H.B. No. 3461
AN ACT
relating to the creation and re-creation of funds and accounts, the
dedication and rededication of revenue and allocation of accrued
interest on dedicated revenue, and the exemption of unappropriated
money from use for general governmental purposes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. DEFINITION. In any provision of this Act that
does not amend current law, "state agency" means an office,
institution, or other agency that is in the executive or judicial
branch of state government, has authority that is not limited to a
geographical portion of the state, and was created by the
constitution or a statute of this state. The term does not include
an institution of higher education as defined by Section 61.003,
Education Code.
SECTION 2. ABOLITION OF FUNDS, ACCOUNTS, AND DEDICATIONS.
Except as otherwise specifically provided by this Act, all funds
and accounts created or re-created by an Act of the 88th
Legislature, Regular Session, 2023, that becomes law and all
dedications or rededications of revenue collected by a state agency
for a particular purpose by an Act of the 88th Legislature, Regular
Session, 2023, that becomes law are abolished on the later of August
31, 2023, or the date the Act creating or re-creating the fund or
account or dedicating or rededicating revenue takes effect.
SECTION 3. PREVIOUSLY EXEMPT DEDICATIONS, FUNDS, AND
ACCOUNTS. Section 2 of this Act does not apply to:
(1) statutory dedications, funds, and accounts that
were enacted before the 88th Legislature convened to comply with
requirements of state constitutional or federal law;
(2) dedications, funds, or accounts that remained
exempt from former Section 403.094(h), Government Code, at the time
dedications, accounts, and funds were abolished under that
provision;
(3) increases in fees or other revenue dedicated as
described by this section; or
(4) increases in fees or other revenue required to be
deposited in a fund or account described by this section.
SECTION 4. FEDERAL FUNDS. Section 2 of this Act does not
apply to funds created under an Act of the 88th Legislature, Regular
Session, 2023, for which separate accounting is required by federal
law, except that the funds shall be deposited in accounts in the
general revenue fund unless otherwise required by federal law.
SECTION 5. TRUST FUNDS. Section 2 of this Act does not
apply to trust funds or dedicated revenue deposited to trust funds
created under an Act of the 88th Legislature, Regular Session,
2023, except that the trust funds shall be held in the state
treasury, with the comptroller in trust, or outside the state
treasury with the comptroller's approval.
SECTION 6. BOND FUNDS. Section 2 of this Act does not apply
to bond funds and pledged funds created or affected by an Act of the
88th Legislature, Regular Session, 2023, except that the funds
shall be held in the state treasury, with the comptroller in trust,
or outside the state treasury with the comptroller's approval.
SECTION 7. CONSTITUTIONAL DEDICATIONS, FUNDS, AND
ACCOUNTS. Section 2 of this Act does not apply to funds or accounts
that would be created or re-created by the Texas Constitution or
revenue that would be dedicated or rededicated by the Texas
Constitution under a constitutional amendment proposed by the 88th
Legislature, Regular Session, 2023, or to dedicated revenue
deposited to funds or accounts that would be so created or
re-created, if the constitutional amendment is approved by the
voters.
SECTION 8. ADDITIONAL USES FOR DEDICATED FUNDS OR ACCOUNTS.
Section 2 of this Act does not apply to a newly authorized use of
money in a dedicated fund or dedicated account as provided by an Act
of the 88th Legislature, Regular Session, 2023, to the extent:
(1) the fund or account was exempted from abolition by
an Act of the legislature that became law before January 1, 2023;
and
(2) the newly authorized use is within the scope of the
original dedication of the fund or account.
SECTION 9. SEPARATE FUNDS. Effective on the later of the
effective date of the Act creating or re-creating the specified
fund or August 31, 2023, the following funds, if created or
re-created by an Act of the 88th Legislature, Regular Session,
2023, the revenue deposited to the funds and the revenue dedicated
for deposit to the funds are exempt from Section 2 of this Act, and
the funds are created or re-created as separate funds inside or
outside the state treasury, as specified by the Act creating or
re-creating the fund:
(1) the open burn pit registry fund created as a fund
in the state treasury by House Bill No. 1315 or similar
legislation;
(2) the Texas Historical Commission retail operations
fund created as a fund outside the state treasury by House Bill
No. 2719 or similar legislation;
(3) the leaking water wells fund created as a fund in
the state treasury by House Bill No. 4256 or similar legislation;
(4) the new water supply for Texas fund created as a
fund in the state treasury by Senate Bill No. 28 or similar
legislation;
(5) the Texas state buildings preservation endowment
fund created as a fund outside the state treasury by Senate Bill
No. 1333 or similar legislation;
(6) the Iwo Jima monument and museum fund created as a
fund outside the state treasury by Senate Bill No. 2057 or similar
legislation; and
(7) the Texas energy fund created as a fund in the
state treasury by Senate Bill No. 2627 or similar legislation.
