Bill Text: TX HB208 | 2017 | 85th Legislature 1st Special Session | Comm Sub
Bill Title: Relating to the constitutional limit on the rate of growth of appropriations and appropriations of constitutionally dedicated revenue.
Spectrum: Partisan Bill (Republican 66-0)
Status: (Introduced - Dead) 2017-08-12 - Returned to committee [HB208 Detail]
Download: Texas-2017-HB208-Comm_Sub.html
85S12289 CJC-D | |||
By: Parker, et al. | H.B. No. 208 | ||
Substitute the following for H.B. No. 208: | |||
By: Simmons | C.S.H.B. No. 208 |
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relating to the constitutional limit on the rate of growth of | ||
appropriations and appropriations of constitutionally dedicated | ||
revenue. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Sections 316.001, 316.002, and 316.006, | ||
Government Code, are amended to read as follows: | ||
Sec. 316.001. LIMIT. (a) The rate of growth of | ||
appropriations in a state fiscal biennium from state tax revenues | ||
not dedicated by the constitution may not exceed the estimated rate | ||
of growth of the state's economy. | ||
(b) The rate of growth of appropriations from all sources of | ||
revenue other than the federal government in a state fiscal | ||
biennium may not exceed the estimated rate of growth of the state's | ||
economy. | ||
(c) For purposes of this subchapter, the estimated rate of | ||
growth of the state's economy is the estimated average biennial | ||
rate of growth of this state's population during the state fiscal | ||
biennium for which appropriations are made, adjusted by the | ||
estimated average biennial rate of monetary inflation in this state | ||
during the same period, as determined under Section 316.002. | ||
(d) The legislature finds that, for purposes of Section 22, | ||
Article VIII, Texas Constitution, the estimated average biennial | ||
rate of growth of this state's population during the state fiscal | ||
biennium for which appropriations are made, adjusted by the | ||
estimated average biennial rate of monetary inflation in this state | ||
during the same period, is an appropriate measure of the estimated | ||
rate of growth of the state's economy. | ||
(e) For purposes of this subchapter, an appropriation to pay | ||
for a rebate of state taxes must be excluded from computations used | ||
to determine whether appropriations exceed the amount authorized by | ||
Subsection (a) or (b). | ||
(f) The Legislative Budget Board shall determine the rates | ||
described by Subsection (c) using the most recent information | ||
available from sources the board considers reliable, including the | ||
United States Bureau of Labor Statistics and the Texas Demographic | ||
Center. | ||
Sec. 316.002. DUTIES OF LEGISLATIVE BUDGET BOARD. (a) | ||
Before the Legislative Budget Board transmits [ |
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for the next state fiscal biennium as prescribed by Section | ||
322.008(c), the board shall establish: | ||
(1) the limit on the rate of growth of appropriations | ||
from state tax revenues not dedicated by the constitution for that | ||
state fiscal biennium, as compared to the previous state fiscal | ||
biennium, by subtracting one from the product of: | ||
(A) the sum of one and the estimated average | ||
biennial rate of growth of this state's population during the state | ||
fiscal biennium for which appropriations are made; and | ||
(B) the sum of one and the estimated average | ||
biennial rate of monetary inflation in this state during the state | ||
fiscal biennium for which appropriations are made; and | ||
(2) the limit on the rate of growth of appropriations | ||
from all sources of revenue other than the federal government for | ||
that state fiscal biennium, as compared to the previous state | ||
fiscal biennium, by subtracting one from the product of: | ||
(A) the sum of one and the estimated average | ||
biennial rate of growth of this state's population during the state | ||
fiscal biennium for which appropriations are made; and | ||
(B) the sum of one and the estimated average | ||
biennial rate of monetary inflation in this state during the state | ||
fiscal biennium for which appropriations are made [ |
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(b) Except as provided by Subsection (c), the board shall | ||
establish for the next state fiscal biennium a limit on the amount | ||
of: | ||
(1) appropriations from state tax revenues not | ||
dedicated by the constitution by multiplying the amount of | ||
appropriations from state tax revenues not dedicated by the | ||
constitution for the current state fiscal biennium by the sum of one | ||
and the limit on the rate of growth of appropriations from state tax | ||
revenues not dedicated by the constitution established by the board | ||
under Subsection (a)(1); and | ||
(2) appropriations from all sources of revenue other | ||
than the federal government by multiplying the amount of | ||
appropriations from all sources of revenue other than the federal | ||
government for the current state fiscal biennium by the sum of one | ||
and the limit on the rate of growth of appropriations from all | ||
sources of revenue other than the federal government established by | ||
the board under Subsection (a)(2) [ |
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(c) If the rate determined under Subsection (a)(1) is a | ||
negative number, the amount of appropriations from state tax | ||
revenues not dedicated by the constitution for the next state | ||
fiscal biennium may not exceed the amount of appropriations from | ||
state tax revenues not dedicated by the constitution for the | ||
current state fiscal biennium. If the rate determined under | ||
Subsection (a)(2) is a negative number, the amount of | ||
