SB703: Bill Text

2009 Senate BILL 703

April 21, 2010 - Introduced by Senators Kapanke, Leibham and Schultz, cosponsored by Representatives Vos, Davis, Pridemore and Strachota. Referred to Committee on Ethics Reform and Government Operations.

SB703,1,6 An Act to amend 13.62 (4m), 16.40 (20), 16.42 (1) (intro.), 16.45, 16.47 (1), 281.58 (9) (e) and 350.145 (3) (title); and to create 13.085, 16.42 (1) (f), 16.42 (3), 16.423 and 16.46 (5g) of the statutes; relating to: content of executive budget bills and requiring a supermajority approval for certain bills in the state legislature, preparation of results-based biennial budget requests by executive branch state agencies, and state agency base budget review reports.

Analysis by the Legislative Reference Bureau

Current law requires the governor to prepare and submit to the legislature an executive budget bill or bills that contain the governor's recommendations for appropriations in the succeeding fiscal biennium. The governor may submit these appropriation recommendations in a single bill or in a multitude of bills. In recent history, the practice has been for the governor to submit a single executive budget bill. This bill requires the governor to prepare and submit to the legislature multiple executive budget bills. Each bill may contain only the governor's recommendations for appropriations for the succeeding biennium from a single fund. In other words, an executive budget bill may not appropriate moneys from more than one fund.

The bill also creates a legislative rule of proceeding that provides that no house of the legislature may pass a bill that transfers money from one fund to another fund unless the bill is approved by two-thirds of those members present and voting.

Current law requires each executive branch state agency to submit its biennial budget request to the Department of Administrative and the Legislative Fiscal Bureau no later than September 15 of the even-numbered year. These requests are used for the purpose of preparing the executive budget bill. This bill provides that each executive branch state agency must submit its biennial budget requests prepared using the principles of results-based budgeting for each of its activities, units, and programs. Under the bill, "results-based budgeting" is defined as the compilation of a budget of a state agency in which objectives are established for each of the state agency's activities, units, and programs; in which resources are allocated specifically to achieving the objectives; in which objective performance indicators are developed to determine whether the state agency has achieved the objectives; and in which an evaluation is undertaken to determine whether the objectives have been achieved using the performance indicators.

2009 Wisconsin Act 28, the biennial budget act, eliminated a program that required, every fiscal biennium, one-third of all state agencies to prepare a base budget review report that contains a description of each programmatic activity of the state agency; an accounting of all expenditures in each of the prior three fiscal years, arranged by revenue source and expenditure category for that state agency; and, for each programmatic activity of the state agency, an accounting of all expenditures, arranged by revenue source and expenditure category in the last two quarters in each of the prior three fiscal years. This bill recreates the requirement for state agencies to prepare base budget review reports.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

SB703, s. 1 Section 1. 13.085 of the statutes is created to read:

SB703,2,4 13.085 Bills transferring moneys between funds. No house of the legislature may pass a bill that transfers money from one fund to another fund unless the bill is approved by two-thirds of those members present and voting.

SB703, s. 2 Section 2. 13.62 (4m) of the statutes is amended to read:

SB703,2,7 13.62 (4m) "Budget bill subject" means a subject specified by the board that is included in the executive budget bill or bills introduced under s. 16.47.

SB703, s. 3 Section 3. 16.40 (20) of the statutes is amended to read:

SB703,3,8 16.40 (20) Public debt service costs projection. Prepare in each odd-numbered year for inclusion in the report submitted by the building commission under s. 13.48 (7) a projection of the long-term trends in principal and interest costs on public debt contracted under subchs. I and IV of ch. 18 as a proportion of all tax revenues that are deposited or are expected to be deposited in the general fund. The projection shall take account of the recommendations adopted by the building commission for the long-range building program under s. 13.48 (7) for the succeeding fiscal biennium and all proposed general obligation bonding contained in the executive budget bill or bills, including bonding for the authorized state building program as well as for other borrowing purposes.

SB703, s. 4 Section 4. 16.42 (1) (intro.) of the statutes is amended to read:

SB703,3,14 16.42 (1) (intro.) All agencies, other than the legislature and the courts, no later than September 15 of each even-numbered year, in the form and content prescribed by the department, but subject to the requirements of sub. (3), shall prepare and forward to the department and to the legislative fiscal bureau the following program and financial information:

SB703, s. 5 Section 5. 16.42 (1) (f) of the statutes is created to read:

SB703,3,16 16.42 (1) (f) The information required under s. 16.423.

SB703, s. 6 Section 6. 16.42 (3) of the statutes is created to read:

SB703,3,24 16.42 (3) (a) In this subsection, "results-based budgeting" means the compilation of a budget of an agency in which objectives are established for each of the agency's activities, units, and programs; in which resources are allocated specifically to achieving the objectives; in which objective performance indicators are developed to determine whether the agency has achieved the objectives; and in which an evaluation is undertaken to determine whether the objectives have been achieved using the performance indicators.

