LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION March 22, 2021 TO: Honorable Joan Huffman, Chair, Senate Committee on Jurisprudence FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB23 by Huffman (Relating to an election to approve a reduction or reallocation of funding or resources for a municipal or county law enforcement agency.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for SB23, As Introduced : a negative impact of ($316,000) through the biennium ending August 31, 2023. General Revenue-Related Funds, Five- Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact toGeneral Revenue Related Funds2022($158,000)2023($158,000)2024($158,000)2025($158,000)2026($158,000)All Funds, Five-Year Impact: Fiscal Year Probable (Cost) fromGeneral Revenue Fund1 Change in Number of State Employees from FY 20212022($158,000)2.02023($158,000)2.02024($158,000)2.02025($158,000)2.02026($158,000)2.0 Fiscal AnalysisThe bill would amend Local Government Code to require a municipality or county to hold an election if the municipality or county proposes to adopt a budget for a fiscal year that, compared to the budget adopted by the municipality or county for the preceding fiscal year, reallocates funding or resources from one law enforcement agency to another or reduces for a law enforcement agency the appropriation to the agency as a percentage of the total budget, the number of peace officers the agency is authorized to employ per 1,000 municipal or county residents, as applicable, the total amount of funding per peace officer for peace officer overtime compensation, or the amount of funding per peace officer for the recruitment and training of new peace officers to fill vacant and new peace officer positions in the department. The bill would prohibit a municipality or county from adopting a budget with a proposed reduction or reallocation until the municipality or county receives voter approval for the proposed reduction or reallocation at an election held for that purpose.The bill would require the Comptroller of Public Accounts (CPA), on request by the criminal justice division of the Office of the Governor, to determine whether a municipality or county has violated the bill's provisions and to issue a written determination to the governor, lieutenant governor, and speaker of the house of representatives. If the CPA determines that a municipality or county is in violation, the municipality or county would be prohibited from adopting a tax rate for the subsequent municipal or county fiscal year that exceeds the municipality's or county's tax rate on the date of the violation. Such a tax rate limitation would become inapplicable on the earlier of the date the municipality or county receives voter approval for the reduction or reallocation that violated the bill's provisions in an election held in accordance with the bill or the date the CPA issues a written determination that the municipality or county has, as applicable, adopted a budget that reverses all funding reductions, adjusted for inflation, and personnel reductions in violation of the bill or restored reallocated funding or resources to the original law enforcement agency.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
March 22, 2021
TO: Honorable Joan Huffman, Chair, Senate Committee on Jurisprudence FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB23 by Huffman (Relating to an election to approve a reduction or reallocation of funding or resources for a municipal or county law enforcement agency.), As Introduced
TO: Honorable Joan Huffman, Chair, Senate Committee on Jurisprudence
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB23 by Huffman (Relating to an election to approve a reduction or reallocation of funding or resources for a municipal or county law enforcement agency.), As Introduced
Honorable Joan Huffman, Chair, Senate Committee on Jurisprudence
Honorable Joan Huffman, Chair, Senate Committee on Jurisprudence
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
SB23 by Huffman (Relating to an election to approve a reduction or reallocation of funding or resources for a municipal or county law enforcement agency.), As Introduced
SB23 by Huffman (Relating to an election to approve a reduction or reallocation of funding or resources for a municipal or county law enforcement agency.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for SB23, As Introduced : a negative impact of ($316,000) through the biennium ending August 31, 2023.
Estimated Two-year Net Impact to General Revenue Related Funds for SB23, As Introduced : a negative impact of ($316,000) through the biennium ending August 31, 2023.
General Revenue-Related Funds, Five- Year Impact:
2022 ($158,000)
2023 ($158,000)
2024 ($158,000)
2025 ($158,000)
2026 ($158,000)
All Funds, Five-Year Impact:
2022 ($158,000) 2.0
2023 ($158,000) 2.0
2024 ($158,000) 2.0
2025 ($158,000) 2.0
2026 ($158,000) 2.0
Fiscal Analysis
The bill would amend Local Government Code to require a municipality or county to hold an election if the municipality or county proposes to adopt a budget for a fiscal year that, compared to the budget adopted by the municipality or county for the preceding fiscal year, reallocates funding or resources from one law enforcement agency to another or reduces for a law enforcement agency the appropriation to the agency as a percentage of the total budget, the number of peace officers the agency is authorized to employ per 1,000 municipal or county residents, as applicable, the total amount of funding per peace officer for peace officer overtime compensation, or the amount of funding per peace officer for the recruitment and training of new peace officers to fill vacant and new peace officer positions in the department. The bill would prohibit a municipality or county from adopting a budget with a proposed reduction or reallocation until the municipality or county receives voter approval for the proposed reduction or reallocation at an election held for that purpose.The bill would require the Comptroller of Public Accounts (CPA), on request by the criminal justice division of the Office of the Governor, to determine whether a municipality or county has violated the bill's provisions and to issue a written determination to the governor, lieutenant governor, and speaker of the house of representatives. If the CPA determines that a municipality or county is in violation, the municipality or county would be prohibited from adopting a tax rate for the subsequent municipal or county fiscal year that exceeds the municipality's or county's tax rate on the date of the violation. Such a tax rate limitation would become inapplicable on the earlier of the date the municipality or county receives voter approval for the reduction or reallocation that violated the bill's provisions in an election held in accordance with the bill or the date the CPA issues a written determination that the municipality or county has, as applicable, adopted a budget that reverses all funding reductions, adjusted for inflation, and personnel reductions in violation of the bill or restored reallocated funding or resources to the original law enforcement agency.
