Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
SB962 by Nichols (relating to the determination of the sufficient balance of the economic stabilization fund for the purpose of allocating general revenue to that fund and the state highway fund.), Committee Report 1st House, Substituted
Relative to current law the bill would create a significant revenue gain to the State Highway Fund and a corresponding revenue loss to the Economic Stabilization Fund in fiscal year 2026 through fiscal year 2035.
The bill would amend Chapter 316 of the Government Code relating to the determination of a sufficient balance of the Economic Stabilization Fund (ESF) for the purpose of allocating general revenue to that fund and to the State Highway Fund (SHF).
The bill would amend Section 316.092 (e) to extend provisions of the Government Code relating to the determination of a sufficient balance of the ESF to December 1, 2034. Under current law those provisions would expire December 1, 2024.
The bill would amend Sections 316.093 (e) to extend provisions of the Government Code relating to the adjustment of allocations of oil and gas production tax revenue to the ESF and SHF through September 1, 2035. Similarly, Section 316.093(f) would be amended to extend the expiration of Subsections (a), (b), (c), and (f) until December 31, 2034.
This bill would take effect September 1, 2019.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies:
304 Comptroller of Public Accounts, 601 Department of Transportation