Texas 2023 - 88th Regular

Texas House Bill HB561 Compare Versions

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1	1	88R2725 KJE-D
2	2	By: Raymond H.B. No. 561
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to an annual state budget and legislative budget sessions
8	8	in even-numbered years and to political contributions made during a
9	9	legislative session.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 301.001, Government Code, is amended to
12	12	read as follows:
13	13	Sec. 301.001. TIME AND PLACE OF MEETING. (a) In each
14	14	odd-numbered year, the [The] legislature shall convene at the seat
15	15	of government in regular session at 12 noon on the second Tuesday in
16	16	January [of each odd-numbered year].
17	17	(b) In each even-numbered year, the legislature shall
18	18	convene at the seat of government in budget session at 12 noon on
19	19	the third Tuesday in April.
20	20	SECTION 2. Sections 316.001(a), (b), and (c), Government
21	21	Code, are amended to read as follows:
22	22	(a) For purposes of this subchapter, "consolidated general
23	23	revenue appropriations" means appropriations from:
24	24	(1) the general revenue fund in the state treasury;
25	25	(2) a dedicated account in the general revenue fund in
26	26	the state treasury; or
27	27	(3) a general revenue-related fund in the state
28	28	treasury as identified in the annual [biennial] statement required
29	29	of the comptroller under Section 49a, Article III, Texas
30	30	Constitution.
31	31	(b) The rate of growth of appropriations in a state fiscal
32	32	year [biennium] from state tax revenues not dedicated by the
33	33	constitution may not exceed the estimated rate of growth of the
34	34	state's economy.
35	35	(c) The rate of growth of consolidated general revenue
36	36	appropriations in a state fiscal year [biennium] may not exceed the
37	37	estimated average annual [biennial] rate of growth of this state's
38	38	population during the state fiscal year [biennium] preceding the
39	39	year [biennium] for which appropriations are made and during the
40	40	state fiscal year [biennium] for which appropriations are made,
41	41	adjusted by the estimated average annual [biennial] rate of
42	42	monetary inflation in this state during the same period, as
43	43	determined under Section 316.002.
44	44	SECTION 3. Sections 316.002(a), (b), (d), (e), and (g),
45	45	Government Code, are amended to read as follows:
46	46	(a) Before the Legislative Budget Board transmits the
47	47	budget for the next state fiscal year [biennium] as prescribed by
48	48	Section 322.008(c), the board shall establish:
49	49	(1) the limit on the rate of growth of appropriations
50	50	from state tax revenues not dedicated by the constitution for that
51	51	state fiscal year [biennium], as compared to the previous state
52	52	fiscal year [biennium], based on the estimated rate of growth of the
53	53	state's economy from the current state fiscal year [biennium] to
54	54	the next state fiscal year [biennium]; and
55	55	(2) the limit on the rate of growth of consolidated
56	56	general revenue appropriations for that state fiscal year
57	57	[biennium], as compared to the previous state fiscal year
58	58	[biennium], by subtracting one from the product of:
59	59	(A) the sum of one and the estimated average
60	60	annual [biennial] rate of growth of this state's population during
61	61	the state fiscal year [biennium] preceding the year [biennium] for
62	62	which appropriations are made and during the state fiscal year
63	63	[biennium] for which appropriations are made; and
64	64	(B) the sum of one and the estimated average
65	65	annual [biennial] rate of monetary inflation during the state
66	66	fiscal year [biennium] preceding the year [biennium] for which
67	67	appropriations are made and during the state fiscal year [biennium]
68	68	for which appropriations are made.
69	69	(b) Except as provided by Subsection (c), the board shall
70	70	determine the estimated rate of growth of the state's economy for
71	71	purposes of Subsection (a)(1) by dividing the estimated Texas total
72	72	personal income for the next state fiscal year [biennium] by the
73	73	estimated Texas total personal income for the current state fiscal
74	74	year [biennium]. Using standard statistical methods, the board
75	75	shall make the estimate by projecting through the year [biennium]
76	76	the estimated Texas total personal income reported by the United
77	77	States Department of Commerce or its successor in function.
