SB2338 - Unbalanced Budget Response Act

• Allows the Governor to designate contingency reserves from appropriated funds for fiscal years 2016 and 2017, excluding debt service and retirement system funds.

• Authorizes the Governor to direct transfers between state funds and to the General Revenue Fund, with restrictions on federal trust funds, debt service, pension funds, legislative/judicial branch funds, and funds designated for the State Board of Education, Board of Elections, or certain constitutional officers.

• Permits the Governor to modify statutory fund transfers and payment rates to service providers for fiscal years 2016 and 2017, subject to limitations that cannot exceed the state's budget deficit.

• Requires the Department on Aging, Department of Children and Family Services, Department of Healthcare and Family Services, Department of Human Services, and Department of Public Health to adopt emergency rules to implement budget reductions and adjustments, with all emergency rules expiring July 1, 2017.

• Exempts actions taken under this Act from State Mandates Act reimbursement requirements and repeals the entire Act on July 1, 2017.