By Haywood S.B. No. 709
75R1055 RJA-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to reports of long-term state capital improvement projects
1-3 and credit programs financed through state debt.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. DEFINITIONS. In this Act:
1-6 (1) "Appropriated funds" means funds appropriated by
1-7 the legislature in the general appropriations act or in another
1-8 legislative act.
1-9 (2) "Board" means the Legislative Budget Board.
1-10 (3) "Capital project" or "credit program" means an
1-11 expenditure of state funds of at least two million dollars for the
1-12 acquisition or improvement of a fixed asset of the state or for a
1-13 program, such as student loans or business loans, designed to
1-14 increase the productivity of businesses and residents of this
1-15 state.
1-16 SECTION 2. CAPITAL PROJECTS; CREDIT PROGRAMS. The following
1-17 are capital projects or credit programs for purposes of this Act,
1-18 but the board may identify and include others:
1-19 (1) a building or infrastructure project, including a
1-20 real property purchase, to be built and owned by the state;
1-21 (2) a purchase of equipment as determined by the
1-22 board;
1-23 (3) a program administered by the state that provides
1-24 financial assistance to students of public institutions of higher
2-1 education in this state;
2-2 (4) a major building or infrastructure maintenance
2-3 project involving a facility owned by the state as determined by
2-4 the board;
2-5 (5) construction and maintenance of public school
2-6 facilities or acquisition of telecommunications and computer
2-7 equipment for use in public schools;
2-8 (6) major construction or maintenance needs of the
2-9 state highway system as determined by the board;
2-10 (7) a program administered by the state to provide
2-11 public assistance for the construction, lease, or maintenance of
2-12 residential housing, including housing for the general public and
2-13 housing for veterans;
2-14 (8) a program administered by the state to finance the
2-15 development or enhancement of water resources; and
2-16 (9) any program administered by the state to finance
2-17 agricultural business in this state.
2-18 SECTION 3. REPORT ON PROJECTED PROJECTS AND PROGRAMS.
2-19 (a) Not later than January 1 of each even-numbered year, the board
2-20 shall submit to the legislature and the governor a biennial report
2-21 on the projected capital projects and credit programs of the state
2-22 agencies listed in Section 4 of this Act.
2-23 (b) The report must cover a six-year period beginning with
2-24 the fiscal year that begins the September 1 following the date the
2-25 report is due under Subsection (a) and must include:
2-26 (1) a description of each of the project or program
2-27 needs for each state agency;
3-1 (2) cost estimates for financing each of the projects
3-2 or programs through appropriations, general obligation bonds,
3-3 revenue bonds, and lease purchase agreements;
3-4 (3) estimated cost of servicing the debt for each
3-5 project or program and the source for funding the debt service;
3-6 (4) estimated useful life of each project or program;
3-7 (5) aggregate potential debt to be incurred for the
3-8 six-year period;
3-9 (6) aggregate potential debt service costs for the
3-10 six-year period;
3-11 (7) the state's potential debt rating as recognized by
3-12 a national debt rating service; and
3-13 (8) other information considered relevant by the
3-14 board.
3-15 (c) The board shall limit the report to an analysis of items
3-16 traditionally financed by state debt or likely to be financed by
3-17 state debt based on past financing of similar items.
3-18 (d) The board shall resubmit the report to the legislature
3-19 and the governor not later than the following January 1, in which
3-20 the board may, but need not, update the report.
3-21 SECTION 4. COVERED STATE AGENCIES. (a) The report must
3-22 include information on the projected capital projects and credit
3-23 programs of the following state agencies:
3-24 (1) Texas Department of Transportation;
3-25 (2) Higher Education Coordinating Board and public
3-26 institutions of higher education;
3-27 (3) General Services Commission;
4-1 (4) Texas Education Agency;
4-2 (5) Texas Department of Housing and Community Affairs;
4-3 (6) Veterans' Land Board;
4-4 (7) Texas Department of Agriculture;
4-5 (8) Texas Water Development Board;
4-6 (9) Department of Information Resources;
4-7 (10) Texas Department of Criminal Justice;
4-8 (11) Texas Youth Commission;
4-9 (12) Texas Department of Mental Health and Mental
4-10 Retardation; and
4-11 (13) Texas National Guard Armory Board.
4-12 (b) The board may review existing capital plans and
4-13 documents for long-term capital projects and credit programs of the
4-14 agencies listed in Subsection (a).
4-15 SECTION 5. ASSISTANCE OF STATE ENTITIES. (a) The board may
4-16 request the assistance of the Bond Review Board, Texas Public
4-17 Finance Authority, Criminal Justice Policy Council, and the Office
4-18 of the Comptroller of Public Accounts in the collection of
4-19 information or preparation of the report.
4-20 (b) An entity requested to assist under Subsection (a) of
4-21 this section shall:
4-22 (1) submit information, reports, plans, and
4-23 documentation;
4-24 (2) answer inquiries; and
4-25 (3) cooperate in the preparation of a report.
4-26 SECTION 6. EFFECTIVE DATE. This Act takes effect September
4-27 1, 1997. The Legislative Budget Board shall submit the initial
5-1 report required by this Act not later than January 1, 1998.
5-2 SECTION 7. EMERGENCY. The importance of this legislation
5-3 and the crowded condition of the calendars in both houses create an
5-4 emergency and an imperative public necessity that the
5-5 constitutional rule requiring bills to be read on three several
5-6 days in each house be suspended, and this rule is hereby suspended.