Texas 2009 - 81st Regular

Texas House Bill HB3291 Compare Versions

Only one version of the bill is available at this time.
OldNewDifferences
11 81R6058 JJT-F
22 By: Callegari H.B. No. 3291
33
44
55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the constitutional limit on the rate of growth of
88 appropriations and the use of surplus state revenues.
99 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1010 SECTION 1. Sections 316.001, 316.002, and 316.006,
1111 Government Code, are amended to read as follows:
1212 Sec. 316.001. LIMIT. (a) The rate of growth of
1313 appropriations in a state fiscal biennium from all sources of
1414 revenue other than the federal government [state tax revenues not
1515 dedicated by the constitution] may not exceed a rate determined by
1616 adding the estimated rate of the increase or decrease in the state's
1717 population during the preceding state fiscal biennium and the
1818 estimated rate of inflation or deflation during that preceding
1919 biennium in this state in the prices of a set of goods determined to
2020 be representative of this [the estimated rate of growth of the]
2121 state's economy as a whole.
2222 (b) If the sum of the estimated rates described by
2323 Subsection (a) is a negative number, appropriations for the state
2424 fiscal biennium from all sources of revenue other than the federal
2525 government must decrease as prescribed by this subchapter.
2626 Sec. 316.002. DUTIES OF LEGISLATIVE BUDGET BOARD. (a)
2727 Before the Legislative Budget Board submits the budget for the next
2828 state fiscal biennium as prescribed by Section 322.008
2929 [322.008(b)], the board shall establish:
3030 (1) the maximum allowable rate of growth of
3131 appropriations between the current state fiscal biennium and the
3232 next state fiscal biennium, in accordance with Section 22, Article
3333 VIII, Texas Constitution, expressed as a percentage, by adding the
3434 following estimated rates, as determined by the board:
3535 (A) the estimated rate of change of the state's
3636 population during the current state fiscal biennium, expressed as a
3737 percentage; and
3838 (B) the estimated rate of inflation or deflation
3939 in this state during the current state fiscal biennium in the price
4040 of a set of goods determined by the board to be representative of
4141 this state's economy as a whole during that [estimated rate of
4242 growth of the state's economy from the current biennium to the next]
4343 biennium, expressed as a percentage;
4444 (2) the amount [level] of appropriations for the
4545 current state fiscal biennium from all sources of revenue except
4646 the federal government [state tax revenues not dedicated by the
4747 constitution]; and
4848 (3) the amount of revenue from all sources except the
4949 federal government [state tax revenues not dedicated by the
5050 constitution] that could be appropriated for the next state fiscal
5151 biennium within the limit established in accordance with the
5252 maximum allowable rate of growth determined under Subdivision (1)
5353 and the amount of appropriations for the current state fiscal
5454 biennium determined under Subdivision (2) [by the estimated rate of
5555 growth of the state's economy].
5656 (b) If the sum of the estimated rate of increase or decrease
5757 in the state's population and the estimated rate of inflation or
5858 deflation is a negative number, the amount of appropriations for
5959 the next state fiscal biennium from all sources of revenue other
6060 than the federal government may not exceed the amount of
6161 appropriations from those sources in the current state fiscal
6262 biennium reduced by the product of that amount and the sum of those
6363 rates. [Except as provided by Subsection (c), the board shall
6464 determine the estimated rate of growth of the state's economy by
6565 dividing the estimated Texas total personal income for the next
6666 biennium by the estimated Texas total personal income for the
6767 current biennium. Using standard statistical methods, the board
6868 shall make the estimate by projecting through the biennium the
6969 estimated Texas total personal income reported by the United States
7070 Department of Commerce or its successor in function.]
7171 (c) [If a more comprehensive definition of the rate of
7272 growth of the state's economy is developed and is approved by the
7373 committee established by Section 316.005, the board may use that
7474 definition in calculating the limit on appropriations.
7575 [(d)] To ensure compliance with Section 22, Article VIII,
7676 [Section 22, of the] Texas Constitution, the Legislative Budget
7777 Board may not transmit in any form to the governor or the
7878 legislature the budget as prescribed by Section 322.008(c) or the
7979 general appropriations bill as prescribed by Section 322.008(d)
8080 until the limit on the rate of growth of appropriations has been
8181 adopted as required by this subchapter.