78	78	(d) Except as provided by Subsection (e), the board shall
79	79	determine for the next state fiscal year [biennium] a limit on the
80	80	amount of:
81	81	(1) appropriations from state tax revenues not
82	82	dedicated by the constitution by multiplying the amount of
83	83	appropriations from state tax revenues not dedicated by the
84	84	constitution for the current state fiscal year [biennium] by the
85	85	sum of one and the limit on the rate of growth of appropriations
86	86	from state tax revenues not dedicated by the constitution
87	87	established by the board under Subsection (a)(1); and
88	88	(2) consolidated general revenue appropriations by
89	89	multiplying the amount of consolidated general revenue
90	90	appropriations for the current state fiscal year [biennium] by the
91	91	sum of one and the limit on the rate of growth of consolidated
92	92	general revenue appropriations established by the board under
93	93	Subsection (a)(2).
94	94	(e) If the rate determined under Subsection (a)(2) is a
95	95	negative number, the amount of consolidated general revenue
96	96	appropriations for the next state fiscal year [biennium] may not
97	97	exceed the amount of consolidated general revenue appropriations in
98	98	the current state fiscal year [biennium].
99	99	(g) In the absence of an action by the Legislative Budget
100	100	Board to adopt the limits as provided by this section:
101	101	(1) for purposes of Section 316.001(b):
102	102	(A) the estimated rate of growth of the state's
103	103	economy from the current state fiscal year [biennium] to the next
104	104	state fiscal year [biennium] shall be treated as if it were zero;
105	105	and
106	106	(B) the amount of state tax revenues not
107	107	dedicated by the constitution that could be appropriated within the
108	108	limit established by the estimated rate of growth of the state's
109	109	economy shall be the same as the amount of those appropriations for
110	110	the current state fiscal year [biennium]; and
111	111	(2) for purposes of Section 316.001(c):
112	112	(A) the estimated average annual [biennial]
113	113	rates of growth of this state's population and of monetary
114	114	inflation shall be treated as if they were zero; and
115	115	(B) the amount of consolidated general revenue
116	116	appropriations that could be appropriated within the limit
117	117	established by that subsection shall be the same as the amount of
118	118	those appropriations for the current state fiscal year [biennium].
119	119	SECTION 4. Section 316.008(a), Government Code, is amended
120	120	to read as follows:
121	121	(a) Unless the legislature adopts a resolution under
122	122	Section 22, Article VIII, Texas Constitution, raising the proposed
123	123	limit on appropriations from state tax revenues not dedicated by
124	124	the constitution, the proposed limit is binding on the legislature
125	125	with respect to all appropriations for the next state fiscal year
126	126	[biennium] made from those revenues. The proposed limit on
127	127	consolidated general revenue appropriations is binding on the
128	128	legislature with respect to all appropriations for the next state
129	129	fiscal year [biennium] made from those sources unless the
130	130	legislature adopts a resolution raising the proposed limit that is
131	131	approved by a record vote of three-fifths of the members of each
132	132	house of the legislature. The resolution must find that an
133	133	emergency exists, identify the nature of the emergency, and specify
134	134	the amount authorized. The excess amount authorized under this
135	135	subsection may not exceed the amount specified in the resolution.
136	136	SECTION 5. Section 316.045, Government Code, is amended to
137	137	read as follows:
138	138	Sec. 316.045. REDUCTION IN CERTAIN AGENCY FEES. (a) Each
139	139	state agency that sets the fees charged by that agency in amounts
140	140	that are reasonable and necessary to cover the administrative costs
141	141	of the agency shall review the amounts charged as fees on an annual
142	142	[a biennial] basis. The agency shall review the fees before the
143	143	beginning of each state fiscal year [biennium] and incorporate its
144	144	recommendations based on that review in its budget request
145	145	submitted to the Legislative Budget Board and the budget division
146	146	of the governor's office.
