63J-1-104. Revenue types — Disposition of free revenue and restricted revenue.
(1)
Terms Used In Utah Code 63J-1-104
Agency: means a unit of accounting, typically associated with a department, division, board, council, committee, institution, office, bureau, or other similar administrative unit of state government, that includes line items and programs. See Utah Code 63J-1-102
Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
Free revenue: includes :
(a)
collections that are required by law to be deposited in:
(i)
the General Fund;
(ii)
the Income Tax Fund;
(iii)
the Uniform School Fund; or
(iv)
the Transportation Fund;
(b)
collections that are not otherwise designated by law;
(c)
collections that are not externally restricted; and
(d)
collections that are not included in an approved budget execution plan. See Utah Code 63J-1-102
Line item: means a unit of accounting, typically representing an administrative unit of state government within an agency, that contains one or more programs. See Utah Code 63J-1-102
Program: means a unit of accounting included on a schedule of programs within a line item used to track budget authorizations, collections, and expenditures on specific purposes or functions. See Utah Code 63J-1-102
Restricted revenue: means collections that are:
(a)
deposited, by law, into a separate fund, subfund, or account; and
State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
(a)
The Division of Finance shall:
(i)
account for revenues in accordance with generally accepted accounting principles; and
(ii)
use the major revenue types in internal accounting.
(b)
Each agency shall:
(i)
use the major revenue types to account for revenues;
expend revenues and public funds as required by this chapter.
(2)
(a)
Each agency shall deposit its free revenues into the appropriate fund.
(b)
An agency may expend free revenues up to the amount specifically appropriated by the Legislature.
(c)
Any free revenue funds appropriated by the Legislature to an agency that remain unexpended at the end of the fiscal year lapse to the source fund unless the Legislature provides by law that those funds are nonlapsing.
(3)
(a)
Each agency shall deposit its restricted revenues into the applicable restricted account or fund.
(b)
Revenues in a restricted account or fund do not lapse to another account or fund unless otherwise specifically provided for by law or legislative appropriation.
(c)
The Legislature may appropriate restricted revenues from a restricted account or fund for the specific purpose or program designated by law.
(d)
If the fund equity of a restricted account or fund is insufficient to provide the accounts appropriated from it by the Legislature, the Division of Finance may reduce the appropriation to a level that ensures that the fund equity is not less than zero.
(e)
Any restricted revenues appropriated by the Legislature to an agency that remain unexpended at the end of the fiscal year lapse to the applicable restricted account or fund unless the Legislature provides by law that those appropriations, or the program or line item financed by those appropriations, are nonlapsing.
(4)
Unless otherwise specifically provided by law, when an agency has a program or line item that is funded by both free revenue and restricted revenue, an agency shall expend those revenues based upon a proration of the amounts appropriated from each of those major revenue types.
