Texas 2025 - 89th Regular

Texas House Bill HB3770 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		89R23179 CS-F
2		-	By: Capriglione, Curry, et al. H.B. No. 3770
	2	+	By: Capriglione, et al. H.B. No. 3770
	3	+	Substitute the following for H.B. No. 3770:
	4	+	By: Capriglione C.S.H.B. No. 3770
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7	9		A BILL TO BE ENTITLED
8	10		AN ACT
9	11		relating to efficiency and strategic fiscal reviews of state
10	12		agencies conducted by the Legislative Budget Board.
11	13		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	14		SECTION 1. Section 322.017, Government Code, is amended by
13	15		amending Subsections (a), (b), and (c) and adding Subsections
14	16		(b-1), (b-2), and (f) to read as follows:
15	17		(a) In this section, "state agency" has the meaning assigned
16	18		by Section 2056.001, except that the term includes an institution
17	19		of higher education, as defined by Section 61.003, Education Code.
18	20		(b) The board shall [periodically may] review and analyze
19	21		the effectiveness and efficiency of the policies, programs,
20	22		management, fiscal affairs, and operations of state agencies.
21	23		(b-1) The board shall establish a schedule for the review
22	24		and analysis conducted under Subsection (b). Each state fiscal
23	25		biennium, the board shall review and analyze at least:
24	26		(1) 25 state agencies, which must include at least one
25	27		state agency from each article of the General Appropriations Act;
26	28		and
27	29		(2) 40 programs operated by the state agencies under
28	30		review during that biennium, which must include at least one
29	31		program operated by each state agency under review.
30	32		(b-2) Not later than June 30 of each odd-numbered year, the
31	33		members of the board shall provide to the director a list of
32	34		programs to be reviewed under Subsection (b) for that state fiscal
33	35		biennium.
34	36		(c) Not later than September 1 of each even-numbered year,
35	37		the [The] board shall report the findings of each [the] review and
36	38		analysis to the governor and the legislature. A report on a
37	39		reviewed program must:
38	40		(1) be published in a format prescribed by the board;
39	41		and
40	42		(2) include:
41	43		(A) recommendations for strategies to improve
42	44		effectiveness, efficiency, and service to taxpayers; and
43	45		(B) a table that:
44	46		(i) analyzes all costs, savings, cost
45	47		avoidance, expected change to state revenue, and any non-fiscal
46	48		taxpayer benefit predicted to result from increased program
47	49		effectiveness and efficiency if the strategies recommended under
48	50		Paragraph (A) were implemented; and
49	51		(ii) presents the information described by
50	52		Subparagraph (i) for a five-year period beginning with the
51	53		suggested implementation date for the strategies recommended under
52	54		Paragraph (A).
53	55		(f) The director shall employ sufficient personnel to carry
54	56		out the provisions of this section.
55	57		SECTION 2. Section 322.0175, Government Code, is amended to
56	58		read as follows:
57	59		Sec. 322.0175. STRATEGIC FISCAL REVIEW OF STATE AGENCIES
58	60		AND PROGRAMS. (a) The board may [shall] perform a strategic fiscal
59	61		review for a [each] state agency if the board determines a review is
60	62		appropriate [currently the subject of Sunset Advisory Commission
61	63		review under Chapter 325 (Texas Sunset Act)]. The board may [shall]
62	64		not perform a review under this section of state agencies listed in
63	65		Section 325.025(b)[, Government Code,] because those [these]
64	66		agencies are not subject to the legislative appropriations process.
65	67		(b) If a strategic fiscal review is performed for a state
66	68		agency under Subsection (a), the [The] board shall prepare and
67	69		submit a report of the findings of the [strategic fiscal] review by
68	70		September 1 of the even-numbered year of the biennium during which
69	71		the review is conducted to the governor, lieutenant governor, and
70	72		speaker of the house of representatives and to the members of the
71	73		senate finance and house appropriations committees.
72	74		(c) A [The] strategic fiscal review report must contain:
73	75		(1) a description of the discrete activities the state
74	76		agency is charged with conducting or performing together with:
75	77		(A) a justification for each activity by
76	78		reference to a statute or other legal authority; and
77	79		(B) an evaluation of the effectiveness and
78	80		efficiency of the state agency's policies, management, fiscal
79	81		affairs, and operations in relation to each activity;
80	82		(2) for each activity identified under Subdivision
81	83		(1):
82	84		(A) a quantitative estimate of any adverse
83	85		effects that reasonably may be expected to result if the activity
84	86		were discontinued, together with a description of the methods by
85	87		which the adverse effects were estimated;
86	88		(B) an itemized account of expenditures required
87	89		to maintain the activity at the minimum level of service or
88	90		performance required by the statute or other legal authority,
89	91		together with a concise statement of the quantity and quality of
90	92		service or performance required at that minimum level; and
91	93		(C) an itemized account of expenditures required
92	94		to maintain the activity at the current level of service or
93	95		performance, together with a concise statement of the quantity and
94	96		quality of service or performance provided at that current level;
95	97		(3) a ranking of activities identified under
96	98		Subdivision (1) that illustrates the relative importance of each
97	99		activity to the overall goals and purposes of the state agency at
98	100		current service or performance levels; and
99	101		(4) recommendations to the legislature regarding
100	102		whether the legislature should continue funding each activity
101	103		identified under Subdivision (1) and, if so, at what level.
102	104		(d) The legislature may consider [the] strategic fiscal
103	105		review reports in connection with the legislative appropriations
104	106		process.
105	107		(e) If the board performs a strategic fiscal review under
106	108		Subsection (a) [Until the board has completed a strategic fiscal
107	109		review under this section], all information, documentary or
108	110		otherwise, prepared or maintained in conducting the strategic
109	111		fiscal review or preparing the strategic fiscal review report,
110	112		including intra-agency and interagency communications and drafts
111	113		of the strategic fiscal review report, or portions of those drafts,
112	114		is excepted from required public disclosure as audit working papers
113	115		under Section 552.116 until the review is completed. This
114	116		subsection does not affect whether information described by this
115	117		subsection is confidential or excepted from required public
116	118		disclosure under a law other than Section 552.116.
117	119		SECTION 3. Sections 322.011, 322.0165, and 322.0171,
118	120		Government Code, are repealed.
119	121		SECTION 4. Notwithstanding Section 322.017(b-1),
120	122		Government Code, as added by this Act, for the state fiscal biennium
121	123		ending August 31, 2027, the Legislative Budget Board is required to
122	124		review and analyze:
123	125		(1) 12 state agencies; and
124	126		(2) 20 programs operated by the 12 state agencies
125	127		reviewed during that state fiscal biennium.
126	128		SECTION 5. This Act takes effect September 1, 2025.