HJR 7221

1
House Joint Resolution
2A joint resolution proposing an amendment to Section 1 of
3Article VII and the creation of Section 19 of Article VII
4and Section 32 of Article XII of the State Constitution to
5replace the existing state revenue limitation with a new
6state revenue limitation based on inflation and population
7changes, to take effect upon approval by the electors and
8apply beginning in the 2014-2015 state fiscal year.
9
10Be It Resolved by the Legislature of the State of Florida:
11
12     That the following amendment to Section 1 of Article VII
13and the creation of Section 19 of Article VII and Section 32 of
14Article XII of the State Constitution are agreed to and shall be
15submitted to the electors of this state for approval or
16rejection at the next general election or at an earlier special
17election specifically authorized by law for that purpose:
18
ARTICLE VII
19
FINANCE AND TAXATION
20     SECTION 1.  Taxation; appropriations; state expenses; state
21revenue limitation.-
22     (a)  No tax shall be levied except in pursuance of law. No
23state ad valorem taxes shall be levied upon real estate or
24tangible personal property. All other forms of taxation shall be
25preempted to the state except as provided by general law.
26     (b)  Motor vehicles, boats, airplanes, trailers, trailer
27coaches and mobile homes, as defined by law, shall be subject to
28a license tax for their operation in the amounts and for the
29purposes prescribed by law, but shall not be subject to ad
30valorem taxes.
31     (c)  No money shall be drawn from the treasury except in
32pursuance of appropriation made by law.
33     (d)  Provision shall be made by law for raising sufficient
34revenue to defray the expenses of the state for each fiscal
35period.
36     (e)  Except as provided herein, state revenues collected
37for any fiscal year shall be limited to state revenues allowed
38under this subsection for the prior fiscal year plus an
39adjustment for growth. As used in this subsection, "growth"
40means an amount equal to the average annual rate of growth in
41Florida personal income over the most recent twenty quarters
42times the state revenues allowed under this subsection for the
43prior fiscal year. For the 1995-1996 fiscal year, the state
44revenues allowed under this subsection for the prior fiscal year
45shall equal the state revenues collected for the 1994-1995
46fiscal year. Florida personal income shall be determined by the
47legislature, from information available from the United States
48Department of Commerce or its successor on the first day of
49February prior to the beginning of the fiscal year. State
50revenues collected for any fiscal year in excess of this
51limitation shall be transferred to the budget stabilization fund
52until the fund reaches the maximum balance specified in Section
5319(g) of Article III, and thereafter shall be refunded to
54taxpayers as provided by general law. State revenues allowed
55under this subsection for any fiscal year may be increased by a
56two-thirds vote of the membership of each house of the
57legislature in a separate bill that contains no other subject
58and that sets forth the dollar amount by which the state
59revenues allowed will be increased. The vote may not be taken
60less than seventy-two hours after the third reading of the bill.
61For purposes of this subsection, "state revenues" means taxes,
62fees, licenses, and charges for services imposed by the
63legislature on individuals, businesses, or agencies outside
64state government. However, "state revenues" does not include:
65revenues that are necessary to meet the requirements set forth
66in documents authorizing the issuance of bonds by the state;
67revenues that are used to provide matching funds for the federal
68Medicaid program with the exception of the revenues used to
69support the Public Medical Assistance Trust Fund or its
70successor program and with the exception of state matching funds
71used to fund elective expansions made after July 1, 1994;
72proceeds from the state lottery returned as prizes; receipts of
73the Florida Hurricane Catastrophe Fund; balances carried forward
74from prior fiscal years; taxes, licenses, fees, and charges for
75services imposed by local, regional, or school district
76governing bodies; or revenue from taxes, licenses, fees, and
77charges for services required to be imposed by any amendment or
78revision to this constitution after July 1, 1994. An adjustment
79to the revenue limitation shall be made by general law to
80reflect the fiscal impact of transfers of responsibility for the
81funding of governmental functions between the state and other
82levels of government. The legislature shall, by general law,
83prescribe procedures necessary to administer this subsection.
