S. 3946--A 2
(B) INFORMATION WITH RESPECT TO ESTIMATED REVENUES AND RECEIPTS, AND
CHANGING REVENUE CONDITIONS;
(C) INFORMATION WITH RESPECT TO THE PERFORMANCE AND EFFECTIVENESS OF
STATE AGENCIES AND PROGRAMS; AND
(D) TO THE EXTENT PRACTICABLE, SUCH OTHER INFORMATION OR ANALYSES AS
MAY BE REQUESTED BY SUCH OFFICIALS AND BODIES, AND THE GENERAL PUBLIC.
REQUESTS MADE BY THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF
THE ASSEMBLY, THE CHAIR OF THE SENATE FINANCE COMMITTEE AND THE CHAIR OF
THE ASSEMBLY WAYS AND MEANS COMMITTEE REGARDING THE BUDGET, REVENUES AND
EXPENDITURES SHALL RECEIVE PRIORITY ATTENTION.
2. THE LEGISLATIVE BUDGET OFFICE SHALL COMPLETE A FISCAL IMPACT
STATEMENT: (A) FOR ANY BILL BEING CONSIDERED ON AN ASSEMBLY WAYS AND
MEANS COMMITTEE AGENDA OR A SENATE FINANCE COMMITTEE AGENDA, TO THE
EXTENT POSSIBLE; (B) FOR ANY BILL AT THE REQUEST OF THE SPEAKER OR
MINORITY LEADER OF THE ASSEMBLY OR THE TEMPORARY PRESIDENT OR MINORITY
LEADER OF THE SENATE; AND (C) AT THE REQUEST OF A COMMITTEE CHAIR OR
RANKING MEMBER OF A COMMITTEE FOR ANY BILL REFERRED TO THEIR RESPECTIVE
COMMITTEE. FISCAL IMPACT STATEMENTS SHALL ESTIMATE THE IMPACT ON STATE
REVENUES OR EXPENDITURES.
3. THE LEGISLATIVE BUDGET OFFICE SHALL SUBMIT AN ANALYSIS OF THE
EXECUTIVE BUDGET BY MARCH FIRST OF EACH YEAR TO THE MEMBERS OF THE
ASSEMBLY WAYS AND MEANS COMMITTEE AND THE SENATE FINANCE COMMITTEE, AND
MAKE COPIES OF SUCH ANALYSIS AVAILABLE TO ALL OTHER MEMBERS OF THE
LEGISLATURE AND ALL OTHER INDIVIDUALS, UPON REQUEST. THE LEGISLATIVE
BUDGET OFFICE SHALL ALSO SUBMIT AN ANALYSIS OF AGENCY STRATEGIC AND
PERFORMANCE PLANS DEVELOPED PURSUANT TO SECTION TWENTY-EIGHT OF THE
STATE FINANCE LAW.
4. THE LEGISLATIVE BUDGET OFFICE SHALL, TO THE EXTENT PRACTICABLE,
DEVELOP PROPOSALS FOR COST EFFECTIVE ALTERNATIVE APPROACHES TO MEET THE
FINANCIAL OBLIGATIONS OF THE STATE, INCLUDING BUT NOT LIMITED TO,
REVIEWING BOND REQUIREMENTS AND DEBT OBLIGATIONS OF THE STATE AND PUBLIC
AUTHORITIES.
5. THE LEGISLATIVE BUDGET OFFICE SHALL PUBLISH A REPORT WITH RESPECT
TO THE EXPECTED LEVELS OF STATE REVENUES BY THE FIRST DAY OF JANUARY,
THE FIRST DAY OF APRIL, THE FIRST DAY OF JULY AND THE FIRST DAY OF OCTO-
BER OF EACH YEAR.
6. THE LEGISLATIVE BUDGET OFFICE SHALL PUBLISH BY DECEMBER FIRST OF
EACH YEAR A REPORT ANALYZING THE FISCAL OUTLOOK OF THE STATE FOR THE
NEXT FIVE YEARS.
7. AT THE REQUEST OF ANY MEMBER OR COMMITTEE OF THE SENATE OR THE
ASSEMBLY, THE LEGISLATIVE BUDGET OFFICE SHALL, TO THE EXTENT PRACTICA-
BLE, CONSULT WITH AND ASSIST SUCH COMMITTEE IN ANALYZING THE BUDGETARY
OR FINANCIAL IMPACT OF ANY PROPOSED LEGISLATION THAT MAY HAVE:
(A) A SIGNIFICANT BUDGETARY IMPACT ON LOCAL OR TRIBAL GOVERNMENTS;
(B) A SIGNIFICANT FINANCIAL IMPACT ON THE PRIVATE SECTOR; OR
(C) A SIGNIFICANT EMPLOYMENT IMPACT ON THE PRIVATE SECTOR.
8. (A) THE DIRECTOR OF THE LEGISLATIVE BUDGET OFFICE SHALL CONDUCT
CONTINUING STUDIES ON FISCAL MATTERS INCLUDING WAYS TO ENHANCE COMPAR-
ISONS OF BUDGET AUTHORITY AND OUTLAYS, DEBT AUTHORITY, AND TAX POLICY.
(B) (1) AT THE REQUEST OF ANY CHAIR OR RANKING MEMBER OF THE MINORITY
OF A COMMITTEE OF THE SENATE OR THE ASSEMBLY, THE DIRECTOR SHALL, TO THE
EXTENT PRACTICABLE, CONDUCT A STUDY OF A LEGISLATIVE PROPOSAL CONTAINING
A STATE MANDATE.
(2) IN CONDUCTING A STUDY ON INTERGOVERNMENTAL MANDATES UNDER THIS
PARAGRAPH, THE DIRECTOR SHALL:
S. 3946--A 3
(I) SOLICIT AND CONSIDER INFORMATION OR COMMENTS FROM ELECTED OFFI-
CIALS (INCLUDING THEIR DESIGNATED REPRESENTATIVES) OF STATE, LOCAL, OR
TRIBAL GOVERNMENTS AS MAY PROVIDE HELPFUL INFORMATION OR COMMENTS;
(II) CONSIDER ESTABLISHING ADVISORY PANELS OF ELECTED OFFICIALS OR
THEIR DESIGNATED REPRESENTATIVES, OF LOCAL OR TRIBAL GOVERNMENTS IF THE
DIRECTOR DETERMINES THAT SUCH ADVISORY PANELS WOULD BE HELPFUL IN
PERFORMING RESPONSIBILITIES OF THE DIRECTOR UNDER THIS SECTION; AND
(III) IF, AND TO THE EXTENT THAT THE DIRECTOR DETERMINES THAT ACCURATE
ESTIMATES ARE REASONABLY FEASIBLE, INCLUDE ESTIMATES OF:
(A) THE FUTURE DIRECT COST OF THE STATE MANDATE TO THE EXTENT THAT
SUCH COSTS SIGNIFICANTLY DIFFER FROM OR EXTEND BEYOND THE FIVE-YEAR
PERIOD AFTER THE MANDATE IS FIRST EFFECTIVE; AND
(B) ANY DISPROPORTIONATE BUDGETARY EFFECTS OF STATE MANDATES UPON
PARTICULAR INDUSTRIES OR SECTORS OF THE ECONOMY, REGIONS, AND URBAN OR
RURAL OR OTHER TYPES OF COMMUNITIES, AS APPROPRIATE.