147	147	(b) If the agency determines that the fees are set at a level
148	148	that exceeds the administrative costs of the agency as of the date
149	149	of the review, the agency shall reduce the amount of the affected
150	150	fees to the appropriate level and shall charge the reduced fees
151	151	during the subsequent fiscal year [biennium]. Each agency shall
152	152	give specific recognition to reductions in salary expenses
153	153	resulting from statutorily directed employee attrition.
154	154	SECTION 6. Section 316.092(a), Government Code, is amended
155	155	to read as follows:
156	156	(a) For the purposes of adjusting the allocations of
157	157	transfers in accordance with Section 49-g(c-2), Article III, Texas
158	158	Constitution, and Section 316.093 for a state fiscal year
159	159	[biennium], the comptroller shall determine and adopt for the state
160	160	fiscal year [biennium] an amount equal to seven percent of the
161	161	certified general revenue-related appropriations made for that
162	162	state fiscal year [biennium].
163	163	SECTION 7. Sections 316.093(a), (b), and (c), Government
164	164	Code, are amended to read as follows:
165	165	(a) Before the comptroller makes transfers for a state
166	166	fiscal year in accordance with Section 49-g(c), Article III, Texas
167	167	Constitution, the comptroller shall determine whether the sum of
168	168	the balance of the fund on the preceding August 31, any projected
169	169	transfer to the fund under Section 49-g(b) of that article, and any
170	170	projected transfer to the fund under Section 49-g(c) of that
171	171	article in accordance with the allocations for the transfer as
172	172	provided by Section 49-g(c-1) of that article is less than the
173	173	amount determined under Section 316.092 for that state fiscal year
174	174	[biennium].
175	175	(b) If the sum described by Subsection (a) is less than the
176	176	amount determined under Section 316.092 for that state fiscal year
177	177	[biennium], the comptroller shall reduce the allocation to the
178	178	state highway fund provided by Section 49-g(c), Article III, Texas
179	179	Constitution, and increase the allocation to the economic
180	180	stabilization fund, in an equal amount, until the amount determined
181	181	under Section 316.092 for that state fiscal year [biennium] would
182	182	be achieved by the transfer to the fund or the total amount of the
183	183	sum described by Section 49-g(c), Article III, Texas Constitution,
184	184	is allocated to the fund, whichever occurs first.
185	185	(c) For the purposes of Section 49-g(c-2), Article III,
186	186	Texas Constitution, the comptroller shall adjust the allocation
187	187	provided by Section 49-g(c-1) of that article of amounts to be
188	188	transferred to the fund and to the state highway fund under Section
189	189	49-g(c) of that article in a state fiscal year beginning on or after
190	190	September 1, 2035, so that the total of those amounts is transferred
191	191	to the economic stabilization fund, except that the comptroller
192	192	shall reduce a transfer made under this subsection as necessary to
193	193	prevent the amount in the fund from exceeding the limit in effect
194	194	for that fiscal year [biennium] under Section 49-g(g) of that
195	195	article.
196	196	SECTION 8. Section 317.003(a), Government Code, is amended
197	197	to read as follows:
198	198	(a) The governor or Legislative Budget Board may make a
199	199	proposal at any time except during a [regular or special] session of
200	200	the legislature. A proposal may apply to an appropriation that has
201	201	been made for any specified fiscal year that has not ended at the
202	202	time the proposal is made.
203	203	SECTION 9. Sections 322.008(a), (c), and (d), Government
204	204	Code, are amended to read as follows:
205	205	(a) The director, under the direction of the board, shall
206	206	prepare the general appropriations bill for introduction at each
207	207	regular and budget [legislative] session of the legislature.
208	208	(c) Not later than the fifth day after a regular or budget
209	209	[legislative] session convenes, the director shall transmit a copy
210	210	of the budget of estimated appropriations prepared by the director
211	211	to the governor and each member of the legislature.
