Texas House Bill HCR116

Texas 2009 - 81st Regular

• Introduced: 3/17/09
• Refer: 3/23/09

Caption

Directing all state agencies and local governments to ensure that federal stimulus funding be used only to finance one-time, non-recurring expenses that do not require permanent changes to Texas law and that federal stimulus funds received by the state not impact the maintenance of effort required by any public health, public education, or welfare program to attract federal matching funds in the future.

Impact

The resolution seeks to safeguard Texas's economic structure against potential negative impacts from increased government spending. By strictly guiding the use of federal funds, HCR116 aims to ensure that the state does not incur future liabilities when these stimulus funds are no longer available. Advocates argue that this protective measure is crucial for maintaining Texas's low taxation and balanced budget, allowing the state to continue thriving in job creation and economic output without relying on unstable federal funding.

Summary

HCR116 is a concurrent resolution introduced in the Texas legislature, emphasizing the proper utilization of federal stimulus funds resulting from the American Recovery and Reinvestment Act of 2009. The resolution calls for all state agencies and local governments to prioritize one-time, non-recurring expenses when using these funds. The aim is to prevent the establishment of new programs or the expansion of existing ones that could lead to permanent financial commitments from the state's budget. This approach aligns with Texas's historically fiscally conservative policies, which have contributed to its growth and economic stability.

Contention

Notable contention arises from concerns regarding the future implications of such restrictions imposed by HCR116. While supporters argue the necessity of maintaining financial conservativism, critics may contend that the restrictive nature of the resolution could hinder local governments' abilities to address urgent needs, especially in public health and education sectors. The resolution’s emphasis on non-recurring expenses may inadvertently limit the state's response to ongoing community challenges that require more sustained funding beyond one-time allocations.