Amd Art 7 SS1 - 7, 11 - 13, 16 & Art 4 S7, rpld & add Art 7 S17; add Art 7 S20, Constn
Substantially revises provisions of the constitution relating to the state's budget and finances; provides for an independent budget office; bases the budget on expenditures and anticipated receipts.
STATE OF NEW YORK
________________________________________________________________________
4043
2005-2006 Regular Sessions
IN SENATE
April 6, 2005
___________
Introduced by Sen. SPANO -- read twice and ordered printed, and when
printed to be committed to the Committee on Judiciary
CONCURRENT RESOLUTION OF THE SENATE AND ASSEMBLY
proposing amendments to article VII and section 7 of article IV of the
constitution, in relation to modifying provisions for the state's
finances and the state's budget and to repeal section 17 of article
VII of the constitution relating to tax stabilization funds
1 Section 1. Resolved (if the Assembly concur), That section 1 of arti-
2 cle 7 of the constitution be amended to read as follows:
3 Section 1. By November first of each proceeding budget period, a
4 preliminary anticipated receipts forecast shall be issued by the comp-
5 troller and the independent budget office. By December first of each
6 proceeding budget year, the comptroller shall certify and transmit to
7 the governor and the legislature the actual and unencumbered moneys and
8 receipts anticipated to be available in the state treasury. For the
9 preparation of the budget, the head of each department of state govern-
10 ment, except the legislature and judiciary, shall furnish the governor
11 such estimates and information in such form and at such times as the
12 governor may require, and, at such times, shall forthwith provide copies
13 of [which shall forthwith be furnished] such estimates and information
14 to the appropriate committees of the legislature and make such estimates
15 and information available to the public. The governor shall hold hear-
16 ings thereon at which the governor may require the attendance of heads
17 of departments and their subordinates. Designated representatives of
18 such committees shall be entitled to attend the hearings thereon and to
19 make inquiry concerning any part thereof. If the anticipated receipts
20 forecasts cannot be agreed upon by the two houses of the legislature by
21 the tenth of March, the anticipated receipts forecasts provided by the
22 independent budget office shall be binding.
23 The governor shall hold hearings by the fifteenth of February, in a
24 manner prescribed by law, on the capital needs of the state, and shall
25 submit to the legislature an assessment of capital assets and needs, at
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD89016-01-5
S. 4043 2
1 such times and in such manner prescribed by law. Within thirty days
2 following the submission of the budget to the legislature, the governor
3 shall submit a detailed, multi-year capital program and financing plan
4 to the legislature, as provided by law.
5 Itemized estimates of the financial needs of the legislature, certi-
6 fied by the presiding officer of each house, and of the judiciary,
7 approved by the court of appeals and certified by the chief judge of the
8 court of appeals, shall be transmitted to the governor not later than
9 the first day of December in each year for inclusion in the budget with-
10 out revision but with such recommendations as the governor may deem
11 proper. Copies of the itemized estimates of the financial needs of the
12 judiciary also shall forthwith be transmitted to the appropriate commit-
13 tees of the legislature.
14 § 2. Resolved (if the Assembly concur), That section 2 of article 7 of
15 the constitution be amended to read as follows:
16 § 2. Annually, on or before the first day of February in each year
17 following the year [fixed by the constitution for the election of gover-
18 nor and lieutenant governor] in which the governor is elected, provided
19 such governor did not hold the office of governor at the time of the
20 election, and on or before [the second Tuesday following the first day
21 of the annual meeting of the legislature] January fifteenth, in all
22 other years, the governor shall submit to the legislature a budget
23 containing a complete plan of expenditures proposed to be made before
24 the close of the ensuing fiscal year and all moneys [and revenues esti-
25 mated] available and anticipated receipts certified by the comptroller
26 to be available therefor, together with an explanation of the basis of
27 such estimates and recommendations as to proposed legislation, if any,
28 which the governor may deem necessary to provide moneys and [revenues]
29 receipts sufficient to meet such proposed expenditures. It shall also
30 contain such other recommendations and information as the governor may
31 deem proper and such additional information as may be required by law.
32 § 3. Resolved (if the Assembly concur), That section 3 of article 7 of
33 the constitution be amended to read as follows:
34 § 3. At the time of submitting the budget to the legislature the
35 governor shall submit a bill or bills containing all the proposed
36 [appropriations and reappropriations] expenditures included in the budg-
37 et and the proposed legislation, if any, recommended therein.
