Texas 2011 - 82nd Regular

Texas House Bill HB3070

Voted on by House
 
Out of Senate Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the creation of a social loan program.

Impact

The introduction of this bill could lead to significant changes in how financial assistance is provided to low-income residents of Texas. By creating a structured loan program, the state could help alleviate immediate financial pressures faced by vulnerable populations during emergencies. This program is intended to facilitate access to necessary goods and services, thereby potentially improving the overall welfare of recipients. However, since the loans would be deducted from future assistance benefits, there could also be debates regarding the sufficiency of assistance post-loan repayment, raising concerns about the long-term financial health of borrowers.

Summary

House Bill 3070 establishes a Social Loan Program aimed at providing low-interest, short-term loans for low-income individuals facing emergency situations. The program is designed to offer lump-sum budgeting loans for necessary household purchases and crisis loans for basic expenses such as food and gasoline after personal emergencies. The loans are capped at $400 and will charge an interest rate not exceeding 15 percent annually to cover administrative costs. Additionally, eligible individuals must be recipients of state assistance programs, including medical and nutritional support.

Sentiment

Overall, the sentiment surrounding HB 3070 appears to be supportive among advocates for low-income assistance who view the program as a necessary measure to prevent economic hardship during crises. Nevertheless, there are concerns from some quarters about the conditions attached to the loans – particularly the deduction from existing benefits and the potential accumulation of debt. This highlights a need for careful consideration of how the program is implemented to ensure that it provides genuine relief without placing additional strain on borrowers.

Contention

A notable point of contention is the eligibility criteria and the program's dependency on the existing assistance structure. Critics may argue that tying loan repayments to other welfare benefits could strangle recipients in a cycle of debt, as those who are already struggling may find it difficult to manage repayments while attempting to meet their basic needs. Opponents could also express concern about the adequacy of the loan amount, suggesting that $400 might not be sufficient for significant emergencies, possibly detracting from the program's effectiveness.

Companion Bills

TX HJR14

Enabling for Proposing a constitutional amendment authorizing the legislature to create a social loan program.

Previously Filed As

TX HB3462

Relating to the consolidation of ombudsman programs administered by the Health and Human Services Commission.

TX HB4611

Relating to the nonsubstantive revision of the health and human services laws governing the Health and Human Services Commission, Medicaid, and other social services.

TX HB15

Relating to the creation of the Mental Health and Brain Research Institute of Texas.

TX HB973

Relating to the creation and uses of the critical infrastructure resiliency fund and the eligibility of certain water-related projects for state financial assistance.

TX SB1871

Relating to the creation of the Texas Empowerment Account pilot program for assisting certain recipients of public benefits in achieving self-sufficiency.

TX SB344

Relating to the creation of the Texas Health Insurance Exchange and premium assistance and cost-sharing reduction programs; authorizing a fee.

TX HB200

Relating to border protection and economic development services, programs, and other measures, including establishing educational programs and the border protection unit, in this state to address certain issues affecting the border region, including transnational and other criminal activity and public health threats.

TX HB80

Relating to border protection and economic development services, programs, and other measures, including establishing educational programs and the border protection unit, in this state to address certain issues affecting the border region, including transnational and other criminal activity and public health threats.

TX HB87

Relating to border protection and economic development services, programs, and other measures, including establishing educational programs and the border protection unit, in this state to address certain issues affecting the border region, including transnational and other criminal activity and public health threats.

TX HB1755

Relating to the creation of the Lone Star Workforce of the Future Fund.

Similar Bills

TX HB1378

Relating to methods for the recovery of system restoration costs incurred by electric utilities following hurricanes, tropical storms, ice or snow storms, floods, and other weather-related events and natural disasters.

TX SB769

Relating to methods for the recovery of system restoration costs incurred by electric utilities following hurricanes, tropical storms, ice or snow storms, floods, and other weather-related events and natural disasters.

TX HB1510

Relating to the response and resilience of certain electricity service providers to major weather-related events or other natural disasters; granting authority to issue bonds.

LA HB667

Reorganizes and recodifies the Miscellaneous Health Provisions chapter of Title 40 of the La. Revised Statutes

TX SB1255

Relating to a state intercept credit enhancement program for certain bonds issued by school districts.

LA HCR84

Directs the La. State Law Institute to reorganize and recodify the Miscellaneous Health Provisions chapter of Title 40 of the La. Revised Statutes

TX SB1782

Relating to the response and resilience of certain utilities to major weather-related events or natural disasters.

TX SB942

Relating to local option methods for financing transportation projects and services.