By Heflin H.B. No. 3302
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the limit on the growth of appropriations under Chapter
1-3 316 of the Government Code.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter A of Chapter 316, Government Code, is
1-6 amended to read as follows:
1-7 SUBCHAPTER A. LIMIT ON GROWTH OF [APPROPRIATIONS] EXPENDITURES
1-8 Sec. 316.001. Limit. The rate of growth of [appropriations]
1-9 expenditures from state tax revenues not dedicated by the
1-10 constitution may not exceed the estimated rate of growth of the
1-11 state's economy.
1-12 Sec. 316.002. Duties of the Legislative Budget Board.
1-13 (a) Before the Legislative Budget Board submits the budget as
1-14 prescribed by Section 322.008(b), the board shall establish:
1-15 (1) the estimated rate of growth of the state's
1-16 economy from the current biennium to the next biennium;
1-17 (2) the level of [appropriations] expenditures for the
1-18 current biennium from state tax revenues not dedicated by the
1-19 constitution; and
1-20 (3) the amount of state tax revenues not dedicated by
1-21 the constitution that could be [appropriated] expended for the next
1-22 biennium within the limit established by the estimated rate of
2-1 growth of the state's economy.
2-2 (b) Except as provided by Subsection (c), the board shall
2-3 determine the estimated rate of growth of the state's economy by
2-4 dividing the estimated Texas total personal income for the next
2-5 biennium by the estimated Texas total personal income for the
2-6 current biennium. Using standard statistical methods, the board
2-7 shall make the estimate by projecting through the biennium the
2-8 estimated Texas total personal income reported by the United States
2-9 Department of Commerce or its successor in function.
2-10 (c) If a more comprehensive definition of the rate of growth
2-11 of the state's economy is developed and is approved by the
2-12 committee established by Section 316.005, the board may use that
2-13 definition in calculating the limit on [appropriations]
2-14 expenditures.
2-15 (d) To ensure compliance with Article VIII, Section 22, of
2-16 the Texas Constitution, the Legislative Budget Board may not
2-17 transmit in any form to the governor or the legislature the budget
2-18 as prescribed by Section 322.008(c) or the general appropriations
2-19 bill as prescribed by Section 322.008(d) until the limit on the
2-20 rate of growth of [appropriations] expenditures has been adopted by
2-21 this subchapter.
2-22 (e) In the absence of an action by the Legislative Budget
2-23 Board to adopt a spending limit as provided in Subsections (a) and
2-24 (b) of this section, the estimated rate of growth in the state's
2-25 economy from the current biennium to the next biennium shall be
2-26 treated as if it were zero, and the amount of state tax revenues
2-27 not dedicated by the constitution that could be [appropriated]
3-1 expended within the limit established by the estimated rate of
3-2 growth in the state's economy shall be the same as the level of
3-3 appropriations for the current biennium.
3-4 Sec. 316.003. Publication. Before the Legislative Budget
3-5 Board approves the items of information required by Section
3-6 316.002, the board shall establish in the Texas Register the
3-7 proposed items of information and a description of the methodology
3-8 and sources used in the calculations.
3-9 Sec. 316.004. Public Hearing. Not later than December 1 of
3-10 each even-numbered year, the Legislative Budget Board shall hold a
3-11 public hearing to solicit testimony regarding the proposed items of
3-12 information and the methodology used in making the calculations
3-13 required by Section 316.002.
3-14 Sec. 316.005. Adoption by Committee. (a) After the
3-15 Legislative Budget Board approves the items of information required
3-16 by Section 316.002, the board shall submit the information to a
3-17 committee composed of the governor, lieutenant governor, speaker of
3-18 the house of representatives, and comptroller of public accounts.
3-19 (b) Not later than the 10th day after the date on which the
3-20 board submits the items, the committee shall meet and finally adopt
3-21 the items, either as submitted by the board or as amended by the
3-22 committee.
3-23 (c) If the committee fails to act within the 10-day period
3-24 prescribed by Subsection (b), the items of information submitted by
3-25 the board are treated as if the committee had adopted them as
3-26 submitted.
3-27 Sec. 316.006. Limit on Budget Recommendations. Unless
4-1 authorized by majority vote of the members of the board from each
4-2 house, the Legislative Budget Board budget recommendations relating
4-3 to the proposed appropriations of state tax revenues not dedicated
4-4 by the constitution may not exceed the limit adopted by the
4-5 committee under Section 316.005.
4-6 Sec. 316.007. Transmission of Recommendations. (a) The
4-7 Legislative Budget Board shall include in its budget
4-8 recommendations the proposed limit of [appropriations] expenditures
4-9 from state tax revenues not dedicated by the constitution.
4-10 (b) The board shall transmit the recommendations to the
4-11 governor and to each member of the legislature.
4-12 Sec. 316.008. Effect of Limit; Enforcement. (a) Unless the
4-13 legislature adopts a resolution under Article VII, Section 22(b),
4-14 of the Texas Constitution raising the proposed limit on
4-15 [appropriations] expenditures, the proposed limit is binding on the
4-16 legislature with respect to all [appropriations] expenditures for
4-17 the next biennium from state tax revenues not dedicated by the
4-18 constitution.
4-19 (b) The rules of the house of representatives and senate
4-20 shall provide for enforcement of Subsection (a), subject to any
4-21 voting majority prescribed in the constitution.
4-22 SECTION 2. This Act takes effect January 1, 1998.
4-23 SECTION 3. The importance of this legislation and the
4-24 crowded condition of the calendars in both houses create an
4-25 emergency and an imperative public necessity that the
4-26 constitutional rule requiring bills to be read on three several
4-27 days in each house be suspended, and this rule is hereby suspended.