Bill Text: TX HB2207 | 2023-2024 | 88th Legislature | Engrossed

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Bill Title: Relating to the allocation of certain constitutional transfers of money to the economic stabilization fund, the state highway fund, the oil and gas regulation and cleanup account, the Texas emissions reduction plan fund, the property tax relief fund, and the Texas severance tax revenue and oil and natural gas (Texas STRONG) defense fund and to the permissible uses of money deposited to the Texas severance tax revenue and oil and natural gas (Texas STRONG) defense fund.

Spectrum: Moderate Partisan Bill (Republican 7-1)

Status: (Engrossed - Dead) 2023-05-04 - Referred to Finance [HB2207 Detail]

Download: Texas-2023-HB2207-Engrossed.html

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By: Landgraf, Guillen, Dean, Murr, Hunter, H.B. No. 2207
et al.

A BILL TO BE ENTITLED
AN ACT
relating to the allocation of certain constitutional transfers of
money to the economic stabilization fund, the state highway fund,
the oil and gas regulation and cleanup account, the Texas emissions
reduction plan fund, the property tax relief fund, and the Texas
severance tax revenue and oil and natural gas (Texas STRONG)
defense fund and to the permissible uses of money deposited to the
Texas severance tax revenue and oil and natural gas (Texas STRONG)
defense fund.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Subchapter H, Chapter 316,
Government Code, is amended to read as follows:
SUBCHAPTER H. ALLOCATION OF CONSTITUTIONAL TRANSFERS TO CERTAIN
FUNDS [ECONOMIC STABILIZATION FUND AND STATE HIGHWAY FUND]
SECTION 2. The heading to Section 316.092, Government Code,
is amended to read as follows:
Sec. 316.092. DETERMINATION OF THRESHOLD FOR
CONSTITUTIONAL TRANSFER TO CERTAIN FUNDS [STATE HIGHWAY FUND].
SECTION 3. Section 316.092(b), Government Code, is amended
to read as follows:
(b) This section expires December 31, 2038 [2034].
SECTION 4. The heading to Section 316.093, Government Code,
is amended to read as follows:
Sec. 316.093. ADJUSTMENT OF CONSTITUTIONAL ALLOCATIONS TO
CERTAIN FUNDS [FUND AND STATE HIGHWAY FUND].
SECTION 5. Section 316.093, Government Code, is amended by
amending Subsections (b), (c), and (d) and adding Subsection (e) to
read as follows:
(b) If the sum described by Subsection (a) is less than the
amount determined under Section 316.092 for that state fiscal
biennium, the comptroller shall reduce proportionately the
allocations [allocation] to the state highway fund, the oil and gas
regulation and cleanup account, the Texas emissions reduction plan
fund, the property tax relief fund, and the Texas severance tax
revenue and oil and natural gas (Texas STRONG) defense fund as
provided by Section 49-g(c-1) [49-g(c)], Article III, Texas
Constitution, and increase the allocation to the economic
stabilization fund[,] in an [equal] amount equal to the reduction
of those allocations[,] until the amount determined under Section
316.092 for that state fiscal biennium would be achieved by the
transfer to the fund or the total amount of the sum described by
Section 49-g(c), Article III, Texas Constitution, is allocated to
the fund, whichever occurs first.
(c) For the purposes of Section 49-g(c-2), Article III,
Texas Constitution, the comptroller shall adjust the allocation
provided by Section 49-g(c-1) of that article so that [of amounts to
be transferred to the fund and to the state highway fund under
Section 49-g(c) of that article in a state fiscal year] beginning
[on or after] September 1, 2037 [2035], the amount allocated for
transfer to the Texas severance tax revenue and oil and natural gas
(Texas STRONG) defense fund under Section 49-g(c-1) of that article
is instead [so that the total of those amounts is] transferred to
the economic stabilization fund.
(d) The [, except that the] comptroller shall reduce a
transfer to the economic stabilization fund required [made] under
Subsection (c) of this section [this subsection] as necessary to
prevent the amount in the fund from exceeding the limit in effect
for that biennium under Section 49-g(g), Article III, Texas
Constitution [of that article].
(e) [(d)] Subsections (a) and (b) of this section and this
subsection expire December 31, 2038 [2034].
SECTION 6. Subchapter G, Chapter 403, Government Code, is
amended by adding Section 403.108 to read as follows:
Sec. 403.108. TEXAS SEVERANCE TAX REVENUE AND OIL AND
NATURAL GAS (TEXAS STRONG) DEFENSE FUND; GRANT PROGRAM. (a) In
this section:
(1) "Fund" means the Texas severance tax revenue and
oil and natural gas (Texas STRONG) defense fund under Section
49-g-1, Article III, Texas Constitution.
(2) "Qualifying county" means a county in which the
amount of oil and gas production taxes collected by the comptroller
during the preceding two state fiscal years is at least 0.5 percent
of the total amount of those taxes collected in the state during
that same period.
(b) Money in the fund may be appropriated by the legislature
only for the following purposes:
(1) to the governor for the purpose of implementing,
administering, and funding the grant program established under
Subsection (c);
(2) to the Texas Department of Transportation for the
purpose of making grants under Subchapter C, Chapter 256,
Transportation Code only to make a grant to a qualifying county or a
county in which a port authority or navigation district is engaged
in oil or gas production, refinement, or export, notwithstanding
any other provision of that subchapter;
(3) to the trusteed programs within the office of the
governor for the purpose of meeting economic development needs in
qualifying counties; and
(4) to the Department of Public Safety for the
purposes of:
(A) paying the salaries, benefit costs, and other
costs associated with additional full-time equivalent department
employees stationed in qualifying counties;
(B) paying salary increases to department
employees stationed in qualifying counties; or
(C) providing additional resources for the
enforcement of commercial motor vehicle safety standards under
Chapter 644, Transportation Code, and the prevention of gang
violence and human trafficking, in qualifying counties.
(c) Subject to Subsection (d), the governor by rule shall:
(1) establish a grant program using money received
from the fund to address the effects of and needs associated with
significant oil and gas production in this state by providing
financial assistance to nonprofit organizations, public
institutions of higher education, school districts, and other
political subdivisions;
(2) develop an application process for grants made
under the program; and
(3) prioritize grants for first responder, emergency
and trauma care services, health care, mental health care,
educational, and workforce preparedness needs.
(d) In awarding grants under the grant program established
under Subsection (c), the governor shall give priority to an
applicant located in a qualifying county or a county in which a port
authority or navigation district is engaged in oil or gas
production, refinement, or export.
SECTION 7. This Act takes effect January 1, 2024, but only
if the constitutional amendment proposed by the 88th Legislature,
Regular Session, 2023, providing for the creation of the Texas
severance tax revenue and oil and natural gas (Texas STRONG)
defense fund, dedicating the money in that fund to benefit areas of
the state significantly affected by oil and gas production, and
providing for the transfer of certain general revenues to that
fund, the economic stabilization fund, and the state highway fund
is approved by the voters. If that amendment is not approved by the
voters, this Act has no effect.