Bill Text: OR SB968 | 2011 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: Relating to state finance; prescribing an effective date.

Sponsorship: Slight Partisan Bill (Republican 5-3)

Status: (Failed) 2011-06-30 - In committee upon adjournment. [SB968 Detail]

Download: Oregon-2011-SB968-Introduced.html

---

     76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 4005

                         Senate Bill 968

Sponsored by Senators BURDICK, MORSE, HASS, THOMSEN,
  Representatives OLSON, READ; Senators NELSON, OLSEN

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Directs Legislative Assembly to leave amount unappropriated for
biennium if Legislative Assembly determines that percentage
increase in available General Fund revenues is greater than
increase in personal income growth. Sets amount left
unappropriated at percentage difference between increase in
revenues available for biennium and personal income growth, with
three percent maximum.
  Specifies that if Legislative Assembly determines that
percentage increase in available General Fund revenues is greater
than amount of personal income growth plus amount left
unappropriated, Legislative Assembly must leave one-half of
excess unappropriated. Allows use of remaining excess for general
governmental purposes.
  Requires deposit of certain unappropriated amounts in Oregon
Rainy Day Fund if General Fund revenues collected equal or exceed
revenue estimate for biennium. Allows Legislative Assembly to
deposit other unappropriated amounts in Oregon Rainy Day Fund, to
appropriate amounts to reduce state bond debt or to pay for
capital construction or other nonrecurring expenses.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to state finance; creating new provisions; amending ORS
  293.148; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + (1) If required under subsection (2) or (3) of
this section, in budgeting for a biennium that begins on July 1
of the year of a regular legislative session held in an
odd-numbered year, the Legislative Assembly shall leave
unappropriated an amount of General Fund revenues estimated to be
available for the biennium. The Legislative Assembly shall use
the estimate of General Fund revenues contained in the last
quarterly economic and revenue forecast presented prior to the
end of the regular legislative session held in an odd-numbered
year.
  (2)(a) Subject to paragraph (b) of this subsection, if the
Legislative Assembly determines that the growth index is greater
than the personal income growth index, the amount to be left
unappropriated under subsection (1) of this section shall be a
percentage of the General Fund revenues estimated to be available
for the biennium that is equal to the growth index percentage
minus the personal income growth index percentage.
  (b) The amount to be left unappropriated under this subsection
may not exceed three percent of the General Fund revenues
appropriated for the preceding biennium.
  (3) If the Legislative Assembly determines that the growth
index is greater than the personal income growth index plus the
percentage amount left unappropriated under subsection (2) of
this section, the Legislative Assembly shall leave unappropriated
a percentage of General Fund revenues estimated to be available
for the biennium that is equal to one-half of the amount by which
the growth index exceeds the personal income growth index plus
the percentage amount left unappropriated under subsection (2) of
this section. The Legislative Assembly may appropriate the
remaining one-half of the amount for general governmental
purposes.
  (4) As soon as practicable after the Legislative Assembly
determines the ending balance of the General Fund for a biennium,
if the amount of General Fund revenues collected during the
biennium equals or exceeds the amount of the estimate used to
determine any amounts left unappropriated for that biennium under
subsection (2) or (3) of this section:
  (a) Any amounts left unappropriated under subsection (2) of
this section shall be transferred to the Oregon Rainy Day Fund
established in ORS 293.144; and
  (b) Any amounts left unappropriated under subsection (3) of
this section may be:
  (A) Transferred to the Oregon Rainy Day Fund;
  (B) Appropriated by the Legislative Assembly to pay or
extinguish state bond debt or other state debt authorized by law
to be incurred;
  (C) Appropriated by the Legislative Assembly to be used for
capital construction projects; or
  (D) Appropriated by the Legislative Assembly to be used for
other nonrecurring expenses of the state.
  (5) As used in this section:
  (a) 'Ending balance' means the difference between the amount of
General Fund revenues collected during a biennium and the amount
of General Fund appropriations for the biennium.
  (b) 'General Fund appropriations' means the amount of moneys
appropriated from the General Fund for a biennium in the
legislatively approved budget for the biennium, minus the amount
of any General Fund appropriation balances for that biennium that
revert to the General Fund as provided by law.
  (c) 'General Fund revenues estimated to be available for the
biennium' means:
  (A) The amount of revenues contained in the General Fund at the
beginning of the biennium; and
  (B) The amount of General Fund revenues estimated to be
collected during the biennium.
  (d) 'Growth index' means the percentage difference between the
General Fund revenues estimated to be available for the biennium
and the General Fund revenues appropriated for the preceding
biennium.
  (e) 'Legislatively adopted budget' means the budget enacted by
the Legislative Assembly during an odd-numbered year.
  (f) 'Legislatively approved budget' means the legislatively
adopted budget as modified by the joint committee referred to in
section 3, Article III of the Oregon Constitution, or by the
Legislative Assembly meeting in special session.
  (g) 'Personal income growth index' means the percentage change
in statewide personal income in the two calendar years preceding
the beginning of a biennium. + }
  SECTION 2. ORS 293.148 is amended to read:
  293.148. (1) If the moneys in the Oregon Rainy Day Fund
established by ORS 293.144 just prior to the time of a transfer
scheduled under ORS 293.144 (3) or 293.146  { + or a transfer
made under section 1 of this 2011 Act + } equal at least
 { - 7-1/2 - }  { +  14 + } percent of the amount of General Fund
revenues collected during the prior biennium, moneys that would
otherwise be transferred to the Oregon Rainy Day Fund shall be
deposited in the General Fund.
  (2) If the moneys in the Oregon Rainy Day Fund just prior to
the time of a transfer scheduled under ORS 293.144 (3) or 293.146
 { +  or a transfer made under section 1 of this 2011 Act + } do
not equal at least   { - 7-1/2 - }  { +  14 + } percent of the
amount of General Fund revenues collected during the prior
biennium, the transfer to the Oregon Rainy Day Fund shall be made
regardless of whether that transfer increases the amount in the
Oregon Rainy Day Fund to at least
  { - 7-1/2 - }  { +  14 + } percent of the amount of General
Fund revenues collected during the prior biennium.
  SECTION 3.  { + Section 1 of this 2011 Act and the amendments
to ORS 293.148 by section 2 of this 2011 Act apply to biennia
beginning on or after July 1, 2011. + }
  SECTION 4.  { + This 2011 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2011 Act takes effect on its
passage. + }
                         ----------