Provides an alternative procedure for adoption of a state budget in instances where existing provisions have not been completed prior to April 1

Summary of specific provisions

Section 1: Amends article 7 of the constitution by adding a new section 7a, with the following provisions:

1. Establishes that where the legislature and governor have not adopted a budget by April 1, the provisions of this section shall govern.

2. Requires the Senate and Assembly to adopt, by resolution, a detailed budget plan, no later than March 1 of each year. If either house fails to adopt a plan, then the members of that house shall not receive compensation until a budget plan is adopted and that house shall forfeit its opportunity to have their plan presented, in a referendum, to the people.

3. Each house of the Legislature will also be required to adopt language, known as ballot question language, which will describe that house's budget plan succinctly and in plain English.

4. Information on the plan will be publicized through all available media, and copies of the plan will be made available at schools, libraries, and public offices convenient to the public.

5. At any time between March 1 and March 27, either house of the Legis- lature and the Governor may act to remove their plan from consideration by the Legislature, so that voters may have a "head to head" choice between two plans.

6. If, by April 1, a budget has not been enacted into law, then, on the first Tuesday following April 7, a statewide election will be held in which the plans promulgated by the houses of the legislature and the governor, who have chosen to place their plans on the ballot, will be submitted to the people for approval. The plan receiving the most votes shall be the budget for that fiscal year.

7. The budget plan approved by the people may only be changed during the fiscal year with the approval of three-fourths of each house of the Legislature.

Effects of present law which this bill would alter

Amends Article 7 of the New York State Constitution.

Justification

The 2004-2005 fiscal year marks New York state's nine- teenth year in a row which has started without a state budget in place. An alternative mechanism, which incorporates, but is not dependent upon, the legislative process, is necessary to ensure that a budget will be adopted in a timely manner. Positive aspects of this approach include: 1.) a budget would be adopted within fifteen days of the start of the fiscal year; 2.) the people of New York would be intimately and directly involved in the budget process; 3.) the desire to pass a budget without requiring a public referendum may push legislators to work more closely towards compromise; 4.) the adopted budget would be based on current economic conditions; 5.) the budget would be based on a plan developed by the executive, or one of the houses of the Legislature; and 6.) the negative fiscal impact of late state budgets would be eliminated.

Prior legislative history

2008: A.4778; AG opinion referred to Judiciary 2008: A.4778; referred to Ways and Means 2007: A.4778; AG opinion referred to Judiciary 2007: A.4778; referred to Ways and Means 2006: A.2606; AG opinion referred to Judiciary 2006: A.2606; referred to Ways and Means 2005: A.2606; AG opinion referred to Judiciary 2005: A 2606; referred to Ways and Means 2004: A.2326; held for consideration in Ways and Means 2004: A.2326; AG opinion referred to Judiciary 2004: A.2326; referred to Ways and Means 2003: A.2326; AG opinion referred to Judiciary 2003: A.2326; referred to Ways and Means 2002: A.3087; held for consideration in Ways and Means 2002: A.3087; AG opinion referred to Judiciary 2002: A.3087; referred to Ways and Means 2001: A.3087; AG opinion referred to Judiciary 2001: A.3087; referred to Ways and Means 2000: A.3257; held for consideration in Ways and Means 2000: A.3257; AG opinion referred to Judiciary 2000: A.3257; referred to Ways and Means 1999: A.3257; AG opinion referred to Judiciary 1999: A.3257; referred to Ways and Means 1998: A.4447-A; held for consideration in Ways and Means 1998: A.4447-A; AG opinion referred to Judiciary 1998: A.4447-A; Referred to Ways and Means 1997: A.4447-A; AG opinion referred to Judiciary 1997: A,4447; Amended and recommitted to Ways and Means 1996: A.6757; AG opinion referred to Judiciary 1996: A.6757; Referred to Ways and Means 1995: A.6757; AG opinion referred to Judiciary 1995: A.6757; Referred to Ways and Means

Fiscal implications

The cost of holding a statewide election would be more than offset by the elimination of costs associated with late state budgets, including a reduced state credit rating, and costs borne by local governments and taxpayers.

Effective date

That the foregoing amendment will be referred to the first regular legislative session convening after the next succeeding general election of members of the assembly, and, in conformity with section 1 of article 19 of the constitution, be published for 3 months previous to the time of such election.