82R806 JJT-D
By: Otto H.J.R. No. 5
A JOINT RESOLUTION
proposing a constitutional amendment regarding an increase in the
maximum amount to be retained in the constitutional economic
stabilization fund and dedicating for deposit in that fund certain
sales and use tax revenues.
BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 49-g, Article III, Texas Constitution,
is amended by amending Subsections (g) and (h) and adding
Subsections (p), (q), and (r) to read as follows:
(g) During each fiscal biennium, the amount in the economic
stabilization fund may not exceed an amount equal to 15 [10] percent
of the total amount, excluding investment income, interest income,
and amounts borrowed from special funds, deposited in general
revenue during the preceding biennium.
(h) In preparing an estimate of anticipated revenues for a
succeeding biennium as required by Article III, Section 49a, of
this constitution, the comptroller shall estimate the amount of the
transfers that will be made under Subsections (b), (d), [and] (e),
and (q) of this section. The comptroller shall deduct that amount
from the estimate of anticipated revenues as if the transfers were
made on August 31 of that fiscal year.
(p) Before the end of each fiscal year, the comptroller
shall determine a historical average of the annual rate of increase
or decrease in state sales and use tax revenues received, expressed
as a percentage rate. To determine the historical average rate, the
comptroller shall use information regarding state sales and use tax
revenues for the 20 previous fiscal years and disregard both the
greatest annual increase in those revenues and the least annual
increase or greatest annual decrease in those revenues, and derive
the arithmetic mean of the remaining 18 annual increases or
decreases. If that historical average rate is a positive growth
rate, the comptroller shall determine as a benchmark amount the
amount of state sales and use tax revenues that would have been
received during the preceding fiscal year had the amount of state
sales and use tax revenues received during the preceding fiscal
year increased over the amount received during the second preceding
fiscal year by that historical average growth rate.
(q) Before the end of each fiscal year, the comptroller
shall compare the amount the state received from sales and use taxes
in the preceding fiscal year with the amount of state sales and use
taxes the state received in the second preceding fiscal year as
provided by this subsection. For purposes of the comparison, the
comptroller shall determine whether any difference in the amount of
sales and use taxes received in those two fiscal years is a result,
at least in part, from a change in a tax rate or base adopted by the
legislature. If all or a portion of the difference in sales and use
tax revenue from one fiscal year to the next results, at least in
part, from a change in a tax rate or base adopted by the
legislature, the comptroller shall adjust for purposes of this
subsection the amount considered to have been received from sales
and use taxes in the preceding fiscal year to an amount that would
have been received had the rate or base not been changed. Amounts
to be transferred under Subdivision (1) of this subsection are
considered encumbered for purposes of Subsection (b) of this
section. If the amount, as adjusted under this subsection if
necessary, of sales and use taxes received in the preceding fiscal
year exceeds the benchmark amount for that year determined under
Subsection (p) of this section, the comptroller shall:
(1) not later than the 89th day of the next fiscal year
transfer to the economic stabilization fund an amount equal to 75
percent of the amount by which state sales and use tax revenues
collected during the preceding fiscal year exceed the benchmark
amount; and
(2) retain as general revenue the remaining amount of
state sales and use tax revenues collected during the preceding
fiscal year that exceed the benchmark amount.
(r) If necessary, the comptroller shall reduce the amount
transferred under Subsection (q)(1) of this section in proportion
to the other amounts prescribed by this section to prevent the
amount in the fund from exceeding the limit in effect for that
biennium under Subsection (g) of this section.
SECTION 2. The following temporary provision is added to
the Texas Constitution:
TEMPORARY PROVISION. (a) This temporary provision applies
to the constitutional amendment proposed by the 82nd Legislature,
Regular Session, 2011, regarding an increase in the maximum amount
to be retained in the constitutional economic stabilization fund
and dedicating for deposit in that fund certain sales and use tax
revenues.
(b) The amendments to Section 49-g, Article III, of this
constitution take effect September 1, 2013.
(c) This temporary provision expires January 1, 2014.
SECTION 3. (a) This proposed constitutional amendment shall
be submitted to the voters at an election to be held November 8,
2011.
(b) The ballot shall be printed to provide for voting for or
against the proposition: "The constitutional amendment increasing
the maximum amount to be retained in the constitutional rainy day
fund and dedicating for deposit in that fund certain sales and use
tax revenues."