Texas v. Yellen, No. 2:21-cv-00079 (N.D. Tex.): appendix in support of plaintiffs' combined response to motion to dismiss and motion for partial summary judgment (Document 29-1, filed September 27, 2021)
Summary
Volume I of the appendix in support of the plaintiffs' combined response to the defendants' motion to dismiss and motion for partial summary judgment in State of Texas, State of Mississippi and State of Louisiana v. Janet Yellen, Secretary of the Treasury, et al., Case No. 2:21-cv-00079-Z, Document 29-1, filed 09/27/21, in the U.S. District Court for the Northern District of Texas, Amarillo Division. It opens with the declaration of Jeffrey M. White, Special Counsel in the Special Litigation Unit of the Office of the Attorney General of Texas, who lists the exhibits appended to the response. The exhibits that follow include a December 2020 - January 2021 Fiscal Notes issue, Weathering the Pandemic – Texas Industries and COVID-19, and run to App.271.
Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used
Full text
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 1 of 272 PageID 223
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, in her official capacity as §
Secretary of the Treasury, et al., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO DEFENDANTS’
MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY JUDGMENT
VOLUME I OF II
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 2 of 272 PageID 224
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, in her official capacity as §
Secretary of the Treasury, et al., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO DEFENDANTS’
MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY JUDGMENT
DECLARATION OF JEFFREY M. WHITE
EXHIBIT A
App.001
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, in her official capacity as §
Secretary of the Treasury, et al., §
§
Defendants. §
§
DECLARATION OF JEFFREY M. WHITE IN SUPPORT OF
PLAINTIFFS’ COMBINED RESPONSE TO DEFENDANTS’
MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
I, Jeffrey M. White, hereby declare as follows:
1. I am over 18 years of age and am fully competent to make this declaration. I am
Special Counsel in the Special Litigation Unit at the Office of the Attorney General of Texas, I am
admitted to practice law in this Court, and I represent the State of Texas in the above-captioned
matter. I submit this Declaration in support of Plaintiffs’ Combined Response to Defendants’ Motion
to Dismiss and Motion for Partial Summary Judgment. I have personal knowledge of the facts stated
herein.
2. Appended to Plaintiffs’ Combined Response to Defendants’ Motion to Dismiss and
Motion for Partial Summary Judgment are the following exhibits:
Ex. No. Title
1 The December 2020 – January 2021 issue of Fiscal Notes, published by Texas
Comptroller of Public Accounts Glenn Hegar, which is publicly available at
1
App.002
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 4 of 272 PageID 226
https://comptroller.texas.gov/economy/fiscal-notes/2021/jan/docs/fn.pdf.
The First Quarter 2021 issue of Southwest Economy, published by the Federal
2 Reserve Bank of Dallas, which is publicly available at
https://www.dallasfed.org/~/media/documents/research/swe/2021/swe2101.pdf.
The January 2021 Biennial Revenue Estimate for the 2022 – 2023 Biennium for the
87th Texas Legislature, published by Texas Comptroller of Public Accounts Glenn
3 Hegar, which is publicly available at
https://comptroller.texas.gov/transparency/reports/biennial-revenue-estimate/2022-
23/docs/96-402-BRE-2022-2023.pdf.
The U.S. Department of Treasury’s publication titled “Allocation for States,” which
is publicly available at
4
https://home.treasury.gov/system/files/136/fiscalrecoveryfunds-statefunding1-
508A.pdf.
Excerpts from S.B. No. 1, General Appropriations Act, Eighty-seventh Legislature,
5 which is publicly available at
https://webservices.sos.state.tx.us/legbills/files/RS87/SB1.pdf.
The FY 21-22 Total Budget Summary for Louisiana prepared by the House Fiscal
Division, which is publicly available at
6
https://house.louisiana.gov/housefiscal/DOCS_APP_BDGT_MEETINGS/DOCS_A
PPBudgetMeetings2021/FY%202022%20State%20Budget%20Summary.pdf.
The March 16, 2021 Letter from twenty-one State Attorneys General to Secretary
Janet L. Yellen, which is publicly available at
7 https://ag.ky.gov/Press%20Release%20Attachments/Yellen%20Letter%203-
16%20FINAL.pdf and
https://www.oag.ok.gov/sites/g/files/gmc766/f/yellen_letter_3-16_final.pdf.
The March 23, 2021 Letter from Secretary Janet L. Yellen to Mark Brnovich and
twenty other State Attorneys General, which is publicly available at
8
https://home.treasury.gov/system/files/136/Response-to-State-Attorneys-General-
Inquiries-on-Implementation-of-Section-9901-of-the-ARP-Act.pdf.
H.B. No. 1195, which is publicly available at
9
https://webservices.sos.state.tx.us/legbills/files/RS87/HB1195.pdf.
2
App.003
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The Fiscal Note for HB1195 published by the Legislative Budget Board, which is
10 publicly available at
https://capitol.texas.gov/tlodocs/87R/fiscalnotes/pdf/HB01195F.pdf.
S.B. No. 313, which is publicly available at
11
https://webservices.sos.state.tx.us/legbills/files/RS87/SB313.pdf.
The Fiscal Note for SB313 published by the Legislative Budget Board, which is
12 publicly available at
https://capitol.texas.gov/tlodocs/87R/fiscalnotes/pdf/SB00313F.pdf.
S.B. No. 609, which is publicly available at
13
https://webservices.sos.state.tx.us/legbills/files/RS87/SB609.pdf.
The Fiscal Note for SB609 published by the Legislative Budget Board, which is
14 publicly available at
https://capitol.texas.gov/tlodocs/87R/fiscalnotes/pdf/SB00609S.pdf.
S.B. No. 938, which is publicly available at
15
https://webservices.sos.state.tx.us/legbills/files/RS87/SB938.pdf.
The Fiscal Note for SB938 published by the Legislative Budget Board, which is
16 publicly available at
https://capitol.texas.gov/tlodocs/87R/fiscalnotes/pdf/SB00938E.pdf.
S.B. No. 1524, which is publicly available at
17
https://webservices.sos.state.tx.us/legbills/files/RS87/SB1524.pdf.
The Fiscal Note for SB1524 published by the Legislative Budget Board, which is
18 publicly available at
https://capitol.texas.gov/tlodocs/87R/fiscalnotes/pdf/SB01524E.pdf.
The July 7, 2021 Proclamation by the Governor of the State of Texas calling an
19 extraordinary session of the 87th Legislature, which is publicly available at
https://lrl.texas.gov/scanned/govdocs/Greg%20Abbott/2021/proc07072021.pdf.
20 The August 5, 2021 Proclamation by the Governor of the State of Texas calling an
extraordinary session of the 87th Legislature, which is publicly available at
3
App.004
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https://lrl.texas.gov/scanned/govdocs/Greg%20Abbott/2021/proc08052021.pdf.
S.B. No. 12, which is publicly available at
21
https://capitol.texas.gov/tlodocs/872/billtext/pdf/SB00012F.pdf.
The Fiscal Note for SB12 published by the Legislative Budget Board, which is
22 publicly available at
https://capitol.texas.gov/tlodocs/872/fiscalnotes/pdf/SB00012F.pdf.
Act No. 134, which is publicly available at
23
https://www.legis.la.gov/legis/ViewDocument.aspx?d=1235025.
Excerpts from the Official Journal of the Senate of the State of Louisiana – Thirty-
24 Fourth Day’s Proceedings, which is publicly available at
https://senate.la.gov/Journals/2021/RS/21RS%20-%20SJ%200610%2034.PDF.
25 Excerpts from Webster’s New World College Dictionary (5th ed. 2016).
3. The exhibits listed above are true and correct copies of what they purport to be.
I declare under the penalty of perjury that the foregoing is true and correct.
Executed on September 27, 2021
/s/ Jeffrey M. White
Jeffrey M. White
4
App.005
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
December 2020 - January 2021 Fiscal Notes – Weathering the Pandemic – Texas Industries and
COVID-19
EXHIBIT A-1
App.006
TION SPECIAL EDI
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FISCAL NOTES
D E C E M B E R 2 02 0 - JA N UA RY 2 02 1
STATE REVENUE WATCH 15
WEATHERING
A REVIEW OF THE TEX AS ECONOMY FROM THE OFFICE OF GLENN HEGAR, TEX AS COMPTROLLER OF PUBLIC ACCOUNTS
THE PANDEMIC
TEXAS INDUSTRIES AND COVID-19
By Olga Garza, TJ Costello, Jessica Donald,
Peggy Fikac, David Green, Spencer Grubbs,
Shannon Halbrook and Lisa Minton
To slow the spread of COVID-19 last spring, schools, fall. By Jan. 11, 2021, the Texas Department of State
businesses and sports venues began closing across Health Services had confirmed more than 1.7 million
Texas and the rest of the nation. Texans prepared as COVID-19 cases in the state — and nearly 30,000
if for a hurricane rather than a year-long event that deaths from the disease.
would upend businesses and their everyday lives. But the pandemic isn’t only a health crisis; it’s an
After a spike in July, new cases fell off dramatically economic crisis that continues to wreak havoc on both
in August and September only to mount again in late CONTINUED ON PAGE 3
Editor’s Note: Details of the new federal stimulus legislation were emerging as we went to press. The Comptroller's office
is monitoring the impact of the new stimulus package and its effect on Texas industries.
GLENN HEGAR, TEX AS COMPTROLLER OF PUBLIC ACCOUNTS App.007
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A Message from the Comptroller
As I write this, a truly disastrous year has just ended. According to
Johns Hopkins University, about 1.8 million people have died due to
COVID-19, nearly 375,000 of them in the U.S. Almost 30,000 Texans have
succumbed to the disease.
Yet the devastation stretched well beyond this awful record.
Many lost their jobs or saw their education disrupted. Lockdowns and
layoffs altered consumer behavior radically. Thousands of businesses
were forced to close — or to change.
We’ve looked at aspects of the coronavirus crisis in previous issues of Fiscal Notes. In this
special issue, we examine how the pandemic hit some Texas industries that found themselves at
the center of the year’s disruptions.
Leisure and hospitality — including restaurants, bars, hotels and motels and recreational
facilities and events, among others — experienced some of the most traumatic changes. Many
businesses were forced to shut down for extended periods; even when they reopened, many
customers stayed home. Some restaurants pivoted successfully to an emphasis on takeout and
curbside pickup, but thousands closed their doors for good.
Retail sales evolved rapidly during the pandemic. Online sales continue to grow in
importance and helped keep revenues coming in for large retailers, but smaller companies often
are struggling to meet payrolls and lease payments.
Texas is home to two of the world’s largest airlines — Southwest and American — and
some of the nation’s busiest airports. Air travel has been a large and high-paying employer for our
state. But travel limitations and fear of the virus have sent airline revenues plummeting. 2020 will
go down in the records as a “lost year” for air travel, although bookings for later in 2021 give some
room for optimism.
Texas hospitals have had different troubles. Unprecedented demand for emergency services
strained their resources enormously, while a decline in non-emergency procedures and an increase
in the number of uninsured patients dented their finances.
It’s been a very difficult year, not just for these industries but for all of us. But Texans have
seen tough times before, and have repeatedly demonstrated their ability to find new ways to
succeed and thrive.
I know you’ll join me in hoping that 2021 is the beginning of a comeback for our state.
G LENN HEGAR
Texas Comptroller of Public Accounts
Note: This report contains estimates and projections that are based on available information, assumptions and estimates as of the date of
the forecasts upon which they are based. Assumptions involve judgments about future economic and market conditions and events that are
difficult to predict. Actual results could differ from those predicted, and the difference could be material.
If you would like to receive paper copies of Fiscal Notes, contact us at fiscal.notes@cpa.texas.gov
2 | GLENN HEGAR, TEX AS COMPTROLLER OF PUBLIC ACCOUNTS App.008
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WEATHERING THE PANDEMIC CO NTI N U E D F R O M PAG E 1
small firms and major industries. Closures, quarantines TH E STE E PE ST D RO P
and other restrictions come with significant fiscal
The “steepest and fastest drop in Texas economic
implications and, despite its strong and diverse
activity in modern history” — that’s the Federal
economy, Texas isn't immune to the uncertainties of
Reserve Bank of Dallas’ description of the
this unprecedented situation.
All Texas industry sectors have been affected pandemic’s effects. This crisis is unique compared
by the pandemic to some degree, but some have to previous downturns, adversely singling out
struggled more than others, raising concerns over certain sectors and making the economic effects
what some have called a “K-shaped recovery” — one and recovery process uneven and hard to predict.
in which different sectors, industries and employee Sales tax collections, buoyed by retail sales, have
groups fare differently, some recovering and others declined moderately, but other affected industries
remaining in recession. In this special issue of Fiscal have suffered much more. As of December 2020,
Notes, we take a closer look at some of the industries the effects were still evident in some major taxes:
most affected by the pandemic: leisure and hospitality
providers, restaurants and bars, retailers, passenger
• Sales tax — $2.86 billion, down 5.0% from
December 2019
airlines and hospitals.
EMPLOYMENT CHANGES
• Oil production tax — $197 million,
DURING THE PANDEMIC down 45.5%
Initial job losses due to COVID-19 were staggering. • Natural gas production tax — $86 million,
Between February and April 2020, the U.S. lost 22.2 down 25.0%
million jobs, more than 1.4 million of them in Texas.
Texas’ unemployment rate spiked at 13.5 percent in
• Alcoholic beverage taxes — $84 million,
down 28.5%
April 2020, up from 3.5 percent just two months earlier.
By November, nearly 1.2 million Texans remained • Hotel occupancy tax — $26 million,
unemployed (Exhibit 1). down 48.5%
EXHIBIT 1
TEXAS UNEMPLOYMENT, FEBRUARY-NOVEMBER 2020
(SEASONALLY ADJUSTED)
1,800,000
1,600,000
1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
FEB MARCH APRIL MAY JUNE JULY AUG SEPT OCT NOV
UNEMPLOYMENT
RATE 3.5% 5.1% 13.5% 13.0% 8.4% 8.0% 6.8% 8.3% 6.9% 8.1%
Source: Comptroller analysis of data from the Texas Workforce Commission
App.009
FISCAL NOTES | 3
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WEATHERING THE PANDEMIC
From mid-March through Jan. 2, 2021, Texans filed Employment among Texans
more than 4.1 million initial claims for unemployment
making less than $27,000 per
insurance, 300,000 in the week ending April 4 alone.
These have fallen significantly, but remain historically
year fell by 17 percent from
elevated. January through Oct. 22, 2020.
The number of continued unemployment claims,
which reflects those receiving benefits after an initial 3.6 percent; for workers earning more than $60,000,
claim, peaked in Texas at 1.4 million in the week employment actually rose, though only slightly
ending May 23, remained above 1 million through the (0.5 percent).
week ending Aug. 29 and totaled 368,223 for the week
HARDEST-HIT INDUSTRIES
ending Dec. 26.
Low-wage workers, disproportionately employed A September analysis of federal labor data by the
in service industries, bore the brunt of job losses. Washington Post found that nine out of the 10 U.S.
Many of these workers are women and minorities; industries with the biggest job losses during the
in 2019, for instance, 58.7 percent of U.S. hotel and pandemic were service providers, including hotels,
motel employees were women and 58.6 percent were performing arts venues and restaurants. Texas
members of ethnic minorities, according to the U.S. Workforce Commission data indicate employment
Bureau of Labor Statistics. Opportunity Insights, a in the arts, entertainment and recreation fell by nearly
Harvard-based research and policy institute, found half from February to April 2020, and remained
that employment among Texans making less than 27 percent lower in November (Exhibit 2).
$27,000 per year fell by 17 percent from January Employment at hotels, restaurants and bars fell by
through Oct. 22, 2020. Employment for middle-wage 12.5 percent during this period.
workers ($27,000 to $60,000 per year) declined by just
EXHIBIT 2
PERCENT CHANGE IN TEXAS NONFARM EMPLOYMENT, SELECTED INDUSTRIES, FEBRUARY-NOVEMBER 2020
(SEASONALLY ADJUSTED)
TRANSPORTATION, WAREHOUSING AND UTILITIES
0%
RETAIL TRADE
TEXAS TOTAL
HEALTH CARE AND SOCIAL ASSISTANCE
-10%
ACCOMMODATION AND FOOD SERVICES
-20%
ARTS, ENTERTAINMENT AND RECREATION
-30%
-40%
-50%
FEB MARCH APRIL MAY JUNE JULY AUG SEPT OCT NOV
Source: Comptroller analysis of data from the Texas Workforce Commission
4 | GLENN HEGAR, TEX AS COMPTROLLER OF PUBLIC ACCOUNTS App.010
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Among these industries, the most significant jobs in 2019. Between 2010 and 2019, employment
shared characteristic is their inherent necessity growth in this sector outpaced statewide gains,
to operate in close quarters with their customers; rising by an annual average of 3.7 percent versus
their profitability typically depends on face-to-face 2.4 percent for all Texas jobs (Exhibit 3). Restaurants
encounters or crowds, from restaurants to sports and bars led employment growth, adding jobs at an
arenas. In addition, some businesses have been average 3.8 percent per year.
affected by the lack of consumer confidence and by a But then the pandemic arrived. In November
concern for individual health and safety. Many sectors 2020, Texas leisure and hospitality employment was
are financially fragile, with little cash on hand to down by 13 percent from the same month in the
weather an economic downturn. previous year, a loss of 181,800 jobs and 37.2 percent
of all Texas job losses during this period. Restaurants
LEISURE AND HOSPITALITY
and bars suffered the heaviest total losses, falling by
According to the federal government’s industrial 10.1 percent or 112,500 jobs. Employment in the arts,
classification scheme, leisure and hospitality is a entertainment and recreation industries experienced
“supersector,” a wide-ranging category including the greatest percentage decline at 29.6 percent or
restaurants, bars, hotels, tourism, performing arts, 42,800 jobs.
sporting events, amusement parks, gyms and other After a rebound in May and June, sector
enterprises. The supersector includes two sectors, arts, employment growth had improved only modestly
entertainment and recreation and accommodation through November (Exhibit 4).
and food services. The latter, in turn, is divided into The contribution of the arts, entertainment,
two subsectors, accommodation and food services recreation, accommodation and food services —
and drinking places — or, in other words, restaurants a group defined by the U.S. Bureau of Economic
and bars. Analysis — to the Texas gross state product (GSP)
No part of the state economy was injured more also slumped. In 2019, these industries contributed
deeply by the pandemic than these industries. For the $63.5 billion to the Texas economy, or 3.4 percent
past several decades, leisure and hospitality jobs have of the state’s $1.84 trillion GSP. Between the first
comprised an increasing share of Texas’ employment and second quarters of 2020, their combined Texas
base, accounting for 10.9 percent of the state’s total GSP fell by more than $19 billion or 32 percent.
EXHIBIT 3
TEXAS LEISURE AND HOSPITALITY SUPERSECTOR,
ANNUAL NONFARM EMPLOYMENT CHANGE, 2010-2019
LEISURE AND HOSPITALITY
ARTS, ENTERTAINMENT
AND RECREATION SECTOR
ACCOMMODATION AND
FOOD SERVICES SECTOR:
FOOD SERVICES
AND DRINKING PLACES
ACCOMMODATION
TEXAS TOTAL
0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0%
Source: Comptroller analysis of data from the Texas Workforce Commission
App.011
FISCAL NOTES | 5
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WEATHERING THE PANDEMIC
EXHIBIT 4
TEXAS LEISURE AND HOSPITALITY INDUSTRIES, YEAR-OVER-YEAR EMPLOYMENT CHANGE, 2019 VS. 2020
(NOT SEASONALLY ADJUSTED)
100,000
0 ACCOMMODATION (ACCOMMODATION AND FOOD SERVICES SECTOR)
ARTS, ENTERTAINMENT AND RECREATION SECTOR
-100,000 FOOD SERVICES AND DRINKING PLACES (ACCOMMODATION AND FOOD SERVICES SECTOR)
LEISURE AND HOSPITALITY SUPERSECTOR
-200,000
-300,000
-400,000
-500,000
-600,000
JAN FEB MARCH APRIL MAY JUNE JULY AUG SEPT OCT NOV
Source: Comptroller analysis of data from the Texas Workforce Commission
Total output in the arts, entertainment and recreation EXHIBIT 5
industries declined by more than half (Exhibit 5).
TEXAS ARTS, ENTERTAINMENT, RECREATION,
Opportunity Insights’ data describe the impacts ACCOMMODATION AND FOOD SERVICES INDUSTRIES,
on the sector in Texas: GROSS STATE PRODUCT BY QUARTER, 2020
• small business revenue in leisure and hospitality 2020 Q1 2020 Q2
fell by 74.3 percent between January and
Dec. 30, 2020, versus a 39.1 percent decline for
$60
all small businesses.
• the number of small businesses open fell by $50
-32.0%
-26.8%
57.7 percent during this period, versus a $40
31.5 percent decline for all small businesses.
$30
• compared to January 2020, consumer spending
at Texas restaurants and hotels was down $20
11.8 percent for the week ending Dec. 6, and down -52.4%
$10
BILLIONS
45.6 percent at entertainment and recreation sites;
total consumer spending fell by just 1.0 percent in $0
this period. TOTAL ACCOMMODATION, ARTS,
RESTAURANTS ENTERTAINMENT
ACCOMMODATION AND BARS AND RECREATION
Source: Comptroller analysis of data from the U.S. Bureau of Economic Analysis
The accommodation industry includes businesses
that provide overnight and short-term lodging for
travelers. It plays a significant role in our economy by
6 | GLENN HEGAR, TEX AS COMPTROLLER OF PUBLIC ACCOUNTS App.012
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supporting tourism and hosting meetings and events. this contribution showed a 5 percent
The sharp reduction in travel caused by the pandemic compound annual growth rate
has forced many businesses in the accommodation between 2010 and 2019, slightly higher
industry to consider taking drastic steps to stay above than the rate for all Texas industries.
water. As of November 2020, Texas’
In Texas, most hotel and motel employees earn accommodation industry had lost
considerably less than $45,000 annually; the industry’s 26,500 jobs in a year, a 19.5 percent
top three occupations earn an average of less than decline. In April, the American Hotel
$25,000 a year (Exhibit 6). This is an economically and Lodging Association estimated
high-risk group; among maids and housekeeping that more than 296,000 Texas jobs
JUSTIN BRAGIEL
employees, nearly 55 percent are between the ages directly and indirectly related to
GENERAL COUNSEL, TEXAS
of 34 and 55 and almost 79 percent have only a high lodging were endangered by travel HOTEL AND LODGING
school degree or less. restrictions. ASSOCIATION
In 2019, the accommodation industry contributed According to Justin Bragiel, general
an estimated $9.4 billion to Texas GSP (Exhibit 7); counsel for the Texas Hotel and Lodging Association,
the statewide hotel occupancy rate in November
EXHIBIT 6 2020 was at about 36 percent, 30 percent below
average for that time of year. He cites examples of
TOP OCCUPATIONS AND WAGES IN THE
TEXAS ACCOMMODATION INDUSTRY, 2019
hotels that have created alternative revenue streams
to help relieve financial pressures, such as leasing
MAIDS AND rooms for use as office space or contracting with local
HOUSEKEEPING CLEANERS governments to provide quarantine space for COVID-
HOTEL, MOTEL AND positive employees.
