As part of the state budget the governor submits to the general assembly under section 107.03 of the Revised Code, the governor shall include the state appropriation limitations the general assembly shall not exceed when making aggregate general revenue fund appropriations for each respective fiscal year of the biennium covered by that budget. The aggregate general revenue fund appropriations the governor proposes in the state budget also shall not exceed those limitations for each respective fiscal year of the biennium covered by that budget.

1. (A) For fiscal year 2008, the state appropriation limitation is the sum of the following:

   1. (1) The aggregate general revenue fund appropriations for fiscal year 2007; plus
   2. (2) The aggregate general revenue fund appropriations for fiscal year 2007 multiplied by either three and one-half per cent, or the sum of the rate of inflation plus the rate of population change, whichever is greater.

2. (B) For each fiscal year thereafter that is not a recast fiscal year, the state appropriation limitation is the sum of the following:

   1. (1) The state appropriation limitation for the previous fiscal year; plus
   2. (2) The state appropriation limitation for the previous fiscal year multiplied by either three and one-half per cent, or the sum of the rate of inflation plus the rate of population change, whichever is greater.

3. (C) For each recast fiscal year, the state appropriation limitation is the sum of the following:

   1. (1) The aggregate general revenue fund appropriations for the previous fiscal year; plus
   2. (2) The aggregate general revenue fund appropriations for the previous fiscal year multiplied by either three and one-half per cent, or the sum of the rate of inflation plus the rate of population change, whichever is greater.

4. (D) The state appropriation limitation for a fiscal year shall be increased by the amount of a nongeneral revenue fund appropriation made in the immediately preceding fiscal year, if all of the following apply to the nongeneral revenue fund appropriation:

   1. (1) It was made on or after July 1, 2013.
   2. (2) It is included in the aggregate general revenue fund appropriations proposed for that fiscal year.
   3. (3) It is being made for the first time from the general revenue fund.