Relating to limitations on the rate of growth of appropriations.
Impact
If enacted, SB943 would significantly alter how the state manages its fiscal policies by introducing a framework that ensures appropriations do not exceed specific growth rates, thereby encouraging financial responsibility. The bill mandates that the Legislative Budget Board assess and publish these limits to guide future budgeting processes, which could impact funding availability for various state services and programs. The provisions also aim to prevent potentially excessive government spending, especially during economic downturns, by creating a safeguard against a rapidly expanding budget.
Summary
SB943 seeks to impose strict limitations on the growth rate of appropriations in Texas, primarily by tying expenditure increases to the state's economic performance. The bill stipulates that the growth in state appropriations from tax revenues not constitutionally dedicated cannot exceed the estimated growth rate of the state's economy. Additionally, it specifies that overall appropriations must grow at a rate commensurate with the least of three potential benchmarks: population growth, inflation rates, or personal income growth. This approach aims to ensure fiscal discipline and sustainability within the Texas budgetary framework.
Contention
Notable points of contention may arise from different stakeholders regarding the feasibility and implications of such limitations. Advocates for the bill argue that it will promote prudent financial management and prevent irresponsible spending, especially as Texas faces fluctuating revenues and economic challenges. Critics, however, could contend that tying appropriations too closely to economic indicators may undermine essential funding for vital programs and services during downturns, leading to budget constraints that could affect education, healthcare, and public safety initiatives.
Relating to an annual state budget and legislative budget sessions in even-numbered years and to political contributions made during a legislative session.
Proposing a constitutional amendment excepting certain appropriations to pay for school district ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment excepting certain appropriations to pay for school district ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment excepting certain appropriations to pay for school district ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment to authorize the legislature to limit the maximum appraised value of real property for ad valorem tax purposes, to increase the amount of an exemption from ad valorem taxation by a school district applicable to residence homesteads, to adjust the amount of the limitation on school district ad valorem taxes imposed on the residence homesteads of the elderly or disabled to reflect increases in certain exemption amounts, and to except certain appropriations to pay for ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment to increase the amount of the exemption from ad valorem taxation by a school district applicable to residence homesteads, to adjust the amount of the limitation on school district ad valorem taxes imposed on the residence homesteads of the elderly or disabled to reflect increases in certain exemption amounts, and to except certain appropriations to pay for school district ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment to increase the amount of the exemption from ad valorem taxation by a school district applicable to residence homesteads, to adjust the amount of the limitation on school district ad valorem taxes imposed on the residence homesteads of the elderly or disabled to reflect increases in certain exemption amounts, and to except certain appropriations to pay for school district ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment to increase the amount of the exemption from ad valorem taxation by a school district applicable to residence homesteads, to adjust the amount of the limitation on school district ad valorem taxes imposed on the residence homesteads of the elderly or disabled to reflect increases in certain exemption amounts, to provide supplemental payments to full-time classroom teachers in school districts, and to except certain appropriations to pay for school district ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.
Proposing a constitutional amendment excepting certain appropriations to pay for tax relief from the constitutional limitation on the rate of growth of appropriations.