38 The governor may at any time within [thirty] twenty-one days thereaft-
39 er and, with the consent of the legislature, at any time before the
40 adjournment thereof, amend or supplement the budget and submit amend-
41 ments to any bills submitted by him or her or submit supplemental bills.
42 The governor and the heads of departments shall have the right, and it
43 shall be the duty of the heads of departments when requested by either
44 house of the legislature or an appropriate committee thereof, to appear
45 and be heard in respect to the budget during the consideration thereof,
46 and to answer inquiries relevant thereto. The procedure for such appear-
47 ances and inquiries shall be provided by law.
48 No expenditure shall provide any language which attempts to modify any
49 general, special or local law, or which attempts to create an exception
50 to any such law.
51 § 4. Resolved (if the Assembly concur), That section 4 of article 7 of
52 the constitution be amended to read as follows:
53 § 4. The legislature may not alter an [appropriation] expenditure bill
54 submitted by the governor except to strike out or reduce items or all
55 such conditions contained therein, but it may add thereto items of
56 [appropriation] expenditure provided that such additions are stated
S. 4043 3
1 separately and distinctly from the original items of the bill and refer
2 each to a single object or purpose. None of the restrictions of this
3 section, however, shall apply to [appropriations] expenditures for the
4 legislature or judiciary.
5 [Such an appropriation] An expenditure bill making an expenditure
6 solely for the purpose of meeting the legal requirements of the state's
7 debt service and lease purchase payments or other special contractual
8 obligations shall, when passed by both houses, be [a] law immediately
9 without further action by the governor, except that [appropriations]
10 separate items added to the governor's bills by the legislature shall be
11 subject to the governor's approval as provided in section 7 of article
12 IV and except that expenditures for the legislature and judiciary and
13 separate items added to the governor's bills by the legislature shall be
14 subject to approval of the governor as provided in section 7 of article
15 IV.
16 Action by the legislature on the expenditure bills and proposed legis-
17 lation, if any, submitted by the governor shall not result in expendi-
18 tures for the ensuing fiscal year being in excess of moneys and antic-
19 ipated receipts certified by the comptroller to be available for such
20 fiscal year, as provided by law. The comptroller shall certify and
21 ensure that each expenditure bill and proposed legislation shall not be
22 in excess of moneys and anticipated receipts available for such fiscal
23 year.
24 § 5. Resolved (if the Assembly concur), That section 5 of article 7 of
25 the constitution be amended to read as follows:
26 § 5. Neither house of the legislature shall consider any other bill
27 making an [appropriation] expenditure until all the [appropriation]
28 expenditure bills submitted by the governor shall have been finally
29 acted on by both houses, except on message from the governor certifying
30 to the necessity of the immediate passage of such a bill.
31 If, by April fifteenth, the legislature has not finally acted upon all
32 of the expenditure bills submitted by the governor for such fiscal year,
33 a contingency budget, as the legislature shall provide by law, shall
34 take effect without further action by the legislature or the governor;
35 provided, however, that expenditures for the legislature and judiciary
36 and separate items added to the governor's bills by the legislature
37 shall be subject to approval of the governor as provided in section 7 of
38 article IV. The contingency budget shall provide the same expenditures
39 as were enacted or otherwise became law for the immediately preceding
40 fiscal year, and expenditure and anticipated receipts provisions in
41 effect for the immediately preceding fiscal year shall remain in effect
42 until the conclusion of the contingency period. Those provisions in the
43 contingency budget not altered by the legislature shall remain in effect
44 until such provisions are reenacted, repealed or superseded by subse-
45 quent legislation or the commencement of the next fiscal year.
46 § 6. Resolved (if the Assembly concur), That section 6 of article 7 of
47 the constitution be amended to read as follows:
48 § 6. Except for [appropriations] expenditures contained in the bills
49 submitted by the governor and in a supplemental [appropriation] expendi-
50 ture bill for the support of government, no [appropriations] expendi-
51 tures shall be made except by separate bills each for a single object or
52 purpose, and such bills shall not contain statutory changes or other
53 statutory language other than such language specifically related to the
54 expenditure of such expenditures. All such bills and such supplemental
55 [appropriation] expenditure bill shall be subject to the governor's
56 approval as provided in section 7 of article IV.
S. 4043 4
1 No provision shall be embraced in any [appropriation] expenditure bill
2 submitted by the governor or in such supplemental [appropriation]
3 expenditure bill unless it relates specifically to some particular
4 [appropriation] expenditure in the bill, and any such provision shall be
5 limited in its operation to such [appropriation] expenditure.
