82R104 JJT-F
 
  By: Paxton H.J.R. No. 70
 
 
 
A JOINT RESOLUTION
  proposing a constitutional amendment regarding the maximum rate of
  growth of appropriations and the use of unencumbered surplus
  general revenues to fund the state's rainy day fund and a public
  school property tax relief fund.
         BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 22, Article VIII, Texas Constitution, is
  amended to read as follows:
         Sec. 22.  (a)  The [In no biennium shall the] rate of growth
  of appropriations from the state treasury for a fiscal biennium, as
  compared to the previous fiscal biennium, from all available
  sources of revenue except the federal government may not [state tax
  revenues not dedicated by this constitution] exceed the maximum
  [the estimated] rate of growth determined in accordance with
  Subsection (c) of this section and general law. The amount of
  appropriations from the state treasury for a fiscal biennium may
  not exceed the amount of permissible appropriations from all
  available sources of revenue except the federal government for that
  fiscal biennium, as determined in accordance with Subsection (d) of
  this section and general law [of the state's economy].
         (b)  For purposes of this section, appropriations from any
  source of revenue made for the sole purpose of reducing the
  imposition of ad valorem taxes by a political subdivision of this
  state or otherwise providing ad valorem tax relief are excluded
  from the determinations made under Subsections (c) and (d) of this
  section.
         (c)  The maximum rate of growth of appropriations from all
  available sources of revenue except the federal government is the
  least of:
               (1)  a rate equal to the sum of:
                     (A)  the estimated rate of growth of this state's
  population; and
                     (B)  the estimated rate of monetary inflation in
  this state;
               (2)  the estimated rate of growth of this state's gross
  state product; or
               (3)  the estimated rate of growth of personal income of
  this state's residents.
         (d)  The amount of permissible appropriations from all
  available sources of revenue except the federal government may not
  exceed an amount determined by multiplying the amount of
  appropriations from all available sources of revenue except the
  federal government for the then current fiscal biennium by the sum
  of one plus the maximum rate of growth determined under Subsection
  (c) of this section. If the maximum rate of growth determined under
  Subsection (c) of this section is a negative rate, the maximum
  amount of permissible appropriations from all available sources of
  revenue except the federal government for the next fiscal biennium
  is an amount less than the amount of appropriations for the then
  current fiscal biennium reduced in accordance with that negative
  growth rate.
         (e)  The legislature shall provide by general law procedures
  to implement this section [subsection].
         (f) [(b)]  If the legislature, by adoption on a record vote
  of a resolution approved by two-thirds [a record vote of a majority]
  of the members of each house, finds that an emergency exists and
  identifies the nature of the emergency, the legislature may provide
  by that resolution for appropriations in excess of the maximum
  permissible amount of appropriations authorized under [by]
  Subsection (d) [(a)] of this section. The total of the excess
  appropriations authorized by resolutions approved under this
  subsection may not exceed the total of the amounts [amount]
  specified in those resolutions [the resolution].
         (g) [(c)]  In no case shall appropriations exceed revenues
  as provided in Article III, Section 49a, of this constitution.
  Nothing in this section shall be construed to alter, amend, or
  repeal Article III, Section 49a, of this constitution.
         SECTION 2.  Section 49a, Article III, Texas Constitution, is
  amended by adding Subsections (c) and (d) to read as follows:
         (c)  A bill containing an appropriation may not be considered
  as passed and may not be sent to the Governor for consideration
  until the Comptroller of Public Accounts endorses on the bill the
  Comptroller's certificate showing that the amount appropriated
  does not exceed the maximum amount of permissible appropriations
  authorized under Section 22, Article VIII, of this constitution.
         (d)  When the Comptroller of Public Accounts finds that a
  bill containing an appropriation exceeds the maximum amount of
  permissible appropriations authorized under Section 22, Article
  VIII, of this constitution, the Comptroller shall:
               (1)  endorse on the bill that finding;
               (2)  return the bill to the House in which it
  originated; and
               (3)  notify immediately the House of Representatives
  and the Senate of the finding.
         SECTION 3.  Section 49-g(b), Article III, Texas
  Constitution, is amended to read as follows:
         (b)  The comptroller shall, not later than the 90th day of
  each state fiscal biennium, transfer to the economic stabilization
  fund one-quarter [one-half] of any unencumbered positive balance of
  general revenues on the last day of the preceding biennium. If
  necessary, the comptroller shall reduce the amount transferred in
  proportion to the other amounts prescribed by this section to
  prevent the amount in the fund from exceeding the limit in effect
  for that biennium under Subsection (g) of this section. For
  purposes of this subsection, general revenues are considered
  encumbered on the last day of a state fiscal biennium only to the
  extent that general revenues are subject to payment for particular
  identifiable and legally enforceable obligations of this state that
  were incurred on or before that day and intended to be paid out of
  appropriations for that biennium.
         SECTION 4.  Article III, Texas Constitution, is amended by
  adding Section 49-g-1 to read as follows:
         Sec. 49-g-1.  (a) Not later than the 90th day of each state
  fiscal biennium, the comptroller of public accounts shall ascertain
  the amount of the unencumbered positive balance of general revenues
  on the last day of the preceding state fiscal biennium that remains
  after the transfer of general revenues to the economic
  stabilization fund under Section 49-g(b) of this article. For
  purposes of this subsection, general revenues are considered
  encumbered on the last day of a state fiscal biennium only to the
  extent that general revenues are subject to payment for particular
  identifiable and legally enforceable obligations of this state that
  were incurred on or before that day and intended to be paid out of
  appropriations for that biennium.
         (b)  Not later than the 91st day of each state fiscal
  biennium, the comptroller of public accounts shall transfer to a
  property tax relief fund two-thirds of the amount of the balance
  ascertained under Subsection (a) of this section. Money
  transferred to the property tax relief fund may be appropriated
  only for the purpose of reducing as provided by general law the rate
  of the school district maintenance and operation taxes authorized
  by Section 3(e), Article VII, of this constitution.
         (c)  The legislature by general law shall provide the method
  by which the school district maintenance and operation tax rate is
  to be reduced by the appropriation of money dedicated for that
  purpose by Subsection (b) of this section. The maximum rate at
  which a school district may impose maintenance and operation taxes
  is to be reduced by an amount equal to one cent per $100 valuation of
  taxable property for each one cent per $100 valuation of taxable
  property that the school district's maintenance and operation tax
  is reduced by the general law method required by this subsection.
         (d)  In preparing an estimate of anticipated revenues for a
  succeeding biennium as required by Section 49a of this article, the
  comptroller of public accounts shall estimate the amount of the
  transfers that will be made under this section. The comptroller
  shall deduct that amount from the estimate of anticipated revenues
  as if the transfers were made on August 31 of that fiscal year.
         SECTION 5.  (a) This proposed constitutional amendment
  shall be submitted to the voters at an election to be held November
  6, 2012.
         (b)  The ballot shall be printed to permit voting for or
  against the proposition: "The constitutional amendment regarding
  the maximum rate of growth of appropriations and the use of
  unencumbered surplus general revenues to fund the state's rainy day
  fund and a public school property tax relief fund."