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A BILL TO BE ENTITLED
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AN ACT
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relating to limitations on the rate of growth of appropriations for |
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certain categories of spending. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 316, Government Code, is amended by |
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adding Subchapter A-1 to read as follows: |
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SUBCHAPTER A-1. ADDITIONAL LIMIT ON GROWTH OF APPROPRIATIONS FROM |
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STATE FUNDS |
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Sec. 316.0101. LIMIT. In a state fiscal biennium, the rate |
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of growth of appropriations from all sources of revenue other than |
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the federal government may not exceed a rate determined as provided |
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under Section 316.0102(a) for each of the following categories of |
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spending: |
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(1) transportation; |
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(2) public primary and secondary education; |
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(3) higher education; |
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(4) health care; |
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(5) public safety and corrections; and |
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(6) other general government. |
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Sec. 316.0102. DUTIES OF LEGISLATIVE BUDGET BOARD. |
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(a) Before the Legislative Budget Board transmits the budget as |
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prescribed by Section 322.008(c), the board shall establish a limit |
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on the rate of growth of appropriations from all sources of revenue |
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other than the federal government from one state fiscal biennium to |
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the next state fiscal biennium for each spending category described |
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by Section 316.0101 by subtracting one from the product of: |
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(1) the sum of one and the estimated rate of growth in |
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the population served by expenditures in that spending category |
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during the next state fiscal biennium; and |
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(2) the sum of one and the estimated rate of inflation |
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in a representative set of goods and services for which |
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appropriations are made for that spending category during the next |
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state fiscal biennium. |
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(b) The board shall estimate the rates described by |
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Subsection (a) based on information available from the United |
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States Census Bureau and the Bureau of Labor Statistics of the |
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United States Department of Labor. |
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(c) Except as provided by Subsection (d) and subject to |
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Subsection (g), the board shall establish the amount of |
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appropriations from all sources of revenue other than the federal |
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government available for the next state fiscal biennium for each |
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spending category described by Section 316.0101 by multiplying the |
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amount of appropriations for each spending category for the current |
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state fiscal biennium by the sum of one and the limit on the rate of |
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growth of appropriations for that spending category determined by |
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the board under Subsection (a). |
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(d) If the rate determined under Subsection (a) for any |
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spending category described by Section 316.0101 is a negative |
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number, the amount of appropriations from all sources of revenue |
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other than the federal government available for the next state |
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fiscal biennium for that spending category is the same as the amount |
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of those appropriations for the current state fiscal biennium. |
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(e) To ensure compliance with this subchapter, the board may |
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not transmit in any form to the governor or the legislature the |
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budget as prescribed by Section 322.008(c) or the general |
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appropriations bill as prescribed by Section 322.008(d) until the |
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board adopts the limit on the rate of growth of appropriations from |
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all sources of revenue other than the federal government for the |
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next state fiscal biennium for each spending category described by |
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Section 316.0101. |
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(f) In the absence of an action by the board to adopt the |
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limits required under Subsection (a), the amount of appropriations |
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from all sources of revenue other than the federal government |
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available for the next state fiscal biennium for each spending |
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category described by Section 316.0101 is the same as the amount of |
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those appropriations for the current state fiscal biennium. |
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(g) Notwithstanding any other law, for purposes of |
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calculations used to establish, in regard to a spending category |
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described by Section 316.0101, the limit on the rate of growth of |
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appropriations under Subsection (a) and the amount of |
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appropriations available for the next state fiscal biennium under |
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Subsection (c), if the legislature by law exempts an appropriation |
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from the application of this subchapter for the next state fiscal |
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biennium, the board shall exclude current or previous |
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appropriations that, as determined by the board, are of a nature |
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similar to the exempted appropriation as if those similar |
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appropriations also had been exempted by law. |
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Sec. 316.0103. PUBLICATION. Before the Legislative Budget |
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Board approves the items of information required by Section |
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316.0102, the board shall publish in the Texas Register the |
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proposed items of information and a description of the methodology |
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and sources used in the calculations. |
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Sec. 316.0104. PUBLIC HEARING. Not later than December 1 of |
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each even-numbered year, the Legislative Budget Board shall hold a |
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public hearing to solicit testimony regarding the proposed items of |
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information and the methodology used in making the calculations |
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required by Section 316.0102. |
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Sec. 316.0105. LIMIT ON BUDGET RECOMMENDATIONS. Unless |
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authorized by majority vote of the members of the Legislative |
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Budget Board from each house, the board's budget recommendations |
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relating to appropriations from all sources of revenue other than |
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the federal government for the next state fiscal biennium for each |
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spending category described by Section 316.0101 may not exceed the |
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amount of appropriations established for that spending category |
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under Section 316.0102(c). |
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Sec. 316.0106. INCLUSION IN BUDGET RECOMMENDATIONS. The |
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Legislative Budget Board shall include in its budget |
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recommendations, for each spending category described by Section |
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316.0101: |
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(1) the limit on the rate of growth of appropriations |
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from all sources of revenue other than the federal government for |
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that spending category for the next state fiscal biennium, as |
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determined under Section 316.0102(a); and |
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(2) the amount of appropriations from all sources of |
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revenue other than the federal government available for that |
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spending category for the next state fiscal biennium, as determined |
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under Section 316.0102(c). |
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Sec. 316.0107. EFFECT OF LIMIT; ENFORCEMENT. (a) The |
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proposed limit on appropriations from all sources of revenue other |
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than the federal government for each spending category described by |
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Section 316.0101 is binding on the legislature with respect to |
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those appropriations for the next state fiscal biennium unless the |
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legislature adopts a resolution raising the proposed limit that is |
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approved by a record vote of a majority of the members of each house |
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of the legislature. The resolution must find that an emergency |
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exists, identify the nature of the emergency, and specify the |
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amount authorized. The excess authorized under this subsection may |
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not exceed the amount specified in the resolution. |
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(b) The rules of the house of representatives and senate |
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shall provide for enforcement of Subsection (a). |
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SECTION 2. The changes in law made by this Act apply only, |
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as applicable, in relation to appropriations made for the state |
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fiscal biennium beginning September 1, 2019, and subsequent state |
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fiscal bienniums. Appropriations for the state fiscal biennium |
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that begins September 1, 2017, are governed by the law in effect at |
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the time those appropriations were made, and the former law is |
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continued in effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2017. |