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SB 102: "An Act relating to the Compact for a Balanced Budget."

00 SENATE BILL NO. 102 01 "An Act relating to the Compact for a Balanced Budget." 02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 03 * Section 1. AS 44.99.610 is amended to read: 04 Sec. 44.99.610. Compact terms. The terms and provisions of the compact 05 referred to in AS 44.99.600 are as follows: 06 COMPACT FOR A BALANCED BUDGET 07 ARTICLE I 08 DECLARATION OF POLICY, PURPOSE AND INTENT 09 Whereas, every State enacting, adopting and agreeing to be bound by this 10 Compact intends to ensure that their respective Legislature's use of the power to 11 originate a Balanced Budget Amendment under Article V of the Constitution of the 12 United States will be exercised conveniently and with reasonable certainty as to the 13 consequences thereof. 14 Now, therefore, in consideration of their expressed mutual promises and 15 obligations, be it enacted by every State enacting, adopting and agreeing to be bound

01 by this Compact, and resolved by each of their respective Legislatures, as the case 02 may be, to exercise herewith all of their respective powers as set forth herein 03 notwithstanding any law to the contrary. 04 ARTICLE II 05 DEFINITIONS 06 Section 1. "Compact" means this "Compact for a Balanced Budget." 07 Section 2. "Convention" means the convention for proposing amendments 08 organized by this Compact under Article V of the Constitution of the United States 09 and, where contextually appropriate to ensure the terms of this Compact are not 10 evaded, any other similar gathering or body, which might be organized as a 11 consequence of Congress receiving the application set out in this Compact and claim 12 authority to propose or effectuate any amendment, alteration or revision to the 13 Constitution of the United States. This term does not encompass a convention for 14 proposing amendments under Article V of the Constitution of the United States that is 15 organized independently of this Compact based on the separate and distinct 16 application of any State. 17 Section 3. "State" means one of the several States of the United States. Where 18 contextually appropriate, the term "State" shall be construed to include all of its 19 branches, departments, agencies, political subdivisions, and officers and 20 representatives acting in their official capacity. 21 Section 4. "Member State" means a State that has enacted, adopted and agreed 22 to be bound to this Compact. For any State to qualify as a Member State with respect 23 to any other State under this Compact, each such State must have enacted, adopted and 24 agreed to be bound by substantively identical compact legislation. 25 Section 5. "Compact Notice Recipients" means the Archivist of the United 26 States, the President of the United States, the President of the United States Senate, the 27 Office of the Secretary of the United States Senate, the Speaker of the United States 28 House of Representatives, the Office of the Clerk of the United States House of 29 Representatives, the chief executive officer of each State, and the presiding officer(s) 30 of each house of the Legislatures of the several States. 31 Section 6. Notice. All notices required by this Compact shall be by U.S.

01 Certified Mail, return receipt requested, or an equivalent or superior form of notice, 02 such as personal delivery documented by evidence of actual receipt. 03 Section 7. "Balanced Budget Amendment" means the following: 04 "Article _______________ 05 Section 1. Total outlays of the government of the United States shall not 06 exceed total receipts of the government of the United States at any point in time unless 07 the excess of outlays over receipts is financed exclusively by debt issued in strict 08 conformity with this article. 09 Section 2. Outstanding debt shall not exceed authorized debt, which initially 10 shall be an amount equal to 105 percent of the outstanding debt on the effective date 11 of this article. Authorized debt shall not be increased above its aforesaid initial amount 12 unless such increase is first approved by the legislatures of the several states as 13 provided in Section 3. 14 Section 3. From time to time, Congress may increase authorized debt to an 15 amount in excess of its initial amount set by Section 2 only if it first publicly refers to 16 the legislatures of the several states an unconditional, single subject measure 17 proposing the amount of such increase, in such form as provided by law, and the 18 measure is thereafter publicly and unconditionally approved by a simple majority of 19 the legislatures of the several states, in such form as provided respectively by state 20 law; provided that no inducement requiring an expenditure or tax levy shall be 21 demanded, offered or accepted as a quid pro quo for such approval. If such approval is 22 not obtained within sixty (60) calendar days after referral then the measure shall be 23 deemed disapproved and the authorized debt shall thereby remain unchanged. 24 Section 4. Whenever the outstanding debt exceeds 98 percent of the debt limit 25 set by Section 2, the President shall enforce said limit by publicly designating specific 26 expenditures for impoundment in an amount sufficient to ensure outstanding debt shall 27 not exceed the authorized debt. Said impoundment shall become effective thirty (30) 28 days thereafter, unless Congress first designates an alternate impoundment of the same 29 or greater amount by concurrent resolution, which shall become immediately 30 effective. The failure of the President to designate or enforce the required 31 impoundment is an impeachable misdemeanor. Any purported issuance or incurrence