RESORT DESK CLERKS “We believe difficult economic conditions will
WAITERS AND WAITRESSES continue through 2021, [but] we’re hopeful that
the development and deployment of a successful
MAINTENANCE AND
REPAIR WORKERS, GENERAL vaccine will allow more travelers to return to normal
conditions in late 2021 and beyond,” Bragiel says.
COOKS, RESTAURANT
$0 $10,000 $20,000 $30,000 $40,000
Source: JobsEQ
EXHIBIT 7
TEXAS ACCOMMODATION INDUSTRY,
CONTRIBUTIONS TO TEXAS GROSS STATE PRODUCT, 2019
$10
$8
$6
$4
$2
BILLIONS
$0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: U.S. Bureau of Economic Analysis
App.013
FISCAL NOTES | 7
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WEATHERING THE PANDEMIC
TE X AS ALCO HO LI C B E VE R AG E I N DUSTRY RESTAURANTS AND BARS
Large-scale beer, wine and liquor companies are showing strong year- In June, the National Restaurant Association
over-year growth in the economic downturn, thanks to increased sales estimated U.S. sales losses of $240 billion by
at grocery and liquor stores. Alcohol sales at restaurants and bars, where the end of 2020. According to Open Table,
the mixed beverage tax is levied, have plunged due to social distancing the online restaurant-reservation service,
(Exhibit 8). Craft breweries, distilleries and wineries, whose business reservations in Texas as of Nov. 6 were down
models rely heavily on taprooms, tours and tasting rooms, also have by 25 percent from a year ago.
seen significant sales declines. According to the Texas Restaurant
EXHIBIT 8
Association (TRA), restaurants represented
51 percent of Texas’ food spending before
RECENT TRENDS IN TEXAS ALCOHOL TAXATION the pandemic. They’re critical to the food
supply chain, which includes farmers and
FISCAL YEAR 2019 2020 ranchers, alcohol manufacturers, food
$1,200
distributors and trucking companies.
$1,000 -22.8%
In the industry, the economic pain of the
$800 pandemic hasn’t been distributed equally,
$600 although most have suffered. Large chain
$400 +6.6% restaurants in particular are often better
equipped to adjust; many employ models
MILLIONS
$200
that fit well with pandemic restrictions, such
$0
MIXED BEVERAGE TAXES EXCISE TAXES* as drive-throughs, carry-out and delivery.
Dine-in restaurants,
FISCAL YEAR by 2019
contrast, often
2020 can’t
$1,600 -12.6% exceed 50 percent capacity due to social
$1,400 distancing restrictions. Large chains may also
$1,200 enjoy greater leverage on loan payments,
$1,000 +9.1%
royalty payments and lease terms. TRA
$800
$600 estimates that 70 percent of Texas restaurants
$400 +19.8% are independent operators that often lack
MILLIONS
$200 -18.7% access to these resources.
$0 These advantages are reflected in recent
GROCERY BEER, WINE AND FULL-SERVICE BARS
STORES LIQUOR STORES RESTAURANTS company results. McDonald’s, for instance,
posted its best September sales in nearly
* State taxes levied by volume on alcoholic beverages.
Source: Texas Comptroller of Public Accounts a decade. By contrast, the review site Yelp
reported that three-quarters of the 22,000
The Brewers Association reports that Texas ranks third in the nation U.S. restaurant closures between March 1 and
for the economic impact of its craft breweries. In April, a Texas Craft Sept. 10 represented companies with fewer
Brewers Guild survey showed that its members had seen a 71 percent than five locations.
decline in revenue since COVID-19 restrictions began. While nearly 90 During the pandemic, restaurants have
percent of these breweries have shifted at least in part to beer to go, the found new ways to support this ecosystem
industry still relies heavily on in-person patronage at its taprooms. — and their own bottom lines. With the
Texas wineries also rely heavily on foot traffic; wineries in the Texas state’s permission and cooperation, many
Hill Country alone claimed more than a million visitors annually before began selling bulk retail items directly to the
the pandemic. Pandemic restrictions on tasting rooms pose a significant public, boosting revenue while alleviating
hurdle for the industry. gaps in the supply chain. Restaurants also are
For more on how wineries, distillers and craft brewers are coping with embracing new product ideas such as family
the pandemic, see this month’s Line Items feature at FiscalNotes.org. meal boxes and to-go alcohol orders, and
8 | GLENN HEGAR, TEX AS COMPTROLLER OF PUBLIC ACCOUNTS App.014
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In September, the Texas Restaurant RETAIL SALES
Association estimated that Our state’s retail sector is truly Texas-
15 percent of the state’s 50,000 sized, accounting for 1.29 million jobs
or about one in 10 of all Texas workers.
restaurants have closed for good.
In 2019, the sector contributed $97
billion to Texas GSP, $54.8 billion in
nurturing new business models and partnerships with wages and about $12 billion in sales
grocery stores, food trucks, bars, third-party delivery tax revenue.
companies and alcohol manufacturers. Even before the pandemic, brick
In September, TRA estimated that 15 percent of and mortar retailers faced steadily KELSEY ERICKSON
the state’s 50,000 restaurants have closed for good, increasing competition from internet STREUFERT
and that the share could increase to 40 percent sales. COVID-19 accelerated the VICE PRESIDENT OF
without financial support. Most restaurants received process. Many retailers considered GOVERNMENT RELATIONS
only eight weeks of financial support through the AND ADVOCACY,
non-essential were forced to close in
TEXAS RESTAURANT
federal Paycheck Protection Program (PPP), but had to March 2020. Even essential retailers ASSOCIATION
endure months of required closures, reduced revenue such as grocery stores were subject
and increased costs. to extreme uncertainty, often faced with conflicting
According to Kelsey Erickson Streufert, TRA’s vice orders by state, county and city governments.
president of government relations and advocacy, As the crisis evolved, many retailers found success
about 200,000 Texans in the industry were still out of by expanding their online presence and offering
work in early December. “We do expect a full industry curbside pickup. In Texas, retail reopenings generally
recovery eventually because we offer a product began in late April. Since Sept. 21, Texas retailers
and a service that people want,” she says. “The key have been permitted to open at 75 percent capacity.
questions for us are how long will the recovery take Customers still are required to wear face masks; many
and how many restaurants — particularly the smaller, stores also have installed plastic shielding to protect
independent restaurants that are anchors to the checkers and instituted strict cleaning regimens.
community and local economy — can we help save in As a result, Texas’ in-state gross retail sales
the process. totaled about $107 billion in the second quarter of
“Many of these businesses have anchored the 2020, down 7.2 percent from the same quarter in the
community for decades,” she says, “so we can’t previous year. But the effects vary widely throughout
afford to lose them, and yet, they’re often the most the retail sector. Smaller retailers have suffered
at risk because they’re independent and local. These disproportionately, less able to meet payrolls and
restaurants aren’t looking for a bailout; they’re rent payments than their larger counterparts,
simply asking for more time so they can outlast although even some large retailers have entered
this pandemic, rebuild and continue to serve our bankruptcy, such as JCPenney and J.Crew. Similarly,
communities.” specialty retailers have struggled more than general
ones. The commercial real estate market also loses
business when stores close or reduce their number
YEAR OVER YEAR of brick-and-mortar locations.
While the federal PPP and Pandemic
Year-over-year (YOY) comparisons, common in discussions of
Unemployment Assistance program certainly
finance and revenue, compare the results in one period with
helped retailers retain employees, the Texas Retailers
those of the same period in the previous year. This method
Association and other organizations have advocated
removes the effect of seasonal variations (for instance, the
for further support to help defray some of the costs
expected spike in retail sales prior to Christmas each year) and
of greater safety measures, unemployment insurance
makes it easier to spot long-term trends.
and liability protection.
App.015
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WEATHERING THE PANDEMIC
“In many cases, the large retailer rose by around 5 percent YOY during April and May
is the largest [private] employer in 2020 before returning close to 2019 levels. Meanwhile,
many small towns in Texas,” says building material retailers are riding a construction
Gary Huddleston, a consultant for the boom, with November’s employment more than
association. “Small and main-street 10 percent higher YOY.
retailers are doing everything possible Clothing retailers have seen particularly dramatic
to serve customers and find some cash volatility during the pandemic. In April 2020, the
flow. [They] really need state and federal subsector had shed more than half its jobs compared
help.” to a year earlier — around 60,600 workers. By
GARY HUDDLESTON While long-term effects on retail October, it had recovered most of those jobs on a YOY
TEXAS RETAILERS
employment remain to be seen, the basis, but November saw another sharp decline.
ASSOCIATION retail sector saw a huge number of After big dips in March and April retail sales, the
furloughs and layoffs early in the crisis. long-term trend reflects surprisingly little damage to
The sector had nearly 114,000 fewer workers in April retail sales since the pandemic began. In September,
2020 than in April 2019 (an 8.7 percent drop); as of Texas’ retail sales totaled $45.7 billion, down from a
November, the YOY gap had narrowed to 38,600 or high of $46.4 billion in January — not an insignificant
2.8 percent (Exhibit 9). decrease, but less catastrophic than some expected.
The exhibit lists the hardest-hit retail subsectors in Sales tax revenue as of December was about
terms of job losses; these include health, electronics, 5 percent lower YOY, a much smaller decline than
clothing and home furnishing stores. But again, the other major taxes. This was due in large part to the
impacts have varied widely. More essential subsectors Supreme Court’s Wayfair decision, which required
have seen surprising growth compared to last year. sales taxes collection on internet sales.
Food and grocery store employment, for example,
EXHIBIT 9
MONTHLY YEAR-OVER-YEAR JOB CHANGES, TOP FIVE TEXAS RETAIL SUBSECTORS, JANUARY-NOVEMBER 2020
(NOT SEASONALLY ADJUSTED)
20,000
0 FURNITURE AND HOME FURNISHINGS STORES
ELECTRONICS AND APPLIANCE STORES
MISCELLANEOUS STORE RETAILERS
-20,000 CLOTHING AND CLOTHING ACCESSORIES STORES
HEALTH AND PERSONAL CARE STORES
-40,000 RETAIL TRADE
-60,000
-80,000
-100,000
-120,000
JAN FEB MARCH APRIL MAY JUNE JULY AUG SEPT OCT NOV
Source: Texas Workforce Commission
10 | G L E N N H E G A R , T E X A S C O M P T R O L L E R O F P U B L I C A C C O U N T S App.016
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TH E FE D E R AL C AR E S AC T
The Coronavirus Aid, Relief, and Economic Security (CARES) Act, signed into law on March 27, 2020, was the third and largest of
several federal emergency relief packages intended to address the economic fallout resulting from the COVID-19 pandemic.
A central component of the CARES Act was the U.S. Small Business Administration-administered Paycheck Protection Program,
which initially expired on Aug. 8, 2020, but was revived on Dec. 21, 2020, after the passage of an additional federal stimulus bill.
Under the CARES Act, the PPP provided 1 percent interest loans to small businesses to help keep their employees on payroll, with
the stipulation that the federal government will forgive these loans entirely if the borrower uses the funds for payroll costs (at
least 60 percent), mortgage payments, rent and utilities. Loans made under the PPP from March to August 2020 averaged about
$101,000.
The federal stimulus bill signed into law in late December totals roughly $900 billion and dedicates $325 billion in small
business aid through the PPP. Other major spending provisions include an 11-week extension and $300 boost in unemployment
benefits; direct payments of $600 for eligible individuals; and grants and funding for education, health care and transportation
initiatives. The December bill also makes a number of changes to the PPP, such as expanding eligible expenses for loan funds, to
better assist small businesses.
Under the CARES Act, Texas small businesses received a total of $41.3 billion in PPP loans from March to August 2020, more than
any other state except California.
And while sales taxes are down overall, retail sales airline industry earn an average annual wage of about
tax revenue for the second half of fiscal 2020 is up $88,000, significantly higher than the state average of
more than 10 percent YOY, with food and beverage about $59,000.
and building material sales largely making up the In 2018, the Texas Department of Transportation
increase, as well as a 153 percent increase YOY in estimated that Texas’ commercial airports employed
online shopping tax revenue. about 112,000 workers in various roles from
operations to retail to cargo services, with upwards
AIRLINES
of 40,000 working at DFW and 34,000 at IAH. A 2018
The passenger airline industry began 2020 at a high report by the Airports Council International estimated
point. In 2019, U.S. airlines carried an
all-time high of 1.1 billion passengers. E X H I B I T 10
Texas benefits greatly from air travel; it’s
TEXAS AIRPORTS’ SCHEDULED ENPLANEMENTS
home to 25 commercial airports and six ON U.S. AIRLINES, 2019
of the nation’s 50 busiest airports
(Exhibit 10), including two of the world’s U.S. RANK
busiest: Dallas-Fort Worth (DFW) and
Houston’s Bush Intercontinental Airport 4 DALLAS/FORT WORTH (DFW)
(IAH). Texas also is home base for two of 14 HOUSTON BUSH
the world’s largest airlines, American INTERCONTINENTAL (IAH)
Airlines and Southwest Airlines, both in 32 AUSTIN (AUS)
the Dallas-Fort Worth area. A third large
33 DALLAS LOVE FIELD (DAL)
airline, United Airlines, has a significant
presence at IAH. The passenger airline 36 HOUSTON HOBBY (HOU)
industry contributed an estimated
44 SAN ANTONIO (SAT)
$20.7 billion to Texas GSP in 2019. As 2020
began, more than 105,000 Texans were 76 EL PASO (ELP)
employed in directly related businesses.
0 5 10 15 20 25 30 35 40
Workers employed in Texas’ passenger
MILLIONS
Source: U.S. Bureau of Transportation
App.017
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WEATHERING THE PANDEMIC
that Texas’ commercial airports supported $41.8 billion normally carry nearly half of all global air cargo
in payrolls and contributed $130.4 billion annually to freight. To make up for this loss in cargo capacity,
the state’s economy. some passenger airlines began flying cargo-only
Air passenger traffic declined steeply and flights. Prior to the pandemic, the last cargo-only
immediately with the onset of the pandemic. Previous flight by American Airlines was in 1984, but between
crises, such as the 9/11 terrorist attacks, have been March and October 2020, the airline made more than
financially disastrous to the airline industry, but 3,000 cargo-only flights to more than 30 different
COVID-19 was even more devastating in comparison. destinations, many through DFW.
On March 1, 2020, more than 2.3 million passengers Both Texas-based airlines suffered from COVID-
and employees were screened at U.S. airport related limitations on travel. American Airlines lost
checkpoints. By month’s end the number was less than more than $2.2 billion in the first quarter of 2020 and
150,000 and continued to drop until April 14 when less at that time was burning through cash at a rate of $70
than 90,000 were screened. million a day. The airline reported a $2.4 billion net
For the first half of 2020, worldwide airport loss in the quarter ending in September, bringing its
passenger numbers were down 58.4 percent total losses for the first three quarters of 2020 to $6.7
compared to the previous year; DFW recorded a billion. Southwest Airlines saw its first quarterly loss in
48.2 percent decrease in this period. During summer almost 10 years in 2020, reporting a loss of $1.2 billion
2020, the three largest airlines serving Texas all in the quarter ending in September 2020 compared
reported a high number of inactive aircraft and to a $659 million profit in the same quarter of 2019.
significant drops in the number of seats available on Southwest’s losses for the first three quarters of 2020
flights departing from the largest Texas airport each of have been reported at more than $2.2 billion.
them served (Exhibit 11). In April 2020, the federal government’s CARES Act
International trade through Texas’ airports included more than $50 billion in aid (including
declined by $8 billion for the first six months of 2020 $25 billion in payroll support and $25 billion in loans)
compared to the first half of 2019. This is widely for passenger airlines to support the industry through
attributed to the grounding of passenger jets, which summer and into the fall. These grants and loans
contained provisions to protect workers and regional
Air passenger traffic declined airports through furlough restrictions and minimum
steeply and immediately with service guarantees through Sept. 30. American
the onset of the pandemic. Airlines and Southwest Airlines received more than
E X H I B I T 11
LARGEST AIRLINES OPERATING IN TEXAS AND LARGEST TEXAS AIRPORT USED BY AIRLINE,
SUMMER 2020
TOTAL AIRPLANES
AIRLINE LARGEST TEXAS AIRPORT USED BY AIRLINE
IN COMPANY FLEET
GLOBAL
RANKING PARKED SEATS PERCENT
(AVAILABLE AIRPLANES AIRPLANES AVAILABLE CHANGE FROM
SEATS) IN SERVICE (INACTIVE) SUMMER 2020 SUMMER 2019
SOUTHWEST 1 634 105 DALLAS LOVE FIELD 3,911,146 -13%
AMERICAN 4 653 348 DFW INTERNATIONAL AIRPORT 9,135,748 -48
UNITED 10 393 466 GEORGE BUSH INTERNATIONAL AIRPORT 2,187,712 -41
Note: OAG's "summer" classification based on data for March 29 through October 30; 2020 figures represent estimates made as of Sept, 28, 2020.
Source: OAG Aviation Worldwide Limited
12 | G L E N N H E G A R , T E X A S C O M P T R O L L E R O F P U B L I C A C C O U N T S App.018
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Texas hospitals, like others federal stimulus bill, however, the company said the
across the country and around furloughs wouldn't be needed at least through the
end of 2021.
the world, have struggled
to meet the unprecedented HOSPITALS
demand on their resources Texas has more than 500 hospitals, more than any
and capacity. other state. In 2019, the Texas hospital industry
employed nearly 470,000 and accounted for about
$50.4 billion of Texas GSP.
$5.8 billion and $3.2 billion, respectively, from the These hospitals, like others across the country
CARES Act. and around the world, have struggled to meet the
As the year came to a close, American Airlines unprecedented demand on their resources and
employed fewer than 100,000 persons worldwide, capacity. Their financial pressures have increased
nearly 30 percent less than at the start of the significantly, and their staffs have been stretched to
pandemic. And according to Southwest Airlines’ Sherri the limit.
Hull, a senior advisor for governmental affairs, the They’ve lost significant revenue by being forced
company shrank its workforce by nearly 25 percent to cancel or curtail non-emergency services while
in 2020 through concessions and voluntary leave at the same time having to boost pandemic-related
programs; many of these jobs were located in Texas. staffing; increase supplies of personal protective
Yet there are some signs the worst may be over. equipment (PPE), pharmaceuticals and ventilators;
Southwest Airlines announced that it reduced its daily and modify their operations and facilities to expand
cash burn to an average of $16 million in the third capacity safely. Widespread, pandemic-related job
quarter of 2020 and anticipates it falling to about losses mean hospitals are treating more uninsured
$12 million in the fourth quarter. American Airlines patients than ever before (see the October 2020 issue
expects its fourth-quarter 2020 average daily cash burn of Fiscal Notes for more).
to come in at the high end of its previously forecasted In August 2020, the Harris Health System reported
range of $25-$30 million per day. that its Houston-area public hospitals have lost an
In October 2020, the Transportation Security average of $10 million a month since the end of
Administration screened more than 1 million U.S. March. These losses reflected decreases in outpatient
passengers for the first time since March, although the visits and increases in supply and labor costs.
number has fluctuated since then. During the Sunday Inpatient surgeries and emergency room
after Thanksgiving — typically one of the busiest days visits also have decreased, not only due to state or
for air travel — nearly 1.2 million passengers passed local orders but also because many patients are
through U.S. airports’ security, the highest figure seen postponing care to avoid the risk of contracting the
in months but still down 59.2 percent YOY. virus. According to a June 2020 survey conducted by
2021 will be a challenge for all carriers, according the U.S. Centers for Disease Control and Prevention,
to John Grant, chief analyst at OAG, a leading air travel 41 percent of U.S. adults avoided medical care during
information consultancy. But advance bookings for the pandemic because of concerns about COVID-19,
May and June 2021 already appear “pretty good” including 12 percent who didn’t go in for emergency
versus previous years. Uncertainty keeps the industry care and another 32 percent who delayed routine
in flux, however — ticket sales flattened as the virus visits.
spiked in late autumn 2020 and new travel restrictions In addition to these diminishing revenue streams,
were implemented. In early December, Southwest many staff members are experiencing financial
Airlines notified more than 6,800 employees of pressure, as hospitals have been forced to resort to
potential furloughs (mandatory but temporary leaves pay cuts, reduced hours, furloughs and even layoffs to
of absence) in early 2021. After passage of the recent stay afloat.
App.019
FISCAL NOTES | 13
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WEATHERING THE PANDEMIC
While most supply chains The CARES Act and other recently enacted federal
legislation allocated $175 billion to the Provider Relief
have resumed and many
Fund for U.S. hospitals and other healthcare providers.
Texans are getting back to Texas providers received almost $3 billion in general
business, not all industries funding. An additional $602.7 million was sent to
have bounced back. 58 Texas hospitals located in COVID-19 high-impact
areas and $1.2 billion was provided to Texas safety-net
As of August 2020, according to Becker’s hospitals. Texas’ rural health care providers (including
Hospital CFO Report, more than 260 hospitals and hospitals) received another $725.7 million.
health systems in the U.S. had furloughed workers Texas’ hospitals have stepped up in heroic and
during the pandemic, and dozens of others have unprecedented ways to save lives and minimize the
implemented layoffs. In June, Texas’ Baylor Scott virus’ spread. When they resume normal operations,
& White Health laid off about 930 employees and some of the lessons learned and strategies improvised
introduced pay cuts for 300 senior managers; in early during the pandemic — such as telehealth services —
December, the system announced it was laying off may endure. (See our May 2020 Line Items article on
a further 102 finance and accounting employees telemedicine at FiscalNotes.org.)
and outsourcing their duties to India. In August, AN UNCERTAIN YEAR TO COME
the University of Texas Medical Branch in Galveston
The COVID-19 crisis has changed life as we knew it last
announced it would lay off 200 employees as it faced
February. It may be a long time before pre-pandemic
a budget shortfall of $174 million.
life returns — if it ever truly returns. One bright spot in
From March 1 to June 30, 2020, the American
these times is the way the public, businesses, schools
Hospital Association (AHA) studied four financial
and others have risen to the occasion by restructuring
challenges U.S. hospitals face:
their workplace practices and accelerating their use of
• the effect of COVID-19 hospitalizations on technology.
hospital costs; When everything paused last spring, nearly all
• the effect of canceled and forgone services (such Texas businesses saw a decline in commerce. While
as elective surgeries) on hospital revenue; most supply chains have resumed and many Texans
• additional costs associated with purchasing PPE are getting back to business, not all industries have
bounced back. Some industries and some people have
as well as establishing additional COVID-19 wards,
testing centers, etc.; and been more affected than others, and that disparity will
make our recovery more challenging.
