45.251 Expenditures -- Scope -- Methodology -- Recordkeeping. - Kentucky Statutes

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Page 1 of 1 45.251 Expenditures -- Scope -- Methodology -- Recordkeeping. (1) Expenditures shall be limited to the amounts and purposes for which appropriations are made. All expenditures shall be reflected in the unified and integrated system of
accounts as provided by KRS 45.305. (2) The Finance and Administration Cabinet shall prescribe all information technology standards, system attributes, and components to be used in, or in conjunction with,
the unified accounting system. The components must be consistent with
Commonwealth standards contained within the information technology architecture,
as provided by the Commonwealth Office of Technology. (3) The Governor, the Chief Justice, and the Legislative Research Commission shall designate the officer or employee authorized to approve advices of employment,
purchase orders and contracts, and requisitions for reservation of funds, and no
advice, order, contract, or requisition shall be honored as a commitment statement
unless the designation has been conveyed to the Finance and Administration
Cabinet. (4) The Finance and Administration Cabinet may approve for payment any expenditure presented by a budget unit, provided that the Finance and Administration Cabinet is
able to determine that the expenditure is to satisfy a liability of the Commonwealth
of Kentucky created on behalf of that budget unit in fulfilling the governmental
function assigned to that budget unit and that the expenditure is being made from
the unexpended balance of a proper allotment. (5) Subsidiary records shall be maintained to report the financial operation and condition of each budget unit. These subsidiary records shall be compatible with the
unified accounting system prescribed by subsection (1) of this section and by KRS
45.305, and may be on the accrual basis or cash basis. Expenditures may be by prior
encumbrances or by straight disbursements. The subsidiary records may be
maintained by the Finance and Administration Cabinet and by the budget unit
involved. When a budget unit is authorized to maintain subsidiary records, the
Finance and Administration Cabinet shall have authority to prescribe the accounting
and preauditing procedures. The unified system of accounts shall conform to
accepted management and accounting principles. Effective: June 20, 2005
History: Amended 2005 Ky. Acts ch. 85, sec. 65, effective June 20, 2005. -- Amended 2000 Ky. Acts ch. 506, sec. 14, effective July 14, 2000; and ch. 536, sec. 14,
effective July 14, 2000. -- Amended 1997 (1st Extra. Sess.) Ky. Acts ch. 4, sec. 17,
effective May 30, 1997. -- Created 1982 Ky. Acts ch. 450, sec. 34, effective July 1,
1983.