HOUSE JOINT RESOLUTION NO. 3

(By Delegates Overington and Louisos)
(Introduced February 10, 1993; referred to the
Committee on Constitutional Revision.)

Proposing an amendment to the Constitution of the State of West Virginia, amending article ten thereof by adding thereto a new section, designated section eleven, relating to taxpayers' rights, providing for a taxpayer's bill of rights; limiting state government revenues and spending; providing for a set aside for certain emergencies; numbering and designating such proposed amendment; and providing summarized statement of the purpose of such proposed amendment.

Resolved by the Legislature of West Virginia, two thirds of the members elected to each House agreeing thereto:
That the question of ratification or rejection of an amendment to the Constitution of the State of West Virginia be submitted to the voters of the State at the next general election to be held in the year one thousand nine hundred ninety-four, which proposed amendment is that article ten thereof be amended by adding thereto a new section, designated section eleven, to read as follows:
ARTICLE X. TAXATION AND FINANCE.

§11. Taxpayers' bill of rights.

(a) The state government is subject to a revenue limit anda spending limit. The beginning revenue limit is equal to total revenue of state government in the base year, or, if higher, in any of the three preceding fiscal years. This limit is adjusted annually for the cumulative percentage rate of price inflation or deflation since the base year and for any cumulative percentage population increase since the base year. The state may not spend more than the revenue limits established for each fiscal year.
(b) "Revenue" includes all amounts received from all sources, except (1) amounts refunded to the payors; (2) gifts and contracts from nongovernmental sources; (3) amounts received from the federal government; (4) fees paid for specific services, but any part of a fee in excess of the actual cost of providing that specific service is revenue; (5) an amount equal to a government's net cost increase required by a federal law or rule adopted after this article becomes effective, but only to the extent not offset by federal funds; (6) amounts borrowed after approval by vote of the electors; (7) amounts borrowed by issuing revenue bonds on which no payment can be made from tax revenue; and (8) receipts applied to repay money borrowed lawfully, including interest.
(c) If the state's revenue in a fiscal year exceeds its revenue limit, its limit for the next fiscal year shall be reduced by the excess amount.
(d) The state's revenue limit may be temporarily increased in an amount approved by a majority of electors voting in a referendum. The increase is effective for no more than fivefiscal years.
(e) One or more revenue limits may be temporarily increased by law adopted by two-thirds vote of the whole membership of each house of the Legislature and approved by the Governor.
(f) Each fiscal year, the Legislature shall set aside not less than three percent of the states' revenue for emergency needs. These revenues may not be expended unless approved by two-thirds vote of the whole membership of each house of the Legislature and approved by the Governor.
(g) If a state law or rule adopted after this article becomes effective requires a local government to incur a net cost increase, the state shall pay to the local government the amount of the necessary net cost increase, and shall increase the local revenue limit and decrease the state revenue limit by that amount.
(h) Any taxpayer has standing to sue to enforce this article and laws implementing it. If successful, the taxpayer shall be reimbursed for all reasonable expenses of the suit.
Further Resolved, That in accordance with the provisions of article eleven, chapter three of the code of West Virginia, one thousand nine hundred thirty-one, as amended, such proposed amendment is hereby numbered "Amendment No. 1" and designated as the "The West Virginia Taxpayers' Bill of Rights," and the purpose of the proposed amendment is summarized as follows: "To amend the State Constitution to limit state revenues and state spending."


NOTE: The purpose of this joint resolution is to provide for a Taxpayer's Bill of Rights and to limit revenues and expenditures of state government.

This article is new; therefore, strike-throughs and underscoring have been omitted.