revenue increases; administrative fee authorization
Constitutional amendment: any act that yields a net revenue increase (taxes, fees, admin fees) requires two-thirds in each chamber; includes exceptions; local taxes excluded.
Constitutional amendment: any act that yields a net revenue increase (taxes, fees, admin fees) requires two-thirds in each chamber; includes exceptions; local taxes excluded.
Status and procedural posture
- Type: Senate Concurrent Resolution proposing a constitutional amendment (Article IX, §22), introduced Jan 27, 2025.
- Sponsor: Sen. J.D. Mesnard.
- Legislative actions: Passed the Senate (Feb 26, 2025); transmitted to House; readings and committee "Do Pass" (DP) actions in March 2025.
- Next step: If enacted by the Legislature in this form, the amendment will be placed on the next general election ballot for voter approval (per Article XXI). If approved by voters and proclaimed by the Governor, the state constitution will be amended.
Purpose and intent
- To clarify and expand the types of legislative actions that require a supermajority vote to take effect because they produce a net increase in state revenue, and to specify exceptions. The resolution amends the state constitution to address statutory and administratively set fees in addition to taxes.
Key provisions (what the amendment would change)
- Supermajority requirement: Any act that results in a net increase in state revenues (as defined) must be approved by two‑thirds of the members of each legislative house to become effective; if vetoed by the Governor it requires three‑fourths of each house to override.
- Expanded list of revenue actions covered (subsection B): explicitly includes, among other things:
- New taxes or increases in tax rates.
- Reductions/eliminations of tax deductions, exemptions, exclusions, credits, or other tax features.
- Increases in statutorily prescribed state fees or assessments.
- Increases in statutorily prescribed maximum limits for administratively set fees.
- Imposition of new state fees/assessments or authorization of new administratively set fees.
- Changes in allocation of certain taxes among state and local governments.
- Exceptions (subsection C): the provision does not apply to:
- Revenue increases caused by inflation, rising assessed values, or similar non‑legislative effects.
- Fees/assessments that are authorized by statute but are not prescribed by formula, amount, or limit and are set by a state officer or agency (i.e., administrative fee-setting where the statute does not fix amounts).
- Taxes, fees or assessments imposed by local governments (counties, cities, towns, other political subdivisions).
- Form requirement (subsection D): Any act subject to this rule must include a separate provision describing the supermajority enactment requirements.
Who would be affected
- Directly affects the state Legislature’s ability to enact measures that increase state revenue (taxes and many state fees).
- State agencies that set fees by administrative rule may be affected when statutes prescribe limits or maximums for those fees (because raising those limits would require a supermajority).
- Local governments remain unaffected by this state constitutional provision (local taxes/fees excluded).
- Budget and policy outcomes could be affected due to a higher legislative threshold for revenue increases.
Potential impacts and considerations
- Raises the legislative threshold for raising revenue, making tax/fee increases harder to pass and potentially reducing flexibility to respond to budget shortfalls.
- Clarifies that some administratively set fees are covered when statutes set amounts/limits, but preserves agency fee‑setting authority where statutes intentionally leave amounts unspecified.
- Could incentivize the Legislature to use statutory language that delegates fee amounts to agencies to avoid the supermajority requirement.
- Because this is a constitutional amendment, final effect depends on voter approval at the next general election.
Compiled from official sources — confirm details with the bill’s official record.
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