This website will be unavailable from Friday, April 26, 2024 at 6:00 p.m. through Monday, April 29, 2024 at 7:00 a.m. due to data center maintenance.
H.B. No. 5
AN ACT
relating to state fiscal management, including adjustments to
certain school district fiscal matters made necessary by recent
changes in state fiscal management; making related appropriations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. For the fiscal biennium beginning September 1,
2003, the comptroller is appropriated from the general revenue fund
the amount needed to return any available cash that was transferred
to that fund from a fund outside the state treasury and to maintain
the equity of the fund from which the transfer was made, as required
by Section 403.092, Government Code, as amended by Section 19, H.B.
No. 2425, Acts of the 78th Legislature, Regular Session, 2003.
SECTION 2. Not more than $5,000,000 of the appropriation
made by Section 1 of this Act may be used to allocate earned
interest to a fund outside the state treasury under Section
403.092(a), Government Code.
SECTION 3. During the state fiscal biennium beginning
September 1, 2003, the comptroller shall return available cash that
has been transferred from a fund outside the state treasury to a
fund within the state treasury under Section 403.092(a), Government
Code, together with the earned interest on the transferred amount,
to the fund from which the available cash was transferred within 14
days after the date on which the available cash was transferred.
SECTION 4. The changes made to Section 42.259, Education
Code, by Section 4, H.B. No. 2425, Acts of the 78th Legislature,
Regular Session, 2003, and Section 35, H.B. No. 3459, Acts of the
78th Legislature, Regular Session, 2003, effectively transferring
certain payments to school districts from August of a state fiscal
year to September of the following fiscal year, apply only to a
payment from the foundation school fund that is made on or after
January 1, 2004. A payment to a school district from the foundation
school fund that is made before that date is governed by Section
42.259, Education Code, as it existed on June 1, 2003, and the
former law is continued in effect for that purpose.
SECTION 5. Subchapter A, Chapter 22, Education Code, is
amended by adding Section 22.007 to read as follows:
Sec. 22.007. RETIREMENT SAVINGS PLAN FOR CERTAIN EMPLOYEES.
(a) In this section:
(1) "Employer" has the meaning assigned by Section
821.001, Government Code.
(2) "Social security coverage" means old-age,
survivors, and disability insurance benefits under Title II, Social
Security Act (42 U.S.C. Section 401 et seq.), as amended.
(3) "Wages" has the meaning assigned by Section 209,
Social Security Act (42 U.S.C. Section 409), as amended.
(b) An employer shall enter into a salary reduction
agreement as provided by this section with each employee who:
(1) is employed by the employer in a position for which
social security coverage is not provided; and
(2) is subject to the waiting period required by
Section 822.001, Government Code, that precedes membership in the
Teacher Retirement System of Texas.
(c) A salary reduction agreement under Subsection (b) must
provide for the employer to reduce the employee's salary for the
purpose of:
(1) making direct contributions to a deferred
compensation plan under Chapter 609, Government Code;
(2) purchasing a qualified investment product as
provided by Chapter 22, Acts of the 57th Legislature, 3rd Called
Session, 1962 (Article 6228a-5, Vernon's Texas Civil Statutes); or
(3) making direct contributions to a retirement system
maintained by the employer that meets the requirements of Section
3121(b)(7)(F), Internal Revenue Code of 1986, as amended.
(d) The total amount contributed under Subsection (c) may
not be less than 7.5 percent of the employee's wages for the waiting
period required by Section 822.001, Government Code, that precedes
membership in the Teacher Retirement System of Texas. An employer
may elect to contribute any portion of the percentage amount
required by this subsection.
(e) A salary reduction agreement under Subsection (b) must
provide for the agreement to be terminated on the day before the
first day of the first payroll period for which the employer makes a
deduction for deposit with the Teacher Retirement System of Texas
under Section 825.403, Government Code, unless the employee agrees
in writing to continue the agreement under the same terms or under
modified terms.
(f) An employer that does not enter into a salary reduction
agreement with an employee as provided by this section must provide
social security coverage for the employee.
(g) This section does not prohibit an employee from entering
into any other salary reduction agreement.
(h) This section expires September 1, 2005.