01 of any debt in excess of the debt limit set by Section 2 is void. 02 Section 5. No bill that provides for a new or increased general revenue tax 03 shall become law unless approved by a two-thirds roll call vote of the whole number 04 of each House of Congress. However, this requirement shall not apply to any bill that 05 provides for a new end user sales tax which would completely replace every existing 06 income tax levied by the government of the United States; or for the reduction or 07 elimination of an exemption, deduction, or credit allowed under an existing general 08 revenue tax. 09 Section 6. For purposes of this article, "debt" means any obligation backed by 10 the full faith and credit of the government of the United States; "outstanding debt" 11 means all debt held in any account and by any entity at a given point in time; 12 "authorized debt" means the maximum total amount of debt that may be lawfully 13 issued and outstanding at any single point in time under this article; "total outlays of 14 the government of the United States" means all expenditures of the government of the 15 United States from any source; "total receipts of the government of the United States" 16 means all tax receipts and other income of the government of the United States, 17 excluding proceeds from its issuance or incurrence of debt or any type of liability; 18 "impoundment" means a proposal not to spend all or part of a sum of money 19 appropriated by Congress; and "general revenue tax" means any income tax, sales tax, 20 or value-added tax levied by the government of the United States excluding imposts 21 and duties. 22 Section 7. This article is immediately operative upon ratification, self- 23 enforcing, and Congress may enact conforming legislation to facilitate enforcement." 24 ARTICLE III 25 COMPACT MEMBERSHIP AND WITHDRAWAL 26 Section 1. This Compact governs each Member State to the fullest extent 27 permitted by their respective constitutions, superseding and repealing any conflicting 28 or contrary law. 29 Section 2. By becoming a Member State, each such State offers, promises and 30 agrees to perform and comply strictly in accordance with the terms and conditions of 31 this Compact, and has made such offer, promise and agreement in anticipation and

01 consideration of, and in substantial reliance upon, such mutual and reciprocal 02 performance and compliance by each other current and future Member State, if any. 03 Accordingly, in addition to having the force of law in each Member State upon its 04 respective effective date, this Compact and each of its Articles shall also be construed 05 as contractually binding each Member State when: (a) at least one other State has 06 likewise become a Member State by enacting substantively identical legislation 07 adopting and agreeing to be bound by this Compact; and (b) notice of such State's 08 Member State status is or has been seasonably received by the Compact 09 Administrator, if any, or otherwise by the chief executive officer of each other 10 Member State. 11 Section 3. For purposes of determining Member State status under this 12 Compact, as long as all other provisions of the Compact remain identical and 13 operative on the same terms, legislation enacting, adopting and agreeing to be bound 14 by this Compact shall be deemed and regarded as "substantively identical" with 15 respect to such other legislation enacted by another State notwithstanding: (a) any 16 difference in section 2 of Article IV with specific regard to the respectively enacting 17 State's own method of appointing its member to the Commission; (b) any difference in 18 section 5 of Article IV with specific regard to the respectively enacting State's own 19 obligation to fund the Commission; (c) any difference in section 1 and 2 of Article VI 20 with specific regard to the number and identity of each delegate respectively appointed 21 on behalf of the enacting State, provided that no more than three delegates may attend 22 and participate in the Convention on behalf of any State; or (d) any difference in 23 section 7 of Article X with specific regard to the respectively enacting State as to 24 whether section 1 of Article V of this Compact shall survive termination of this 25 Compact, and thereafter become a continuing resolution of the Legislature of such 26 State applying to Congress for the calling of a convention of the states under Article V 27 of the Constitution of the United States, under such terms and limitations as may be 28 specified by such State. 29 Section 4. When fewer than three-fourths of the States are Member States, any 30 Member State may withdraw from this Compact by enacting appropriate legislation, 31 as determined by state law, and giving notice of such withdrawal to the Compact

