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The effective date for bills enacted without a safety clause is August 6, 2025, if the General Assembly adjourns sine die on May 7, 2025 (unless otherwise specified). Details

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HB25-1216

State Agencies Implement Zero-Based Budgeting

Concerning a requirement that state agencies implement zero-based budgeting.
Session:
2025 Regular Session
Subjects:
State Government
State Revenue & Budget
Bill Summary

In state fiscal year 2026-27, the bill requires the department of revenue, the department of education, and the department of transportation to implement a budgeting method in which all expenses, both existing and new, must be justified for the fiscal year and every function is analyzed for its needs and costs (zero-based budgeting) when submitting a budget request. In state fiscal year 2027-28 and each state fiscal year thereafter, the bill requires all state agencies in all principal departments to implement zero-based budgeting when submitting a budget request.

In state fiscal year 2026-27 and each state fiscal year thereafter, the office of state planning and budgeting is required to develop and digitally distribute to state agencies information related to zero-based budgeting training and to provide virtual sessions for the purpose of training state agencies to implement zero-based budgeting. In state fiscal year 2027-28 and each state fiscal year thereafter, the office of state planning and budgeting is required to submit to the general assembly an annual report detailing the effectiveness of zero-based budgeting.

All budget requests that implement zero-based budgeting must be publicly accessible on the general assembly's website, and the state auditor is required to conduct periodic financial audits to ensure state agencies' compliance with zero-based budgeting requirements.


(Note: This summary applies to this bill as introduced.)

Status

Introduced
Lost

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Bill Text