Bill Caption

Relating to a limitation on property tax rates for municipalities that adopt budgets that defund municipal police departments.

Fiscal Notes

No fiscal implication to the State is anticipated.

Bill Analysis

HB 2438 only applies to a municipality with a population of more than 250,000 that adopts a budget that reduces the appropriation to the municipality's police department unless certain requirements are satisfied.

A municipality would be considered a defunding municipality if the criminal justice division of the governor's office issues a written determination finding that the municipality has made a reduction without meeting the requirements. A designation as defunding would trigger penalties including significant limitations on the ability of such a municipality to increase tax rates. 

Vote Recommendation Notes

The issue of municipal defunding of police departments is a serious issue that the legislature is correct to address, particularly for situations in which substantial defunding would lead to an increase in lawlessness and a corresponding decrease in public safety. We support these provisions of the bill, including the very steep penalties to which a defunding municipality would be subjected.

However, we have serious reservations about the mechanism for designating a municipality as a defunding municipality. This should be a function of the legislature, not a unilateral power vested in the office of the governor, no matter how narrowly tailored it may be.

Due to our concerns about vesting this new power in the office of the governor, we are unable to support HB 2438 outright. We would fully support the bill if amended to require legislative oversight to confirm the governor's decision to designate a municipality as defunding.