the procedure for the revision of work programs and allotments and acceptance of gifts and grants by state agencies; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1 NRS 353.220 is hereby amended to read as follows:
353.2201. The head of any department, institution or agency of the executive department of the state government, whenever he deems it necessary [by reason] because of changed conditions, may request the revision of the work program of his department, institution or agency at any time during the fiscal year, and submit the revised program to the governor through the chief with a request for revision of the allotments for the remainder of that fiscal year.
2. Every request for revision must be submitted to the chief on the form and with supporting information as the chief prescribes.
3. Before encumbering any appropriated or authorized money, every request for revision must be approved or disapproved in writing by the governor or the chief, if the governor has by written instrument delegated this authority to the chief.
4. Whenever a request for the revision of a work program of a department, institution or agency in an amount more than [$2,000] $20,000 would, when considered with all other changes in allotments for that work program made pursuant to NRS 353.215 and subsections 1, 2 and 3 of this section, increase or decrease by 10 percent or [$25,000,] $50,000, whichever is less, the expenditure level approved by the legislature for any of the allotments within the work program, the request must be approved as provided in subsection 5 before any appropriated or authorized money may be encumbered for the revision.
5. If a request for the revision of a work program requires additional approval as provided in subsection 4 and:
(a) Is necessary because of an emergency as defined in NRS 353.263 or for the protection of life or property, the governor shall take reasonable and proper action to approve it and shall report the action, and his reasons for determining that immediate action was necessary, to the interim finance committee at its first meeting after the action is taken. Action by the governor pursuant to this paragraph constitutes approval of the revision, and other provisions of this chapter requiring approval before encumbering money for the revision do not apply.
(b) The governor determines that the revision is necessary and requires expeditious action, he may certify that the request requires expeditious action by the interim finance committee. Whenever the governor so certifies, the interim finance committee has 15 days after the request is submitted to its secretary within which to consider the revision. Any request for revision which is not considered within the 15-day period shall be deemed approved.
(c) Does not qualify pursuant to paragraph (a) or (b), it must be submitted to the interim finance committee. The interim finance committee has 45 days after the request is submitted to its secretary within which to consider the revision. Any request which is not considered within the 45-day period shall be deemed approved.
6. The secretary shall place each request submitted to him pursuant to paragraph (b) or (c) of subsection 5 on the agenda of the next meeting of the interim finance committee.
7. In acting upon a proposed revision of a work program, the interim finance committee shall consider, among other things:
(a) The need for the proposed revision; and
(b) The intent of the legislature in approving the budget for the present biennium and originally enacting the statutes which the work program is designed to effectuate.
Sec. 2 NRS 353.335 is hereby amended to read as follows:
353.3351. Except as otherwise provided in subsections 5 and 6, a state agency may accept any gift or grant of property or services from any source only if it is included in an act of the legislature authorizing expenditures of nonappropriated money or, when it is not so included, if it is approved as provided in subsection 2.
2. If:
(a) Any proposed gift or grant is necessary because of an emergency as defined in NRS 353.263 or for the protection or preservation of life or property, the governor shall take reasonable and proper action to accept it and shall report the action and his reasons for determining that immediate action was necessary to the interim finance committee at its first meeting after the action is taken. Action by the governor pursuant to this paragraph constitutes acceptance of the gift or grant, and other provisions of this chapter requiring approval before acceptance do not apply.
(b) The governor determines that any proposed gift or grant would be forfeited if the state failed to accept it before the expiration of the period prescribed in paragraph (c), he may declare that the proposed acceptance requires expeditious action by the interim finance committee. Whenever the governor so declares, the interim finance committee has 15 days after the proposal is submitted to its secretary within which to approve or deny the acceptance. Any proposed acceptance which is not considered within the 15-day period shall be deemed approved.
(c) The proposed acceptance of any gift or grant does not qualify pursuant to paragraph (a) or (b), it must be submitted to the interim finance committee. The interim finance committee has 45 days after the proposal is submitted to its secretary within which to consider acceptance. Any proposed acceptance which is not considered within the 45-day period shall be deemed approved.
3. The secretary shall place each request submitted to him pursuant to paragraph (b) or (c) of subsection 2 on the agenda of the next meeting of the interim finance committee.
4. In acting upon a proposed gift or grant, the interim finance committee shall consider, among other things:
(a) The need for the facility or service to be provided or improved;
(b) Any present or future commitment required of the state;
(c) The extent of the program proposed; and
(d) The condition of the national economy, and any related fiscal or monetary policies.
5. A state agency may accept:
(a) Gifts, including grants from nongovernmental sources, not exceeding $10,000 each in value; and
(b) Governmental grants not exceeding [$50,000] $100,000 each in
value,
if the gifts or grants are used for purposes which do not involve the hiring of new employees and if the agency has the specific approval of the governor or, if the governor delegates this power of approval to the chief of the budget division of the department of administration, the specific approval of the chief.
6. This section does not apply to:
(a) The state industrial insurance system;
(b) The University and Community College System of Nevada; or
(c) The department of human resources while acting as the state health planning and development agency pursuant to paragraph (d) of subsection 2 of NRS 439A.081.
Sec. 3 This act becomes effective on July 1, 1997.

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