HLS 12RS-154 ORIGINAL Page 1 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Regular Session, 2012 HOUSE BILL NO. 548 BY REPRESENTATIVE GEYMANN BUDGETARY CONTROLS: (Constitutional Amendment) Prohibits appropriations of dedicated funds in excess of the official forecast and defines nonrecurring money A JOINT RESOLUTION1 Proposing to amend Article VII, Section 10(B) and (E) and to add Article VII, Section 102 (D)(4) of the Constitution of Louisiana, relative to the expenditure of state funds; to3 provide for the recognition of dedications in the official forecast; to prohibit4 appropriations from dedicated funds in excess of the official forecast; to provide with5 respect to nonrecurring money; to provide for submission of the proposed6 amendment to the electors; and to provide for related matters.7 Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members8 elected to each house concurring, that there shall be submitted to the electors of the state of9 Louisiana, for their approval or rejection in the manner provided by law, a proposal to10 amend Article VII, Section 10(B) and (E) and to add Article VII, Section 10(D)(4) of the11 Constitution of Louisiana, to read as follows:12 §10. Expenditure of State Funds13 Section 10.14 * * *15 (B) Official Forecast. The conference shall prepare and publish initial and16 revised estimates of money to be received by the state general fund and each17 dedicated funds fund for the current and next fiscal years which are available for18 appropriation. In each estimate, the conference shall designate as either recurring19 or nonrecurring all of the money in the estimate, including money to be received by20 HLS 12RS-154 ORIGINAL HB NO. 548 Page 2 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. each fund. which is recurring and which is nonrecurring. All conference decisions1 to adopt these estimates shall be by unanimous vote of its members. Changes to the2 unanimous vote requirement shall be made by law enacted by a favorable vote of at3 least two-thirds of the elected members of each house. The most recently adopted4 estimate of money available for appropriation shall be the official forecast. The5 Revenue Estimating Conference may designate other money as nonrecurring, but6 shall designate the following as nonrecurring:7 (a) Money available for appropriation from any special treasury fund when8 such money was received by the state general fund or a dedicated fund in a previous9 fiscal year.10 (b) Money available for appropriation from the state general fund from one11 time transactions, including but not limited to court settlements, the sale of state12 facilities, and the privatization of state operations.13 * * *14 (D) Appropriations.15 * * *16 (4) Except as otherwise provided in this constitution, including Paragraph17 (F) of this Section, the amount appropriated out of any fund shall not exceed the18 official forecast by the Revenue Estimating Conference of money available for19 appropriation from that fund for that fiscal year.20 * * *21 (E) Balanced Budget. Appropriations by the legislature from the state22 general fund and dedicated funds for any fiscal year except funds allocated by23 Article VII, Section 4, Paragraphs (D) and (E) shall not exceed the official forecast24 in effect for each fund at the time the appropriations are made.25 * * *26 Section 2. Be it further resolved that this proposed amendment shall be submitted27 to the electors of the state of Louisiana at the statewide election to be held on November 6,28 2012.29 HLS 12RS-154 ORIGINAL HB NO. 548 Page 3 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Section 3. Be it further resolved that on the official ballot to be used at the election,1 there shall be printed a proposition, upon which the electors of the state shall be permitted2 to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as3 follows:4 Do you support an amendment to prohibit appropriations from any dedicated5 fund in excess of the amount the Revenue Estimating Conference estimates6 will be available for appropriation from that fund; and to require that the7 Revenue Estimating Conference review each dedicated fund in addition to8 the state general fund to determine if its available money is recurring or9 nonrecurring; and to provide a definition of nonrecurring revenue that10 includes fund money remaining from previous years and money from one11 time transactions such as court settlements, the sale of state facilities, or the12 privatization of state operations? (Amends Article VII, Section 10(B) and13 (E); Adds Article VII, Section 10(D)(4))14 DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] Geymann HB No. 548 Abstract: Prohibits appropriations from dedicated funds in excess of the amounts the Revenue Estimating Conference (REC) has recognized as being available for appropriation by the fund. Present constitution sets forth requirements relative to the expenditure of state funds and establishes the REC to prepare and publish initial and revised estimates of money to be received by the state general fund and dedicated funds for the current and next fiscal years which are available for appropriation, the most recent of which is called the official forecast. In each estimate, the REC must also designate money as either recurring or non recurring. Proposed constitutional amendment retains this present constitutional provision and specifies that the REC must designate as recurring or nonrecurring all of the money in the estimate including money to be received by each fund and specifically provides that the REC must designate as nonrecurring money available for appropriation from any special treasury fund that was received by the state general fund or a dedicated fund in the previous fiscal year and money from one time transactions such as court settlements, the sale of state facilities, and the privatization of state operations. (Art. VII, §10(B)(1)). Proposed constitutional amendment also specifies that unless otherwise provided in the constitution, the amount appropriated out of any fund shall not exceed the official forecast of money available for appropriation from that fund. (Art. VII, §10(D)(4) and (E)). HLS 12RS-154 ORIGINAL HB NO. 548 Page 4 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Provides for submission of the proposed amendment to the voters at the statewide election to be held Nov. 6, 2012. (Amends Const. Art. VII, §10(B) and (E); Adds Const. Art. VII, §10(D)(4))