TITLE 35
Public Finance

CHAPTER 35-3
State Budget

SECTION 35-3-24


§ 35-3-24 Control of state spending.

(a) All department and agency heads and their employees are responsible for ensuring that financial obligations and expenditures for which they have responsibility do not exceed amounts appropriated and are spent in accordance with state laws.

(b) Persons with the authority to obligate the state contractually for goods and services shall be designated in writing by department and agency heads.

(c) In the event of an obligation, encumbrance, or expenditure in excess of amounts appropriated, the department or agency head with oversight responsibility shall make a written determination of the amount and the cause of the overobligation or overexpenditure, the person(s) responsible, and corrective actions taken to prevent reoccurrence. The plan of corrective actions contained within the report shall detail an appropriate plan to include, but not limited to, such issues as the implementation of waiting lists, pro-rata reduction in payments and changes in eligibility criteria as methods to address the shortfall. The report will be filed within thirty (30) days of the discovery of the overobligation or overexpenditure with the budget officer, the controller, the auditor general, and the chairpersons of the house and senate finance committees.

(d) A state employee who has knowingly and willingly encumbered, obligated, or authorized the expenditure of state funds in excess of amounts appropriated for those purposes or entered into contracts without proper authorization may be placed on disciplinary suspension without pay for up to thirty (30) days in accordance with § 36-4-36.

(e) A state employee who knowingly, willfully, and repeatedly authorizes actions resulting in encumbrances or spending of state funds in excess of amounts appropriated may be fined up to one thousand dollars ($1,000) and/or terminated from employment.

History of Section.
(P.L. 1991, ch. 6, art. 6, § 1; P.L. 2001, ch. 77, art. 19, § 1.)