20250ACA_001699INT INTRODUCED 2026-01-07 2025 ACA INT Introduced by Assembly Member Ellis (Coauthors: Assembly Members Castillo, Dixon, Gallagher, Macedo, Sanchez, and Tangipa) LEAD_AUTHOR ASSEMBLY Ellis COAUTHOR ASSEMBLY Castillo COAUTHOR ASSEMBLY Dixon COAUTHOR ASSEMBLY Gallagher COAUTHOR ASSEMBLY Macedo COAUTHOR ASSEMBLY Sanchez COAUTHOR ASSEMBLY Tangipa A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by amending

Section of

Article IV thereof, and adding

Section 8.5 to

Article V thereof, relating to the state budget. the state budget Budget bill: balanced budget: Members of the Legislature: salaries. The California Constitution includes a balanced budget provision that prohibits the Legislature from sending a budget bill to the Governor, and prohibits the Governor from signing a budget bill, if the total amount of General Fund appropriations and reserve deposits for the fiscal year exceed General Fund revenues for the fiscal year estimated as of the date of the budget bill’s passage. The Constitution requires the Legislature to include that revenue estimate in the budget bill.

The Constitution also requires the Legislature to pass a budget bill by midnight on June of each year. If that deadline is not met, the Members of the Legislature forfeit any salary or reimbursement for travel or living expenses from midnight on June until the day that the budget bill is presented to the Governor. This measure would authorize the Controller, no later than days after the date of the budget bill’s passage, to determine that the budget bill violates the balanced budget provision.

If the Controller makes that determination, the Members of the Legislature and the Governor would forfeit their salary and reimbursement for travel or living expenses from the day immediately following the date on which the Controller makes the determination until the date on which a budget bill is enacted.

TWO_THIRDS NO YES NO Resolved by the Assembly, the Senate concurring, That the Legislature of the State of California at its 2025–26 Regular Session commencing on the second day of December 2024, 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 of

Article IV thereof is amended to read:

SEC. 12. (

a) Within the first days of each calendar year, the Governor shall submit to the Legislature, with an explanatory message, a budget for the ensuing fiscal year containing itemized statements for recommended state expenditures and estimated state revenues. If recommended expenditures exceed estimated revenues, the Governor shall recommend the sources from which the additional revenues should be provided. (

b) The Governor and the Governor-elect may require a state agency, officer or employee to furnish whatever information is deemed necessary to prepare the budget. (c)

(1) The budget shall be accompanied by a budget bill itemizing recommended expenditures.

(2) The budget bill shall be introduced immediately in each house by the persons chairing the committees that consider the budget.

(3) The Legislature shall pass the budget bill by midnight on June of each year.

(4) Until the budget bill has been enacted, the Legislature shall not send to the Governor for consideration any bill appropriating funds for expenditure during the fiscal year for which the budget bill is to be enacted, except emergency bills recommended by the Governor or appropriations for the salaries and expenses of the Legislature. (

d) No bill except the budget bill may contain more than one item of appropriation, and that for one certain, expressed purpose. Appropriations from the General Fund of the State, except appropriations for the public schools and appropriations in the budget bill and in other bills providing for appropriations related to the budget bill, are void unless passed in each house by rollcall vote entered in the journal, two-thirds of the membership concurring. (e)

(1) Notwithstanding any other provision of law or of this Constitution, the budget bill and other bills providing for appropriations related to the budget bill may be passed in each house by rollcall vote entered in the journal, a majority of the membership concurring, to take effect immediately upon being signed by the Governor or upon a date specified in the legislation. Nothing in this subdivision shall affect the vote requirement for appropriations for the public schools contained in subdivision (

d) of this

section and in subdivision (

b) of

Section of this article.

(2) For purposes of this section, “other bills providing for appropriations related to the budget bill” shall consist only of bills identified as related to the budget in the budget bill passed by the Legislature. (

f) The Legislature may control the submission, approval, and enforcement of budgets and the filing of claims for all state agencies. (g) (1) (

A) For the 2004–05 fiscal year, or any subsequent fiscal year, the Legislature may not send to the Governor for consideration, nor may the Governor sign into law, a budget bill that would appropriate from the General Fund, for that fiscal year, a total amount that, when combined with all appropriations from the General Fund for that fiscal year made as of the date of the budget bill’s passage, and the amount of any General Fund moneys transferred to the Budget Stabilization Account for that fiscal year pursuant to

Section of

Article XVI, exceeds General Fund revenues for that fiscal year estimated as of the date of the budget bill’s passage. (

B) The estimate of General Fund revenues described in subparagraph (

A) shall be set forth in the budget bill passed by the Legislature.

(2) If the Controller, no later than days after passage of the budget bill, determines that the budget bill appropriates from the General Fund for that fiscal year a total amount that, when combined with all appropriations from the General Fund for that fiscal year made as of the date of the budget bill’s passage and the amount of any General Fund moneys transferred to the Budget Stabilization Account for that fiscal year pursuant to

Section of

Article XVI, exceeds General Fund revenues for that fiscal year, as projected by the Controller, the Controller may certify that the budget bill does not comply with paragraph (1). (h)

(1) Notwithstanding any other provision of law or of this Constitution, including subdivision (

c) of this section,

Section of this article, and Sections and of

Article III, an appropriation from the current budget or future budget shall not be made to pay any salary or reimbursement for travel or living expenses for Members of the Legislature during any regular or special session in either of the following circumstances: (

A) The Legislature fails to pass the budget bill by midnight on June before the commencement of the fiscal year for which the budget bill is to be enacted. (

B) The Controller certifies that the budget bill is not balanced, as set forth in paragraph (2) of subdivision (g). (2) (

A) If the Legislature fails to pass the budget bill by June 15, as described in subparagraph (

A) of paragraph (1), salary and reimbursement shall be forfeited from June until the date the budget bill is presented to the Governor. (

B) If the Controller certifies that the budget bill is not balanced, as described in subparagraph (

B) of paragraph (1), salary and reimbursement shall be forfeited from the day immediately following the date of certification until the date the budget bill is enacted.

(3) Salary and reimbursement for travel and living expenses forfeited pursuant to this subdivision shall not be paid retroactively. Second— That

Section 8.5 is added to

Article V thereof, to read:

SEC. 8.5. Notwithstanding any other law, if the Controller certifies that the budget bill is not balanced, as set forth in paragraph (2) of subdivision (

g) of

Section of

Article IV, the Governor’s salary shall be forfeited from the day immediately following the date of certification until the date the budget bill is enacted. Salary forfeited pursuant to this

section shall not be paid retroactively.