(3) IN CONDUCTING A STUDY ON STATE MANDATES UNDER SUBPARAGRAPH ONE OF
THIS PARAGRAPH, THE DIRECTOR SHALL PROVIDE ESTIMATES, IF AND TO THE
EXTENT THAT THE DIRECTOR DETERMINES THAT SUCH ESTIMATES ARE REASONABLY
FEASIBLE, OF:
(I) FUTURE COSTS OF STATE MANDATES ON PRIVATE SECTOR ENTITIES AND
LOCAL GOVERNMENTS TO THE EXTENT THAT SUCH MANDATES DIFFER SIGNIFICANTLY
FROM OR EXTEND BEYOND THE FIVE-YEAR TIME PERIOD REFERRED TO IN ITEM (A)
OF CLAUSE (III) OF SUBPARAGRAPH TWO OF THIS PARAGRAPH;
(II) ANY DISPROPORTIONATE FINANCIAL EFFECTS OF STATE PRIVATE SECTOR
MANDATES AND OF ANY STATE FINANCIAL ASSISTANCE IN THE BILL OR JOINT
RESOLUTION UPON ANY PARTICULAR INDUSTRIES OR SECTORS OF THE ECONOMY,
REGIONS, AND URBAN OR RURAL OR OTHER TYPES OF COMMUNITIES; AND
(III) THE EFFECT OF STATE MANDATES IN THE BILL OR JOINT RESOLUTION ON
THE ECONOMY OF THE STATE, INCLUDING THE EFFECT ON PRODUCTIVITY, ECONOMIC
GROWTH, FULL EMPLOYMENT, CREATION OF PRODUCTIVE JOBS, AND COMPETITIVE-
NESS OF GOODS AND SERVICES.
9. THE LEGISLATIVE BUDGET OFFICE SHALL, FROM TIME TO TIME, PUBLISH
SUCH REPORTS AS MAY BE APPROPRIATE TO ENHANCE THE OFFICIAL AND PUBLIC
UNDERSTANDING OF THE BUDGETARY PROCESS AND OF THE BUDGET DOCUMENTS. SUCH
OFFICE SHALL, FROM TIME TO TIME, PUBLISH SUCH REPORTS AS MAY BE NECES-
SARY OR APPROPRIATE TO PROVIDE SUCH INFORMATION, DATA AND ANALYSIS AS
WILL ENHANCE OFFICIAL AND PUBLIC UNDERSTANDING OF MATTERS RELATING TO
STATE REVENUES, EXPENDITURES, MANAGEMENT PRACTICES AND RELATED MATTERS.
10. ALL INFORMATION, DATA, ESTIMATES AND STATISTICS, AND ALL STUDIES
AND REPORTS PREPARED BY THE LEGISLATIVE BUDGET OFFICE SHALL BE MADE
AVAILABLE TO THE PUBLIC AND SHALL ALSO BE MADE AVAILABLE BY ELECTRONIC
MEANS TO THE EXTENT PRACTICABLE OVER THE INTERNET.
11. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO REQUIRE THE DISCLO-
SURE OF INFORMATION THAT IS OTHERWISE PROTECTED AS CONFIDENTIAL BY OTHER
PROVISIONS OF STATE OR FEDERAL LAW.
S 76. DIRECTOR OF THE LEGISLATIVE BUDGET OFFICE. 1. THE LEGISLATIVE
BUDGET OFFICE SHALL BE HEADED BY A DIRECTOR WHO SHALL BE APPOINTED, FROM
ONE OR MORE CANDIDATES RECOMMENDED BY THE LEGISLATIVE BUDGET OFFICE
BOARD OF DIRECTORS (ALSO REFERRED TO IN THIS SECTION AS THE "BOARD"), BY
THE SPEAKER OF THE ASSEMBLY AND THE TEMPORARY PRESIDENT OF THE SENATE.
THE RECOMMENDATIONS FOR THE INITIAL APPOINTMENT OF SUCH DIRECTOR SHALL
BE MADE NO LATER THAN JANUARY FIFTEENTH, TWO THOUSAND FIFTEEN TO THE
SPECIAL COMMITTEE. SUBSEQUENT RECOMMENDATIONS SHALL BE MADE BETWEEN
JANUARY SECOND AND JANUARY FIFTEENTH EVERY SIXTH YEAR THEREAFTER. THE
SPEAKER OF THE ASSEMBLY AND TEMPORARY PRESIDENT OF THE SENATE SHALL
APPOINT THE INITIAL DIRECTOR NO LATER THAN FEBRUARY FIFTEENTH, TWO THOU-
S. 3946--A 4
SAND FIFTEEN AND SUCH INITIAL DIRECTOR SHALL TAKE OFFICE BEGINNING APRIL
FIRST, TWO THOUSAND FIFTEEN. SUBSEQUENT APPOINTMENTS SHALL BE MADE NO
LATER THAN FEBRUARY FIFTEENTH EVERY SIXTH YEAR THEREAFTER.
2. (A) THERE SHALL BE A LEGISLATIVE BUDGET OFFICE BOARD OF DIRECTORS
CONSISTING OF (1) ONE PERSON APPOINTED BY EACH OF THE FOLLOWING OFFI-
CIALS AND WHO SHALL SERVE AT THE PLEASURE OF SUCH OFFICIALS; THE CHAIR
AND RANKING MEMBER OF THE ASSEMBLY WAYS AND MEANS COMMITTEE AND THE
CHAIR AND RANKING MEMBER OF THE SENATE FINANCE COMMITTEE, AND (2) SIX
OTHER MEMBERS JOINTLY APPOINTED BY THE SPEAKER OF THE ASSEMBLY AND THE
TEMPORARY PRESIDENT OF THE SENATE, WHO SHALL SERVE FOR SIX YEAR TERMS,
PROVIDED, HOWEVER THAT OF THE MEMBERS FIRST APPOINTED, TWO SHALL SERVE
FOR TERMS EXPIRING ON MARCH THIRTY-FIRST, TWO THOUSAND SIXTEEN; TWO
SHALL SERVE FOR TERMS EXPIRING ON MARCH THIRTY-FIRST, TWO THOUSAND EIGH-
TEEN; AND TWO SHALL SERVE FOR TERMS EXPIRING ON MARCH THIRTY-FIRST, TWO
THOUSAND TWENTY. THE MEMBERS SHALL ALL BE INDIVIDUALS WITH EXTENSIVE
EXPERIENCE AND KNOWLEDGE IN THE FIELDS OF FINANCE, ECONOMICS, ACCOUNT-
ING, PUBLIC ADMINISTRATION AND PUBLIC POLICY ANALYSIS INCLUDING AT LEAST
ONE NATIONALLY RECOGNIZED EXPERT IN THE FIELDS OF BUDGET THEORY AND THE
BUDGET PROCESS; ONE DEAN OR DIRECTOR OR FORMER DEAN OR DIRECTOR OF A
GRADUATE SCHOOL OF BUSINESS ADMINISTRATION, PUBLIC AFFAIRS OR PUBLIC
ADMINISTRATION LOCATED IN THE STATE; ONE OFFICER OR FORMER OFFICER OR
ECONOMIC ADVISOR OF A LABOR UNION; ONE OFFICER OR FORMER OFFICER OR
ECONOMIC ADVISOR TO A BUSINESS CORPORATION; ONE OFFICER OR FORMER OFFI-
CER OF A CITY WITH A POPULATION OF ONE MILLION OR MORE; ONE OFFICER OR
FORMER OFFICER OF A COUNTY; AND ONE OFFICER OR FORMER OFFICER OF A CIVIC
OR PUBLIC INTEREST ADVOCACY ORGANIZATION DIRECTLY INVOLVED IN BUDGET
MATTERS. NO INDIVIDUAL SHALL SERVE CONSECUTIVE TERMS.
