Louisiana 2020 2020 Regular Session

Louisiana House Bill HB464 Comm Sub / Analysis

                    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 Original	2020 Regular Session	Beaullieu
Abstract:  Limits the annual growth of the expenditure limit to 5%, allows the procedure for the
expenditure limit to be established by law that requires enactment of a law by 2/3 vote of
each house of the legislature to change, and allows for written consent to change the
expenditure limit if the legislature is not in session.
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 5%.  Once
established, 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.
Present constitution authorizes the legislature to change the expenditure limit any fiscal year by a
favorable vote of 2/3 of the elected members of each house by a specific legislative instrument.
Proposed constitutional amendment authorizes the legislature to change the expenditure limit with
written consent of 2/3 of the elected members of each house when the legislature is not in session. 
Provides for submission of the proposed amendment to the voters at the statewide election to be held
Nov. 3, 2020.
(Amends Const. Art. VII, ยง10(C)(1) and (2))