• the costs of the additional supports some But Texans are known for their resiliency, and
hospitals are providing to their workers. our businesses and industries are working hard to
Using these measures, the AHA estimated a total adapt, meeting the economic chaos with creativity,
four-month financial impact of $202.6 billion in losses agility and ingenuity. When the crisis passes, these
for U.S. hospitals and health systems — an average of innovations will remain. Amid the disruption, we will
$50.7 billion per month. The losses were expected to grow stronger. FN
increase to $323 billion by the end of 2020.
14 | G L E N N H E G A R , T E X A S C O M P T R O L L E R O F P U B L I C A C C O U N T S App.020
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State Revenue Watch
NET STATE REVENUE — All Funds Excluding Trust
(AMOUNTS IN THOUSANDS)
This table presents data on net Monthly and Year-to-Date Collections: Percent Change From Previous Year
state revenue collections by
YEAR TO DATE:
source. It includes most recent YEAR TO DATE: CHANGE FROM
monthly collections, year-to-date Tax Collections by Major Tax DECEMBER 2020 TOTAL PREVIOUS YEAR
(YTD) totals for the current fiscal SALES TAX $2,860,349 $11,136,802 -5.27%
year and a comparison of current PERCENT CHANGE FROM DECEMBER 2019 -5.05%
YTD totals with those in the MOTOR VEHICLE SALES AND RENTAL TAXES 438,937 1,762,433 -0.39%
equivalent period of the previous PERCENT CHANGE FROM DECEMBER 2019 2.72%
fiscal year. MOTOR FUEL TAXES 277,658 1,182,927 -7.25%
PERCENT CHANGE FROM DECEMBER 2019 -10.63%
These numbers were current at FRANCHISE TAX -53,229 1,742 -101.25%
press time. For the most current PERCENT CHANGE FROM DECEMBER 2019 -60.59%
data as well as downloadable OIL PRODUCTION TAX 197,462 824,029 -40.61%
files, visit comptroller.texas.gov/ PERCENT CHANGE FROM DECEMBER 2019 -45.53%
transparency. INSURANCE TAXES 32,813 108,722 -2.72%
PERCENT CHANGE FROM DECEMBER 2019 45.40%
Note: Texas’ fiscal year begins
CIGARETTE AND TOBACCO TAXES 126,031 468,726 20.20%
on Sept. 1 and ends on Aug. 31.
PERCENT CHANGE FROM DECEMBER 2019 11.19%
NATURAL GAS PRODUCTION TAX 85,543 289,244 -30.57%
PERCENT CHANGE FROM DECEMBER 2019 -24.96%
ALCOHOLIC BEVERAGES TAXES 84,107 346,287 -26.37%
PERCENT CHANGE FROM DECEMBER 2019 -28.52%
HOTEL OCCUPANCY TAX 25,570 125,583 -41.39%
PERCENT CHANGE FROM DECEMBER 2019 -48.54%
UTILITY TAXES1 1,601 122,680 -6.18%
PERCENT CHANGE FROM DECEMBER 2019 143.26%
OTHER TAXES 2 9,792 39,986 -48.62%
PERCENT CHANGE FROM DECEMBER 2019 -37.51%
TOTAL TAX COLLECTIONS $4,086,635 $16,409,160 -8.13%
PERCENT CHANGE FROM DECEMBER 2019 -7.36%
YEAR TO DATE:
YEAR TO DATE: CHANGE FROM
Revenue By Source DECEMBER 2020 TOTAL PREVIOUS YEAR
TOTAL TAX COLLECTIONS $4,086,635 $16,409,160 -8.13%
PERCENT CHANGE FROM DECEMBER 2019 -7.36%
FEDERAL INCOME 4,459,167 19,573,494 35.12%
PERCENT CHANGE FROM DECEMBER 2019 40.81%
LICENSES, FEES, FINES AND PENALTIES 438,529 2,074,255 -2.17%
PERCENT CHANGE FROM DECEMBER 2019 -0.93%
STATE HEALTH SERVICE FEES AND REBATES3 327,483 1,656,480 -26.84%
PERCENT CHANGE FROM DECEMBER 2019 106.81%
NET LOTTERY PROCEEDS 4 252,033 897,489 26.11%
1
Includes public utility gross receipts PERCENT CHANGE FROM DECEMBER 2019 40.46%
assessment, gas, electric and water LAND INCOME 135,924 516,500 -33.19%
utility tax and gas utility pipeline tax.
2
Includes taxes not separately listed, such PERCENT CHANGE FROM DECEMBER 2019 -35.12%
as taxes on oil well services, coin-operated INTEREST AND INVESTMENT INCOME 58,557 465,941 -56.93%
amusement machines, cement and combative
sports admissions as well as refunds to PERCENT CHANGE FROM DECEMBER 2019 -83.42%
employers of certain welfare recipients.
SETTLEMENTS OF CLAIMS 422,096 452,543 -0.29%
3
Includes various health-related service fees
and rebates that were previously in “license, PERCENT CHANGE FROM DECEMBER 2019 -2.77%
fees, fines and penalties” or in other non-tax
revenue categories. ESCHEATED ESTATES 18,106 109,635 15.68%
4
Gross sales less retailer commission and the PERCENT CHANGE FROM DECEMBER 2019 129.30%
smaller prizes paid by retailers.
SALES OF GOODS AND SERVICES 21,946 95,502 5.31%
Notes: Totals may not add due to rounding. PERCENT CHANGE FROM DECEMBER 2019 -12.45%
Excludes local funds and deposits by certain OTHER REVENUE 216,974 885,346 110.48%
semi-independent agencies.
Includes certain state revenues that are deposited PERCENT CHANGE FROM DECEMBER 2019 118.18%
in the State Treasury but not appropriated. TOTAL NET REVENUE $10,437,450 $43,136,345 6.89%
PERCENT CHANGE FROM DECEMBER 2019 10.01%
App.021
FISCAL NOTES | 15
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16 | G L E N N H E G A R , T E X A S C O M P T R O L L E R O F P U B L I C A C C O U N T S App.022
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 24 of 272 PageID 246
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
Southwest Economy – First Quarter 2021
EXHIBIT A-2
App.023
Southwest
Federal Reserve
Case
Bank2:21-cv-00079-Z
of Dallas Document 29-1 Filed 09/27/21 Page 25 of 272 PageID 247
Economy
FIRST QUARTER 2021
} COVID-19 Slammed into Texas,
Leaving Long-Lasting Impacts
PLUS
} COVID-19 Poses Stubborn Challenge to Economic Growth
in Mexico
} On the Record: Value-Added Tax Could Restrain Long-Term
Federal Debt
} Spotlight: Pandemic Pushes Texas Minority Unemployment
Beyond Highs Reached During Great Recession
} Go Figure: Collapsing Fuel Demand Tanks Texas Exports
During Pandemic's Peak
App.024
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 26 of 272 PageID 248
President’s Perspective
Rob Kaplan, president and CEO of the
Dallas Fed, regularly speaks and writes on
the factors that affect economic growth in
the nation and Eleventh District. Here are
some of his recent thoughts on key issues:
On the Stance of Monetary Policy
“My forecast has improved meaningfully. … Having said that, we are still in the middle of a pandemic, and I
want to see more than a forecast, and I want to see actual evidence that that forecast is going to unfold. As we
do, and as we make substantial further progress on meeting our dual-mandate goals [stable prices and maxi-
mum sustainable employment], I for one am going to be an advocate of beginning the process of removing
some of these extraordinary monetary measures, and doing it sooner rather than later. But I need to see out-
comes, not just a strong forecast.”
CNBC Interview with Steve Liesman—March 23, 2021
On the Importance of the Vaccine Rollout
“The most important thing is how we manage the virus, and these variants, and getting people vaccinated
and speeding the vaccinations so we head off the potential impact of these variants. That’s still the No. 1
thing I’m watching.”
Interview with Reuters—Feb. 17, 2021
On the Outlook for Inflation
“It wouldn’t be surprising to see the cyclical elements of inflation build, and I think that you will see some
supply outages. We are already seeing evidence of it [in] semiconductors, metals, wood products, maybe even
in oil markets. But I don’t think those are going to be persistent, I don’t think those are going to be long term.
"I think there is no question that the cyclical forces will build, and over time, the question for me is how
strong are the accelerating forces of technology and technology-enabled disruption which have been muting
inflationary pressures for some time. How do those cyclical and structural forces play out over time? That’s
what I am going to be watching for. The temporary jump up or rise in inflation won’t surprise me. The ques-
tion for me will be how persistent is it, and I think the jury is still out on that right now.”
Bloomberg TV Interview with Mike McKee—Feb. 9, 2021
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COVID-19 Slammed
into Texas, Leaving
Long-Lasting Impacts
By Emily Kerr, Judy Teng and Keith Phillips
}
T
he economic downturn that began The pattern of job growth in Texas
with the arrival of COVID-19 in at the beginning of the pandemic
ABSTRACT: The economic March 2020 has greater resem- resembles that of Louisiana following
road from the COVID-19 blance to a natural disaster than a Katrina rather than past Texas reces-
recession in Texas will likely typical recession. sions (Chart 1). The speed with which
Most recessions begin with slowing the state achieves prepandemic levels
feature a steeper, more rapid
growth that transitions into declin- of output and jobs will depend on how
climb than the usual gradual ing jobs and output. At the time, the quickly COVID-19 cases and hospital-
rise associated with most process may appear so gradual that izations decline and the long-lasting
recoveries. Some structural analysts often miss it until many structural changes left behind.
months later.
changes that the pandemic
By comparison, when a hurricane Expecting a Slow Return
wrought will take longer to occurs—for example, Hurricane Ka- The pandemic fundamentally
resolve, including those that trina striking Louisiana in 2005—the disrupted Texas business. Despite the
will make work from home economy suddenly halts, and jobs and economic recovery that began in May
output fall sharply. A quick return to 2020, roughly 60 percent of firms in
a longer-term occupational
growth follows just a couple months the Dallas Fed Texas Business Outlook
reality for some. later, although a full recovery can take Surveys (TBOS) reported that their
a year or more. January 2021 revenues remained below
CHART
1 2020 Texas Downturn Looks Much Like Impact from Large Natural Disaster
Percent of peak employment
102
100
98
96
94 1982
1986
92 2001
2008
2020
90 Louisiana jobs when Hurricane Katrina hit
88
-2 -1 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Months after business-cycle peak
NOTES: Solid lines refer to Texas nonfarm payroll employment. Recessions are indexed to peak employment: March 1982, January 1986, March 2001, August 2008 and February
2020. Dotted line refers to Louisiana nonfarm payroll employment indexed to peak employment in August 2005.
SOURCE: Bureau of Labor Statistics.
App.026
Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021 3
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 28 of 272 PageID 250
CHART
2 When Do You Expect Your Firm’s Revenues and Head Counts to Return to Pre-COVID Levels?
Revenues Head count
Less than six months
6–12 months
4%
More than a year
Never
19% 27%
30%
32%
28%
25%
33%
NOTES: This question was only posed to those indicating January revenues or head counts that were below normal (60 and 48 percent of all firms, respectively). Data were
collected Jan. 12-20. There were 220 responses for revenues and 176 for head count.
SOURCE: Federal Reserve Bank of Dallas Texas Business Outlook Surveys, January 2021.
normal. When these responding exec- study found that output per worker However, in the short run, they can
utives were asked when they expected rose by more than 5 percent during the lead to slower job growth, particularly
a return to pre-COVID-19 levels, 30 Great Recession.1 if there is a mismatch between the
percent said within six months, and 63 In the long run, productivity gains skills demanded by the new jobs and
percent said within a year (Chart 2). are a main source in a country’s stan- the skills of unemployed workers.
The vast majority—96 percent—antici- dard of living. They spur both strong For example, the large number of
pate full recovery, though nearly one- output growth and full employment. workers displaced from the leisure and
third said it will take more than
12 months.
CHART
Restoring normal employment may
take longer than reviving revenues. 3 Texas Businesses Report on COVID-19 Structural Changes
Among the 48 percent of firms report-
40
Percent noting decrease Percent noting increase
ing January 2021 head counts below
29
prepandemic levels, nearly 20 percent 30 28
said they do not expect them to ever
20 17
return to pre-COVID-19 numbers. 12
These businesses point to increased 10
efficiency and productivity or stream- 3 1
0
lining due to technology adoption. 1 0 0 1
Several companies said that they -10
were overstaffed leading up to the 14
-20
pandemic.
These pandemic-spurred productiv- -30 25
Telecommuting Technology Contactless Other new Office space Business travel
ity improvements allow firms to gener- adoption product/service product/service
ate more revenue per employee going delivery offerings
forward. This wouldn’t be uncommon, NOTES: There were 369 respondents. Firms were asked, “Are there structural changes your firm has made or
as aggregate productivity tends to plans to make as a result of the COVID-19 pandemic that you expect to be permanent? If yes, please specify any
changes and whether it is an increase or decrease." Those not responding to a specific category are not shown,
rise during economic downturns. A thus the percentages do not total 100.
National Bureau of Economic Research SOURCE: Federal Reserve Bank of Dallas Texas Business Outlook Surveys, December 2020.
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4 Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 29 of 272 PageID 251
hospitality sector likely won’t readily TABLE
transition to growing sectors such as
information technology and financial
1 Share of Work-from-Home Employees to Remain Elevated
Average (percent)
services. They may more easily find
employment related to e-commerce, Pre-COVID-19 8.3
such as in warehousing and parcel Current 35.0
delivery services. Post-COVID-19 20.6
Long-Term Pandemic Impacts NOTES: Respondents were asked, “What share of your employees were working remotely in February 2020 (pre-
COVID-19), and what share are currently (August 2020) working remotely? What share do you expect to work
TBOS respondents reported at year- remotely after the pandemic ends?” There were 390 responses. Data were collected Aug. 18–26, 2020.
end 2020 whether they expected the SOURCE: Federal Reserve Bank of Dallas Texas Business Outlook Surveys, August 2020.
structural changes instituted because
of the pandemic to be permanent.
Nearly 30 percent anticipated a perma- spread increased costs, while the large-scale business transactions,
nent increase in telecommuting and benefits of leisure opportunities such work-from-home efficiency surprised
technology adoption relative to pre- as restaurants and entertainment fell. many in a variety of industries.
COVID-19 levels (Chart 3). This, along with historically low inter- The success of remote work likely
A quarter of firms expected a perma- est rates, likely prompted a significant will reduce demand for office space
nent reduction in business travel, and shift in Texas from city centers to sub- over the next few years from what it
14 percent said they likely won’t need urban regions and larger homes.2 would have been absent COVID-19.
as much office space. Moreover, the desire to work from TBOS contacts indicated that on aver-
These structural shifts portend home increased sharply due to early age, they expect about 21 percent of
changes in where people desire to live government “stay at home” orders and their employees to continue working
and work and also affect commuting. a fear of viral spread. During the initial from home after the pandemic.
The impacts will affect business travel outbreak, the average share of em- Office vacancy rates have increased
and the oil and gas sector. ployees working remotely increased across the state’s major metro areas.
by 26.7 percentage points to more The fourth quarter 2020 office
More Remote Work Likely than a third of all workers (Table 1). vacancy rate reached 23.4 percent in
During the pandemic, the dynamics With numerous telecommuting Dallas–Fort Worth and 22.3 percent
of high-density mostly urban liv- platforms available to facilitate remote in Houston, surpassing Great
ing changed—the potential of virus job activity, collaboration and even Recession peaks.3
CHART
4 Texas 2020 Population Growth Suggests Strong Migration from Other States
1
-0.1 0.3
1 0.2
0.6 0.3
0.4
2.1 0.6 0.1 -0.6 0
0.4 -0.2 -0.3
0.1 -0.1
1.5 0.3 0
0
-0.6 0.4
1.5
0.9 -0.6 0.4
-0.2 0 0.2 0.1
0.9
0.8
1.8 0.5 0.3
0.3 1.2 Percent change
(2019–20)
-0.4 0.3 0.8
-0.3 Less than -0.5
1.3
-0.5 to <-0.25
-0.3 1.1 -0.25 to 0
0 to 0.75
>0.75 to 1.5
Over 1.5
SOURCE: Census Bureau.
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Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021 5
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 30 of 272 PageID 252
CHART
5 Texas Exposure to Leisure and Hospitality Similar to U.S.; Varies Across Metros
Share of leisure and hospitality jobs (percent)
16 December 2019 December 2020
13.5
14 12.7
12.0 12.0
12 11.1 10.9 11.4
10.6 10.4
9.5 10.0 9.8 9.5
10 9.2 9.2
8.1
8
6
4
2
0
U.S. Texas Dallas Fort Worth Houston Austin San Antonio Corpus
Christi
SOURCE: Texas Workforce Commission, adjustments by the Federal Reserve Bank of Dallas.
With fewer workers commuting to tion increased by about 20 percent last Business Travel Impacts
urban centers, restaurants and retail in year—to around 151,700. Telecommunications technology,
those areas may experience a slower The strength in net domestic migra- and in particular web conferencing,
recovery, and demand for gasoline tion to Texas is supported by data from has gained new prominence—digi-
(and thus, oil) will increase more U-Haul, which measures movements tal platforms such as Skype, Lifesize,
slowly than would otherwise be the of one-way moving truck rentals. Last Zoom, GoToMeeting and Cisco WebEx.
case following a downturn. year, Texas ranked second in net trucks While their development generally
coming into the state—behind only began in the mid-1990s, their use ac-
Still Moving to Texas Tennessee and ahead of Florida. celerated during the pandemic.
Some recent studies have found the Interestingly, the top three states for As employees shifted to working
pandemic not only resulted in some net positive moves were three of only from home, they were forced to learn
movement to the suburbs but may also nine states that do not have a state in- about these platforms and began
have increased the desire of people come tax.5 California was at the bottom appreciating their ease of use. Many
to live in less-dense and more-inex- of the list as the state with the greatest internal and external conferences were
pensive cities nationally, which would net outflow of moving trucks. converted from in-person events to
benefit states such as Texas.4 Also supporting strong net domestic digital, and business travel declined
Data on population growth, U-Haul migration, a Zonda research survey of dramatically in 2020. How fast and how
rental truck movements and a national builders in November 2020 found that far business travel rebounds remains
builders survey all suggest that net in- 60 percent of 45 builders with opera- subject to debate, though experts in the
migration into Texas from other states tions in Texas said that out-of-market/ field predict a slow recovery to prepan-
remained high last year. out-of-state home purchases had demic levels.
Texas’ population increased 1.3 per- increased in Texas, while 4.4 percent In a survey of meeting planners in
cent in 2020—about the same pace as said they had decreased.6 January 2021, only 22 percent antici-
in 2019 and the fastest rate of growth Six out of the 10 builders that posted pated resuming face-to-face meetings
of the 10 largest states (Chart 4). While comments mentioned people moving in the first half of the year, with 25
a breakdown of the sources of the from California or the West Coast, with percent seeing a third-quarter resump-
increase is not yet available, average one citing a “huge influx from Califor- tion, 27 percent anticipating a return
growth rates of births, deaths and in- nia still continuing.” at year-end and 18 percent suggesting
ternational migration to the state over Firms recently announcing reloca- a resumption in 2022.7 When asked
the past five years provide an indicator. tion of major operations or headquar- about what percentage of 2019 events
These estimates along with census data ters to the state included Tesla, Hewlett activity they foresee coming back, just
imply that Texas net domestic migra- Packard Enterprise, Oracle and CBRE. 7 percent reported returning to 2019
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6 Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 31 of 272 PageID 253
levels this year, 32 percent by 2022 and December 2019 to $16.55 in April 2020. Kerr is a senior business economist in
71 percent by 2023. Prices subsequently recovered to an the Research Department at the Federal
If meetings and conferences are slow average of $59.05 per barrel by Febru- Reserve Bank of Dallas.
to return, then industries relying on ary 2021.
business travel, such as airlines, hotels, Although contacts in the first-quarter Teng is a research analyst in the San
restaurants, retail and convention cen- Dallas Fed Energy Survey reported Antonio Branch of the Federal Reserve
ters will feel the effects. Nationally, ho- increased activity and an improved Bank of Dallas.
tel occupancy averaged just 44 percent outlook, commuter and business travel
last year, and revenue per available won’t likely return to pre-COVID-19 Phillips is an assistant vice president
room was down 48 percent from 2019, levels over the next several years. and senior economist in the San
according to hospitality analytics firm Survey respondents expected the Antonio Branch of the Federal Reserve
STR, a unit of CoStar Group Inc.8 price of WTI to be $61 in fourth quar- Bank of Dallas.
