PRIOR PASSAGE - NONE PRINTER'S NO. 1665
No. 1100 Session of 2007
INTRODUCED BY ROCK, METCALFE, QUIGLEY, ARGALL, BEAR, BENNINGHOFF, BOYD, CAPPELLI, COX, CREIGHTON, CUTLER, DENLINGER, EVERETT, FAIRCHILD, GABIG, GINGRICH, HICKERNELL, HUTCHINSON, KAUFFMAN, KORTZ, MANTZ, MARSHALL, MENSCH, MOUL, MUSTIO, PERRY, PYLE, RAPP, REICHLEY, ROAE, ROHRER, SCHRODER, STEIL, STERN, SWANGER, TURZAI, VEREB AND VULAKOVICH, MAY 24, 2007
REFERRED TO COMMITTEE ON STATE GOVERNMENT, MAY 24, 2007
A JOINT RESOLUTION 1 Proposing separate and distinct amendments to the Constitution 2 of the Commonwealth of Pennsylvania, providing for spending 3 limitations on the Commonwealth and for imposition or levy of 4 taxes or license fees. 5 The General Assembly of the Commonwealth of Pennsylvania 6 hereby resolves as follows: 7 Section 1. The following separate and distinct amendments to 8 the Constitution of Pennsylvania are proposed in accordance with 9 the provisions of Article XI: 10 That Article VIII be amended by adding sections to read: 11 § 18. Spending limitations. 12 (a) Total spending by the Commonwealth shall not exceed the 13 spending limit in any fiscal year. The spending limit for any 14 fiscal year shall be equal to the spending during the 15 immediately prior fiscal year, adjusted by the lower percentage 16 of the following:
1 (i) The change in the Consumer Price Index for All Urban 2 Consumers from the immediately prior fiscal year, if expressed 3 as a positive number; or 4 (ii) The change in the rate of population growth in this 5 Commonwealth from the immediately prior fiscal year, if 6 expressed as a positive number. 7 The percentage of the rate of change used in any fiscal year to 8 adjust the limit may be increased for that year, but not to a 9 percentage in excess of 120% of clause (i) or (ii), whichever is 10 lower, by the affirmative vote of three-fourths of the members 11 elected to each House of the General Assembly. The 12 Commonwealth's spending limit as provided in this subsection may 13 be changed by the procedure outlined in Article XI, section 14 1(a). 15 (b) The spending limit of the Commonwealth may be exceeded 16 in any fiscal year for a presidentially declared emergency or 17 major disaster. The spending limit may also be exceeded for 18 other declared emergencies if the Governor so requests and the 19 General Assembly approves by the affirmative vote of three- 20 fourths of the members elected to each House of the General 21 Assembly. The excess spending authorized by exceeding the limit 22 in this manner shall not be included in the computation base of 23 the spending limit for any subsequent fiscal year. 24 (c) Total spending by the Commonwealth means all 25 appropriations and authorizations from the General Fund, the 26 Public Transportation Assistance Fund and the Motor License Fund 27 and funds created after the effective date of this subsection, 28 and shall exclude refunds, servicing of bonded indebtedness 29 incurred prior to the effective date of this subsection and of 30 voter-approved bonded indebtedness, expenditures for funding the 20070H1100B1665 - 2 -
1 unfunded pension liabilities existing on the effective date of 2 this subsection and the spending of Federal funds, gifts or 3 receipts restricted by laws in effect as of January 1, 2007. 4 This section shall not be circumvented by creating additional 5 spending programs in the General Fund or Motor License Fund, or 6 transferring spending from the General Fund or Motor License 7 Fund to existing special funds or restricted receipt accounts. 8 § 19. Imposition or levy of taxes or license fee. 9 (a) Except as provided in subsection (c), no tax or license 10 fee may be imposed or levied except pursuant to an act of the 11 General Assembly adopted with the concurrence of three-fourths 12 of all members of each House. 13 (b) Except as provided in subsection (c), the effective rate 14 of any tax levied or license fee imposed may not be increased 15 except pursuant to an act of the General Assembly adopted with 16 the concurrence of three-fourths of all members of each House. 17 (c) Prior to the beginning of each fiscal year of the 18 Commonwealth, the General Assembly shall appropriate revenues to 19 pay interest on its debt to which it has pledged its faith and 20 credit and which interest is payable in the year for which the 21 appropriation is made and to pay the principal of the debt, 22 payable in such year, whether at maturity or otherwise. To the 23 extent that insufficient revenues are provided to pay the 24 principal and interest on the debt when due and payable, the 25 first moneys thereafter received by the Commonwealth shall be 26 set aside and applied to the payment of the principal and 27 interest on the debt. To make up for the insufficient revenues, 28 the General Assembly may increase the rate of taxes and fees 29 after failing to pay when due the principal of and interest of 30 the debt. 20070H1100B1665 - 3 -
1 Section 2. (a) Upon the first passage by the General 2 Assembly of these proposed constitutional amendments, the 3 Secretary of the Commonwealth shall proceed immediately to 4 comply with the advertising requirements of section 1 of Article 5 XI of the Constitution of Pennsylvania and shall transmit the 6 required advertisements to two newspapers in every county in 7 which such newspapers are published in sufficient time after 8 passage of these proposed constitutional amendments. 9 (b) Upon the second passage by the General Assembly of these 10 proposed constitutional amendments, the Secretary of the 11 Commonwealth shall proceed immediately to comply with the 12 advertising requirements of section 1 of Article XI of the 13 Constitution of Pennsylvania and shall transmit the required 14 advertisements to two newspapers in every county in which such 15 newspapers are published in sufficient time after passage of 16 these proposed constitutional amendments. The Secretary of the 17 Commonwealth shall submit the proposed constitutional amendments 18 under section 1 to the qualified electors of this Commonwealth 19 as separate ballot questions at the first primary, general or 20 municipal election which meets the requirements of and is in 21 conformance with section 1 of Article XI of the Constitution of 22 Pennsylvania and which occurs at least three months after the 23 proposed constitutional amendments are passed by the General 24 Assembly. 25 Section 3. (a) The addition of section 18(a) of Article 26 VIII of the Constitution of Pennsylvania shall become effective 27 beginning with the first fiscal year commencing more than six 28 months following approval of section 18 by the electorate. 29 (b) The addition of section 19 of Article VIII of the 30 Constitution of Pennsylvania shall not apply to any tax or 20070H1100B1665 - 4 -
1 license fee authorized by an act of the General Assembly which 2 has not taken effect following approval of section 19 by the 3 electorate. A18L83MSP/20070H1100B1665 - 5 -