Bill Text: OR SJR10 | 2011 | Regular Session | Introduced

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Bill Title: Proposing amendment to Oregon Constitution relating to Oregon Rainy Day Fund.

Spectrum: Unknown

Status: (Failed) 2011-06-30 - In committee upon adjournment. [SJR10 Detail]

Download: Oregon-2011-SJR10-Introduced.html

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     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 2692

                   Senate Joint Resolution 10

Printed pursuant to Senate Interim Rule 213.28 by order of the
  President of the Senate in conformance with presession filing
  rules, indicating neither advocacy nor opposition on the part
  of the President (at the request of Senate Interim Committee on
  Finance and Revenue)

                             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.

  Proposes amendment to Oregon Constitution to create Oregon
Rainy Day Fund. Sets conditions for appropriation of moneys in
fund. Transfers surplus corporate income or excise tax revenues
to fund. Transfers surplus personal income tax revenues that do
not exceed six percent of revenue estimate to fund. Transfers
surplus personal income tax revenues exceeding six percent of
revenue estimate to taxpayers.
  Provides that if moneys in Oregon Rainy Day Fund equal at least
12 percent of General Fund revenues collected during prior
biennium, interest on fund is transferred to General Fund,
surplus corporate income or excise tax revenues are applied to
retire state general obligation bond debt and surplus personal
income tax revenues are returned to taxpayers.
  Refers proposed amendment to people for their approval or
rejection at next regular general election.

