BILL ANALYSIS Senate Research Center H.J.R. 37 By: Raymond et al. (Watson) Finance 5/20/2009 Engrossed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT H.J.R. 37 proposes a constitutional amendment that would dedicate net revenue from the state lottery to offset the costs of public school education programs. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 47, Article III, Texas Constitution, by amending Subsection (e) and adding Subsection (f), as follows: (e) Authorizes the Legislature by general law to authorize the State to operate lotteries and to authorize the State to enter into a contract with one or more legal entities that will operate lotteries on behalf of the State. Requires that all money received by the State from the operation of lotteries, other than amounts paid or reserved for lottery prizes and administrative costs, be deposited in the state treasury. Provides that the money is dedicated to and may be expended only for the enrichment of the educational programs of the public primary and secondary schools and only for items that directly benefit classroom teaching, including teacher compensation and the acquisition of textbooks and educational supplies, materials, equipment, and services. (f) Prohibits an advertisement or promotion sponsored by the State or a holder of a license issued by the State and related to the operation of a lottery authorized by Subsection (e) of this section from encouraging or attempting to influence a person to purchase a lottery ticket or number for the purpose of supporting or providing additional funds to public primary or secondary schools. SECTION 2. Requires the proposed constitutional amendment to be submitted to the voters at an election to be held November 3, 2009. Sets forth the required language of the ballot. BILL ANALYSIS Senate Research Center H.J.R. 37 By: Raymond et al. (Watson) Finance 5/20/2009 Engrossed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT H.J.R. 37 proposes a constitutional amendment that would dedicate net revenue from the state lottery to offset the costs of public school education programs. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 47, Article III, Texas Constitution, by amending Subsection (e) and adding Subsection (f), as follows: (e) Authorizes the Legislature by general law to authorize the State to operate lotteries and to authorize the State to enter into a contract with one or more legal entities that will operate lotteries on behalf of the State. Requires that all money received by the State from the operation of lotteries, other than amounts paid or reserved for lottery prizes and administrative costs, be deposited in the state treasury. Provides that the money is dedicated to and may be expended only for the enrichment of the educational programs of the public primary and secondary schools and only for items that directly benefit classroom teaching, including teacher compensation and the acquisition of textbooks and educational supplies, materials, equipment, and services. (f) Prohibits an advertisement or promotion sponsored by the State or a holder of a license issued by the State and related to the operation of a lottery authorized by Subsection (e) of this section from encouraging or attempting to influence a person to purchase a lottery ticket or number for the purpose of supporting or providing additional funds to public primary or secondary schools. SECTION 2. Requires the proposed constitutional amendment to be submitted to the voters at an election to be held November 3, 2009. Sets forth the required language of the ballot.