Chief Sponsor: Norman K. Thurston

Senate Sponsor: Daniel W. Thatcher


9     Committee Note:
10          The Government Operations Interim Committee recommended this bill.
11               Legislative Vote:     12 voting for     0 voting against     4 absent
12     General Description:
13          This bill modifies provisions relating to the funding of Department of Human Services
14     programs.
15     Highlighted Provisions:
16          This bill:
17          ▸     allows the executive director of the Department of Human Services to:
18               •     designate up to three priority programs within the department to receive funds
19     from other department programs that the department determines have
20     unexpended funds from the fiscal year in which the funds were appropriated;
21     and
22               •     reallocate those unexpended funds to one or more of the designated priority
23     programs;
24          ▸     prohibits the department from allocating unexpended funds for personnel costs,
25     with an exception; and
26          ▸     requires the department to provide an annual report on the department's designation
27     of priority programs to receive unexpended funds and on the department's use of

28     reallocated unexpended funds.
29     Money Appropriated in this Bill:
30          None
31     Other Special Clauses:
32          None
33     Utah Code Sections Affected:
34     AMENDS:
35          62A-1-111, as last amended by Laws of Utah 2020, Chapter 303
36          63J-1-206, as last amended by Laws of Utah 2020, Chapters 152, 231, 402 and last
37     amended by Coordination Clause, Laws of Utah 2020, Chapter 231
38     ENACTS:
39          62A-1-111.6, Utah Code Annotated 1953

41     Be it enacted by the Legislature of the state of Utah:
42          Section 1. Section 62A-1-111 is amended to read:
43          62A-1-111. Department authority.
44          The department may, in addition to all other authority and responsibility granted to the
45     department by law:
46          (1) adopt rules, not inconsistent with law, as the department may consider necessary or
47     desirable for providing social services to the people of this state;
48          (2) establish and manage client trust accounts in the department's institutions and
49     community programs, at the request of the client or the client's legal guardian or representative,
50     or in accordance with federal law;
51          (3) purchase, as authorized or required by law, services that the department is
52     responsible to provide for legally eligible persons;
53          (4) conduct adjudicative proceedings for clients and providers in accordance with the
54     procedures of Title 63G, Chapter 4, Administrative Procedures Act;
55          (5) establish eligibility standards for its programs, not inconsistent with state or federal
56     law or regulations;
57          (6) take necessary steps, including legal action, to recover money or the monetary value
58     of services provided to a recipient who was not eligible;

59          (7) set and collect fees for the department's services;
60          (8) license agencies, facilities, and programs, except as otherwise allowed, prohibited,
61     or limited by law;
62          (9) acquire, manage, and dispose of any real or personal property needed or owned by
63     the department, not inconsistent with state law;
64          (10) receive gifts, grants, devises, and donations; gifts, grants, devises, donations, or
65     the proceeds thereof, may be credited to the program designated by the donor, and may be used
66     for the purposes requested by the donor, as long as the request conforms to state and federal
67     policy; all donated funds shall be considered private, nonlapsing funds and may be invested
68     under guidelines established by the state treasurer;
69          (11) accept and employ volunteer labor or services; the department is authorized to
70     reimburse volunteers for necessary expenses, when the department considers that
71     reimbursement to be appropriate;
72          (12) carry out the responsibility assigned in the workforce services plan by the State
73     Workforce Development Board;
74          (13) carry out the responsibility assigned by Section 35A-8-602 with respect to
75     coordination of services for the homeless;
76          (14) carry out the responsibility assigned by Section 62A-5a-105 with respect to
77     coordination of services for students with a disability;
78          (15) provide training and educational opportunities for the department's staff;
79          (16) collect child support payments and any other money due to the department;
80          (17) apply the provisions of Title 78B, Chapter 12, Utah Child Support Act, to parents
81     whose child lives out of the home in a department licensed or certified setting;
82          (18) establish policy and procedures, within appropriations authorized by the
83     Legislature, in cases where the department is given custody of a minor by the juvenile court
84     under Section 78A-6-117 or ordered to prepare an attainment plan for a minor found not
85     competent to proceed under Section 78A-6-1301; any policy and procedures shall include:
86          (a) designation of interagency teams for each juvenile court district in the state;
87          (b) delineation of assessment criteria and procedures;
88          (c) minimum requirements, and timeframes, for the development and implementation
89     of a collaborative service plan for each minor placed in department custody; and

