(KTVE/KARD) — The fourth proposed amendment deals with the state’s expenditure limits.
Proposed Amendment 4:
Act 366 (HB 464, 2020 Regular Session by Representative Beaullieu) – 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. Effective June 30, 2022, if passed. (Amends Const. Art. VII, §10(C)(1))
This is what will be on the ballot:
Do you support an amendment to limit the growth of the expenditure limit for the state general fund and dedicated funds and to remove the calculation of its growth factor from the Constitution? (Effective June 30, 2022) (Amends Article VII, Section 10(C)(1))
The ballot summary is as follows:
Present Constitution provides that the legislature shall provide for the determination of an expenditure limit for each fiscal year to be established during the first quarter of the calendar year for the next fiscal year.
Here is what the vote will mean:
A “yes” vote supports amending the state constitution to remove the existing expenditure limit formula and allow the Louisiana Legislature to enact a state spending limit formula through statute that does not allow more than 5 percent growth per year.
A “no” vote opposes amending the state constitution to allow the Louisiana Legislature to enact a state spending formula through statute capped at 5 percent growth, thereby maintaining the existing constitutional formula that caps state spending growth at the prior year’s spending limit multiplied by the average annual percentage rate of change of personal income for Louisiana for the three years prior.
Basically, Amendment 4 would change the formula lawmakers use to find out how much of the state’s revenue they are allowed to spend each year. The new formula would take effect on June 30, 2022.
A similar measure was proposed in the 2018 Louisiana legislative session. It passed the state House, but it did not pass the state Senate.
Other items on the ballot:
- Amendment 1: No Right to Abortion in Constitution Amendment
- Amendment 2: Include Oil and Gas Value in Tax Assessment of Wells Amendment
- Amendment 3: Use of Budget Stabilization Fund for Declared Disasters Amendment
- Amendment 4: Expenditures Limit Growth Formula Amendment
- Amendment 5: Payments in Lieu of Property Taxes Option Amendment
- Amendment 6: Homestead Exemption Special Assessment Income Limit Amendment
- Amendment 7: Unclaimed Property Permanent Trust Fund Amendment
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