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HB1602 • 2026

Budget requests; agencies that don't timely file with LBO shall have request prepared for them by third party.

AN ACT TO AMEND SECTION 27-103-131, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT IF A STATE AGENCY REFUSES OR FAILS TO FILE AN ORIGINAL BUDGET REQUEST WITHIN THIRTY CALENDAR DAYS AFTER THE DEADLINE DATE FOR FILING BUDGET REQUESTS, THE DIRECTOR OF THE AGENCY SHALL CONTRACT WITH A THIRD PARTY TO PREPARE A BUDGET REQUEST FOR THE AGENCY, WHICH MUST BE THREE PERCENT LOWER THAN THE AGENCY'S CURRENT BUDGET FROM STATE GENERAL FUNDS; TO REQUIRE THE CONTRACTOR TO PREPARE AND SUBMIT A BUDGET REQUEST FOR THE AGENCY TO THE LEGISLATIVE BUDGET OFFICE WITHIN THIRTY CALENDAR DAYS AFTER THE CONTRACT IS EXECUTED; IF THE CONTRACTOR DOES NOT SUBMIT THE AGENCY'S BUDGET REQUEST WITHIN THAT TIME, THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF FINANCE AND ADMINISTRATION SHALL NOT ALLOW THE AGENCY TO EXPEND ITS CURRENT FISCAL YEAR APPROPRIATION UNTIL THE BUDGET REQUEST HAS BEEN SUBMITTED; TO PROVIDE THAT THE AGENCY SHALL BE RESPONSIBLE FOR PAYING THE CONTRACTOR FOR PREPARING THE AGENCY'S BUDGET REQUEST; TO PROVIDE THAT IF THE AGENCY DOES NOT PAY THE CONTRACTOR WITHIN FORTY-FIVE CALENDAR DAYS, THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF FINANCE AND ADMINISTRATION SHALL NOT ALLOW THE AGENCY TO EXPEND ITS CURRENT FISCAL YEAR APPROPRIATION UNTIL THE CONTRACTOR HAS BEEN PAID; AND FOR RELATED PURPOSES.

Budget
Did Not Pass

The latest official action shows that this bill did not move forward in that session.

Sponsor
Read
Last action
2026-02-16
Official status
Dead
Effective date
Passage

Plain English Breakdown

The official source material did not specify what happens if a third party fails to prepare or submit the budget request on time, leaving this as an open question.

Budget Requests for State Agencies

This bill requires state agencies to contract with a third party if they fail to submit their budget requests on time, and mandates that the new budget be three percent lower than the current one.

What This Bill Does

  • If a state agency does not file its budget request within thirty days after the deadline, it must hire a third party to prepare the budget.
  • The prepared budget must be three percent less than the agency's current budget from state funds.
  • The contractor has thirty days to submit the budget request to the Legislative Budget Office after signing the contract.
  • If the contractor does not submit the budget on time, the agency cannot spend its current year’s funding until it is submitted.
  • The agency must pay the third party for preparing the budget within forty-five days; otherwise, they lose access to their funding.

Who It Names or Affects

  • State agencies that fail to file their budget requests on time
  • Third-party contractors hired by state agencies

Terms To Know

Legislative Budget Office (LBO)
The office responsible for reviewing and approving state agency budgets.
Executive Director of the Department of Finance and Administration
The person in charge of managing the state's financial resources.

Limits and Unknowns

  • This bill did not pass during its session.
  • It does not specify what happens if a third party fails to prepare or submit the budget request on time.

Bill History

  1. 2026-02-16 Mississippi Legislative Bill Status System

    02/16 (H) Died On Calendar

  2. 2026-02-05 Mississippi Legislative Bill Status System

    02/05 (H) Motion to Reconsider Entered (Deweese, Read, Cockerham)

  3. 2026-02-05 Mississippi Legislative Bill Status System

    02/05 (H) Passed

  4. 2026-01-29 Mississippi Legislative Bill Status System

    01/29 (H) Title Suff Do Pass

  5. 2026-01-19 Mississippi Legislative Bill Status System

    01/19 (H) Referred To Appropriations A

Official Summary Text

Budget requests; agencies that don't timely file with LBO shall have request prepared for them by third party.

Current Bill Text

Read the full stored bill text 
H. B. No. 1602 *HR26/R1471.1* ~ OFFICIAL ~ G1/2
26/HR26/R1471.1
PAGE 1 (RF\KW)

