BONDS, MORE BONDS!….It’s true: California has no constitutional requirement to have a balanced budget. Devra points me here, where we’re told:
The State Constitution requires that the Governor submit a budget to the Legislature by January 10. It provides for a balanced budget in that, if the proposed expenditures for the budget year exceed available resources, the Governor is required to recommend the sources for the additional funding.
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Although there is no constitutional requirement for passage of a balanced budget, Government Code Section 13337.5 requires that projected expenditures shall not exceed projected revenues.
So Gray Davis has to propose a balanced budget, but the legislature doesn’t have to pass it. If they felt like it, they could simply add an amendment to the budget bill stating that Government Code Section 13337.5 is suspended for the year.
This is really cool. I ask questions about the California budget and other bloggers step up with the answers. I wish I could improve my tennis game that easily.