appropriations from all sources of revenue other than the federal | ||
government for the next state fiscal biennium may not exceed the | ||
amount of appropriations from all sources of revenue other than the | ||
federal government for the current state fiscal biennium [ |
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(d) To ensure compliance with this subchapter and Section | ||
22, Article VIII, [ |
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Legislative Budget Board may not transmit in any form to the | ||
governor or the legislature the budget as prescribed by Section | ||
322.008(c) or the general appropriations bill as prescribed by | ||
Section 322.008(d) until the board establishes: | ||
(1) the limit on the rate of growth of appropriations | ||
from state tax revenues not dedicated by the constitution under | ||
Section 316.001(a); and | ||
(2) the limit on the rate of growth of appropriations | ||
from all sources of revenue other than the federal government under | ||
Section 316.001(b) [ |
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(e) In the absence of an action by the Legislative Budget | ||
Board to establish the limits [ |
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by this section: | ||
(1) for purposes of Section 316.001(a): | ||
(A) [ |
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rate of growth of [ |
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biennium to the next fiscal biennium shall be treated as if it were | ||
zero; [ |
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(B) the amount of state tax revenues not | ||
dedicated by the constitution that could be appropriated within the | ||
limit established by the estimated rate of growth of [ |
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state's economy shall be the same as the level of appropriations for | ||
the current fiscal biennium; and | ||
(2) for purposes of Section 316.001(b): | ||
(A) the estimated rate of growth of the state's | ||
economy from the current fiscal biennium to the next fiscal | ||
biennium shall be treated as if it were zero; and | ||
(B) the amount of appropriations from all sources | ||
of revenue other than the federal government that could be | ||
appropriated within the limit established by that subsection shall | ||
be the same as the level of appropriations for the current fiscal | ||
biennium. | ||
Sec. 316.006. LIMIT ON BUDGET RECOMMENDATIONS. Unless | ||
authorized by majority vote of the members of the board from each | ||
house, the Legislative Budget Board budget recommendations: | ||
(1) relating to the proposed appropriations from [ |
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state tax revenues not dedicated by the constitution may not exceed | ||
the limit on appropriations from those sources adopted by the | ||
committee under Section 316.005; and | ||
(2) relating to the proposed appropriations from all | ||
sources of revenue other than the federal government may not exceed | ||
the limit on appropriations from those sources adopted by the | ||
committee under Section 316.005. | ||
SECTION 2. Section 316.007(a), Government Code, is amended | ||
to read as follows: | ||
(a) The Legislative Budget Board shall include in its budget | ||
recommendations: | ||
(1) the proposed limit of appropriations from state | ||
tax revenues not dedicated by the constitution; and | ||
(2) the proposed limit of appropriations from all | ||
sources of revenue other than the federal government. | ||
SECTION 3. Section 316.008(a), Government Code, is amended | ||
to read as follows: | ||
(a) Unless the legislature adopts a resolution under | ||
Section 22, Article VIII, [ |
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Constitution, raising the proposed limit on appropriations from | ||
state tax revenues not dedicated by the constitution, the proposed | ||
limit is binding on the legislature with respect to all | ||
appropriations for the next fiscal biennium made from those [ |
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limit on appropriations from all sources of revenue other than the | ||
federal government is binding on the legislature with respect to | ||
all appropriations for the next fiscal biennium made from those | ||
sources unless the legislature adopts a resolution raising the | ||
proposed limit that is approved by a record vote of three-fifths of | ||
the members of each house of the legislature. The resolution must | ||
find that an emergency exists, identify the nature of the | ||
emergency, and specify the amount authorized. The excess amount | ||
authorized under this subsection may not exceed the amount | ||
specified in the resolution. | ||
SECTION 4. Chapter 316, Government Code, is amended by | ||
adding Subchapter I to read as follows: | ||
SUBCHAPTER I. APPROPRIATION OF CONSTITUTIONALLY DEDICATED REVENUE | ||
Sec. 316.151. LEGISLATIVE INTENT. It is the intent of the | ||
legislature that, to the extent practicable under Section 316.001 | ||
and other law, all revenue dedicated by the Texas Constitution for a | ||
particular purpose be appropriated in each state fiscal biennium | ||
for that purpose. | ||
SECTION 5. The changes in law made by this Act to Sections | ||
316.001, 316.002, 316.006, 316.007, and 316.008, Government Code, | ||
apply only in relation to appropriations made for the state fiscal | ||
biennium beginning September 1, 2019, and subsequent state fiscal | ||
bienniums. Appropriations for the state fiscal biennium beginning | ||
September 1, 2017, are governed by Sections 316.001, 316.002, | ||
316.006, 316.007, and 316.008, Government Code, as those sections | ||
existed on July 1, 2017, and the former law is continued in effect | ||
for that purpose. | ||
SECTION 6. This Act takes effect December 1, 2017. |