BILL ANALYSIS
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 75|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 445-6614 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
THIRD READING
Bill No: SB 75
Author: Peace (D)
Amended: 5/23/01
Vote: 27 - Urgency
SENATE BUDGET & FISCAL REV. COMMITTEE : 9-3, 5/22/01
AYES: Ackerman, Chesbro, Dunn, Kuehl, O'Connell, Polanco,
Sher, Vasconcellos, Peace
NOES: Haynes, Margett, McPherson
SUBJECT : 2001-02 State Budget
SOURCE : Author
DIGEST : This bill enacts the 2001-02 Senate version of
the State Budget.
(Refer to Legislative Analyst and Senate Budget Committee
detailed analysis of the Budget.)
ANALYSIS : Budget Process Overview
With the submission of the Governor's Budget, which is
required by January 10 of each year, the chair of the
Senate Budget and Fiscal Review and Assembly Budget
Committees each introduce a Budget Bill which contains
appropriations to finance the program levels proposed in
the Governor's Budget. Throughout the spring, and with the
assistance of committee consultants and the Legislative
Analyst, who prepares a detailed analysis of the Governor's
Budget, the fiscal committees of each House of the
CONTINUED
SB 75
Page
2
Legislature hold hearings to determine if changes should be
made in the Governor's Budget. At these hearings,
representatives from the state department whose Budget is
being heard, the Department of Finance, the Legislative
Analyst, and the public may be called upon to provide
official testimony.
Changes desired by the Administration concerning events
occurring after the Governor's Budget is submitted are
included in "Finance Letters" addressed to and considered
by the Senate and Assembly Budget committees.
In mid-May, the Department of Finance updates its estimates
of current year, and budget year revenues, expenditures
(including any final Administration expenditure proposals)
and surplus. This provides the Legislature with the most
current estimate of resources that will be available for
expenditure.
At the completion of all the hearings, each House passes
its Budget Bill, a Conference Committee of six legislators
is chosen to receive differences in the two bills and to
incorporate a "Conference Committee Version" into one of
the bills. The bill is then sent to the floor of each
House and, if passed by two-thirds, is enrolled to the
Governor. If it is not passed, a new Conference Committee
is formed and the conference process is repeated. Some
times it has become necessary for the Senate Pro Tem,
Assembly Speaker, Senate Minority Leader, Assembly Minority
Leader, and the Governor to meet to resolve major issues.
The Legislature is required under the State Constitution to
pass the Budget by June 15th of each year.
Upon receipt of the Budget Bill, the Governor meets with
his advisors to make reductions or eliminate particular
items of expenditure (known as the item-veto). The
Governor then signs the Budget Bill, and it becomes the
Budget Act. Under the State Constitution, the Governor
must sign the Budget by June 30th of each year. The
Legislature may then consider overriding any vetoes the
Governor has made and may do so by a two-thirds vote of
each House.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
SB 75
Page
3
Local: No
DLW:jk 5/23/01 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
**** END ****