By:  Oliveira                                          H.B. No. 706
       73R2110 MLR-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the creation of, the allocation of revenue to, and the
    1-3  uses of the Texas recreation and parks fund, including the
    1-4  dedication of revenue from the sales tax on sporting goods.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Section 11.035, Parks and Wildlife Code, is
    1-7  amended by amending Subsection (b) and adding Subsection (c) to
    1-8  read as follows:
    1-9        (b)  The department shall deposit to the credit of the state
   1-10  parks fund all revenue, less allowable costs, received from the
   1-11  following sources:
   1-12              (1)  grants or operation of concessions in state parks
   1-13  or fishing piers;
   1-14              (2)  publications on state parks, state historic sites,
   1-15  or state scientific areas;
   1-16              (3)  fines or penalties received from violations of
   1-17  regulations governing parks issued pursuant to Subchapter B,
   1-18  Chapter 13, of this code;
   1-19              (4)  fees and revenue collected under Section 11.027(b)
   1-20  or (c) of this code that are associated with state park lands;
   1-21  <and>
   1-22              (5)  taxable sales of sporting goods, as determined
   1-23  under Section 151.801, Tax Code, and allocated under Section 24.003
   1-24  of this code; and
    2-1              (6)  any other source provided by law.
    2-2        (c)  The amount of revenue deposited to the credit of the
    2-3  state parks fund under Section 24.003 of this code may be used to
    2-4  retire debt and plan, acquire, develop, maintain, operate, and
    2-5  renovate state parks.
    2-6        SECTION 2.  Section 24.001(8), Parks and Wildlife Code, is
    2-7  amended to read as follows:
    2-8              (8)  "Fund" means the Texas recreation and parks fund
    2-9  <local parks, recreation, and open space fund>.
   2-10        SECTION 3.  Section 24.002, Parks and Wildlife Code, is
   2-11  amended to read as follows:
   2-12        Sec. 24.002.  FUND ESTABLISHED.  (a)  The Texas recreation
   2-13  and parks fund <local parks, recreation, and open space fund> is
   2-14  <established> in the state treasury.
   2-15        (b)  The state treasurer shall establish a separate
   2-16  interest-bearing account for the Texas recreation and parks fund.
   2-17  Except as provided by Section 24.003(b) of this code, income from
   2-18  investments of the fund shall be deposited to the credit of the
   2-19  fund.
   2-20        (c)  The comptroller may not merge, consolidate, or segregate
   2-21  the Texas recreation and parks fund as an account within another
   2-22  fund group.
   2-23        SECTION 4.  Section 24.003, Parks and Wildlife Code, is
   2-24  amended to read as follows:
   2-25        Sec. 24.003.  <USE OF> FUND:  REVENUE SOURCE; ALLOCATIONS.
   2-26  (a)  Except as provided by Subsection (b) of this section, revenue
   2-27  from taxable sales of sporting goods under Section 151.801, Tax
    3-1  Code, shall be allocated as follows:
    3-2              (1)  two-thirds to the fund; and
    3-3              (2)  one-third to the state parks fund <Appropriations
    3-4  from the fund may be used only for assistance grants under Section
    3-5  24.004 of this code, direct grants under Section 24.005 of this
    3-6  code, and the uses permitted under Section 24.006 of this code>.
    3-7        (b)  When the balance in the fund is $500 million or more,
    3-8  all income from investments of the fund and all revenue from
    3-9  taxable sales of sporting goods under Section 151.801, Tax Code,
   3-10  shall be allocated as follows:
   3-11              (1)  50 percent to the state parks fund; and
   3-12              (2)  50 percent to the fund <The department is
   3-13  authorized to spend up to 20 percent of the amount of the fund
   3-14  appropriated each fiscal year if adequate federal funds are not
   3-15  available for assistance grants, matching grants, and direct
   3-16  expenditures for use in rural areas in this state>.
   3-17        (c)  One-half of the funds deposited to the credit of the
   3-18  fund under Subsection (a)(1) of this section and all of the funds
   3-19  deposited to the credit of the fund under Subsection (b)(2) of this
   3-20  section may be used only for grants under Sections 24.004 and
   3-21  24.005 of this code, and the remainder, including unexpended fund
   3-22  balances at the end of a fiscal year, is not subject to
   3-23  appropriation.
   3-24        SECTION 5.  Section 24.005(b), Parks and Wildlife Code, is
   3-25  amended to read as follows:
   3-26        (b)  In establishing the program of grants under this
   3-27  section, the department may <shall> adopt those allocation
    4-1  formulas, conditions for fund uses, and other procedural
    4-2  requirements, to the extent not inconsistent with this chapter, as
    4-3  are provided for the land and water conservation fund established
    4-4  by Section 460l-4, Title 16, United States Code, and the rules and
    4-5  regulations for grant assistance made from that fund.
