Be it enacted by the Legislature of the State of Yap.

Section 1

Section 1003 of the Yap State Code is hereby amended to read as follows:

“Section 1003. Submission of budget.

(a)Not later than the first Monday of March of each year, the Governor shall submit to the Legislature a Yap State annual budget. If the day is a holiday or there is a declaration of emergency in effect, then the day of submission would be the next working Monday for the government. The annual budget shall contain, among other things:

(1) A statement showing the estimated condition of the State Government Treasury at the close of the fiscal year in progress;

(2)A statement of the estimated condition of the Treasury at the close of the ensuing fiscal year if the financial proposals contained in the budget are adopted;

(3) Actual expenditures for the last completed agreement for Amended Compact funds;

(4) Approved budget and estimated expenditures for the fiscal year in progress;

(5) Proposed budget expenditures and appropriations, and the respective sources of funding for the ensuing fiscal year;

(6) Information describing the goals and objectives for the proposed budget requests and expenditures, including such plans as required under agreement for Amended Compact funds;

(7) Estimated revenues and receipts, from all sources, for the ensuing fiscal year on the basis of laws existing at the time the annual budget is transmitted; and

(8) Other information requested by the Legislature.

(b) All governm􀁏nt budget requests for funding, regardless of source, or sources, of funding, shall be submitted to the Governor for review and inclusion in the annual budget for submission to the Legislature.

(c) That portion of the State annual budget with proposed expenditures from funds under the Compact of Free Association, as Amended, between the Government of the United States of America and the Government of the Federated States of Micronesia (Amended Compact) which shall include the official list of infrastructure and maintenance plans or projects to be funded from Yap State share of such Compact funds shall be reviewed and approved by the Legislature prior to submitting said proposed expenditures, in the form approved by the Legislature, to the President of the Federated States of Micronesia and the United States.

(d) The Governor issue procedures for the sanction of individuals, divisions, offices, departments or agencies that contribute to the delay in compiling and submission of the annual budget. The Chief of Budget Division shall report on the compiling of budget and any delays during the process to the Director of Planning and Budget for immediate handling. Such delays may include but not be limited to decrease in salaries suspension of work budgetary decreases and termination of individuals.”

Section 3

This Act shall take effect upon 􀂹ts approval by the Governor, or upon its becoming law without such approval.