Bill > SCR31

This Concurrent Resolution proposes a constitutional amendment to establish a 2 percent cap on annual increases for certain State government spending, meaning that for each fiscal year, the total amount appropriated cannot exceed the previous year's total by more than 2.0 percent. This limit, however, does not apply to several categories of spending, including State aid to local governments, federal funds, payments to pension systems mandated by the Constitution, State capital construction projects, debt service on voter-approved bonds and certain other pledged debts, appropriations for emergencies like war or natural disasters (excluding routine operations), and money from the Property Tax Relief Fund. The resolution also allows for unused appropriation limits from the previous three years to be "banked" for future use and unspent appropriations from the prior year to be reappropriated without counting towards the new limit, and it permits exceeding the cap only if a bill is passed by a two-thirds vote in both houses of the Legislature as a fiscal emergency measure.