BILL ANALYSIS


                                                        H.B. 1320
                                              By: Romo (Moncrief)
                                                          Finance
                                                         05-16-95
                              Senate Committee Report (Unamended)
BACKGROUND

There are two authorized but unissued bond issues that could be
removed from the state's bond authorization.  The National Research
Laboratory Commission has authorized but not issued debt for the
superconducting super collider:  $250 million of general obligation
bonds and $250 million of revenue bonds.  There is no need for this
debt, given the decision by Congress to end the project's federal
funding.  General revenue bonds can be revoked by the Texas
Legislature while general obligation bonds must be revoked by the
voters of Texas.

PURPOSE

As proposed, H.B. 1320 authorizes the Texas Legislature to reduce
the amount of revenue bonds issued for the superconducting super
collider from $500 million to $250 million.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Repealer:  Chapter 626, Article 601d-2, V.T.C.S.
(Capitol renovation bonds; lease agreements).

SECTION 2. Amends Section 465.022(a), Government Code, to prohibit
the principal amount of general obligation bonds authorized by this
section from exceeding $500 million and the principal amount of
revenue bonds authorized by this section, which are payable from
money appropriated to the Texas National Research Laboratory
Commission (commission) by the legislature or which are payable
from or secured by rents, installment payments, or other payments
or revenues appropriated from time to time by the legislature for
the payment of lease, contract, or other obligations of the
commission, from exceeding $250, rather than $500, million.

SECTION 3. Amends Section 465.022(a), Government Code, as follows:
     
     (a)  Prohibits the principal amount of general obligation
     bonds authorized by this section from exceeding $250 million,
     rather than $500 million, and the principal amount of revenue
     bonds authorized by this section, which are payable from money
     appropriated to the commission by the legislature for that
     purpose or which are payable from or secured by rents,
     installment payments, or other payments or revenues
     appropriated from time to time by the legislature for the
     payment of lease, contract, or other obligations of the
     commission, from exceeding $250 million, rather than $500
     million.
     
     (b)  Provides that this section takes effect on the date on
     which the constitutional amendment proposed by the 74th
     Legislature, Regular Session, 1995, reducing the amount of
     authorized general obligation bonds for the superconducting
     super collider research facility takes effect.  Provides that
     this section has no effect if that amendment is not approved
     by the voters.
     
     SECTION 4.     Amends Chapter 1078, Article 717k-7, V.T.C.S., by adding
Section 7C, as follows:

     Sec.  7C.  REVIEW OF UNISSUED STATE BONDS; REPORT.  (a) 
     Requires the bond review board (board) to review authorized
     but unissued state general obligation and revenue bonds.
     
     (b)  Requires the board to submit a report, by October 31 of
       each even-numbered year, to the legislature that recommends
       whether any general obligation or revenue bond authorization
       should be revoked.
       
SECTION 5. Effective date:  September 1, 1995, except as provided
by Section 3(b).

SECTION 6. Emergency clause.