S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                   855

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 5, 2011
                               ___________

Introduced  by  M.  of A. GALEF, PAULIN, THIELE, MENG, KAVANAGH, BARRON,
  MILLMAN,  ORTIZ,  KELLNER,  SPANO,  ROSENTHAL,  BROOK-KRASNY,  JAFFEE,
  LUPARDO,  CALHOUN,  SAYWARD,  BURLING,  CORWIN,  RAIA, GIGLIO, JORDAN,
  TOBACCO, CASTRO, CASTELLI, BUTLER -- Multi-Sponsored by --  M.  of  A.
  AMEDORE, BARCLAY, CONTE, CROUCH, DUPREY, FINCH, HAYES, JEFFRIES, KOLB,
  LATIMER,  LAVINE,  P. LOPEZ,  MAGEE,  MAYERSOHN,  McDONOUGH, McKEVITT,
  MOLINARO, MONTESANO,  MURRAY,  PHEFFER,  RABBITT,  SALADINO,  SCHIMEL,
  TEDISCO  --  read  once  and referred to the Committee on Governmental
  Operations

AN ACT to amend the legislative  law,  in  relation  to  clarifying  the
  appropriation  and  qualification  of  member items and authorizes the
  legislative ethics commission to review violations of  the  qualifica-
  tion  of member items; and to amend the state finance law, in relation
  to requiring that all member items be fully itemized

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The legislative law is amended by adding a new section 54-b
to read as follows:
  S  54-B.  MEMBER  ITEMS.  1. AS USED IN THIS SECTION, THE TERM "MEMBER
ITEM" SHALL MEAN A BUDGETARY ALLOCATION AS  FUNDED  BY  THE  LEGISLATIVE
COMMUNITY PROJECTS FUND AS DEFINED IN SECTION NINETY-NINE-T OF THE STATE
FINANCE  LAW,  AND  THE  EXECUTIVE COMMUNITY PROJECTS FUND AS DEFINED IN
SECTION NINETY-NINE-U OF THE STATE FINANCE LAW  AT  THE  DISCRETION  AND
REQUEST  OF  THE GOVERNOR OR A MEMBER OF THE LEGISLATURE FOR A CERTIFIED
TAX-EXEMPT NON-PROFIT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTER-
NAL REVENUE CODE IN NEW YORK STATE, A STATE AGENCY,  A  MUNICIPALITY  OR
THEIR AFFILIATED DEPARTMENT, UNIVERSITY, COLLEGE, OR SCHOOL DISTRICT.
  2.  MEMBER ITEMS SHALL NOT BE APPROPRIATED WHEN A CONFLICT OF INTEREST
EXISTS BETWEEN THE LEGISLATOR OR GOVERNOR DESIGNATING  THE  MEMBER  ITEM
AND  THE  POTENTIAL  RECIPIENT.  A MEMBER ITEM CANNOT FUND ORGANIZATIONS

