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SENATE JOINT RESOLUTION 17

48

TH LEGISLATURE

- STATE OF NEW MEXICO -

FIRST SESSION

, 2007

INTRODUCED BY

Kent L. Cravens

A JOINT RESOLUTION

PROPOSING AN AMENDMENT TO ARTICLE 4 OF THE CONSTITUTION OF NEW

MEXICO TO LIMIT THE LEGISLATURE'S ABILITY TO INCREASE STATE

EXPENDITURES.

BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. It is proposed to amend Article 4 of the

constitution of New Mexico by adding a new section to read:

"A. For a fiscal year beginning on or after January

1, 2010, the legislature during its regular session shall set

an expenditure limit in an amount calculated pursuant to this

subsection to limit the expenditure increase in the following

fiscal year to no more than the expenditure limit of the prior

fiscal year plus the following amount:

(1) the percent increase in the population of

New Mexico in the most recent prior calendar year for which

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there is population data available, as estimated annually by

the bureau of business and economic research at the university

of New Mexico, multiplied by the prior fiscal year's

expenditure limit; plus

(2) the product of three and six-tenths

percent multiplied by the prior fiscal year's expenditure

limit.

B. For fiscal year 2010, the legislature shall set

an expenditure limit during the first session of the forty-

ninth legislature by adding to the expenditures made in fiscal

year 2008, an amount equal to:

(1) the percent increase in the population of

New Mexico in the most recent prior calendar year for which

there is population data available, as estimated annually by

the bureau of business and economic research of the university

of New Mexico, multiplied by the total expenditures from the

general fund made in fiscal year 2008; plus

(2) the product of three and six-tenths

percent multiplied by the total expenditures from the general

fund made in fiscal year 2008.

C. Money in the general fund in fiscal year 2010 or

any subsequent fiscal year in excess of the expenditure limit

set annually by the legislature for that fiscal year pursuant

to this section shall be distributed in the following manner:

(1) sixty percent of the unexpended or

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.166457.1

unencumbered balance in the general fund on June 3O of each

fiscal year exceeding the expenditure limit for that fiscal

year shall be deposited in the severance tax permanent fund;

and

(2) forty percent of the unexpended or

unencumbered balance in the general fund on June 30 of any

fiscal year exceeding the expenditure limit for that fiscal

year shall be returned on an equal per capita basis to persons

filing personal income tax returns in the prior calendar year."

Section 2. The amendment proposed by this resolution

shall be submitted to the people for their approval or

rejection at the next general election or at any special

election prior to that date that may be called for that

purpose.

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