(B) THE LEGISLATIVE BUDGET OFFICE BOARD OF DIRECTORS SHALL DEVELOP
GUIDELINES FOR THE BEST PRACTICES OF THE LEGISLATIVE BUDGET OFFICE. THE
LEGISLATIVE BUDGET OFFICE BOARD OF DIRECTORS SHALL MEET ANNUALLY WITH
THE DIRECTOR TO REVIEW SUCH GUIDELINES AND TO MAKE COMMENTS AND
SUGGESTIONS ON THE OVERALL PRACTICES OF THE OFFICE. IN DEVELOPING
GUIDELINES FOR BEST PRACTICES, SUCH STANDARDS SHALL BE IN COMPLIANCE
WITH STANDARDS PROMULGATED BY THE GOVERNMENTAL ACCOUNTING STANDARDS
BOARD OR ANOTHER COMPARABLE STANDARD SETTING ENTITY WHEN PRACTICABLE.
NOTHING IN THIS SECTION SHALL PRECLUDE THE BOARD FROM USING PRONOUNCE-
MENTS; STANDARDS AND OTHER DOCUMENTS DEVELOPED AND PUBLISHED BY ORGAN-
IZATIONS THAT ARE NATIONALLY RECOGNIZED AUTHORITIES IN MATTERS PERTAIN-
ING TO PUBLIC FINANCE EXCEPT THAT THE BOARD SHALL DEVELOP SUCH BEST
PRACTICES WITH THE INTENT OF COMPLYING WITH THE GOVERNMENTAL ACCOUNTING
STANDARDS BOARD WHERE PRACTICABLE AND APPLICABLE.
(C) MEMBERS OF THE BOARD OF DIRECTORS SHALL RECEIVE NO COMPENSATION
BUT SHALL BE REIMBURSED FOR REASONABLE EXPENSES INCURRED IN CONNECTION
WITH THEIR DUTIES.
3. THE DIRECTOR OF THE LEGISLATIVE BUDGET OFFICE SHALL BE APPOINTED
WITHOUT REGARD TO POLITICAL AFFILIATION AND SOLELY ON THE BASIS OF
FITNESS TO PERFORM THE DUTIES ASSIGNED BY THIS ARTICLE. THE TERM OF
OFFICE OF THE DIRECTOR FIRST APPOINTED SHALL EXPIRE ON FEBRUARY
FIFTEENTH, TWO THOUSAND TWENTY-ONE, AND THE TERMS OF OFFICE OF DIRECTORS
SUBSEQUENTLY APPOINTED SHALL EXPIRE ON SUCH DATE IN EACH SIXTH YEAR
THEREAFTER. ANY INDIVIDUAL APPOINTED TO FILL A VACANCY PRIOR TO THE
EXPIRATION OF A TERM SHALL SERVE ONLY FOR THE UNEXPIRED PORTION OF SUCH
TERM. AN INDIVIDUAL SERVING AS DIRECTOR AT THE EXPIRATION OF THE TERM
MAY CONTINUE TO SERVE UNTIL A SUCCESSOR IS APPOINTED. ANY DIRECTOR
SERVING CONSECUTIVE TERMS SHALL BE RECOMMENDED BY THE LEGISLATIVE BUDGET
OFFICE BOARD OF DIRECTORS AND APPOINTED BY THE SPEAKER OF THE ASSEMBLY
S. 3946--A 5
AND THE TEMPORARY PRESIDENT OF THE SENATE FOR THE SECOND TERM. NO DIREC-
TOR SHALL SERVE MORE THAN TWO TERMS CONSECUTIVELY.
4. TWENTY PERCENT OF THE APPROPRIATIONS MADE TO THE DIVISION OF THE
BUDGET SHALL BE AVAILABLE TO PAY FOR THE EXPENSES OF THE LEGISLATIVE
BUDGET OFFICE DURING EACH FISCAL YEAR BEGINNING WITH THE FIRST DAY OF
APRIL AFTER THIS SECTION SHALL HAVE BECOME A LAW. THE DIRECTOR OF THE
LEGISLATIVE BUDGET OFFICE SHALL APPOINT SUCH PERSONNEL AND PROCURE THE
SERVICES OF SUCH EXPERTS AND CONSULTANTS, WITHIN THE APPROPRIATIONS
AVAILABLE THEREFOR, AS MAY BE NECESSARY FOR SUCH DIRECTOR TO CARRY OUT
THE DUTIES AND FUNCTIONS ASSIGNED PURSUANT TO THIS ARTICLE. SUCH
PERSONNEL AND EXPERTS SHALL PERFORM SUCH DUTIES AS MAY BE ASSIGNED TO
THEM BY THE DIRECTOR.
5. THE DIRECTOR MAY BE REMOVED BY EITHER A JOINT RESOLUTION OF THE
SENATE AND ASSEMBLY OR BY A VOTE OF SEVEN OUT OF TEN MEMBERS OF THE
BOARD.
6. (A) THE DIRECTOR AND DEPUTY DIRECTOR SHALL RECEIVE COMPENSATION IN
AN AMOUNT TO BE DETERMINED PURSUANT TO A CHAPTER OF THE LAWS OF TWO
THOUSAND FOURTEEN.
(B) THE DIRECTOR SHALL APPOINT AND FIX THE COMPENSATION OF SUCH
PERSONNEL AS MAY BE NECESSARY TO CARRY OUT THE DUTIES AND FUNCTIONS OF
THE OFFICE. ALL PERSONNEL OF THE OFFICE SHALL BE APPOINTED WITHOUT
REGARD TO POLITICAL AFFILIATION AND SOLELY ON THE BASIS OF THEIR FITNESS
TO PERFORM THEIR DUTIES. THE DIRECTOR MAY PRESCRIBE THE DUTIES AND
RESPONSIBILITIES OF THE PERSONNEL OF THE OFFICE, AND DELEGATE TO THEM
AUTHORITY TO PERFORM ANY OF THE DUTIES, POWERS, AND FUNCTIONS IMPOSED ON
THE OFFICE OR ON THE DIRECTOR. FOR PURPOSES OF PAY AND EMPLOYMENT BENE-
FITS, RIGHTS, AND PRIVILEGES, ALL PERSONNEL OF THE OFFICE SHALL BE
TREATED AS IF THEY WERE EMPLOYEES OF THE STATE.