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD00290-01-1

A. 855                              2

THAT EMPLOY OR OTHERWISE COMPENSATE THE LEGISLATOR OR GOVERNOR, A MEMBER
OF THE LEGISLATOR'S OR GOVERNOR'S FAMILY, ANY PERSON SHARING THE HOME OF
THE LEGISLATOR OR GOVERNOR OR A MEMBER OF THE LEGISLATOR'S OR GOVERNOR'S
STAFF  FOR  SERVICES OR LABOR RENDERED. FURTHERMORE, LEGISLATORS AND THE
GOVERNOR SHALL NOT DESIGNATE MEMBER ITEMS IF THE LEGISLATOR OR GOVERNOR,
A MEMBER OF THE LEGISLATOR'S OR GOVERNOR'S FAMILY,  ANY  PERSON  SHARING
THE  HOME  OF THE LEGISLATOR OR GOVERNOR OR A MEMBER OF THE LEGISLATOR'S
OR GOVERNOR'S STAFF IS INVOLVED WITH THE OPERATIONS OF THE  ORGANIZATION
IN A DECISION-MAKING CAPACITY INCLUDING BUT NOT LIMITED TO WORKING ON AN
UNPAID,  VOLUNTEER BASIS OR A MEMBER OF THE DIRECTING BOARD OF AN ORGAN-
IZATION.
  3. PRIOR TO THE APPROPRIATION OF MEMBER ITEMS, THE LEGISLATURE SHALL:
  (A) PROVIDE THAT EACH MEMBER OF THE SENATE  AND  EACH  MEMBER  OF  THE
ASSEMBLY  RECEIVE  AN  EQUAL  SHARE OF THE DOLLAR AMOUNT OF MEMBER ITEMS
ALLOCATED TO THE RESPECTIVE LEGISLATIVE BODY;
  (B) REQUIRE THE LEGISLATOR OR GOVERNOR REQUESTING SUCH MEMBER ITEM  TO
SUBMIT  A  SIGNED  CONFLICT  OF INTEREST FORM ALONG WITH THE MEMBER ITEM
REQUEST FORM TO ENSURE THAT NO CONFLICT OF INTEREST EXISTS. THE LEGISLA-
TOR OR GOVERNOR SHALL DISCLOSE ON THE  CONFLICT  OF  INTEREST  FORM  ALL
POLITICAL  DONATIONS  HE OR SHE IS RECEIVING OR HAS RECEIVED IN THE PAST
FROM THE INTENDED RECIPIENT OF THE MEMBER ITEM FUNDING. SUCH A  CONFLICT
OF  INTEREST  FORM  SHALL  BE SIGNED BY THE LEGISLATOR OR GOVERNOR UNDER
PENALTY OF PERJURY, STATING THAT THE MEMBER ITEM IS NOT  BEING  DIRECTED
IN A MANNER DESCRIBED IN SUBDIVISION TWO OF THIS SECTION;
  (C)  PROVIDE  THAT  ANY  STATE AGENCY THAT PROVIDES FUNDING FOR MEMBER
ITEMS EVALUATE THE SPENDING OF SUCH  MEMBER  ITEM  FUNDS  BY  THE  LOCAL
PROJECT,  ORGANIZATION  OR  OTHER ENTITY RECEIVING SUCH FUNDS. THE STATE
AGENCY SHALL TRACK THE FUNDS TO ENSURE THAT THEY ARE BEING  SPENT  IN  A
MANNER CONSISTENT WITH THE MEMBER ITEM APPLICATION;
  (D) ENSURE THAT THE FOLLOWING CRITERIA ARE SATISFIED:
  (1)  GRANTS  ARE  TO  BE DESIGNATED FOR PUBLIC PURPOSES.   THE PROGRAM
FUNDED MUST BE OPEN AND AVAILABLE TO ALL INDIVIDUALS ON  A  NONSECTARIAN
BASIS;
  (2)  GRANTS  ARE  PROVIDED  IN SUPPORT OF SERVICES AND ACTIVITIES THAT
HAVE STATEWIDE BENEFIT OR BENEFIT LOCAL COMMUNITIES;
  (3) GRANTS ARE ONLY DESIGNATED FOR NOT-FOR-PROFIT ORGANIZATIONS, MUNI-
CIPALITIES  OR  THEIR  AFFILIATED  DEPARTMENTS/AGENCIES,   UNIVERSITIES,
COLLEGES, OR SCHOOL DISTRICTS;
  (4)  GRANTS ARE AVAILABLE SOLELY FOR ACTIVITIES AND PROGRAMS CONDUCTED
WITHIN THE STATE OF NEW YORK;
  (5) GRANTS ARE NOT TO BE REDISTRIBUTED UNLESS THE GRANT  RECIPIENT  IS
IDENTIFIED  AND  THE GRANT TO THE END RECIPIENT COMPLIES WITH THE CRITE-
RIA;
  (6) GRANTS ARE TO BE USED ONLY FOR THE PURPOSE STATED IN  THE  FUNDING
REQUEST;
  (7) GRANTS ARE NOT TO BE USED TO FUND LOAN PROGRAMS;
  (8)  GRANTS ARE NOT TO BE USED FOR THE FOLLOWING PURPOSES: (A) TO FUND
AN ENTITY IN BANKRUPTCY, RECEIVERSHIP, OR FORECLOSURE OR TO  FUND  LEGAL
OR  ADMINISTRATIVE EXPENSES RELATED TO BANKRUPTCY, RECEIVERSHIP OR FORE-
CLOSURE PROCEEDINGS; (B) TO PAY FOR  ANY  ARREARS  IN  WORKERS'  COMPEN-
SATION, UNEMPLOYMENT INSURANCE OR OTHER EMPLOYEE BENEFITS; OR (C) TO PAY
FOR  ANY ARREARS OR CURRENT OBLIGATIONS FOR FEDERAL, STATE, OR MUNICIPAL
TAXES; FOR LOBBYING ACTIVITIES AS DEFINED UNDER SECTION  ONE-C  OF  THIS
CHAPTER AND COMPARABLE SECTIONS OF FEDERAL OR MUNICIPAL LAW;
  (9)  GRANTS  ARE  NOT TO BE THE ONLY SIGNIFICANT SOURCE OF FUNDING FOR
THE ORGANIZATION;

