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Pages will please distribute amendment
C. This will be Amendment No. 2. The
Clerk will read the amendment.
READING CLERK: Amendment No. 2
to Committee Recommendation SF-4, by
Delegate Mentzer: On page 2 section 0.01,
State Indebtedness, in line 15 after the
word "years" add the following words:
"upon the prior certification of need by
the governor and".
THE CHAIRMAN: The amendment is
submitted by Delegate Mentzer.
Is there a second?
(Whereupon, the motion was seconded.)
THE CHAIRMAN: The amendment hav-
ing been seconded, the Chair recognizes
Delegate Mentzer to speak to the amend-
ment.
DELEGATE MENTZER: This amend-
ment would put one further brake or step
upon the State in going from 15 to 25
years in that it would require certification
of need by the governor before the General
Assembly could go ahead with its three-
fifths vote to have the 25-year limitation
on bonds. I do not want to repeat why I
feel it necessary to put whatever protec-
tion we can in our Constitution for this
extension.
I would like to briefly read from a letter
received by our Committee on October 30
from Governor Agnew who favored the ex-
tension to 25 years under certain con-
ditions:
"As I stated in my address to the Con-
vention on September 29, I share the
concern of respected and experienced
state fiscal experts over the impact of
any bond period extension on the credit
rating of the State. Nonetheless, we can
see and must face a need to implement
unusual and massive programs to purify
our air and waters, to provide modern
transportation systems and to meet the
present challenge to public safety.
"Bond issues for such programs can-
not be amortized over a 15-year period
without a dramatic increase in the cur-
rent tax burden. Furthermore, the bene-
ficial life of the improvements growing
out of such programs would justify liq-
uidation over a longer period.
"The period for bond amortization is a
controversial issue and reconciliation of
differing views seems to be in order. Al-
ternatives should be explored and I sug-
gest as one possibility the retention of
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our 15-year limitation, with extension in
particular cases up to a 25-year maxi-
mum. Exceptional extensions should be
limited by the Constitution to those in-
stances when the governor certifies the
necessity for such action and a three-
fifths majority vote of both houses of the
General Assembly concurs."
Following this suggestion of the gov-
ernor, I wish to, not upon request of the
governor in any way, but because I feel it
is an added brake, I wish to submit this
amendment.
THE CHAIRMAN: Delegate Sherbow.
DELEGATE SHERBOW: Mr. Chair-
man, ladies and gentlemen of the Commit-
tee, I urge you to vote against this amend-
ment. When the Governor submits his capi-
tal budget with the bond issues that follow
from them this means he is submitting it
and this is his prior approval urging the
legislature to act on his capital improve-
ment program.
If the legislature decides on its own that
it is going to initiate any form of what we
call supplementary appropriation in the
form of additional capital expenditures,
then the legislature has a much greater de-
terrent than what is asked for here. The
legislature has to provide the taxes for it.
We think you have all the brakes each
way, the system now in operation is much
better than a prior veto such as this new
form of legislation imbedded in the Con-
stitution. I hope you will vote against the
amendment.
THE CHAIRMAN: Does any other dele-
gate desire to speak in favor of the amend-
ment? Does any other delegate desire to
speak in opposition?
(There was no response.)
Are you ready for the question?
(Call for the question.)
The question arises upon the adoption of
Amendment No. 2. A vote Aye is a vote in
favor of the amendment. A vote No is a
vote against.
Cast your votes.
Have all delegates voted? Does any dele-
gate desire to change his vote?
(There was no response.)
The Clerk will record the vote.
There being 34 votes in the affirmative
and 05 in the negative, the motion fails.
The amendment is rejected.
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