MN SF5408

Maximum biennial percentage change in state spending cannot exceed inflation plus the percentage change in state population.

State spending includes all expenditures and reserve increases, excluding federal funds, excess revenue refunds, reserve transfers, post-2024 voter-approved expenditures, and gifts or court-ordered damage awards.

Inflation determined by the U.S. Bureau of Labor Statistics Consumer Price Index for Minneapolis-St. Paul-Bloomington for the previous two calendar years; population change determined by federal estimates adjusted every decade to match the federal census.

Excess revenue must be returned to taxpayers through property tax refunds or permanent tax rate reductions.

Legislature may exceed the spending limitation for one biennium with a 60 percent or greater vote in each body; amendment must be submitted to voters at the 2024 general election.