1     
BUDGETARY PROCEDURES MODIFICATIONS

2     
2022 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Robert M. Spendlove

5     
Senate Sponsor: Don L. Ipson

6     

7     LONG TITLE
8     General Description:
9          This bill amends and repeals provisions governing budgetary procedures and
10     requirements.
11     Highlighted Provisions:
12          This bill:
13          ▸     directs that Medicaid funds are nonlapsing for the 2021-22 fiscal year;
14          ▸     repeals provisions relating to the funding of the Department of Human Services
15     programs; and
16          ▸     repeals language exempting an agency with an overexpended line item for the fiscal
17     year beginning July 1, 2019, and ending June 30, 2020, from presenting a report to
18     the Board of Examiners in certain circumstances.
19     Money Appropriated in this Bill:
20          None
21     Other Special Clauses:
22          None
23     Utah Code Sections Affected:
24     AMENDS:
25          26-18-402.5, as enacted by Laws of Utah 2020, Third Special Session, Chapter 3
26          62A-1-111, as last amended by Laws of Utah 2021, Chapters 22 and 262
27          63J-1-206, as last amended by Laws of Utah 2021, Chapters 22 and 344

28     REPEALS:
29          62A-1-111.6, as enacted by Laws of Utah 2021, Chapter 22
30          63J-1-217.5, as enacted by Laws of Utah 2020, Third Special Session, Chapter 3
31     

32     Be it enacted by the Legislature of the state of Utah:
33          Section 1. Section 26-18-402.5 is amended to read:
34          26-18-402.5. Nonlapsing Medicaid funds.
35          (1) Notwithstanding Subsection 26-18-402(3), for fiscal years 2019-20 [and], 2020-21,
36     and 2021-22, the funds described in Subsections 26-18-402(3)(a) and 26-18-402(2)(a)(ii) are
37     nonlapsing.
38          (2) This section supersedes any conflicting provisions of Utah law.
39          Section 2. Section 62A-1-111 is amended to read:
40          62A-1-111. Department authority.
41          The department may, in addition to all other authority and responsibility granted to the
42     department by law:
43          (1) adopt rules, not inconsistent with law, as the department may consider necessary or
44     desirable for providing social services to the people of this state;
45          (2) establish and manage client trust accounts in the department's institutions and
46     community programs, at the request of the client or the client's legal guardian or representative,
47     or in accordance with federal law;
48          (3) purchase, as authorized or required by law, services that the department is
49     responsible to provide for legally eligible persons;
50          (4) conduct adjudicative proceedings for clients and providers in accordance with the
51     procedures of Title 63G, Chapter 4, Administrative Procedures Act;
52          (5) establish eligibility standards for its programs, not inconsistent with state or federal
53     law or regulations;
54          (6) take necessary steps, including legal action, to recover money or the monetary value
55     of services provided to a recipient who was not eligible;
56          (7) set and collect fees for the department's services;
57          (8) license agencies, facilities, and programs, except as otherwise allowed, prohibited,
58     or limited by law;

59          (9) acquire, manage, and dispose of any real or personal property needed or owned by
60     the department, not inconsistent with state law;
61          (10) receive gifts, grants, devises, and donations; gifts, grants, devises, donations, or
62     the proceeds thereof, may be credited to the program designated by the donor, and may be used
63     for the purposes requested by the donor, as long as the request conforms to state and federal
64     policy; all donated funds shall be considered private, nonlapsing funds and may be invested
65     under guidelines established by the state treasurer;
66          (11) accept and employ volunteer labor or services; the department is authorized to
67     reimburse volunteers for necessary expenses, when the department considers that
68     reimbursement to be appropriate;
69          (12) carry out the responsibility assigned in the workforce services plan by the State
70     Workforce Development Board;
71          (13) carry out the responsibility assigned by Section 35A-8-602 with respect to
72     coordination of services for the homeless;
73          (14) carry out the responsibility assigned by Section 62A-5a-105 with respect to
74     coordination of services for students with a disability;
75          (15) provide training and educational opportunities for the department's staff;
76          (16) collect child support payments and any other money due to the department;
77          (17) apply the provisions of Title 78B, Chapter 12, Utah Child Support Act, to parents
78     whose child lives out of the home in a department licensed or certified setting;
79          (18) establish policy and procedures, within appropriations authorized by the
80     Legislature, in cases where the Division of Child and Family Services or the Division of
81     Juvenile Justice Services is given custody of a minor by the juvenile court under Title 80, Utah
82     Juvenile Code, or the department is ordered to prepare an attainment plan for a minor found not
83     competent to proceed under Section 80-6-403; any policy and procedures shall include:
84          (a) designation of interagency teams for each juvenile court district in the state;
85          (b) delineation of assessment criteria and procedures;
86          (c) minimum requirements, and timeframes, for the development and implementation
87     of a collaborative service plan for each minor placed in department custody; and
88          (d) provisions for submittal of the plan and periodic progress reports to the court;
89          (19) carry out the responsibilities assigned to the department by statute;