90          (d) provisions for submittal of the plan and periodic progress reports to the court;
91          (19) carry out the responsibilities assigned to the department by statute;
92          (20) examine and audit the expenditures of any public funds provided to local
93     substance abuse authorities, local mental health authorities, local area agencies on aging, and
94     any person, agency, or organization that contracts with or receives funds from those authorities
95     or agencies. Those local authorities, area agencies, and any person or entity that contracts with
96     or receives funds from those authorities or area agencies, shall provide the department with any
97     information the department considers necessary. The department is further authorized to issue
98     directives resulting from any examination or audit to local authorities, area agencies, and
99     persons or entities that contract with or receive funds from those authorities with regard to any
100     public funds. If the department determines that it is necessary to withhold funds from a local
101     mental health authority or local substance abuse authority based on failure to comply with state
102     or federal law, policy, or contract provisions, it may take steps necessary to ensure continuity of
103     services. For purposes of this Subsection (20) "public funds" means the same as that term is
104     defined in Section 62A-15-102;
105          (21) pursuant to Subsection 62A-2-106(1)(d), accredit one or more agencies and
106     persons to provide intercountry adoption services;
107          (22) within appropriations authorized by the Legislature, promote and develop a
108     system of care and stabilization services:
109          (a) in compliance with Title 63G, Chapter 6a, Utah Procurement Code; and
110          (b) that encompasses the department, department contractors, and the divisions,
111     offices, or institutions within the department, to:
112          (i) navigate services, funding resources, and relationships to the benefit of the children
113     and families whom the department serves;
114          (ii) centralize department operations, including procurement and contracting;
115          (iii) develop policies that govern business operations and that facilitate a system of care
116     approach to service delivery;
117          (iv) allocate resources that may be used for the children and families served by the
118     department or the divisions, offices, or institutions within the department, subject to the
119     restrictions in Section 63J-1-206;
120          (v) create performance-based measures for the provision of services; and

121          (vi) centralize other business operations, including data matching and sharing among
122     the department's divisions, offices, and institutions; [and]
123          (23) ensure that any training or certification required of a public official or public
124     employee, as those terms are defined in Section 63G-22-102, complies with Title 63G, Chapter
125     22, State Training and Certification Requirements, if the training or certification is required:
126          (a) under this title;
127          (b) by the department; or
128          (c) by an agency or division within the department[.]; and
129          (24) reallocate unexpended funds as provided in Section 62A-1-111.6.
130          Section 2. Section 62A-1-111.6 is enacted to read:
131          62A-1-111.6. Powers and duties of the department to adjust program allocations
132     -- Use of remaining funds at the end of a fiscal year -- Reporting.
133          (1) (a) Beginning fiscal year 2022, the department may:
134          (i) designate up to three existing programs, as defined in Section 63J-1-102, within the
135     department as priority programs to receive unrestricted General Fund money that is reallocated
136     under Subsection (1)(a)(ii); and
137          (ii) reallocate unexpended, unrestricted General Fund money from a program in one
138     line item within the department to one or more of the designated priority programs in another
139     line item within the department.
140          (b) The department shall make any reallocation of unexpended money under
141     Subsection (1)(a) before the end of the fiscal year in which the money was appropriated.
142          (c) The department may not make a reallocation under this section if the reallocation:
143          (i) results in the creation of a new program, benefit, or service;
144          (ii) results in a significant expansion of:
145          (A) a program; or
146          (B) the scope or type of benefit or service already provided; or
147          (iii) provides funding for a budget request that the Legislature previously declined.
148          (2) On or before December 1 of each year, the department shall report to the Social
149     Services Appropriations Subcommittee:
150          (a) on the department's designation of priority programs to receive the unexpended
151     money under Subsection (1)(a); and