A. 855                              3

  (10) GRANT APPLICATIONS SHALL  INCLUDE  A  BRIEF  DESCRIPTION  OF  THE
PROJECT TO BE FUNDED; AND
  (11)  GRANTS  SHALL  NOT  BE  USED BY RECIPIENTS TO PAY WAGES OR OTHER
EMPLOYEE BENEFITS.
  (E) AT LEAST TWENTY-FOUR HOURS PRIOR TO APPROVAL BY THE LEGISLATURE OF
THE STATE BUDGET, THE LEGISLATURE MUST MAKE PUBLIC WITH RESPECT TO  EACH
MEMBER ITEM, THE MEMBER OF THE SENATE, THE MEMBER OF THE ASSEMBLY OR THE
GOVERNOR  SPONSORING  THE  MEMBER  ITEM, THE DOLLAR AMOUNT OF THE MEMBER
ITEM TO BE APPROPRIATED, AND THE NAME OF THE LOCAL PROJECT, ORGANIZATION
OR OTHER ENTITY RECEIVING SUCH MEMBER ITEM. SUCH PUBLICATION SHALL, AT A
MINIMUM, BE MADE ON THE WEBSITE OF EACH HOUSE OF THE  LEGISLATURE  IN  A
MANNER THAT IS EASILY ACCESSIBLE.
  4.  ALL  MEMBER ITEM ALLOCATION RECIPIENTS SHALL PROVIDE CERTIFICATION
OF PROPER USE OF FUNDS RECEIVED.  FOR  ALLOCATIONS  TOTALING  LESS  THAN
FIFTY  THOUSAND  DOLLARS, A DULY AUTHORIZED REPRESENTATIVE OF THE MEMBER
ITEM RECIPIENT ORGANIZATION SHALL ATTEST UNDER PENALTY OF  PERJURY  THAT
THE RECIPIENT ORGANIZATION ACTUALLY SPENT THE MEMBER ITEM GRANT MONEY IN
THE  MANNER  AND  FOR  THE  PURPOSES DESIGNATED IN ITS APPLICATION FOR A
MEMBER ITEM ALLOCATION. FOR ALLOCATIONS TOTALING MORE THAN  FIFTY  THOU-
SAND DOLLARS, A DULY AUTHORIZED REPRESENTATIVE OF THE MEMBER ITEM RECIP-
IENT ORGANIZATION SHALL ATTEST UNDER PENALTY OF PERJURY THAT THE RECIPI-
ENT  ORGANIZATION  ACTUALLY  SPENT  THE  MEMBER  ITEM GRANT MONEY IN THE
MANNER AND FOR THE PURPOSES DESIGNATED IN ITS APPLICATION FOR  A  MEMBER
ITEM ALLOCATION AND SHALL FILE A FINAL REPORT, UNDER PENALTY OF PERJURY,
DETAILING  THE EXPENDITURES. SUCH REPORT SHALL BE SUBMITTED BY MAY THIR-
TY-FIRST OF THE CALENDAR YEAR FOLLOWING THE CALENDAR YEAR IN  WHICH  THE
MEMBER  ITEM WAS ALLOCATED AND SHALL FOLLOW THE REQUIREMENTS ESTABLISHED
BY THE ATTORNEY GENERAL. NO FUTURE MEMBER ITEM GRANTS SHALL BE  APPROVED
