If the state collects revenues in excess of the limit, the measure would require that those excess revenues be distributed to Oregon taxpayers in proportion to the income taxes they paid in the biennium. Excluded from this distribution are earnings from dedicated investment funds, such as retirement funds or the Common School Fund.
The Legislature could vote to increase spending beyond the limit, but only if the Governor specifically declares an emergency, and three-fourths of the elected members of both the House and the Senate vote for the increased level of spending.
The limit covers state spending from all sources of funds, such as taxes, fees, federal funds, and investment earnings. The measure would exclude from the limit proceeds from state-issued bonds, although it does include the funds appropriated to repay those bonds.
For comparison, the state has recently experienced
a spending level of about 18 percent of personal income. The estimated
impact of the measure on the 2001-2003 state budget would be to limit expenditures
to an amount $5.7 billion less than the
projected spending of $32.4 billion.
The measure limits state spending. The measure does
not cut state taxes, nor does it direct the Legislature or Governor how
state funds are spent within the new limit.
| Committee Members:
Joe W. Foxall Don McIntire Lynn Marie Crider James Scherzinger Dave Moss |
Appointed by:
Chief Petitioners Chief Petitioners Secretary of State Secretary of State Members of the Committee |
(This committee was appointed to provide an impartial explanation
of the ballot measure pursuant to ORS 251.215.)
Arguments
in Favor