Texas 2009 - 81st Regular

Texas Senate Bill SCR49 Compare Versions

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Old	New	Differences
1	1	By: Shapleigh S.C.R. No. 49
2	2
3	3
4	4	SENATE CONCURRENT RESOLUTION
5	5	WHEREAS, on Tuesday, February 17, 2009, President Barack
6	6	Obama signed the American Recovery and Reinvestment Act of 2009,
7	7	which was adopted by both houses of Congress on Friday, February 12,
8	8	2009, in an effort to revitalize the American economic market and to
9	9	reassure the global market of our nation's commitment to fiscal
10	10	accountability; and
11	11	WHEREAS, in the midst of the worst economic downturn since
12	12	the Great Depression, it is imperative that the federal government
13	13	take the necessary steps to reinvigorate the economy in order to
14	14	protect the fundamental rights and interests of all citizens; and
15	15	WHEREAS, the impact of our nation's economic crisis has begun
16	16	to take a toll on Texas, threatening health care accessibility and
17	17	affordability, education, transportation, state infrastructure,
18	18	and other vital state services; and
19	19	WHEREAS, the American Recovery and Reinvestment Act of 2009
20	20	is expected to create and save 3.5 million jobs, provide an
21	21	immediate tax cut to 95% of the nation's employed workforce, and
22	22	invest in roads, bridges, mass transit, energy efficiency, flood
23	23	control, clean water projects, and other infrastructure projects in
24	24	our nation; and
25	25	WHEREAS, Section 1607 of the American Recovery and
26	26	Reinvestment Act of 2009 provides that if, within 45 days of its
27	27	enactment, the state's governor fails to certify the state's
28	28	intention to request and use funds provided under the act, then the
29	29	state's legislature may certify the state's intention to use funds
30	30	not accepted for use by the governor by means of the adoption of a
31	31	concurrent resolution expressing that intent; and
32	32	WHEREAS, on Thursday, March 12, 2009, Governor Rick Perry
33	33	indicated his intention not to certify $556 million that the State
34	34	of Texas would receive for the Unemployment Compensation Trust Fund
35	35	from the American Recovery and Reinvestment Act of 2009; and
36	36	WHEREAS, since the beginning of the most recent economic
37	37	downturn, over 250,000 Texans have lost their jobs, including
38	38	75,000 in January 2009 alone, the single largest monthly loss on
39	39	record; and
40	40	WHEREAS, the United States Federal Reserve in Dallas has
41	41	forecast that the Texas economy will lose up to 300,000 jobs in
42	42	2009; and
43	43	WHEREAS, the state's Unemployment Compensation Trust Fund
44	44	will have a deficit of at least $800 million by September 2009,
45	45	which will automatically trigger the imposition of the unemployment
46	46	replenishment tax (or "deficit tax") on Texas employers; and
47	47	WHEREAS, the Texas Workforce Commission may be able to
48	48	temporarily lessen the impact of the deficit tax on Texas employers
49	49	by either bonding or borrowing, but Texas employers will still have
50	50	to repay any bonded or borrowed money; and
51	51	WHEREAS, it is credibly estimated that the deficit tax will
52	52	likely double the overall unemployment tax burden on the average
53	53	Texas employer; and
54	54	WHEREAS, in order to receive the $556 million for the
55	55	Unemployment Compensation Trust Fund from the American Recovery and
56	56	Reinvestment Act of 2009, the Legislature must make modifications
57	57	to existing law; the net gain for Texas through the 2010-2011
58	58	biennium would be approximately $474 million to the Unemployment
59	59	Compensation Trust Fund; and
60	60	WHEREAS, the deficit tax on Texas employers is estimated to
61	61	increase to 1.09 percent if the funds are not accepted; the tax will
62	62	increase to only .34 percent if the funds are accepted; and
63	63	WHEREAS, it is credibly estimated that each $1 in
64	64	unemployment funds distributed in Texas has a $2.24 effect on the
65	65	Texas economy; and
66	66	WHEREAS, Comptroller Susan Combs estimates that 2010-2011
67	67	revenues will suffer a $9.1 billion shortfall, representing a
68	68	projected 10.5 percent decline from the current budget; and
69	69	WHEREAS, Spending cuts will affect not only education,
70	70	transportation, and other vital state services; state spending cuts
71	71	also undermine potential growth by removing dollars that would
72	72	otherwise be spent on goods and services produced or delivered in
73	73	the state; and
74	74	WHEREAS, in addition to the funds for the Unemployment
75	75	Compensation Fund, Texas would benefit from provisions of the
76	76	American Recovery and Reinvestment Act of 2009 designed to preserve
77	77	and create jobs, provide investment in technology, transportation,
78	78	energy efficiency, environmental protection, and infrastructure,
79	79	and to minimize or avert reductions in essential services; and
80	80	WHEREAS, with oil and gas prices and exports declining, Texas
81	81	can expect to feel the effects of the recession more sharply; it is
82	82	essential that the state quickly take advantage of all recovery
83	83	funds available from the federal government in order to lessen the
84	84	impact of the current economic downturn and prepare the foundation
85	85	for long-term growth and prosperity when the national economy
86	86	recovers; and
87	87	WHEREAS, it is incumbent upon the Legislature, as the elected
88	88	representative body charged with protecting all Texans' interests,
89	89	to take initiative to ensure the prosperity of state citizens and
90	90	assist them in this time of national financial crisis; now,
91	91	therefore, be it
92	92	RESOLVED, that the 81st Legislature of the State of Texas
93	93	does hereby certify the state's intention to request and use all
94	94	funds that may be available to the state under the American Recovery
95	95	and Reinvestment Act of 2009, to mitigate the effects of the
96	96	nation's recession in the State of Texas and provide necessary
97	97	assistance to its citizens during this economic downturn; and be it
98	98	further
99	99	RESOLVED, that the 81st Legislature of the State of Texas
100	100	does hereby certify its intention to accept any funds that may be
101	101	available to the state under the American Recovery and Reinvestment
102	102	Act of 2009 that are not accepted for use by the Governor in
103	103	accordance with Section 1607 of that Act; and be it further
104	104	RESOLVED, that copies of this resolution be furnished to
105	105	President Barack Obama, the Speaker of the United States House of
106	106	Representatives, and President of the United States Senate, members
107	107	of the Texas Congressional Delegation, Governor Rick Perry, and to
108	108	the members of the Capitol Press Corps.