California Proposition 56

Published May 1, 2004

Official Title and Summary Prepared by the Attorney General
State Budget, Related Taxes, and Reserve. Voting Requirements. Penalties. Initiative Constitutional Amendment and Statute.

  • Permits Legislature to enact budget and budget-related tax and appropriation bills with 55% vote rather than 2/3 vote currently required.
  • Requires that Legislature, Governor permanently lose salary, expenses for each day budget is late.
  • Requires that Legislature stay in session until budget is passed.
  • Requires budget summary in state ballot pamphlet and link to Internet website with legislators’ voting records on budget and related taxes.
  • Requires 25% of certain state revenue increases be deposited in reserve fund, which cannot be used to increase spending.

Summary of Legislative Analyst’s Estimate of Net State and Local Government Fiscal Impact

  • This measure would have varying state fiscal impacts from lowering the legislative vote requirement for budget-related spending and tax increases–including changes in spending and potentially significant increases in state tax revenues in some years. Fiscal impacts would depend primarily on the composition and actions of future Legislatures.