By Turner of Harris                                   H.B. No. 2948

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the creation and re-creation of funds and accounts in

 1-3     the state treasury, the dedication and rededication of revenue, and

 1-4     the exemption of unappropriated money from use for general

 1-5     governmental purposes.

 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-7           SECTION 1.  ABOLITION OF FUNDS, ACCOUNTS, AND DEDICATIONS.

 1-8     Except as otherwise specifically provided by this Act, all funds

 1-9     and accounts created or re-created in the state treasury by an Act

1-10     of the 75th Legislature, Regular Session, 1997, that becomes law,

1-11     and all dedications or rededications of revenue in the state

1-12     treasury or otherwise collected by a state agency for a particular

1-13     purpose by an Act of the 75th Legislature, Regular Session, 1997,

1-14     that becomes law, are abolished on the later of August 30, 1997, or

1-15     the date the Act creating or re-creating the fund or account or

1-16     dedicating or rededicating revenue takes effect.

1-17           SECTION 2.  PREVIOUSLY EXEMPT DEDICATIONS, FUNDS, AND

1-18     ACCOUNTS.  Section 1 of this Act does not apply to statutory

1-19     dedications, funds, and accounts that were enacted before the 75th

1-20     Legislature convened to comply with requirements of state

1-21     constitutional or federal law or to dedications, funds, or accounts

1-22     that remained exempt from former Section 403.094(h), Government

1-23     Code, at the time dedications, accounts, and funds were abolished

 2-1     under that provision.

 2-2           SECTION 3.  ACCOUNTS IN GENERAL REVENUE FUND.  Effective

 2-3     August 30, 1997, the following accounts in the general revenue

 2-4     fund, if created by an Act of the 75th Legislature, Regular

 2-5     Session, 1997, that becomes law, are exempt from Section 1 of this

 2-6     Act and Section 403.095, Government Code:

 2-7                 (1)  the capital access fund account created by Senate

 2-8     Bill No. 266 or House Bill No. 618; and

 2-9                 (2)  the account containing fees for maintaining a real

2-10     estate license on inactive status created by House Bill No. 1346.

2-11           SECTION 4.  OTHER FUNDS IN TREASURY.  Effective August 30,

2-12     1997, the following funds in the state treasury, if created by an

2-13     Act of the 75th Legislature, Regular Session, 1997, that becomes

2-14     law, are exempt from Section 1 of this Act and Section 403.095,

2-15     Government Code:

2-16                 (1)  the groundwater district loan assistance fund

2-17     created by Senate Bill No. 1 or House Bill No. 5;

2-18                 (2)  the Texas water development fund II, including all

2-19     accounts in the fund,  created by Senate Bill No. 1 or House Bill

2-20     No. 5; and

2-21                 (3)  the safe drinking water revolving fund created by

2-22     Senate Bill No. 1 or House Bill No. 5.

2-23           SECTION 5.  CERTAIN FEE REVENUE.  Effective August 30, 1997,

2-24     revenue consisting of fees collected under Section 5(m), The Real

2-25     Estate License Act (Article 6573a, Vernon's Texas Civil Statutes),

 3-1     if rededicated by an Act of the 75th Legislature, Regular Session,

 3-2     1997, that becomes law, including House Bill No. 2539 or Senate

 3-3     Bill No. 1497, is exempt from Section 1 of this Act and Section

 3-4     403.095, Government Code.

 3-5           SECTION 6.  FEDERAL FUNDS.  Section 1 of this Act does not

 3-6     apply to funds created pursuant to an Act of the 75th Legislature,

 3-7     Regular Session, 1997, for which separate accounting is required by

 3-8     federal law, except that the funds shall be deposited in accounts

 3-9     in the general revenue fund unless otherwise required by federal

3-10     law.

3-11           SECTION 7.  TRUST FUNDS.  Section 1 of this Act does not

3-12     apply to trust funds or dedicated revenue deposited to trust funds

3-13     created under an Act of the 75th Legislature, Regular Session,

3-14     1997, except that the trust funds shall be held in the state

3-15     treasury, with the comptroller in trust, or outside the state

3-16     treasury with the comptroller's approval.

3-17           SECTION 8.  BOND FUNDS.  Section 1 of this Act does not apply

3-18     to bond funds and pledged funds created or affected by an Act of

3-19     the 75th Legislature, Regular Session, 1997, except that the funds

3-20     shall be held in the state treasury, with the comptroller in trust,

3-21     or outside the state treasury with the comptroller's approval.

3-22     Funds created or affected include bond and pledged funds or

3-23     accounts created or affected by the following, if enacted by the

3-24     75th Legislature, Regular Session, 1997, by an Act that becomes

3-25     law:

 4-1                 (1)  revenue bond funds in Senate Bill No. 1060;

 4-2                 (2)  revenue bonds in Senate Bill No. 370; and

 4-3                 (3)  revenue bond accounts in House Bill No. 3189.

