By Heflin H.B. No. 3557
76R3895 GCH-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the limit on the growth of appropriations.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. The subchapter heading of Subchapter A, Chapter
1-5 316, Government Code, is amended to read as follows:
1-6 SUBCHAPTER A. LIMIT ON GROWTH OF EXPENDITURES [APPROPRIATIONS]
1-7 SECTION 2. Sections 316.001, 316.002, 316.007, and 316.008,
1-8 Government Code, are amended to read as follows:
1-9 Sec. 316.001. LIMIT. The rate of growth of expenditures
1-10 [appropriations] in a biennium from state tax revenues not
1-11 dedicated by the constitution may not exceed the estimated rate of
1-12 growth of the state's economy.
1-13 Sec. 316.002. DUTIES OF LEGISLATIVE BUDGET BOARD. (a)
1-14 Before the Legislative Budget Board submits the budget as
1-15 prescribed by Section 322.008(b), the board shall establish:
1-16 (1) the estimated rate of growth of the state's
1-17 economy from the current biennium to the next biennium;
1-18 (2) the level of expenditures [appropriations] for the
1-19 current biennium from state tax revenues not dedicated by the
1-20 constitution; and
1-21 (3) the amount of state tax revenues not dedicated by
1-22 the constitution that could be expended [appropriated] for the next
1-23 biennium within the limit established by the estimated rate of
1-24 growth of the state's economy.
2-1 (b) Except as provided by Subsection (c), the board shall
2-2 determine the estimated rate of growth of the state's economy by
2-3 dividing the estimated Texas total personal income for the next
2-4 biennium by the estimated Texas total personal income for the
2-5 current biennium. Using standard statistical methods, the board
2-6 shall make the estimate by projecting through the biennium the
2-7 estimated Texas total personal income reported by the United States
2-8 Department of Commerce or its successor in function.
2-9 (c) If a more comprehensive definition of the rate of growth
2-10 of the state's economy is developed and is approved by the
2-11 committee established by Section 316.005, the board may use that
2-12 definition in calculating the limit on expenditures
2-13 [appropriations].
2-14 (d) To ensure compliance with Section 22, Article VIII,
2-15 [Section 22,] of the Texas Constitution, the Legislative Budget
2-16 Board may not transmit in any form to the governor or the
2-17 legislature the budget as prescribed by Section 322.008(c) or the
2-18 general appropriations bill as prescribed by Section 322.008(d)
2-19 until the limit on the rate of growth of expenditures
2-20 [appropriations] has been adopted as required by this subchapter.
2-21 (e) In the absence of an action by the Legislative Budget
2-22 Board to adopt a spending limit as provided in Subsections (a) and
2-23 (b), the estimated rate of growth in the state's economy from the
2-24 current biennium to the next biennium shall be treated as if it
2-25 were zero, and the amount of state tax revenues not dedicated by
2-26 the constitution that could be expended [appropriated] within the
2-27 limit established by the estimated rate of growth in the state's
3-1 economy shall be the same as the level of appropriations for the
3-2 current biennium.
3-3 Sec. 316.007. TRANSMISSION OF RECOMMENDATIONS. (a) The
3-4 Legislative Budget Board shall include in its budget
3-5 recommendations the proposed limit on expenditures [of
3-6 appropriations] from state tax revenues not dedicated by the
3-7 constitution.
3-8 (b) The board shall transmit the recommendations to the
3-9 governor and to each member of the legislature.
3-10 Sec. 316.008. EFFECT OF LIMIT; ENFORCEMENT. (a) Unless the
3-11 legislature adopts a resolution in the manner provided by Section
3-12 22(b), [under] Article VIII, [Section 22(b),] of the Texas
3-13 Constitution raising the proposed limit on expenditures
3-14 [appropriations], the proposed limit is binding on the legislature
3-15 with respect to all expenditures [appropriations] for the next
3-16 biennium made from state tax revenues not dedicated by the
3-17 constitution.
3-18 (b) The rules of the house of representatives and senate
3-19 shall provide for enforcement of Subsection (a).
3-20 SECTION 3. This Act takes effect January 1, 2000.
3-21 SECTION 4. The importance of this legislation and the
3-22 crowded condition of the calendars in both houses create an
3-23 emergency and an imperative public necessity that the
3-24 constitutional rule requiring bills to be read on three several
3-25 days in each house be suspended, and this rule is hereby suspended.