81R8881 JJT-F

By: Isett H.J.R. No. 109

A JOINT RESOLUTION

proposing a constitutional amendment to limit the rate of growth of appropriations from all sources of revenue except the federal government and to authorize the legislature to appropriate money for tax rebates.

BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 22, Article VIII, Texas Constitution, is amended to read as follows:

Sec. 22. (a) In no biennium shall the rate of growth of appropriations from all sources of revenue except the federal government [state tax revenues not dedicated by this constitution] exceed the average biennial [the estimated] rate of growth of the state's population, adjusted for monetary inflation [economy].

(b) The legislature shall provide by general law procedures to implement Subsection (a) of this section [subsection].

(c) [(b)] If the legislature by adoption of a resolution approved by a record vote of a majority of the members of each house finds that an emergency exists and identifies the nature of the emergency, the legislature may provide for appropriations in excess of the amount authorized by Subsection (a) of this section. The excess authorized under this subsection may not exceed the amount specified in the resolution.

(d) An appropriation for the sole purpose of reducing property taxes imposed by a political subdivision of the state, including a school district, or for the sole purpose of returning money to taxpayers as authorized by Section 51h, Article III, of this constitution is not counted in determining for the purposes of this section whether the rate of growth in appropriations for a biennium exceeds the average biennial rate of growth of the state's population, adjusted for monetary inflation.

(e) Appropriations may not [(c) In no case shall appropriations] exceed revenues as provided in Article III, Section 49a, of this constitution. Nothing in this section shall be construed to alter, amend, or repeal Article III, Section 49a, of this constitution.

SECTION 2. Section 49a, Article III, Texas Constitution, is amended by adding Subsections (c) and (d) to read as follows:

(c) No bill containing an appropriation of money from any source except the federal government, other than an appropriation for the sole purpose of tax relief or tax rebates as described by Section 22(d), Article VIII, of this constitution, shall be considered as passed or be sent to the Governor for consideration until and unless the Comptroller of Public Accounts endorses the Comptroller's certificate thereon showing that the appropriation does not contravene the limitation on the rate of growth of appropriations imposed by Section 22, Article VIII, of this constitution. When the Comptroller finds that a bill contains an appropriation that contravenes the limitation on the rate of growth of appropriations, the Comptroller shall endorse that finding on the bill, return the bill to the House from which it originated, and immediately notify the House of Representatives and the Senate of the finding.

(d) Not later than the 65th day after the date the legislature adjourns a legislative session, the Comptroller shall issue an estimate of the amount of anticipated general revenues for the biennium that are unappropriated, unencumbered, and undedicated at that time. If the legislative session is a regular session or a special session that begins between final adjournment of the regular session and the beginning of the subsequent state fiscal biennium, the Comptroller's estimate must address that subsequent biennium.

SECTION 3. Article III, Texas Constitution, is amended by adding Section 51h to read as follows:

Sec. 51h. Notwithstanding any other provision of this constitution, the legislature by general law may provide for granting public money to natural persons in this state for the sole purpose of returning public money to residents or taxpayers. The legislature by general law may provide for any method to accomplish that purpose the legislature considers most efficient, including direct cash payments to individual residents of this state or to a class of residents or taxpayers of this state.

SECTION 4. The following temporary provision is added to the Texas Constitution:

TEMPORARY PROVISION. (a) This temporary provision applies to the amendments to Section 22, Article VIII, and Section 49a, Article III, of this constitution, proposed by the 81st Legislature, Regular Session, 2009, restricting the rate of growth of appropriations from all sources of revenue except the federal government to a rate equal to the average rate of growth of the state's population adjusted for inflation. This temporary provision expires December 1, 2011.

(b) The changes made to Section 22, Article VIII, and the addition of Subsection (c) to Section 49a, Article III, of this constitution by the amendments apply only in relation to appropriations made for the state fiscal biennium beginning September 1, 2011, and subsequent state fiscal bienniums. Appropriations for the state fiscal biennium that began September 1, 2009, are governed by Section 22, Article VIII, and Section 49a, Article III, as they existed immediately before the amendment was approved by the voters.

(c) The duty imposed on the comptroller of public accounts by the addition of Subsection (d) to Section 49a, Article III, of this constitution first applies after the legislature adjourns its regular session in 2011.

SECTION 5. This proposed constitutional amendment shall be submitted to the voters at an election to be held November 3, 2009. The ballot shall be printed to permit voting for or against the proposition: "The constitutional amendment to limit the rate of growth of appropriations from all sources of revenue except the federal government and to authorize the legislature to appropriate money for tax rebates to individual residents or taxpayers."