SECTION 6. Section 403.302, Government Code, is amended by
adding Subsection (c-1) to read as follows:
(c-1) Notwithstanding Subsection (c), if after conducting
the annual study for the year 2002 the comptroller determines that
the local value for a school district is invalid and the local value
exceeds the state value for the school district determined by the
comptroller under Subsections (a) and (b), the taxable value for
the school district for that year is the district's state value as
established by the comptroller. This subsection expires September
30, 2004.
SECTION 7. Section 403.302(m), Government Code, as added by
S.B. No. 671, Acts of the 78th Legislature, Regular Session, 2003,
is repealed.
SECTION 8. (a) Section 11.28, Article IX, House Bill No. 1,
Acts of the 78th Legislature, Regular Session, 2003 (the General
Appropriations Act), is amended by amending Subsection (a) and
adding Subsections (c) and (d) to read as follows:
(a) Notwithstanding other provisions of this Act, based
upon the passage of federal legislation that provides federal funds
for the purpose of state fiscal relief, such funds are
appropriated[, after the implementation of Section 11.15,
Contingency Appropriation Reduction and Contingency
Appropriation,] to the Comptroller of Public Accounts in the fiscal
year in which the funds are received for the purpose of transferring
funds to state agencies for state fiscal relief, as directed by the
Governor and Legislative Budget Board acting under Chapter 317,
Government Code, and in accordance with [provided by] subsection
(b) of this section.
(c) Notwithstanding Section 11.15(b) of this article, an
amount equal to the sum of the General Revenue Fund and general
revenue dedicated account appropriations contained in this Act that
are vetoed by the Governor under Section 14, Article IV, Texas
Constitution, is appropriated out of the General Revenue Fund or
appropriate general revenue dedicated account to the Comptroller of
Public Accounts for the state fiscal biennium beginning September
1, 2003, for the purpose of transferring funds to state agencies for
state fiscal relief, as directed by the Governor and Legislative
Budget Board acting under Chapter 317, Government Code, and in
accordance with subsection (b) of this section.
(d) This section does not prohibit the Governor and the
Legislative Budget Board, acting under Chapter 317, Government
Code, from making an emergency transfer of money appropriated by
this section, based on need, to an agency or for a purpose that is
not described by subsection (b) of this section.
(b) In the event of a conflict between this Act and another
Act enacted by the 78th Legislature, 1st Called Session, 2003, that
becomes law and that amends Section 11.28, Article IX, House Bill
No. 1, Acts of the 78th Legislature, Regular Session, 2003 (the
General Appropriations Act), this Act controls.
SECTION 9. The heading to Section 11.28, Article IX, House
Bill No. 1, Acts of the 78th Legislature, Regular Session, 2003 (the
General Appropriations Act), is amended to read as follows:
Sec. 11.28. Appropriation of State Fiscal Relief Federal
Funds and Reappropriation for State Fiscal Relief of Vetoed General
Revenue Appropriations.
SECTION 10. This Act takes effect immediately if it
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, this Act takes effect on the 91st day after the last day of
the legislative session.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 5 was passed by the House on July 10,
2003, by the following vote: Yeas 139, Nays 0, 2 present, not
voting; that the House refused to concur in Senate amendments to
H.B. No. 5 on July 21, 2003, and requested the appointment of a
conference committee to consider the differences between the two
houses; and that the House adopted the conference committee report
on H.B. No. 5 on July 28, 2003, by the following vote: Yeas 82,
Nays 19; passed subject to the provisions of Article III, Section
49a, of the Constitution of the State of Texas.
______________________________
Chief Clerk of the House
I certify that H.B. No. 5 was passed by the Senate, with
amendments, on July 18, 2003, by the following vote: Yeas 29, Nays
1; at the request of the House, the Senate appointed a conference
committee to consider the differences between the two houses; and
that the Senate adopted the conference committee report on H.B. No.
5 on July 24, 2003, by the following vote: Yeas 31, Nays 0; passed
subject to the provisions of Article III, Section 49a, of the
Constitution of the State of Texas.
______________________________
Secretary of the Senate
I certify that the amounts appropriated in the herein H.B.
No. 5, 1st Called Session of the 78th Legislature, are within
amounts estimated to be available in the affected fund.
Certified_____________________
______________________________
Comptroller of Public Accounts
APPROVED: __________________
Date
__________________
Governor