8282 (d) [(e)] In the absence of an action by the Legislative
8383 Budget Board to adopt a spending limit as provided by this section
8484 [in Subsections (a) and (b)], the sum of the estimated rate of
8585 population growth and the estimated rate of inflation [in the
8686 state's economy from the current biennium to the next biennium]
8787 shall be treated as if that rate [it] were zero, and the amount of
8888 revenue from all sources other than the federal government that may
8989 [state tax revenues not dedicated by the constitution that could]
9090 be appropriated for the next state fiscal biennium is [within the
9191 limit established by the estimated rate of growth in the state's
9292 economy shall be] the same as the amount [level] of appropriations
9393 from those revenues for the current biennium.
9494 Sec. 316.006. LIMIT ON BUDGET RECOMMENDATIONS. Unless
9595 authorized by majority vote of the members of the board from each
9696 house, the Legislative Budget Board budget recommendations
9797 relating to the proposed appropriations of revenue from all sources
9898 except the federal government [state tax revenues not dedicated by
9999 the constitution] may not exceed the limit adopted by the committee
100100 under Section 316.005.
101101 SECTION 2. Section 316.007(a), Government Code, is amended
102102 to read as follows:
103103 (a) The Legislative Budget Board shall include in its budget
104104 recommendations the proposed limit of appropriations from all
105105 sources of revenue except the federal government [state tax
106106 revenues not dedicated by the constitution].
107107 SECTION 3. Section 316.008(a), Government Code, is amended
108108 to read as follows:
109109 (a) Unless the legislature adopts a resolution under
110110 Section 22, Article VIII, [Section 22(b), of the] Texas
111111 Constitution, raising the proposed limit on appropriations, the
112112 proposed limit is binding on the legislature with respect to all
113113 appropriations for the next state fiscal biennium made from all
114114 sources of revenue except the federal government [state tax
115115 revenues not dedicated by the constitution].
116116 SECTION 4. Chapter 171, Tax Code, is amended by adding
117117 Subchapter K to read as follows:
118118 SUBCHAPTER K. SURPLUS REVENUE: REBATE OF FRANCHISE TAXES
119119 Sec. 171.551. ISSUANCE OF INDIVIDUAL REBATES. (a) Not
120120 later than the 180th day of each state fiscal biennium, the
121121 comptroller shall issue to each payer of the franchise tax during
122122 the previous state fiscal biennium a rebate as provided by this
123123 section if the comptroller has determined under Subsection (a),
124124 Section 49-g-1, Article III, Texas Constitution, that there remains
125125 an unencumbered positive balance of general revenues from the
126126 preceding state fiscal biennium.
127127 (b) The comptroller shall compute for each payer of the
128128 franchise tax during the preceding state fiscal biennium the
129129 fractional share of the franchise taxes to be rebated by dividing
130130 that franchise tax payer's total franchise taxes paid during the
131131 preceding state fiscal biennium by the total of all franchise taxes
132132 paid under this chapter during that preceding state fiscal
133133 biennium.
134134 (c) The comptroller shall issue to each payer of the
135135 franchise tax during the preceding state fiscal biennium a rebate
136136 of franchise taxes paid in an amount equal to one-third of the
137137 amount of the unencumbered positive balance of general revenues
138138 determined under Subsection (a), Section 49-g-1, Article III, Texas
139139 Constitution, to be remaining after the economic stabilization fund
140140 transfer multiplied by the fraction determined for that payer under
141141 Subsection (b).
142142 (d) The comptroller may issue a payer's rebate by warrant or
143143 by electronic funds transfer, as provided by rules of the
144144 comptroller.
145145 SECTION 5. The changes in law made by this Act apply only,
146146 as applicable, in relation to appropriations made for the state
147147 fiscal biennium beginning September 1, 2011, and subsequent state
148148 fiscal bienniums. Appropriations for the state fiscal biennium
149149 that began September 1, 2009, are governed by Sections 316.001,
150150 316.002, 316.006, 316.007, and 316.008, Government Code, as those
151151 sections existed on January 1, 2009, and the former law is continued
152152 in effect for that purpose.
153153 SECTION 6. This Act takes effect on the date on which the
154154 constitutional amendment proposed by the 81st Legislature, Regular
155155 Session, 2009, regarding the limitation on the rate of growth in
156156 appropriations and the use of unencumbered surplus state revenues
157157 to provide for a rebate of state franchise taxes, to reduce public
158158 school district property taxes, and to fund the state's rainy day
159159 fund takes effect. If that amendment is not approved by the voters,
160160 this Act has no effect.