House File 2426 - Introduced HOUSE FILE BY EICHHORN, BAUDLER, HUSEMAN, GRANZOW, ALONS, WATTS, DE BOEF, FREEMAN, CARROLL, ANDERSON, LUKAN, CHAMBERS, PAULSEN, UPMEYER, STRUYK, JONES, KURTENBACH, ELGIN, ROBERTS, SANDS, S. OLSON, JENKINS, JACOBS, RASMUSSEN, LALK, SODERBERG, and DRAKE Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the applicability of the state general fund 2 expenditure limitation and providing effective and 3 applicability dates. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5666HH 81 6 jp/sh/8 PAG LIN 1 1 Section 1. Section 8.54, subsection 2, Code 2005, is 1 2 amended to read as follows: 1 3 2. There is created a state general fund expenditure 1 4 limitation for each fiscal year calculated as provided in this 1 5 section. An expenditure limitation shall be used forthe 1 6 portion ofthe budget process commencing on the date the 1 7 revenue estimating conference agrees to a revenue estimate for 1 8 the following fiscal year in accordance with section 8.22A, 1 9 subsection 3, and ending with thegovernor's final approval or 1 10 disapproval of the appropriations bills applicable to that 1 11 fiscal year that were passed prior to July 1 of that fiscal 1 12 year in a regular or extraordinary legislative sessionclose 1 13 of that following fiscal year. Once that following fiscal 1 14 year commences, the expenditure limitation for that fiscal 1 15 year is not subject to adjustment or readjustment except by 1 16 law enacted for that purpose. 1 17 Sec. 2. EFFECTIVE AND APPLICABILITY DATES. This Act takes 1 18 effect July 1, 2006, and is first applicable to the state 1 19 general fund expenditure limitation established for the fiscal 1 20 year beginning July 1, 2007. 1 21 EXPLANATION 1 22 This bill relates to the state general fund expenditure 1 23 limitation by extending the duration of the limitation. 1 24 The bill amends Code section 8.54 to require the 1 25 expenditure limitation to be used for the budget process until 1 26 the close of the fiscal year to which the expenditure 1 27 limitation applies. Current law provides the expenditure 1 28 limitation is applicable for the budget process until the 1 29 governor's final approval or disapproval of the appropriations 1 30 bills that were passed prior to July 1 of the fiscal year to 1 31 which the limitation applies. Under the bill, once the fiscal 1 32 year for which the expenditure limitation was calculated 1 33 commences, the expenditure limitation for that fiscal year is 1 34 not subject to adjustment or readjustment except by law 1 35 enacted for that purpose. 2 1 The bill takes effect July 1, 2006, and is first applicable 2 2 to the state general fund expenditure limitation established 2 3 for the fiscal year beginning July 1, 2007. 2 4 LSB 5666HH 81 2 5 jp:rj/sh/8