                        JOINT RESOLUTION
Be It Resolved by the Legislative Assembly of the State of
  Oregon:
  PARAGRAPH 1. The Constitution of the State of Oregon is amended
by creating new sections 14a and 15 to be added to and made a
part of Article IX, and by amending section 14, Article IX, such
sections to read:
   { +  SECTION 15. + }  { + (1) The Oregon Rainy Day Fund is
established as an account in the General Fund.
  (2) The Legislative Assembly may appropriate moneys from the
Oregon Rainy Day Fund only if the appropriation is approved by
three-fifths of the members serving in each house of the
Legislative Assembly and the Legislative Assembly finds one of
the following:
  (a) That the last quarterly economic and revenue forecast for a
biennium indicates that moneys available to the General Fund for
the next biennium will be at least three percent less than
appropriations from the General Fund for the current biennium;
  (b) That there has been a decline for two or more consecutive
quarters in the last 12 months in seasonally adjusted nonfarm
payroll employment; or
  (c) That a quarterly economic and revenue forecast projects
that revenues in the General Fund in the current biennium will be
at least two percent below what the revenues were projected to be
in the revenue forecast on which the legislatively adopted budget
for the current biennium was based.
  (3) Once each month, in the manner provided by law, the State
Treasurer shall calculate the amount of General Fund interest
that is attributable to moneys in the Oregon Rainy Day Fund.
Except as provided in subsection (5) of this section, the State
Treasurer shall transfer the amount calculated under this
subsection to the Oregon Rainy Day Fund.
  (4) The Legislative Assembly may not appropriate for any one
biennium more than two-thirds of the amount that is in the Oregon
Rainy Day Fund at the beginning of that biennium. If the
appropriation is for a biennium that has not yet begun, the
Legislative Assembly may use as the base the most recent estimate
of the amount that will be in the Oregon Rainy Day Fund at the
beginning of the biennium for which the appropriation is made.
  (5) If the moneys in the Oregon Rainy Day Fund just prior to
the time of a transfer scheduled under subsection (3) of this
section or section 14 of this Article equal at least 12 percent
of the amount of General Fund revenues collected during the prior
biennium:
  (a) Moneys that would otherwise be transferred to the Oregon
Rainy Day Fund under subsection (3) of this section shall be
deposited in the General Fund.
  (b) If the revenues received by the General Fund from corporate
income and excise taxes during the biennium exceed the amount
estimated to be received from corporate income and excise taxes
for the biennium by two percent or more, the total amount of the
excess shall be applied toward retirement of state general
obligation bond debt.
  (c) If the revenues received from General Fund revenue sources,
exclusive of those described in subsection (3) of section 14 of
this Article, during the biennium exceed the amount estimated to
be received from such sources for the biennium, the total amount
of the excess shall be returned to personal income taxpayers.
  (6) If the moneys in the Oregon Rainy Day Fund just prior to
the time of a transfer scheduled under subsection (3) of this
section or section 14 of this Article do not equal at least 12
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 12 percent of the
amount of General Fund revenues collected during the prior
biennium.
  (7) As used in this section, 'legislatively adopted budget '
means the budget enacted by the Legislative Assembly during a
regular session. + }
   { +  Sec. 14. + } (1) As soon as is practicable after
adjournment sine die of an odd-numbered year regular session of
the Legislative Assembly, the Governor shall cause an estimate to
be prepared of revenues that will be received by the General Fund
for the biennium beginning July 1. The estimated revenues from
corporate income and excise taxes shall be separately stated from
the estimated revenues from other General Fund sources.
  (2) As soon as is practicable after the end of the biennium,
the Governor shall cause actual collections of revenues received
by the General Fund for that biennium to be determined. The
revenues received from corporate income and excise taxes shall be
determined separately from the revenues received from other
General Fund sources.
  (3) If the revenues received by the General Fund from corporate
income and excise taxes during the biennium exceed the amount
estimated to be received from corporate income and excise taxes
for the biennium, by two percent or more, the total amount of the
excess shall be   { - returned to corporate income and excise
taxpayers - }   { + transferred to the Oregon Rainy Day Fund or
applied toward retirement of state general obligation bond debt
as provided in section 15 of this Article + }.
  (4)  { + Subject to section 15 of this Article:
  (a) If the revenues received from General Fund revenue sources,
exclusive of those described in subsection (3) of this section,
during the biennium exceed the amount estimated to be received
from such sources for the biennium, to the extent that the excess
does not exceed six percent of the estimate, the excess shall be
transferred to the Oregon Rainy Day Fund established by section
15 of this Article.
  (b)  + }If the revenues received from General Fund revenue
sources, exclusive of those described in subsection (3) of this
section, during the biennium exceed the amount estimated to be
received from such sources for the biennium, by   { - two percent
or - } more { +  than six percent + }, the total amount of the
excess  { + above six percent + } shall be returned to personal
income taxpayers.
  (5) The Legislative Assembly may enact laws:
  (a) Establishing a tax credit, refund payment or other
mechanism by which the excess revenues are returned to taxpayers,
and establishing administrative procedures connected therewith.
  (b) Allowing the excess revenues to be reduced by
administrative costs associated with returning the excess
revenues.
  (c) Permitting a taxpayer's share of the excess revenues not to
be returned to the taxpayer if the taxpayer's share is less than
a de minimis amount identified by the Legislative Assembly.
  (d) Permitting a taxpayer's share of excess revenues to be
offset by any liability of the taxpayer for which the state is
authorized to undertake collection efforts.
  (6)(a) Prior to the close of a biennium for which an estimate
described in subsection (1) of this section has been made, the
Legislative Assembly, by a two-thirds majority vote of all
members elected to each   { - House - }  { +  house + }, may
enact legislation declaring an emergency and increasing the
amount of the estimate prepared pursuant to subsection (1) of
this section.
  (b) The prohibition against declaring an emergency in an act
regulating taxation or exemption in section 1a  { - , Article IX
of this Constitution - }  { +  of this Article + }, does not
apply to legislation enacted pursuant to this subsection.
  (7) This section does not apply:
  (a) If, for a biennium or any portion of a biennium, a state
tax is not imposed on or measured by the income of individuals.
  (b) To revenues derived from any minimum tax imposed on
corporations for the privilege of carrying on or doing business
in this state that is imposed as a fixed amount and that is
nonapportioned (except for changes of accounting periods).
  (c) To biennia beginning before July 1, 2001.
   { +  SECTION 14a. (1) Section 15 of this Article and the
amendment to section 14 of this Article by Senate Joint
Resolution 10 (2011) apply to biennia beginning on or after July
1, 2011.
  (2) This section is repealed on June 30, 2015. + }

  PARAGRAPH 2.  { + The amendment proposed by this resolution
shall be submitted to the people for their approval or rejection
at the next regular general election held throughout this
state. + }
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