Luxury hotels performed far worse, ter 2021, slightly above the average
with 21 percent occupancy in Decem- breakeven price the survey reported Notes
ber 2020 versus 68 percent in 2019, in first quarter 2021. Despite higher oil 1
“Making Do with Less: Working Harder During
while economy hotel occupancy was prices, slightly over half—53 percent— Recessions,” by Edward P. Lazear, Kathryn L. Shaw
45 percent in December compared of executives expect their head count and Christopher Stanton, National Bureau of Economic
with 48 percent in December 2019. STR to remain unchanged from December Research, Working Paper no. 19328, August 2013, www.
forecasts that overall room demand 2020 to December 2021. nber.org/system/files/working_papers/w19328/w19328.
will rebound to 2019 levels by 2023, pdf.
and it won’t be until 2024 before rev- Vaccinations Remain Key 2
“COVID-19 Fuels Sudden, Surging Demand for
enue per available room fully recovers. Assuming there is COVID-19 vaccine Suburban Housing,” by Laila Assanie and Yichen Su,
How will reduced business travel efficacy and a high percentage of the Federal Reserve Bank of Dallas Southwest Economy,
affect the jobs recovery in Texas? While population is vaccinated or immune by Fourth Quarter 2020.
detailed data on business travel are the third quarter, the Texas economy 3
From CBRE Research.
difficult to obtain, broader measures of should grow strongly in the second half 4
“The Impact of the COVID-19 Pandemic on the Demand
the sector’s size provide insight regard- of 2021. for Density: Evidence from the U.S. Housing Market,” by
ing the potential outline of a rebound. Structural changes and frictions in the Sitian Liu and Yichen Su, Federal Reserve Bank of Dallas
About 11 percent of jobs in Texas and labor market might impact the pace of Working Paper no. 2024, revised October 2020;
the U.S. were in leisure and hospitality job gains and a return to pre-COVID-19 “Emerging Trends in Real Estate 2021,” Urban Land
in 2019, though the figure was much employment levels in Texas. Shifting Institute and PwC, accessed Feb. 22, 2021.
higher in metros such as San Antonio demand toward less dense, lower cost 5
Tennessee and New Hampshire are among the nine
and Corpus Christi (Chart 5). Given the of living areas, such as those in Texas, states, although they collect taxes on interest and
sector’s size, especially in certain areas, should support economic growth. dividend income.
its slow return may depress job growth Overall, the changes suggest that 6
Survey from Zonda advisory of homebuilders
this year, even as other sectors and Texas will continue to see stronger job operating in Texas and their assessment of the impact
certain portions of the industry—such growth than the national average and of COVID-19. Results presented Jan. 27, 2021, www.
as leisure travel and local spending on employment will return to pre-COV- surveymonkey.com/results/SM-X3H6DDP67/.
restaurants—grow strongly. ID-19 levels before the end of the year. 7
i-Meet Planner Confidence Index, “2021 Planner
However, jobs will still be below the Confidence Index–Phase 3,” a weekly survey of trends
Oil and Gas Sector Impact trend level suggested before COVID-19. and evolving opinions of meeting professionals.
Texas accounted for 41 percent of U.S. Jobs in Texas will likely grow a strong 6.0 8
“STR, TE Slightly Downgrade Latest U.S. Hotel
oil production and 25 percent of U.S. percent this year, according to the Dal- Forecast,” STR Global, Jan. 26, 2021,
natural gas production in 2019. With las Fed Texas Employment Forecast.10 https://str.com/press-release/str-te-slightly-downgrade-
the rise in working remotely and the de- Households that have pent up latest-us-hotel-forecast.
clines in air travel and leisure and hos- demand and built up savings should 9
“Lower U.S. Crude Oil Production Decreases Output,
pitality activity, worldwide fuel demand return to restaurants and vacation des- Raises Price of Natural Gas,” by Jesse Thompson and
plummeted in the first half of 2020. tinations and even some high-contact Camila Holm, Federal Reserve Bank of Dallas Southwest
Gasoline consumption fell by nearly events such as concerts and sporting Economy, Fourth Quarter 2020.
half and jet fuel by 70 percent nation- events. At a growth rate of 6.0 percent, 10
“Texas Employment Forecast,” Federal Reserve Bank
ally.9 The reduced demand for oil however, jobs in December 2021 would of Dallas, March 26, 2021, www.dallasfed.org/research/
products played a major role in a large still be about 0.9 percent (116,000 jobs) forecast/2021/emp210326.aspx.
decline in the monthly average price above the peak level reached in Febru-
of West Texas Intermediate Crude ary 2020, but below the previous trend
(WTI)—from $59.88 per barrel in by 2.7 percent (359,000 jobs).
App.030
Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021 7
ON THE
Case RECORD Document 29-1 Filed 09/27/21
2:21-cv-00079-Z Page 32 of 272 PageID 254
A Conversation with Alan D. Viard nitude of the tax increases or spending
cuts would rise to 4.4 percent of GDP if
action were delayed to 2030 and to 5.9
Value-Added Tax Could
percent if action were put off to 2035.
Although it would be unwise to im-
Restrain Long-Term
plement major tax increases or spend-
ing cuts while the economy is still weak-
Federal Debt
ened by the pandemic, action should
be taken as soon as possible after the
economy regains its strength.
Alan D. Viard, a resident scholar at the American Enterprise Q. You have proposed implementing
a national value-added tax (VAT) to
Institute, studies tax and budget policy. A former senior
boost revenue. What is a VAT and how
economist at the Federal Reserve Bank of Dallas, Viard discusses does it differ from a retail sales tax?
how to address the U.S. budget deficit in the aftermath of the
The VAT is a consumption tax that
COVID-19 pandemic. is used in 160 countries, including all
Organization for Economic Cooperation
and Development (OECD) countries
Q. How large is the long-run fiscal percent in 2051, while revenue will only other than the United States. A VAT is
imbalance and what is driving grow from 16.3 percent of GDP to 18.5 economically similar to a retail sales tax
it? How much has the COVID-19 percent. The projected spending in- but is collected in a different manner.
pandemic added to the imbalance? crease is highly uneven; spending on So- While the retail sales tax is collected
cial Security and the major health care entirely from the retailer, part of the
In June 2019, the Congressional programs will surge from 10.2 percent VAT is collected at each stage of pro-
Budget Office (CBO) projected that the of GDP to 15.7 percent, while all other duction. The multistage collection en-
federal government’s debt under cur- noninterest spending will shrink from sures that the entire revenue cannot be
rent law would rise from 78 percent of 9.0 percent of GDP to 7.4 percent. lost through tax evasion at a single stage
annual gross domestic product (GDP) in Addressing the fiscal imbalance will of production.
2019 to 144 percent in 2049. require reductions in Social Security Suppose that a manufacturer sells its
The fiscal imbalance further widened and health care spending, revenue in- output for $500 to a wholesaler, which
during the recession accompanying the creases or both. sells its output for $800 to a retailer,
pandemic in 2020, as tax revenue fell which sells a final product to consum-
and Congress adopted large spending Q. Why is the growth of the national ers for $1,000. Of the $1,000 value of the
increases and tax cuts to provide in- debt concerning? final product, $500 is added at the man-
come support and economic stimulus. ufacturing stage, $300 at the wholesale
On March 5, 2021, the CBO projected The CBO has explained that higher stage and $200 at the retail stage.
that the debt would grow to 202 percent debt will slow long-run economic Under a retail sales tax, the retailer re-
of annual GDP in 2051. growth by crowding out private invest- mits tax on the $1,000 of sales to consum-
That estimate does not include the ment and pushing up interest payments ers. Under a VAT, the manufacturer remits
costs of the $1.9 trillion stimulus and re- to foreigners who hold Treasuries. It tax on its $500 of value added, the whole-
lief plan that became law in March 2021. may also increase the risk of a crisis in saler remits tax on its $300 of value added,
Congressional action to respond to the which investors demand higher interest and the retailer remits tax on its $200 of
pandemic was likely necessary but has rates for federal debt. Higher debt may value added, yielding the same combined
added to the government’s debt. also lead to higher inflation expectations tax payment as the retail sales tax.
The underlying cause of the long-run and may reduce flexibility to respond to
fiscal imbalance is that spending on So- unforeseen events. Q. A VAT would raise taxes on the
cial Security and the major health care When addressing the fiscal imbalance, middle class. Could this be avoided by
programs (Medicare, Medicaid and Af- time is not on our side. Delay will only relying instead on tax increases that
fordable Care Act health insurance pre- make the necessary responses more target corporations and high-income
mium subsidies) is growing much more painful. The CBO estimated in Septem- households? What about benefit cuts?
rapidly than revenue, due to population ber 2020 that holding the 2050 debt to its
aging and rising medical costs. 2019 share of GDP would require perma- Although tax increases on corpora-
The CBO projects that, under cur- nent tax increases or spending cuts equal tions and high-income households as
rent law, noninterest spending will rise to 3.6 percent of GDP, if those measures well as benefit cuts could be part of a
from 19.2 percent of GDP in 2019 to 23.1 took effect in 2025. The required mag- debt-reduction package, they cannot
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8 Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 33 of 272 PageID 255
} Although it would be unwise to implement
major tax increases or spending cuts while the
economy is still weakened by the pandemic,
action should be taken as soon as possible after
the economy regains its strength.
provide a full solution to the long-term specific cuts. Benefit reductions may be Finally, it is important to remember
fiscal imbalance. even harder to achieve in the wake of that the VAT would be only one compo-
High-income tax increases would re- the pandemic, which may have perma- nent of the federal tax system. Individual
duce inequality and place fiscal burdens nently increased public support for a and corporate income taxes would con-
on those with the greatest ability to pay, generous safety net. tinue to add progressivity to the overall
but they would also induce economic federal tax system.
distortions, thus threatening long-run Q. Aren’t consumption taxes
growth. The individual income tax and regressive? Wouldn’t a VAT hurt low- Q. What do you tell voters who are
the estate and gift tax penalize saving. income families who save less and concerned that additional revenue will
The corporate income tax distorts deci- spend more of their income? prompt the government to spend more
sions about business organization and rather than shrink the national debt?
financing and penalizes investment in In isolation, the VAT is regressive. The
the United States. None of those penal- Urban-Brookings Tax Policy Center has Some have argued that a VAT would
ties arise under a VAT. estimated that a 5 percent broad-based fuel the growth of government spending
Also, such tax increases would have VAT would reduce after-tax income by because it would be a relatively invisible
limited revenue potential. Even com- 3.9 percent for households in the bottom tax. That concern could be addressed
mentators who support these kind of 20 percent of the income distribution, by requiring that the tax be listed as a
measures recognize that they would not 3.6 percent for households in the middle separate item on customer receipts, as is
raise enough revenue to fully address 20 percent and 2.5 percent for house- normally done for state and local retail
the fiscal imbalance and would have to holds in the top 1 percent. sales taxes.
be accompanied by other measures. Nevertheless, the VAT is far less re- The VAT would then likely be at least
Restraining the rapid projected growth gressive than benefit cuts. Under a VAT, as visible as employee payroll taxes
of Social Security and the major health the burden on the bottom 20 percent and individual income tax withhold-
care programs could significantly nar- as a share of income would be less than ing, which are displayed as line items
row the fiscal imbalance and could even double the burden on the top 1 percent, on paycheck stubs and would be much
promote long-run economic growth by not 100 times greater as under across- more visible than corporate income
encouraging additional saving. the-board Social Security benefit cuts. taxes and employer payroll taxes, which
However, benefit cuts would be se- Rejecting a VAT based on its regressivity are largely hidden from public view.
verely regressive, placing far larger bur- would be a pyrrhic victory if it caused To be sure, even if the VAT is listed on
dens relative to income on lower-income the fiscal imbalance to instead be ad- customer receipts, its enactment could
households than higher-income house- dressed through benefit cuts that were reduce pressure for benefit cuts. Those
holds. For example, the burden imposed vastly more regressive. who believe that benefit cuts are the best
by across-the-board Social Security Moreover, a VAT should—and un- debt-reduction strategy may thus be
benefit cuts would be approximately 100 doubtedly would—be accompanied tempted to delay or avert the adoption
times larger as a share of income for the by rebates to offset the tax burden on of a VAT. However, they should consider
bottom 20 percent of the income distri- low-income households. The Tax Policy the political and economic limitations
bution than for the top 1 percent. Center estimated that a 7.7 percent VAT of benefit cuts and weigh any possible
Significant benefit cuts would also with rebates, which would raise the same gains against the costs of delaying action
face formidable political challenge. net revenue as a 5 percent VAT without on the fiscal imbalance.
Most Democrats oppose benefit cuts, rebates, would generally be progressive.
and many of them support benefit in- It would reduce after-tax income by 0.6
creases. Although Republicans often percent for the bottom 20 percent, 2.9
support benefit cuts in the abstract, percent for the middle 20 percent and
they generally refrain from proposing 3.6 percent for the top 1 percent.
App.032
Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021 9
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COVID-19 Poses Stubborn Challenge
to Economic Growth in Mexico
By Jesus Cañas and Chloe Smith
W
ith COVID-19 sweeping across and in Brazil (-1.2 percent), the largest
the world, Mexico’s gross economy in Latin America.
domestic product (GDP) con- Output in service-related activities
} tracted the most in a quarter century (including trade and transportation)
ABSTRACT: Mexico, in 2020. dropped 5.2 percent in Mexico, while
confronting a high rate of The Mexican economy has since goods-producing industries (includ-
proceeded along two tracks—exter- ing manufacturing, construction and
COVID-19 infection and
nal trade-related sectors performing utilities) fell 0.5 percent. Agricultural
an ineffectual medical well, and the service sector struggling. output increased 4.4 percent.
response, recorded the Workers have been especially hard hit As in other countries, COVID-19
largest decline in gross in the informal sector—where activity disproportionately affected the service
is not reported to the government and industry, particularly leisure and hos-
domestic product in a
whose participants do not pay employ- pitality—businesses such as hotels and
quarter century last year. ment taxes or receive government- restaurants. While e-commerce thrives,
While manufacturing trade mandated benefits and pensions. They brick-and-mortar retail has suffered.
with the U.S. provided have suffered the largest job losses. Because e-commerce is tiny in Mexico
Insufficient fiscal stimulus from the by developed-country standards, it has
economic support, the
government has likely contributed to provided little offset for the decline in
large and hard to reach off- shrinking GDP. the traditional service sector.
the-books informal sector While COVID-19 cases have dropped Additionally, the government has
proved more troublesome sharply since hitting a postholiday provided scant fiscal support for the
peak in January, strict social-distancing economy. Mexico’s stimulus plan—
and will play an important
measures will be needed to minimize which includes a mix of loans and tax
role in the nation’s the likelihood of another infection credits, tax payment deferrals and job
performance in 2021. wave given that a national vaccine pro- training—amounts to 1.1 percent of
gram is proceeding very slowly. GDP compared with plans in Brazil
Testing for the virus remains an (8.4 percent) and Chile (4.7 percent).
ongoing challenge. Mexico has not fol- Mexico’s real retail sales index re-
lowed the World Health Organization’s mains 5.5 percent below levels seen in
testing recommendation, arguing that February 2020, while Chile’s retail sales
the country lacks proper infrastructure. are 4.3 percent above its pre-COVID-19
Mexico tests only the sickest patients performance as the country regained
who seek medical attention. There are prepandemic levels in August. Brazil’s
few prevention measures and little sales began rebounding in June 2020
contact tracing. and expanded during third quarter
2020, recovering to levels seen before
Recent Economic Developments the pandemic despite a resurgence of
The Mexican economy shrank 4.5 the virus.
percent in 2020 as the pandemic rav- Although Mexico’s lack of fiscal
aged factories, businesses and house- stimulus has hurt households and
holds. It was the greatest contraction businesses, it has helped the govern-
since the 1994 Tequila Crisis that ment avoid large deficits and accompa-
followed a peso devaluation.1 The latest nying inflation that could depress the
decline compared with the downturn in currency. The peso regained much of
Chile (-5.0 percent) and was more severe its strength relative to the dollar in the
than the ones in the U.S. (-2.4 percent) second half of 2020 after sliding with
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10 Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021
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CHART Mexico's Manufacturing Production, Export Growth April. Crude oil production in Mexico
1 Return to Prepandemic Levels
is down 50 percent in the past 10
years, however.
Percent change, year/year Normalization of trade flows be-
20 tween the United States and Mexico
10 has helped speed a sectoral manufac-
0 turing recovery.
Meanwhile, the performance of
-10
--- Mexico manufacturing exports Mexico’s service sector has not recov-
-20 Mexico manufacturing ered, although the extent of progress
-30 industrial production index
varies by industry (Chart 2). Revenue
-40 U.S. manufacturing industrial in health care services, real estate, edu-
production index
-50 cation, and professional and business
-60
services has been the most resilient.
2019 2020 2021 However, output in entertainment
SOURCES: Mexico's National Institute of Statistics and Geography (INEGI); Banco de México; Federal Reserve
(down 49 percent from prepandemic
Board. levels), leisure and hospitality (off 32
percent) and transportation services
the onset of the pandemic. The peso a strong correlation with what has been (down 22 percent) have proven the
averaged 19.9 per dollar in December, a a resilient U.S. manufacturing sector most vulnerable.
net depreciation of 1.1 pesos for the year. (Chart 1).3 These ties between the two Mexico’s large informal sector chal-
Inflation finished 2020 at 3.1 percent countries, largely involving intra- lenges economic recovery as well as
in December (12-month change), industry trade, took root and grew with efforts to contain the virus’ spread.
firmly within the central bank’s target the 1994 North American Free Trade Mexico’s national employment survey
range.2 Mexico’s refusal to boost public Agreement, which was recently sup- pegged total employment at 53.3 mil-
spending to mitigate COVID-19’s planted by the United States–Mexico– lion in December 2020, with formal
economic impact will likely result in Canada Agreement (USMCA). employment representing 44 percent
the lowest budget deficit among Latin Manufacturing exports represent 90 of the total and informal employment
America’s major economies in 2020, percent of total exports, and Mexico 56 percent.
though its recovery is likely to lag be- sends 81 percent of its total exports to The majority of informal work is in
hind the region. the U.S. Thus, U.S. economic stimulus high-contact industries such as retail
bolsters Mexico’s manufacturing ex- trade, miscellaneous services (tem-
Strong Manufacturing Output port sector. Higher global oil prices are porary workers and gig labor) and
Mexico’s manufacturing produc- a tailwind for Mexico’s recovery, with construction. Informal work produces
tion and manufacturing exports are the price of Mexican mix at around $50 23 percent of GDP, according to Mexico’s
above pre-COVID-19 levels, reflecting per barrel, up from $17 per barrel in National Statistics Institute (INEGI).
CHART
2 Recovery in Mexico's Service Sector Stalls Under Weight of COVID-19 Infection
Service revenue index (real), February 2020 = 100 Health services Professional and business services
Real estate Transportation
120 Education services Leisure and hospitality
Total Entertainment
100
80
60
40
20
0
Feb. Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec.
NOTE: Seasonally adjusted by authors.
SOURCE: Mexico's National Institute of Statistics and Geography (INEGI).
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Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021 11
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Unlike workers in the formal percent (626,000 jobs) and informal measures that included travel re-
economy, who benefit from legal and employment fell 4.5 percent (1.4 mil- strictions, social distancing, school
social protections, informal workers lion jobs) (Table 1). The most-affected closures and the shutdown of nones-
lack such a safety net. They are mostly sector was leisure and hospitality, fol- sential activities.
self-employed, working in street vend- lowed by miscellaneous services. The government announced plans
ing, domestic work and transportation. The largest employment base within to begin normalization of economic
Some also work as off-the-books day the informal sector is in trade, agricul- activities in mid-May, including a
laborers in factories, farms and other ture and miscellaneous services (55 per- green-yellow-orange-red color system
formal businesses that don’t extend full cent), while the highest concentration to represent the extent of activities al-
rights or protections to all employees. of formal jobs is in manufacturing, trade lowed in individual states. For exam-
Pandemic control measures, such as and social services (56 percent). ple, states with the most active cases
sheltering in place and social distanc- More women—particularly in the were designated as red and would
ing, achieved more inconsistent adop- informal sector—have lost their jobs remain in forced quarantine. Officials
tion in the informal sector relative to during the pandemic in developing also added construction, mining and
the formal sector. The informal sector’s economies such as Mexico, according transport equipment manufacturing to
behavior and its likely ties to recur- to the World Bank. While men represent the list of essential activities.
ring waves of COVID-19 infections 61 percent of informal jobs, their em- Mexico’s COVID-19 cases spiked
could be key to the introduction of any ployment only fell 2.4 percent. Among first in early August before reaching
future national government-mandated women—who account for 39 percent of a second peak in December and an
restrictions—ones that might well slow informal jobs—employment dropped all-time high in late January. Recently,
an economic recovery. 7.6 percent. cases per 100,000 people have fallen in
Mexico, while a new surge has begun
Disproportionate COVID-19 Impact Continued COVID-19 Outbreak in Chile and Brazil (Chart 3).
Total Mexico employment fell 3.7 Mexico’s first confirmed COVID-19 Mexico isn’t performing widespread
percent from March 2020 to December case was reported on Feb. 28, 2020, COVID-19 tests of its population—just
2020. Formal employment dropped 2.6 ultimately prompting public health 12 tests per 100,000 people. Mexico’s
TABLE
1 Mexico's Total Employment Shows Strains of Recurring Pandemic Surges
Economic Total Dec/Mar Share Formal Dec/Mar Share Informal Dec/Mar Share
sector employment chg (%) employment chg (%) employment chg (%)
(millions of (%) (millions of (%) (millions of (%)
workers) workers) workers)
Total 53.3 -3.7 100.0 23.7 -2.6 100.0 29.6 -4.5 100.0
Leisure and
3.7 -17.5 6.9 1.0 -23.5 4.3 2.6 -15.0 8.9
hospitality
Miscellaneous
5.2 -8.6 9.8 1.0 -8.0 4.1 4.3 -8.8 14.4
services
Oil, mining
and electricity 0.4 -4.8 0.7 0.3 -8.1 1.3 0.1 17.3 0.2
generation
Transportation,
communications
2.7 -4.4 5.1 1.4 2.6 6.1 1.3 -11.1 4.4
and
warehousing
Manufacturing 8.7 -4.3 16.3 5.4 -4.8 23.0 3.3 -3.5 11.0
Professional
and financial 3.8 -3.9 7.1 2.7 -1.1 11.4 1.1 -10.3 3.6
services
Trade 10.6 -1.4 19.9 4.3 0.7 18.2 6.3 -2.8 21.3
Construction 4.3 -1.0 8.0 0.9 -9.3 3.7 3.4 1.3 11.5
Social services 4.4 -0.3 8.3 3.6 2.0 15.3 0.8 -9.5 2.7
Agriculture 6.7 1.6 12.5 0.9 -2.0 3.6 5.8 2.2 19.6
Government 2.5 2.8 4.8 2.1 2.7 8.9 0.4 3.2 1.5
Other 0.3 -9.0 0.6 0.0 38.4 0.2 0.3 -14.5 0.8
NOTE: Rank is in terms of total employment losses.
SOURCE: National employment survey, December 2020, Mexico’s National Institute of Statistics and Geography (INEGI).
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12 Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 37 of 272 PageID 259
CHART
3 COVID-19 Cases Falling in Mexico After Spiking in January
Cases per 100,000, 7-day moving avg. Cases per 100,000, 7-day moving avg.
40 16
Brazil
35 14
30 12
25 10
Chile
20 8
15 6
10 4
5 Mexico 2
0 0
Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21
NOTE: Data are through March 21, 2021.
SOURCES: Johns Hopkins University; United Nations.