7. THE DIRECTOR OF THE LEGISLATIVE BUDGET OFFICE SHALL HAVE ACCESS AT
ALL REASONABLE TIMES TO OFFICES OF STATE DEPARTMENTS, COMMISSIONS,
BOARDS, BUREAUS AND OFFICES, TO INSTITUTIONS AND TO ALL STATE AUTHORI-
TIES AND PUBLIC WORKS OF THE STATE AND THEY MAY, FOR THE PURPOSE OF
OBTAINING INFORMATION AS TO THE METHOD OF OPERATION, GENERAL CONDITION,
MANAGEMENT AND NEEDS THEREOF, EXAMINE THE BOOKS, PAPERS AND PUBLIC
RECORDS THEREIN. NOTWITHSTANDING ANY OTHER PROVISION OF LAW SUCH STATE
DEPARTMENTS, COMMISSIONS, BOARDS, BUREAUS, DIVISIONS, OFFICES, STATE
AUTHORITIES AND OTHER INSTITUTIONS SHALL, THROUGH THEIR PROPER OFFICERS
OR DEPUTIES, FURNISH TO THE DIRECTOR SUCH DATA, INFORMATION OR STATE-
MENTS AS MAY BE NECESSARY FOR THE PROPER EXERCISE OF HIS OR HER POWERS
AND DUTIES AND FOR THE PURPOSE OF CARRYING INTO EFFECT THE PROVISIONS OF
THIS ARTICLE.
8. FOR THE PURPOSES OF REVENUE LEGISLATION WHICH IS INCOME, ESTATE AND
GIFT, EXCISE, AND PAYROLL TAXES, CONSIDERED OR ENACTED IN ANY SESSION OF
THE LEGISLATURE, THE LEGISLATIVE BUDGET OFFICE SHALL CONSIDER DURING
THAT LEGISLATIVE SESSION REVENUE ESTIMATES PROVIDED TO IT BY THE DEPART-
MENT OF AUDIT AND CONTROL OR THE STATE COMPTROLLER. DURING THAT SESSION
OF THE LEGISLATURE SUCH REVENUE ESTIMATES SHALL BE TRANSMITTED BY THE
LEGISLATIVE BUDGET OFFICE TO ANY COMMITTEE OF THE ASSEMBLY OR THE SENATE
REQUESTING SUCH ESTIMATES, AND SHALL BE USED BY SUCH COMMITTEES IN
DETERMINING SUCH ESTIMATES. THE FISCAL COMMITTEES OF THE SENATE AND
ASSEMBLY SHALL DETERMINE ALL ESTIMATES WITH RESPECT TO THE EXECUTION OF
THE PURPOSES OF THIS ARTICLE. THIS SUBDIVISION SHALL NOT REQUIRE NOR
PRECLUDE THE LEGISLATIVE BUDGET OFFICE FROM USING ESTIMATES OF THE STATE
COMPTROLLER IN THE CALCULATION OF THE REVENUE FORECAST AS STIPULATED IN
SUBDIVISION FIVE OF SECTION SEVENTY-FIVE OF THIS ARTICLE.
S. 3946--A 6
S 2. Section 22 of the state finance law is amended by adding three
new subdivisions 17, 18 and 19 to read as follows:
17. DEVELOPMENT OF THE EXECUTIVE BUDGET SUBMISSION AND ENACTED BUDGET.
FOR FISCAL YEARS BEGINNING ON AND AFTER APRIL FIRST, TWO THOUSAND
FIFTEEN, THE EXECUTIVE BUDGET SUBMISSION AND THE ENACTED BUDGET COVERING
ALL EXPENDITURES OTHER THAN CAPITAL ITEMS SHALL BE PREPARED AND BALANCED
SO THE RESULTS THEREOF WOULD NOT SHOW A DEFICIT WHEN REPORTED IN ACCORD-
ANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN SECTION
TWO OF THIS CHAPTER.
18. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, BUDGETS
SUBMITTED PURSUANT TO THIS SECTION SHALL INCLUDE:
A. A DESCRIPTION OF ALL OF THE EXPENDITURES ESTIMATED TO BE MADE
BEFORE THE CLOSE OF THE CURRENT FISCAL YEAR AND ALL OF THE EXPENDITURES
PROPOSED TO BE MADE DURING THE ENSUING FISCAL YEAR, BOTH IN ACCORDANCE
WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN SECTION TWO
OF THIS CHAPTER; AND
B. A DESCRIPTION OF ALL THE REVENUES ESTIMATED TO ACCRUE BEFORE THE
CLOSE OF THE CURRENT FISCAL YEAR AND DURING THE ENSUING FISCAL YEAR,
INCLUSIVE OF ANY REVENUES WHICH ARE EXPECTED TO RESULT FROM THE PROPOSED
LEGISLATION WHICH THE GOVERNOR DEEMS NECESSARY TO PROVIDE RECEIPTS
SUFFICIENT TO MEET PROPOSED DISBURSEMENTS, ALL IN ACCORDANCE WITH GENER-
ALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN SECTION TWO OF THIS
CHAPTER.
19. THE DIVISION OF THE BUDGET SHALL PREPARE THE REPORTS, SCHEDULES,
AND OTHER INFORMATION DESCRIBED IN THIS SUBDIVISION. TO THE EXTENT PRAC-
TICABLE, SUCH REPORTS, SCHEDULES, AND INFORMATION SHALL BE IN A FORM,
AND PRESENTED AT A LEVEL OF DETAIL, THAT FACILITATES COMPARISON ON AN
ANNUAL BASIS AND AGAINST ACTUAL RESULTS, AS APPROPRIATE, AND IN A MANNER
CONSISTENT WITH THE OTHER REPORTING REQUIREMENTS ENUMERATED IN THIS
SECTION. THE REPORTS, SCHEDULES, AND OTHER INFORMATION REQUIRED BY THIS
SUBDIVISION SHALL BE SUBMITTED TO THE CHAIR OF THE SENATE FINANCE
COMMITTEE, THE CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, THE
MINORITY LEADERS OF BOTH HOUSES, AND THE COMPTROLLER ACCORDING TO THE
SCHEDULES SET FORTH IN THIS SUBDIVISION. IN DETERMINING THE FINAL
CONTENT AND FORMAT OF THE INFORMATION REQUIRED BY THIS SECTION, THE
DIVISION SHALL CONSULT ANNUALLY WITH THE DIRECTOR OF THE LEGISLATIVE
BUDGET OFFICE, THE DESIGNEES OF THE TEMPORARY PRESIDENT OF THE SENATE,
THE SPEAKER OF THE ASSEMBLY, THE MINORITY LEADERS OF BOTH HOUSES, AND
THE COMPTROLLER. ALL INFORMATION DESCRIBED IN THIS SUBDIVISION SHALL BE
MADE AVAILABLE TO THE PUBLIC.
A. THE SUMMARY FINANCIAL PLAN SUBMITTED BY THE GOVERNOR TO THE LEGIS-
LATURE, IN ADDITION TO THE INFORMATION DESCRIBED IN SUBDIVISION ONE OF
THIS SECTION, SHALL INCLUDE:
(1) A SCHEDULE OF RECEIPTS FOR THE PRIOR, CURRENT, AND NEXT FIVE
FISCAL YEARS. SUCH SCHEDULE SHALL PRESENT THE MAJOR REVENUE SOURCES FOR
EACH FUND, INCLUDING DETAIL FOR EACH MAJOR TAX AND MAJOR COMPONENTS OF
MISCELLANEOUS RECEIPTS.
