House File 2402 PAG LIN 1 1 HOUSE FILE 2402 1 2 1 3 AN ACT 1 4 RESTRICTING EXECUTIVE BRANCH AUTHORITY TO TRANSFER APPROPRIA- 1 5 TIONS BETWEEN DEPARTMENTS. 1 6 1 7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 1 8 1 9 Section 1. Section 8.39, subsections 2 and 3, Code 2003, 1 10 are amended to read as follows: 1 11 2. a.IfSubject to the restrictions provided in 1 12 paragraphs "b" and "c", if the appropriation of a department, 1 13 institution, or agency is insufficient to properly meet the 1 14 legitimate expenses of the department, institution, or agency, 1 15 the director, with the approval of the governor, may make an 1 16 interdepartmental transfer from any other department, 1 17 institution, or agency of the state having an appropriation in 1 18 excess of its needs, of sufficient funds to meet that 1 19 deficiency. 1 20 b. An interdepartmental transfer to an appropriation which 1 21 is not an entitlement appropriation is not authorized when the 1 22 general assembly is in regular session and, in addition, the 1 23 sum of interdepartmental transfers in a fiscal year to an 1 24 appropriation which is not an entitlement appropriation shall 1 25 not exceed fifty percent of the amount of the appropriation as 1 26 enacted by the general assembly. For the purposes of this 1 27 subsection, an entitlement appropriation is a line item 1 28 appropriation to the state public defender for indigent 1 29 defense or to the department of human services for foster 1 30 care, state supplementary assistance, or medical assistance, 1 31 or for the family investment program. 1 32 c. In addition to the provisions of paragraph "b", the 1 33 total amount of interdepartmental transfers in a fiscal year 1 34 made to an appropriation shall be limited to one million 1 35 dollars, except when one of the following circumstances is 2 1 applicable: 2 2 (1) The transfer or transfers are made during the final 2 3 thirty days of the fiscal year. 2 4 (2) The director requests the legislative council to 2 5 approve a resolution concurring with a proposed transfer. The 2 6 director shall include with the request the information 2 7 required by subsection 3. The resolution must be approved by 2 8 a majority of the membership of the legislative council and 2 9 the transfer shall not be made prior to the date the 2 10 resolution is approved. However, if, within thirty calendar 2 11 days of receiving the request, the legislative council does 2 12 not act to approve or reject a resolution concurring with the 2 13 proposed transfer, the transfer shall be considered to be 2 14 approved. 2 15 3. Prior to any transfer of funds pursuant to subsection 1 2 16 or 2of this sectionor a transfer of an allocation from a 2 17 subunit of a department which statutorily has independent 2 18 budgeting authority, the director shall notify the 2 19 chairpersons of the standing committees onbudget2 20 appropriations of the senate and the house of representatives 2 21 and the chairpersons of subcommittees of such committees of 2 22 the proposed transfer. The notice from the director shall 2 23 include information concerning the amount of the proposed 2 24 transfer, the departments, institutions or agencies affected 2 25 by the proposed transfer, and the reasons for the proposed 2 26 transfer. Chairpersons notified of a transfer pursuant to 2 27 subsection 1 or a transfer of an allocation from a subunit of 2 28 a department that statutorily has independent budgeting 2 29 authority shall be given at least two weeks to review and 2 30 comment on the proposed transfer before the transfer of funds 2 31 is made. 2 32 2 33 2 34 2 35 CHRISTOPHER C. RANTS 3 1 Speaker of the House 3 2 3 3 3 4 3 5 JEFFREY M. LAMBERTI 3 6 President of the Senate 3 7 3 8 I hereby certify that this bill originated in the House and 3 9 is known as House File 2402, Eightieth General Assembly. 3 10 3 11 3 12 3 13 MARGARET THOMSON 3 14 Chief Clerk of the House 3 15 Approved , 2004 3 16 3 17 3 18 3 19 THOMAS J. VILSACK 3 20 Governor