Bill > H7251

This bill establishes a limit on how much state spending can increase each year, preventing it from growing faster than either the rate of inflation, measured by the Consumer Price Index for All Urban Consumers (CPI-U), or the growth in Rhode Island's personal income, whichever of these two rates is higher. "State spending" is defined as the total amount of money approved by the state legislature from all revenue sources for the annual budget. This spending limit will not apply to certain categories, including payments on state debt, federal funds that must be spent according to federal law, emergency spending approved by the governor and a two-thirds vote of the legislature, or any other exceptions the legislature might create. The Director of Administration will be required to report annually on state spending growth compared to these limits, and if spending exceeds the limit, the governor must submit a plan to reduce future expenditures to comply. The bill takes effect immediately upon being passed.

Budget and Finance

https://status.rilegislature.gov/