Proposing a constitutional amendment concerning the limitation on the rate of growth of state appropriations and the use of unencumbered surplus state revenues to provide for a rebate of state franchise taxes, to reduce public school district property taxes, and to fund the state's rainy day fund.
Impact
The implications of HJR42 are significant, as it would amend Article VIII of the Texas Constitution to provide a prescribed growth limit on state expenditures. This initiative is expected to create a more predictable budgetary environment which, in turn, could influence long-term financial planning in both state and local government sectors. The bill further stipulates how surplus state revenues can be allocated: one-third would be used for rebates on state franchise taxes while two-thirds would be directed toward reducing public school district property taxes. Additionally, this measure aims to bolster the state's rainy day fund, enhancing the state’s ability to weather economic downturns.
Summary
HJR42 proposes a constitutional amendment aimed at controlling the growth of state appropriations. This bill seeks to ensure that the rate of growth of appropriations from state revenue does not exceed the combined rates of population growth and inflation. It is designed to bring more discipline to state budgeting by limiting how much the state can spend in each biennium, thereby promoting financial stability and prudent fiscal management.
Sentiment
The sentiment surrounding HJR42 demonstrates a mix of concern and support. Proponents argue that it fosters fiscal responsibility and provides immediate financial relief for property owners through tax rebates. They view the amendment as a necessary step in ensuring sustainable economic practices. Conversely, detractors express concern that stringent limits on appropriations could hinder funding for essential services, including education and public safety. This divide in sentiment indicates a broader debate about the balance between fiscal restraint and the need for responsive governance in addressing the state's varied and pressing needs.
Contention
Notable points of contention include the potential impact on public funding and the perceived risks of overly constraining state budget growth. Opponents argue that the amendment may lead to inadequate funding for critical services in times of need. Supporters counter that these measures are essential to avert wasteful spending and protect taxpayers. The policy debate around HJR42 highlights underlying tensions between the push for taxpayer savings and the challenges of ensuring robust public services.
Enabled by
Relating to the constitutional limit on the rate of growth of appropriations and the use of surplus state revenues.
TX HB2775
Enabled by
Relating to the constitutional limit on the rate of growth of appropriations and the use of surplus state revenues.
TX SJR27
Identical
Proposing a constitutional amendment concerning the limitation on the rate of growth of state appropriations and the use of unencumbered surplus state revenues to provide for a rebate of state franchise taxes, to reduce public school district property taxes, and to fund the state's rainy day fund.
Proposing a constitutional amendment creating the state school safety fund to provide ongoing financial support for projects that ensure the safety of public schools in this state and providing for the transfer of certain general revenues to that fund, the economic stabilization fund, and the state highway fund.
Relating to the elimination of certain property taxes for school district maintenance and operations and the provision of public education funding by increasing the rates of certain state taxes.
Proposing a constitutional amendment providing for the creation of the Texas legacy fund and the Texas legacy distribution fund, dedicating the Texas legacy distribution fund to certain state infrastructure projects or the reduction of certain long-term obligations, and providing for the transfer of certain general revenues to the economic stabilization fund, the Texas legacy fund, and the state highway fund.
Proposing a constitutional amendment concerning the limitation on the rate of growth of state appropriations and the use of unencumbered surplus state revenues to provide for a rebate of state franchise taxes, to reduce public school district property taxes, and to fund the state's rainy day fund.
Proposing a constitutional amendment concerning the limitation on the rate of growth of state appropriations and the use of unencumbered surplus state revenues to provide a rebate of state franchise taxes, to reduce public school district property taxes, and to fund the state's rainy day fund.