LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION March 6, 2025 TO: Honorable Gary VanDeaver, Chair, House Committee on Public Health FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HJR3 by Craddick (Proposing a constitutional amendment providing for the establishment of the Dementia Prevention and Research Institute of Texas, establishing the Dementia Prevention and Research Fund to provide money for research on and prevention and treatment of dementia and related disorders in this state, and transferring to that fund $3 billion from state general revenue.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HJR3, As Introduced: a negative impact of ($3,000,191,689) through the biennium ending August 31, 2027. The cost to the state for publication of the resolution is $191,689, which is included in the table below. General Revenue-Related Funds, Five- Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact toGeneral Revenue Related Funds2026($3,000,191,689)2027$02028$02029$02030$0All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Probable Revenue Gain/(Loss) fromNew Other Fund - Dementia Prevention and Research Fund2026($3,000,191,689)$3,000,000,0002027$0$02028$0$02029$0$02030$0$0 Fiscal AnalysisThe resolution would propose an amendment to Article III of the Texas Constitution to add new Section 68.The proposed amendment would establish the Dementia Prevention and Research Fund as a fund in the state treasury administered by the Dementia Prevention and Research Institute of Texas. The fund would consist of money constitutionally transferred according to this amendment; money Legislatively appropriated; gifts, grants, and donations; patent, royalty, and license fees; and investment earnings. Money in the fund could only be used for certain purposes related to dementia prevention and research.The proposed amendment would direct the Comptroller, on January 1, 2026, to transfer $3.0 billion from the General Revenue Fund to the Dementia Prevention and Research Fund. The amendment stipulates that this transfer would not be an appropriation of state tax revenues for the purposes of the calculation of the constitutional tax spending limit in Article VIII.Note: This joint resolution would create a fund or account in the Treasury. The enabling legislation (HB 5), as introduced, would provide that money in the fund or account may be spent without further legislative appropriation. Article VIII, Section VI of the Texas Constitution provides that money drawn from the state treasury requires an appropriation. A constitutional amendment providing authority to spend without further appropriation would be required absent that appropriation.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION
March 6, 2025
TO: Honorable Gary VanDeaver, Chair, House Committee on Public Health FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HJR3 by Craddick (Proposing a constitutional amendment providing for the establishment of the Dementia Prevention and Research Institute of Texas, establishing the Dementia Prevention and Research Fund to provide money for research on and prevention and treatment of dementia and related disorders in this state, and transferring to that fund $3 billion from state general revenue.), As Introduced
TO: Honorable Gary VanDeaver, Chair, House Committee on Public Health
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HJR3 by Craddick (Proposing a constitutional amendment providing for the establishment of the Dementia Prevention and Research Institute of Texas, establishing the Dementia Prevention and Research Fund to provide money for research on and prevention and treatment of dementia and related disorders in this state, and transferring to that fund $3 billion from state general revenue.), As Introduced
Honorable Gary VanDeaver, Chair, House Committee on Public Health
Honorable Gary VanDeaver, Chair, House Committee on Public Health
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HJR3 by Craddick (Proposing a constitutional amendment providing for the establishment of the Dementia Prevention and Research Institute of Texas, establishing the Dementia Prevention and Research Fund to provide money for research on and prevention and treatment of dementia and related disorders in this state, and transferring to that fund $3 billion from state general revenue.), As Introduced
HJR3 by Craddick (Proposing a constitutional amendment providing for the establishment of the Dementia Prevention and Research Institute of Texas, establishing the Dementia Prevention and Research Fund to provide money for research on and prevention and treatment of dementia and related disorders in this state, and transferring to that fund $3 billion from state general revenue.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HJR3, As Introduced: a negative impact of ($3,000,191,689) through the biennium ending August 31, 2027. The cost to the state for publication of the resolution is $191,689, which is included in the table below.
Estimated Two-year Net Impact to General Revenue Related Funds for HJR3, As Introduced: a negative impact of ($3,000,191,689) through the biennium ending August 31, 2027. The cost to the state for publication of the resolution is $191,689, which is included in the table below.
The cost to the state for publication of the resolution is $191,689, which is included in the table below.
General Revenue-Related Funds, Five- Year Impact:
2026 ($3,000,191,689)
2027 $0
2028 $0
2029 $0
2030 $0
All Funds, Five-Year Impact:
2026 ($3,000,191,689) $3,000,000,000
2027 $0 $0
2028 $0 $0
2029 $0 $0
2030 $0 $0
Fiscal Analysis
The resolution would propose an amendment to Article III of the Texas Constitution to add new Section 68.The proposed amendment would establish the Dementia Prevention and Research Fund as a fund in the state treasury administered by the Dementia Prevention and Research Institute of Texas. The fund would consist of money constitutionally transferred according to this amendment; money Legislatively appropriated; gifts, grants, and donations; patent, royalty, and license fees; and investment earnings. Money in the fund could only be used for certain purposes related to dementia prevention and research.The proposed amendment would direct the Comptroller, on January 1, 2026, to transfer $3.0 billion from the General Revenue Fund to the Dementia Prevention and Research Fund. The amendment stipulates that this transfer would not be an appropriation of state tax revenues for the purposes of the calculation of the constitutional tax spending limit in Article VIII.Note: This joint resolution would create a fund or account in the Treasury. The enabling legislation (HB 5), as introduced, would provide that money in the fund or account may be spent without further legislative appropriation. Article VIII, Section VI of the Texas Constitution provides that money drawn from the state treasury requires an appropriation. A constitutional amendment providing authority to spend without further appropriation would be required absent that appropriation.
Methodology
This resolution, contingent on passage and voter approval, would authorize a $3 billion transfer from the General Revenue Fund to the Dementia Prevention and Research Fund in fiscal year 2026.The fiscal impacts shown are for the mandated January 1, 2026 transfer only. The fiscal impacts association with any uses of the fund are shown in the fiscal note for the enabling legislation (HB 5).
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: b > td > JMc, NPe, SD, BRI, KK
JMc, NPe, SD, BRI, KK