152          (b) if applicable, on the department's use, during the prior fiscal year, of unexpended
153     money reallocated under Subsection (1).
154          (3) Except in accordance with pay plans developed and adopted as described in
155     Subsection 67-19-12(4)(a), the department may not allocate unexpended money under
156     Subsection (1) for a priority program's personnel costs.
157          Section 3. Section 63J-1-206 is amended to read:
158          63J-1-206. Appropriations governed by chapter -- Restrictions on expenditures --
159     Transfer of funds -- Exclusion.
160          (1) (a) Except as provided in Subsections (1)(b) and (2)(e), or where expressly
161     exempted in the appropriating act:
162          (i) all money appropriated by the Legislature is appropriated upon the terms and
163     conditions set forth in this chapter; and
164          (ii) any department, agency, or institution that accepts money appropriated by the
165     Legislature does so subject to the requirements of this chapter.
166          (b) This section does not apply to:
167          (i) the Legislature and its committees; and
168          (ii) the Investigation Account of the Water Resources Construction Fund, which is
169     governed by Section 73-10-8.
170          (2) (a) Each item of appropriation is to be expended subject to any schedule of
171     programs and any restriction attached to the item of appropriation, as designated by the
172     Legislature.
173          (b) Each schedule of programs or restriction attached to an appropriation item:
174          (i) is a restriction or limitation upon the expenditure of the respective appropriation
175     made;
176          (ii) does not itself appropriate any money; and
177          (iii) is not itself an item of appropriation.
178          (c) (i) An appropriation or any surplus of any appropriation may not be diverted from
179     any department, agency, institution, division, or line item to any other department, agency,
180     institution, division, or line item.
181          (ii) If the money appropriated to an agency to pay lease payments under the program
182     established in Section 63A-5b-703 exceeds the amount required for the agency's lease

183     payments to the Division of Facilities Construction and Management, the agency may:
184          (A) transfer money from the lease payments line item to other line items within the
185     agency; and
186          (B) retain and use the excess money for other purposes.
187          (iii) The executive director of the Department of Human Services may transfer
188     unrestricted General Fund money appropriated to the department between line items within the
189     department in accordance with Section 62A-1-111.6.
190          (d) The money appropriated subject to a schedule of programs or restriction may be
191     used only for the purposes authorized.
192          (e) In order for a department, agency, or institution to transfer money appropriated to it
193     from one program to another program [within a line item], the department, agency, or
194     institution shall revise its budget execution plan as provided in Section 63J-1-209.
195          (f) (i) The procedures for transferring money between programs within a line item as
196     provided by Subsection (2)(e) do not apply to money appropriated to the State Board of
197     Education for the Minimum School Program or capital outlay programs created in Title 53F,
198     Chapter 3, State Funding -- Capital Outlay Programs.
199          (ii) The state superintendent may transfer money appropriated for the programs
200     specified in Subsection (2)(f)(i) only as provided by Section 53F-2-205.
201          (3) Notwithstanding Subsection (2)(c)(i):
202          (a) the state superintendent may transfer money appropriated for the Minimum School
203     Program between line items in accordance with Section 53F-2-205;
204          (b) the Department of Administrative Services may transfer money appropriated for the
205     purpose of paying the costs of paid employee postpartum recovery leave under Section
206     67-19-14.7 to another department, agency, institution, or division; and
207          (c) the Department of Administrative Services may transfer or divert money to another
208     department, agency, institution, or division only for the purposes of coordinating and providing
209     a state response to the coronavirus.