Resolution
Of the MONTANA BOARD OF REGENTS
Relating to Proposed Constitutional Spending Limits [CI-97]

WHEREAS, the Montana Board of Regents notes that certain proponents are advocating support for a constitutional initiative to impose formulaic state spending limits within the Montana Constitution; and

WHEREAS, the Board believes that any effective long term approach to spending public funds must be responsive to the needs of Montana citizens and economic opportunities for the state, recognizing that the state's fiscal and economic environment is not static, but instead is constantly changing; and

WHEREAS, the Board believes that any constitutional amendment that permanently restricts overall spending to a broad price or population index fails to recognize the unavoidable population and inflationary trends of certain essential state services, thus reducing legislators' responsiveness to Montana citizens, and constraining the ability to direct state expenditures to positively impact the state's economy; and

WHEREAS, the Board believes that constitutional limits on state expenditures would severely restrict the state's ability to invest in certain public services at the state and community level, including both K-12 and postsecondary education, that are critical to the state's economic growth and well-being; and

WHEREAS, the Board believes that affordable access to high quality postsecondary educational opportunities, which would be restricted by constitutional expenditure limitations, is increasingly necessary for Montanans to succeed in today's ever changing and competitive global economic environment;

NOW, THEREFORE, BE IT RESOLVED that the Montana Board of Regents hereby expresses its grave concern about the impact of any constitutional expenditure limitation that would restrict the flexibility of elected officials to make informed state expenditure decisions, including investments in higher education, for the betterment of the state and its citizens, thus diminishing our ability to adequately fund education and compete in today's knowledge-based economy.