State government: state funds.

Existing law requires every state agency and court for which an appropriation has been made to submit to the Department of Finance for approval, a complete and detailed budget at such time and in such form as may be prescribed by the department, setting forth all proposed expenditures and estimated revenues for the ensuing fiscal year. Existing law requires the Department of Finance to, among other things, develop, issue, and implement consistent and adequate guidelines to be utilized by agencies required to submit budgets to the department. Existing law requires the Governor's Budget to be prepared in accordance with guidelines and instructions adopted by the Department of Finance. Existing law requires the Governor's Budget to also include a coding structure that indicates for each budget entity the categorization of expenditures and revenues. Existing law requires the Department of Finance to develop a fiscal information system that will provide timely and uniform fiscal data needed to formulate and monitor the budget, as specified. Existing law requires the Controller to submit an annual report to the Governor containing a statement of the funds of the state, its revenues, and the public expenditures during the preceding fiscal year. Existing law requires the annual report to be prepared in the manner that will account for revenues and expenditures on the same basis as that of the Governor's Budget and the Budget Act. Existing law requires the format of the annual budgetary legal report to be preparedas closely as possible in accordance with "Generally Accepted Accounting Principles." This bill would require the Controller to submit a newly modified annual report to the Governor, to instead be referred to as the budgetary-legal basis annual report. The bill would require the budgetary-legal basis annual report to account for prior year adjustments, fund balances, encumbrances, deferred payroll, revenues, expenditures, and other components on the same basis as that of the applicable Governor's Budget and Budget Act. The bill would require the Controller to confer with the Department of Finance to propose and develop methods to facilitate these changes. The bill would require the annual reports of the Controller to be posted on the Internet Web site of the Controller, and would authorize the Controller to charge a reasonable fee for providing copies of those reports, not to exceed the costs thereof. The bill would also require every state agency, as defined, to prepare and maintain financial and accounting data for inclusion in the Governor's Budget, Budget Act and related documents, and the budgetary-legal basis annual report, according to methods adopted by the Department of Finance. The bill would require the Department of Finance to implement procedures that facilitate annual reconciliations of General Fund and special fund balances between those provided by a state agency to the Department of Finance and the Controller. The bill would exempt from the Administrative Procedure Act, actions taken by the Department of Finance to implement these provisions. This bill would appropriate $1,000 from the General Fund to the Department of Finance for purposes of implementing this bill, thereby making an appropriation. This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.