BILL NUMBER: SCA 15AMENDED BILL TEXT AMENDED IN SENATE APRIL 13, 2009 INTRODUCED BY Senator Calderon FEBRUARY 27, 2009 A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by amending Section 9 of Article II thereof, and by amending Sections 8 and 12 of Article IV thereof, relating to the state budget. LEGISLATIVE COUNSEL'S DIGEST SCA 15, as amended, Calderon. State budget. (1) The California Constitution requires the Governor to submit to the Legislature by January 10 of each year a budget for the ensuing fiscal year, accompanied by a Budget Bill itemizing recommended expenditures. The Constitution requires specified bills, including a bill making a change in state taxes for the purpose of raising revenue, a bill containing an urgency clause, and a bill, including the Budget Bill, that makes certain appropriations from the General Fund, to be passed in each house of the Legislature by a 2/3 vote. This measure would exempt General Fund appropriations in the Budget Bill for the ensuing fiscal year from the2/3vote2/3 -vote requirement if the total amount of General Fund revenues estimated by the Legislative Analyst, on or after May 15, for the current fiscal year is at least 5% below the estimate of General Fund revenues set forth in the Budget Bill enacted for the current fiscal year . (2) The California Constitution provides that a statute takes immediate effect upon enactment if the statute calls for an election, provides for a tax levy or makes an appropriation for the usual and current expenses of the state, or is an urgency statute. This measure would add, to those statutes that take effect immediately, statutes enacting the Budget Bill and statutes enacting bills that are identified in the Budget Bill as necessary to implement the Budget Bill. (3) The California Constitution provides electors the power of referendum to approve or reject a statute, except that certain statutes are exempted, namely, urgency statutes, statutes calling elections, and statutes providing for tax levies or appropriations for the usual current expenses of the state. This measure instead would exempt from the power of referendum any statute that is to take effect immediately. (4) This measure would specify that the changes to the California Constitution made by this measure would apply July 1 of the first fiscal year commencing after the approval of this measure by the voters at a statewide election, except that the changes would apply to the Budget Bill for the first fiscal year commencing after the approval of this measure by the voters at a statewide election and each subsequent fiscal year. Vote: 2/3. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. Resolved by the Senate, the Assembly concurring, That the Legislature of the State of California at its 2009-10 Regular Session commencing on the first day of December 2008, two-thirds of the membership of each house concurring, hereby proposes to the people of the State of California that the Constitution of the State be amended as follows: First-- That Section 9 of Article II thereof is amended to read: SEC. 9. (a) The referendum is the power of the electors to approve or reject statutes or parts of statutes except statutes that take effect immediately. (b) A referendum measure may be proposed by presenting to the Secretary of State, within 90 days after the enactment date of the statute, a petition certified to have been signed by electors equal in number to 5 percent of the votes for all candidates for Governor at the last gubernatorial election, asking that the statute or part of it be submitted to the electors. In the case of a statute enacted by a bill passed by the Legislature on or before the date the Legislature adjourns for a joint recess to reconvene in the second calendar year of the biennium of the legislative session, and in the possession of the Governor after that date, the petition may not be presented on or after January 1 next following the enactment date unless a copy of the petition is submitted to the Attorney General pursuant to subdivision (d) of Section 10 before January 1. (c) The Secretary of State shall then submit the measure at the next general election held at least 31 days after it qualifies or at a special statewide election held prior to that general election. The Governor may call a special statewide election for the measure. Second-- That Section 8 of Article IV thereof is amended to read: SEC. 8. (a) At regular sessions no bill other than the budget bill may be heard or acted on by committee or either house until the 31st day after the bill is introduced unless the house dispenses with this requirement by rollcall vote entered in the journal, three-fourths of the membership concurring. (b) The Legislature may make no law except by statute and may enact no statute except by bill. No bill may be passed unless it is read by title on three days in each house except that the house may dispense with this requirement by rollcall vote entered in the journal, two-thirds of the membership concurring. No bill may be passed until the bill with amendments has been printed and distributed to the Members. No bill may be passed unless, by rollcall vote entered in the journal, a majority of the membership of each house concurs. (c) (1) Except as provided in paragraphs (2) and (3), a statute enacted at a regular session shall go into effect on January 1 next following a 90-day period from the date of enactment of the statute and a statute enacted at a special session shall go into effect on the 91st day after adjournment of the special session at which the bill was passed. (2) A statute, other