NY S03770

Establishes an annual spending growth cap calculated as the average of inflation rates from the three calendar years preceding a fiscal year, which the Governor and Legislature cannot exceed when submitting or enacting budgets.

Requires the Governor to certify that the executive budget does not exceed the annual spending growth cap and directs the Comptroller to verify compliance within five days of legislative budget action.

Allows the Governor to declare an emergency by executive order and the Legislature to authorize budget spending exceeding the cap by two-thirds supermajority vote in response to extraordinary occurrences such as natural disasters, terrorist attacks, or economic calamity.

Increases the maximum balance of the rainy day reserve fund from 3 percent to 10 percent of the aggregate amount projected to be disbursed from the general fund during the following fiscal year.