TX
Texas House Bill HB127

Texas 2017 - 85th 1st C.S.

Texas House Bill HB127

Caption

Relating to the constitutional limit on the rate of growth of appropriations.

Impact

The proposed changes have significant implications for state laws governing fiscal policy and budgetary measures. By establishing a tighter link between economic performance and state spending, advocates suggest that it will promote fiscal responsibility and long-term sustainability. This is intended to prevent periods of fiscal stress, which can arise from unchecked spending growth that outpaces revenue. However, the bill will only apply to appropriations made beginning in the fiscal biennium starting September 1, 2019, ensuring that previously enacted budgets remain unaffected.

Summary

House Bill 127 aims to amend the constitutional limit on the rate of growth of appropriations from state tax revenues not dedicated by the constitution. The bill stipulates that the rate of growth of appropriations in a state fiscal biennium may not exceed the estimated rate of growth of the state's economy. This provision is intended to create a more disciplined budgeting process by aligning state spending with economic growth, thereby preventing excessive increases in the state budget compared to revenue sources.

Contention

Debate surrounding HB 127 has highlighted concerns over its potential effects on the flexibility of state budgeting. Proponents argue that tying appropriations to economic growth is a safeguard against financial mismanagement. Conversely, critics have raised issues about the potential drawbacks of restricting legislative budgetary discretion during economic downturns when increased spending may be necessary to support public services. The tension lies in balancing fiscal prudence with the need for responsive government funding.

Notable_points

Moreover, the bill mandates that the Legislative Budget Board will determine the estimated rate of economic growth and ensure compliance with the new appropriations framework. This introduces a statutory mechanism intended to provide regular assessments of state economic conditions, impacting future financial planning and resource allocation within the legislature.

Companion Bills

No companion bills found.

Previously Filed As

TX HB561

Relating to an annual state budget and legislative budget sessions in even-numbered years and to political contributions made during a legislative session.

TX HJR1

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.

TX HJR1

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.

TX SJR4

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.

TX HJR164

Proposing a constitutional amendment excepting certain appropriations to pay for tax relief from the constitutional limitation on the rate of growth of appropriations.

TX HJR33

Proposing a constitutional amendment providing for an annual state budget and annual legislative sessions for budget purposes.

TX HJR1

Proposing a constitutional amendment to authorize the legislature to limit the maximum appraised value of real property for ad valorem tax purposes and to except certain appropriations to pay for ad valorem tax relief from the constitutional limitation on the rate of growth of appropriations.

TX SJR1

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.

TX SJR2

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.

TX SJR3

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.

Similar Bills

TX SB9

Relating to the constitutional limit on the rate of growth of appropriations.

TX HB936

Relating to the constitutional limit on the rate of growth of appropriations.

TX HB1025

Relating to the constitutional limit on the rate of growth of appropriations.

TX HB2304

Relating to the constitutional limit on the rate of growth of appropriations.

TX HB41

Relating to the constitutional limit on the rate of growth of appropriations.

TX SB9

Relating to the constitutional limit on the rate of growth of appropriations and appropriations of constitutionally dedicated revenue.

TX SB9

Relating to limitations on the rate of growth of appropriations for certain categories of spending.

TX HB594

Relating to a limit on the rate of growth of certain appropriations.