LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION February 27, 2025 TO: Honorable Joan Huffman, Chair, Senate Committee on Finance FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SJR3 by Huffman (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.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for SJR3, Committee Report 1st House, Substituted: 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; and gifts, grants, and donations. Money in the fund could only be used for certain purposes related to dementia prevention and research. The resolution would make $300.0 million available for appropriation from the Dementia Prevention and Research Fund in fiscal year 2026 and $300.0 million and any unspent, previously appropriated amounts in each subsequent year. 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.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION
February 27, 2025
TO: Honorable Joan Huffman, Chair, Senate Committee on Finance FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SJR3 by Huffman (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.), Committee Report 1st House, Substituted
TO: Honorable Joan Huffman, Chair, Senate Committee on Finance
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SJR3 by Huffman (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.), Committee Report 1st House, Substituted
Honorable Joan Huffman, Chair, Senate Committee on Finance
Honorable Joan Huffman, Chair, Senate Committee on Finance
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
SJR3 by Huffman (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.), Committee Report 1st House, Substituted
SJR3 by Huffman (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.), Committee Report 1st House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for SJR3, Committee Report 1st House, Substituted: 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 SJR3, Committee Report 1st House, Substituted: 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; and gifts, grants, and donations. Money in the fund could only be used for certain purposes related to dementia prevention and research. The resolution would make $300.0 million available for appropriation from the Dementia Prevention and Research Fund in fiscal year 2026 and $300.0 million and any unspent, previously appropriated amounts in each subsequent year. 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.
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 (SB 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, KK, SD, BRI
JMc, KK, SD, BRI