BILL ANALYSIS

S.B. 962

By: Nichols

Appropriations

Committee Report (Unamended)

BACKGROUND AND PURPOSE

In November 2014, Texas voters approved a ballot measure that authorized a constitutional amendment providing for increased transportation funding by transferring a portion of severance tax revenue to the state highway fund. As part of this process, a sufficient minimum balance for the economic stabilization fund (ESF) must be determined before a transfer to the state highway fund may begin to occur. It has been noted that the provisions of state law providing for the determination of that sufficient balance and for the adjustment of the constitutional allocations to the ESF and the state highway fund are set to expire in 2024. In response to calls to ensure that the ESF is protected while the state has adequate transportation funding, S.B. 962 extends those provisions through 2034.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

S.B. 962 amends the Government Code to postpone from December 31, 2024 to December 31, 2034, the expiration of the following:

·         statutory provisions providing for the biennial determination and approval of a sufficient balance of the economic stabilization fund (ESF) for purposes of the constitutional allocation of general revenue to the ESF and the state highway fund; and

·         certain statutory provisions providing for the adjustment of those constitutional allocations to preserve a sufficient ESF balance.

The bill changes from the 2026 state fiscal year to the 2036 state fiscal year the fiscal year beginning with which the comptroller of public accounts is required to adjust certain constitutionally provided allocations to the ESF and the state highway fund so that the total of certain amounts received by the state from oil and gas production taxes, subject to the limit on the total ESF balance for the biennium.

EFFECTIVE DATE

September 1, 2019.