Texas Senate Bill SB309

Texas 2021 - 87th Regular

Caption

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

Impact

The changes proposed in SB309 intend to impact state financial governance by requiring that the growth rate of appropriations from state tax revenues be limited to the estimated growth rate of the state's economy. By enforcing this connection between economic performance and state spending, the bill aims to foster more responsible budgeting and prevent overexpenditure, which has been a concern in previous sessions. Additionally, a public hearing to solicit feedback on proposed appropriations will be held prior to the budget sessions, thereby improving transparency and public engagement in state fiscal matters.

Summary

SB309 introduces significant changes to the Texas budgeting process by establishing requirements for annual state budgets along with designated legislative budget sessions in even-numbered years. The bill mandates that the Legislature convenes at noon on the second Tuesday in January during these even-numbered years for budget considerations, ensuring structured reviews and analyses of the state's fiscal policies. This legislative shift aims to enhance fiscal discipline and align budget appropriations with the economic growth of Texas, helping ensure that state spending does not exceed the state's economic growth rate.

Contention

While proponents of SB309 argue that these measures will improve financial accountability and ensure that budgets reflect current economic realities, critics may contend that the changes could limit flexibility in addressing urgent financial needs that arise independent of economic growth. There may also be concerns regarding the restrictions on political contributions during legislative sessions, which is aimed at curbing undue influence on lawmakers. This aspect of the bill has sparked debates on how much control should be established over political finances and the potential impact these restrictions could have on the legislative process.