Honorable Dan Patrick, Lieutenant Governor, Senate Honorable Dennis Bonnen, Speaker of the House, House of Representatives
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
SB500 by Nelson (Relating to making supplemental appropriations and reductions in appropriations and giving direction, including direction regarding reimbursement, and adjustment authority regarding appropriations. ), Conference Committee Report
Estimated Two-year Net Impact to General Revenue Related Funds for SB500, Conference Committee Report: a negative impact of ($1,474,917,823) through the biennium ending August 31, 2021.
Fiscal Year
Appropriation out of General Revenue Fund 1
Appropriation out of Coastal Protection Acct 27
Appropriation out of Federal Funds 555
Appropriation out of Economic Stabilization Fund 599
2019
$1,685,898,982
$2,000,000
$2,146,518,960
$4,967,741,593
2020
$0
$0
$0
$899,000,000
2021
$0
$0
$0
$261,000,000
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2019
($1,685,898,982)
2020
$0
2021
$0
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2019
($1,685,898,982)
2020
$210,981,159
2021
$0
2022
$0
2023
$0
2024
$0
Fiscal Year
Probable Savings from General Revenue Fund 1
Probable (Cost) from General Revenue Fund 1
Probable (Cost) from Coastal Protection Acct 27
Probable Savings from Federal Funds 555
2019
$1,031,367,834
($2,717,266,816)
($2,000,000)
$8,481,040
2020
$210,981,159
$0
$0
$0
2021
$0
$0
$0
$0
2022
$0
$0
$0
$0
2023
$0
$0
$0
$0
2024
$0
$0
$0
$0
Fiscal Year
Probable (Cost) from Federal Funds 555
Probable Savings from Economic Stabilization Fund 599
Probable (Cost) from Economic Stabilization Fund 599
Probable Revenue (Loss) from Economic Stabilization Fund 599
2019
($2,155,000,000)
$2,000,000
($4,969,741,593)
($19,919,830)
2020
$0
$0
($899,000,000)
($143,099,541)
2021
$0
$0
($261,000,000)
($161,353,164)
2022
$0
$0
$0
($166,638,887)
2023
$0
$0
$0
($170,943,639)
2024
$0
$0
$0
($175,359,619)
Fiscal Analysis
SB 500, Conference Committee Report provides for the following appropriation related provisions:
General Revenue-Related appropriations decreases of $1,031,367,834 in fiscal year 2019 as follows: Texas Education Agency - Foundation School Fund: $903,300,000 General Land Office - Rebuild Housing: $48,600,000 Texas Public Finance Authority - Debt Service: $35,078,954 Texas Facilities Commission - Lease Payments: $22,589,128 Office of the Attorney General - Child Support Enforcement System 2.0 Project: $21,799,752
General Revenue-Related appropriations increases of $2,717,266,816 in fiscal year 2019 as follows: Health & Human Services Commission - Medicaid Shortfall: $2,000,000,000 Texas Education Agency - Maintenance of Financial Support for IDEA: $219,554,812 Texas Department of Criminal Justice - Correctional Managed Care: $190,000,000 Department of Family and Protective Services - Foster Care: $88,585,541 Health & Human Service Commission - Children's Hospital Rate Increase: $50,000,000 Health & Human Service Commission - Mental Health State Hospital Services: $31,700,000 Texas Department of Criminal Justice - Officer Overtime: $30,000,000 Texas State Technical College - Abatement and Demolition Waco Campus: $29,644,640 Department of Family & Protective Services - Purchased Client Services: $21,251,844 Health & Human Service Commission - Healthy Texas Women: $10,300,000 Health & Human Services Commission - State Supported Living Centers: $10,100,000 Department of State Health Services - X linked adrenoleukodystrophy: $7,927,458 Department of Family and Protective Services - Relative Caregiver: $6,833,593 Board of Pharmacy - Prescription Monitoring Program Database: $6,099,312 Department of Public Safety - Crime Labs: $5,770,426 Library & Archives Commission - Facility Renovation: $4,400,000 Health & Human Services Commission - Early Childhood Intervention: $1,500,000 Texas Commission on Environmental Quality - Litigation Expenses: $1,400,000 Kilgore College - Higher Education Group Insurance: $1,238,238 Comptroller of Public Accounts Judiciary Section - Longevity Pay: $523,295 Comptroller of Public Accounts Judiciary Section - Visiting Judges: $400,000 Texas Education Agency - Adult High School Diploma and Industry Certification Charter School Pilot Program: $37,657
Federal Fund appropriations decreases of $8,481,040 in fiscal year 2019 as follows: Department of Family and Protective Services - Relative Caregiver: $8,481,040
Federal Fund appropriations increases of $2,155,000,000 in fiscal year 2019 as follows: Health & Human Services Commission - Medicaid Shortfall: $2,150,000,000 Department of Family & Protective Services - Daycare: $5,000,000
Economic Stabilization Fund appropriations decreases of $2,000,000 in fiscal year 2019 as follows: Health & Human Services Commission - State Hospital Construction: $2,000,000