SECTION 10. REVENUE DEDICATIONS. Effective on the later of
the effective date of the Act dedicating or rededicating the
specified revenue or August 31, 2023, the following dedications or
rededications of revenue collected for a particular purpose are
exempt from Section 2 of this Act, if dedicated or rededicated by an
Act of the 88th Legislature, Regular Session, 2023:
(1) the dedication of penalty revenue to the
foundation school fund provided by House Bill No. 5 or similar
legislation;
(2) the dedication of driver's license fees to the
Texas mobility fund provided by House Bill No. 842 or similar
legislation;
(3) the dedication of revenue provided by House Bill
No. 1613 or similar legislation;
(4) the dedication of fee revenue to the public
assurance account provided by House Bill No. 1998 or similar
legislation;
(5) the dedication of boater education program and
exam fees to the game, fish, and water safety account provided by
House Bill No. 2755 or similar legislation;
(6) the dedication of revenue provided by House Bill
No. 3290 or similar legislation;
(7) the dedication of revenue provided by House Bill
No. 3297 or similar legislation;
(8) the dedication of revenue provided by House Bill
No. 3345 or similar legislation;
(9) the dedication of revenue to the law enforcement
officer standards and education fund account provided by House Bill
No. 3539 or similar legislation;
(10) the dedication of revenue provided by House Bill
No. 3582 or similar legislation;
(11) the dedication of revenue to the general revenue
fund and the hotel occupancy tax for economic development account
provided by House Bill No. 3727 or similar legislation;
(12) the dedication of rail safety fees to the state
highway fund provided by House Bill No. 4015 or similar
legislation;
(13) the dedication of revenue to the game, fish, and
water safety account and the state parks account provided by House
Bill No. 4018 or similar legislation;
(14) the dedication of revenue to the Texas Department
of Insurance operating account provided by House Bill No. 4498 or
similar legislation;
(15) the dedication of revenue provided by House Bill
No. 4635 or similar legislation;
(16) the dedication of revenue to the Texas Department
of Motor Vehicles fund and the general revenue fund provided by
House Bill No. 5225 or similar legislation;
(17) the dedication of revenue to the state highway
fund provided by House Bill No. 5342 or similar legislation;
(18) the dedication of revenue to the state highway
fund provided by Senate Bill No. 505 or similar legislation;
(19) the dedication of unclaimed property deposits to
the judicial fund provided by Senate Bill No. 658 or similar
legislation;
(20) the dedication of revenue to the game, fish, and
water safety account provided by Senate Bill No. 1032 or similar
legislation;
(21) the dedication of revenue to the Texas physician
health program account provided by Senate Bill No. 1086 or similar
legislation;
(22) the dedication of revenue to the general revenue
fund and the hotel occupancy tax for economic development account
provided by Senate Bill No. 1167 or similar legislation;
(23) the dedication of revenue to the general revenue
fund and the hotel occupancy tax for economic development account
provided by Senate Bill No. 1420 or similar legislation; and
(24) the dedication of revenue as provided by Senate
Bill No. 2102 or similar legislation.
SECTION 11. REALLOCATION OF INTEREST ACCRUED ON CERTAIN
DEDICATED REVENUE. (a) This section applies only to an account in
the general revenue fund:
(1) any part of which Section 403.095, Government
Code, makes available for certification under Section 403.121,
Government Code; and
(2) that is created or re-created by an Act of the 88th
Legislature, Regular Session, 2023.
(b) Except as provided by this Act, all interest and other
earnings that accrue on all revenue held in an account in the
general revenue fund are available for any general governmental
purpose.
(c) Except as provided by this Act, the comptroller shall
deposit all interest and other earnings that accrue on all revenue
held in an account in the general revenue fund to the credit of the
general revenue fund.
