CHARACTERISTICS OF TYPES OF FUNDS FUND TYPE SOURCE OF FUNDS CHARACTERISTICS EXAMPLES GENERAL REVENUE Taxes levied on the General Population with no restrictions on usage by law 3% to 4% deducted for administrative service charge Interest earnings go to construction and loans Legislature distributes funds each year through Revenue Stabilization Law for operating budgets Fund balances usually authorized for supplementals and construction fund (exceptions are Education, Public School and Higher Education Institutions) Sales tax Income tax Insurance premium tax Racing taxes Alcoholic beverages SPECIAL REVENUE Fees and taxes levied on user of services. Funds earmarked to support specified programs & cannot be used for anything else 1 1/2 to 2% or 3% to 4% deducted for administrative service charge interest earnings go to construction and loans (Except Highway and Game & Fish) Agencies retain all balances Gasoline tax Hunting & fishing licenses Various regulatory fees required to be in the State Treasury FEDERAL FUNDS IN STATE TREASURY Monies from the Federal Government either as a reimbursement or a grant for programs under Federal rules and regulations No deduction for administrative service charge Interest earnings go to Federal Government Fund balances retained by agencies for federal program Medicaid (70.88% / 29.12%) Interstate Highways (90% / 10%) OES (50% / 50%) DDSSA (100% Fed) MISCELLANEOUS AND REVOLVING FUNDS Variety of sources usually for reimbursement for services provided to public or state agencies. Sometimes used as a means to be exempt from the administrative service charge No deduction for administrative service charge Balance retained Interest earnings go to construction and loan funds Dept. of Information Systems Geology Map Sales DFA Marketing and Redistribution Education Public School Revolving Loan TRUST Various entities for which the state is the trustee and held for safekeeping No deduction for administrative service charge Balance retained Interest earnings retained and invested by agency or board of trustees Retirement Systems Nursing Home Closures Private Career Schools Closures Landfill Closures CASH Funds authorized by law to be deposited in banks instead of State Treasury (Some cash funds now reside in State Treasury under program managed by State Treasurer) Balance retained Interest earnings retained and invested by agency or board of trustees or State Treasurer Higher Education tuition, fees & ticket sales Workforce Services unemployment taxes Other: University Hospital fees and billings Various occupational boards and commissions Arkansas Bureau of Legislative Research 05/29/2014 1
CHARACTERISTICS OF SELECTED STATE TREASURY FUNDS FUND NAME SOURCE OF FUNDS USE OF FUNDS MISCELLANEOUS CHARACTERISTICS BUDGET STABILIZATION TRUST ½ Interest earnings on State Treasury Balances Cash flow loans to State Treasury funds + Emergency GENERAL IMPROVEMENT ½ Interest earnings on State Treasury balances + Transfer from General Revenue Allotment Reserve + Other Transfers Authorized by Law Construction & other non-recurring expenses GOVERNOR'S EMERGENCY CONSTITUTIONAL OFFICERS Budget Stabilization Trust Fund Emergencies & other projects - Normally $500,000/yr authorized 1% of General & Special Revenue Constitutional Required Expenditures STATE CENTRAL SERVICES 2% to 3% of General & Special Revenue + Bal. of Const. Officers over 7% of funded appropriation + Budget Stabilization Trust Fund Expenses of DFA + Constitutional Officer-Staff EDUCATIONAL EXCELLENCE TRUST 14.14% of Previous Year's Sales and Use Tax Collections Public Schools & Higher Ed Institution WORKFORCE 2000 DEVELOPMENT 6.78% of Previous Year's Corporate Income Tax Collections Vocational and Technical Education; Collections over FY2014 level for workforce development programs Technical Colleges Community Colleges GENERAL REVENUE ALLOTMENT RESERVE Certain General Revenue Fund Balances & Surplus Transfer to General Improvement Fund & Supplemental Appropriations MISCELLANEOUS AGENCIES Primarily General Revenue Expenses of various agencies (See List Attached) STATE ADMINISTRATION OF JUSTICE Uniform Court Costs & Court Filing Fees Expenses of various programs (See List Attached) Arkansas Bureau of Legislative Research 05/29/2014 2
Miscellaneous Agencies Arkansas Building Authority Assessment Coordination Department ASTA Research Grants Capital Zoning Commission Crime Laboratory Department of Emergency Management Department of Rural Services Department of Veterans Affairs DFA Alcoholic Beverage Control DFA Child Welfare Restructuring DFA Children s Hospital DFA Dept of Justice Non-Victim Assistance DFA Racing Commission DFA UAMS Child Abuse/Violence DFA Various Grants and Expenses DFA Victims of Crime Justice Assistance Disabled Veterans Service Office Ethics Commission Fair Housing Commission Geological Survey Health Services Agency Highway and Transportation Department Judicial Discipline and Disability Commission L&P Show Premiums Law Enforcement Standards and Training Martin Luther King, Jr. Commission Military Department National Guard Museum Minority Health Commission Natural Resources Commission Office of Geographic Information Office of Health Information Technology Parole Board Science and Technology Authority Sentencing Commission Spinal Cord Commission State Board of Election Commissioners Control Board UAMS Arkansas Center for Health Improvement UAMS Various s Veterans Child Welfare Services Office War Memorial Stadium Commission Waterways Commission Arkansas Bureau of Legislative Research 05/29/2014 3