01 Administrator, if any, or otherwise to the chief executive officer of each other Member 02 State. A withdrawal shall not affect the validity or applicability of the compact with 03 respect to remaining Member States, provided that there remain at least two such 04 States. However, once at least three-fourths of the States are Member States, then no 05 Member State may withdraw from the Compact prior to its termination absent 06 unanimous consent of all Member States. 07 ARTICLE IV 08 COMPACT COMMISSION AND COMPACT ADMINISTRATOR 09 Section 1. Nature of the Compact Commission. The Compact Commission 10 ("Commission") is hereby established. It has the power and duty: (a) to appoint and 11 oversee a Compact Administrator; (b) to encourage States to join the Compact and 12 Congress to call the Convention in accordance with this Compact; (c) to coordinate the 13 performance of obligations under the Compact; (d) to oversee the Convention's 14 logistical operations as appropriate to ensure this Compact governs its proceedings; (e) 15 to oversee the defense and enforcement of the Compact in appropriate legal venues; (f) 16 to request funds and to disburse those funds to support the operations of the 17 Commission, Compact Administrator, and Convention; and (g) to cooperate with any 18 entity that shares a common interest with the Commission and engages in policy 19 research, public interest litigation or lobbying in support of the purposes of the 20 Compact. The Commission shall only have such implied powers as are essential to 21 carrying out these express powers and duties. It shall take no action that contravenes 22 or is inconsistent with this Compact or any law of any State that is not superseded by 23 this Compact. It may adopt and publish corresponding bylaws and policies. 24 Section 2. Commission Membership. The Commission initially consists of 25 three unpaid members. Each Member State may appoint one member to the 26 Commission through an appointment process to be determined by their respective 27 chief executive officer until all positions on the Commission are filled. Positions shall 28 be assigned to appointees in the order in which their respective appointing States 29 became Member States. The bylaws of the Commission may expand its membership 30 to include representatives of additional Member States and to allow for modest 31 salaries and reimbursement of expenses if adequate funding exists.

01 Section 3. Commission Action. Each Commission member is entitled to one 02 vote. The Commission shall not act unless a majority of its appointed membership is 03 present, and no action shall be binding unless approved by a majority of the 04 Commission's appointed membership. The Commission shall meet at least once a 05 year, and may meet more frequently. 06 Section 4. First Order of Business. The Commission shall at the earliest 07 possible time elect from among its membership a Chairperson, determine a primary 08 place of doing business, and appoint a Compact Administrator. 09 Section 5. Funding. The Commission and the Compact Administrator's 10 activities shall be funded exclusively by each Member State, as determined by their 11 respective state law, or by voluntary donations. 12 Section 6. Compact Administrator. The Compact Administrator has the power 13 and duty: (a) to timely notify the States of the date, time and location of the 14 Convention; (b) to organize and direct the logistical operations of the Convention; (c) 15 to maintain an accurate list of all Member States, their appointed delegates, including 16 contact information; and (d) to formulate, transmit, and maintain all official notices, 17 records, and communications relating to this Compact. The Compact Administrator 18 shall only have such implied powers as are essential to carrying out these express 19 powers and duties; and shall take no action that contravenes or is inconsistent with this 20 Compact or any law of any State that is not superseded by this Compact. The Compact 21 Administrator serves at the pleasure of the Commission and must keep the 22 Commission seasonably apprised of the performance or nonperformance of the terms 23 and conditions of this Compact. Any notice sent by a Member State to the Compact 24 Administrator concerning this Compact shall be adequate notice to each other Member 25 State provided that a copy of said notice is seasonably delivered by the Compact 26 Administrator to each other Member State's respective chief executive officer. 27 Section 7. Notice of Key Events. Upon the occurrence of each of the following 28 described events, or otherwise as soon as possible, the Compact Administrator shall 29 immediately send the following notices to all Compact Notice Recipients, together 30 with certified conforming copies of the chaptered version of this Compact as 31 maintained in the statutes of each Member State: (a) whenever any State becomes a