(2) A DESCRIPTION OF EMPLOYMENT LEVELS FOR EACH STATE DEPARTMENT,
DIVISION OR OFFICE FOR THE PRIOR, CURRENT, AND NEXT ENSUING FISCAL YEAR
CONTAINING (A) SEPARATE SCHEDULES FOR EACH FUND TYPE AND (B) AN ALL
FUNDS SUMMARY. SUCH INFORMATION SHALL BE PRESENTED IN A FORM THAT FACIL-
ITATES COMPARISONS AMONG AGENCIES AND ACROSS FISCAL YEARS, AND SHALL
INCLUDE (I) ACTUAL AND PROJECTED FULL-TIME EQUIVALENTS AND (II) PROPOSED
CHANGES TO THE WORKFORCE IN THE EXECUTIVE BUDGET, INCLUDING NEW POSI-
TIONS, LAYOFFS, ATTRITIONS, AND CHANGES IN FUNDING SOURCES. TO THE
EXTENT PRACTICABLE, THE DIVISION OF THE BUDGET SHALL FACILITATE THE
S. 3946--A 7
PROVISION OF OTHER RELEVANT INFORMATION ON EMPLOYMENT TO THE LEGISLATURE
IN A TIMELY MANNER DURING THE STATE FISCAL YEAR.
B. THE EXECUTIVE BUDGET, THE ENACTED BUDGET REPORT AND EACH QUARTERLY
UPDATE TO THE FINANCIAL PLAN SHALL INCLUDE THE FOLLOWING INFORMATION, IN
ADDITION TO THE INFORMATION REQUIRED ELSEWHERE IN THIS SECTION AND OTHER
SECTIONS OF LAW.
(1) AN UPDATED GENERAL FUND FORECAST OF RECEIPTS AND DISBURSEMENTS FOR
THE CURRENT AND FIVE SUCCEEDING FISCAL YEARS. SUCH UPDATED FORECAST
SHALL CLEARLY IDENTIFY AND EXPLAIN THE REVISIONS TO THE RECEIPTS AND
DISBURSEMENTS PROJECTIONS FROM THE MOST RECENT PRIOR UPDATE TO THE
FINANCIAL PLAN, AND ANY SIGNIFICANT REVISIONS TO THE UNDERLYING FACTORS
AFFECTING RECEIPTS AND DISBURSEMENTS BY MAJOR FUNCTION, AND MAY INCLUDE,
BUT NOT BE LIMITED TO: CASELOAD, SERVICE, AND UTILIZATION RATES; DEMO-
GRAPHIC TRENDS; ECONOMIC VARIABLES; PENSION FUND PERFORMANCE; INCARCERA-
TION RATES; PRESCRIPTION DRUG PRICES; HEALTH INSURANCE PREMIUMS;
INFLATION; CONTRACTUAL OBLIGATIONS; LITIGATION; AND STATE EMPLOYMENT
TRENDS.
(2) A REVISED MONTHLY GENERAL FUND CASH FLOW PROJECTION OF RECEIPTS
AND DISBURSEMENTS FOR THE CURRENT FISCAL YEAR THAT (A) COMPARES ACTUAL
RESULTS TO (I) ACTUAL RESULTS THROUGH THE SAME PERIOD FOR THE PRIOR YEAR
AND (II) THE MOST RECENT PRIOR UPDATE TO THE FINANCIAL PLAN AND TO THE
ENACTED BUDGET FINANCIAL PLAN, (B) SUMMARIZES THE REASONS FOR ANY VARI-
ANCES, AND (C) DESCRIBES THE REVISIONS TO THE CASH FLOW PROJECTIONS. THE
MONTHLY GENERAL FUND CASH FLOW PROJECTION SHALL BE STATED BY MAJOR CATE-
GORY OF LOCAL ASSISTANCE, PERSONAL SERVICE, NONPERSONAL SERVICE, GENERAL
STATE CHARGES, AND DEBT SERVICE, AND BY MAJOR CATEGORY OF REVENUE.
C. THE CAPITAL PROGRAM AND FINANCING PLAN SUBMITTED PURSUANT TO
SECTION TWENTY-TWO-C OF THIS ARTICLE, AND THE UPDATE THERETO REQUIRED
PURSUANT TO SECTION TWENTY-THREE OF THIS ARTICLE, SHALL INCLUDE A REPORT
ON THE MANAGEMENT OF STATE-SUPPORTED DEBT. SUCH REPORT MAY INCLUDE, BUT
IS NOT LIMITED TO: (1) AN ASSESSMENT OF THE AFFORDABILITY OF STATE DEBT,
INCLUDING DEBT AS A PERCENT OF PERSONAL INCOME, DEBT PER CAPITA, AND
DEBT SERVICE COSTS AS A PERCENT OF THE BUDGET, (2) A SUMMARY AND ANALY-
SIS OF THE INTEREST RATE EXCHANGE AGREEMENTS AND VARIABLE RATE EXPOSURE,
AND (3) AN ASSESSMENT OF FINANCING OPPORTUNITIES RELATED TO THE STATE'S
DEBT PORTFOLIO.
S 3. Paragraph (a) of subdivision 2 of section 54 of the legislative
law, as added by chapter 1 of the laws of 2007, is amended and a new
paragraph (d) is added to read as follows:
(a) The legislature shall enact a budget for the upcoming fiscal year
that it determines is balanced [in the] ON A general fund, STATE FUNDS
AND ALL FUNDS BASIS. THE LEGISLATURE SHALL MAKE THIS DETERMINATION IN
ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN
SECTION TWO OF THE STATE FINANCE LAW.
(D) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, BUDGETS
SUBMITTED PURSUANT TO THIS SECTION SHALL INCLUDE:
(I) ALL OF THE EXPENDITURES ESTIMATED TO BE MADE BEFORE THE CLOSE OF
THE CURRENT FISCAL YEAR AND ALL OF THE EXPENDITURES PROPOSED TO BE MADE
DURING THE ENSUING FISCAL YEAR, BOTH IN ACCORDANCE WITH GENERALLY
ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN SECTION TWO OF THE STATE
FINANCE LAW; AND
(II) A DESCRIPTION OF ALL OF THE REVENUES ESTIMATED TO ACCRUE BEFORE
THE CLOSE OF THE CURRENT FISCAL YEAR AND DURING THE ENSUING FISCAL YEAR,
INCLUSIVE OF ANY REVENUES WHICH ARE EXPECTED TO RESULT FROM THE PROPOSED
LEGISLATION WHICH THE LEGISLATURE DEEMS NECESSARY TO PROVIDE RECEIPTS
SUFFICIENT TO MEET PROPOSED DISBURSEMENTS, ALL IN ACCORDANCE WITH GENER-
S. 3946--A 8
ALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN SECTION TWO OF THE
STATE FINANCE LAW.