212	212	(d) Not later than the seventh day after a regular or budget
213	213	[legislative] session convenes, the director shall transmit a copy
214	214	of the general appropriations bill to the governor and each member
215	215	of the legislature.
216	216	SECTION 10. Chapter 322, Government Code, is amended by
217	217	adding Section 322.021 to read as follows:
218	218	Sec. 322.021. STUDY TO IMPLEMENT ANNUAL BUDGET. (a) The
219	219	board, with the assistance of the Texas Legislative Council, shall:
220	220	(1) examine the laws and operations of state
221	221	government to determine how the implementation of an annual state
222	222	budget may affect those laws and operations; and
223	223	(2) adopt recommendations for legislative and
224	224	administrative action necessary to implement an annual state budget
225	225	as effectively as practicable.
226	226	(b) The board shall make its initial recommendations under
227	227	this section not later than November 1, 2024.
228	228	SECTION 11. Section 403.121(a), Government Code, is amended
229	229	to read as follows:
230	230	(a) In the statement required by Section 49a, Article III,
231	231	[Section 49a, of the] Texas Constitution, the comptroller shall
232	232	list outstanding appropriations that may exist after the end of the
233	233	current fiscal year but may not deduct them from the cash condition
234	234	of the treasury or the anticipated revenues of the next fiscal year
235	235	[biennium] for the purpose of certification. The comptroller shall
236	236	base the reports, estimates, and certifications of available funds
237	237	on the actual or estimated cash condition of the treasury and shall
238	238	consider outstanding and undisbursed appropriations at the end of
239	239	each fiscal year [biennium] as probable disbursements of the
240	240	succeeding fiscal year [biennium] in the same manner that earned
241	241	but uncollected income of a current fiscal year [biennium] is
242	242	considered in probable receipts of the succeeding fiscal year
243	243	[biennium]. The comptroller shall consider as probable
244	244	disbursements warrants that will be issued by the state before the
245	245	end of the fiscal year.
246	246	SECTION 12. The heading to Section 253.034, Election Code,
247	247	is amended to read as follows:
248	248	Sec. 253.034. RESTRICTIONS ON CONTRIBUTIONS DURING AND
249	249	FOLLOWING REGULAR OR BUDGET [LEGISLATIVE] SESSION OF LEGISLATURE.
250	250	SECTION 13. Section 253.034, Election Code, is amended by
251	251	amending Subsections (a), (b), and (c) and adding Subsection (a-1)
252	252	to read as follows:
253	253	(a) During the period beginning on the 30th day before the
254	254	date a regular [legislative] session of the legislature convenes
255	255	and continuing through the 20th day after the date of final
256	256	adjournment of that regular session, a person may not knowingly
257	257	make a political contribution to:
258	258	(1) a statewide officeholder;
259	259	(2) a member of the legislature; or
260	260	(3) a specific-purpose committee for supporting,
261	261	opposing, or assisting a statewide officeholder or member of the
262	262	legislature.
263	263	(a-1) During a budget session of the legislature, a person
264	264	may not knowingly make a political contribution to:
265	265	(1) the governor or lieutenant governor;
266	266	(2) a member of or a candidate for election to the
267	267	legislature; or
268	268	(3) a specific-purpose committee for supporting,
269	269	opposing, or assisting the governor, the lieutenant governor, or a
270	270	member of or a candidate for election to the legislature.
271	271	(b) A statewide officeholder, a member of or a candidate for
272	272	election to the legislature, or a specific-purpose committee for
273	273	supporting, opposing, or assisting a statewide officeholder or a
274	274	member of or a candidate for election to the legislature may not
275	275	knowingly accept a political contribution, and shall refuse a
276	276	political contribution that is received, during a [the] period
277	277	prescribed by Subsection (a) or (a-1), as applicable. A political
278	278	contribution that is received and refused during that period shall
279	279	be returned to the contributor not later than the 30th day after the
280	280	date of receipt. A contribution made by United States mail or by
281	281	common or contract carrier is not considered received during a
282	282	[that] period if it was properly addressed and placed with postage
283	283	or carrier charges prepaid or prearranged in the mail or delivered
284	284	to the contract carrier before the beginning of the period. The
285	285	date indicated by the post office cancellation mark or the common or
286	286	contract carrier documents is considered to be the date the
287	287	contribution was placed in the mail or delivered to the common or
288	288	contract carrier unless proven otherwise.