FOR  AN  ORGANIZATION  WHICH HAS PREVIOUSLY RECEIVED A MEMBER ITEM ALLO-
CATION UNTIL SUCH DOCUMENTS HAVE BEEN SIGNED AND RECEIVED BY THE  OFFICE
OF THE NEW YORK STATE ATTORNEY GENERAL.
  5.  PRIOR  TO  SUBMITTING AN APPLICATION FOR A MEMBER ITEM ALLOCATION,
EACH ORGANIZATION SEEKING A MEMBER ITEM ALLOCATION MUST MEET  PRE-CERTI-
FICATION  STANDARDS  AS  ESTABLISHED BY THE OFFICE OF THE NEW YORK STATE
ATTORNEY GENERAL. AT A MINIMUM, THOSE STANDARDS SHALL REQUIRE  THAT  THE
ORGANIZATION   SEEKING   PRE-CERTIFICATION  IS  A  CERTIFIED  TAX-EXEMPT
NON-PROFIT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL  REVENUE
CODE  IN  NEW YORK STATE, A STATE AGENCY, A MUNICIPALITY OR THEIR AFFIL-
IATED DEPARTMENT, UNIVERSITY, COLLEGE, OR  SCHOOL  DISTRICT  CAPABLE  OF
ACCEPTING POTENTIAL FUNDING AND THAT SUCH ENTITY IS NOT IN BANKRUPTCY OR
ARREARS  ON ANY OBLIGATIONS. IF AN ORGANIZATION HAS RECEIVED MEMBER ITEM
FUNDING IN THE  PAST,  THE  ORGANIZATION  SHALL  ALSO  COMPLY  WITH  THE
REQUIREMENTS  OF  SUBDIVISION  FOUR OF THIS SECTION. NO APPLICATION FROM
ANY ORGANIZATION SHALL BE CONSIDERED BY A LEGISLATOR UNTIL THE OFFICE OF
THE NEW YORK STATE ATTORNEY  GENERAL  HAS  CERTIFIED  SUCH  ORGANIZATION
BASED UPON THE CRITERIA SET FORTH IN THIS SUBDIVISION AND UPON ANY ADDI-
TIONAL REGULATORY STANDARDS ESTABLISHED BY THE ATTORNEY GENERAL.
  6.  ANY  STATE  AGENCY  THAT  PROVIDES  FUNDING FOR MEMBER ITEMS SHALL
REVIEW MEMBER ITEM SPENDING ON AN ANNUAL BASIS AND  PERIODICALLY  REVIEW
GRANT RECIPIENTS' USE OF GRANT MONEY.
  7.  ANY MEMBER ITEM APPROPRIATED BY THE LEGISLATURE SHALL BE SET FORTH
SEPARATELY AND APART FROM EVERY OTHER MEMBER ITEM IN THE STATE BUDGET IN
ORDER TO CLEARLY IDENTIFY EACH LEGISLATOR'S OR GOVERNOR'S REQUEST.
  8. ANY VIOLATION OF THE PROVISIONS OF THIS SECTION SHALL  BE  REFERRED
TO   THE   LEGISLATIVE   ETHICS  COMMISSION  OR  ITS  SUCCESSOR  ENTITY.
COMPLAINTS REGARDING THE FAILURE OF AN ALLOCATION OR  USE  OF  A  MEMBER