46 percent positivity rate—second ing has dealt with comparatively few the year—GDP fell 8.7 percent.
only to Paraguay worldwide—is an in- restrictions and largely avoided disrup- 2
For a more complete Mexico economic update, see
dication that only the sickest patients tion in North American supply chains, www.dallasfed.org/research/update/mex.
seeking medical attention are tested. a situation unlikely to change. 3
“Intra-Industry Trade with Mexico May Aid U.S. Global
Absent contact tracing or widely ad- By comparison, a service sector Competitiveness,” by Jesus Cañas, Aldo Heffner and
ministered medical treatment, detect- recovery is hindered by suppressed Jorge Herrera Hernández, Federal Reserve Bank of Dallas
ing a new wave of infections is difficult. domestic demand, social-distancing Southwest Economy, Second Quarter, 2017.
Governments should see positivity measures and little government as- 4
Communiqué on Economic Expectations, Banco de
rates below 5 percent for at least 14 sistance. The lack of fiscal stimulus has México, February 2021. The survey period was Feb.
days before relaxing social-distancing left many households and businesses 24–26, 2021.
measures, according to the World with significant income loss that will
Health Organization. Nevertheless, remain a headwind to the recovery.
restrictions in Mexico were lessened as The consensus forecast compiled
the holiday wave waned. by Banco de México for 2021 GDP
In the March 1-14, 2021, monitor- growth is 3.9 percent, with a projected
ing report, none of the Mexican states exchange rate of 20.3 pesos per dollar
were in red for the first time since late and year-end inflation of 3.9 percent.4
September/early October 2020. Ten However, the pandemic remains far
states were in orange, the second-most from controlled, and supply and logis-
restrictive tier; 20 states were in yel- tical issues have slowed vaccination
low; and two states were in green, the progress. Additionally, the dearth of
point at which activities are allowed testing will complicate the timely de-
without restriction. tection of future COVID-19 incidents,
Vaccinations began in late Decem- impeding an economic recovery.
ber, when Mexico became the first
Latin American country to receive a Cañas is a senior business economist in
vaccine shipment. The inoculation the Research Department at the Federal
effort has since stalled due to misman- Reserve Bank of Dallas.
agement and a global vaccine shortage.
Just 0.5 percent of the population was Smith is a research analyst in the
fully vaccinated as of mid-March, ac- Research Department at the Federal
cording to the Johns Hopkins Corona- Reserve Bank of Dallas.
virus Resource Center.
Notes
Challenging Economic Outlook 1
GDP growth is calculated comparing fourth quarter
Mexico’s economic recovery is large- 2020 with fourth quarter 2019. If the estimation is
ly confined to its manufacturing sector, computed as Mexico’s National Institute of Statistics
which is filling production orders from and Geography (INEGI) officially calculates growth—the
its northern neighbor. Manufactur- averaging of year-over-year quarterly growth throughout
App.036
Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021 13
SPOTLIGHT
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 38 of 272 PageID 260
Pandemic Pushes Texas Minority Unemployment
Beyond Highs Reached During Great Recession
By Carlee Crocker and Pia Orrenius
R
ecessions are hardest on minor- CHART
ities; the COVID-19 downturn is
no different in that regard. Texas
1 Unemployment Rates Diverge, Minorities Fall Behind
is a majority minority state—more than Three-month moving avg. (percent), seasonally adjusted
half of Texas’ population is Hispanic 18
Non-Hispanic Black
or Black—and the consequences are 16 Hispanic
far-reaching if those groups lag behind 14 Non-Hispanic white
12.4
economically. 12
Once the pandemic hit, the state lost 10
9.3
1.4 million jobs from February to April 8
2020, and the unemployment rate shot 6
5.1
up to 12.9 percent. The recovery that 4
began in May has been slow, hampered 2
by the repeated resurgence of the virus. 0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Texas’ unemployment rate of 6.9 per-
cent at year-end was well above what it
NOTE: Texas data are through February 2021.
was before COVID-19 hit (3.7 percent), SOURCE: Current Population Survey.
and more than 625,000 jobs were lost.
One year into the pandemic, Texas’
labor market disparities are glaring partly because they have less education included stay-at-home orders. By com-
(Chart 1). About 9.3 percent of Hispanic on average than non-Hispanic white parison, Hispanic labor force participa-
workers were unemployed in February, workers. These workers also tend to be tion was little changed during the year.
4.6 percentage points above prior-year younger. And within all groups, women Through February 2021, overall labor
levels. Roughly 12.4 percent of non-His- have been especially affected because force participation rates remained
panic Black workers were unemployed, they are disproportionately employed in below prepandemic levels.
7.6 percentage points higher. the service sector and frequently must In addition to direct stimulus pay-
Unemployment among Black deal with parental duties. ments, unemployed workers in the
workers in Texas was more than twice pandemic have received supplemental
that for non-Hispanic white workers, Great Recession Comparison unemployment benefits and extended
whose jobless rate was 5.1 percent in At the height of the pandemic reces- unemployment benefits. The benefits
February, 2.6 percentage points above sion last spring, all groups’ unem- have also gone to the self-employed
February 2020. ployment rates surpassed their Great and other groups typically ineligible for
Early in the pandemic, as the govern- Recession peaks. Black unemployment unemployment insurance.
ment imposed lockdowns and only es- reached 16.4 percent; Hispanic jobless- The initial provision of $600 per
sential businesses remained open, the ness hit 13.3 percent. However, most week in supplemental benefits boosted
disparate impact on workers became layoffs were temporary, and minority earnings to such a degree that many
clear. White-collar workers operating unemployment fell through the sum- beneficiaries earned more while
from home largely escaped job cuts, mer and fall as workers were called unemployed than while working. The
while blue-collar workers in essen- back. That trend reversed course in the payments expired in the fall and were
tial businesses such as grocery stores fourth quarter when a second CO- last renewed in March to run into early
remained on payrolls but were exposed VID-19 wave took hold, even as white September at $300 per week.
to the risk of COVID-19 infection. unemployment continued to decline. Thus, despite record-high unemploy-
Jobs vanished for restaurant, bar Workers dropping out of the labor ment rates, many who lost jobs during
and hotel workers and for businesses force poses another pandemic-era con- the pandemic could make ends meet
linked to arts and recreation, transpor- cern. Black labor force participation fell because of governmental support. After
tation and personal care. dramatically in first quarter 2020 with federal assistance ends, a large number
Minorities are disproportionately em- the onset of COVID-19; non-Hispanic of Texans—many of them minorities—
ployed in many of these generally lower- white worker declines occurred largely will need job opportunities if they are
paying, face-to-face service industries, in the second quarter, a period that to get back to work.
App.037
14 Southwest Economy • Federal Reserve Bank of Dallas • First Quarter 2021
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 39 ofGO FIGURE
272 PageID 261
Collapsing Fuel Demand Tanks Texas
Exports During Pandemic’s Peak
Design: Justin Chavira; Content: Emma Marshall, Pia Orrenius
Texas Energy
16%
The COVID-19 pandemic wreaked Exports Fell
havoc on Texas energy exports.
U.S. energy exports excluding Texas were
dramatically less affected.
53%
February to May 2020
U.S. (minus
Texas) Energy
Exports Fell
Texas energy exports make up
half of total Texas exports.
Texas energy exports include: crude oil, natural
gas, petroleum products and petrochemicals.
U.S. (minus
Texas) Total
Exports Fell
Texas Total The decrease in Texas energy exports
Exports Fell
was a big factor in the drastic drop in
29%
45%
February to May 2020
total exports for the state.
In comparison, the drop in U.S. total exports
excluding Texas was less severe.
Texas Energy
Exports Recovered to
As of December 2020, Texas energy
exports and total exports are
recovering to prepandemic levels.
78%
of prepandemic levels
as of December 2020
NOTES: Natural gas prices refers to the Henry Hub spot price for natural gas. Leaderboard rankings are
based on country refining capacity for Jan. 1, 2015, and Jan. 1, 2018.
Texas Total Exports
SOURCES: Energy Information Administration; Oil and Gas Journal, Worldwide Refining Survey.
Recovered to 85%
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Federal Reserve Bank of Dallas PRSRT STD
U.S. POSTAGE
P.O. Box 655906 PAID
Dallas, TX 75265-5906 DALLAS, TEXAS
PERMIT #1851
SNAPSHOT Dining Out Picks Up in Texas, Houston
T
he number of patrons dining at restaurants surged CHART Restaurants Seating More Diners
in Texas and Houston after the state thawed from a
deep freeze in February and COVID-19 constraints
1 as State Eases Restrictions
on restaurants and bars were lifted March 10. The uptick Percent change, seven-day moving average
20
also reflected improving COVID-19 statistics and the arrival
of spring break. 1.3
0
The number of reservations relative to the same time in -5.8
2019 suggests restaurant dining is approaching more normal -20 -28.1
levels. In Houston, restaurant demand climbed to 6 percent
-40
below the base level during the seven days ended March 23,
according to OpenTable data (Chart 1). Texas was up 1 per- -60
cent, while the nation overall was off 28 percent.
-80 Texas
During the first spring break weekend, March 13–14, Houston
restaurant reservations statewide rose 12 percent compared -100 U.S.
with the same weekend in 2019. The following weekend, Mar. Apr. May Jun. Jul. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.
March 20–21, reservations were up 16 percent. 2020 2021
NOTES: Data refer to the percent change in seated diners at restaurants from the
corresponding day in 2019 on the OpenTable network across all channels: online reservations,
—Adapted from Houston Economic Indicators, phone reservations and walk-ins. Numbers at right are the values on March 23, 2021.
March 22, 2021 SOURCE: OpenTable.
Federal Reserve
Bank of Dallas Marc P. Giannoni, Senior Vice President and Director of Research
Pia Orrenius, Keith R. Phillips, Executive Editors
Southwest Economy Michael Weiss, Editor
Kathy Thacker, Associate Editor
Dianne Tunnell, Associate Editor
is published by the Federal Reserve Bank of Dallas. The views expressed are those of Justin Chavira, Digital Designer
the authors and should not be attributed to the Federal Reserve Bank of Dallas or the Olumide Eseyin, Digital Designer
Federal Reserve System. Emily Rogers, Digital Designer
Darcy Taj, Digital Designer
Articles may be reprinted on the condition that the source is credited to the Federal
Reserve Bank of Dallas. Federal Reserve Bank of Dallas
Southwest Economy is available on the Dallas Fed website, www.dallasfed.org. 2200 N. Pearl St., Dallas, TX 75201
App.039
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
Biennial Revenue Estimate – 2022 - 2023 Biennium – 87th Texas Legislature – January 2021
EXHIBIT A-3
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2022-2023 Biennium
BIENNIAL 87th Texas L egislature
REVENUE Januar y 2021
ESTIMATE
GLENN HEGAR
Te x as Compt r ol le r of P u blic A ccount s
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App.042
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 44 of 272 PageID 266
Glenn Hegar Texas Comptroller of Public Accounts
January 11, 2021
The Honorable Greg Abbott, Governor
The Honorable Dan Patrick, Lieutenant Governor
Speaker of the House
Members of the 87th Legislature
Ladies and Gentlemen:
In accordance with Article III, Section 49a of the Texas Constitution, I present my revenue estimate for
the remainder of fiscal 2021 and the upcoming 2022-23 biennium.
For 2022-23, the state can expect to have $112.5 billion in funds available for general-purpose spending,
a 0.4 percent decrease from the corresponding amount of funds available for the 2020-21 biennium.
We project $119.6 billion in total collections of general revenue-related (GR-R) funds. These collections
are offset by an expected 2020-21 ending GR-R balance of negative $946 million. In addition,
$5.8 billion must be reserved from oil and natural gas taxes for 2022-23 transfers to the Economic
Stabilization Fund (ESF) and the State Highway Fund (SHF); another $271 million must be set aside to
cover a shortfall in the Texas Guaranteed Tuition Plan, also known as the Texas Tomorrow Fund.
The projected negative ending balance in 2020-21 is a direct result of the COVID-19 pandemic, which
caused revenue collections to fall well short of what was expected when the 86th Legislature approved
the 2020-21 budget. The projected shortfall does not account for any GR-R expenditure reductions
resulting from the state leadership’s instructions for most state agencies to reduce spending by 5 percent
of their 2020-21 GR-R appropriations. Nor does it incorporate the effects of substituting federal funds
provided as pandemic-related assistance for some GR-R pandemic-related expenditures. Official action
on either of those items could eliminate the projected shortfall.
Conversely, the projected balance does not include any GR-R spending authorized for a supplemental
appropriations bill, which would increase the size of the shortfall. The final ending balance for this
biennium, and thus the beginning balance for the next, will be determined by actions taken in the 87th
legislative session and by actual revenue collections during the remainder of this fiscal year.
Tax revenues account for approximately 87 percent of the estimated $119.6 billion in total GR-R revenue
for 2022-23. Sixty-two percent of GR-R tax revenue will come from net collections of sales taxes, after
$5 billion is allocated to the SHF, as authorized by the Texas Constitution. Other significant sources of
general revenue include motor vehicle sales and rental taxes; oil and natural gas production taxes; the
franchise tax; insurance taxes; collections from licenses, fees, fines and penalties; interest and investment
income; and lottery proceeds.
Comptroller.Texas.Gov 512-463-4444
P.O. Box 13528 Toll Free: 1-800-531-5441 ext: 3-4444
Austin, Texas 78711-3528 Fax: 512-463-4902
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January 11, 2021
Page 2
In addition to GR-R funds, we expect the state to collect $98.2 billion in federal income as well as
$52.7 billion in other revenues dedicated for specific purposes and therefore unavailable for general-
purpose spending. We project that revenue collections from all sources and for all purposes will total
$270.5 billion.
Absent any new appropriations by the Legislature, we project the ESF balance to be $11.6 billion at
the end of the 2022-23 biennium, below the ESF constitutional limit of an estimated $19.7 billion.
The COVID-19 pandemic and a collapse in oil prices resulted in a severe contraction of the Texas
economy over the first and second quarters of calendar 2020. Economic growth subsequently
rebounded sharply but gross state product (GSP) and employment remain well below their pre-
pandemic levels. Rising COVID-19 case counts have increased the chances of a “double-dip”
recession with a second economic contraction in late 2020 and early 2021. Whether that happens
or economic growth merely slows from the robust rates seen in the initial rebound from spring will
depend on how consumers and businesses behave in the face of the recent surge in positive cases. In
any case, this estimate assumes that economic output will not return to pre-pandemic levels until 2022.
We project that Texas’ economic growth in the 2022-23 biennium, as measured by real GSP, will
average 4.2 percent annually. We expect personal income in 2022-23 to increase by an average of
4.8 percent annually, compared to an annual average of 1.2 percent for 2020-21. After falling in the
2020-21 biennium as a result of the pandemic, we expect employment growth in 2022-23 to average
2.7 percent annually.
The U.S. and Texas economies have performed better than expected since we released a revised
Certification Revenue Estimate in July 2020. Sales tax revenues, buoyed by strong online sales and
spending on building materials, home furnishings and sporting goods in particular, have exceeded
our expectations. Oil prices and production also rebounded after collapsing in the spring. As a result,
the projected GR-R shortfall for 2020-21 is substantially improved from our July forecast.
Even so, risks remain, particularly given the recent surge in COVID-19 cases in Texas and across
the nation.
This forecast assumes continued but moderating economic impacts from the COVID-19 pandemic
and from decreased oil production and prices. It does not incorporate any possible impacts of
additional, unanticipated one-time or unusual events that could affect economic performance and
revenue collections.
Several things could cause actual revenue collections to fall short of this forecast’s expectations,
including an increased spread of the COVID-19 virus and the possibility of a significant reduction
in consumer activity as a result. A reversal of job gains and a renewed rise in unemployment rates,
combined with ongoing increases in the number of long-term unemployed, could drag economic
growth back down. Oil and natural gas prices remain volatile and a return to lockdowns in the U.S.
or elsewhere could result in a further drop in prices and production.
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On the other hand, there is a possibility that economic growth and revenue collections could exceed
this forecast’s projections. Effective COVID-19 vaccines, combined with household savings that
have risen during the pandemic as some consumer debt has declined, could support a substantial
boost in consumer spending. Business investment and spending could increase as a result of an
improved outlook due to effective vaccines. A new round of federal assistance for individuals,
businesses, cities and states, signed into law in late December, also could stimulate economic
activity. It is possible, therefore, that economic growth could rebound more strongly and sooner than
this forecast assumes, and there is some potential for revenue collections in 2022-23 to outpace our
expectations, perhaps substantially.
In summary, while uncertainty remains high, our Texas economic forecast for the 2022-23 biennium
is based on an expectation of growth rates somewhat higher than those experienced over the last
decade. In the event of significant changes in economic conditions or other relevant factors, this
estimate will be updated to ensure that your deliberations are based on the most accurate and timely
information available.
Sincerely,
Glenn Hegar
Texas Comptroller of Public Accounts
cc: Jerry McGinty, Legislative Budget Board
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Table of Contents
Revenue Overview. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Texas Economic Outlook . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Available Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Summary Tables (A-1 to A-19). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Fund Detail (Schedules I to III). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
FIGURES
1 – Flow of Major Revenues for the 2022-23 Biennium. . . . . . . . . . . . . . . . . . . . . . . 2
TABLES
1 – Texas Economic History and Outlook for Fiscal Years 2017 to 2023 . . . . . . . . . . 4
2 – General Revenue-Related Funds, by Source and Biennium. . . . . . . . . . . . . . . . . . 12
A-1 – Estimated General Revenue-Related Balances, Revenue, Disbursements,
and Appropriation Authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
A-2 – Estimated General Revenue-Related Revenue and Balances Available
for Certification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
A-3 – Estimated General Revenue-Related Funds Revenue . . . . . . . . . . . . . . . . . . . . 26
A-4 – Estimated General Revenue-Dedicated Accounts Revenue. . . . . . . . . . . . . . . . 27
A-5 – Estimated Federal Income, by Fund or Account. . . . . . . . . . . . . . . . . . . . . . . . 28
A-6 – Estimated Other Funds Revenue, by Fund or Account. . . . . . . . . . . . . . . . . . . 29
A-7 – Estimated All Funds Revenue, Excluding Trust Funds . . . . . . . . . . . . . . . . . . . 30
A-8 – Estimated Allocations and Transfers from the General Revenue Fund. . . . . . . . 31
A-9 – Available School Fund and State Technology and Instructional Materials Fund,
Estimated Balances, Revenues and Expenditures. . . . . . . . . . . . . . . . . . . . . . . . 32
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A-10 – Sources of Property Tax Relief Fund Revenue. . . . . . . . . . . . . . . . . . . . . . . . . 33
A-11 – Sources of State Highway Fund Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
A-12 – State Revenue, by Source and Fiscal Year, General Revenue-Related. . . . . . . . 35
A-13 – Percent Change in State Revenue, by Source and Fiscal Year,
General Revenue-Related. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
A-14 – State Revenue, by Source and Biennium, General Revenue-Related . . . . . . . . 37
A-15 – Percent Change in State Revenue, by Source and Biennium,
General Revenue-Related. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
A-16 – State Revenue, by Source and Fiscal Year, All Funds, Excluding Trust Funds. . 39
A-17 – Percent Change in State Revenue, by Source and Fiscal Year,
All Funds, Excluding Trust Funds. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
A-18 – State Revenue, by Source and Biennium, All Funds, Excluding Trust Funds. . 41
A-19 – Percent Change in State Revenue, by Source and Biennium,
All Funds, Excluding Trust Funds. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
Note: This report contains estimates and projections that are based on available information, assumptions and
estimates as of the date of the forecasts upon which they are based. Assumptions involve judgments about future
economic and market conditions and events that are difficult to predict. Actual results could differ from those predicted,
and the difference could be material.
The spreadsheets in this report are available in accessible data form (Excel) at https://comptroller.texas.gov/transparency/
reports/biennial-revenue-estimate/2022-23/docs/bre-2022-23.xlsx.
