Extending the duty of the comptroller of public accounts under Section 7-c, Article VIII, Texas Constitution, to deposit certain tax revenue to the state highway fund.
Impact
If enacted, SCR2 would have a direct effect on the allocation of state tax revenues, particularly those revenues generated from specific taxes as outlined in the resolution. By streamlining the process through which these revenues are redirected to the state highway fund, SCR2 is expected to provide a more reliable financial base for highway projects. This could potentially lead to improved road conditions and enhanced safety for motorists as funds are made available for necessary repairs, upgrades, and construction of new roadways in response to the growing demands posed by Texas's increasing population.
Summary
SCR2, known formally as the concurrent resolution extending the duty of the Comptroller of Public Accounts under Section 7-c, Article VIII, Texas Constitution, aims to enhance the financial management of state highway funds by mandating the deposit of certain tax revenues directly into this fund. This legislative move is viewed as a significant step towards ensuring that dedicated funding is consistently allocated for the maintenance and development of Texas highways, which is crucial for managing the state’s transportation infrastructure effectively.
Sentiment
The sentiment surrounding SCR2 appears overwhelmingly positive, with bipartisan support evident during discussions and voting. An unanimous vote of 172 to 0 during the second reading reflects a strong legislative consensus on the importance of maintaining and improving highway infrastructure. This resolution is recognized as a proactive measure to address transportation needs, although some fiscal and policy experts may raise concerns regarding the implications of redirecting tax revenues and its long-term financial sustainability.
Contention
While the legislative discussions indicated a general agreement on the necessity of SCR2, there could be underlying concerns regarding potential strains on other funding areas. Critics may argue that while enhancing highway funding is important, it is essential to ensure that other state services are not inadvertently compromised due to the reallocation of these tax revenues. This point of contention highlights the need for balanced fiscal planning and the careful consideration of how any changes in funding allocation will impact the overall budget and services available to Texas citizens.
Texas Constitutional Statutes Affected
Tax Code
Chapter 151. Limited Sales, Excise, And Use Tax
Section: New Section
Section: 004
Chapter 152. Taxes On Sale, Rental, And Use Of Motor Vehicles
Identical
Extending the duty of the comptroller of public accounts under Section 7-c, Article VIII, Texas Constitution, to deposit certain tax revenue to the state highway fund.
Extending the duty of the comptroller of public accounts under Section 7-c, Article VIII, Texas Constitution, to deposit certain tax revenue to the state highway fund.
Finding that the diversion of sales tax funds from general revenue to the state highway fund was approved by Texas voters in 2015 and is required under Section 7-c, Article VIII, of the Texas Constitution.
Proposing a constitutional amendment dedicating a portion of the revenue derived from the state sales and use tax to the Texas Water Development Fund II.
Proposing a constitutional amendment dedicating a portion of the revenue derived from the state sales and use tax and the tax imposed on the sale, use, or rental of a motor vehicle to the state highway fund.
Proposing a constitutional amendment to dedicate a portion of the revenue derived from state sales and use taxes to the Texas water fund and to provide for the allocation and use of that revenue.
Proposing a constitutional amendment dedicating a portion of the revenue derived from state sales and use taxes and insurance premium taxes to the Texas water fund.
Proposing a constitutional amendment to provide for the transfer of certain general revenue to the economic stabilization fund, to provide for the transfer of certain general revenue to the state highway fund and the dedication of that revenue, and to authorize the payment of the principal and interest on certain highway improvement bonds from other money deposited to the state highway fund.
Directing the comptroller of public accounts to reduce the amounts of certain revenue that would otherwise be deposited to the state highway fund for the 2018 and 2019 state fiscal years.
Proposing a constitutional amendment temporarily dedicating a portion of the revenue derived from the state sales and use tax to the state highway fund.