To: Appropriations A
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Read

HOUSE BILL NO. 1602

AN ACT TO AMEND SECTION 27-103-131, MISSISSIPPI CODE OF 1972, 1
TO PROVIDE THAT IF A STATE AGENCY REFUSES OR FAILS TO FILE AN 2
ORIGINAL BUDGET REQUEST WITHIN THIRTY CALENDAR DAYS AFTER THE 3
DEADLINE DATE FOR FILING BUDGET REQUESTS, THE DIRECTOR OF THE 4
AGENCY SHALL CONTRACT WITH A THIRD PARTY TO PREPARE A BUDGET 5
REQUEST FOR THE AGENCY, WHICH MUST BE THREE PERCENT LOWER THAN THE 6
AGENCY'S CURRENT BUDGET FROM STATE GENERAL FUNDS; TO REQUIRE THE 7
CONTRACTOR TO PREPARE AND SUBMIT A BUDGET REQUEST FOR THE AGENCY 8
TO THE LEGISLATIVE BUDGET OFFICE WITHIN THIRTY CALENDAR DAYS AFTER 9
THE CONTRACT IS EXECUTED; IF THE CONTRACTOR DOES NOT SUBMIT THE 10
AGENCY'S BUDGET REQUEST WITHIN THAT TIME, THE EXECUTIVE DIRECTOR 11
OF THE DEPARTMENT OF FINANCE AND ADMINISTRATION SHALL NOT ALLOW 12
THE AGENCY TO EXPEND ITS CURRENT FISCAL YEAR APPROPRIATION UNTIL 13
THE BUDGET REQUEST HAS BEEN SUBMITTED; TO PROVIDE THAT THE AGENCY 14
SHALL BE RESPONSIBLE FOR PAYING THE CONTRACTOR FOR PREPARING THE 15
AGENCY'S BUDGET REQUEST; TO PROVIDE THAT IF THE AGENCY DOES NOT 16
PAY THE CONTRACTOR WITHIN FORTY-FIVE CALENDAR DAYS, THE EXECUTIVE 17
DIRECTOR OF THE DEPARTMENT OF FINANCE AND ADMINISTRATION SHALL NOT 18
ALLOW THE AGENCY TO EXPEND ITS CURRENT FISCAL YEAR APPROPRIATION 19
UNTIL THE CONTRACTOR HAS BEEN PAID; AND FOR RELATED PURPOSES. 20
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 21
SECTION 1. Section 27-103-131, Mississippi Code of 1972, is 22
amended as follows: 23
27-103-131. (1) If any officer or employee of any state 24
agency whose duty it is to do so * * * refuses or fails to 25
file * * * an original budget request with such information and in 26
such form and in such detail * * * as the Legislative Budget 27
H. B. No. 1602 *HR26/R1471.1* ~ OFFICIAL ~
26/HR26/R1471.1
PAGE 2 (RF\KW)

Office may require in the exercise of its authority, within thirty 28
(30) calendar days after the deadline date for filing budget 29
requests as published on the office's website, the director of 30
such agency shall within ten (10) calendar days contract with a 31
third party to prepare * * * a budget request for the 32
agency, * * * which must be three percent (3%) lower than the 33
agency's current budget from state general funds. The director of 34
the agency shall be exempt from any procurement procedures that 35
may otherwise be applicable in procuring the services of the third 36
party to prepare the agency's budget request. 37
(2) At the time of executing the contract, the director of 38
the agency shall notify the members of the Joint Legislative 39
Budget Committee, Legislative Budget Office and the executive 40
director of the Department of Finance and Administration in 41
writing, which notice shall include the amount of the contract. 42
The contractor shall prepare and submit a budget request for the 43
agency to the Legislative Budget Office within thirty (30) 44
calendar days after the contract is executed. If the contractor 45
does not submit the agency's budget request within that time, the 46
executive director of the Department of Finance and Administration 47
shall not allow the agency to expend its current fiscal year 48
appropriation until the budget request has been submitted. 49
(3) The agency failing to file a budget request shall be 50
responsible for paying the contractor for preparing the agency's 51
budget request. If the agency does not pay the contractor within 52
H. B. No. 1602 *HR26/R1471.1* ~ OFFICIAL ~
26/HR26/R1471.1
PAGE 3 (RF\KW)
ST: Budget requests; agencies that don't timely
file with LBO shall have request prepared for
them by third party.
forty-five (45) calendar days after the contractor has prepared 53
the budget request, the executive director of the Department of 54
Finance and Administration shall not allow the agency to expend 55
its current fiscal year appropriation until the contractor has 56
been paid. If the agency does not pay the contractor as required, 57
the expense * * * shall be personally borne by * * * the officer 58
or employee who is responsible for preparing the agency's budget 59
request, and he or she shall be responsible on his or her official 60
bond for the payment of the expense * * *. 61
(4) In recommending the agency's budget for the next fiscal 62
year, the Joint Legislative Budget Committee shall not recommend a 63
budget higher than the reduced amount in the budget request 64
prepared by the contractor. 65
(5) * * * A negligently prepared budget shall be considered 66
as a refusal or failure under the provisions of this section. 67
(6) The records of the Legislative Budget Office and the 68
overall budget submitted by it to the Legislature shall clearly 69
identify and set forth all the facts relative to any agency budget 70
request prepared by a third party contracted with by the director 71
of the agency under the authority of this section. 72
SECTION 2. This act shall take effect and be in force from 73
and after its passage. 74