S 4. The state finance law is amended by adding a new section 28 to
read as follows:
S 28. AGENCY STRATEGIC AND PERFORMANCE PLANS AND PERFORMANCE BUDGET-
ING REQUIREMENTS. 1. DEFINITIONS. WHEN USED IN THIS SECTION:
(A) "AGENCY" MEANS AND INCLUDES "STATE AGENCY" AND "COVERED AUTHORITY"
AS DEFINED IN SECTION TWO-A OF THIS CHAPTER;
(B) "OUTCOME MEASURE" MEANS AN ASSESSMENT OF THE RESULTS OF A PROGRAM
ACTIVITY COMPARED TO ITS INTENDED PURPOSE;
(C) "OUTPUT MEASURE" MEANS THE TABULATION, CALCULATION, OR RECORDING
OF ACTIVITY OR EFFORT AND CAN BE EXPRESSED IN A QUANTITATIVE OR QUALITA-
TIVE MANNER;
(D) "PROGRAM ASSESSMENT RATING TOOL" MEANS A TOOL DEVELOPED BY THE
DIVISION OF THE BUDGET TO EVALUATE THE EFFECTIVENESS OF PROGRAMS AND
PROGRAM ACTIVITY;
(E) "PERFORMANCE GOAL" MEANS A TARGET LEVEL OF PERFORMANCE EXPRESSED
AS A TANGIBLE, MEASURABLE OBJECTIVE, AGAINST WHICH ACTUAL ACHIEVEMENT
CAN BE COMPARED, INCLUDING A GOAL EXPRESSED AS A QUANTITATIVE STANDARD,
VALUE, OR RATE;
(F) "PERFORMANCE INDICATOR" MEANS A PARTICULAR VALUE OR CHARACTERISTIC
USED TO MEASURE OUTPUT OR OUTCOME;
(G) "PROGRAM ACTIVITY" MEANS A SPECIFIC ACTIVITY OR PROJECT OF THE
PROGRAM AND MEANS AND INCLUDES ANY EXPENDITURE FOR ANY PURPOSE TO ANY
CLASS OR GROUPING OF VENDORS THAT INCLUDES MORE THAN ONE VENDOR; AND
(H) "PROGRAM EVALUATION" MEANS AN ASSESSMENT, THROUGH OBJECTIVE MEAS-
UREMENT AND SYSTEMATIC ANALYSIS, OF THE MANNER AND EXTENT TO WHICH
PROGRAMS ACHIEVE INTENDED OBJECTIVES.
2. STRATEGIC PLAN. (A) NOT LATER THAN THE START OF THE FISCAL YEAR
BEGINNING IN TWO THOUSAND FIFTEEN EACH AGENCY SHALL SUBMIT TO THE DIREC-
TOR OF THE BUDGET AND TO THE DIRECTOR OF THE LEGISLATIVE BUDGET OFFICE A
STRATEGIC PLAN FOR PROGRAM ACTIVITIES. SUCH PLAN SHALL INCLUDE:
(1) A COMPREHENSIVE MISSION STATEMENT COVERING THE MAJOR FUNCTIONS AND
OPERATIONS OF THE AGENCY;
(2) GENERAL GOALS AND OBJECTIVES, INCLUDING OUTCOME-RELATED GOALS AND
OBJECTIVES, FOR THE MAJOR FUNCTIONS AND OPERATIONS OF THE AGENCY;
(3) A DESCRIPTION OF HOW THE GOALS AND OBJECTIVES ARE TO BE ACHIEVED,
INCLUDING A DESCRIPTION OF THE OPERATIONAL PROCESSES, SKILLS AND TECH-
NOLOGY, AND THE HUMAN, CAPITAL, INFORMATION, AND OTHER RESOURCES
REQUIRED TO MEET THOSE GOALS AND OBJECTIVES;
(4) A DESCRIPTION OF HOW THE PERFORMANCE GOALS INCLUDED IN THE
PERFORMANCE PLAN REQUIRED BY THIS SECTION SHALL BE RELATED TO THE GENER-
AL GOALS AND OBJECTIVES IN THE STRATEGIC PLAN;
(5) AN IDENTIFICATION OF KEY FACTORS EXTERNAL TO THE AGENCY AND BEYOND
ITS CONTROL THAT COULD SIGNIFICANTLY AFFECT THE ACHIEVEMENT OF THE
GENERAL GOALS AND OBJECTIVES; AND
(6) A DESCRIPTION OF THE PROGRAM EVALUATIONS USED IN ESTABLISHING OR
REVISING GENERAL GOALS AND OBJECTIVES, WITH A SCHEDULE FOR FUTURE
PROGRAM EVALUATIONS.
(B) THE STRATEGIC PLAN SHALL COVER A PERIOD OF NOT LESS THAN FIVE
YEARS FORWARD FROM THE FISCAL YEAR IN WHICH IT IS SUBMITTED, AND SHALL
BE UPDATED AND REVISED AT LEAST EVERY THREE YEARS.
(C) WHEN DEVELOPING A STRATEGIC PLAN, THE AGENCY SHALL CONSULT WITH
THE APPROPRIATE COMMITTEE OR COMMITTEES OF THE LEGISLATURE, INCLUDING
COMMITTEES WHICH OVERSEE THEIR AREA OF OPERATIONS PROGRAMMATICALLY OR
S. 3946--A 9
FISCALLY, AND SHALL SOLICIT AND CONSIDER THE VIEWS OF ENTITIES POTEN-
TIALLY AFFECTED BY OR INTERESTED IN SUCH A PLAN.
3. PERFORMANCE PLANS AND REPORTS. (A) ANY OTHER PROVISION OF ANY
OTHER LAW TO THE CONTRARY NOTWITHSTANDING, BEGINNING WITH FISCAL YEAR
TWO THOUSAND FIFTEEN, THE DIRECTOR OF THE BUDGET SHALL INCLUDE A
PERFORMANCE PLAN AS PART OF THE BUDGET SUBMITTED ANNUALLY BY THE GOVER-
NOR TO THE LEGISLATURE, IN ACCORDANCE WITH ARTICLE SEVEN OF THE CONSTI-
TUTION. IN SUCH SUBMISSION, THE DIRECTOR SHALL REPORT TO THE GOVERNOR
AND THE LEGISLATURE CONCERNING ANY SIGNIFICANT DIFFICULTIES EXPERIENCED
BY AGENCIES IN PREPARING PLANS AND REPORTS AND SET FORTH ANY RECOMMENDED
CHANGES IN THE REQUIREMENTS OF THIS SECTION. THE DIRECTOR OF THE BUDGET
MAY EXEMPT FROM THE REQUIREMENTS OF THIS SECTION ANY AGENCY WITH AN
ALL-FUNDS ANNUAL BUDGET OF TEN MILLION DOLLARS OR LESS.
(B) THE PERFORMANCE PLAN SUBMITTED BY EACH AGENCY SHALL BE CONSISTENT
WITH THE AGENCY'S STRATEGIC PLAN. A PERFORMANCE PLAN MAY NOT BE SUBMIT-
TED FOR A FISCAL YEAR NOT COVERED BY A CURRENT STRATEGIC PLAN UNDER THIS
SECTION. IN ADDITION TO ANY OTHER REQUIREMENTS OF THIS SECTION, THE
PERFORMANCE PLAN SHALL USE THE PROGRAM ASSESSMENT RATING TOOL TO EVALU-
ATE ITS PROGRAMS.
