S.J.R. A: COMMITTEE SUMMARY - TAXATION: REQUIRE 2/3 VOTE

Senate Joint Resolution A (as introduced 1-8-97)

Committee: Finance

Date Completed: 3-24-98

CONTENT

The joint resolution proposes an amendment to Article IV, Section 26 of the State Constitution to provide that no bill to impose, expand the base of, increase the rate of, or repeal an exemption from a tax imposed by the State could become law without the concurrence of two-thirds of the members elected and serving in each house of the Legislature.

The joint resolution would have to be submitted to the voters at the next general election, if two-thirds of the members elected and serving in each house approved the resolution.

- Legislative Analyst: G. Towne

FISCAL IMPACT

Senate Joint Resolution A would require a two-thirds majority vote of the members in each house to increase a tax imposed by the State. Specifically, the increase of a tax includes the following: imposing, expanding the base of, increasing the rate of, or repealing an exemption from, a tax. The State fiscal impact cannot be determined; however, the resolution would make increasing State taxes more difficult.

Thirteen states impose super majority requirements to increase state taxes. Seven states have enacted super majority votes to pass tax increases in the 1990s. The super majorities vary - seven states impose a two-thirds majority (Arizona, California, Colorado, Louisiana, Nevada, South Dakota, and Washington), four states impose a three-fifths majority (Delaware, Florida, Mississippi, and Oregon), and the remaining two states (Arkansas and Oklahoma) impose a three-fourths majority. In most states, all taxes are included in the super majority restrictions.

- Fiscal Analyst: R. Ross

S9798\SSJRASA

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.