The Purpose Statute says that:

• A. Public funds may be used for any purpose
• B. Public funds may be used only for the purpose or purposes for which they were appropriated
• C. Public funds may be used for private use
• D. Public funds may be used for any purpose with approval

Answer: (B)

Public funds are bound to the specific purpose designated by the legislature. The Purpose Statute ensures money allocated to a program or project is spent only for that approved purpose, not redirected to unrelated activities, private use, or general expenses. If a department wants to use funds for something beyond the authorized purpose, it typically needs a new or amended appropriation or other legal authority. This rule creates accountability and helps prevent misallocation of taxpayer money.