Economic Stabilization Fund appropriations increases of $4,969,741,593 in fiscal year 2019 as follows: Texas Water Development Board - State Flood Plan Infrastructure Projects: $793,000,000 Teacher Retirement System - State Contribution Additional Payment: $589,000,000 Texas Education Agency - FSP Harvey Costs: $535,200,000 Health & Human Services Commission - State Hospital Construction: $445,354,363 Texas Water Development Board - Matching Funds for FEMA Public Assistance Grants: $365,000,000 Texas Water Development Board - Matching Funds for FEMA Hazard Mitigation Grants: $273,000,000 Texas Education Agency - Post-Harvey recovery and reimbursements to ISDs: $271,300,000 Comptroller of Public Accounts - Texas Tomorrow Fund: $210,981,159 General Land Office - Matching Funds for Army Corp of Engineers Programs: $200,000,000 Soil and Water Conservation Board - Dam Infrastructure Projects: $150,000,000 Texas Department of Transportation - Transportation Infrastructure Fund Grants: $125,000,000 Health & Human Services Commission - Harvey Costs: $110,000,000 Office of the Governor - Disaster Grants: $100,000,000 Office of the Governor - Border Surge Operations: $100,000,000 Texas Education Agency - School Hardening: $100,000,000 Department of Public Safety - Harvey Costs: $96,954,409 Texas A&M Forest Service - Wildfires: $54,909,580 Texas Department of Criminal Justice - Repair and Rehabilitation of Facilities: $54,000,000 Texas Water Development Board - State Flood Risk Maps: $47,000,000 Texas Department of Criminal Justice - Harvey Costs: $38,600,000 Texas Parks and Wildlife Department - Battleship Texas: $35,500,000 Texas Department of Criminal Justice - Surveillance Cameras: $26,000,000 General Land Office - Harvey Costs: $25,742,927 Texas Historical Commission - Courthouse Grants: $25,000,000 Texas Department of Criminal Justice - Corrections Information Technology System: $24,164,000 University of Houston - Harvey Costs: $20,288,883 Department of State Health Services - Trauma Capacity Grants: $17,000,000 Texas Southern University - Thermal Plant & Steam Tunnel Maintenance: $16,000,000 Lone Star College - Harvey Costs: $13,100,000 Department of State Health Services - Emergency Generator: $12,000,000 Texas Education Agency - Post Disaster Recovery: $10,930,000 University of Texas at Austin Marine Science Institute - Harvey Costs: $10,200,000 Texas Workforce Commission - Harvey Costs: $8,931,385 Texas Parks & Wildlife Department - Harvey Costs: $8,000,000 Juvenile Justice Department - Surveillance Cameras: $7,547,000 Lamar State College Port Arthur - Harvey Costs: $6,319,458 Department of Public Safety - Helicopter Replacement: $6,299,489 Texas Parks & Wildlife Department - Interoperable Radios: $5,000,000 Texas Parks & Wildlife Department - Wyler Aerial Tramway Repair: $5,000,000 Texas Department of Transportation - Edinburg Airport: $5,000,000 University of Houston Downtown - Harvey Costs: $4,000,000 Texas Department of Housing and Community Affairs - Affordable Rental Housing: $4,000,000 Texas Historical Commission - Deferred Maintenance: $2,886,250 Texas A&M Forest Service - Harvey Costs: $2,458,240 Texas Historical Commission - Nimitz Museum: $2,149,600 Texas Historical Commission - Levi Jordan Plantation: $2,000,000 University of Houston Victoria - Harvey Costs: $1,703,828 Lamar University - Harvey Costs: $1,418,585 Lamar Institute of Technology - Harvey Costs: $1,312,657 Lamar State College Orange - Harvey Costs: $406,112 University of Houston Clear Lake - Harvey Costs: $83,668
Economic Stabilization Fund appropriations increases of $636,000,000 in the 2020-21 biennium as follows: Texas Education Agency - FSP Harvey Costs: $636,000,000 Teacher Retirement System - State Contribution: $524,000,000
General Revenue Dedicated Account Appropriation increases of $2,000,000 in fiscal year 2019 as follows: General Land Office - Abandoned Vessel Removal: $2,000,000
Methodology
The amounts identified above represent changes to previously authorized amounts and purposes for the state fiscal year ending August 31, 2019, with the exception of the appropriation of $636,000,000 from the Economic Stabilization Fund for the Texas Education Agency and the appropriation of $524,000,000 from the Economic Stabilization Fund for the Teacher Retirement System, which is made for the state fiscal biennium ending August 31, 2021.
The 2020-21 Biennial Revenue Estimate (BRE) assumed a General Revenue fund transfer of $211.0 to the Texas Tomorrow Fund in fiscal year 2020. Because SB 500 appropriates that amount to the Texas Tomorrow Fund from the Economic Stabilization Fund, there is a corresponding General Revenue savings in fiscal year 2020.
The revenue loss to the Economic Stabilization Fund in every year represents the interest and investment loss due to the appropriations out of the fund.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.