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HJR 103: Proposing amendments to the Constitution of the State of Alaska relating to an appropriation limit.

00 HOUSE JOINT RESOLUTION NO. 103 01 Proposing amendments to the Constitution of the State of Alaska relating to an 02 appropriation limit. 03 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. Article IX, sec. 16, Constitution of the State of Alaska, is repealed and 05 readopted to read: 06 Section 16. Appropriation Limit. (a) Appropriations made for a current 07 fiscal year shall not exceed the average amount appropriated for the earliest three of 08 the four fiscal years immediately preceding that current fiscal year, increased or 09 decreased by the lesser of 10 (1) seventy-five percent of the sum of the following: 11 (A) the percentage rate of change in the cost of living for the 12 three calendar years preceding the calendar year during which the immediately 13 preceding fiscal year began; plus 14 (B) the percentage rate of change in the State population for the 15 three calendar years preceding the calendar year during which the immediately

01 preceding fiscal year began; or 02 (2) the percentage rate of change in the personal incomes of State 03 residents for the three calendar years preceding the calendar year during which the 04 immediately preceding fiscal year began. 05 (b) The legislature shall implement (a) of this section by law. 06 (c) An appropriation that exceeds the limit under (a) of this section by not 07 more than two percent may be made for any public purpose upon affirmative vote of at 08 least two-thirds of the members of each house of the legislature. An appropriation that 09 exceeds the limit under (a) of this section by not more than four percent may be made 10 for any public purpose upon affirmative vote of at least three-fourths of the members 11 of each house. However, the total amount of appropriations under this subsection 12 made for a fiscal year may not exceed the limit under (a) of this section by more than 13 four percent. A bill making one or more appropriations under this subsection must be 14 confined to appropriations made under this subsection. 15 (d) The following are excluded from the appropriation limits in (a) and (c) of 16 this section and from the calculations made under (a) of this section: 17 (1) an appropriation to the Alaska permanent fund established in 18 Section 15 of this article; 19 (2) an appropriation for payments of permanent fund dividends to State 20 residents; 21 (3) an appropriation to meet a state of natural disaster declared by the 22 governor as prescribed by law; 23 (4) an appropriation to a separate fund or account in the general fund 24 from which expenditures may not be made without an additional appropriation from 25 that separate fund or account; 26 (5) an appropriation of State general obligation and revenue bond 27 proceeds or an appropriation of capital lease financing proceeds; 28 (6) an appropriation required to pay obligations under revenue or 29 general obligation bonds issued by the State or payments owed by the State under a 30 capital lease; 31 (7) an appropriation of money received from the federal government;

01 (8) a reappropriation of money already appropriated under an 02 unobligated appropriation that is not void under Section 13 of this article; 03 (9) an appropriation of money for expenditure by a State agency to 04 provide services to part of that same agency or to another State agency if the other part 05 or the other agency has also received an appropriation of the same money; 06 (10) an appropriation of money held in trust by the State for a 07 particular purpose; 08 (11) an appropriation of money from tuition of the University of 09 Alaska; 10 (12) an appropriation of money received by the state from a source 11 other than the state or federal government that is restricted to a specific use by the 12 terms of a gift, grant, bequest, or contract; 13 (13) an appropriation of money deposited into the budget reserve fund 14 under Section 17(d) of this article back to the funds and accounts from which the 15 money came; 16 (14) an appropriation of dedicated funds. 17 (e) An appropriation made under (c) of this section is excluded from the 18 calculations made under (a) of this section. 19 * Sec. 2. Article XV, Constitution of the State of Alaska, is amended by adding a new 20 section to read: 21 Section 30. Application, Transition, and Repeal of Appropriation Limit. 22 (a) The 2004 amendment relating to an appropriation limit (art. IX, sec. 16) first 23 applies to appropriations made for fiscal year 2006; however, for purposes of making 24 calculations under the appropriation limit for fiscal years 2006 through 2008, it shall 25 be assumed that, excluding appropriations listed under Section 16(d) of Article IX, the 26 amount appropriated for 27 (1) fiscal year 2004 equals $3,300,000,000; and 28 (2) fiscal year 2005 equals $3,400,000,000. 29 (b) Section 16 of Article IX (appropriation limit) is repealed July 1, 2009. 30 * Sec. 3. The amendments proposed by this resolution shall be placed before the voters of 31 the state at the next general election in conformity with art. XIII, sec. 1, Constitution of the

01 State of Alaska, and the election laws of the state.