73R7459 RJA-D
          By Chisum                                             H.J.R. No. 33
          Substitute the following for H.J.R. No. 33:
          By Heflin                                         C.S.H.J.R. No. 33
                                   A JOINT RESOLUTION
    1-1  proposing a constitutional amendment limiting debt payable from the
    1-2  general   revenue fund.
    1-3        BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Article III of the Texas Constitution is amended
    1-5  by adding Section 49-j to read as follows:
    1-6        Sec. 49-j.  (a)  The legislature may not authorize additional
    1-7  state debt if the resulting annual debt service exceeds the
    1-8  limitation imposed by this section.  The maximum annual debt
    1-9  service in any fiscal year on state debt payable from the general
   1-10  revenue fund may not exceed five percent of an amount equal to the
   1-11  average of the amount of general revenue fund revenues, excluding
   1-12  revenues constitutionally dedicated for purposes other than payment
   1-13  of state debt, for the three immediately preceding fiscal years.
   1-14        (b)  For purposes of this section, "state debt payable from
   1-15  the general revenue fund" means general obligation and revenue
   1-16  bonds, including authorized but unissued bonds, and lease-purchase
   1-17  agreements in an amount greater than $250,000, which bonds or lease
   1-18  purchase agreements are designed to be repaid with the general
   1-19  revenues of the state.  The term does not include bonds that,
   1-20  although backed by the full faith or credit of the state, are
   1-21  reasonably expected to be paid from other revenue sources and that
   1-22  are not expected to create a general revenue draw.  Bonds or lease
   1-23  purchase agreements that pledge the full faith and credit of the
   1-24  state will be considered to be reasonably expected to be paid from
    2-1  other revenue sources if they are designed to receive revenues
    2-2  other than state general revenues sufficient to cover their debt
    2-3  service over the life of the bonds or agreement.  In the event
    2-4  those bonds or agreements, or any portion of the bonds or
    2-5  agreements, subsequently requires use of the state's general
    2-6  revenue for payment, the bonds or agreements, or portion of the
    2-7  bonds or agreements, will be considered to be a "state debt payable
    2-8  from the general revenue fund" within the definition of this
    2-9  section, until one of the following events occurs:
   2-10              (1)  the bonds or agreements are backed by insurance or
   2-11  other form of guarantee that will ensure payment from other than
   2-12  general revenue; or
   2-13              (2)  the issuer demonstrates to the satisfaction of the
   2-14  Bond Review Board or its successor that the bonds will no longer
   2-15  require a general revenue draw, and the Bond Review Board so
   2-16  certifies to the Legislative Budget Board or its successor.
   2-17        SECTION 2.  This proposed constitutional amendment shall be
   2-18  submitted to the voters at an election to be held on November 8,
   2-19  1994.  The ballot shall be printed to provide for voting for  or
   2-20  against the proposition:  "The constitutional amendment limiting
   2-21  the amount of state debt payable from the general revenue fund."