01/27/1993 09:12 AM Senate STA

  Number 160                                                                   
                                                                               
  SENATOR LEMAN introduced SJR 8 (CAPITAL PROJECTS/EXPENDITURE                 
  LIMIT) and the prime sponsor, SENATOR RANDY PHILLIPS.                        
                                                                               
  SENATOR PHILLIPS  explained  this  legislation  would  limit                 
  state spending of general fund dollars.  SJR 8 also provides                 
                                                                               
                                                                               
  that at least 10 percent of  the amount appropriated in each                 
  fiscal  year  must  be designated  for  capital  project and                 
  loans.  It has a sunset provision.                                           
                                                                               
  The expenditure  limit can  be lifted  or  exceeded by  two-                 
  thirds of  both the House and  the Senate.  Any  revenues in                 
  excess of the  expenditure limit  will be  deposited in  the                 
  constitutional reserve account.                                              
                                                                               
  SENATOR PHILLIPS explained why this  should be placed before                 
  the voters;  the legislature  collectively has  not come  to                 
  grips  with   dealing  with  declining  oil   revenues,  has                 
  declining revenues, yet expenditures are going up.                           
                                                                               
  SENATOR  PHILLIPS said  a constitutional  amendment  was the                 
  only way to force the legislature  collectively to deal with                 
  this  problem.   There  is presently  in  place a  statutory                 
  limit, but it doesn't have an enforcement mechanism.                         
                                                                               
  Number 215                                                                   
                                                                               
  SENATOR  TAYLOR  moved to  pass  SJR 8  from  committee with                 
  individual  recommendations.  Hearing  no objections, it was                 
  so ordered.