H 4357 General Bill, By C.V. Marchbanks, Allison, Bailey, J. Brown, T. Brown, 
A.W. Byrd, B.D. Cain, Carnell, Easterday, R.C. Fulmer, Gamble, H.M. Hallman, 
P.B. Harris, Harvin, Haskins, R.J. Herdklotz, H.G. Hutson, Inabinett, 
W.D. Keyserling, M.H. Kinon, Kirsh, Klauber, Lanford, Law, Meacham, Richardson, 
Robinson, T.F. Rogers, Sandifer, Seithel, Simrill, Stuart, Vaughn, Walker, 
C.C. Wells, Wilkins, Witherspoon, S.S. Wofford and Young-Brickell

Similar(H 3147)
 A Bill to amend the Code of Laws of South Carolina, 1976, by adding Section
 11-9-25 so as to prohibit a state agency from expending general fund revenues
 in excess of the amount appropriated in the annual General Appropriations Act
 or Supplemental Appropriations Act during a fiscal year, to prohibit the
 Budget and Control Board or any other officer from transferring funds which
 violate the provisions of this Section or transferring funds which violate the
 provisions of this Section or authorize the expenditures of funds in excess of
 the appropriated or authorized amounts, make the agency head responsible for
 compliance with this Section, to make it unlawful knowingly to allow excess
 spending and provide a penalty, to make a conviction of malfeasance in office
 in connection with collecting under any surety bond, to require notice to the
 State Budget and Control Board of potential agency deficits and authorize the
 Board to notify the General Assembly of its finding that an agency deficit is
 unavoidable, to prohibit the recognition of agency deficits by the Board, and
 to provide that this Section may not be amended or repealed except in separate
 legislation enacted by a two-thirds vote of the total membership of each house
 of the General Assembly.

   12/13/95  House  Prefiled
   12/13/95  House  Referred to Committee on Ways and Means
   01/09/96  House  Introduced and read first time HJ-65
   01/09/96  House  Referred to Committee on Ways and Means HJ-66

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 11-9-25 SO AS TO PROHIBIT A STATE AGENCY FROM EXPENDING GENERAL FUND REVENUES IN EXCESS OF THE AMOUNT APPROPRIATED IN THE ANNUAL GENERAL APPROPRIATIONS ACT OR SUPPLEMENTAL APPROPRIATIONS ACT DURING A FISCAL YEAR, TO PROHIBIT THE BUDGET AND CONTROL BOARD OR ANY OTHER OFFICER FROM TRANSFERRING FUNDS WHICH VIOLATE THE PROVISIONS OF THIS SECTION OR AUTHORIZE THE EXPENDITURES OF FUNDS IN EXCESS OF THE APPROPRIATED OR AUTHORIZED AMOUNTS, MAKE THE AGENCY HEAD RESPONSIBLE FOR COMPLIANCE WITH THIS SECTION, TO MAKE IT UNLAWFUL KNOWINGLY TO ALLOW EXCESS SPENDING AND PROVIDE A PENALTY, TO MAKE A CONVICTION OF MALFEASANCE IN OFFICE IN CONNECTION WITH COLLECTING UNDER ANY SURETY BOND, TO REQUIRE NOTICE TO THE STATE BUDGET AND CONTROL BOARD OF POTENTIAL AGENCY DEFICITS AND AUTHORIZE THE BOARD TO NOTIFY THE GENERAL ASSEMBLY OF ITS FINDING THAT AN AGENCY DEFICIT IS UNAVOIDABLE, TO PROHIBIT THE RECOGNITION OF AGENCY DEFICITS BY THE BOARD, AND TO PROVIDE THAT THIS SECTION MAY NOT BE AMENDED OR REPEALED EXCEPT IN SEPARATE LEGISLATION ENACTED BY A TWO-THIRDS VOTE OF THE TOTAL MEMBERSHIP OF EACH HOUSE OF THE GENERAL ASSEMBLY.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. The 1976 Code is amended by adding:

"Section 11-9-25. (A) (1) A state agency may not expend in a fiscal year funds in excess of the amount of general fund revenues appropriated for that agency in the annual general appropriations act or in a supplemental appropriations act.

(2) The State Budget and Control Board or any other state agency or officer may not transfer funds which violate the provisions of this section, or authorize the expenditure of funds in excess of the general fund revenues appropriated.

(3) The agency head is responsible for complying with the provisions of this section.

(4) An agency head who knowingly allows a violation of subsection (A) of this section is guilty of a misdemeanor and, upon conviction, must be punished as provided in Section 11-9-20(C). A conviction under this section constitutes malfeasance in office for purposes of collection on any surety bond required by law guaranteeing the proper performance of official duties.

(B) The Comptroller General or the Office of State Budget shall report to the State Budget and Control Board on any agency which is expending authorized appropriations at a rate which predicts or projects a general fund deficit for the agency.

If the State Budget and Control Board finds that the cause of and likelihood of a deficit is unavoidable due to factors which are wholly outside of an agency's control, then the board shall notify the General Assembly of this finding or shall notify the presiding officer of the House of Representatives and the Senate if the General Assembly is not in session. Upon receipt of the notice, the General Assembly may authorize supplemental appropriations from any surplus revenues which existed at the close of the previous fiscal year. The Board is not authorized to recognize any agency deficits.

(C) This section may not be amended or repealed except in separate legislation enacted specifically for that purpose passed by an affirmative vote of two-thirds of the total membership of each house of the General Assembly."

SECTION 2. This act takes effect upon approval by the Governor.