 4-4           SECTION 9.  CONSTITUTIONAL FUNDS.  Section 1 of this Act does

 4-5     not apply to funds or accounts that would be created or re-created

 4-6     in the Texas Constitution or revenue that would be dedicated or

 4-7     rededicated by the Texas Constitution  under constitutional

 4-8     amendments proposed by the 75th Legislature, Regular Session, 1997,

 4-9     or to dedicated revenue deposited to funds or accounts that would

4-10     be so created or re-created.  Funds, accounts, and revenue exempted

4-11     under this section include the following:

4-12                 (1)  the Texas tomorrow fund in House Joint Resolution

4-13     No. 8, Senate Joint Resolution No. 27, House Bill No. 9, or similar

4-14     legislation;

4-15                 (2)  the crime victims compensation fund and the crime

4-16     victims auxiliary fund in Senate Joint Resolution No. 33, House

4-17     Joint Resolution No. 1, House Bill No. 3062, or similar

4-18     legislation;

4-19                 (3)  lottery and property tax revenue in House Joint

4-20     Resolution No. 4 or House Bill No. 4;

4-21                 (4)  the Texas growth fund II in House Bill No. 138 or

4-22     similar legislation; and

4-23                 (5)  the Texas water development fund II in Senate

4-24     Joint Resolution No. 17 or similar legislation.

4-25           SECTION 10.  AMENDMENT.  Effective September 1, 1997,

 5-1     Sections 403.095(b) and (c), Government Code, are amended to read

 5-2     as follows:

 5-3           (b)  Notwithstanding any law dedicating or setting aside

 5-4     revenue for a particular purpose or entity, dedicated revenues

 5-5     that, on August 31, 1999 [1997], exceed the amount appropriated are

 5-6     available for general governmental purposes.  The comptroller shall

 5-7     develop accounting and revenue estimating procedures so that each

 5-8     dedicated account maintained in the general revenue fund can be

 5-9     separately identified as to balances of cash and other assets and

5-10     the amounts of revenues and expenditures and appropriations for

5-11     each fiscal year.  Following certification of the General

5-12     Appropriations Act and other appropriations measures, the

5-13     comptroller shall reduce each dedicated account by the amount by

5-14     which estimated revenues and unobligated balances exceed

5-15     appropriations.  The reductions may be made in the amounts and at

5-16     the times necessary so that cash flow considerations allow all the

5-17     dedicated accounts to maintain adequate cash balances to transact

5-18     routine business.  The legislature may authorize, in the General

5-19     Appropriations Act, the temporary delay of the excess balance

5-20     reduction required for accounts under this subsection that exceed

5-21     the amount appropriated for the dedicated purposes.  This

5-22     subsection does not apply to revenues in:

5-23                 (1)  funds outside the treasury;

5-24                 (2)  trust funds, which for purposes of this section

5-25     include funds that may or are required to be used in whole or in

 6-1     part for the acquisition, development, construction, or maintenance

 6-2     of state and local government infrastructures, recreational

 6-3     facilities, or natural resource conservation facilities;

 6-4                 (3)  funds created by the constitution or a court; or

 6-5                 (4)  funds for which separate accounting is required by

 6-6     federal law.

 6-7           (c)  The availability of revenues for general governmental

 6-8     purposes conferred by Subsection (b) expires on September 1, 1999

 6-9     [1997].

6-10           SECTION 11.  AMENDMENT.  The heading to and Subsection (a)

6-11     of Section 2201.003, Government Code, are amended to read as

6-12     follows:

6-13           Sec. 2201.003.  TRANSFERS FROM CAPITAL TRUST [RELATION TO

6-14     GENERAL REVENUE] FUND.  (a)  Interest earned by [Income from] the

6-15     fund shall be deposited to the credit of the housing trust [general

6-16     revenue] fund.

6-17           SECTION 12.  EFFECT OF ACT.  This Act prevails over any other

6-18     Act of the 75th Legislature, Regular Session, 1997, regardless of

6-19     the relative dates of enactment, that purports to create or

6-20     re-create a special fund or account in the state treasury or to

6-21     dedicate or rededicate revenue to a particular purpose, including

6-22     any fund, account, or revenue dedication abolished under former

6-23     Section 403.094, Government Code.  Revenues that, under the terms

6-24     of another Act of the 75th Legislature, Regular Session, 1997,

6-25     would be deposited to the credit of a special account or fund shall

 7-1     be deposited to the credit of the unobligated portion of the

 7-2     general revenue fund, unless the fund, account, or dedication is

 7-3     exempted under this Act.

 7-4           SECTION 13.  EMERGENCY.  The importance of this legislation

 7-5     and the crowded condition of the calendars in both houses create an

 7-6     emergency and an imperative public necessity that the

 7-7     constitutional rule requiring bills to be read on three several

 7-8     days in each house be suspended, and this rule is hereby suspended,

 7-9     and that this Act take effect and be in force from and after its

7-10     passage, and it is so enacted.