* Establishes two-year state budget cycle.

* Prohibits Legislature from creating expenditures of more than $25 million unless offsetting

revenues or spending cuts are identified.

* Permits Governor to cut budget unilaterally during declared fiscal emergencies if Legislature fails

to act.

* Requires performance reviews of all state programs.

* Requires performance goals in state and local budgets.

* Requires publication of bills at least three days prior to legislative vote.

* Allows local governments to alter how laws governing state-funded programs apply to them, unless

Legislature or state agency vetoes change within 60 days.