1.7.2 Proposition 4 (1979), Gann Limit Initiative

1.7.2 Proposition 4 (1979), Gann Limit Initiative

PURPOSE OF INITIATIVE – Sometimes referred to as the “Spirit of 13 Initiative,” Proposition 4 addressed the perceived problem of increasing levels of government spending.

PRINCIPAL PROVISIONS – Proposition 4 added Article XIIIB to the California Constitution, establishing an “appropriations limit” for each governmental unit, limiting expenditures from “proceeds of taxes.” Appropriation limits may be raised because of cost of living and population increases or with voter approval.

PRINCIPAL IMPACT – Proposition 4 led to greater use of user fees and charges, fines, and assessments to fund improvements and services.