AZ SCR1026

Proposes constitutional amendment to Article IX, Section 17 of the Arizona Constitution to replace the existing appropriation limit based on percentage of total personal income with a new limit based on prior year appropriations adjusted by population change and cost of living changes beginning fiscal year 2013-2014.

Establishes the Economic Estimates Commission to determine and publish preliminary estimates by February 1 and final estimates by April 1 each year of total state revenues for the following fiscal year.

Allows the legislature to exceed the appropriation limit by voter approval at a statewide election with two-thirds vote of each house and governor approval, or by three-fourths vote of each house with governor approval during declared emergencies for extraordinary nonrecurring expenses.

Permits appropriations exceeding the limit for state budget stabilization fund (up to 10% of current limit), emergency fund (up to 5% of current limit), tax refunds to taxpayers, debt repayment, and restoration of deferred payments.

Defines "state revenues" to include all monies and receipts received by the state and its agencies, excluding bond proceeds, dividends, interest, trustee funds, unemployment compensation deposits, pass-through funds to local governments, grants and gifts, and amounts from prior year transfers or refunds.