Current through all regulations passed and filed through September 16, 2024
(A) As used in this rule:
(1) "Appropriation," "Disbursement,"
"Expenditure," "Encumbrancing document," "Fund," and "Warrant" have the same
meaning as defined in section
131.01 of the Revised
Code.
(2) "Lack of funds" has the
same meaning as defined in section
124.321 of the Revised
Code.
(B) This rule
applies to appointing authorities that employ persons whose salary or wage is
paid by warrant of the director of budget and management, the director shall
determine whether there is a lack of funds within an appointing authority such
that employees may be laid off under section
124.321 of the Revised
Code.
(C) If an appointing
authority determines it is necessary to reduce its workforce pursuant to
section 124.321 of the Revised Code, the
appointing authority may request the director of budget and management to
determine if a lack of funds exists.
(D)
(1) The
director shall first determine whether an appropriation or fund within an
appointing authority has a current or projected deficiency of funding necessary
to maintain current, or to sustain projected levels of staffing and operations.
In order to make such a determination, the director shall
consider the following:
(a) The
expenditures already charged to the appropriation, the encumbrancing documents
reserved against the appropriation, and the projected disbursements for the
remainder of the fiscal year, including termination or unemployment costs that
may be incurred in the event of a layoff.
(b) The adjusted, remaining amount of
appropriation in the fiscal year.
(c) If the appropriation is made from a fund
other than the general revenue fund, the cash balance of and anticipated
revenues in the fund.
(2) If the director determines that the
adjusted, remaining amount of appropriation or, if applicable, the fund's cash
balance and anticipated revenues are not sufficient to pay for the current
expenditures, emcumbrancing documents, and projected disbursements identified
in paragraph (D)(1)(a) of this rule for the remainder of the fiscal
year, the director shall find that the appropriation or fund has a current or
projected deficiency of funding.
(E)
(1) If
the director finds that an appropriation or fund has a current or projected
deficiency of funding under paragraph (D) of this rule, the
director may analyze all appropriations made to the appointing authority in
order to determine whether there is a lack of funds within an appointing
authority.
In order to make such a determination, the director shall
consider the following:
(a) For each
appropriation expenditures already charged to the appropriation, the
encumbrancing documents reserved against the appropriation, and the projected
disbursements for the remainder of the fiscal year, including termination or
unemployment costs that may be incurred in the event of a layoff.
(b) For each appropriation, the adjusted,
remaining amount of appropriation in the fiscal year.
(c) If the appropriation is made from a fund
other than the general revenue fund, the cash balance of and the anticipated
revenues in the fund.
(2) If the director determines that the
adjusted, remaining amount of appropriation and anticipated revenues in all
funds, inclusive of any transfer of all or part of an appropriation or cash
between funds or appropriation items or other appropriate action that is
otherwise authorized by law would not correct a current deficiency or avoid a
projected deficiency of funding in an appropriation or fund because the
adjusted, remaining appropriation and anticipated revenues are not sufficient
to pay for the current expenditures, encumbrancing documents, and projected
disbursements identified in paragraph (D)(1)(a) of this rule, the director may
find that there is a lack of funds within the appointing authority.
(3) In order to make such a determination,
the director may also consider whether a transfer of all or part of an
appropriation or cash in excess of need between funds or appropriation items or
other appropriate action that is otherwise authorized by law would correct a
current deficiency or avoid a projected deficiency of funding in an
appropriation or fund.
(F)
(1)
Notwithstanding paragraphs (D) and (E) of this rule, the director may determine
that there is a lack of funds within an appointing authority if the director
finds that a program within the appointing authority has a current or projected
deficiency of funding, necessary to maintain current, or to sustain projected
levels of program staffing and operations for the programs funded by the
federal government, special revenue accounts, or proprietary accounts.
In order to make such a determination, the director shall
consider the following:
(a) For any
appropriation made to the appointing authority for the program and any fund
which appears to have a deficiency of funding for the program, the adjusted,
remaining amount of appropriation in the fiscal year.
(b) The program expenditures already charged
to the appropriation, the encumbrancing documents reserved against the
appropriation, and the projected disbursements for the remainder of the fiscal
year, including termination or unemployment costs that may be incurred in the
event of a layoff.
(c) Whether the
cash balance and anticipated revenues in the fund supporting the program are
sufficient to maintain the current or projected levels of program staffing and
operations.
(d) If the director
determines that the fund's cash balance and anticipated revenues are not
sufficient to maintain the current or projected levels of program staffing and
operations, the director may find that the fund has a current, or to sustain
projected deficiency of funding. On the basis of such a deficiency, the
director may find that there is a lack of funds within an appointing
authority.
(2) For
purposes of this paragraph, the director shall determine which accounts
constitute "special revenue accounts" and "proprietary accounts" as indicated
by the prevailing appropriations acts of the general assembly.
(G) For the purposes of paragraphs
(E) and (F) of this rule, the director is not required to analyze all
appropriations made to the appointing authority. The director is not required
to ascertain whether a transfer of all or part of an appropriation or a
transfer between funds of all or part of a cash balance in excess of need or
other action would correct a current, or to sustain projected deficiency of
funding necessary to maintain current or projected levels of program staffing
and operations.
(H) Whenever a
program receives funding through a grant or similar mechanism, a lack of funds
shall be presumed for the positions assigned to and the employees who work
under the program if the funding is reduced or withdrawn for any
reason.
(I) Notwithstanding the
other paragraphs of this rule, the director may determine that there is a lack
of funds within an appointing authority if the cash balance of a fund
appropriated for both employee compensation and state distributed subsidy or
grant payments has a current or projected deficiency in cash for those
purposes. In making this determination, the director may consider the legally
authorized expenditures of the fund, the intent of the subsidy or grant
payments, and the need to continue to make such subsidy or grant
payments.
(J) After following the
provisions of this rule, the director shall make a determination regarding the
status of funds within the appointing authority. If the director finds that
there is a lack of funds within an appointing authority, the director shall
inform the appointing authority of the amount of the current or projected
deficiency of funding necessary to maintain current, or to sustain projected
levels of staffing and operations.
