A.G. File No. 2005-013

The California Deficit Prevention Act (version 4)

February 17, 2005

 


This measure eliminates the existing constitutional provisions relating to state and local appropriations limits and replaces them with a new, more comprehensive limit on state government spending. Local jurisdictions would no longer be subject to an appropriations limit. However, the measure prohibits a local government from spending in any year more than it receives in revenues (including reserve funds).