SB703,4,3 (b) Each agency, other than the legislature and the courts, shall submit its biennial budget requests prepared using the principles of results-based budgeting for each of its activities, units, and programs.

SB703, s. 7 Section 7. 16.423 of the statutes is created to read:

SB703,4,6 16.423 Base budget review reports. (1) In this section, "state agency" has the meaning given in s. 20.001 (1).

SB703,4,10 (2) (a) During the 2009-11 fiscal biennium, the secretary shall require that one-third of all state agencies submit a report no later than September 15, 2010, and every 3rd fiscal biennium thereafter, that contains the information specified in sub. (3).

SB703,4,14 (b) During the 2011-13 fiscal biennium, the secretary shall require that 50 percent of the state agencies that did not submit a report under par. (a) submit a report no later than September 15, 2012, and every 3rd fiscal biennium thereafter, that contains the information specified in sub. (3).

SB703,4,18 (c) During the 2013-15 fiscal biennium, the secretary shall require that all state agencies created on or before September 15, 2014, that did not submit a report under par. (a) or (b) submit a report no later than September 15, 2014, and every 3rd fiscal biennium thereafter, that contains the information specified in sub. (3).

SB703,4,23 (d) Beginning in the 2013-15 fiscal biennium, the secretary shall require that any state agency created after September 15, 2014, submit a report no later than the September 15 in the even-numbered year that first occurs after the state agency is created, and every 3rd fiscal biennium thereafter, that contains the information specified in sub. (3).

SB703,4,25 (3) A report submitted under this section shall contain at least all of the following:

SB703,5,1 (a) A description of each programmatic activity of the state agency.

SB703,5,4 (b) For each programmatic activity of the state agency, an accounting of all expenditures, arranged by revenue source and the categories specified in sub. (4), in each of the prior 3 fiscal years.

SB703,5,7 (c) For each programmatic activity of the state agency, an accounting of all expenditures, arranged by revenue source and the categories specified in sub. (4), in the last 2 quarters in each of the prior 3 fiscal years.

SB703,5,10 (4) The secretary shall develop categories for state agencies to use for the purpose of organizing the expenditure information that is required under sub. (3) (b) and (c).

SB703, s. 8 Section 8. 16.45 of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB703,5,24 16.45 Budget message to legislature. In each regular session of the legislature, the governor shall deliver the budget message to the 2 houses in joint session assembled. Unless a later date is requested by the governor and approved by the legislature in the form of a joint resolution, the budget message shall be delivered on or before the last Tuesday in January of the odd-numbered year. With the message the governor shall transmit to the legislature, as provided in ss. 16.46 and 16.47, the biennial state budget report and the executive budget bill or bills together with suggestions for the best methods for raising the needed revenues. The governor may distribute the biennial state budget report in printed or optical disk format or post the biennial state budget report on the Internet, except that, if requested by a member of the legislature, the governor shall provide the member with a printed copy of the biennial state budget report.

SB703, s. 9 Section 9. 16.46 (5g) of the statutes is created to read:

SB703,6,2 16.46 (5g) A summary of the information submitted to the department by state agencies under s. 16.423.

SB703, s. 10 Section 10. 16.47 (1) of the statutes is amended to read:

SB703,6,12 16.47 (1) Except as provided in s. 16.529 (2), the executive budget bill or bills shall incorporate the governor's recommendations for appropriations for the succeeding biennium. Each executive budget bill may only contain the governor's recommendations for appropriations for the succeeding biennium from a single fund. The appropriation method shown in the bill or bills shall in no way affect the amount of detail or manner of presentation which may be requested by the joint committee on finance. Appropriation requests may be divided into 3 allotments: personal services, other operating expenses and capital outlay or such other meaningful classifications as may be approved by the joint committee on finance.

SB703, s. 11 Section 11. 281.58 (9) (e) of the statutes is amended to read:

SB703,6,23 281.58 (9) (e) If the department of natural resources and the department of administration determine that the governor's recommendation, as set forth in the executive budget bill bills, for the amount under s. 281.59 (3e) (b), the amount available under s. 20.866 (2) (tc), or the amount available under s. 281.59 (4) (f) for a biennium is insufficient to provide funding for all projects for which applications will be approved during that biennium, the department shall inform municipalities that, if the governor's recommendations are approved, clean water fund program assistance during a fiscal year of that biennium will be available only to municipalities that submit financial assistance applications by the June 30 preceding that fiscal year.

SB703, s. 12 Section 12. 350.145 (3) (title) of the statutes is amended to read:

SB703,7,1 350.145 (3) (title) Recommendations for executive budget bill bills.

SB703,7,2 (End)