HB 787 Summary

• Establishes a temporary State Commission on Fiscal Responsibility within the Department of Taxation to review state expenditures, revenue enhancement, and tax policy.

• Commission membership consists of nine members: two governor appointees (at least one from the state council on revenues), two state senators (one as co-chair), two state representatives (one as co-chair), director of taxation or designee, director of finance or designee, one nonprofit legal services representative, and one nonprofit tax policy analysis representative.

• Commission shall identify policies for medium-term revenue enhancement and long-term fiscal security, research and propose spending recommendations, and improve tax policy to create a more balanced and progressive tax structure.

• Commission must submit findings and recommendations to the legislature no later than 20 days before the 2025 regular legislative session, requiring approval by at least two-thirds of commission members.

• Commission terminates on June 30, 2026; Act takes effect July 1, 2023.