A. 855                              4

ITEM TO COMPLY WITH THE PROVISIONS OF THIS CHAPTER SHALL BE SUBMITTED TO
(A) THE LEGISLATIVE ETHICS COMMISSION WITH REGARD TO A MEMBER ITEM ALLO-
CATION  MADE AT THE DISCRETION OF A LEGISLATOR, OR (B) THE COMMISSION ON
PUBLIC  INTEGRITY  WITH  REGARD  TO A MEMBER ITEM ALLOCATION MADE AT THE
DISCRETION OF THE GOVERNOR. EACH  COMPLAINT  SHALL  BE  INVESTIGATED  IN
ACCORDANCE WITH THE RULES AND PROCEDURES OF THE COMMISSION RECEIVING THE
COMPLAINT.
  S  2.  Paragraph  1  of subdivision 7 of section 80 of the legislative
law, as amended by chapter 14 of the laws of 2007, is amended to read as
follows:
  l. Receive and act on complaints  regarding  persons  subject  to  its
jurisdiction  alleging  a  possible violation of SECTION FIFTY-FOUR-B OF
THIS CHAPTER OR section seventy-three, seventy-three-a  or  seventy-four
of  the  public  officers  law,  and  conduct  such  investigations  and
proceedings as are authorized and necessary to carry out the  provisions
of  this section. In connection with such investigations, the commission
may administer oaths or affirmations, subpoena witnesses,  compel  their
attendance  and  require the production of any books or records which it
may deem relevant or material;
  S 3. Subdivisions 4 and 5 of section 24 of the state finance  law,  as
added by chapter 1 of the laws of 2007, are amended to read as follows:
  4.  Any  appropriation added to such budget bills, pursuant to section
four of article seven of the constitution, shall only  contain  itemized
appropriations  which  shall  not  be  in the form of lump sum appropri-
ations[,] AND SHALL DESIGNATE FOR EACH APPROPRIATION A GRANTEE  OF  SUCH
APPROPRIATION,  and  [provided  further  that] for all non-federal state
operations appropriations, such bill or bills shall only  contain  item-
ized appropriations and shall be made, where practicable, by agency, and
within  each  agency by program and within each program at the following
level of detail and in the following order:
  (a) by fund type, which at  a  minimum  shall  include  general  fund,
special  revenue-other  funds,  capital  projects funds and debt service
funds;
  (b) for personal service appropriations, separate appropriations shall
be made for regular personal service, temporary  personal  service,  and
holiday and overtime pay;
  (c)  for  nonpersonal  service appropriations, separate appropriations
shall be made for supplies and materials, travel, contractual  services,
equipment and fringe benefits, as appropriate.
  5.  [Any appropriation added pursuant to section four of article seven
of the constitution without designating a  grantee  shall  be  allocated
only  pursuant to a plan setting forth an itemized list of grantees with
the amount to be received by each, or  the  methodology  for  allocating
such  appropriation.  Such  plan shall be subject to the approval of the
chair of the senate finance committee, the chair of  the  assembly  ways
and  means  committee,  and  the  director of the budget, and thereafter
shall be included in a concurrent resolution calling for the expenditure
of such monies, which resolution must be approved by a majority vote  of
all members elected to each house upon a roll call vote.] THE PROVISIONS
OF  THIS  SECTION  SHALL  NOT  PRECLUDE  MEMBERS OF THE LEGISLATURE FROM
COLLABORATING WITH EACH OTHER IN THE SELECTION OF MEMBER ITEMS AND PACK-
AGING THEIR INDIVIDUAL  MEMBER  ITEM  ALLOCATIONS  TOGETHER  WITH  OTHER
MEMBER'S ALLOCATIONS FOR SPECIFIED REGIONAL OR JOINT PROJECTS.
  S 4. Section 99-d of the state finance law, as added by chapter 474 of
the laws of 1996, is renumbered section 99-t and the section heading, as
added  by chapter 474 of the laws of 1996, and subdivision 1, as amended