(C) ON AND AFTER FISCAL YEAR TWO THOUSAND FIFTEEN, THE DIRECTOR OF THE
BUDGET SHALL REQUIRE EACH AGENCY TO PREPARE AN ANNUAL PERFORMANCE PLAN
COVERING EACH PROGRAM ACTIVITY SET FORTH IN THE BUDGET OF SUCH AGENCY.
SUCH PLAN SHALL:
(1) ESTABLISH PERFORMANCE GOALS TO DEFINE THE LEVEL OF PERFORMANCE TO
BE ACHIEVED BY A PROGRAM ACTIVITY;
(2) EXPRESS SUCH GOALS IN AN OBJECTIVE, QUANTIFIABLE, AND MEASURABLE
FORM UNLESS AUTHORIZED TO BE IN AN ALTERNATIVE FORM PURSUANT TO THIS
SUBDIVISION;
(3) BRIEFLY DESCRIBE THE OPERATIONAL PROCESSES, SKILLS AND TECHNOLOGY,
AND THE HUMAN, CAPITAL, INFORMATION, OR OTHER RESOURCES REQUIRED TO MEET
THE PERFORMANCE GOALS;
(4) ESTABLISH PERFORMANCE INDICATORS TO BE USED IN MEASURING OR
ASSESSING THE RELEVANT OUTPUTS, SERVICE LEVELS, AND OUTCOMES OF EACH
PROGRAM ACTIVITY;
(5) PROVIDE A BASIS FOR COMPARING ACTUAL PROGRAM RESULTS WITH THE
ESTABLISHED PERFORMANCE GOALS; AND
(6) DESCRIBE THE MEANS TO BE USED TO VERIFY AND VALIDATE MEASURED
VALUES.
(D) IF AN AGENCY, IN CONSULTATION WITH THE DIRECTOR OF THE BUDGET,
DETERMINES THAT IT IS NOT FEASIBLE TO EXPRESS THE PERFORMANCE GOALS FOR
A PARTICULAR PROGRAM ACTIVITY IN AN OBJECTIVE, QUANTIFIABLE, AND MEASUR-
ABLE FORM, THE DIRECTOR MAY AUTHORIZE AN ALTERNATIVE FORM. SUCH ALTERNA-
TIVE SHALL BE IN A FORM AUTHORIZED BY THE DIRECTOR, AND
(1) SHALL HAVE SUFFICIENT PRECISION AND BE IN TERMS THAT ALLOW FOR AN
ACCURATE, INDEPENDENT DETERMINATION OF WHETHER THE PROGRAM ACTIVITY'S
PERFORMANCE MEETS THE CRITERIA OF THE DESCRIPTION; OR
(2) BE A STATEMENT AS TO WHY IT IS INFEASIBLE OR IMPRACTICAL FOR THE
AGENCY TO EXPRESS A PERFORMANCE GOAL IN ANY FORM FOR THE PROGRAM ACTIV-
ITY.
(E) FOR THE PURPOSE OF COMPLYING WITH THIS SECTION, AN AGENCY MAY
AGGREGATE, DISAGGREGATE, OR CONSOLIDATE PROGRAM ACTIVITIES, EXCEPT THAT
ANY AGGREGATION OR CONSOLIDATION MAY NOT OMIT OR MINIMIZE THE SIGNIF-
ICANCE OF ANY PROGRAM ACTIVITY CONSTITUTING A MAJOR FUNCTION OR OPERA-
TION FOR THE AGENCY.
(F) ON A DATE SET BY THE DIRECTOR OF THE BUDGET, EACH AGENCY SHALL
PREPARE AND SUBMIT TO THE DIRECTOR A REPORT ON PROGRAM PERFORMANCE FOR
S. 3946--A 10
THE PREVIOUS FISCAL YEAR FOR INCLUSION IN THE STATE BUDGET SUBMITTED
ANNUALLY BY THE GOVERNOR TO THE LEGISLATURE, IN ACCORDANCE WITH ARTICLE
SEVEN OF THE CONSTITUTION.
(G) EACH PROGRAM PERFORMANCE REPORT SHALL SET FORTH THE PERFORMANCE
INDICATORS ESTABLISHED IN THE AGENCY PERFORMANCE PLAN, ALONG WITH THE
ACTUAL PROGRAM PERFORMANCE ACHIEVED COMPARED WITH THE PERFORMANCE GOALS
EXPRESSED IN THE PLAN FOR THE PRECEDING FISCAL YEAR.
(H) IF PERFORMANCE GOALS ARE SPECIFIED IN AN ALTERNATIVE FORM AS
AUTHORIZED BY THIS SECTION, THE RESULTS OF SUCH PROGRAM SHALL BE
DESCRIBED IN RELATION TO SUCH SPECIFICATIONS.
(I) THE REPORT FOR FISCAL YEAR TWO THOUSAND FIFTEEN SHALL INCLUDE
ACTUAL RESULTS FOR THE PRECEDING FISCAL YEAR, THE REPORT FOR FISCAL YEAR
TWO THOUSAND SIXTEEN SHALL INCLUDE ACTUAL RESULTS FOR THE TWO PRECEDING
FISCAL YEARS, AND THE REPORT FOR FISCAL YEAR TWO THOUSAND SEVENTEEN AND
ALL SUBSEQUENT REPORTS SHALL INCLUDE ACTUAL RESULTS FOR THE THREE
PRECEDING FISCAL YEARS.
4. EACH REPORT SHALL: (A) REVIEW THE SUCCESS OF ACHIEVING THE PERFORM-
ANCE GOALS OF THE FISCAL YEAR;
(B) EVALUATE THE PERFORMANCE PLAN FOR THE CURRENT FISCAL YEAR RELATIVE
TO THE PERFORMANCE ACHIEVED TOWARD THE PERFORMANCE GOALS IN THE FISCAL
YEAR COVERED BY THE REPORT;
(C) EXPLAIN AND DESCRIBE, WHERE A PERFORMANCE GOAL HAS NOT BEEN MET
WHY THE GOAL WAS NOT MET, PLANS AND SCHEDULES FOR ACHIEVING THE ESTAB-
LISHED PERFORMANCE GOAL, AND IF THE PERFORMANCE GOAL IS IMPRACTICAL OR
INFEASIBLE, WHY THAT IS THE CASE AND WHAT ACTION IS RECOMMENDED; AND
(D) INCLUDE THE SUMMARY FINDINGS OF THOSE PROGRAM EVALUATIONS
COMPLETED DURING THE FISCAL YEAR COVERED BY THE REPORT.
5. MANAGERIAL ACCOUNTABILITY AND FLEXIBILITY. (A) ANY OTHER PROVISION
OF ANY OTHER LAW TO THE CONTRARY NOTWITHSTANDING, PERFORMANCE PLANS
REQUIRED HEREUNDER MAY INCLUDE PROPOSALS TO WAIVE ADMINISTRATIVE PROCE-
DURAL REQUIREMENTS AND CONTROLS IN RETURN FOR SPECIFIC INDIVIDUAL OR
ORGANIZATION ACCOUNTABILITY TO ACHIEVE A PERFORMANCE GOAL. IN PREPARING
AND SUBMITTING THE PERFORMANCE PLAN THE DIRECTOR OF THE BUDGET SHALL
REVIEW AND MAY APPROVE ANY PROPOSED WAIVERS. A WAIVER SHALL TAKE EFFECT
AT THE BEGINNING OF THE FISCAL YEAR FOR WHICH THE WAIVER IS APPROVED.