84     SECTION 19.  State revenue limitation.-
85     (a)  STATE REVENUE LIMITATION.-Except as provided in this
86section, state revenues collected in any fiscal year are limited
87as follows:
88     (1)  For the 2014-2015 fiscal year, state revenues are
89limited to an amount equal to the state revenues collected
90during the 2013-2014 fiscal year multiplied by the sum of the
91adjustment for growth plus four one-hundredths.
92     (2)  For the 2015-2016 fiscal year, state revenues are
93limited to an amount equal to the state revenue limitation for
94fiscal year 2014-2015 multiplied by the sum of the adjustment
95for growth plus three one-hundredths.
96     (3)  For the 2016-2017 fiscal year, state revenues are
97limited to an amount equal to the state revenue limitation for
98fiscal year 2015-2016 multiplied by the sum of the adjustment
99for growth plus two one-hundredths.
100     (4)  For the 2017-2018 fiscal year, state revenues are
101limited to an amount equal to the state revenue limitation for
102fiscal year 2016-2017 multiplied by the sum of the adjustment
103for growth plus one one-hundredth.
104     (5)  For the 2018-2019 fiscal year and thereafter, state
105revenues are limited to an amount equal to the state revenue
106limitation for the previous fiscal year multiplied by the
107adjustment for growth.
108     (6)  The adjustment for growth for a fiscal year shall be
109determined by March 1 preceding the fiscal year using the latest
110information available. Once the adjustment for growth is
111determined for a fiscal year, it may not be changed based on
112revisions to the information used to make the determination.
113     (b)  REVENUES IN EXCESS OF THE LIMITATION.-State revenues
114collected in any fiscal year in excess of the revenue limitation
115shall be transferred to the budget stabilization fund until the
116fund reaches the maximum balance specified in Section 19(g) of
117Article III, and thereafter shall be used for the support and
118maintenance of public schools by reducing the minimum financial
119effort required from school districts for participation in a
120state-funded education finance program, or, if the minimum
121financial effort is no longer required, returned to taxpayers as
122provided by general law.
123     (c)  AUTHORITY OF THE LEGISLATURE TO INCREASE THE REVENUE
124LIMITATION.-
125     (1)  The state revenue limitation for any fiscal year may
126be increased by a two-thirds vote of the membership of each
127house of the legislature. Unless otherwise provided by the bill
128increasing the revenue limitation, the increased revenue
129limitation enacted under this paragraph shall be used to
130determine the revenue limitation for future fiscal years.
131     (2)  The state revenue limitation for any one fiscal year
132may be increased by a three-fifths vote of the membership of
133each house of the legislature. Increases to the revenue
134limitation enacted under this paragraph must be disregarded when
135determining the revenue limitation in subsequent fiscal years.
136     (3)  A bill increasing the revenue limitation may not
137contain any other subject and must set forth the dollar amount
138by which the state revenue limitation will be increased. The
139vote may not be taken less than seventy-two hours after the
140third reading in either house of the legislature of the bill in
141the form that will be presented to the governor.
142     (d)  AUTHORITY OF THE ELECTORS TO INCREASE THE REVENUE
143LIMITATION.-The legislature may propose an increase in the state
144revenue limitation pursuant to a concurrent resolution enacted
145by a three-fifths vote of the membership of each house. The
146proposed increase shall be submitted to the electors at the next
147general election held more than ninety days after the resolution
148is filed with the custodian of state records. However, the
149legislature may submit the proposed increase at an earlier
150special election held more than ninety days after it is filed
151with the custodian of state records pursuant to a law enacted by
152the affirmative vote of three-fourths of the membership of each
153house of the legislature. The resolution must set forth the
154dollar amount by which the state revenue limitation will be
155increased. Unless otherwise provided in the resolution, the
156increased revenue limitation shall be used to determine the
157revenue limitation for future fiscal years. The proposed
158increase shall take effect if it is approved by a vote of at
159least 60 percent of the electors voting on the matter.