The bill would prohibit a municipality or county from adopting a budget with a proposed reduction or reallocation until the municipality or county receives voter approval for the proposed reduction or reallocation at an election held for that purpose.The bill would require the Comptroller of Public Accounts (CPA), on request by the criminal justice division of the Office of the Governor, to determine whether a municipality or county has violated the bill's provisions and to issue a written determination to the governor, lieutenant governor, and speaker of the house of representatives. If the CPA determines that a municipality or county is in violation, the municipality or county would be prohibited from adopting a tax rate for the subsequent municipal or county fiscal year that exceeds the municipality's or county's tax rate on the date of the violation. Such a tax rate limitation would become inapplicable on the earlier of the date the municipality or county receives voter approval for the reduction or reallocation that violated the bill's provisions in an election held in accordance with the bill or the date the CPA issues a written determination that the municipality or county has, as applicable, adopted a budget that reverses all funding reductions, adjusted for inflation, and personnel reductions in violation of the bill or restored reallocated funding or resources to the original law enforcement agency.
The bill would require the Comptroller of Public Accounts (CPA), on request by the criminal justice division of the Office of the Governor, to determine whether a municipality or county has violated the bill's provisions and to issue a written determination to the governor, lieutenant governor, and speaker of the house of representatives. If the CPA determines that a municipality or county is in violation, the municipality or county would be prohibited from adopting a tax rate for the subsequent municipal or county fiscal year that exceeds the municipality's or county's tax rate on the date of the violation. Such a tax rate limitation would become inapplicable on the earlier of the date the municipality or county receives voter approval for the reduction or reallocation that violated the bill's provisions in an election held in accordance with the bill or the date the CPA issues a written determination that the municipality or county has, as applicable, adopted a budget that reverses all funding reductions, adjusted for inflation, and personnel reductions in violation of the bill or restored reallocated funding or resources to the original law enforcement agency.
The bill would require the Comptroller of Public Accounts (CPA), on request by the criminal justice division of the Office of the Governor, to determine whether a municipality or county has violated the bill's provisions and to issue a written determination to the governor, lieutenant governor, and speaker of the house of representatives. If the CPA determines that a municipality or county is in violation, the municipality or county would be prohibited from adopting a tax rate for the subsequent municipal or county fiscal year that exceeds the municipality's or county's tax rate on the date of the violation. Such a tax rate limitation would become inapplicable on the earlier of the date the municipality or county receives voter approval for the reduction or reallocation that violated the bill's provisions in an election held in accordance with the bill or the date the CPA issues a written determination that the municipality or county has, as applicable, adopted a budget that reverses all funding reductions, adjusted for inflation, and personnel reductions in violation of the bill or restored reallocated funding or resources to the original law enforcement agency.
Methodology
According to the CPA, the agency would incur administrative costs and require two additional full-time equivalents to implement the provisions of the bill that would require the Property Tax Assistance Division to review certain counties and municipalities for compliance. The CPA estimate those administrative costs at $158,000 annually to hire two Program Specialist IVs. The Office of the Governor anticipates no fiscal implication.
The Office of the Governor anticipates no fiscal implication.
Local Government Impact
According to Cameron County, if a budget were passed that triggered an election required by the bill, the elections would cost the county $328,175 for a special election with precinct consolidation and $719,042 for a general election with all precincts county wide.According to Bexar County, if a budget were passed that triggered an election required by the bill, the special elections would cost an estimated $1,124,000 for a countywide special election.
Source Agencies: b > td > 300 Trusteed Programs - Gov, 304 Comptroller of Public Accounts
300 Trusteed Programs - Gov, 304 Comptroller of Public Accounts
LBB Staff: b > td > JMc, SLE, CMA, ANE
JMc, SLE, CMA, ANE