Texas 2015 - 84th Regular

Texas Senate Bill SB403 Compare Versions

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Old	New	Differences
1	1	84R3814 CJC-D
2	2	By: Taylor of Collin S.B. No. 403
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the limitation on the rate of growth of appropriations.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Sections 316.001, 316.002, 316.003, 316.004, and
10	10	316.008, Government Code, are amended to read as follows:
11	11	Sec. 316.001. LIMIT. The rate of growth of appropriations
12	12	in a state fiscal biennium from state tax revenues not dedicated by
13	13	the constitution may not exceed the least of the following rates
14	14	determined as provided by Section 316.002:
15	15	(1) the estimated rate of growth of the state's
16	16	economy;
17	17	(2) a rate equal to the sum of:
18	18	(A) the rate of growth of this state's
19	19	population; and
20	20	(B) the rate of monetary inflation in this state;
21	21	or
22	22	(3) the rate of growth of this state's gross state
23	23	product.
24	24	Sec. 316.002. DUTIES OF LEGISLATIVE BUDGET BOARD.
25	25	(a) Before the Legislative Budget Board transmits [submits] the
26	26	budget as prescribed by Section 322.008(c), the board shall
27	27	determine [establish]:
28	28	(1) the estimated rate of growth of the state's economy
29	29	from the current state fiscal biennium to the next state fiscal
30	30	biennium determined as provided by Subsection (b);
31	31	(2) the rates determined as provided by Subsection
32	32	(c);
33	33	(3) the amount [level] of appropriations for the
34	34	current state fiscal biennium from state tax revenues not dedicated
35	35	by the constitution; and
36	36	(4) [(3)] the amount of state tax revenues not
37	37	dedicated by the constitution that could be appropriated for the
38	38	next state fiscal biennium within the limit established by Section
39	39	316.001 [the estimated rate of growth of the state's economy].
40	40	(b) The [Except as provided by Subsection (c), the] board
41	41	shall determine the estimated rate of growth of the state's economy
42	42	by dividing the estimated Texas total personal income for the next
43	43	state fiscal biennium by the estimated Texas total personal income
44	44	for the current state fiscal biennium. Using standard statistical
45	45	methods, the board shall make the estimate by projecting through
46	46	the state fiscal biennium the estimated Texas total personal income
47	47	reported by the United States Department of Commerce or its
48	48	successor in function.
49	49	(c) The board shall use information reported by the United
50	50	States Department of Labor or its successor in function, the state
51	51	demographer or the demographer's successor in function, the United
52	52	States Census Bureau or its successor in function, and other
53	53	relevant sources the board considers reliable to determine the
54	54	following rates, calculated for the preceding state fiscal
55	55	biennium:
56	56	(1) a rate equal to the sum of:
57	57	(A) the rate of growth of this state's
58	58	population; and
59	59	(B) the rate of monetary inflation in this state;
60	60	and
61	61	(2) the rate of growth of this state's gross state
62	62	product [If a more comprehensive definition of the rate of growth
63	63	of the state's economy is developed and is approved by the committee
64	64	established by Section 316.005, the board may use that definition
65	65	in calculating the limit on appropriations].
66	66	(d) To ensure compliance with this subchapter and Section
67	67	22, Article VIII, [Section 22, of the] Texas Constitution, the
68	68	Legislative Budget Board may not transmit in any form to the
69	69	governor or the legislature the budget as prescribed by Section
70	70	322.008(c) or the general appropriations bill as prescribed by
71	71	Section 322.008(d) until the limit on the rate of growth of
72	72	appropriations has been adopted as required by this subchapter.
73	73	(e) In the absence of an action by the Legislative Budget
74	74	Board to adopt a spending limit as provided by this section [in
75	75	Subsections (a) and (b)], the limit on the rate of growth of
76	76	appropriations under this subchapter is [estimated rate of growth
77	77	in the state's economy from the current biennium to the next
78	78	biennium shall be treated as if it were] zero, and the amount of
79	79	state tax revenues not dedicated by the constitution that may
80	80	[could] be appropriated within the limit is [established by the
81	81	estimated rate of growth in the state's economy shall be] the same
82	82	as the amount [level] of those appropriations for the current state
83	83	fiscal biennium.
84	84	Sec. 316.003. PUBLICATION. Before the Legislative Budget
85	85	Board approves the items of information required by Section
86	86	316.002, the board shall publish in the Texas Register the proposed
87	87	items of information and a description of the methodology and
88	88	sources used in the determinations [calculations].
89	89	Sec. 316.004. PUBLIC HEARING. Not later than December 1 of
90	90	each even-numbered year, the Legislative Budget Board shall hold a
91	91	public hearing to solicit testimony regarding the proposed items of
92	92	information and the methodology used in making the determinations
93	93	[calculations] required by Section 316.002.
94	94	Sec. 316.008. EFFECT OF LIMIT; ENFORCEMENT. (a) In this
95	95	section:
96	96	(1) "Constitutional limit on the rate of growth of
97	97	appropriations" means the limit on the rate of growth of
98	98	appropriations determined by the Legislative Budget Board under
99	99	Section 316.002(b) as finally adopted by the committee under
100	100	Section 316.005(b) or as considered adopted under Section
101	101	316.005(c).
102	102	(2) "Statutory limit on the rate of growth of
103	103	appropriations" means the limit on the rate of growth of
104	104	appropriations determined by the Legislative Budget Board under
105	105	Section 316.002(c) as finally adopted by the committee under
106	106	Section 316.005(b) or as considered adopted under Section
107	107	316.005(c).
108	108	(b) With respect to the constitutional limit on the rate of
109	109	growth of appropriations, unless [Unless] the legislature adopts a
110	110	resolution under Section 22, Article VIII, [Section 22(b), of the]
111	111	Texas Constitution, raising the proposed constitutional limit on
112	112	appropriations, the proposed constitutional limit is binding on the
113	113	legislature with respect to all appropriations for the next state
114	114	fiscal biennium made from state tax revenues not dedicated by the
115	115	constitution.
116	116	(c) [(b)] The rules of the house of representatives and
117	117	senate shall provide for enforcement of Subsection (b) [(a)].
118	118	(d) When the statutory limit on the rate of growth of
119	119	appropriations is lower than the constitutional limit on the rate
120	120	of growth of appropriations or is lower than the constitutional
121	121	limit as raised by a resolution described by Subsection (b), the
122	122	proposed statutory limit is binding on the legislature with respect
123	123	to all appropriations for the next state fiscal biennium made from
124	124	state tax revenues not dedicated by the constitution unless the
125	125	legislature by general law provides that the statutory limit does
126	126	not apply to appropriations for that state fiscal biennium.
127	127	(e) If the Legislative Budget Board does not adopt a
128	128	spending limit as provided by Section 316.002, both the
129	129	constitutional limit on the rate of growth of appropriations and
130	130	the statutory limit on the rate of growth of appropriations are
131	131	considered to be zero.
132	132	SECTION 2. (a) The changes in law made by this Act apply
133	133	only in relation to an appropriation made for a state fiscal
134	134	biennium beginning on or after September 1, 2017.
135	135	(b) Appropriations for the state fiscal biennium that
136	136	begins September 1, 2015, are governed by Subchapter A, Chapter
137	137	316, Government Code, as that subchapter existed immediately before
138	138	the effective date of this Act, and the former law is continued in
139	139	effect for that purpose.
140	140	SECTION 3. This Act takes effect September 1, 2015.