01 Member State, notice of that fact shall be given; (b) once at least three-fourths of the 02 States are Member States, notice of that fact shall be given together with a statement 03 declaring that the Legislatures of at least two-thirds of the several States have applied 04 for a convention for proposing amendments under Article V of the Constitution of the 05 United States, petitioning Congress to call the Convention contemplated by this 06 Compact, and further requesting cooperation in organizing the same in accordance 07 with this Compact; (c) once Congress has called the Convention contemplated by this 08 Compact, and whenever the date, time and location of the Convention has been 09 determined, notice of that fact shall be given together with the date, time and location 10 of the Convention and other essential logistical matters; (d) upon approval of the 11 Balanced Budget Amendment by the Convention, notice of that fact shall be given 12 together with the transmission of certified copies of such approved proposed 13 amendment and a statement requesting Congress to refer the same for ratification by 14 three-fourths of the Legislatures of the several States under Article V of the 15 Constitution of the United States (however, in no event shall any proposed amendment 16 other than the Balanced Budget Amendment be transmitted); and (e) when any Article 17 of this Compact prospectively ratifying the Balanced Budget Amendment is effective 18 in any Member State, notice of the same shall be given together with a statement 19 declaring such ratification and further requesting cooperation in ensuring that the 20 official record confirms and reflects the effective corresponding amendment to the 21 Constitution of the United States. However, whenever any Member State enacts 22 appropriate legislation, as determined by the laws of the respective state, withdrawing 23 from this Compact, the Compact Administrator shall immediately send certified 24 conforming copies of the chaptered version of such withdrawal legislation as 25 maintained in the statutes of each such withdrawing Member State, solely to each 26 chief executive officer of each remaining Member State, giving notice of such 27 withdrawal. 28 Section 8. Cooperation. The Commission, Member States and Compact 29 Administrator shall cooperate with each other and give each other mutual assistance in 30 enforcing this Compact and shall give the chief law enforcement officer of each other 31 Member State any information or documents that are reasonably necessary to facilitate

01 the enforcement of this Compact. 02 Section 9. This Article does not take effect until there are at least two Member 03 States. 04 ARTICLE V 05 RESOLUTION APPLYING FOR CONVENTION 06 Section 1. Be it resolved, as provided for in Article V of the Constitution of the 07 United States, the Legislature of each Member State herewith applies to Congress for 08 the calling of a convention for proposing amendments limited to the subject matter of 09 proposing for ratification the Balanced Budget Amendment. 10 Section 2. Congress is further petitioned to refer the Balanced Budget 11 Amendment to the States for ratification by three-fourths of their respective 12 Legislatures. 13 Section 3. This Article does not take effect until at least three-fourths of the 14 several States are Member States. 15 ARTICLE VI 16 DELEGATE APPOINTMENT, LIMITATIONS AND INSTRUCTIONS 17 Section 1. Number of Delegates. Each Member State shall be entitled to three 18 delegates to represent its sovereign interests [ONE DELEGATE AS ITS SOLE 19 AND EXCLUSIVE REPRESENTATIVE] at the Convention [AS SET FORTH IN 20 THIS ARTICLE]. 21 Section 2. Identity of Delegates. The Governor, Speaker of the House of 22 Representatives, and President of the Senate of this Member State who hold 23 office at the time of the Convention, or their respective designee, as identified in a 24 sworn affidavit executed by such officer, are each appointed in an individual 25 capacity to represent this Member State at the Convention as its sole and 26 exclusive delegates. A majority vote of this delegation shall serve to decide any 27 issue at the Convention on behalf of this Member State [EACH MEMBER 28 STATE'S CHIEF EXECUTIVE OFFICER, WHO IS SERVING ON THE 29 ENACTMENT DATE OF THIS COMPACT, IS APPOINTED IN AN INDIVIDUAL 30 CAPACITY TO REPRESENT HIS OR HER RESPECTIVE STATE AT THE 31 CONVENTION AS ITS SOLE AND EXCLUSIVE DELEGATE].