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Revenue Overview
T
he state of Texas will have an estimated $112.5 priations for public education. The remaining funds
billion available for general-purpose spending in depend upon federal receipts or revenues that are dedi-
the 2022-23 biennium. This figure represents cated by the Texas Constitution or state law; a prime
the sum of the 2020-21 ending deficit, 2022-23 tax rev- example is the constitutionally dedicated Permanent
enue and 2022-23 non-tax receipts, less estimated trans- University Fund.
fers to the Economic Stabilization Fund (ESF), State The state’s tax system is the main source of GR-R
Highway Fund (SHF) and Texas Tomorrow Fund, as funding. Tax collections in 2022-23 will generate an
well as adjustments to general revenue dedicated account estimated $103.93 billion while non-tax revenues will
balances. produce an additional $15.65 billion. Factoring in
Aside from certain fund balances, only five funds the estimated $946 million ending deficit carried for-
affect the discretionary spending detailed in the General ward from 2020-21, the total of these three sources is
Appropriations Act. These funds, referred to as “general $118.63 billion. Against this amount, $5.83 billion
revenue-related funds” (GR-R), are the General Revenue must be placed in reserve for future transfers to the ESF
Fund, the Available School Fund, the State Technol- and SHF, and an additional $271 million must be set
ogy and Instructional Materials Fund, the Foundation aside for constitutionally guaranteed payments to the
School Account and the Tobacco Settlement Account. state’s original prepaid tuition plan, the Texas Tomorrow
While not technically “general revenue-related funds,” Fund. This is expected to result in a net $112.53 billion
both the Property Tax Relief Fund and the Tax Reduc- available for general-purpose spending in the 2022-23
tion and Excellence in Education Fund, which receive a biennium, 0.4 percent less than in 2020-21.
portion of collections from franchise, cigarette and sales Taking all state revenue sources into account, the
taxes, offset the need for general revenue to fund appro- state is expected to collect $270.47 billion in revenue for
all state funds in 2022-23 (see Figure 1). µ
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FIGURE 1
Flow of Major Revenues for the 2022-23 Biennium
FEES, INTEREST AND
TAXES FEDERAL INCOME
OTHER INCOME
$121 Billion $98.18 Billion
$51.29 Billion
2022-23 TOTAL STATE REVENUE
$270.47 Billion
DEDICATED REVENUE GENERAL REVENUE-RELATED REVENUE
$150.89 Billion $119.58 Billion
2021 GENERAL
FEDERAL INCOME
REVENUE BALANCE
$98.18 Billion
$1.11 Billion
DEDICATED GENERAL
REVENUE RESERVE FOR 2020-21 ADJUSTED
ESF/SHF TRANSFERS SHORTFALL
$6.35 Billion
$2.05 Billion ($0.95 Billion)
OTHER FUNDS
$46.36 Billion RESERVE FOR ESF/SHF TOTAL RESERVE FOR ESF/SHF
AND TTF TRANSFERS AND TTF TRANSFERS
$6.1 Billion $8.15 Billion
2022-23 GENERAL REVENUE-RELATED
FUNDS AVAILABLE FOR CERTIFICATION
$112.53 Billion
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
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Texas Economic Outlook
T
he Comptroller’s Fall 2020 economic forecast, 421,600 in 2023. Texas real GSP is expected to follow
as reported in this Biennial Revenue Estimate a similar pattern, with a decline of 1.3 percent in 2021
(BRE), projects that Texas economic output followed by growth of 3.7 and 4.6 percent in 2022 and
will be lower in fiscal 2021 than in fiscal 2020. Though 2023, respectively (see Table 1).
growth resumed following a steep drop in the first and
second quarters of calendar 2020, and economic output Texas Employment
at the end of fiscal 2021 is expected to be higher than After 113 consecutive months of employment
it was at the end of fiscal 2020, average output and growth, the U.S. economy lost 1,373,000 jobs in March
employment across all of fiscal 2021 is projected to fall 2020, the largest decrease seen since September 1945,
short of the averages achieved in fiscal 2020, during the when post-war employment fell by 1,959,000. U.S.
first half of which output and employment peaked. The employment then fell by a further 20,787,000 in April
COVID-19 pandemic and a steep drop in oil prices 2020. Although employment has risen in every month
and production caused a record collapse in output and since, total U.S. nonfarm employment in August was
employment; many months will elapse before a return to still 11.4 million below the February 2020 peak.
pre-pandemic levels. During the lengthy period of U.S. employment
As a result of the economic impact of the COVID- expansion, Texas saw five months with employment
19 pandemic, as well as a drop in oil prices, Texas real losses; prior to 2020, the most recent (and largest) was
gross state product (GSP) fell by an estimated 1.0 per- 13,100 in July 2017. In March 2020, Texas employment
cent in fiscal 2020, after growth of 3.9 and 4.4 percent declined by 89,900, followed by a loss of 1,322,000
in 2018 and 2019, respectively. jobs in April. As with the U.S., job growth resumed in
From August 2019 to August 2020, the Texas May, but August total employment was still more than
economy lost 611,500 nonfarm jobs. This employment 792,000 below the February peak.
decrease of 4.8 percent was the second-smallest percent- In August 2020, the Texas unemployment rate was
age loss during this period among the 10 most populous 6.8 percent, up from 3.5 percent in August 2019. The
states (behind Georgia at 4.0 percent) and the 17th- U.S. unemployment rate rose from 3.7 percent to 8.4
smallest loss among U.S. states. Private-sector employ- percent over that period. August 2020 unemployment
ment fell by 5.4 percent, while government employment rates in the state’s metropolitan areas ranged from a low
(federal, state and local) fell by 1.2 percent. of 4.1 percent in Amarillo to a high of 10.7 percent in
The Comptroller forecasts a further employment Odessa. As of November 2020, the Texas unemploy-
loss of 26,700 (on an annual average basis) in fiscal ment rate was 8.1 percent and the national rate was 6.7
2021. Employment growth is projected to resume in percent. Total employment in Texas as of November
2022, with estimated gains of 269,000 in that year and remained 569,000 below its February 2020 peak.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 3
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Texas Industry Performance ging, manufacturing and construction), led by a 59,300
Ten of Texas’ 11 major nonfarm industries experi- decrease in mining and logging employment, which also
enced net job losses from August 2019 to August 2020. saw the largest rate of contraction (23.9 percent) among
Employment in the goods-producing industries fell by all major industries. The only industry to experience
7.1 percent, while employment in service-providing employment growth was in the service sector; employ-
industries fell by 4.3 percent. Employment decreased in ment in financial activities rose by 0.2 percent, because
all three goods-producing industries (mining and log- gains in the finance and insurance sector were slightly
TABLE 1
Texas Economic History and Outlook for Fiscal Years 2017 to 2023
Fall 2020 State Economic Forecast
2017 2018 2019 2020* 2021* 2022* 2023*
TEXAS ECONOMY
Real Gross State Product (Billions, 2012 $) 1,630.9 1,695.3 1,770.2 1,752.7 1,729.6 1,793.6 1,876.4
Annual Percent Change 2.0 3.9 4.4 -1.0 -1.3 3.7 4.6
Gross State Product (Billions, Current $) 1,635.9 1,770.4 1,868.1 1,844.3 1,833.3 1,922.1 2,037.2
Annual Percent Change 5.1 8.2 5.5 -1.3 -0.6 4.8 6.0
Personal Income (Billions, Current $) 1,343.3 1,442.4 1,516.7 1,597.0 1,550.6 1,612.0 1,702.5
Annual Percent Change 5.6 7.4 5.2 5.3 -2.9 4.0 5.6
Nonfarm Employment (Thousands) 12,168.4 12,436.9 12,733.1 12,478.8 12,452.1 12,721.1 13,142.6
Annual Percent Change 1.6 2.2 2.4 -2.0 -0.2 2.2 3.3
Resident Population (Thousands) 28,244.7 28,589.1 28,950.2 29,293.5 29,631.4 29,994.8 30,378.3
Annual Percent Change 1.4 1.2 1.3 1.2 1.2 1.2 1.3
Unemployment Rate (Percent) 4.5 3.9 3.6 6.7 7.2 6.0 4.6
NYMEX Oil Price ($ per Barrel) 48.77 60.58 59.62 45.46 44.00 49.00 55.00
NYMEX Natural Gas Price ($ per Million BTUs) 3.04 2.88 2.99 2.09 2.60 2.75 2.65
U.S. ECONOMY
Gross Domestic Product (Billions, 2012 $) 18,023.3 18,574.2 18,981.7 18,537.8 18,894.9 19,329.2 19,819.2
Annual Percent Change 2.2 3.1 2.2 -2.3 1.9 2.3 2.5
Consumer Price Index (1982-84=100) 243.8 249.7 254.4 258.1 263.2 270.1 276.4
Annual Percent Change 2.1 2.4 1.9 1.5 2.0 2.7 2.3
Personal Consumption Expenditures Deflator (2012=100) 105.5 107.7 109.4 110.8 112.7 115.2 117.5
Annual Percent Change 1.7 2.1 1.6 1.3 1.7 2.2 2.0
Prime Interest Rate (Percent) 3.9 4.7 5.4 3.9 3.3 3.3 3.3
* Estimated or Projected
SOURCES: Glenn Hegar, Texas Comptroller of Public Accounts; and IHS Markit.
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greater than losses in the real estate and leasing sector. In 2020, each manufacturing industry employee pro-
Leisure and hospitality experienced the largest employ- duced an estimated average gross product of $279,000,
ment drop among all major industries. almost twice the per-employee average for all industries.
GSP attributable to Texas manufacturing activity was
Manufacturing estimated at $248 billion in fiscal 2020, up 1.2 percent
The Texas manufacturing industry lost 40,900 jobs from the 2019 total of $245 billion.
in fiscal 2020, a decline of 4.5 percent. Durable goods Average manufacturing employment across fiscal
employment fell by 35,100, with the largest losses 2021 is expected to be 3.1 percent lower than in fiscal
seen in the fabricated metals (16,800) and machinery 2020. It is expected to rise by 0.5 percent in 2022 and
(10,500) manufacturing sectors. Both sectors are closely 1.7 percent in 2023.
associated with oil and natural gas exploration and pro-
duction, and employment in those sectors has been fall- Mining and Logging
ing along with that of the mining industry. In all, dura- Texas mining industry employment peaked at 321,900
ble goods employment fell by 6.0 percent in fiscal 2020. in December 2014 and then declined to a low of 204,300
Nondurable-goods manufacturing employment fell by in September 2016. Industry employment then grew
5,800 or 1.8 percent. Texas manufacturing employment consistently for more than two years, reaching 256,200 in
in August 2020 totaled 868,100. January 2019. Since that time, mining employment has
In 2014, the value of Texas exports reached a record fallen by 26 percent. From August 2019 to August 2020,
$289 billion, 3.3 percent more than in 2013. Those mining employment fell by 59,300 with most (45,100) of
exports provided a substantial boost to manufacturing, that loss occurring since March 2020.
notably for companies producing chemicals, computers In addition to substantial exploration activities within
and electronics, petroleum products, industrial machin- the state and in the Gulf of Mexico, Texas is headquarters
ery and transportation equipment. In 2015, the value of for many of the nation’s largest oil and natural gas refin-
Texas exports fell sharply (to $251 billion, down 13.1 ing and distribution companies and has a large number
percent), hurt by falling oil prices and a stronger dollar. of energy-related jobs in other industries. As in the min-
Texas exports continued to fall in 2016, down another ing industry, employment in those industries and sectors
7.4 percent. In 2017, however, Texas exports rose by experienced significant declines during the year.
13.5 percent from 2016’s level, and by another 19.4 Average mining and logging employment is projected
percent in 2018. In November 2019, for the first time to be 20.9 percent lower in 2021 than in 2020. Industry
since October 2016, monthly Texas exports decreased employment growth is expected to resume in the com-
on a year-over-year basis; total 2019 exports were still ing biennium, with projected growth rates of 1.2 and
4.8 percent higher than 2018 exports. But exports have 8.7 percent in 2022 and 2023, respectively.
fallen sharply since March. For the period from Janu-
ary to August 2020, the value of Texas exports was 16.5 Construction
percent lower than that of the corresponding period in Construction employment fell by 37,600 (4.8 per-
2019. Texas nonetheless remains the nation’s leading cent) in fiscal 2020, reaching 741,500 in August 2020.
exporting state, as it has been for more than a decade. Employment in the utility system construction sector
Texas exports comprised 20 percent of total U.S. exports fell by 12.2 percent (14,100), the highest rate of any
in 2019. construction sector.
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Total housing construction activity, on the other Industry employment is projected to fall by 1.1
hand, rose in fiscal 2020. Texas saw 134,013 single- percent in 2021 and to grow by an average 7.4 percent
family building permits issued in the year, up 15.3 per- annually in the 2022-23 biennium.
cent from fiscal 2019. Building permits for multi-family
units rose by 1.9 percent. According to Multiple Listing Education and Health Services
Service data from the Texas A&M Real Estate Center, Texas’ education and health services industry, com-
the median sales price for an existing Texas single-family prising the educational services and health care and
home rose by 8.2 percent, from $245,000 in August social assistance sectors, lost 68,900 jobs in fiscal 2020, a
2019 to $265,000 in August 2020. In August 2020, decrease of 3.9 percent. The relatively small educational
Texas had a 2.4 month inventory of existing homes for services sector saw a decrease of 14,800 jobs (6.8 per-
sale, which at the time was the lowest level seen since at cent). Employment in the much larger health care and
least 1990. By November, inventory had fallen further, social assistance sector fell by 3.5 percent (54,100 jobs).
to 2 months. In all, Texas education and health services employment
Construction employment is expected to decline by fell to 1,676,400 in August 2020.
7.1 percent in fiscal 2021 and to rise by 1.8 and 3.3 per- Industry employment is projected to grow by 0.9
cent in 2022 and 2023, respectively. percent in 2021, and by an average of 2.5 percent per
year in the 2020-21 biennium.
Service-Providing Industries
Texas’ service-providing industries, which account Financial Activities
for 85 percent of the state’s total nonfarm employment, In fiscal 2020, Texas employment in the financial
saw job declines of 4.3 percent in fiscal 2020. Seven activities industry rose by 0.2 percent or 1,400 jobs.
of the eight service-providing industries saw job losses, Employment in the finance and insurance sector rose
with the highest rate of loss in leisure and hospitality by 10,700 (1.9 percent) while real estate and rental and
services. leasing employment fell by 9,300 (4.0 percent). Credit
intermediation (which includes financial institutions
Professional and Business Services such as banks) is the industry’s largest sector, employing
Employment in the professional and business ser- 274,400 as of August 2020. Total Texas financial activi-
vices industry fell by 25,000 jobs or 1.4 percent in fiscal ties industry employment reached 807,500 in August
2020. Employment changes varied considerably among 2020.
industry sectors, with the largest increases in manage- Industry employment is projected to fall by 2.5 per-
ment, scientific and technical consulting services (5.4 cent in 2021 and to grow at an average of 3.6 percent
percent) and accounting and bookkeeping services annually in the 2022-23 biennium.
(5.3 percent). The employment services sector, which
includes temporary help agencies in which many jobs Trade, Transportation and Utilities
are temporary and/or part-time positions, saw both The trade, transportation and utilities industry, the
the largest absolute and largest percentage decreases in state’s largest employer with 20 percent of total nonfarm
employment, falling by 29,500 or 9.8 percent. Total jobs in August 2020, lost 73,100 jobs (2.9 percent) dur-
professional and business services employment was ing fiscal 2020. Employment in all three industry sec-
1,776,500 in August 2020. tors — retail trade, wholesale trade and transportation,
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warehousing and utilities — fell during the year. Whole- Industry employment is projected to grow by 8.2
sale trade employment fell by 6.6 percent (40,500); percent in 2021 and by an average of 3.5 percent per
transportation, warehousing and utilities employment year in the 2022-23 biennium.
fell by 2,700 (0.5 percent); and employment in retail
trade fell by 29,900 (2.3 percent). In all, the trade, Other Services
transportation and utilities industry provided 2,439,700 The other services industry is a varied mix of busi-
Texas jobs in August 2020. ness activities including repair and maintenance services;
Trade, transportation and utilities employment laundry services; religious, political and civic organiza-
is projected to grow by 0.5 percent in 2020 and by tions; funeral services; parking garages; beauty salons;
an average of 0.3 percent annually in the 2022-23 and a wide range of personal services. Personal and laun-
biennium. dry services employment fell by 15.5 percent (18,700),
the highest rate of decline among the other services sec-
Information tors. In all, other services industry employment fell by
The information industry is diverse, representing 24,400 (5.5 percent) to 422,300 in August 2020.
established sectors of the economy (newspaper publish- Other services employment is projected to decline by
ing, data processing, television broadcasting and wired 2.4 percent in 2021 and to grow at an average 4.0 per-
telephone services) as well as newer ones (cell phone cent annually during the 2022-23 biennium.
service providers, internet providers and software pub-
lishers). The publishing sector saw the largest percentage Government
fall in employment over the year (7.8 percent or 3,000 Government employment in Texas decreased by 1.2
jobs). Total industry employment fell by 6.6 percent percent (23,200) in fiscal 2020. Federal employment
(13,700) to reach 195,300 in August 2020. rose by 27,600, largely on the strength of temporary
Industry employment is projected to grow by 4.9 census hiring. Local government employment decreased
percent in 2021 and by an average of 0.3 percent annu- by 27,000 and state government employment fell by
ally in the 2022-23 biennium. 23,800. Total government employment in Texas was
1,959,900 in August 2020.
Leisure and Hospitality Government employment is projected to rise by 0.5
Texas employment in the leisure and hospitality percent in 2021 and by an average of 1.5 percent per
industry fell by 246,800 (17.7 percent) during the fiscal year in the 2022-23 biennium.
year. The majority of the industry’s job losses occurred
in the food services and drinking places sector, which The Economic Outlook for 2021 and the
lost 167,000 jobs (14.9 percent). The largest percent- 2022-23 Biennium
age loss was in the amusement, gambling and recreation Texas possesses inherent advantages — relatively
sector, which fell by 32.6 percent (37,700). Leisure and low living costs, an attractive business climate, a central
hospitality employment totaled 1,148,300 in August Sunbelt location and a balanced mix of industries —
2020, representing about 9 percent of total Texas that have enabled its economy to grow faster than the
employment. nation’s for many years. During the past 10 years, Texas
real GSP rose by an average annual rate of 3.1 percent,
while the economy of the nation as a whole grew by an
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average 1.8 percent annually. The U.S. economy is pro- average 2.7 percent annually in the 2022-23 biennium.
jected to grow by 1.9 percent in fiscal 2021, however, In all, nonfarm employment is forecast to fall by 0.2
while Texas’ real GSP is projected to fall by 1.3 percent. percent in 2021, followed by growth of 2.2 percent
The Texas economy should resume growing faster than in 2022 and 3.3 percent in 2023. Goods-producing
that of the U.S. in 2022 and 2023, with projected employment growth in 2022-23 is expected to be led by
growth rates of 3.7 and 4.6 percent, respectively, com- gains in the mining industry, while employment growth
pared to 2.3 and 2.5 percent for the U.S. in the service-providing industries is expected to be led
Texas personal income rose by 7.4 percent in fiscal by professional and business services.
2018, 5.2 percent in 2019 and an estimated 5.3 percent
in 2020. It is expected to fall by 2.9 percent in 2021, Forecast Summary and Concerns
with less federal economic support related to the pan- Texas’ economic growth in the 2022-23 biennium,
demic. Growth should resume in 2022, averaging 4.8 as measured by real GSP, is expected to average 4.2
percent annually in the coming biennium. Underlying percent annually. Personal income in 2022-23 is fore-
these expected gains is population growth that has been cast to increase by an average of 4.8 percent annually,
and will continue to be fueled by net migration and a compared to an annual average 1.2 percent for 2020-21.
relatively high birth rate. Recent estimates by the U.S. The nation’s inflation rate, as measured by the change
Census Bureau show that six Texas cities were among in the Personal Consumption Expenditures deflator, is
the nation’s 15 most rapidly growing large cities from expected to average 2.1 percent annually during 2022-
2010 through 2019, and three were among the top 23, higher than the 2020-21 average of 1.5 percent
four: Frisco (1), New Braunfels (3) and McKinney (4). but still low by historical standards. Texas population
Texas’ population is projected to grow by an average growth in 2022-23 is expected to average 1.3 percent
361,600 annually from fiscal 2021 to 2023, reaching per year, about the same as that in 2020-21. In current
30.4 million. dollar terms, the state’s GSP is expected to increase from
Texas’ unemployment rate averaged 6.7 percent in $1.844 trillion in 2020 to $2.037 trillion in 2023, an
fiscal 2020, and is expected to increase to 7.2 percent in average annual increase of 3.4 percent.
2021 before falling to 6.0 percent in 2022 and 4.6 per- This forecast envisions continued but moderating
cent in 2023. The U.S. unemployment rate averaged 7.3 economic impacts from the COVID-19 pandemic. It
percent in 2020 and is expected to average 5.1 percent does not incorporate the possible impacts of further
over 2021 through 2023. unanticipated one-time or unusual events that could
Average Texas nonfarm employment fell by 2.0 per- affect economic performance and revenue collections.
cent in fiscal 2020, with goods-producing industries Several items must be watched, including the spread
employment decreasing by 3.8 percent and service-pro- of the COVID-19 virus and the possibility of renewed
viding industries employment falling by 1.7 percent. For reduction in customer-facing economic activity. Oil and
2021, goods-producing employment is expected to fall natural gas prices remain volatile and a return to lock-
by a further 10.1 percent. Thereafter, growth is expected downs in the U.S. or elsewhere could result in a further
to resume and to average 3.0 percent in the 2022-23 drop in prices and production. Conversely, household
biennium. savings have increased during the pandemic while credit
Service-providing industries are expected to see card debt has declined; this could support increased
employment growth of 1.6 percent in 2021 and to consumer spending once people feel safe to return to
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pre-pandemic activity. Federal legislation passed in late In summary, while there are numerous potential
December 2020 aimed at providing financial assistance concerns, the Comptroller’s Texas economic forecast
for individuals, businesses, and local and state govern- assumes further moderate decline in economic activ-
ments also could stimulate the Texas economy beyond ity in fiscal 2021, followed by a return to growth in the
this forecast’s assumptions. 2022-23 biennium at rates somewhat higher than those
experienced over the last decade. µ
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BIEN NIAL R EV E N UE E ST I MATE
Available Revenue
T
he 87th Texas Legislature will have an estimated ances. In addition to the fiscal 2021 transfer of $1.13
$112.53 billion available for general-purpose billion to each fund from 2020 tax collections, this
spending in the 2022-23 biennium, 0.4 percent estimate anticipates that an additional $2.38 billion
less than the corresponding amount estimated for 2020- each will be transferred to the ESF and SHF in 2022-23
21 (see Table 2). This figure represents the 2020-21 (associated with 2021 and 2022 collections). After the
ending deficit of $946 million plus 2022-23 tax revenue 2023 transfer, and accounting for interest earnings, the
of $103.93 billion and 2022-23 non-tax receipts of ESF balance should reach $11.55 billion at the end of
$15.65 billion, less an estimated reserve of $5.83 billion the 2022-23 biennium, absent any additional appropria-
from oil and natural gas taxes for future transfer to the tions from the fund. The constitutional limit on the ESF
Economic Stabilization Fund (ESF) and State Highway balance, estimated at $19.65 billion during the course of
Fund (SHF), as well as an estimated reserve of $271 mil- the 2022-23 biennium, will not be reached.
lion for transfer to the Texas Tomorrow Fund.
Tax Revenue
The 2020-21 Ending Deficit The state’s tax system is the main source of general
The estimated ending certification deficit for the revenue-related (GR-R) funding. Taxes are expected to
2020-21 biennium will be $946 million after setting yield $103.93 billion during the upcoming biennium,
aside $2.05 billion from fiscal 2021 crude oil and natu- contributing 87 percent of total net revenues. Com-
ral gas production tax collections to be evenly distrib- pared with the $97.41 billion collected in 2020-21,
uted to the ESF and SHF during 2022 (see Table A-1). total GR-R tax collections in 2022-23 are expected to
Note that the unencumbered balance in the General increase by 6.7 percent.
Revenue Fund (GR) on August 31, 2021, is not pro- State sales tax revenues have accounted for more
jected to rise to the level such that the constitutional than half of all state GR-R tax collections in each year
provision requiring one-half of that balance be reserved since fiscal 1988. In the 2022-23 biennium, sales tax
for transfer to the ESF would come into effect. collections are expected to total $64.11 billion, or 62
percent of all tax collections. The next largest sources
Transfers from Severance Taxes of general revenue in 2022-23 will be motor vehicle
The ESF and SHF each should receive transfers of sales and rental taxes ($10.12 billion), oil produc-
$3.51 billion from oil production tax and natural gas tion tax ($6.5 billion), franchise tax ($6.3 billion) and
production tax revenue over the three-year period from insurance taxes ($5.7 billion). Note that some franchise
2021 to 2023 (see Table A-8). As required by the Texas tax revenue is dedicated to the Property Tax Relief
Constitution, estimated transfers to the ESF and SHF Fund, bringing the total deposited from that tax for all
have been deducted from available revenues and bal- funds to $9 billion.
