Section 8 of Initiative 601 requires that any percentage increase in fees that exceeds the fiscal growth factor must be approved by the Legislature. These factors are also used in the calculation of the spending limit.
Beginning with the 2007-09 biennium, the fiscal growth factor is the average growth in state personal income for the prior ten fiscal years.
Through the 2005-07 biennium, the fiscal growth factor was calculated as a three year moving average of population growth and inflation, lagged two years. Inflation was based on the "Implicit Price Deflator for Personal Consumption" as estimated by the federal Department of Commerce. Population growth was based on estimates by the state Office of Financial Management.
|Fiscal Year||Fiscal Growth Factor||Status|
|FY 2016||4.33%||Adopted Nov. 2014|
|FY 2017||4.37%||Adopted Nov. 2015|
|FY 2018||4.08%||Adopted Nov. 2016|
|FY 2019||4.00%||Adopted Nov. 2017|
|FY 2020||4.62%||Subject to revision|