160     (e)  REVENUE LIMIT ADJUSTMENT BY THE LEGISLATURE.-The
161legislature shall provide by general law for adjustments to the
162state revenue limitation to reflect:
163     (1)  The fiscal impact of transfers of responsibility for
164the funding of governmental functions between the state and
165other levels of government occurring after May 6, 2011; or
166     (2)  The fiscal impact of a new federal mandate.
167     (f)  GENERAL LAW IMPLEMENTATION.-The legislature shall, by
168general law, prescribe procedures necessary to administer this
169section.
170     (g)  DEFINITIONS.-As used in this section, the term:
171     (1)  "Adjustment for growth" means an amount equal to the
172average for the previous five years of the product of the
173inflation factor and the population factor.
174     (2)  "Inflation factor" means an amount equal to one plus
175the percent change in the calendar year annual average of the
176Consumer Price Index. The term "Consumer Price Index" means the
177Consumer Price Index for All Urban Consumers, U.S. city average
178(not seasonally adjusted, current base for all items), as
179published by the United States Department of Labor. In the event
180the index ceases to exist, the legislature shall determine the
181successor index by general law.
182     (3)  "Population factor" means an amount equal to one plus
183the percent change in population of the state as of April 1
184compared to April 1 of the prior year. For purposes of
185calculating the annual rate of change in population, the state's
186official population estimates shall be used.
187     (4)  "State revenues" means taxes, fees, licenses, fines,
188and charges for services imposed by the legislature on
189individuals, businesses, or agencies outside state government.
190However, the term "state revenues" does not include: revenues
191that are necessary to meet the requirements set forth in
192documents authorizing the issuance of bonds by the state for
193bonds issued before July 1, 2012; revenues that are used to
194provide matching funds for the federal Medicaid program with the
195exception of the revenues used to support the Public Medical
196Assistance Trust Fund or its successor program and with the
197exception of state matching funds used to fund optional
198expansions made after July 1, 1994; proceeds from the state
199lottery returned as prizes; receipts of the Florida Hurricane
200Catastrophe Fund and Citizens Property Insurance Corporation;
201receipts of public universities and colleges; balances carried
202forward from prior fiscal years; taxes, fees, licenses, fines,
203and charges for services imposed by local, regional, or school
204district governing bodies; or revenue from taxes, fees,
205licenses, fines, and charges for services authorized by any
206amendment or revision to this constitution after May 6, 2011.
207
ARTICLE XII
208
SCHEDULE
209     SECTION 32.  State revenue limitation.-The amendment to
210Section 1 and the creation of Section 19 of Article VII,
211revising the state revenue limitation, and this section take
212effect upon approval by the electors and apply beginning in the
2132014-2015 state fiscal year.
214     BE IT FURTHER RESOLVED that the following statement be
215placed on the ballot:
216
ARTICLE VII, SECTIONS 1 and 19
217
ARTICLE XII, SECTION 32
218
CONSTITUTIONAL AMENDMENT
219     STATE GOVERNMENT REVENUE LIMITATION.-This proposed
220amendment to the State Constitution replaces the existing state
221revenue limitation based on Florida personal income growth with
222a new state revenue limitation based on inflation and population
223changes. Under the amendment, state revenues, as defined in the
224amendment, collected in excess of the revenue limitation must be
225deposited into the budget stabilization fund until the fund
226reaches its maximum balance, and thereafter shall be used for
227the support and maintenance of public schools by reducing the
228minimum financial effort required from school districts for
229participation in a state-funded education finance program, or,
230if the minimum financial effort is no longer required, returned
231to the taxpayers. The Legislature may increase the state revenue
232limitation through a bill approved by a super majority vote of
233each house of the Legislature. The Legislature may also submit a
234proposed increase in the state revenue limitation to the voters.
235The Legislature must implement this proposed amendment by
236general law. The amendment will take effect upon approval by the
237electors and will first apply to the 2014-2015 state fiscal
238year.


CODING: Words stricken are deletions; words underlined are additions.