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TABLE 2
General Revenue-Related Funds, by Source and Biennium
(In Millions of Dollars)
Percent
2020-21 2022-23 Change
TAX COLLECTIONS
Sales Taxes $ 60,985 $ 64,106 5.1 %
Motor Vehicle Sales and Rental Taxes 9,625 10,116 5.1
Motor Fuel Taxes 1,865 1,959 5.0
Franchise Tax 5,992 6,298 5.1
Oil Production Tax 5,901 6,499 10.1
Insurance Taxes 5,500 5,700 3.6
Cigarette and Tobacco Taxes 1,121 1,074 (4.2)
Natural Gas Production Tax 2,120 3,538 66.9
Alcoholic Beverages Taxes 2,213 2,520 13.9
Hotel Occupancy Tax 925 948 2.5
Utility Taxes 956 1,000 4.6
Other Taxes 205 167 (18.5)
Total Tax Collections $ 97,408 $ 103,926 6.7 %
NON-TAX COLLECTIONS
Licenses, Fees, Fines, and Penalties $ 2,567 $ 2,548 (0.7) %
State Health Service Fees and Rebates 1,961 2,025 3.3
Net Lottery Proceeds 3,273 3,077 (6.0)
Land Income 9 9 (4.0)
Interest and Investment Income 3,436 4,318 25.7
Settlements of Claims 1,092 962 (11.9)
Escheated Estates 1,414 1,461 3.3
Sales of Goods and Services 250 251 0.4
Other Revenue 1,031 1,001 (2.9)
Total Non-Tax Collections $ 15,034 $ 15,652 4.1 %
TOTAL NET REVENUE $ 112,442 $ 119,578 6.3 %
BALANCES AND ADJUSTMENTS
Beginning Balance in Fund 1 $ 4,290 $ (1,273)
Beginning Balances in Funds 2 and 3 431 327
Change in GR-Dedicated Account Balances 120 0
Reserve for Transfers to the Economic Stabilization and State Highway Funds (4,319) (5,830)
Reserve for Transfers to the Texas Tomorrow Fund N/A (271)
Total Balances and Adjustments $ 522 $ (7,048)
TOTAL GENERAL REVENUE-RELATED FUNDS
AVAILABLE FOR CERTIFICATION $ 112,965 $ 112,530 (0.4) %
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
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Sales and Use Taxes from 2019. The principal factor inhibiting growth in
The state’s largest source of tax revenue is the limited fiscal 2020 was the coronavirus pandemic, which led
sales and use tax, imposed at a rate of 6.25 percent of to significant declines in business activity beginning
the price of a broad range of items purchased within halfway through the fiscal year, especially in the leisure
or brought into the state. The tax is paid both by busi- and hospitality sector and in oil and gas-related sec-
nesses and consumers and applies generally to purchases tors. Ongoing consequences of the pandemic will con-
of goods unless specifically exempted and to selected tinue to curb growth in economic activity and sales tax
services. collections.
The limited sales and use tax is deposited to GR and While all-funds sales tax revenue is forecast to decline
is available for general-purpose spending with some by 1.4 percent to $33.62 billion in fiscal 2021, growth is
exceptions. Each fiscal year, after sales tax collections projected to resume at 3.9 percent in fiscal 2022 and 4.4
have reached $28 billion, up to $2.5 billion is allocable percent in 2023.
to the SHF. Taxes collected from the sales of motor GR-R sales tax revenue is expected to increase by 3.7
lubricants also are allocated to the SHF. Beginning in percent in 2022, to $31.31 billion, and by 4.7 percent
fiscal 2022, pursuant to Article VIII, Section 7-d of the in 2023, to $32.8 billion. GR-R sales tax revenue is fore-
Texas Constitution (as added by Proposition 5, a consti- cast to reach $64.11 billion in the 2022-23 biennium,
tutional amendment approved by voters in November an increase of 5.1 percent from the 2020-21 estimate of
2019), the net revenue from sales taxation of sporting $60.98 billion.
goods is dedicated and automatically appropriated to the
Parks and Wildlife Department and the Texas Historical Franchise Tax
Commission, subject to allocation as provided by stat- The franchise tax, Texas’ primary business tax, is
ute; this amount is projected to total $405 million in the levied on businesses’ taxable margin. To determine tax-
2022-23 biennium. Also, an amount sufficient to com- able margin, businesses first calculate their total revenue
pensate for repeal of a surcharge on fireworks is allocated and then may subtract from that one of four deductions:
to the Volunteer Fire Department Assistance Account. cost of goods sold; 30 percent of total revenue; total
Finally, collections associated with certain hotel projects compensation; or $1 million. Businesses then appor-
and special events are allocated to trust funds. tion their margin to Texas according to the share of their
Other sales taxes include the boat and boat motor total business conducted in the state as measured by
sales and use tax, levied at a rate of 6.25 percent, and their gross receipts.
a 1.5 percent surcharge on off-road diesel equipment Depending on the firm’s industry, a tax rate of either
dedicated to the Texas Emissions Reduction Plan 0.75 percent or 0.375 percent is applied to the appor-
Account (TERP). Beginning on September 1, 2021, this tioned margin to arrive at the amount of tax due. Most
surcharge no longer will be deposited into the TERP businesses use the 0.75 percent rate; those primarily
account; instead, it will be allocated to a trust fund out- engaged in wholesale or retail trade (including food
side the State Treasury. service) use the 0.375 percent rate. Businesses with total
Total sales tax collections for all funds excluding annual revenues of less than $20 million may elect to file
trusts (of which more than 99 percent represented the an EZ report and pay a reduced rate of 0.331 percent.
limited sales and use tax) reached a new high of $34.1 During the 2015 legislative session, the Legislature
billion in fiscal 2020, an increase of only 0.2 percent approved HB 32, which made permanent reductions
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to all franchise tax rates, among other changes. The tax Motor Vehicle Taxes
rate applicable to businesses in wholesale and retail trade The Texas motor vehicle sales and use tax (including
was reduced by 25 percent, from 0.5 percent to 0.375 seller-financed sales) applies to the retail sales of new
percent of taxable margin. The 25 percent reduction also and used motor vehicles at a rate of 6.25 percent of the
applied to businesses formerly taxed at 1.0 percent of sale’s total consideration. Also included in this group of
taxable margin; the rate is now 0.75 percent. related taxes are the motor vehicle rental tax (10 percent
HB 32 also amended the E-Z tax computation of gross receipts on rentals of 30 days or less, or 6.25
method in two ways: the total revenue threshold for a percent of gross receipts on rentals of 31 to 180 days)
business to qualify for the E-Z calculation was raised to and the manufactured housing sales and use tax (5 per-
$20 million from $10 million; and the tax rate applica- cent of 65 percent of the sales price of a new manufac-
ble to apportioned revenue was reduced by 42 percent, tured home).
from 0.575 percent to 0.331 percent. The new rates GR-R motor vehicle sales tax collections totaled
became effective for reports due on or after January 1, $4.48 billion in fiscal 2020, 3.4 percent lower than fiscal
2016. 2019’s as a result of the pandemic. Motor vehicle sales
Franchise tax revenue is split between GR and the tax collections are expected to increase compared to fis-
Property Tax Relief Fund (PTRF). The PTRF portion cal 2020 collections for the remainder of the 2020-21
is the amount by which the total revenues collected biennium as people make vehicle purchases that had
under the current tax structure exceeds the amount that been delayed due to the pandemic, with low interest
would have been collected under the tax as it existed on rates providing an additional tailwind.
August 31, 2007. The portion deposited to GR is the GR-R motor vehicle sales tax collections are expected
amount projected to have been collected had the former to rise to $4.64 billion in fiscal 2021, $4.8 billion in
tax structure remained in place. Franchise tax revenue 2022 and $4.88 billion in 2023. Collections in 2022-23
deposited into the PTRF is projected at $2.62 billion for are expected to reach $9.68 billion, an increase of 6.1
the 2020-21 biennium. The GR allocation is estimated percent from 2020-21 collections of $9.12 billion. The
to be $5.99 billion. PTRF and the Emissions Reduction Plan Account also
Total franchise tax revenue for the 2022-23 bien- receive small amounts from motor vehicle sales taxes.
nium is estimated to be $9 billion, an increase of $383 Beginning in fiscal year 2022, the portion currently
million (4.4 percent) from 2020-21. The amount pro- deposited to the Emissions Reduction Plan Account will
jected for GR is $6.3 billion, while the PTRF projection instead be deposited to the Emissions Reduction Plan
is $2.7 billion. Trust Fund, outside the State Treasury, created by HB
The pandemic and associated drop in crude oil price 3745 in the 86th Legislature.
caused a sharp decline in Texas economic activity in Motor vehicle rental tax collections, the other
the second quarter of 2020, with the degree of recovery major element in this tax category, are driven by busi-
thereafter expected to leave economic output for the ness travel and consumer demand for vacation travel
year lower than 2019’s. Since 2021 franchise tax reports and temporary vehicle needs. As such, motor vehicle
will be based on 2020 economic activity, franchise tax rental tax collections have been greatly affected by the
revenue is expected to fall in 2021, with growth resum- COVID-19 pandemic. Collections came in at an all-
ing thereafter. time high of $330 million in fiscal 2019 but fell by
nearly 11.5 percent in fiscal 2020. Business and per-
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sonal travel are expected to be significantly affected for January 2002 was less than $20 per barrel; in June 2008,
the near future, resulting in a decrease in projected col- it spiked to an all-time monthly high of more than $134
lections for fiscal 2021 to $211 million. Collections are before quickly declining to $39 in February 2009. Prices
projected to slowly increase to $217 million in fiscal gradually increased to around $100 in summer 2014
2022 and $222 million in fiscal 2023. For the 2022-23 before again dropping sharply and eventually retreating
biennium, rental taxes are expected to generate $439 below $31 in February 2016. As global demand strength-
million, down 12.6 percent from 2020-21 expected ened and excess global inventories dissipated, prices
collections of $503 million. recovered to more than $70 in July 2018 before plunging
Manufactured housing tax collections in fiscal 2020 to a record low of negative $37.63 on April 20, 2020, in
totaled $28 million, 5.6 percent more than the $26 response to the COVID-19 pandemic. Prices then recov-
million collected in 2019. Collections in 2020-21 are ered and approached $50 in December.
projected to be $56 million and are expected to remain Texas’ total oil production first peaked in 1972,
nearly flat at $56 million for the 2022-23 biennium. All when calendar-year production reached 1.26 billion bar-
collections from this tax are deposited to GR. rels. After a decades-long decline in production volumes,
In 2015, the Legislature passed and voters approved a reaching a low of 343 million barrels in 2007, the trend
constitutional amendment that required, starting in fis- reversed and reached a new all-time record of 1.58 bil-
cal 2020, a transfer to the SHF of that portion of motor lion barrels in 2019, due largely to the development in
vehicle sales tax revenue collected in excess of $5 billion the Eagle Ford shale formation and increased production
in any fiscal year. We project that the threshold will be in the Permian Basin.
met for the first time in fiscal 2022 and then again in In fiscal 2014, rising production and higher prices
fiscal 2023, and that $61 million will be transferred to increased oil production tax collections to $3.87 bil-
the SHF from motor vehicle sales tax collections in the lion, a record at the time. Despite higher production in
2022-23 biennium. 2015, sharply lower prices pushed tax collections down
GR-R collections from the entire group of motor to $2.88 billion. Collections in 2016 dropped further
vehicle-related taxes, including sales, rental, and manu- to $1.7 billion, with lower production and further
factured housing taxes, are expected to reach $9.63 bil- price declines. As prices recovered, production started
lion in the 2020-21 biennium, 2.8 percent less than in to rise. Collections increased to $2.11 billion in 2017,
2018-19. For the 2022-23 biennium, tax collections are $3.39 billion in 2018 and $3.89 billion in 2019, a new
expected to reach $10.12 billion, up 5.1 percent from all-time record, before falling back to $3.23 billion in
2020-21. 2020. Looking ahead, prices are expected to average $44
in 2021 and increase to $49 in 2022 and $55 in 2023.
Oil and Natural Gas Severance Taxes Total Texas oil production is expected to remain rela-
The taxes in this group consist of the oil production tively stable through 2023 as prices continue to recover
tax, levied at 4.6 percent of value, and the natural gas and demand returns toward pre-pandemic levels. Oil
production tax, levied at 7.5 percent of value. production tax collections are expected to generate $6.5
Severance tax collections are the product of two fac- billion in the 2022-23 biennium compared to $5.9 bil-
tors: price and production. The price of oil during the lion in 2020-21, a 10.1 percent increase.
past two decades is a study in volatility. The average New Natural gas market prices remained stable — and low
York Mercantile Exchange (NYMEX) market price in — throughout the 1980s and 1990s, at around $2 per
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million BTUs. In 2002, NYMEX market prices began a generally is the value of gross premiums received, the
long upward trend, reaching an all-time monthly aver- rates vary depending upon the type of insurance.
age high of $13.45 in October 2005, and after further Insurance maintenance taxes are used to fund the
fluctuation stood at $12.78 in June 2008. Record high Texas Department of Insurance’s (TDI’s) regulatory
prices during this period helped accelerate the shale costs and are levied at rates adjusted annually based on
drilling boom that began in the Barnett Shale and was TDI’s appropriation and unexpended balance from the
followed by shale plays in other parts of the country previous year. Revenue collected from maintenance taxes
such as the Marcellus and Haynesville formations. The is deposited to TDI’s operating account.
consequent boom created a nationwide glut, halted the Insurance premium tax collections are deposited into
upward price trend and brought prices down to $2.05 the General Revenue Fund. The rate for life, accident
by April 2012. Unlike oil prices, rebounds in natural and health insurance is 1.75 percent of the value of gross
gas prices were short-lived. They continued a downward premiums written; for property and casualty insurance,
path to sub-$2 levels by March 2016, when inventories 1.6 percent; for title insurance, 1.35 percent; for cap-
reached record levels. tive insurance companies, 0.5 percent; and the rate for
In response to lower prices, the number of active unauthorized, surplus lines and independently procured
Texas natural gas drilling rigs began to fall, from a peak insurance is 4.85 percent.
of 756 in September 2008 to 14 in September 2016. Beginning in fiscal 2009, premium tax collections
Associated oil-well gas (casinghead gas) production, have been reduced by two temporary factors: Texas
however, has more than tripled since 2010 and today is Windstorm Insurance Association (TWIA) assessment
a driving factor, accounting for 38 percent of total gas credits and Certified Capital Company (CAPCO)
production in 2020 versus only 12.2 percent 10 years investment premium tax credits. After claims related
prior. to hurricanes Dolly in July 2008 and Ike in Septem-
COVID-19 reduced natural gas demand starting ber 2008 exceeded available reserves, TWIA imposed
during the second quarter of fiscal 2020. The aver- assessments of $460 million on insurers, $230 million
age NYMEX price for the third quarter of fiscal 2020 of which was made available as premium tax credits. A
was $1.87; it continued to drop to $1.75 in the fourth maximum of 20 percent of these assessment credits ($46
quarter. million) could be taken in any fiscal year. TWIA assess-
Total natural gas production is expected to rise ment credits of $2.2 million are still available; a pro-
because of increasing prices at the start of fiscal 2021. jected $80,000 will be redeemed in 2021, with a further
Market prices are expected to average $2.60 in 2021, $80,000 redeemed in both 2022 and 2023. CAPCO
$2.75 in 2022 and $2.65 in 2023. Natural gas tax col- investment premium tax credits, initially available at a
lections in the 2022-23 biennium are expected to be maximum rate of $50 million per year, will continue
$3.54 billion, 66.9 percent more than the $2.12 billion through 2023 at an estimated $1.0 million per year.
collected in 2020-21. In fiscal 2020, insurance tax revenue (from all taxes
for all funds) rose by 5.5 percent from 2019, due pri-
Insurance Taxes marily to increases in premium tax collections. Collec-
Most of the insurance purchased in Texas is subject tions in 2021 are expected to be reduced by pandemic
to two types of taxes: insurance premium taxes and effects on calendar 2020 economic activity. Collec-
insurance maintenance taxes. While the tax base for each tions are projected to exceed 2020 levels, but by only
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0.7 percent, the lowest annual increase since 2009. Total based rate increased by 3 cents per ounce every Septem-
tax collections for the 2020-21 biennium are projected ber through 2013 to reach the current and final rate of
to be $5.5 billion, 7.7 percent more than in 2018-19. $1.22 per ounce.
The growth rate of insurance tax revenue is expected A share of the additional revenue attributable to the
to decrease over the 2022-23 biennium, with collec- weight-based taxation method initially was dedicated
tions reaching $5.7 billion, 3.6 percent more than in to the Physician Education Loan Repayment Program
2020-21. (PELRP) account in GR, while the remaining revenue
was dedicated to unrestricted GR. The PELRP account
Tobacco Taxes received a 15 percent share in fiscal 2010, 25 percent in
Effective January 1, 2007, the 79th Legislature 2011 and 50 percent thereafter. In 2015, the Legislature
increased the cigarette tax rate by one dollar to a total of changed that allocation method to deposit the entire
$1.41 per pack of 20 cigarettes. The additional revenue amount into GR if the PELRP account has a sufficient
attributable to that increase was dedicated to the PTRF, unencumbered beginning balance to fund appropria-
while the revenue from the cigarette tax at the former tions and other costs during the current fiscal biennium,
rate ($0.41 per pack) remains dedicated to GR. or to deposit the entire amount to the PELPR account if
Cigarette distributors are entitled to 2.5 percent of the beginning balance is not sufficient.
the face value of the cigarette tax stamps purchased as Cigars are taxed at four rates that vary by weight, fac-
an allowance for the service they provide in fixing a tax tory list price and ingredients. Those tax rates, ranging
stamp to each pack of 20 cigarettes. That allowance was from one cent per 10 small cigars to $15 per 1,000 large
reduced from 3.0 percent by the 82nd Legislature in cigars, have not changed since 1977. All revenue col-
2011. Distributors remitting the cigarette fee created lected from cigar taxes is dedicated to GR.
by the 83rd Legislature (2013) on sales of nonsettling Cigarette tax collections for all funds totaled $1.06
manufacturer cigarettes, however, can claim the full 3.0 billion in fiscal 2020, 10.3 percent less than in 2019.
percent stamping allowance for all of the cigarettes they Cigar and tobacco product tax collections for all funds
stamp. were $238 million in 2020, a 4.7 percent increase
For tobacco products other than cigarettes and cigars from 2019. In the 2020-21 biennium, collections from
(i.e., snuff, chewing tobacco, pipe tobacco and roll-your- the cigarette and cigar and tobacco products taxes are
own tobacco), the 79th Legislature increased the tax rate expected to total $2.67 billion for all funds, 2.1 percent
from 35.213 percent to 40 percent of the manufacturer’s below 2018-19 collections. For 2022-23, collections are
list price. The additional revenue attributable to that expected to decline by 5.4 percent to $2.53 billion. Of
rate increase was dedicated to the PTRF, while the rev- this amount, $1.07 billion will be deposited to GR and
enue from the tax at the former rate remains dedicated $1.45 billion will be dedicated to the PTRF; there will
to GR. be no allocation to the PELRP account.
As of September 1, 2009, the Legislature converted
the tax on non-cigarette and non-cigar tobacco from an Alcoholic Beverage Taxes
assessment based on value to one based on the manufac- Texas imposes six taxes on alcoholic beverages. The
turer’s list weight. The tax rate in fiscal 2010 was set at taxes on beer ($6 per 31-gallon barrel), liquor ($2.40
$1.10 per ounce, while the prior ad valorem rate was 40 per gallon), wine (from 20.4 cents to 51.6 cents per
percent of the manufacturer’s list price. The new weight- gallon) and malt liquor or ale (19.8 cents per gallon)
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are based on the volume sold. The two taxes levied on The excise taxes on liquor, beer, wine and malt liquor
mixed beverage sales — 6.7 percent on the beverage (ale), which represent a smaller portion of the alcoholic
vendor’s gross receipts and an 8.25 percent sales tax beverage category, saw an overall increase in collections
on the consumer’s purchase — are value-based. As of from fiscal 2019 to fiscal 2020. Collections from these
September 1, 2021, the 86th Legislature (2019) elimi- taxes for 2020-21 are expected to reach $491 million,
nated the distinction between the malt liquor (ale) tax 5.8 percent more than in 2018-19. In the 2022-23 bien-
and the beer tax by combining them into a new malt nium, collections are estimated to total $489 million, a
beverage category. The lower beer excise tax rate will decrease of 0.4 percent from 2020-21.
be applied to malt liquor. The change is reflected in
the 2022-23 biennium estimate for both taxes with the Motor Fuel Taxes
inclusion of the estimated malt liquor (ale) collections Texas taxes the three major fossil fuels used to propel
in the beer tax estimate. motor vehicles on public roads. The tax rate on gasoline
In fiscal 2020, collections for all Texas alcoholic bev- and diesel fuel is 20 cents per gallon, while liquefied and
erage taxes were $1.13 billion, a 17.8 percent decrease compressed gas are taxed at 15 cents per gallon.
from collections in 2019. In the 2020-21 biennium, col- The pandemic caused motor fuels tax collections to
lections are expected to total $2.21 billion, 16.8 percent decline in fiscal 2020. Gasoline tax collections fell by 6.6
below 2018-19 collections. For 2022-23, collections are percent from 2019, 8.3 percentage points lower than the
expected to increase by 13.9 percent, to $2.52 billion. compounded annual growth rate of 1.7 percent from fis-
Alcoholic beverage tax revenue fell sharply in fiscal cal 2008 to fiscal 2019. Similarly, diesel fuel tax collec-
2020 due largely to the significant drop in activity at tions fell by 3.6 percent from fiscal 2019, compared to
restaurants, bars and similar establishments. With the a compounded annual growth rate of 1.7 percent from
advent of the pandemic, the leisure and hospitality sec- fiscal 2008 to fiscal 2019.
tors experienced heavy revenue losses with the decrease After deducting for transfers to the SHF, motor fuel
in travel and cancelation of many revenue-generating tax revenues available for general-purpose spending in
events during which alcoholic beverages typically are the 2020-21 biennium are expected to fall by 6.2 per-
sold. As COVID-19 cases and hospitalizations rose in cent to $1.86 billion, then increase by 5.0 percent in
the state, bars were recognized as virus-spreading loca- 2022-23, to $1.96 billion.
tions and were ordered closed. Bars were subsequently
allowed to reopen with restrictions. The imposition of Utility Taxes
various occupancy limits and bar closures throughout Texas levies three utility taxes on utility companies:
fiscal 2020 shifted some alcohol purchases from res- the gas, electric and water utility tax; the public utility
taurants and bars to grocery and package liquor stores. gross receipts assessments; and the gas utility pipeline
The two mixed-beverage taxes accounted for 78 percent tax.
of total alcoholic beverage tax revenue in fiscal 2020. The gas, electric and water utility tax, which
Mixed-beverage tax collections for the 2020-21 bienni- accounts for approximately 82 percent of utility tax
um are expected to reach $1.72 billion, 21.6 percent less collections, is levied on investor-owned electric util-
than 2018-19 collections of $2.2 billion. In the 2022-23 ity gross receipts at rates ranging from 0.581 percent
biennium, collections are expected to rise to $2.03 bil- to 1.997 percent, depending on the population of the
lion, a 17.9 percent increase from 2020-21. city served. The tax does not apply to receipts from
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sales of utility services in unincorporated areas; sales electricity and natural gas continue to rise, total utility
in municipalities with populations of no more than tax revenue collections are expected to reach $1 billion
1,000; sales by municipally owned utilities; or sales by in the 2022-23 biennium, up 4.6 percent from an esti-
electric cooperatives. In 2020, GR-R collections from mated $956 million in 2020-21.
this source totaled $386 million, down by 1.0 percent
from 2019 collections of $390 million. After adjust- Hotel Occupancy Tax
ing for deposit errors, collections in fiscal 2020 totaled The state hotel occupancy tax is imposed on a person
$391 million, 1.3 percent more than adjusted fiscal who pays for a hotel room (or sleeping accommodations
2019 collections of $386 million. Decreasing electric- in similar facilities) costing $15 or more each day, at a
ity demand seen in recent years, due mostly to the rate of 6 percent of the price paid for the room. Local
replacement of less efficient end-use equipment with taxing authorities are authorized to impose an additional
newer, more efficient equipment, has tapered off and local hotel tax that they collect.
demand has resumed a slow increase. The increase in Fiscal 2020 collections from the state hotel occu-
electricity demand, along with higher retail electricity pancy tax totaled $471 million, a decrease of 26 percent
prices and increased natural gas usage in the industrial from 2019 collections of $636 million, attributable
sector, contributed to the increase in 2020 revenues. to reduced business and leisure travel from the global
Collections in the 2022-23 biennium are expected to pandemic.
reach $821 million, an increase of 5.7 percent from For the 2020-21 biennium, collections are expected
$777 million in 2020-21. to reach $925 million, 25.3 percent below 2018-19
Public utility gross receipts assessments, compris- collections of $1.24 billion. In 2022-23 gross hotel tax
ing roughly 12 percent of total utility tax revenues, are receipts should increase by an estimated 4.8 percent. But
paid by electric and telecommunications utilities at the with more hotel projects becoming eligible for refunds
rate of one-sixth of 1 percent of gross receipts. GR-R of state hotel occupancy tax revenue, net collections will
collections from this source were $60 million in fiscal rise by just 2.5 percent, to $948 million.
