LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 89TH LEGISLATURE 2nd CALLED SESSION 2025

September 3, 2025

TO:	Honorable Dan Patrick, Lieutenant Governor, Senate Honorable Dustin Burrows, Speaker of the House, House of Representatives
FROM:	Jerry McGinty, Director, Legislative Budget Board
IN RE:	SB5 by Huffman (Relating to making supplemental appropriations for disaster relief and preparedness and giving direction and adjustment authority regarding those appropriations.), Conference Committee Report

Estimated Two-year Net Impact to General Revenue Related Funds for SB5, Conference Committee Report: a positive impact of $2,594,265 through the biennium ending August 31, 2027.

Appropriations:

Fiscal Year	Appropriation out of General Revenue Fund 1	Appropriation out of Economic Stabilization Fund 599
2026	$0	$280,594,265
2027	$2,484,726	$0

General Revenue-Related Funds, Five- Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2026	$2,594,265
2027	$0
2028	$0
2029	$0
2030	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings/(Cost) from General Revenue Fund 1	Probable Revenue Gain/(Loss) from General Revenue Fund 1	Probable Savings/(Cost) from Economic Stabilization Fund 599	Change in Number of State Employees from FY 2025
2026	$0	$2,594,265	($280,594,265)	16.0
2027	($2,484,726)	$2,484,726	$0	16.0
2028	($2,484,726)	$2,484,726	$0	16.0
2029	($2,484,726)	$2,484,726	$0	16.0
2030	($2,484,726)	$2,484,726	$0	16.0

Fiscal Analysis

The bill would appropriate from the Economic Stabilization Fund (ESF) to Trusteed Programs within the Office of the Governor for the two-year period beginning the effective date of this Act:

(1)  $200,000,000 for federal disaster funding match and for disaster needs of the state;

(2)  $50,000,000 for grants to local governments in certain counties to purchase a system of flood warning sirens and rain gauges; and

(3)  $28,000,000 for grants for enhanced atmospheric measurement and modeling techniques; and

The bill would, contingent on the passage of Senate Bill 1 or similar legislation, appropriate the amount of $2,594,265 from the Economic Stabilization Fund (ESF) for use during the two-year period beginning on the bill's effective date, and the amount of $2,484,726 from the General Revenue Fund (GR) for use during fiscal year 2027 to the Department of State Health Services (DSHS) to implement the bill's provisions. The bill would require DSHS to adjust the amount DSHS sets for youth camp license fees as necessary to recover the costs of these appropriations. The bill would authorize DSHS to use $500,000 in capital budget authority for the appropriations during the 2026-27 biennium.

The bill would take effect immediately and only if it receives a vote of two-thirds of the members present in each house of the legislature, as provided by Section 49-g(m), Article III, Texas Constitution.

Methodology

The above tables reflect total appropriations made in the bill.

According to the Comptroller of Public Accounts, the appropriation from the ESF would take place on or after September 1, 2025, and any impact on interest or investment earnings within the ESF would be negligible. The Comptroller assumes there would be an increase to GR in fiscal years 2026 and 2027 as a result of increased youth camp fee collections, as would be required by the bill. The Comptroller's analysis assumes DSHS would recover the entire amount of the ESF appropriation in fiscal year 2026, and that of the GR appropriation in fiscal year 2027; as a result, there would be a gain to GR in fiscal year 2026 and net zero impact to GR in fiscal year 2027.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

304 Comptroller of Public Accounts, 529 Health and Human Services Commission, 537 State Health Services, Department of

LBB Staff:

JMc, SD, KK, FV, CMA, NV