LA HB646

Creates a new "Government Growth Limit" starting in Fiscal Year 2027-2028 that caps annual growth in recurring State General Fund appropriations, with the Revenue Estimating Conference required to establish the limit by the first quarter of each calendar year

Recurring revenue above the Government Growth Limit but below the existing expenditure limit may only be appropriated for nonrecurring expenses (one-time costs not expected to continue at similar levels each year)

Sets the initial FY 2027-2028 limit at the prior year's recurring general fund appropriations plus 3%, with the commissioner of administration required to calculate and submit this figure to the Joint Legislative Committee on the Budget by January 31, 2027

Allows the legislature to change the Government Growth Limit by two-thirds vote of each house, but only if the growth factor was 2.5% or less for any of the three preceding fiscal years

Requires the governor's annual budget proposal to comply with the new Government Growth Limit and would be submitted to voters at the November 3, 2026 statewide election