HBA-NRS S.B. 1060 77(R)BILL ANALYSIS Office of House Bill AnalysisS.B. 1060 By: Lindsay Appropriations 5/8/2001 Committee Report (Amended) BACKGROUND AND PURPOSE The legislature acknowledges the need for state agencies to respond to changing priorities by allowing, through an Article IX rider, the transfer of up to 25 percent of an agency's appropriations from one strategy to another. However, the statutory restrictions placed on various fees assessed by the Texas Natural Resource Conservation Commission (TNRCC) undermine the flexibility afforded by appropriations transferability provisions. Senate Bill 1060 authorizes TNRCC to reallocate a percentage of its total appropriations. 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. ANALYSIS Senate Bill 1060 amends the Water Code to authorize the Texas Natural Resource Conservation Commission (TNRCC) to transfer a percentage of appropriations from one appropriation item to another appropriation item consistent with the General Appropriations Act for any biennium authorizing such a transfer. The bill prohibits the use of funds in dedicated accounts for transfer for purposes in addition to those provided by statutes restricting their use from exceeding seven percent or $20 million, whichever is less, of appropriations to TNRCC in the General Appropriations Act for any biennium. The bill provides that a transfer of $500,000 or more from one appropriation item to another appropriation item must be approved by TNRCC at an open meeting. EFFECTIVE DATE September 1, 2001. EXPLANATION OF AMENDMENTS Amendment No.1 requires TNRCC to notify the governor and the Legislative Budget Board of any decision to reallocate funds between accounts prior to any such reallocations.