New Jersey 2024-2025 Regular Session

New Jersey Assembly Bill ACR78

Introduced
1/9/24  

Caption

Proposes constitutional amendment requiring State revenue estimates for purposes of a balanced State budget be determined by Governor in accordance with State Revenue Forecasting Integrity Commission.

Impact

If approved, this amendment would overhaul the existing constitutional framework related to state appropriations. Under the proposed change, the total revenues available for meeting annual and supplemental state appropriations must conform to the estimates provided by the Revenue Forecasting Integrity Commission, which will consist of six members drawing from various branches of government. This amendment would help ensure that state spending does not exceed available revenues, thereby reinforcing fiscal discipline within state governance. Each year, the commission will publish its revenue estimates to guide the budget process, with the first application of this amendment occurring with the fiscal year following voter approval.

Summary

Assembly Concurrent Resolution No. 78 (ACR78) proposes a constitutional amendment aimed at reforming how state revenue estimates are determined for the purposes of meeting a balanced budget in New Jersey. Currently, the state constitution allows the Governor to certify revenue estimates solely at their discretion. ACR78 seeks to establish a balance by requiring that these estimates are determined in accordance with the published estimates from a newly proposed State Revenue Forecasting Integrity Commission. This change is meant to introduce a level of accountability and transparency in the budgeting process, ensuring that the Governor’s certification aligns with expert assessments.

Contention

There may be points of contention regarding the potential shift in power this amendment represents. Opponents might argue that constraining the Governor's discretion in revenue estimation could limit flexibility in financial decision-making, especially in times of economic uncertainty. Conversely, supporters assert that this structured approach will lead to more accurate revenue forecasting, thereby preventing financial crises brought about by overspending. The need for the Governor to justify any deviations from the commission's estimates could also fuel discussions about executive oversight versus legislative accountability in budgetary matters.

Companion Bills

NJ ACR128

Carry Over Proposes constitutional amendment requiring State revenue estimates for purposes of a balanced State budget be determined by Governor in accordance with State Revenue Forecasting Integrity Commission.

Similar Bills

NJ ACR128

Proposes constitutional amendment requiring State revenue estimates for purposes of a balanced State budget be determined by Governor in accordance with State Revenue Forecasting Integrity Commission.

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