    4-6        SECTION 6.  Section 101.009(b), Tax Code, is amended to read
    4-7  as follows:
    4-8        (b)  <Cigarette tax revenue allocated under Section
    4-9  154.603(b) of this code shall be allocated as provided by Section
   4-10  154.603 of this code.>  Motor fuel tax revenue shall be allocated
   4-11  and deposited as provided by Subchapter F of Chapter 153 of this
   4-12  code.
   4-13        SECTION 7.  Section 151.801, Tax Code, is amended to read as
   4-14  follows:
   4-15        Sec. 151.801.  Disposition of Proceeds.  (a)  Except for the
   4-16  amounts <amount> allocated under Subsections <Subsection> (b) and
   4-17  (c) <of this section>, all proceeds from the collection of the
   4-18  taxes imposed by this chapter shall be deposited to the credit of
   4-19  the general revenue fund.
   4-20        (b)  The amount of the proceeds from the collection of the
   4-21  taxes imposed by this chapter on the sale, storage, or use of
   4-22  lubricating and motor oils used to propel motor vehicles over the
   4-23  public roadways shall be deposited to the credit of the state
   4-24  highway fund.
   4-25        (c)  The proceeds from the collection of the taxes imposed by
   4-26  this chapter on the sale, storage, or use of sporting goods shall
   4-27  be deposited to the credit of the state parks fund and the Texas
    5-1  recreation and parks fund in the amounts provided by Section
    5-2  24.003, Parks and Wildlife Code.
    5-3        (d)  The comptroller shall certify the amount to be deposited
    5-4  to the highway fund under Subsection (b) <of this section> to the
    5-5  treasurer according to <on the basis of> available statistical data
    5-6  indicating the estimated average or actual consumption or sales of
    5-7  lubricants used to propel motor vehicles over the public roadways.
    5-8  The comptroller shall certify the amounts to be deposited to the
    5-9  funds under Subsection (c) to the treasurer according to available
   5-10  statistical data indicating the estimated or actual total receipts
   5-11  in this state from taxable sales of sporting goods.  If
   5-12  satisfactory data are not available, the comptroller may require
   5-13  taxpayers who make taxable sales or uses of those lubricants or of
   5-14  sporting goods to report to the comptroller as necessary to make
   5-15  the allocation required by Subsection (b) or (c) <of this section>.
   5-16        (e) <(d)>  In this section:
   5-17              (1)  "Motor<,-"motor> vehicle" means a trailer, a
   5-18  semitrailer, or a self-propelled vehicle in or by which a person or
   5-19  property can be transported upon a public highway.  "Motor vehicle"
   5-20  does not include a device moved only by human power or used
   5-21  exclusively on stationary rails or tracks, a farm machine, a farm
   5-22  trailer, a road-building machine, or a self-propelled vehicle used
   5-23  exclusively to move farm machinery, farm trailers, or road-building
   5-24  machinery.
   5-25              (2)  "Sporting goods" means an item of tangible
   5-26  personal property:
   5-27                    (A)  the primary purpose of which is for use in a
    6-1  sport or sporting activity; or
    6-2                    (B)  that is sold for use in a sporting activity.
    6-3        SECTION 8.  Section 154.603(b), Tax Code, is amended to read
    6-4  as follows:
    6-5        (b)  The revenue remaining after the deductions for the
    6-6  purposes provided by Section 154.602 <of this code> and allocation
    6-7  under Subsection (a) <of this section> is allocated<:>
    6-8              <(1)  50 cents per 1,000 cigarettes to the state parks
    6-9  fund;>
   6-10              <(2)  50 cents per 1,000 cigarettes to the local parks,
   6-11  recreation and open space fund; and>
   6-12              <(3)  the remainder> to the general revenue fund.
   6-13        SECTION 9.  Section 24.006, Parks and Wildlife Code, and
   6-14  Sections 154.603(c) and (d), Tax Code, are repealed.
   6-15        SECTION 10.  (a)  On the effective date of this Act all
   6-16  unencumbered funds in the Texas local parks, recreation, and open
   6-17  space fund shall be transferred to the Texas recreation and parks
   6-18  fund.
   6-19        (b)  Allocations for the biennium beginning September 1,
   6-20  1993, are subject to the following restrictions:
   6-21              (1)  not more than $12 million of the total tax revenue
   6-22  collected from the sale of sporting goods and allocated to the
   6-23  state parks fund may be spent to plan, acquire, develop, maintain,
   6-24  operate, or renovate state parks; and
   6-25              (2)  not more than $12 million of the total tax revenue
   6-26  collected from the sale of sporting goods and allocated to the
   6-27  Texas recreation and parks fund may be used for grant programs
    7-1  under Sections 24.004 and 24.005, Parks and Wildlife Code.
    7-2        SECTION 11.  This Act takes effect September 1, 1993.
    7-3        SECTION 12.  The importance of this legislation and the
    7-4  crowded condition of the calendars in both houses create an
    7-5  emergency and an imperative public necessity that the
    7-6  constitutional rule requiring bills to be read on three several
    7-7  days in each house be suspended, and this rule is hereby suspended.