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

121          (23) ensure that any training or certification required of a public official or public
122     employee, as those terms are defined in Section 63G-22-102, complies with Title 63G, Chapter
123     22, State Training and Certification Requirements, if the training or certification is required:
124          (a) under this title;
125          (b) by the department; or
126          (c) by an agency or division within the department[; and].
127          [(24) reallocate unexpended funds as provided in Section 62A-1-111.6.]
128          Section 3. Section 63J-1-206 is amended to read:
129          63J-1-206. Appropriations governed by chapter -- Restrictions on expenditures --
130     Transfer of funds -- Exclusion.
131          (1) (a) Except as provided in Subsections (1)(b) and (2)(e), or where expressly
132     exempted in the appropriating act:
133          (i) all money appropriated by the Legislature is appropriated upon the terms and
134     conditions set forth in this chapter; and
135          (ii) any department, agency, or institution that accepts money appropriated by the
136     Legislature does so subject to the requirements of this chapter.
137          (b) This section does not apply to:
138          (i) the Legislature and its committees; and
139          (ii) the Investigation Account of the Water Resources Construction Fund, which is
140     governed by Section 73-10-8.
141          (2) (a) Each item of appropriation is to be expended subject to any schedule of
142     programs and any restriction attached to the item of appropriation, as designated by the
143     Legislature.
144          (b) Each schedule of programs or restriction attached to an appropriation item:
145          (i) is a restriction or limitation upon the expenditure of the respective appropriation
146     made;
147          (ii) does not itself appropriate any money; and
148          (iii) is not itself an item of appropriation.
149          (c) (i) An appropriation or any surplus of any appropriation may not be diverted from
150     any department, agency, institution, division, or line item to any other department, agency,
151     institution, division, or line item.

152          (ii) If the money appropriated to an agency to pay lease payments under the program
153     established in Section 63A-5b-703 exceeds the amount required for the agency's lease
154     payments to the Division of Facilities Construction and Management, the agency may:
155          (A) transfer money from the lease payments line item to other line items within the
156     agency; and
157          (B) retain and use the excess money for other purposes.
158          [(iii) The executive director of the Department of Human Services may transfer
159     unrestricted General Fund money appropriated to the department between line items within the
160     department in accordance with Section 62A-1-111.6.]
161          (d) The money appropriated subject to a schedule of programs or restriction may be
162     used only for the purposes authorized.
163          (e) In order for a department, agency, or institution to transfer money appropriated to it
164     from one program to another program, the department, agency, or institution shall revise its
165     budget execution plan as provided in Section 63J-1-209.
166          (f) (i) The procedures for transferring money between programs within a line item as
167     provided by Subsection (2)(e) do not apply to money appropriated to the State Board of
168     Education for the Minimum School Program or capital outlay programs created in Title 53F,
169     Chapter 3, State Funding -- Capital Outlay Programs.
170          (ii) The state superintendent may transfer money appropriated for the programs
171     specified in Subsection (2)(f)(i) only as provided by Section 53F-2-205.
172          (3) Notwithstanding Subsection (2)(c)(i):
173          (a) the state superintendent may transfer money appropriated for the Minimum School
174     Program between line items in accordance with Section 53F-2-205; and
175          (b) the Department of Government Operations may transfer money appropriated for the
176     purpose of paying the costs of paid employee postpartum recovery leave under Section
177     63A-17-511 to another department, agency, institution, or division.
178          Section 4. Repealer.
179          This bill repeals:
180          Section 62A-1-111.6, Reallocating unexpended money to designated priority
181     programs -- Reporting -- Limitation.
182          Section 63J-1-217.5, Reporting requirements for overexpenditure of budget by

183     agency for fiscal year 2020.