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ACA-9 Veterans Support Stabilization Account.(2019-2020)

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CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Constitutional Amendment
No. 9


Introduced by Assembly Member Voepel

February 19, 2019


A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by amending Section 22 of, and adding Section 24 to, Article XVI thereof, relating to veterans.


LEGISLATIVE COUNSEL'S DIGEST


ACA 9, as introduced, Voepel. Veterans Support Stabilization Account.
The California Constitution establishes the Budget Stabilization Account in the General Fund and requires the Controller, on or before October 1 of the 2015–16 fiscal year and each fiscal year thereafter, to annually transfer from the General Fund to the Budget Stabilization Account amounts determined pursuant to specified formulae, including General Fund proceeds of taxes derived from personal income taxes paid on net capital gains that exceed a designated level, based on estimates provided in the Budget Act. The California Constitution authorizes the Legislature to return funds transferred into the Budget Stabilization Account pursuant to the formulae described above if the Governor issues a proclamation declaring a budget emergency and requires the Legislature to use the funds so returned to address the budget emergency.
This measure would create the Veterans Support Stabilization Account in the General Fund, and require the annual budget to allocate 0.5% of the funding allocated for the purpose of services for veterans to be allocated to the Veterans Support Stabilization Account. The measure would prohibit funds transferred to the Veterans Support Stabilization Account from being appropriated unless the Governor issues a proclamation declaring a budget emergency and the funds are used to provide for the support of services for veterans.
Vote: 2/3   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

Resolved by the Assembly, the Senate concurring, That the Legislature of the State of California at its 2019–20 Regular Session commencing on the third day of December 2018, two-thirds of the membership of each house concurring, hereby proposes to the people of the State of California, that the Constitution of the State be amended as follows:

First—

 That Section 22 of Article XVI thereof is amended to read:

SEC. 22.
 (a) Upon the Governor’s proclamation declaring a budget emergency and identifying the conditions constituting the emergency, the Legislature may pass a bill that does any of the following:
(1) Suspends or reduces by a specified dollar amount for one fiscal year the transfer of moneys from the General Fund to the Budget Stabilization Account required by Section 20.
(2) (A) Returns funds that have been transferred to the Budget Stabilization Account pursuant to Section 20 to the General Fund for appropriation to address the budget emergency.
(B) Not more than 50 percent of the balance in the Budget Stabilization Account may be returned to the General Fund for appropriation pursuant to subparagraph (A) in any fiscal year, unless funds in the Budget Stabilization Account have been returned to the General Fund for appropriation in the immediately preceding fiscal year.
(3) Suspends or reduces by a specified dollar amount for one fiscal year the transfer of moneys from the General Fund to the Public School System Stabilization Account required by Section 21.
(4) Appropriates funds transferred to the Public School System Stabilization Account pursuant to Section 21 and allocates those funds for the support of school districts and community college districts.
(5) Appropriates funds transferred to the Veterans Support Stabilization Account pursuant to Section 24 and allocates those funds for the support of services for veterans.
(b) For purposes of this section, “budget emergency” means any of the following:
(1) An emergency declared by the Governor, within the meaning of paragraph (2) of subdivision (c) of Section 3 of Article XIII B.
(2) (A) A determination by the Governor that estimated resources are inadequate to fund General Fund expenditures for the current or ensuing fiscal year, after setting aside funds for the reserve for liquidation of encumbrances, at a level equal to the highest amount of total General Fund expenditures estimated at the time of enactment of any of the three most recent Budget Acts, adjusted for both of the following:
(i) The annual percentage change in the cost of living for the State, as measured by the California Consumer Price Index.
(ii) The annual percentage growth in the civilian population of the State pursuant to subdivision (b) of Section 7901 of the Government Code.
(B) The maximum amount that may be withdrawn for a budget emergency determined under this paragraph shall not exceed either an amount that would result in a total General Fund expenditure level for a fiscal year that is greater than the highest amount of total General Fund expenditures estimated at the time of enactment of any of the three most recent Budget Acts, as calculated pursuant to subparagraph (A), or any limit imposed by subparagraph (B) of paragraph (2) of subdivision (a).

Second—

 That Section 24 is added to Article XVI thereof, to read:

SEC. 24.
 (a) The Veterans Support Stabilization Account is hereby created in the General Fund.
(b) The Controller shall annually transfer from the General Fund to the Veterans Support Stabilization Account a sum equal to 0.5 percent of the funding appropriated for veterans’ services in the annual Budget Act.
(c) Funds transferred to the Veterans Support Stabilization Account shall not be appropriated except as provided for in Section 22.