COMMITTEE CHAIRMAN'S HANDBOOK

 

CHAPTER II

 

INTERIM COMMITTEES - BUDGET/FINANCE

 

 

1.         INTERIM COMMITTEE BUDGETS.

 

(a)        Management Council Procedures.

 

The Management Council is responsible for approving interim committee studies and allocating funds available for interim work among the various joint interim committees.

 

Traditionally during the last week of the session, the Council requests the joint interim committees to submit suggested study topics and estimated budgets for interim work.  The LSO staff designated to work with the Committee will assist in preparing this submission, including developing budget information.  At a meeting during the final days of the session, the Council approves topics and budgets for each Committee so that interim work can begin.  The Council may adjust the approved topics and budgets during the course of the interim.

 

(b)        Planning the Interim Committee Budget Request.

 

It is the responsibility of the interim committee chairman to prepare and submit a proposed committee budget to the Management Council.  The Council will evaluate the proposed budget based upon: (1) the Council's assessment of the relative importance of the interim work proposed for the committee; (2) whether the budget request is reasonable in light of the complexity of the committee's proposed studies; and (3) availability of funds taking into consideration the anticipated workload and budget needs of all the other joint interim committees.  It is therefore important that the chairman clearly communicate to the Council the importance and complexity of the committee's proposed studies.  The chairman should also prioritize the committee's proposed studies in the event funds are insufficient to allow the Council to approve all of the studies.  (See Chapter V of this Handbook relating to planning committee studies.  See also the Sample Interim Study Proposal format, Appendix 3.)

 

To estimate the committee's budget needs, the chairman should consider: the number and location of proposed committee meetings and public hearings; whether the committee's work can be more efficiently completed through a series of one day or two day meetings; the possible use of subcommittees; and special budget needs such as the purchase of computer programming services.

 

 

2.         COMMITTEE FINANCE GUIDELINES.

 

(a)        Authorized Expenditures.

 

Management Council Policy #5 governing interim committees provides:

 

"Funds allocated to a joint interim committee shall be used entirely for committee expenses such as travel, salary and per diem for members, expenses for public hearings or such other expenses as the committee may request and the Management Council may authorize."

 

The most frequently asked questions relating to this policy involve the interim committee chairman's authority to approve expenditure of budgeted funds for a committee member to attend an in-state meeting, seminar or program other than a regular interim committee meeting.

 

In exercising his discretion, the chairman should ensure:  (1) that the proposed expenditure is directly related to and will facilitate the committee's assigned work; and (2) that there will remain sufficient funds in the budget after the expenditure to allow the committee to complete its studies.

 

Questions concerning the appropriateness of any unusual expenditure should be discussed in advance with the director of the Legislative Service Office or the chairman of the Management Council.

 

(b)        Monitoring the Committee's Budget; Budget Shortfalls.

 

The Legislative Service Office fiscal officer maintains a separate budget account for each interim committee.  An updated budget status report is available for the interim committee chairman at any time from the LSO fiscal officer.  It is the chairman's responsibility to plan the committee's activities to stay within the allocated budget.

 

An interim committee may not expend funds in excess of its budget without the advance approval of the Management Council.  Since the Council generally meets only once every 3 or 4 months, the chairman must monitor his committee's budget closely and submit requests for additional funding well in advance of the actual need.  Chairmen should be cautioned that approval of additional funding requests is not automatically given by the Council and much depends upon the emergency nature of the request, the availability of funds in the legislative budget and the anticipated needs of the other interim committees.

  

(c)        Prohibition Against Accepting Funds from Other Sources.

 

Management Council Policy #8 governing interim committees provides in part:

 

"A joint interim committee may not apply for, receive or accept any grant, donation or gift of money for funding approved studies and work projects other than appropriations to the LSO or other appropriations specifically for that purpose."

 

(d)        Limiting Reimbursement to Committee Members for Special Activities.

 

To conserve committee funds, committee chairmen occasionally limit the reimbursement which will be authorized for committee members participating in a particular activity, e.g., the chairman may authorize mileage and per diem, but not salary, for committee members participating in a tour.  Please note, however:

 

(i)         The activity must be something other than a regular committee meeting, attendance at which entitles committee members to full payment of salary, mileage and per diem; and

 

(ii)        Committee members must be provided clear advance notice that they will not receive full reimbursement for attending the activity.