(B) ANY SUCH PROPOSAL FOR WAIVER SHALL DESCRIBE THE ANTICIPATED
EFFECTS ON PERFORMANCE RESULTING FROM GREATER MANAGERIAL OR ORGANIZA-
TIONAL FLEXIBILITY, DISCRETION, AND AUTHORITY, AND SHALL QUANTIFY THE
EXPECTED IMPROVEMENTS IN PERFORMANCE RESULTING FROM ANY WAIVER. THE
EXPECTED IMPROVEMENTS SHALL BE COMPARED TO CURRENT ACTUAL PERFORMANCE,
AND TO THE PROJECTED LEVEL OF PERFORMANCE THAT WOULD BE ACHIEVED INDE-
PENDENT OF ANY WAIVER.
(C) A PROPOSED WAIVER OF PROCEDURAL REQUIREMENTS OR CONTROLS IMPOSED
SHALL NOT BE INCLUDED IN A PERFORMANCE PLAN UNLESS IT IS ENDORSED BY THE
AGENCY THAT ESTABLISHED THE REQUIREMENT, AND THE ENDORSEMENT INCLUDED IN
THE PROPOSING AGENCY'S PERFORMANCE PLAN.
(D) A WAIVER SHALL BE IN EFFECT FOR ONE OR TWO YEARS AS SPECIFIED BY
THE DIRECTOR OF THE BUDGET IN APPROVING THE WAIVER. A WAIVER MAY BE
RENEWED FOR A SUBSEQUENT YEAR. AFTER A WAIVER HAS BEEN IN EFFECT FOR
THREE CONSECUTIVE YEARS, THE PERFORMANCE PLAN MAY PROPOSE THAT A WAIVER
BE MADE PERMANENT.
(E) THE DIRECTOR SHALL NOT BE EMPOWERED TO WAIVE ANY STATUTORY
REQUIREMENT, BUT MAY SUBMIT LEGISLATION WITH THE BUDGET ALLOWING FOR
SUCH WAIVER.
6. PERFORMANCE BUDGETING. (A) THE DIRECTOR OF THE BUDGET, AFTER
CONSULTATION WITH EACH AGENCY AND THE DIRECTOR OF THE LEGISLATIVE BUDGET
S. 3946--A 11
OFFICE, SHALL DESIGNATE NOT LESS THAN FIVE AGENCIES AS PILOT PROJECTS IN
PERFORMANCE BUDGETING FOR FISCAL YEARS TWO THOUSAND SIXTEEN AND TWO
THOUSAND SEVENTEEN. THE AGENCIES SHALL REFLECT A REPRESENTATIVE RANGE
OF GOVERNMENT FUNCTIONS AND CAPABILITIES IN MEASURING AND REPORTING
PROGRAM PERFORMANCE.
(B) PILOT PROJECTS IN THE DESIGNATED AGENCIES SHALL COVER THE PREPARA-
TION OF PERFORMANCE BUDGETS. SUCH BUDGETS SHALL PRESENT, FOR ONE OR
MORE OF THE MAJOR FUNCTIONS AND OPERATIONS OF THE AGENCY, THE VARYING
LEVELS OF PERFORMANCE, INCLUDING OUTCOME-RELATED PERFORMANCE, THAT WOULD
RESULT FROM DIFFERENT BUDGETED AMOUNTS.
(C) THE DIRECTOR OF THE BUDGET SHALL INCLUDE, AS AN ALTERNATIVE BUDGET
PRESENTATION IN THE BUDGET SUBMITTED FOR FISCAL YEAR TWO THOUSAND
SIXTEEN, THE PERFORMANCE BUDGETS OF THE DESIGNATED AGENCIES FOR THIS
FISCAL YEAR.
(D) NO LATER THAN MARCH THIRTY-FIRST, TWO THOUSAND SEVENTEEN, THE
DIRECTOR OF THE BUDGET SHALL TRANSMIT A REPORT TO THE GOVERNOR, THE
LEGISLATURE AND THE LEGISLATIVE BUDGET OFFICE ON PERFORMANCE BUDGETING.
SUCH REPORT SHALL:
(1) ASSESS THE FEASIBILITY AND ADVISABILITY OF INCLUDING A PERFORMANCE
BUDGET AS PART OF THE ANNUAL BUDGET;
(2) DESCRIBE ANY DIFFICULTIES ENCOUNTERED IN PREPARING A PERFORMANCE
BUDGET;
(3) RECOMMEND WHETHER LEGISLATION REQUIRING PERFORMANCE BUDGETS SHOULD
BE PROPOSED AND THE GENERAL PROVISIONS OF ANY LEGISLATION; AND
(4) SET FORTH ANY RECOMMENDED CHANGES IN THE OTHER REQUIREMENTS OF
THIS SECTION.
7. REPORT BY THE DIVISION OF THE BUDGET. THE DIRECTOR OF THE BUDGET,
AFTER CONSULTATION WITH EACH AGENCY, SHALL ESTABLISH TIMELINES, PROCE-
DURES, FORMS AND OTHER NECESSARY MEASUREMENTS AND DOCUMENTATION REQUIRED
BY THIS SECTION NOT LATER THAN SEPTEMBER FIRST, TWO THOUSAND FOURTEEN,
AND SHALL SHARE SUCH SCHEDULES AND DATA WITH THE FISCAL COMMITTEES OF
THE LEGISLATURE AND THE LEGISLATIVE BUDGET OFFICE. SUCH REPORT SHALL
INCLUDE THE PROGRAM ASSESSMENT RATING TOOL.
8. TRAINING. THE DIRECTOR OF THE BUDGET, AFTER CONSULTATION WITH THE
OFFICE OF EMPLOYEE RELATIONS, THE DEPARTMENT OF CIVIL SERVICE, AND THE
DEPARTMENT OF LABOR, SHALL DEVELOP A STRATEGIC PLANNING AND PERFORMANCE
MEASUREMENT TRAINING COMPONENT FOR MANAGEMENT TRAINING PROGRAMS AND
OTHERWISE PROVIDE MANAGERS WITH AN ORIENTATION ON THE DEVELOPMENT AND
USE OF STRATEGIC PLANNING AND PROGRAM PERFORMANCE MEASUREMENT.
9. APPLICATION. NO PROVISION OR AMENDMENT MADE BY THIS SECTION SHALL
BE CONSTRUED AS CREATING ANY RIGHT, PRIVILEGE, BENEFIT, OR ENTITLEMENT
FOR ANY PERSON WHO IS NOT AN OFFICER OR EMPLOYEE OF THE STATE ACTING IN
SUCH CAPACITY, AND NO PERSON WHO IS NOT AN OFFICER OR EMPLOYEE OF THE
STATE ACTING IN SUCH CAPACITY SHALL HAVE STANDING TO FILE ANY CIVIL
ACTION IN A COURT OF THIS STATE TO ENFORCE ANY PROVISION OR AMENDMENT
MADE BY THIS SECTION.
S 5. This act shall take effect immediately.