Texas House Bill HJR114

Texas 2019 - 86th Regular

Caption

Proposing a constitutional amendment providing for the issuance of general obligation bonds to be paid out of the economic stabilization fund by the Texas Water Development Board to provide financial assistance to political subdivisions for projects related to disaster recovery; disaster mitigation; disaster response; or construct, repair, rehabilitate, or reconstruct state or local infrastructure.

Impact

The passage of HJR114 would mark a significant shift in how Texas addresses the financial aspects of disaster management. By tapping into the economic stabilization fund, the bill allows for the allocation of substantial resources toward essential projects that can mitigate the impact of disasters. This would not only assist communities in their recovery efforts but also enhance the overall infrastructure, thereby potentially reducing future vulnerabilities. The direct linkage to the economic stabilization fund also implies a commitment to financial prudence, ensuring that Texas can respond effectively without overextending its budget.

Summary

HJR114 proposes a constitutional amendment aimed at enabling the Texas Water Development Board to issue general obligation bonds amounting to $10 billion, specifically for aiding political subdivisions in the state. These funds would be designated for projects related to disaster recovery, disaster mitigation, disaster response, or the construction, repair, rehabilitation, or reconstruction of infrastructure at either the state or local level. The initiative underscores a commitment to bolster resilience and preparedness against disasters, enhancing infrastructure that can withstand unexpected challenges.

Contention

While HJR114 presents a proactive approach to disaster management, concerns may arise regarding the long-term implications of such fiscal decisions. Critics could argue that relying on bonds may burden future state finances, as these bonds constitute a general obligation of the state, requiring consistent payment of principal and interest. Moreover, debate may emerge around the mechanisms of oversight and accountability for how the allocated funds are spent, prompting discussions on ensuring that funds are used efficiently and effectively to meet the intended goals.