Texas Senate Bill SJR46

Texas 2017 - 85th Regular

Caption

Proposing a constitutional amendment to set aside general revenue as dedicated to pay for certain state infrastructure projects.

Impact

If enacted, SJR46 would significantly influence how state revenue is allocated, ensuring a steady stream of funding for infrastructure projects. The establishment of the state infrastructure endowment fund would require changes to existing financial management practices within the state treasury, as the fund is managed by the Texas Treasury Safekeeping Trust Company. It allows for the use of funds accrued without requiring further legislative appropriation, which proponents argue would streamline the financing process for vital infrastructure projects.

Summary

SJR46 proposes a constitutional amendment that aims to set aside a portion of the state’s general revenue for a dedicated fund aimed at infrastructure projects. Specifically, it calls for the Texas comptroller to transfer one-quarter of one percent of all general revenue collected in the previous fiscal year to the newly created state infrastructure endowment fund. The fund is intended to facilitate payments on state bonds that are designated for repairing, renovating, or constructing various types of state infrastructure, excluding transportation and higher education facilities.

Contention

One notable point of contention surrounding SJR46 relates to how the amendment might limit the legislature’s discretion over financial appropriations in the future. Critics could argue that by constitutionally dedicating a portion of revenue to a specific fund, it risks constraining fiscal flexibility, especially during times of budget shortfalls. There will likely be debates over whether this amendment could detract from funding allocations for other pressing state needs if a fixed percentage of revenue is consistently directed to infrastructure projects.