State Administration of Justice Fund (1) Board of Trustees of the University of Arkansas for the purpose and as regulated by Arkansas Code Annotated 6-64-604 606 for the U of A at Fayetteville School of Law and the U of A at Little Rock School of Law (2) Drug Abuse Prevention and Treatment Fund for use in the Drug Abuse Prevention and Treatment of the Bureau of Alcohol and Drug Abuse Prevention through DHS (3) Highway Safety Special Fund for programs of the Arkansas Highway Safety within DHS (4) Department of Arkansas State Police for the State Police Retirement Fund through Public Employees Retirement (5) Department of Arkansas State Police Fund (6) Crime Victims/Reparations Revolving Fund for the purpose and as regulated by Arkansas Code Annotated 16-90-701 et seq. as administered by the Crime Victims Reparation Board through the Office of the Attorney General (7) Prosecutor Coordinator's Office for deposit in the Law Enforcement and Prosecutor Drug Enforcement Training Fund (8) Crime Information System Fund (9) Justice Building Construction Fund through the Arkansas Building Authority (10) Municipal Court Judge and the Municipal Court Clerk Education Fund through the Administrative Office of the Courts (11) Arkansas Judicial Retirement System Fund through Public Employees Retirement (13) Court Reporter Fund through the Auditor of State (14) Justice Building Fund through the Arkansas Building Authority (15) Arkansas Counties Alcohol and Drug Abuse and Crime Prevention Fund through DFA- Disbursing (16) Auditor of State to fund Trial Court Administrative Assistants (17) Drug Abuse Prevention and Treatment Fund for use in the Drug Abuse Prevention and Treatment program of the Bureau of Alcohol and Drug Abuse Prevention through DHS (18) State Central Services Fund for the Benefit of the Administrative Office of the Courts Division of Dependency-Neglect Representation (19) Miscellaneous Agencies Fund for the benefit of the State Crime Laboratory (20) District Judges Association for the District Court Coordinator (21) Public Legal Aid Fund (22) County Reimbursement for Jurors through the Administrative Office of the Courts (23) Drug Court Coordinator through the Administrative Office of the Courts (24) Constitutional Officers Fund for District Judges Pilot Distributed by Auditor of State (25) State Central Services Fund for Court Security by Administrative Office of the Courts (12) State Central Services Fund for the benefit of the Public Defender Commission Arkansas Bureau of Legislative Research 05/29/2014 4
CHARACTERISTICS OF TOBACCO SETTLEMENT FUNDS FUND NAME SOURCE OF FUNDS USE OF FUNDS MISCELLANEOUS CHARACTERISTICS TOBACCO SETTLEMENT CASH FUND All proceeds from the Settlement Hold for distribution Located In a Bank HEALTHY CENTURY First $100 million from Settlement plus interest Hold for future DEBT SERVICE FUND First $5 million/year from Settlement Cash Holding Debt Service on bonds issued, as required Share of Debt Service: UAMS - Biosciences $2.2 M ASU Biosciences $1.8 M School of Public Health $1 M PROGRAM FUND Remainder of Settlement Cash Holding Distribution to Other s PREVENTION & CESSATION 31.6% of Fund Health Dept. Prev. & Cessation s 15% Set Aside for Minority Communities BIOSCIENCES INSTITUTE 22.8% of Fund (1) Agricultural research (2) Bioengineering research (3) -related research (4) Nutritional research (5) Other related research TARGETED STATE NEEDS 15.8% of Fund 33% - School of Public Health 22% - UAMS Delta AHEC 22% - UAMS Center on Aging 23% - Minority Health Initiative MEDICAID EXPANSION 29.8% of Fund Expanded Medicaid Benefits for: (1) Pregnant Women (2) Inpatient & outpatient hospital reimbursements and benefits to adults (3) Non-institutional coverage for adults TOBACCO COMMISSION Interest Earnings from Fund Grants, evaluation and operation expenses of the Commission Arkansas Bureau of Legislative Research 05/29/2014 5
Initiated Act 1 -Breakdown of Settlement Funding Settlement Cash Holding Fund MSA Disbursements deposited into Holding Fund TSA Healthy Century Trust Fund Settlement Debt Service Fund $5 million/year -$2.2 Million UAMS-ABI -$1.8 Million ASU-ABI -$1 Million UAMS School of Public Health TSB Settlement Fund Interest transferred to TSC in March of each year -15% Minority s TSD Prevention & Cessation 31.6% 15.8% 22.8% 29.8% TSE Targeted State Needs -33% UAMS School of Public Health -22% Delta AHEC -22% UAMS Center on Aging -23% Minority Health TSF Arkansas Biosciences Institute Interest TSG Medicaid Expansion TSC Commission Fund Arkansas Bureau of Legislative Research 05/29/2014 6