than a statute establishing or changing boundaries of any legislative, congressional, or other election district, enacted by a bill passed by the Legislature on or before the date the Legislature adjourns for a joint recess to reconvene in the second calendar year of the biennium of the legislative session, and in the possession of the Governor after that date, shall go into effect on January 1 next following the enactment date of the statute unless, before January 1, a copy of a referendum petition affecting the statute is submitted to the Attorney General pursuant to subdivision (d) of Section 10 of Article II, in which event the statute shall go into effect on the 91st day after the enactment date unless the petition has been presented to the Secretary of State pursuant to subdivision (b) of Section 9 of Article II. (3) Statutes calling elections, statutes providing for tax levies or appropriations for the usual current expenses of the State, urgency statutes, statutes enacting the budget bill, and statutes enacting budget implementation bills shall go into effect immediately upon their enactment. For purposes of this section, a "budget implementation bill" is a bill enacted by a statute that is identified in the budget bill as containing only changes in law necessary to implement the budget bill. (d) Urgency statutes are those necessary for immediate preservation of the public peace, health, or safety. A statement of facts constituting the necessity shall be set forth in one section of the bill. In each house the section and the bill shall be passed separately, each by rollcall vote entered in the journal, two-thirds of the membership concurring. An urgency statute may not create or abolish any office or change the salary, term, or duties of any office, or grant any franchise or special privilege, or create any vested right or interest. Third-- That Section 12 of Article IV thereof is amended to read: SEC. 12. (a) Within the first 10 days of each calendar year, the Governor shall submit to the Legislature, with an explanatory message, a budget for the ensuing fiscal year containing itemized statements for recommended state expenditures and estimated state revenues. If recommended expenditures exceed estimated revenues, the Governor shall recommend the sources from which the additional revenues should be provided. (b) The Governor and the Governor-elect may require a state agency, officer, or employee to furnish whatever information is deemed necessary to prepare the budget. (c) (1) The budget shall be accompanied by a budget bill itemizing recommended expenditures. (2) The budget bill shall be introduced immediately in each house by the persons chairing the committees that consider the budget. (3) The Legislature shall pass the budget bill by midnight on June 15 of each year. (4) Until the budget bill has been enacted, the Legislature shall not send to the Governor for consideration any bill appropriating funds for expenditure during the fiscal year for which the budget bill is to be enacted, except emergency bills recommended by the Governor or appropriations for the salaries and expenses of the Legislature. (d) (1) No bill except the budget bill may contain more than one item of appropriation, and that for one certain, expressed purpose. Appropriations from the General Fund of the State, except appropriations for the public schoolsor appropriations made in the budget bill, are void unless passed in each house by rollcall vote entered in the journal, two-thirds of the membership concurring. (2) On or after May 15 each year, the Legislative Analyst shall estimate total General Fund revenues for the current fiscal year, and report the estimate to the Governor and the Legislature. If the amount of General Fund revenues estimated in the budget bill enacted for the current fiscal year pursuant to subdivision (f) exceeds by 5 percent or more the estimate reported under this paragraph, appropriations from the General Fund of the State made in the budget bill for the ensuing fiscal year shall be exempt from the vote requirement set forth in paragraph (1). (3) For purposes of this section, Section 8, and Section 9 of Article II, a "budget bill" is a bill that makes appropriations for the support of the government of the State for an entire fiscal year. (e) The Legislature may control the submission, approval, and enforcement of budgets and the filing of claims for all state agencies. (f) For the 2004-05 fiscal year, or any subsequent fiscal year, the Legislature may not send to the Governor for consideration, nor may the Governor sign into law, a budget bill that would appropriate from the General Fund, for that fiscal year, a total amount that, when combined with all appropriations from the General Fund for that fiscal year made as of the date of the budget bill's passage, and the amount of any General Fund moneys transferred to the Budget Stabilization Account for that fiscal year pursuant to Section 20 of Article XVI, exceeds General Fund revenues for that fiscal year estimated as of the date of the budget bill's passage. That estimate of General Fund revenues shall be set forth in the budget bill passed by the Legislature. Fourth-- That the amendments to the California Constitution made by this measure shall apply to the budget bill for the first fiscal year commencing after the approval of this measure by the voters at a statewide election and each subsequent fiscal year, and shall apply for all other purposes commencing July 1 of the first fiscal year commencing after the approval of this measure by the voters at a statewide election.