Bill Number: S.B. 1489

            Mesnard Floor Amendment

            Reference to: FINANCE Committee amendment

            Amendment drafted by: Leg Council

 

 

1.    Modifies the method for the Joint Legislative Budget Committee (JLBC) to determine the individual income tax rate reduction by directing JLBC to:

a)    calculate the growth limit for the following fiscal year;

b)   calculate the amount of ongoing state General Fund (GF) revenues for the following fiscal year, rather than determine the amount of ongoing state GF revenues collected;

c)    estimate the amount of structural surplus for the immediately following year if the growth limit exceeds the revenues, rather than determine the amount by which ongoing state GF revenues exceed the growth limit; and

d)   multiply the estimated structural surplus by 50 percent, rather than the amount of revenues exceeding the growth limit.

2.    Requires the Arizona Department of Revenue, for each taxable year, rather than fiscal year, beginning January 1, 2021, rather than July 1, 2020, to reduce the individual income tax for the current taxable year by the specified amount.

3.    Defines structural surplus as the difference between ongoing state GF revenues and ongoing state GF expenditures after adjusting for expenditure increases as estimated by JLBC.

4.    Makes conforming changes.

 

Fifty-fourth Legislature                                                  Mesnard

Second Regular Session                                                  S.B. 1489

 

MESNARD FLOOR AMENDMENT

SENATE AMENDMENTS TO S.B. 1489

(Reference to FINANCE Committee amendment)

 

Page 1, strike line 2, insert:

"Line 5, strike "annual growth limit estimates;"

Strike lines 11 through 14, insert:

"1.  Calculate the growth limit for the following fiscal year.

2.  Calculate the amount of ongoing state general fund revenues for the following fiscal year.

3.  If the amount calculated in paragraph 1 of this subsection exceeds the amount calculated in paragraph 2 of this subsection, estimate the amount of structural surplus for the immediately following fiscal year."

Renumber to conform

Line 15, strike "determined" insert "estimated"; strike "2" insert "3"

Strike lines 17 through 20

Reletter to conform

Between lines 32 and 33, insert:

"4.  "structural surplus" means the difference between ongoing state general fund revenues and ongoing state general fund expenditures after adjusting for expenditure increases as estimated by the joint legislative budget committee."

Page 6, line 4, strike "fiscal" insert "taxable"; strike "june 30" insert "december 31"

Line 5, strike "next" insert "current"

Lines 8 and 9, strike "3" insert "4""

Amend title to conform

 

 

J.D. MESNARD

 

 

 

1489FloorMESNARD

02/26/2020

6:02 PM

C: ED