Section ATCP 140.42 - Annual budget(1) REQUIREMENT. Every marketing board shall adopt a budget for each fiscal year. The budget shall comply with the requirements of this section. The marketing board shall adopt and file the budget with the secretary prior to the start of the fiscal year, or prior to contracting for any expenditure which was not contracted for during the preceding fiscal year. The fiscal year shall begin on July 1 of each year except as otherwise provided in the marketing order or bylaws of the marketing board. The marketing board may not expend or contract for the expenditure of moneys until the budget is filed, unless the expenditures were properly contracted for during the preceding fiscal year. No expenditure may be made or committed by a marketing board except pursuant to a budget filed under this subsection, except as provided under sub. (6). A marketing board may continue to meet normal administrative operating and overhead expenses and prior contractual obligations pending the timely filing of its budget and pending review of the budget by the secretary under sub. (4).(2) CONTENTS. The marketing board's annual budget shall include: (a) A statement of projected annual receipts, including a separate statement of each of the following: 1. Projected receipts from producer and handler assessments, and the specific assumptions or methods by which the projection was derived.2. Surplus receipts carried over from the preceding fiscal year, if any.3. Other projected receipts, if any, and the sources of the receipts.(b) A statement of projected annual expenditures. Projected expenditures shall be categorized by program objective, pursuant to s. 96.03, Stats., and the marketing order. General overhead and operating expenditures, if not identifiable to a program objective, may be set forth in a separate expenditure category. Within each expenditure category, the budget shall identify the nature and amount of proposed expenditures. Expenditures for salaries, supplies, travel expenses, or other routine overhead and operating expenses incurred in the ordinary course of program operations may be budgeted as a maximum authorized total for each expenditure subcategory. Expenditure subcategories shall be identified to facilitate budget review under sub. (4). The proposed budget shall include a description of proposed contract expenditures, including the nature of each proposed expenditure, the specific program objective toward which the proposed expenditure is directed, and the identity of the proposed contract recipient if known.(c) A reasonable contingency reserve consisting of a projected surplus of receipts over expenditures, sufficient to protect the marketing board against unforeseen revenue shortages or cost increases, or other unforeseen contingencies which may affect the accuracy of the budget projections and the ability of the marketing board to meet its payment obligations.(3) BUDGET AMENDMENTS. A marketing board shall file a budget amendment with the secretary if, at any time during the fiscal year, the marketing board anticipates a significant change in the previously submitted budget. The secretary may require a marketing board to submit a current, revised budget at any time during the fiscal year.(4) BUDGET REVIEW. The department shall review marketing board budgets and budget amendments for compliance with ch. 96, Stats., and this chapter. Pursuant to s. 96.11(2), Stats., the secretary may disapprove a budget or a proposed expenditure if the secretary determines that the budget fails to comply with the requirements of this subsection, or that the proposed expenditure violates s. ATCP 140.47. Written notice of disapproval shall be issued to the marketing board within 30 days after the budget or budget amendment is submitted to the secretary. Notice shall specify the reasons for disapproval, and the budget provisions or proposed expenditures which are disapproved. Failure to disapprove a budget or budget amendment within 30 days does not prevent the secretary from disapproving the budget or budget amendment at a later time, if the disapproval is based on information which was not available to the secretary during the original 30-day review period, and if the information reveals that the budget or budget amendment is not in compliance with ch. 96, Stats., or this chapter. No marketing board may make or contract for any expenditure which is disapproved under this subsection, or which is proposed pursuant to a disapproved budget.(5) ADDITIONAL INFORMATION. The secretary may require a marketing board to file additional information which the secretary deems necessary for the review of a marketing board budget or expenditure under this subsection. The secretary may disapprove a budget or proposed expenditure upon failure of a marketing board to submit the required information.(6) WAIVER; FIRST YEAR OF MARKETING BOARD OPERATIONS. The secretary may waive the filing of an annual budget for the first fiscal year of marketing board operations, provided that the marketing board submits its proposed contracts and expenditures for review by the secretary as they are proposed during the fiscal year. Additional conditions may be established at any time, if deemed necessary by the secretary. The secretary may disapprove a proposed expenditure if the secretary determines that the proposed expenditure violates s. ATCP 140.47. No marketing board may expend or contract for any expenditure of moneys if the proposed expenditure has been disapproved by the secretary.Wis. Admin. Code Department of Agriculture, Trade and Consumer Protection ATCP 140.42
Cr. Register, November, 1985, No. 359, eff. 12-1-85.