By Lucio                                              S.J.R. No. 33
         76R9240 KKA-F                           
                                 A JOINT RESOLUTION
 1-1     proposing a constitutional amendment providing for the
 1-2     establishment of a public education facilities assistance fund.
 1-3           BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Article VII, Texas Constitution, is amended by
 1-5     adding Section 3a to read as follows:
 1-6           Sec. 3a.  (a)  The public education facilities assistance
 1-7     fund is created as a permanent fund outside the treasury with the
 1-8     comptroller.  The fund shall be administered as provided by law and
 1-9     is dedicated to generating income to provide for financial
1-10     assistance to school districts in acquiring land, whether improved
1-11     or unimproved, constructing or equipping school buildings or other
1-12     permanent improvements to land, and acquiring capital equipment for
1-13     school buildings or other permanent improvements to land.  The fund
1-14     consists of money deposited to the credit of the fund in accordance
1-15     with law.
1-16           (b)  The legislature by law shall provide for distribution of
1-17     income derived from the principal of the fund, including interest
1-18     and dividend income, less administrative expenses not to exceed
1-19     amounts set by law or appropriation, to school districts for the
1-20     purposes stated in this section.  The law may provide for
1-21     distribution without appropriation.  The legislature may not
1-22     distribute the principal of the fund, except the legislature may
1-23     distribute all or part of capital gains as income.
1-24           (c)  For 10 consecutive fiscal years, beginning September 1,
 2-1     2001, out of the first money coming into the treasury not otherwise
 2-2     appropriated by the Texas Constitution, an amount equal to
 2-3     one-quarter of one percent of the total amount of anticipated state
 2-4     general revenue for the applicable fiscal year, as determined by
 2-5     the comptroller in accordance with Section 49a, Article III, Texas
 2-6     Constitution, is transferred to the fund.  Notwithstanding
 2-7     Subsection (b), in each fiscal year subject to this subsection an
 2-8     amount of fund principal not to exceed one-half of the amount
 2-9     transferred to the fund under this subsection for that year may be
2-10     used to provide financial assistance to school districts for the
2-11     purposes stated in this section.  Any amount of fund principal
2-12     authorized under this subsection to be used in a fiscal year that
2-13     is not used in that year may be carried over for use in a
2-14     subsequent fiscal year.  This subsection expires September 1, 2011.
2-15           SECTION 2.  This proposed constitutional amendment shall be
2-16     submitted to the voters at an election to be held November 2, 1999.
2-17     The ballot shall be printed to permit voting for or against the
2-18     proposition:  "The constitutional amendment creating a fund to
2-19     provide for financial assistance to school districts for the
2-20     acquisition of land, the construction or equipping of school
2-21     buildings, and the acquisition of capital equipment."