01 Section 3. Replacement or Recall of Delegates. A delegate appointed 02 hereunder may be replaced or recalled by the Legislature of his or her respective State 03 at any time for good cause, such as criminal misconduct or the violation of this 04 Compact. If replaced or recalled, any delegate previously appointed hereunder must 05 immediately vacate the Convention and return to delegate's respective State's capitol. 06 Section 4. Oath. The power and authority of a delegate under this Article may 07 only be exercised after the Convention is first called by Congress in accordance with 08 this Compact and such appointment is duly accepted by such appointee publicly taking 09 the following oath or affirmation: "I do solemnly swear (or affirm) that I accept this 10 appointment and will act strictly in accordance with the terms and conditions of the 11 Compact for a Balanced Budget, the Constitution of the State I represent, and the 12 Constitution of the United States. I understand that violating this oath (or affirmation) 13 forfeits my appointment and may subject me to other penalties as provided by law." 14 Section 5. Term. The term of a delegate hereunder commences upon 15 acceptance of appointment and terminates upon the permanent adjournment of the 16 Convention, unless shortened by recall, replacement or forfeiture under this Article. 17 Upon expiration of such term, any person formerly serving as a delegate must 18 immediately withdraw from and cease participation at the Convention, if any is 19 proceeding. 20 Section 6. Delegate Authority. The power and authority of any delegate 21 appointed hereunder is strictly limited: (a) to introducing, debating, voting upon, 22 proposing and enforcing the Convention Rules specified in this Compact, as needed to 23 ensure those rules govern the Convention; and (b) to introducing, debating, voting 24 upon, and rejecting or proposing for ratification the Balanced Budget Amendment. All 25 actions taken by any delegate in violation of this section are void ab initio. 26 Section 7. Delegate Authority. No delegate of any Member State may 27 introduce, debate, vote upon, reject or propose for ratification any constitutional 28 amendment at the Convention unless: (a) the Convention Rules specified in this 29 Compact govern the Convention and their actions; and (b) the constitutional 30 amendment is the Balanced Budget Amendment. 31 Section 8. Delegate Authority. The power and authority of any delegate at the

01 Convention does not include any power or authority associated with any other public 02 office held by the delegate. Any person appointed to serve as a delegate shall take a 03 temporary leave of absence, or otherwise shall be deemed temporarily disabled, from 04 any other public office held by the delegate while attending the Convention, and may 05 not exercise any power or authority associated with any other public office held by the 06 delegate while attending the Convention. All actions taken by any delegate in violation 07 of this section are void ab initio. 08 Section 9. Order of Business. Before introducing, debating, voting upon, 09 rejecting or proposing for ratification any constitutional amendment at the Convention, 10 each delegate of every Member State must first ensure the Convention Rules in this 11 Compact govern the Convention and their actions. Every delegate and each Member 12 State must immediately vacate the Convention and notify the Compact Administrator 13 by the most effective and expeditious means if the Convention Rules in this Compact 14 are not adopted to govern the Convention and their actions. 15 Section 10. Forfeiture of Appointment. If any Member State or delegate 16 violates any provision of this Compact, then every delegate of that Member State 17 immediately forfeits his or her appointment, and shall immediately cease participation 18 at the Convention, vacate the Convention, and return to his or her respective State's 19 capitol. 20 Section 11. Expenses. A delegate appointed hereunder is entitled to 21 reimbursement of reasonable expenses for attending the Convention from his or her 22 respective Member State. No delegate may accept any other form of remuneration or 23 compensation for service under this Compact. 24 ARTICLE VII 25 CONVENTION RULES 26 Section 1. Nature of the Convention. The Convention shall be organized, 27 construed and conducted as a body exclusively representing and constituted by the 28 several States. 29 Section 2. Agenda of the Convention. The agenda of the Convention shall be 30 entirely focused upon and exclusively limited to introducing, debating, voting upon, 31 and rejecting or proposing for ratification the Balanced Budget Amendment under the

01 Convention Rules specified in this Article and in accordance with the Compact. It 02 shall not be in order for the Convention to consider any matter that is outside the scope 03 of this agenda. 04 Section 3. Delegate Identity and Procedure. States shall be represented at the 05 Convention through duly appointed delegates. The number, identity and authority of 06 delegates assigned to each State shall be determined by this Compact in the case of 07 Member States or, in the case of States that are not Member States, by their respective 08 state laws. However, to prevent disruption of proceedings, no more than three 09 delegates may attend and participate in the Convention on behalf of any State. A 10 certified chaptered conforming copy of this Compact, together with government- 11 issued photographic proof of identification, shall suffice as credentials for delegates of 12 Member States. Any commission for delegates of States that are not Member States 13 shall be based on their respective state laws, but it shall furnish credentials that are at 14 least as reliable as those required of Member States. 15 Section 4. Voting. Each State represented at the Convention shall have one 16 vote, exercised by the vote of that State's delegate in the case of States represented by 17 one delegate, or, in the case of any State that is represented by more than one delegate, 18 by the majority vote of that State's respective delegates. 19 Section 5. Quorum. A majority of the several States of the United States, each 20 present through its respective delegate in the case of any State that is represented by 21 one delegate, or through a majority of its respective delegates, in the case of any State 22 that is represented by more than one delegate, shall constitute a quorum for the 23 transaction of any business on behalf of the Convention. 24 Section 6. Action by the Convention. The Convention shall only act as a 25 committee of the whole chaired by the delegate representing the first State to have 26 become a Member State, if that State is represented by one delegate, or otherwise by 27 the delegate chosen by the majority vote of that State's respective delegates. The 28 transaction of any business on behalf of the Convention, including the designation of a 29 Secretary, the adoption of parliamentary procedures and the rejection or proposal of 30 any constitutional amendment, requires a quorum to be present and a majority 31 affirmative vote of those States constituting the quorum.