6 § 7. Resolved (if the Assembly concur), That section 7 of article 7 of
7 the constitution be amended to read as follows:
8 § 7. No money shall ever be paid out of the state treasury or any of
9 its funds, or any of the funds under its management, except in pursuance
10 of an [appropriation] expenditure by law; nor unless such payment be
11 made within two years next after the passage of such [appropriation]
12 expenditure act; and every such law making a new [appropriation] expend-
13 iture or continuing or reviving an [appropriation] expenditure, shall
14 distinctly specify the sum [appropriated] of the expenditure, and the
15 object or purpose to which it is to be applied; and it shall not be
16 sufficient for such law to refer to any other law to fix such sum.
17 § 8. Resolved (if the Assembly concur), That section 11 of article 7
18 of the constitution be amended to read as follows:
19 § 11. Except the debts or refunding debts specified in sections 9, 10
20 and 13 of this article, no debt shall be hereafter contracted by or in
21 behalf of the state, unless such debt shall be authorized by law, for
22 some single work or [purpose] multiple work or purposes, to be distinct-
23 ly specified therein[. No]; provided that no such law shall take effect
24 until it shall, at a general election, have been submitted to the
25 people, and have received a majority of all the votes cast for and
26 against it at such election nor shall it be submitted to be voted on
27 within three months after its passage nor at any general election [when
28 any other law or any bill shall be submitted to be voted for or
29 against]. The state shall not enter into any borrowing arrangement,
30 including any contract, lease or other similar agreement, whether or not
31 on a contingent basis, for the purposes of making payments of principal
32 or interest on indebtedness of the state or any municipality, individ-
33 ual, or public or private corporation.
34 The legislature may, at any time after the approval of such law by the
35 people, if no debt shall have been contracted in pursuance thereof,
36 repeal the same; and may at any time, by law, forbid the contracting of
37 any further debt or liability under such law.
38 § 9. Resolved (if the Assembly concur), That subdivision 8 of section
39 12 of article 7 of the constitution be amended to read as follows:
40 8. No appropriation shall be required for [disbursement] expenditure
41 of money, or income earned thereon, from any sinking fund created pursu-
42 ant to this section for the purpose of paying principal of and interest
43 on the obligations for which such fund was created, except that interest
44 shall be paid from any such fund only if, and to the extent that, it is
45 not payable annually and contributions on account of such interest were
46 made thereto.
47 § 10. Resolved (if the Assembly concur), That subdivision 3 of section
48 13 of article 7 of the constitution be amended to read as follows:
49 3. Proceeds of refunding obligations shall be deposited in escrow
50 funds which shall be maintained and managed by the state comptroller or
51 by an agent or trustee designated by the state comptroller and no legis-
52 lative [appropriation] expenditure shall be required for disbursement of
53 money, or income earned thereon, from such escrow funds for the purposes
54 enumerated in this section.
55 § 11. Resolved (if the Assembly concur), That section 16 of article 7
56 of the constitution be amended to read as follows:
S. 4043 5
1 § 16. The legislature shall annually provide by [appropriation]
2 expenditure for the payment of the interest upon and installments of
3 principal of all debts or refunding debts created on behalf of the state
4 except those contracted under section 9 of this article, as the same
5 shall fall due, and for the contribution to all of the sinking funds
6 created by law, of the amounts annually to be contributed under the
7 provisions of section 12, 13 or 15 of this article. If at any time the
8 legislature shall fail to make any such [appropriation] expenditure, the
9 comptroller shall set apart from the first revenues thereafter received,
10 applicable to the general fund of the state, a sum sufficient to pay
11 such interest, installments of principal, or contributions to such sink-
12 ing fund, as the case may be, and shall so apply the moneys thus set
13 apart. The comptroller may be required to set aside and apply such
14 revenues as aforesaid, at the suit of any holder of such bonds.
15 Notwithstanding the foregoing provisions of this section, the comp-
16 troller may covenant with the purchasers of any state obligations that
17 they shall have no further rights against the state for payment of such
18 obligations or any interest thereon after an amount or amounts deter-
19 mined in accordance with the provisions of such covenant is deposited in
20 a described fund or with a named or described agency or trustee. In such
21 case, this section shall have no further application with respect to
22 payment of such obligations or any interest thereon after the comp-
23 troller has complied with the prescribed conditions of such covenant.
24 The state shall have limited authority to issue revenue bonds as the
25 legislature shall provide by law.