A. 855                              5

by section 2 of part BB of chapter 686 of the laws of 2003, are  amended
to read as follows:
  [Community]  LEGISLATIVE  COMMUNITY  projects fund. 1. There is hereby
established in the joint custody of the comptroller and the commissioner
of taxation and finance a special fund to be known  as  the  LEGISLATIVE
community projects fund. This fund may have separate accounts designated
pursuant  to  a  specific appropriation to such account or pursuant to a
written suballocation plan approved in  a  memorandum  of  understanding
executed  by  the  director  of  the budget, the secretary of the senate
finance committee and the secretary  of  the  assembly  ways  and  means
committee. Such suballocation shall be submitted to the comptroller.
  S  5. The state finance law is amended by adding a new section 99-u to
read as follows:
  S 99-U. EXECUTIVE COMMUNITY PROJECTS FUND. 1. THERE IS  HEREBY  ESTAB-
LISHED  IN  THE JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER OF
TAXATION AND FINANCE A SPECIAL FUND TO BE KNOWN AS THE EXECUTIVE  COMMU-
NITY  PROJECTS  FUND.  THIS  FUND  MAY HAVE SEPARATE ACCOUNTS DESIGNATED
PURSUANT TO A SPECIFIC APPROPRIATION TO SUCH ACCOUNT OR  PURSUANT  TO  A
WRITTEN  SUBALLOCATION  PLAN  APPROVED  IN A MEMORANDUM OF UNDERSTANDING
EXECUTED BY THE DIRECTOR OF THE BUDGET,  THE  SECRETARY  OF  THE  SENATE
FINANCE  COMMITTEE  AND  THE  SECRETARY  OF  THE ASSEMBLY WAYS AND MEANS
COMMITTEE. SUCH SUBALLOCATION SHALL BE SUBMITTED TO THE COMPTROLLER.
  2. SUCH FUND SHALL CONSIST OF MONIES TRANSFERRED TO SUCH FUND FROM THE
GENERAL FUND/STATE PURPOSES ACCOUNT, OR ANY OTHER MONIES REQUIRED TO  BE
TRANSFERRED  OR  DEPOSITED.  MONIES  MAY  NOT  BE  TRANSFERRED OR LOANED
BETWEEN  THE  ACCOUNTS  OF  THIS  FUND,  UNLESS  SPECIFICALLY  OTHERWISE
PROVIDED  BY  LETTER SIGNED BY THE DIRECTOR OF THE BUDGET, BUT ONLY UPON
THE JOINT REQUEST OF THE SECRETARY OF THE SENATE FINANCE  COMMITTEE  AND
THE SECRETARY OF THE ASSEMBLY WAYS AND MEANS COMMITTEE.
  3.  (A)  AS  REQUIRED  TO MAKE TIMELY PAYMENTS FROM SUCH ACCOUNTS UPON
PRESENTMENT OF PROPER VOUCHERS THEREFOR,  THE  STATE  COMPTROLLER  SHALL
MAKE  TRANSFERS  TO  ANY ACCOUNT IN THIS FUND UP TO THE AMOUNTS ANNUALLY
SPECIFIED FOR TRANSFER TO SUCH ACCOUNT AND IN COMPLIANCE  WITH  SUBDIVI-
SION TWO OF THIS SECTION, BUT ONLY FROM SUCH FUND OR FUNDS AUTHORIZED TO
PROVIDE SUCH TRANSFERS.
  (B)  BY  THE  CLOSE OF EACH FISCAL YEAR, ALL REMAINING AMOUNTS NOT YET
TRANSFERRED SHALL BE TRANSFERRED TO THE DESIGNATED  ACCOUNTS  FOR  WHICH
SUCH  TRANSFERS  WERE  AUTHORIZED, UP TO THE TOTAL AMOUNTS SPECIFIED FOR
TRANSFER TO EACH ACCOUNT IN EACH FISCAL  YEAR  AND  IN  COMPLIANCE  WITH
SUBDIVISION TWO OF THIS SECTION.
  4.  NOTWITHSTANDING  SECTION  FORTY  OF  THIS  CHAPTER  OR  ANY  OTHER
PROVISION OF LAW, APPROPRIATIONS OF THIS FUND  SHALL  BE  AVAILABLE  FOR
LIABILITIES  INCURRED  DURING AND AFTER THE CLOSE OF THE FISCAL YEAR FOR
WHICH SUCH APPROPRIATIONS ARE ENACTED, PROVIDED HOWEVER THAT SUCH APPRO-
PRIATIONS SHALL LAPSE ON THE FIFTEENTH DAY OF  SEPTEMBER  FOLLOWING  THE
CLOSE  OF THE FISCAL YEAR, AND NO MONIES SHALL THEREAFTER BE PAID OUT OF
THE STATE TREASURY OR ANY OF ITS FUNDS OR THE FUNDS UNDER ITS MANAGEMENT
PURSUANT TO SUCH APPROPRIATIONS.
  5.  THE DIRECTOR OF THE BUDGET SHALL ISSUE A CERTIFICATE  OF  APPROVAL
FOR  ANY  APPROPRIATION  IN  ANY  ACCOUNT OF THIS FUND NO LATER THAN THE
LATER OF SIXTY DAYS AFTER THE ENACTMENT OF SUCH  APPROPRIATION  OR  FIVE
DAYS AFTER THE EXECUTION OF A WRITTEN SUBALLOCATION PLAN PURSUANT TO THE
PROVISIONS  OF  SUBDIVISION  ONE  OF  THIS  SECTION. SUCH APPROVAL SHALL
SATISFY ANY OTHER REQUIREMENT FOR A CERTIFICATE OF APPROVAL.
  6. (A) THE STATE SHALL NOT BE LIABLE  FOR  PAYMENTS  PURSUANT  TO  ANY
CONTRACT,  GRANT  OR  AGREEMENT MADE PURSUANT TO AN APPROPRIATION IN ANY

