HLS 20RS-342 REENGROSSED
2020 Regular Session
HOUSE BILL NO. 464
BY REPRESENTATIVES BEAULLIEU, AMEDEE, BACALA, BRYANT, CARRIER,
CORMIER, CREWS, DESHOTEL, DEVILLIER, EDMONDS, EMERSON,
FARNUM, FIRMENT, FONTENOT, FRIEMAN, GAROFALO, HARRIS, TRAVIS
JOHNSON, MCCORMICK, MCKNIGHT, MIGUEZ, PRESSLY,
SCHAMERHORN, SEAB AUGH, THOMAS, AND WRIGHT
BUDGETARY CONTROLS: (Constitutional Amendment) Provides for changes in the
expenditure limit calculation
1 A JOINT RESOLUTION
2Proposing to amend Article VII, Section 10(C)(1) of the Constitution of Louisiana, relative
3 to the expenditure limit; to provide for the method of determining the expenditure
4 limit; to limit the growth of the expenditure limit; to provide for effectiveness; to
5 provide for submission of the proposed amendment to the electors; and to provide
6 for related matters.
7 Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members
8elected to each house concurring, that there shall be submitted to the electors of the state of
9Louisiana, for their approval or rejection in the manner provided by law, a proposal to
10amend Article VII, Section 10(C)(1) of the Constitution of Louisiana, to read as follows:
11 §10. Expenditure of State Funds
12 Section 10.
13 * * *
14 (C) Expenditure Limit. (1) The legislature shall provide for the
15 determination of an expenditure limit for each fiscal year to be established during the
16 first quarter of the calendar year for the next fiscal year. However, the expenditure
17 limit for the 1991-1992 Fiscal Year shall be the actual appropriations from the state
18 general fund and dedicated funds for that year except funds allocated by Article VII,
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1 Section 4, Paragraphs (D) and (E). For subsequent fiscal years, the limit shall not
2 exceed the expenditure limit for the current fiscal year plus an amount equal to that
3 limit times a positive growth factor be as provided for by law. The growth factor is
4 the average annual percentage rate of change of personal income for Louisiana as
5 defined and reported by the United States Department of Commerce for the three
6 calendar years prior to the fiscal year for which the limit is calculated legislature
7 shall establish by law a procedure to determine the expenditure limit. The procedure
8 shall not provide for growth in the expenditure limit of more than five percent in any
9 year. Once established by law, the procedure to determine the expenditure limit shall
10 not be changed except by a law enacted by two-thirds of the elected members of each
11 house of the legislature.
12 * * *
13 Section 2. Be it further resolved that this proposed amendment shall be submitted
14to the electors of the state of Louisiana at the statewide election to be held on November 3,
152020.
16 Section 3. Be it further resolved that the provisions of the amendment contained in
17this Joint Resolution shall become effective on June 30, 2022.
18 Section 4. Be it further resolved that on the official ballot to be used at the election,
19there shall be printed a proposition, upon which the electors of the state shall be permitted
20to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as
21follows:
22 Do you support an amendment to limit the growth of the expenditure limit
23 for the state general fund and dedicated funds and to remove the calculation
24 of its growth factor from the Constitution? (Effective June 30, 2022)
25 (Amends Article VII, Section 10(C)(1))
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HB NO. 464
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)]
HB 464 Reengrossed 2020 Regular Session Beaullieu
Abstract: Requires the legislature to establish a procedure to determine the annual state
expenditure limit and caps the growth of the limit at five percent.
Present constitution provides for the determination of the expenditure limit for the next fiscal
year to be determined in the first quarter of the calendar year for the current fiscal year. The
expenditure limit for the next fiscal year is based on the expenditure limit for the current
fiscal year times a growth factor based on the change of personal income in the state.
Present constitution defines the growth factor as the average annual percentage rate of
change of personal income for La. as defined and reported by the U.S. Dept. of Commerce
for the three calendar years prior to the fiscal year for which the limit is calculated.
Proposed constitutional amendment instead requires the legislature to establish a procedure
to determine the expenditure limit, which shall not provide for growth of more than five
percent. Provides that once established, the procedure shall not be changed except by a law
enacted by a 2/3 vote of the elected members of each house of the legislature.
Provides for submission of the proposed amendment to the voters at the statewide election
to be held Nov. 3, 2020.
Effective June 30, 2022.
(Amends Const. Art. VII, §10(C)(1))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Appropriations to the
original bill:
1. Remove provision of proposed law that would have allowed the legislature to
change the expenditure limit when not in session by mail-in ballot with consent
of 2/3 of the membership of each house.
The House Floor Amendments to the engrossed bill:
1. Set the effective date to June 30, 2022.
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