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Appropriations committee advances amendment requiring legislature to appropriate certain legal settlements
Summary
The committee advanced a proposed constitutional amendment to require the General Assembly to appropriate some funds derived from legal judgments or settlements; committee discussion clarified thresholds and excluded anticipated federal emergency funds.
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The House Appropriations Committee advanced a proposed constitutional amendment that would require the General Assembly to appropriate funds the state receives from certain legal judgments and settlements on and after specified dates.
The presenter described the measure as a constitutional amendment that would direct "The General Assembly shall appropriate all moneys and funds derived from any legal judgments awarded to the state on or after 07/01/2027," and similarly referenced settlements on or after January 1, 2027. The presenter read language from the draft and told members the proposal was intended to ensure unanticipated or judgment-based funds flow through the legislative appropriations process.
Committee members asked whether the change would delay federally distributed emergency funds or funds requiring rapid distribution. Committee members and the presenter clarified that established emergency distributions—such as federally apportioned disaster or FEMA funds—would not be constrained by this amendment because emergency statutes and preexisting formulas allow rapid dispersal. The presenter described the measure as not affecting anticipated federal funds to local governments.
Members also discussed a subcommittee change that sets a continuous-appropriation threshold: funds in excess of $10,000,000 would be subject to the requirement for appropriation by the General Assembly. The presenter said the subcommittee debated the amount and settled on a threshold above $10 million.
A voice/hand vote carried the measure; the transcript records members raising hands and the chair saying "Motion carries." The transcript does not record a roll-call tally or the name of the motion maker.
Supporters said the change would give the legislature oversight of unanticipated state receipts to ensure representative input on distribution. Questions focused on narrow exceptions for emergency distribution and on how the threshold would operate in practice.
The transcript identifies the draft legislative council number LC560340S for the substitute text.

