• Encourages balanced state budgets by preventing elected Members of the Legislature and statewide
constitutional officers, including the Governor, from receiving pay raises in years when the state is
running a deficit.
• Directs the Director of Finance to determine whether a given year is a deficit year.
• Prevents the Citizens Compensation Commission from increasing elected officials’ salaries in years
when the state Special Fund for Economic Uncertainties is in the negative by an amount equal to or
greater than one percent of the General Fund.
Summary of Legislative Analyst’s Estimate of Net State and Local Government Fiscal Impact:
• Minor state savings related to elected state officials’ salaries in some cases when the state is expected to
end the year with a budget deficit.