8.41 - FEDERAL FUNDS -- DEPOSIT -- BLOCK GRANT PLANS -- AFFECTED POLITICAL SUBDIVISIONS.

        8.41  FEDERAL FUNDS -- DEPOSIT -- BLOCK GRANT PLANS --
      AFFECTED POLITICAL SUBDIVISIONS.
         1.  Commencing with the fiscal year beginning July 1, 1981,
      federal funds received in the form of block grants shall be deposited
      in a special fund in the state treasury and are subject to
      appropriation by the general assembly upon a recommendation by the
      governor.  In determining a general fund balance, the federal funds
      deposited in the special fund shall not be included, but shall remain
      segregated in the special fund until appropriated by the general
      assembly.
         2.  Federal funds deposited in the state treasury as provided in
      subsection 1 shall either be included as part of the governor's
      budget required by section 8.22 or shall be included in a separate
      recommendation made by the governor to the general assembly.  If
      federal funds received in the form of block grants or categorical
      grants have not been included in the governor's budget for the
      current fiscal year because of time constraints or because a budget
      is not being submitted for the next fiscal year, the governor shall
      submit a supplemental statement to the general assembly listing the
      federal funds received and including the same information for the
      federal funds required by section 8.22, subsection 1, paragraph
      "b", subparagraph (1), subparagraph division (e), for the
      statement of federal funds in the governor's budget.
         3. a.  If, in any federal fiscal year, the federal government
      provides for a block grant which requires a new or revised program
      than was required in the prior fiscal year, each state agency
      required to administer the block grant program shall develop a block
      grant plan detailing program changes.
         b.  To the extent allowed by federal law, the block grant plan
      shall be developed in accordance with the following:
         (1)  The primary goal of the plan shall be to attain savings for
      taxpayers and to avoid shifting costs from the federal government to
      state and local governments.
         (2)  State agency planning meetings shall be held jointly with
      officials of the affected political subdivision and affected members
      of the public.
         (3)  The plan shall address proposed expenditures and
      accountability measures and shall be published so as to provide
      reasonable opportunity for public review and comment.
         (4) (a)  Preference shall be given to any existing service
      delivery system capable of delivering the required service.  If an
      existing service delivery system is not used, the plan shall identify
      those existing delivery systems which were considered and the reasons
      those systems were rejected.  This subparagraph division applies to
      any service delivered pursuant to a federal block grant, including
      but not limited to any of the following block grant areas:  health,
      human services, education, employment, community and economic
      development, and criminal justice.
         (b)  If a service delivered pursuant to a federal block grant and
      implemented by a political subdivision was previously provided for by
      a categorical grant, the state agency shall allow the political
      subdivision adequate transition time to accommodate related changes
      in federal and state policy.  Transition activities may include, but
      are not limited to, revision of the political subdivision's laws,
      budgets, and administrative procedures.
         (c)  The state agency shall allow the political subdivision the
      flexibility to implement a service in a manner so as to address
      identifiable needs within the context of meeting broad national
      objectives.
         (5)  State administrative costs shall not exceed the limits
      allowed for under the federal law enacting the block grant.
         (6)  A federal mandate that is eliminated or waived for the state
      shall be eliminated or waived for a political subdivision.
         (7)  Federal block grants shall not be used to supplant existing
      funding efforts by the state.
         c.  The state agency shall send copies of the proposed block
      grant plan to the legislative fiscal committee and to the appropriate
      appropriations subcommittee chairpersons and ranking members of the
      general assembly.  The plan and any program changes contained within
      the plan shall be adopted as rules in accordance with chapter 17A.
      
         Section History: Early Form
         [81 Acts, ch 17, § 3] 
         Section History: Recent Form
         84 Acts, ch 1067, § 4; 86 Acts, ch 1245, § 2023; 96 Acts, ch 1105,
      §1; 2008 Acts, ch 1032, §201; 2009 Acts, ch 41, §263
         Referred to in § 15.108, 28.9, 256.10A