289	289	(c) This section does not apply to a political contribution
290	290	that was made and accepted with the intent that it be used:
291	291	(1) in an election held or ordered during a [the]
292	292	period prescribed by Subsection (a) or (a-1) in which the person
293	293	accepting the contribution is a candidate if the contribution was
294	294	made after the person appointed a campaign treasurer with the
295	295	appropriate authority and before the person was sworn in for that
296	296	office;
297	297	(2) to defray expenses incurred in connection with an
298	298	election contest; or
299	299	(3) by a person who holds a state office or a member of
300	300	the legislature or by a specific-purpose political committee that
301	301	supports or assists only that person or member if the contribution
302	302	was made during the period prescribed by Subsection (a) and the
303	303	person or member was defeated at the general election held
304	304	immediately before the regular session is convened [or by a
305	305	specific-purpose political committee that supports or assists only
306	306	that person or member].
307	307	SECTION 14. The heading to Section 253.0341, Election Code,
308	308	is amended to read as follows:
309	309	Sec. 253.0341. RESTRICTIONS ON CONTRIBUTIONS TO
310	310	LEGISLATIVE CAUCUSES DURING AND FOLLOWING REGULAR OR BUDGET
311	311	[LEGISLATIVE] SESSION OF LEGISLATURE.
312	312	SECTION 15. Sections 253.0341(a) and (b), Election Code,
313	313	are amended to read as follows:
314	314	(a) During the period beginning on the 30th day before the
315	315	date a regular [legislative] session of the legislature convenes
316	316	and continuing through the 20th day after the date of final
317	317	adjournment, or at any time during a budget session of the
318	318	legislature, a person not a member of the caucus may not knowingly
319	319	make a contribution to a legislative caucus.
320	320	(b) A legislative caucus may not knowingly accept from a
321	321	nonmember a contribution, and shall refuse a contribution from a
322	322	nonmember that is received, during a [the] period prescribed by
323	323	Subsection (a). A contribution that is received and refused during
324	324	a [that] period prescribed by Subsection (a) shall be returned to
325	325	the contributor not later than the 30th day after the date of
326	326	receipt. A contribution made by United States mail or by common or
327	327	contract carrier is not considered received during a [that] period
328	328	if it was properly addressed and placed with postage or carrier
329	329	charges prepaid or prearranged in the mail or delivered to the
330	330	contract carrier before the beginning of the period. The date
331	331	indicated by the post office cancellation mark or the common or
332	332	contract carrier documents is considered to be the date the
333	333	contribution was placed in the mail or delivered to the common or
334	334	contract carrier unless proven otherwise.
335	335	SECTION 16. The changes in law made by this Act do not
336	336	affect the validity of an appropriation made before September 1,
337	337	2025, for a period that ends on or before August 31, 2027.
338	338	SECTION 17. (a) This Act takes effect as provided by
339	339	Subsection (b) of this section, but only if the constitutional
340	340	amendment proposed by the 88th Legislature, Regular Session, 2023,
341	341	providing for an annual state budget and annual legislative
342	342	sessions for budget purposes is approved by the voters. If that
343	343	proposed constitutional amendment is not approved by the voters,
344	344	this Act has no effect.
345	345	(b) Subject to Subsection (a) of this section:
346	346	(1) except as provided by Subdivision (2) of this
347	347	subsection, this Act takes effect September 1, 2025; and
348	348	(2) this section and Section 10 of this Act take effect
349	349	January 1, 2024.