AR HJR1005

Creates the "Arkansas Taxpayer Bill of Rights" as a constitutional amendment requiring voter approval, effective January 1, 2025.

Prohibits deficit spending by requiring general revenue expenditures to not exceed collections in each fiscal year, with allowance for budgeting adjustments based on actual revenues.

Requires a three-fourths vote of each house of the General Assembly beginning July 1, 2025 to establish new taxes or fees, increase tax or fee rates, extend expiring taxes or fees, or pass laws directly increasing net tax or fee revenue.

Limits annual increases in general revenue expenditures to 3% compared to the preceding fiscal year, with exceptions for one-time claim settlements.

Establishes a Catastrophic Reserve Fund (20% of previous year's expenditures) for emergencies requiring three-fourths legislative vote to access, and a Budget Stabilization Trust Fund (20% of previous year's expenditures) to receive surplus revenues and transfer back when revenues decline; excess revenues after fund transfers are refunded through temporary income or sales tax rate reductions.