01 Section 7. Emergency Suspension and Relocation of the Convention. In the 02 event that the Chair of the Convention declares an emergency due to disorder or an 03 imminent threat to public health and safety prior to the completion of the business on 04 the Agenda, and a majority of the States present at the Convention do not object to 05 such declaration, further Convention proceedings shall be temporarily suspended, and 06 the Commission shall subsequently relocate or reschedule the Convention to resume 07 proceedings in an orderly fashion in accordance with the terms and conditions of this 08 Compact with prior notice given to the Compact Notice Recipients. 09 Section 8. Parliamentary Procedure. In adopting, applying and formulating 10 parliamentary procedure, the Convention shall exclusively adopt, apply or 11 appropriately adapt provisions of the most recent editions of Robert's Rules of Order 12 and the American Institute of Parliamentarians Standard Code of Parliamentary 13 Procedure. In adopting, applying or adapting parliamentary procedure, the Convention 14 shall exclusively consider analogous precedent arising within the jurisdiction of the 15 United States. Parliamentary procedures adopted, applied or adapted pursuant to this 16 section shall not obstruct, override, or otherwise conflict with this Compact. 17 Section 9. Transmittal. Upon approval of the Balanced Budget Amendment by 18 the Convention to propose for ratification, the Chair of the Convention shall 19 immediately transmit certified copies of such approved proposed amendment to the 20 Compact Administrator and all Compact Notice Recipients, notifying them 21 respectively of such approval and requesting Congress to refer the same for 22 ratification by the States under Article V of the Constitution of the United States. 23 However, in no event shall any proposed amendment other than the Balanced Budget 24 Amendment be transmitted as aforesaid. 25 Section 10. Transparency. Records of the Convention, including the identities 26 of all attendees and detailed minutes of all proceedings, shall be kept by the Chair of 27 the Convention or Secretary designated by the Convention. All proceedings and 28 records of the Convention shall be open to the public upon request subject to 29 reasonable regulations adopted by the Convention that are closely tailored to 30 preventing disruption of proceedings under this Article. 31 Section 11. Adjournment of the Convention. The Convention shall

01 permanently adjourn upon the earlier of twenty-four (24) hours after commencing 02 ARTICLE VIII 03 PROHIBITION ON ULTRA VIRES CONVENTION 04 Section 1. Member States shall not participate in the Convention unless: (a) 05 Congress first calls the Convention in accordance with this Compact; and (b) the 06 Convention Rules of this Compact are adopted by the Convention as its first order of 07 business. 08 Section 2. Any proposal or action of the Convention is void ab initio and 09 issued by a body that is conducting itself in an unlawful and ultra vires fashion if that 10 proposal or action: (a) violates or was approved in violation of the Convention Rules 11 or the delegate instructions and limitations on delegate authority specified in this 12 Compact; (b) purports to propose or effectuate a mode of ratification that is not 13 specified in Article V of the Constitution of the United States; or (c) purports to 14 propose or effectuate the formation of a new government. All Member States are 15 prohibited from advancing or assisting in the advancement of any such proposal or 16 action. 17 Section 3. Member States shall not ratify or otherwise approve any proposed 18 amendment, alteration or revision to the Constitution of the United States, which 19 originates from the Convention, other than the Balanced Budget Amendment. 20 ARTICLE IX 21 RESOLUTION PROSPECTIVELY RATIFYING THE BALANCED BUDGET 22 AMENDMENT 23 Section 1. Each Member State, by and through its respective Legislature, 24 hereby adopts and ratifies the Balanced Budget Amendment. 25 Section 2. This Article does not take effect until Congress effectively refers the 26 Balanced Budget Amendment to the States for ratification by three-fourths of the 27 Legislatures of the several States under Article V of the Constitution of the United 28 States. 29 ARTICLE X 30 CONSTRUCTION, ENFORCEMENT, VENUE, AND SEVERABILITY 31 Section 1. To the extent that the effectiveness of this Compact or any of its

