Bill
S 476
The OUT Act promotes fiscal responsibility by allowing surplus fund reallocation, requiring approval for over-expenditures, and ensuring transparency for state agencies and taxpayers.
Bill S 476, titled the "Over-Expenditure, Under-Expenditure, Transfer Notification (OUT) Act," aims to establish a framework for the management of surplus appropriated funds and the approval process for over-expenditures. The intent of this legislation is to enhance fiscal responsibility and transparency in the allocation and use of state funds.
The OUT Act includes several significant provisions:
Surplus Appropriated Funds: The bill allows for the reallocation and use of surplus funds that were initially appropriated for specific purposes but are no longer needed for those purposes. This provision aims to ensure that excess funds are utilized effectively rather than remaining unspent.
Over-Expenditure Approval: The legislation outlines a process for obtaining approval for expenditures that exceed the originally appropriated amounts. This is intended to prevent unauthorized spending and ensure that any additional funding requests are properly vetted and justified.
Notification Requirements: The bill mandates that relevant stakeholders, including legislative committees and financial oversight bodies, be notified of any transfers of funds or approvals for over-expenditures. This transparency is designed to keep all parties informed and accountable.
The OUT Act would primarily affect:
State Agencies: Agencies that manage appropriated funds will need to adapt their budgeting and reporting practices to comply with the new requirements.
Legislative Committees: Committees responsible for overseeing state finances will be involved in the approval process for over-expenditures, increasing their role in fiscal oversight.
Taxpayers: By promoting more efficient use of surplus funds and ensuring accountability for over-expenditures, taxpayers may benefit from improved fiscal management and potentially reduced waste in state spending.
Introduced Date: The bill was introduced on January 8, 2025.
Current Status: As of the latest update, the bill has been referred to the Finance Committee for further consideration.
Related Legislation: The OUT Act is related to several prior-session bills, including S 4141, S 560, S 218, and S 97, which may provide context or background on similar fiscal management efforts.
Bill S 476 seeks to improve the management of state funds through enhanced transparency and accountability mechanisms. By establishing clear guidelines for the use of surplus funds and the approval of over-expenditures, the OUT Act aims to foster responsible fiscal practices within state agencies and legislative bodies. As the bill progresses through the legislative process, its implications for state financial management will be closely monitored.
Compiled from official sources — confirm details with the bill’s official record.
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