Federal Funding Transparency Act; enact.

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To: Finance
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Senator(s) Chism

SENATE BILL NO. 2875

AN ACT TO AMEND SECTION 27-103-159, MISSISSIPPI CODE OF 1972, 1
TO ENACT THE FEDERAL FUNDING TRANSPARENCY ACT; TO REVISE THE 2
INFORMATION REQUIRED TO BE CONTAINED IN THE REPORT PROVIDED BY A 3
STATE AGENCY, DEPARTMENT OR INSTITUTION WITH ITS ANNUAL BUDGET 4
REQUEST SUBMISSION; TO IMPOSE A CIVIL PENALTY OF $100.00 PER 5
VIOLATION, PER DAY, PLUS ALL REASONABLE ATTORNEY'S FEES AND COSTS 6
IN CIRCUIT COURT, ON ANY AGENCY HEAD OR DIRECTOR, OR INDIVIDUAL 7
HOLDING A SUBSTANTIALLY SIMILAR POSITION, WHO NEGLECTS TO ANNUALLY 8
PROVIDE THE REPORT REQUIRED; TO PROVIDE THAT THE INDIVIDUAL SHALL 9
BE PERSONALLY LIABLE FOR THESE AMOUNTS, AND SOVEREIGN IMMUNITY 10
SHALL NOT BE AN AFFIRMATIVE DEFENSE; AND FOR RELATED PURPOSES. 11
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 12
SECTION 1. Section 27-103-159, Mississippi Code of 1972, is 13
amended as follows: 14
27-103-159. (1) For purposes of this section, the following 15
terms shall have the following meanings as defined in this 16
subsection: 17
(a) "Evidence-based program" means an intervention 18
program that has had multiple site randomized controlled trials 19
across heterogeneous populations demonstrating that the program is 20
effective for the population and that does not have an equivalent 21
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or more probative body of rigorous evaluation demonstrating its 22
ineffectiveness. 23
(b) "Intervention program" means a discrete and 24
systematic set of activities designed to achieve one or more 25
specific outcomes not constituted or reliably achieved by the 26
activities themselves. 27
(c) "Research-based program" means an intervention 28
program that has had at least one (1) rigorous controlled 29
evaluation demonstrating effectiveness and does not have an 30
equivalent or more probative body of evaluations demonstrating its 31
ineffectiveness. 32
(d) "Promising program" means an intervention program 33
that has had at least one (1) rigorous controlled evaluation 34
demonstrating effectiveness. 35
(e) "Other programs" means all programs that do not fit 36
the definition of evidence-based, research-based or promising 37
programs. This category may include nonintervention programs as 38
well as intervention programs with rigorous evidence of 39
ineffectiveness, mixed evidence of effectiveness, or an absence of 40
evidence. 41
(f) "Program inventory" means the list of all agency 42
programs that for purposes of accountability means a set of 43
activities upon which state resources are expended. 44
(g) "Rigorous controlled evaluation" means an 45
evaluation for which the program received a ranking of at least 46
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three (3) on the Maryland Scientific Methods Scale, which level 47
requires a control group. 48
(2) Beginning with the fiscal year 2016 budget cycle, the 49
Legislative Budget Office shall require the Department of 50
Corrections, the Department of Health, the Department of 51
Education, and the Department of Transportation to comply with the 52
requirements of this section respecting the inventorying of agency 53
programs and activities for use in the budgeting process. The 54
aforementioned agencies shall submit all program information to 55
the Legislative Budget Office in accordance with any policies 56
established by that office setting out requirements for any 57
filings required under this section. Additional agencies shall be 58
required to comply with the provisions of this subsection as 59
provided in subsection (5) of this section. 60
(3) The Legislative Budget Office, the PEER Committee staff, 61
and personnel of each of the agencies required to comply with this 62
section shall review the programs of each agency and shall: 63
(a) Establish an initial inventory of agency programs 64
as defined in subsection (1)(a) through (e) of this section; 65
(b) Categorize all agency programs as intervention or 66
nonintervention and all intervention programs as evidence-based, 67
research-based, promising, or other. Where possible, other 68
intervention programs should be further classified according to 69
the subcategories in subsection (1) of this section; 70
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(c) Identify agency and program premises, goals, 71
objectives, outcomes and outputs, as well as any other indicator 72
or component the staffs consider to be appropriate, such as 73
evidence of a program's adherence to best practices; 74
(d) Report estimated expenditures and full-time 75
equivalent (FTE) positions for each agency program for each fiscal 76
year; 77
(e) Recommend new and additional budget programs that 78
capture the work of the agency identified through the inventory 79
process and that are reasonable in number for making 80
appropriations; 81
(f) Establish a procedure for base-lining programs 82
which are built around promising practices or other programs that 83
do not meet the definition of evidence-based or research-based 84
programs, so that further research can be conducted to gauge the 85
program's effectiveness; 86
(g) Describe the goals and theories used to develop any 87
program that is neither evidence-based or research-based; 88
(h) Develop procedures for optimizing 89
cost-effectiveness of agency programs; and 90
(i) Annually update each agency's inventory and related 91
data as specified in paragraphs (b) through (e) of this subsection 92
(3). 93
(4) This subsection shall be known and may be cited as the 94
Federal Funding Transparency Act. Beginning with the fiscal 95
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year * * * 2027 budget request submission, and each year 96
thereafter, each state agency, general fund agency * * *, special 97
fund agency, department and institution shall provide * * * a 98
report of all sources of revenue, including the amounts from each 99