01 Articles or provisions requires the alteration of local legislative rules, drafting policies, 02 or procedure to be effective, the enactment of legislation enacting, adopting and 03 agreeing to be bound by this Compact shall be deemed to waive, repeal, supersede, or 04 otherwise amend and conform all such rules, policies or procedures to allow for the 05 effectiveness of this Compact to the fullest extent permitted by the constitution of any 06 affected Member State. 07 Section 2. Date and Location of the Convention. Unless otherwise specified by 08 Congress in its call, the Convention shall be held in Dallas, Texas and commence 09 proceedings at 9:00 a.m. Central Standard Time on the sixth Wednesday after the 10 latter of the effective date of Article V of this Compact or the enactment date of the 11 Congressional resolution calling the Convention. 12 Section 3. In addition to all other powers and duties conferred by state law 13 which are consistent with the terms and conditions of this Compact, the chief law 14 enforcement officer of each Member State is empowered to defend the Compact from 15 any legal challenge, as well as to seek civil mandatory and prohibitory injunctive relief 16 to enforce this Compact; and shall take such action whenever the Compact is 17 challenged or violated. 18 Section 4. The exclusive venue for all actions in any way arising under this 19 Compact shall be in the United States District Court for the Northern District of Texas 20 or the courts of the State of Texas within the jurisdictional boundaries of the foregoing 21 district court. Each Member State shall submit to the jurisdiction of said courts with 22 respect to such actions. However, upon written request by the chief law enforcement 23 officer of any Member State, the Commission may elect to waive this provision for the 24 purpose of ensuring an action proceeds in the venue that allows for the most 25 convenient and effective enforcement or defense of this Compact. Any such waiver 26 shall be limited to the particular action to which it is applied and not construed or 27 relied upon as a general waiver of this provision. The waiver decisions of the 28 Commission under this provision shall be final and binding on each Member State. 29 Section 5. The effective date of this Compact and any of its Articles is the 30 latter of: (a) the date of any event rendering the same effective according to its 31 respective terms and conditions; or (b) the earliest date otherwise permitted by law.

01 Section 6. Article VIII of this Compact is hereby deemed non-severable prior 02 to termination of the Compact. However, if any other phrase, clause, sentence or 03 provision of this Compact, or the applicability of any other phrase, clause, sentence or 04 provision of this Compact to any government, agency, person or circumstance, is 05 declared in a final judgment to be contrary to the Constitution of the United States, 06 contrary to the state constitution of any Member State, or is otherwise held invalid by 07 a court of competent jurisdiction, such phrase, clause, sentence or provision shall be 08 severed and held for naught, and the validity of the remainder of this Compact and the 09 applicability of the remainder of this Compact to any government, agency, person or 10 circumstance shall not be affected. Furthermore, if this Compact is declared in a final 11 judgment by a court of competent jurisdiction to be entirely contrary to the state 12 constitution of any Member State or otherwise entirely invalid as to any Member 13 State, such Member State shall be deemed to have withdrawn from the Compact, and 14 the Compact shall remain in full force and effect as to any remaining Member State. 15 Finally, if this Compact is declared in a final judgment by a court of competent 16 jurisdiction to be wholly or substantially in violation of Article I, Section 10, of the 17 Constitution of the United States, then it shall be construed and enforced solely as 18 reciprocal legislation enacted by the affected Member State(s). 19 Section 7. Termination. This Compact shall terminate and be held for naught 20 when the Compact is fully performed and the Constitution of the United States is 21 amended by the Balanced Budget Amendment. However, notwithstanding anything to 22 the contrary set forth in this Compact, in the event such amendment does not occur on 23 or before April 12, 2031 [WITHIN SEVEN (7) YEARS AFTER THE FIRST 24 STATE PASSES LEGISLATION ENACTING, ADOPTING AND AGREEING TO 25 BE BOUND TO THIS COMPACT], the Compact shall terminate as follows: (a) the 26 Commission shall dissolve and wind up its operations within ninety (90) days 27 thereafter, with the Compact Administrator giving notice of such dissolution and the 28 operative effect of this section to the Compact Notice Recipients; and (b) upon the 29 completed dissolution of the Commission, this Compact shall be deemed terminated, 30 repealed, void ab initio, and held for naught.