A. 855                              6

ACCOUNT OF THIS FUND IF INSUFFICIENT MONIES ARE AVAILABLE  FOR  TRANSFER
TO  SUCH  ACCOUNT  OF  THIS  FUND,  AFTER REQUIRED TRANSFERS PURSUANT TO
SUBDIVISION THREE OF THIS SECTION. EXCEPT WITH RESPECT  TO,  GRANTS,  OR
AGREEMENTS EXECUTED BY ANY STATE OFFICER, EMPLOYEE, DEPARTMENT, INSTITU-
TION,  COMMISSION,  BOARD,  OR  OTHER  AGENCY  OF THE STATE PRIOR TO THE
EFFECTIVE DATE OF THIS SECTION, ANY CONTRACT, GRANT  OR  AGREEMENT  MADE
PURSUANT  TO  AN  APPROPRIATION  IN  THIS  FUND  SHALL  INCORPORATE THIS
PROVISION AS A TERM OF SUCH CONTRACT, GRANT OR AGREEMENT.
  (B) THE EXHAUSTION OF FUNDS AVAILABLE FOR  SUCH  TRANSFERS  SHALL  NOT
PRECLUDE  THE  APPROVAL  OF  CONTRACTS HEREUNDER PURSUANT TO SECTION ONE
HUNDRED TWELVE OF THIS CHAPTER. NOTWITHSTANDING ANY OTHER  PROVISION  OF
LAW,  INTEREST  SHALL  NOT BE DUE TO ANY RECIPIENT FOR ANY LATE PAYMENTS
MADE FROM THIS FUND WHICH RESULT FROM INSUFFICIENT MONIES  BEING  AVAIL-
ABLE IN AN ACCOUNT OF THIS FUND.
  7.  MONIES SHALL BE PAID OUT OF SUCH ACCOUNTS ON THE AUDIT AND WARRANT
OF THE STATE COMPTROLLER ON VOUCHERS CERTIFIED OR APPROVED BY  THE  HEAD
OF THE APPROPRIATE AGENCY.
  S 6. This act does not preclude either house of the legislature or the
governor  from  adopting more stringent standards through its own guide-
lines or through the application process.
  S 7. Member item grants shall continue to be subject to review by  the
respective  assembly  and  senate fiscal and counsel staffs, division of
the budget, the administering state agency,  the  office  of  the  state
comptroller, and the office of the attorney general. Nothing in this act
shall  limit  the  authority  of  the state comptroller and the attorney
general to review member item grant recipients or member item grants.
  S 8. This act shall take effect immediately.