SECTION 12. AMENDMENT OF SECTION 403.095, GOVERNMENT CODE.
Effective September 1, 2023, Sections 403.095(b), (d), and (f),
Government Code, are amended to read as follows:
(b) Notwithstanding any law dedicating or setting aside
revenue for a particular purpose or entity, dedicated revenues that
on August 31, 2025 [2023], are estimated to exceed the amount
appropriated by the General Appropriations Act or other laws
enacted by the 88th [87th] Legislature are available for general
governmental purposes and are considered available for the purpose
of certification under Section 403.121.
(d) Following certification of the General Appropriations
Act and other appropriations measures enacted by the 88th [87th]
Legislature, the comptroller shall reduce each dedicated account as
directed by the legislature by an amount that may not exceed the
amount by which estimated revenues and unobligated balances exceed
appropriations. The reductions may be made in the amounts and at the
times necessary for cash flow considerations to allow all the
dedicated accounts to maintain adequate cash balances to transact
routine business. The legislature may authorize, in the General
Appropriations Act, the temporary delay of the excess balance
reduction required under this subsection. This subsection does not
apply to revenues or balances in:
(1) funds outside the treasury;
(2) trust funds, which for purposes of this section
include funds that may or are required to be used in whole or in part
for the acquisition, development, construction, or maintenance of
state and local government infrastructures, recreational
facilities, or natural resource conservation facilities;
(3) funds created by the constitution or a court; or
(4) funds for which separate accounting is required by
federal law.
(f) This section expires September 1, 2025 [2023].
SECTION 13. AMENDMENT OF SECTION 403.0956, GOVERNMENT CODE.
Effective September 1, 2023, Section 403.0956, Government Code, is
amended to read as follows:
Sec. 403.0956. REALLOCATION OF INTEREST ACCRUED ON CERTAIN
DEDICATED REVENUE. Notwithstanding any other law, all interest or
other earnings that accrue on all revenue held in an account in the
general revenue fund any part of which Section 403.095 makes
available for certification under Section 403.121 are available for
any general governmental purpose, and the comptroller shall deposit
the interest and earnings to the credit of the general revenue fund.
This section does not apply to:
(1) interest or earnings on revenue deposited in
accordance with Section 51.008, Education Code;
(2) an account that accrues interest or other earnings
on deposits of state or federal money the diversion of which is
specifically excluded by federal law;
(3) the lifetime license endowment account;
(4) the game, fish, and water safety account;
(5) the coastal protection account;
(6) the Alamo complex account; [or]
(7) the artificial reef account;
(8) the sexual assault program fund; or
(9) the deferred maintenance fund account.
SECTION 14. AMENDMENT OF SECTION 420.008, GOVERNMENT CODE.
Effective September 1, 2023, Section 420.008(b), Government Code,
is amended to read as follows:
(b) The fund consists of:
(1) fees and fines collected under:
(A) Article 42A.653(a), Code of Criminal
Procedure;
(B) Section 508.189, Government Code; and
(C) Subchapter B, Chapter 102, Business &
Commerce Code, and deposited under Section 102.054 of that code;
[and]
(2) administrative penalties collected under Section
51.258, Education Code; and
(3) interest and other earnings on money in the fund.
SECTION 15. AMENDMENT OF SECTION 2165.403, GOVERNMENT CODE.
Effective September 1, 2023, Section 2165.403(b), Government Code,
is amended to read as follows:
(b) The fund consists of money appropriated, credited, or
transferred to the fund by or at the direction of the legislature,
including interest and other earnings on money in the fund.
SECTION 16. AMENDMENT OF SECTION 361.014, HEALTH AND SAFETY
CODE. Effective September 1, 2023, Section 361.014(d), Health and
Safety Code, is amended to read as follows:
(d) Revenues allocated to the commission for the purposes
authorized by Subsection (a) or (b) shall be deposited to the credit
of the waste management account. [Revenues allocated to local and
regional solid waste projects shall be deposited to the credit of an
account in the general revenue fund known as the municipal solid
waste disposal account.]
