HBA-NLM H.B. 3556 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3556 By: Heflin Appropriations 4/16/1999 Introduced BACKGROUND AND PURPOSE Article VIII, Section 22 (Restriction on Appropriations), Texas Constitution, was proposed by the 65th Texas Legislature and adopted by the voters at an election held in 1978 as an attempt to adjust the rate of growth in state spending by tying it to the rate of growth in the economy. H.B. 3556 prohibits the total expenditures from all funds and accounts in the state treasury from exceeding the total amount appropriated for that fiscal year, except as otherwise provided. In addition, H.B. 3556 requires an expenditure of an appropriation in one fiscal year that was obligated under an appropriation for the preceding fiscal year to be counted against the previous year's total expenditures, for purposes of this section. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter F, Chapter 403, Government Code, by adding Section 403.091, as follows: Sec. 403.091. LIMITATION ON EXPENDITURES FROM STATE TREASURY. (a) Prohibits the total expenditures from all funds and accounts in the state treasury from exceeding the total amount appropriated for that fiscal year, except as provided by Subsection (c). Prohibits the comptroller from drawing a warrant on the state treasury to pay a claim that exceeds the amount specified in this section. (b) Authorizes the comptroller to reduce the authority to spend appropriations from the state treasury in the manner provided, to forestall the prohibition provided by Subsection (a). Provides that the reduction of authority must be applied equally to all appropriations from the state treasury, except as provided by Subsection (c). (c) Specifies that this section does not apply to appropriations made by the Texas Constitution or to appropriations of amounts dedicated by the Texas Constitution. Prohibits the comptroller from including appropriations made by the constitution or appropriations of amounts dedicated by the constitution in determining an agency's total appropriation authority, in applying a reduction of appropriation authority under Subsection (b). (d) Requires an expenditure of an appropriation in one fiscal year that was obligated under an appropriation for the preceding fiscal year to be counted against the previous year's total expenditures, for purposes of this section. SECTION 2. Effective date: September 1, 1999. SECTION 3. Emergency clause.