LRB-1799/7
SRM:kjf:rs
2011 - 2012 LEGISLATURE
February 1, 2012 - Introduced by Representatives Kooyenga, Marklein, Kapenga,
Klenke, Strachota, Thiesfeldt, Krug, Craig, Honadel, Petersen, Litjens,
Nygren, Steineke, Farrow, Kaufert, Rivard, Suder, Knilans, Mursau,
Stroebel, Weininger, A. Ott, Jacque, Knudson, Brooks, Ziegelbauer,
Kerkman, Van Roy, Spanbauer, Severson, Wynn, Williams, T. Larson, Knodl,
Endsley, Loudenbeck and Molepske Jr, cosponsored by Senators Zipperer,
Lasee, Leibham, Lazich, Cowles, Schultz, Olsen and Grothman. Referred to
Committee on Homeland Security and State Affairs.
AJR100,1,2
1To amend section 5 of article VIII of the constitution;
relating to: accounting and
2expenditure of state funds and reduction of deficit (first consideration).
Analysis by the Legislative Reference Bureau
This proposed constitutional amendment, proposed to the 2011 legislature on
first consideration, requires the state to account for and report all funds it receives
or expends in accordance with generally accepted accounting principles (GAAP).
The amendment further authorizes the legislature to establish the budgetary
basis of accounting, requires that any deficit of a state fund affected by a budget bill
be reduced annually by 10 percent of any projected increase in tax revenues in that
fund, and requires that once the deficit is eliminated, the legislature may not pass
any bill that would result in a projected deficit.
A constitutional amendment requires adoption by two successive legislatures,
and ratification by the people, before it can become effective.
AJR100, s. 1
3Section
1. Section 5 of article VIII of the constitution is amended to read:
AJR100,2,144
[Article VIII] Section 5. The legislature shall provide for an annual tax
5sufficient to defray the estimated expenses of the state for each year; and whenever
6the expenses of any year shall exceed the income, the legislature shall provide for
7levying a tax for the ensuing year, sufficient, with other sources of income, to pay the
1deficiency as well as the estimated expenses of such ensuing year.
The legislature
2may establish the basis of accounting to be used for budget purposes. In addition to
3the statutory basis of accounting, the state shall account for and report all funds it
4receives or spends including, but not limited to, component units in accordance with
5generally accepted accounting principles. The legislature may not pass any bill that
6would cause an increase in the projected deficit in any state fund under generally
7accepted accounting principles. The legislature shall pass an annual or biennial
8budget bill that is projected to reduce any existing deficit in any state fund that is
9affected by the budget bill reported under generally accepted accounting principles
10by at least one-tenth of any projected annual increase of tax revenues deposited in
11that state fund in each fiscal year. Once any deficit in a state fund under generally
12accepted accounting principles is eliminated, the legislature may not pass any bill
13affecting that fund that would result in a projected deficit in that state fund under
14generally accepted accounting principles.
AJR100,2,17
15Be it further resolved, That this proposed amendment be referred to the
16legislature to be chosen at the next general election and that it be published for three
17months previous to the time of holding such election.