26 § 12. Resolved (if the Assembly concur), That section 17 of article 7
27 of the constitution be REPEALED and a new section 17 be added to read as
28 follows:
29 § 17. There is hereby established in the state treasury a fund to be
30 known as the fiscal stabilization reserve fund. Such fund shall consist
31 of moneys deposited therein, and moneys shall be withdrawn from such
32 fund only for the purposes as provided herein. For each fiscal year
33 commencing on or after May first, two thousand eight, an amount shall be
34 transferred from the general fund and deposited in the fiscal stabiliza-
35 tion reserve fund which shall be calculated as one percent of all moneys
36 deposited into the state treasury, excluding federal funds, fiduciary
37 funds and bond proceeds, during the immediately preceding fiscal year,
38 reduced by the amount that the sum of the balance of the fund at the
39 beginning of the fiscal year and one percent of all the moneys deposited
40 into the state treasury during the immediately preceding fiscal year
41 exceeds five percent of the moneys excluding federal funds, fiduciary
42 funds and bond proceeds deposited into the state treasury during the
43 immediately preceding fiscal year. Moneys available in the fiscal
44 stabilization reserve fund shall be withdrawn from the fund and trans-
45 ferred to the general fund at the end of any fiscal year in the amount
46 that moneys deposited in the general fund during such fiscal year is
47 less than the amount paid from the general fund during such fiscal year,
48 provided that the amount transferred shall not exceed the amount of
49 moneys available in the fiscal stabilization reserve fund.
50 This section shall not apply in cases of invasion, suppression of
51 insurrection, or defense of the state in war, or suppression of forest
52 fires.
53 § 13. Resolved (if the Assembly concur), That article 7 of the consti-
54 tution be amended by adding a new section 20 to read as follows:
S. 4043 6
1 § 20. Independent budget office. There is hereby established an inde-
2 pendent budget office to provide independent analysis of fiscal and
3 economic conditions.
4 This section shall take effect one year after it shall have become
5 law.
6 § 14. Resolved (if the Assembly concur), That section 7 of article 4
7 of the constitution be amended to read as follows:
8 § 7. Every bill which shall have passed the senate and assembly shall,
9 before it becomes a law, be presented to the governor; if the governor
10 approve, he or she shall sign it; but if not, he or she shall return it
11 with his or her objections to the house in which it shall have origi-
12 nated, which shall enter the objections at large on the journal, and
13 proceed to reconsider it. If after such reconsideration, two-thirds of
14 the members elected to that house shall agree to pass the bill, it shall
15 be sent together with the objections, to the other house, by which it
16 shall likewise be reconsidered; and if approved by two-thirds of the
17 members elected to that house, it shall become a law notwithstanding the
18 objections of the governor. In all such cases the votes in both houses
19 shall be determined by yeas and nays, and the names of the members
20 voting shall be entered on the journal of each house respectively. If
21 any bill shall not be returned by the governor within ten days (Sundays
22 excepted) after it shall have been presented to him or her, the same
23 shall be a law in like manner as if he or she had signed it, unless the
24 legislature shall, by their adjournment, prevent its return, in which
25 case it shall not become a law without the approval of the governor. No
26 bill shall become a law after the final adjournment of the legislature,
27 unless approved by the governor within thirty days after such adjourn-
28 ment. If any bill presented to the governor contain several items of
29 [appropriation] expenditure of money, the governor may object to one or
30 more of such [items] expenditures while approving of the other portion
31 of the bill. In such case the governor shall append to the bill, at the
32 time of signing it, a statement of the items to which he or she objects;
33 and the [appropriation] expenditure so objected to shall not take
34 effect. If the legislature be in session, he or she shall transmit to
35 the house in which the bill originated a copy of such statement, and the
36 [items] expenditures objected to shall be separately reconsidered.
37 Either house of the legislature may reconsider the governor's objections
38 first. If the house that was not of original jurisdiction wishes to
39 reconsider the objections first, such house may recall the bill from the
40 house of original jurisdiction. If on reconsideration one or more of
41 such [items] expenditures be approved by two-thirds of the members
42 elected to each house, the same shall be part of the law, notwithstand-
43 ing the objections of the governor. All the provisions of this section,
44 in relation to bills not approved by the governor, shall apply in cases
45 in which he or she shall withhold approval from any item or items
46 contained in a bill [appropriating] expending money.
47 § 15. Resolved (if the Assembly concur), That the foregoing amendments
48 be referred to the first regular legislative session convening after the
49 next succeeding general election of members of the assembly, and, in
50 conformity with section 1 of article 19 of the constitution, be
51 published for 3 months previous to the time of such election.