source, collected by the agency, department or institution in the 100
most recent fiscal year. * * * The report shall be posted on the 101
Legislature's website in a manner and location easily accessible 102
to the general public. The report shall include a list of each 103
tax, fine or fee assessed by the agency, department or 104
institution, and it shall include the following for each: 105
(a) The amount assessed; 106
(b) The amount collected; 107
(c) The state or federal code section, regulation, 108
guidance document or other authoritative source that authorized 109
their assessment and collection; 110
(d) The method of determining assessments, including 111
who is assessed, how the agency determines the amount of 112
assessment, including rates; 113
(e) The methods of collecting the amounts assessed; 114
(f) The purposes for which the funds were expended by 115
the agency; 116
(g) The amount of funds transferred to the general 117
fund, if applicable, and the authority by which the transfer took 118
place; 119
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(h) The amount of funds transferred to another entity, 120
if applicable, and the authority by which the transfer took place, 121
as well as the name of the entity to which the funds were 122
transferred, including any nonprofit entities or public-private 123
partnerships; 124
(i) The fiscal year-end balance of every fund that 125
receives revenue generated by fines and fees; * * * 126
(j) * * * A list of all nonprofit corporations that 127
have received subgrants or contracts involving state or federal 128
funds from said agency, department or institution in the most 129
recent fiscal year; 130
(k) For sums received from state sources, the agency 131
shall list each source, including each special fund, along with 132
the amounts received from each fund. For sums received from 133
federal government sources, the agency shall list each source at 134
its most specific level, such as an office or division, not simply 135
the federal department from which it came. The report shall also 136
include a detailed description of the actions or results that were 137
promised by the agency in order to receive these funds * * *; and 138
(l) A summary of any Maintenance of Effort (MOE) 139
agreements, Memorandum of Understanding (MOU) agreements, consent 140
decrees, or contracts entered into with any federal agency or 141
subdivision thereof. For each MOE or MOU agreement, consent 142
decree, or contract, this summary shall include: 143
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(i) The name of the federal agency or entity that 144
administers the MOE or MOU agreement, consent decree, or contract; 145
(ii) The title or name of the program and/or grant 146
associated with the MOE or MOU agreement, consent decree, or 147
contract, any start and completion dates, and any corresponding 148
Catalog of Federal Domestic Assistance (CFDA) grant numbers; 149
(iii) When and whether the agency, department or 150
institution anticipates that the MOE or MOU agreement, consent 151
decree, or contract, and any related funding, will be renewed; 152
(iv) The specific state statutory or judicial 153
authorization for entering into the MOE or MOU agreement, consent 154
decree, or contract and expending any related funds; 155
(v) How the MOE or MOU agreement, consent decree, 156
or contract complies with the agency, department or institution's 157
strategic plan; 158
(vi) A valid internet link to the MOE or MOU 159
agreement, consent decree, or contract. If it is not posted on 160
the internet, the agency, department or institution shall supply a 161
physical copy within ten (10) business days to any person upon 162
request; and 163
(vii) A description of all obligations the MOE or 164
MOU agreement, consent decree, or contract has imposed or will 165
impose on the agency, department or institution, including: 166
1. Monetary matching requirements for current 167
and future years; 168
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2. Any changes in existing state policies or 169
procedures; 170
3. The number of full-time and part-time 171
positions necessary to carry out the provisions of the MOE or MOU 172
agreement, consent decree, or contract, including a delineation of 173
the number of local, state and federally funded positions, and how 174
many of each will be required to be continued into the future when 175
related federal funds are no longer available; and 176
4. A description of all other agency 177
resources and obligations related to application for and 178
implementation of the MOE or MOU agreement, consent decree, or 179
contract, or otherwise agreed to by the agency. 180
* * * 181
Any agency head or director, or individual holding a 182
substantially similar position, who neglects to annually provide 183
the report required by this section may be civilly liable in his 184
personal capacity in a sum not to exceed One Hundred Dollars 185
($100.00) per violation, per day, plus all reasonable attorney's 186
fees and costs incurred by the party bringing suit in the circuit 187
court, which shall have jurisdiction over the agency, department 188
or institution. Sovereign immunity shall not be an affirmative 189
defense in any action pursuant to this section. 190
(5) Upon recommendations of the PEER Committee staff, the 191
Legislative Budget Office may for the fiscal year 2021 budget 192
cycle and all later budget cycles, annually designate additional 193
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ST: Federal Funding Transparency Act; enact.
agencies that shall be required to comply with the provisions of 194
subsections (1), (2) and (3) of this section. Material collected 195
in association with the provisions of subsections (1), (2) and (3) 196
of this section may be incorporated into agency appropriations 197
bills to the extent deemed practicable by the Legislative Budget 198
Committee. 199
SECTION 2. This act shall take effect and be in force from 200
and after July 1, 2026. 201