Texas Senate Bill SJR58

Texas 2017 - 85th Regular

Caption

Proposing a constitutional amendment to set aside money from the economic stabilization fund to pay for certain state infrastructure projects and to create a state infrastructure endowment fund for funding certain costs of those projects.

Impact

The introduction of SJR58 aims to enhance the state's capability to finance critical infrastructure projects, potentially alleviating budgetary constraints experienced by the state. By ensuring a dedicated funding source, this bill could lead to improved infrastructure that better serves community needs. Moreover, the establishment of a dedicated endowment fund has implications for future legislative capacities to allocate funds strategically, as the bill allows for flexibility in administering the disbursal of the funds without requiring legislative appropriations for each action.

Summary

SJR58 proposes a constitutional amendment to establish a state infrastructure endowment fund, which will be funded by a transfer of money from the economic stabilization fund. The joint resolution specifies that the fund is intended to pay for various state infrastructure projects not limited to transportation. The infrastructure endowment fund will be separately administered by the comptroller of public accounts, allowing for the funds to be utilized for principal and interest payments on state general obligation bonds associated with these projects. A significant initial transfer of $1 billion is proposed to kickstart the fund's operations.

Contention

Discussion surrounding SJR58 may bring out differing opinions on the source of funding and its implications for other budgetary needs. Some legislators may express concerns regarding drawing upon the economic stabilization fund, fearing it might hinder the state's ability to respond effectively during fiscal emergencies. Additionally, the constitutional amendment aspect of SJR58 requires voter approval, which means that public reception and awareness of the bill's provisions could influence its viability. Critics may argue that establishing a large fund outside the regular state budget creates potential risks for oversight and accountability.

Notable_points

This resolution marks a significant step in how the state addresses infrastructure funding by proposing a constitutional amendment rather than typical appropriatory measures. As voters will ultimately decide its fate, the amendment could stimulate important discussions on priorities related to state funding and resource allocation. Furthermore, the nature of the proposed endowment fund raises questions about long-term financial planning and the impact of these funds on future generations within the state.