SECTION 17. AMENDMENT OF SECTION 504.6012, TRANSPORTATION
CODE. Effective September 1, 2023, Section 504.6012,
Transportation Code, is amended to read as follows:
Sec. 504.6012. ELIMINATION OF DEDICATED REVENUE ACCOUNTS;
REVENUES IN TRUST. (a) Notwithstanding any other law, not later
than September 30, 2023 [2021], the comptroller shall eliminate all
dedicated accounts established for specialty license plates and
shall set aside the balances of those dedicated accounts so that the
balances may be appropriated only for the purposes intended as
provided by the dedications.
(b) On and after September 1, 2023 [2021], the portion of a
fee payable that is designated for deposit to a dedicated account
shall be paid instead to the credit of an account in a trust fund
created by the comptroller outside the general revenue fund. The
comptroller shall administer the trust fund and accounts and may
allocate the corpus and earnings on each account only in accordance
with the dedications of the revenue deposited to the trust fund
accounts.
SECTION 18. ABOLISHMENT OF SOLID WASTE DISPOSAL FEES
ACCOUNT. Effective September 1, 2023, the solid waste disposal
fees account no. 5000 is abolished and the obligations of and
unobligated account balances in the account are transferred to the
waste management account no. 0549.
SECTION 19. ACCOUNTS IN GENERAL REVENUE FUND. Effective on
the later of the effective date of the Act creating or re-creating
the specified account or August 31, 2023, the following accounts,
the revenue deposited to the credit of those accounts, and the
revenue dedicated for deposit to the credit of those accounts are
exempt from Section 2 of this Act and the accounts are created or
re-created in the general revenue fund, if created or re-created by
an Act of the 88th Legislature, Regular Session, 2023, that becomes
law:
(1) the Lone Star Workforce of the Future Fund created
as an account in the general revenue fund by House Bill No. 1755 or
similar legislation;
(2) the gulf coast protection account created as an
account in the general revenue fund by House Bill No. 2416 or
similar legislation;
(3) the accounts created as accounts in the general
revenue fund by House Bill No. 3323 or similar legislation;
(4) the program fund created as an account in the
general revenue fund by House Bill No. 3771 or similar legislation;
(5) the accounts created in the general revenue fund
by House Bill No. 4772 or similar legislation;
(6) the Texas Semiconductor Innovation Fund created as
an account in the general revenue fund by House Bill No. 5174 or
similar legislation;
(7) the program fund created as an account in the
general revenue fund by Senate Bill No. 8 or similar legislation;
(8) the statewide water public awareness account
created as an account in the general revenue fund by Senate Bill
No. 28 or similar legislation;
(9) the renewable energy generation facility cleanup
fund created as an account in the general revenue fund by Senate
Bill No. 624 or similar legislation; and
(10) the port access account fund created as an
account in the general revenue fund by Senate Bill No. 1499 or
similar legislation.
SECTION 20. EFFECT OF ACT. (a) This Act prevails over any
other Act of the 88th Legislature, Regular Session, 2023,
regardless of the relative dates of enactment, that purports to
create or re-create a special fund or account or to dedicate or
rededicate revenue to a particular purpose, including any fund,
account, or revenue dedication abolished under former Section
403.094, Government Code.
(b) An exemption from the application of Section 403.095,
Government Code, contained in another Act of the 88th Legislature,
Regular Session, 2023, that is exempted from the application of
Section 2 of this Act has no effect.
(c) Revenue that, under the terms of another Act of the 88th
Legislature, Regular Session, 2023, would be deposited to the
credit of a special account or fund shall be deposited to the credit
of the undedicated portion of the general revenue fund unless the
fund, account, or dedication is exempted under this Act.
(d) This Act prevails over any other Act of the 88th
Legislature, Regular Session, 2023, regardless of the relative
dates of enactment, that purports to allocate interest or other
earnings that accrue on revenue held in an account in the general
revenue fund any part of which Section 403.095, Government Code,
makes available for certification under Section 403.121,
Government Code.
SECTION 21. EFFECTIVE DATE. Except as otherwise provided
by this Act:
(1) this Act takes effect immediately if this Act
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution;
and
(2) if this Act does not receive the vote necessary for
immediate effect, this Act takes effect on the 91st day after the
last day of the legislative session.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 3461 was passed by the House on April
28, 2023, by the following vote: Yeas 146, Nays 0, 1 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 3461 on May 26, 2023, by the following vote: Yeas 141, Nays 0,
1 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 3461 was passed by the Senate, with
amendments, on May 24, 2023, by the following vote: Yeas 31, Nays
0.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor