Chapter 12: State Financial Management
Subchapter I: General Provisions
This chapter shall be known and may be cited as the . State Financial Management Act of 1983".
Source: YSL 1-167 §1, modified.
The purpose of this chapter is to ensure that all public funds raised or received by the State of Yap, from whatever source derived, or appropriated by the Legislature are subject to the provisions of this chapter and are only used or obligated in a manner provided by law, and to achieve this purpose criminal penalties are imposed, civil suits are authorized, and job protections are provided for public employees who refuse to cooperate with or who disclose official mismanagement of funds.
Source: YSL 1-167 §2, as amended by YSL 1-177 §1.
Cross-reference: Section 6 of Article IX of the Yap Constitution states: . No money shall be withdrawn from the State treasury nor obligated except in accordance with law..
For the purpose of this chapter, unless it is otherwise required or the context requires a different construction, application, or meaning:
(a) . Allotment. means the delegation of authority to a person to create legally enforceable financial obligations in accordance with applicable law within specified limits set forth in an appropriation act of the State Legislature or as may be required by the terms of funding available from other sources.
(b) . Appropriation. means the designation of funds by law for a specific governmental expenditure.
(c) . Disbursement. means payment for goods or services.
(d) . Funds. means a fiscal and accounting entity with a self-balancing set of accounts recording cash and other financial sources, together with all related liabilities and residual equities balances, and changes therein, which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations.
(e) . funds. means cash, cash plus near-liquid investments, money or other resources the principal or interest of which is set apart for a special objective.
(f) . Lapse. means the end of a right or privilege because of neglect to exercise it within a time limit.
(g) . Obligation. means legal liability for salaries and wages; contractual services; contracts entered into for the purchase of supplies and equipment, construction, and land, usually evidenced by a purchase order or contract; and loans or other commitments requiring the payment of money.
(h) . State of Yap. means all agencies, departments and offices of all branches of the State Government.
(i) . Treasury. means all places and facilities, including banks, bank accounts and other bank-issued instruments of deposit, for receiving, storing, and disbursing State funds which are under the control of the Director of Administrative Services.
Source: YSL 1-167 §3, as amended by YSL 1-177 §2, modified.