HB0256 97TH GENERAL ASSEMBLY

LRB097 03045 RLJ 43077 b

97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB0256

Introduced 01/25/11, by Rep. Rosemary Mulligan

SYNOPSIS AS INTRODUCED:

15 ILCS 20/50-30 new
25 ILCS 50/1	from Ch. 63, par. 42.31

Amends the State Budget Law. Requires the Governor's budget to include projections of revenues and expenditures for the 5 following fiscal years. Sets forth requirements for the projections. Requires the budget for the next fiscal year to set forth new or expanded expenditures of $1,000,000 or more. Requires the Governor's Office of Management and Budget to review previous projections and compare them to actual receipts and expenditures. Requires the Governor to submit 5-year projections for expenditures not included in the Governor's initial budget before the General Assembly approves appropriation bills. Contains other provisions. Amends the Fiscal Note Act to require a 5-year projection of expenditures if the note indicates an increase of expenditures of $1,000,000 or more. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The State Budget Law of the Civil Administrative Code of Illinois is amended by adding Section 50-30 as follows:

(15 ILCS 20/50-30 new)

Sec. 50-30. Long-Term Planning Law.

(a) The Governor's budget shall include projections of revenues and expenditures for each of the 5 fiscal years following the fiscal year for which the budget is submitted. These projections shall include aggregates of all revenues and all expenditures, and separate aggregate projections for revenues and expenditures from general funds. These revenue projections shall include separate projections for the principal sources of revenues, including personal income tax, corporate income tax, occupation and use tax, public utilities tax, federal reimbursements, riverboat gaming, and lottery. The projections shall include an aggregate of all expenditures and separate projections for the principal areas of spending, including elementary and secondary education, higher education, Medicaid, public safety, and transportation. The projections shall include an explanation of any increases not due to anticipated natural growth in revenues and expenditures.

(b) The Governor's budget for the next fiscal year shall separately set forth any proposals for any new or expanded expenditures that reflect an expansion of eligibility or scope of services and an increase of $1,000,000 or more over the current fiscal year's expenditures for the same or related programs. Five-year projections for these new or expanded expenditures and their related revenues shall be separately set forth.

(c) The Governor's Office of Management and Budget shall submit an annual review of prior projections required by subsections (a) and (b), showing comparisons to actual revenues and expenditures. This review shall be submitted to the General Assembly 30 days after the submission of the Governor's budget for the next fiscal year. The review shall include projections for the previous 5 fiscal years prepared as required by this Act.

(d) Prior to General Assembly approval of appropriation bills, the Governor shall submit to the General Assembly 5-year projections of revenues and expenditures for any new or expanded expenditures as described in subsection (b) that are authorized by the appropriation bills but were not included in the Governor's initially submitted budget. Updated projections also shall be submitted by the Governor prior to General Assembly approval of appropriations for any new or expanded expenditures as described in subsection (b) that are materially changed from the Governor's initial proposals.

Section 10. The Fiscal Note Act is amended by changing Section 1 as follows:

(25 ILCS 50/1) (from Ch. 63, par. 42.31)

Sec. 1. Every bill, except those bills making a direct appropriation, (1) the purpose or effect of which is (i) to expend any State funds or to increase or decrease the revenues of the State, either directly or indirectly, or (ii) to require the expenditure of their own funds by, or to increase or decrease the revenues of, units of local government, school districts or community college districts, or to revise the distribution of State funds among units of local government, school districts, or community college districts, either directly or indirectly, or (2) that amends the Mental Health and Developmental Disabilities Code or the Developmental Disability and Mental Disability Services Act shall have prepared for it prior to second reading in the house of introduction a brief explanatory statement or note which, for a bill under item (1), shall include a reliable estimate of the anticipated change in State, local governmental, school district, or community college district expenditures or revenues under its provisions and, for a bill under item (2), shall include a reliable estimate of the fiscal impact of its provisions upon community agencies. For purposes of this Act, indirect revenues include, but are not limited to, increased tax revenues or other increased revenues resulting from economic development, job creation, or cost reduction. The statement or note shall also include an explanation of the methodology used to determine the estimated direct and indirect costs or estimated impact on community agencies. Any notes for bills having a fiscal impact on units of local government, school districts or community college districts shall include such cost estimates as may be required under the State Mandates Act.

If a bill authorizes capital expenditures or appropriates funds for capital expenditures, a statement shall be prepared by the Governor's Office of Management and Budget specifying by year any principal and interest payments required to finance such capital expenditures.

If a bill authorizes the issuance of bonds, a statement or note shall be prepared by the Governor's Office of Management and Budget specifying the estimated total principal and interest payments (assuming interest is paid at a fixed rate) if all of the bonds authorized were issued. The statement or note shall include the total principal on all other then-outstanding Bonds of the State.

These statements or notes shall be known as "fiscal notes".

Every fiscal note prepared under this Act that includes an estimate of an expenditure of funds in excess of $1,000,000 or more over the current fiscal year's expenditures for the same or related programs shall also contain projections of expenditures for each of the 5 fiscal years following the next fiscal year.

(Source: P.A. 92-567, eff. 1-1-03; 93-839, eff. 7-30-04.)

Section 99. Effective date. This Act takes effect upon becoming law.