2020, or $55 million after adjusting for deposit errors.
Collections during the 2022-23 biennium are expected Other Taxes
to rise by 2.5 percent, to $114 million, versus 2020-21 The remaining state taxes include those on oil well
adjusted collections estimated at $111 million. services, coin-operated amusement machines, cement
Revenues from the gas utility pipeline tax, the small- and combative sports admissions. In fiscal 2020, net
est source of utility tax revenue, are levied at the rate GR-R collections for this category totaled $138 million,
of one-half of 1 percent of gross receipts and totaled 35.2 percent less than 2019 collections of $213 million.
$32 million in fiscal 2020. Collections in the 2022-23 Most of this decrease, more than $74 million, is attrib-
biennium are expected to reach $66 million, 3.2 per- utable to a reduction in the oil well services tax.
cent more than the estimated $63 million collected in Collections from the other taxes category are
2020-21. expected to generate $167 million for general-purpose
In fiscal 2020, the state’s net collections from all util- spending in the 2022-23 biennium, a decrease of 18.5
ity taxes totaled $478 million, up 1.4 percent from $471 percent from an estimated $205 million in collections in
million in 2019. As electricity and natural gas consump- 2020-21.
tion increase slightly, and the average retail prices of
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Non-Tax Revenue by increased scratch-ticket sales, which rose by 14.7 per-
In addition to the $103.93 billion in tax revenue cent to $5.56 billion. Of this amount, 66.3 percent of
estimated for the 2022-23 biennium, the state’s GR-R gross sales was returned to players as prizes, while the lot-
funds are expected to receive $15.65 billion in non-tax tery’s administrative costs, which are legally capped at 7
revenue, a 4.1 percent increase from the $15.03 billion percent of gross sales, totaled approximately $216 million,
in non-tax revenue collected in 2020-21. or 3.2 percent of sales. Retailers receive a 5 percent sales
The major non-tax revenue sources, accounting for commission as well as a bonus for tickets they sell that are
92 percent of collections in the 2022-23 biennium, are redeemed for large jackpots and other incentive payments
licenses, fees, fines and penalties; state lottery proceeds; if certain sales targets are met.
interest and investment income, particularly distribu- After prizes, administrative costs, retailer commis-
tions from the Permanent School Fund (PSF) to the sions and other costs are paid, the remaining money is
Available School Fund (ASF) to public education spend- transferred to the Foundation School Fund (FSF) to
ing; the Medicaid vendor drug program; unclaimed support public schools throughout the state. In fiscal
property and escheated estates; and tobacco settlement 2020, this transfer totaled $1.66 billion. The Legislature
claims payments. This revenue category also includes the also approved a scratch ticket game to generate revenue
sales of goods and services, land income and a wide vari- specifically for the benefit of Texas veterans beginning in
ety of other sources. fiscal 2009. In fiscal 2020, this resulted in a $19 million
transfer to the Texas Veterans Commission (TVC).
Licenses, fees, fines and penalties The transfer of lottery revenue to the FSF is pro-
Texas collects revenue from charges levied on a wide jected to decline by 6 percent during the 2022-23 bien-
variety of business and personal activities. Examples nium, to $3.08 billion. This forecast assumes a decline
include transportation (vehicle registrations and inspec- from record scratch-ticket sales in fiscal 2020, which
tions and drivers licenses); business regulation (profes- occurred as a result of COVID-19 causing area casino
sional licenses); natural resources (environmental per- operations to shut down temporarily. Revenue trans-
mits); parks and wildlife (parks fees and fishing/hunting ferred to the TVC is expected to total $36 million in the
licenses); education (university tuition); and court 2022-23 biennium, 5.1 percent less than in the preced-
charges. GR-R collections in the 2022-23 biennium are ing biennium.
expected to reach $2.55 billion, 0.7 percent less than the Unclaimed lottery game prizes topped $87 million in
$2.57 billion collected in 2020-21. 2020. Legislation passed in 2013 redirected the major-
ity of unclaimed prize money, formerly deposited to
Lottery Proceeds the General Revenue Fund, to the FSF. For the 2022-
Since 1992, the Texas Lottery Commission has 23 biennium, transfers of unclaimed prizes to the FSF
administered a lottery to raise revenue benefiting public are projected to decline by 5 percent, to $159 million.
schools. Through the years, its portfolio of games has Transfers of unclaimed prizes to TVC are expected to
expanded considerably and now includes multi-state total $5 million during the 2022-23 biennium.
draw games such as Powerball and Mega Millions.
Gross sales for all Texas lottery games rose from $6.25 Interest and Investment Income
billion in fiscal 2019 to $6.7 billion in fiscal 2020, a This revenue category includes interest earnings on
growth rate of 7.2 percent. This growth was largely driven state deposits, investment income and income distri-
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butions from the PSF to the ASF. GR-R interest and Unclaimed Property and Escheated Estates
investment income in the 2022-23 biennium is expected The category’s revenues represent proceeds from
to total $4.32 billion, 25.7 percent more than the $3.44 abandoned personal property such as checking accounts,
billion collected in 2020-21. savings accounts, certificates of deposit, safe deposit
The biggest contributor to the increase in this cat- boxes, stocks, bonds, mutual funds, mineral proceeds
egory for the 2022-23 biennium is a projected increase and other types of property. For this revenue category,
in PSF income, which traditionally produces most of which includes unclaimed property submitted to the
the investment income accruing to GR-R funds. The state, GR-R collections are expected to be $1.46 billion
increase in distributions from the PSF to the ASF dur- in the 2022-23 biennium, a 3.3 percent increase from
ing the 2022-23 biennium results from decisions by the 2020-21 collections of $1.41 billion.
State Board of Education and the School Land Board,
which jointly manage the PSF. Combined distributions Tobacco Settlement Claim Payments
from both boards are expected to send $2.13 billion to In fiscal 1999, Texas began receiving regularly
the ASF in fiscal 2022 and $2.18 billion in fiscal 2023, scheduled court settlement payments from tobacco
a biennial increase of $906 million or 26.6 percent from product manufacturers. Beginning in the 2000-01
2020-21. biennium, these payments were adjusted for changes in
the national consumer price index, the settling tobacco
State Health Service Fees and Rebates companies’ U.S. cigarette sales and their domestic
Revenue from the federally mandated and state- operating profits. In the 2020-21 biennium, Texas
supplemental Medicaid vendor drug programs consists tobacco settlement receipts are expected to total $895
of rebates the state collects from drug manufacturers million, a 1.6 percent decline from the $938 million
for drugs covered by state Medicaid programs. State collected in 2018-19. For 2022-23, these receipts are
and non-state hospitals that provide health care servic- expected to reach $881 million, 4.6 percent less than
es to indigent patients receive adjustments through the in 2020-21. Tobacco settlement payments have been
Medicaid Uncompensated Care and Disproportionate affected negatively by cigarette tax increases imposed
Share Hospital programs; net revenue after hospitals by federal, state and local governments. The resulting
receive these payments is considered general revenue. higher consumer prices have accelerated the decline in
Together with premium credits from the Medicaid pro- cigarette consumption, reducing the sales volume of
gram, these funds and rebates comprise state revenue the settling cigarette manufacturers and thereby lower-
to this category. Based on revenue estimates from the ing settlement payments.
Texas Health and Human Services Commission and
the Legislative Budget Board (LBB), the GR portion of Revenue to All Funds
these funds and rebates is expected to total $2.02 bil- Revenue to all funds will total $270.47 billion in
lion in the 2022-23 biennium, an increase of 3.3 per- the 2022-23 biennium, a 6.5 percent decrease from
cent from the $1.96 billion expected in 2020-21. The the $289.42 billion expected in 2020-21. In 2022-23,
2022-23 estimate is based on the LBB’s assumptions GR-R receipts will total $119.58 billion, 6.3 percent
for future Federal Medical Assistance Percentages as of more than the $112.44 billion in 2020-21 collections
October 2020. that were affected significantly by the pandemic.
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Dedicated federal income in 2022-23 will account Another large source of all-funds revenue is the
for $98.18 billion, $26.6 billion or 21.3 percent less SHF’s share of motor fuels tax revenue. This revenue is
than the $124.78 billion expected in 2020-21, during constitutionally dedicated to activities associated with
which the state received a substantial increase in federal the state highway system.
revenue to cover costs associated with COVID-19. Esti- Total estimated revenues include certain funds that
mates of state revenue attributable to federal COVID-19 are deposited in the State Treasury but not appropriated,
relief legislation passed in late December 2020 are based such as royalties deposited to the PSF. Excluded are local
on the best available data at the time of publication; funds that are appropriated but not deposited into the
as such, those estimates are preliminary and subject to State Treasury and deposits by certain semi-independent
change as more information is made available. agencies. µ
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BIEN NIAL R EV E N UE E ST I MATE
Summary
Tables
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TABLE A-1
Estimated General Revenue-Related Balances, Revenue,
Disbursements, and Appropriation Authority
Thousands of Dollars
2021 2022 2023
REVENUE AND BEGINNING FUND BALANCES
General Revenue-Related Adjusted Fund Balance* $ 4,868,679 $ (946,452) $ 54,682,974
General Revenue-Related Revenue** 55,459,224 58,444,355 61,133,151
Adjustment to Dedicated Account Balances (319,294) 0 0
Total Revenue and Beginning Fund Balances $ 60,008,609 $ 57,497,903 $ 115,816,125
PROBABLE DISBURSEMENTS AND OTHER ADJUSTMENTS
Disbursements for Foundation School Programs $ 18,197,062 $ 0 $ 0
State Technology and Instructional Materials Disbursements 374,112 0 0
Other Probable Disbursements 40,332,393 0 0
Reserve for Transfers to the Economic Stabilization and State Highway Funds 2,051,495 2,701,334 3,128,989
Reserve for Transfers to the Texas Tomorrow Fund N/A 113,596 157,580
Total Probable Disbursements and Other Adjustments $ 60,955,061 $ 2,814,930 $ 3,286,569
ESTIMATED ENDING CERTIFICATION BALANCE, AUGUST 31 $ (946,452) $ 54,682,974 $ 112,529,555
APPROPRIATION AUTHORITY
Prior-Year Authority $ 2,859,024
Current-Year Authority 58,903,567
TOTAL APPROPRIATION AUTHORITY $ 61,762,590
* Excludes constitutionally restricted accounts, dedicated lottery proceeds, oil overcharge and other general revenue-dedicated account balances
that are not available for certification.
** Excludes constitutionally restricted motor fuel, sales and motor vehicle sales taxes transfers to the State Highway Fund.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
24 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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TABLE A-2
Estimated General Revenue-Related Revenue and Balances
Available for Certification
Thousands of Dollars
2020-21 2022-23
BEGINNING FUND BALANCES
Consolidated General Revenue Fund Adjusted Balance $ 4,289,697 $ (1,273,341)
Available School Fund Balance 58,188 35,000
State Technology and Instructional Materials Fund Balance 372,930 291,889
Total Beginning Fund Balances $ 4,720,816 $ (946,452)
REVENUE
General Revenue Fund $ 105,586,138 $ 112,028,724
Available School Fund 3,407,283 4,311,197
State Technology and Instructional Materials Fund 8,551 2,342
Foundation School Account 3,440,400 3,235,243
Total Revenue $ 112,442,372 $ 119,577,506
OTHER ADJUSTMENTS
Change in General Revenue-Dedicated Account Balances $ 120,466 $ 0
Reserve for Transfers to the Economic Stabilization and State Highway Funds (4,318,871) (5,830,322)
Reserve for Transfers to the Texas Tomorrow Fund N/A (271,177)
Total Other Adjustments $ (4,198,404) $ (6,101,499)
TOTAL GENERAL REVENUE-RELATED REVENUE AND BALANCES $ 112,964,783 $ 112,529,555
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
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TABLE A-3
Estimated General Revenue-Related Funds Revenue
Object Thousands of Dollars
Code Description 2021 2022 2023
GENERAL REVENUE FUND
3004 Motor Vehicle Sales and Use Tax $ 4,455,732 $ 4,622,237 $ 4,734,239
3005 Motor Vehicle Rental Tax 210,797 217,373 221,721
3007 Gasoline Tax 2,629,338 2,655,262 2,682,552
3008 Diesel Fuel Tax 901,925 934,077 975,596
3016 Motor Vehicle Sales and Use Tax–Seller Financed Motor Vehicles 157,125 161,839 164,267
3027 Driver Record Information Fees 3,390 3,556 3,738
3102 Limited Sales and Use Tax 32,609,500 33,928,400 35,420,600
3111 Boat and Boat Motor Sales and Use Tax 75,800 78,700 83,200
3114 Escheated Estates 698,823 719,788 741,381
3130 Franchise/Business Margins Tax 2,936,700 3,045,200 3,252,300
3139 Hotel Occupancy Tax 453,877 466,102 481,964
3175 Professional Fees 62,006 64,559 64,732
3186 Securities Fees 140,000 140,000 140,000
3201 Insurance Premium Taxes 2,638,111 2,655,246 2,749,332
3219 Insurance Maintenance Tax–Workers' Compensation Division and OIEC 48,748 51,185 53,744
3230 Public Utility Gross Receipts Assessment 55,704 56,539 57,104
3233 Gas, Electric and Water Utility Tax 390,321 404,037 416,825
3250 Mixed Beverage Gross Receipts Tax 379,407 443,765 468,667
3251 Mixed Beverage Sales Tax 466,586 544,065 574,623
3253 Liquor Tax 104,016 105,200 106,400
3258 Beer Tax 105,501 118,900 120,100
3275 Cigarette Tax 360,700 312,700 341,600
3278 Cigar and Tobacco Products Tax 213,722 210,838 209,212
3290 Oil Production Tax 2,672,076 3,037,430 3,461,722
3291 Natural Gas ProductionTax 1,194,898 1,695,996 1,841,911
3849 Tobacco Suit Settlement Receipts 456,900 445,800 435,100
3854 Interest Other - General, Non-Program 1,556 1,556 1,556
3950 Allocations to General Revenue from Special Funds 12,705 20,292 20,292
3952 Allocation of Uncompensated Care and Disproportionate Share Revenues 199,310 198,149 198,149
Other General Revenue Fund Revenue 2,504,842 2,689,292 2,745,700
3901 Less: Motor Fuel Taxes Allocation to State Highway Fund (2,586,246) (2,625,914) (2,675,686)
3924 Less: Sporting Goods Sales Taxes Allocation to the TPWD and THC N/A (196,900) (207,900)
3925 Less: Sales Taxes Allocation to State Highway Fund (2,500,000) (2,500,000) (2,500,000)
3928 Less: Motor Vehicle Sales Taxes Allocation to State Highway Fund 0 (9,745) (51,541)
Subtotal, General Revenue Fund $ 52,053,870 $ 54,695,524 $ 57,333,200
SCHOOL FUNDS*
3851 Interest on State Deposits/Investments - General, Non-Program $ 2,723 $ 2,943 $ 1,596
3910 Allocation from Permanent School Fund to Available School Fund 1,701,670 2,132,000 2,177,000
3922 State Gain from Lottery Proceeds 1,617,708 1,534,623 1,542,090
Other School Funds Revenue 83,253 79,265 79,265
Subtotal, School Funds $ 3,405,354 $ 3,748,831 $ 3,799,951
TOTAL ESTIMATED NET GENERAL REVENUE-RELATED FUNDS $ 55,459,224 $ 58,444,355 $ 61,133,151
* Includes net revenue for the Available School Fund, the State Technology and Instructional Materials Fund, and the Foundation School Account.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
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TABLE A-4
Estimated General Revenue-Dedicated Accounts Revenue
Account Thousands of Dollars
Number Account 2021 2022 2023
9 Game, Fish, and Water Safety $ 147,294 $ 148,595 $ 148,831
27 Coastal Protection 15,193 15,529 10,481
64 State Parks 48,984 237,471 247,701
151 Clean Air 69,236 68,068 68,605
153 Water Resource Management 84,055 86,282 87,746
225 University of Houston Current 78,446 78,446 78,446
238 University of Texas at Dallas Current 52,093 53,632 54,688
242 Texas A&M University Current 112,482 113,282 113,782
244 University of Texas at Arlington Current 66,962 68,142 68,706
248 University of Texas at Austin Current 113,667 113,667 113,667
249 University of Texas at San Antonio Current 43,919 45,065 45,516
250 University of Texas at El Paso Current 31,223 31,435 32,016
255 Texas Tech University Current 58,372 58,372 58,372
258 University of North Texas Current 47,802 48,754 49,724
259 Sam Houston State University Current 27,299 27,368 27,574
421 Criminal Justice Planning 16,115 17,034 16,281
469 Compensation to Victims of Crime 63,729 66,505 64,601
549 Waste Management 36,204 36,449 36,697
550 Hazardous and Solid Waste Remediation Fees 28,771 28,898 29,015
655 Petroleum Storage Tank Remediation 16,883 17,161 17,490
5000 Solid Waste Disposal Fees 11,493 11,606 11,720
5007 Commission on State Emergency Communications 18,355 18,355 18,355
5025 Lottery* 552,115 525,804 525,804
5050 9-1-1 Service Fees 32,511 32,511 32,449
5064 Volunteer Fire Department Assistance 22,626 21,652 21,642
5071 Emissions Reduction Plan** 101,490 0 0
5073 Fair Defense 37,019 39,380 37,809
5080 Quality Assurance 60,057 60,057 60,057
5094 Operating Permit Fees 39,425 39,757 40,093
5111 Designated Trauma Facility and EMS 107,900 105,565 103,918
5155 Oil and Gas Regulation and Cleanup 67,339 71,046 73,432
Other Accounts 856,938 883,477 889,169
TOTAL ESTIMATED GENERAL REVENUE-DEDICATED ACCOUNTS $ 3,065,997 $ 3,169,365 $ 3,184,387
* Net of proceeds to the Foundation School Account and other dedicated accounts.
** Revenue collections do not include transfers from the State Highway Fund. Beginning on September 1, 2021,
all revenue that was deposited into the TERP account will be allocated to a trust fund outside the State Treasury.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
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TABLE A-5
Estimated Federal Income, by Fund or Account
Fund/
Account Thousands of Dollars
Number Fund or Account 2021 2022 2023
1 General Revenue Fund $ 33,631,501 $ 35,659,490 $ 32,818,467
6 State Highway Fund 5,853,758 4,329,196 3,963,289
9 Game, Fish, and Water Safety Account 58,019 58,019 58,019
37 Federal Child Welfare Service Account 509,161 513,469 519,060
92 Federal Disaster Account 202,788 172,645 156,103
127 Community Affairs Federal Account 280,153 280,726 282,887
148 Federal Health, Education and Welfare Account 3,364,884 3,341,116 3,341,116
171 Federal School Lunch Account 2,246,334 1,979,337 1,979,337
222 Department of Public Safety Federal Account 1,900 1,850 1,850
224 Governor's Office Federal Projects Account 108,383 115,591 123,278
273 Federal Health and Health Lab Funding Excess Revenue Account 301,277 301,277 301,277
325 Coronavirus Relief Fund 17,757,385 2,867,176 497,106
421 Criminal Justice Planning Account 218,818 218,678 218,539
449 Texas Military Federal Account 66,794 68,797 67,864
469 Compensation to Victims of Crime Account 31,853 20,511 21,249
549 Waste Management Account 6,750 6,750 6,750
5026 Workforce Commission Federal Account 1,741,995 1,673,774 1,667,827
5091 Office of Rural Community Affairs Federal Account 68,166 67,777 67,777
Other Funds and Accounts 208,467 206,722 203,009
TOTAL ESTIMATED FEDERAL INCOME $ 66,658,386 $ 51,882,901 $ 46,294,804
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
28 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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TABLE A-6
Estimated Other Funds Revenue, by Fund or Account
Fund/
Account Thousands of Dollars
Number Fund or Account 2021 2022 2023
6 State Highway Fund $ 7,162,536 $ 7,184,081 $ 7,320,137
11 Available University Fund 1,173,292 1,220,037 1,278,669
193 Foundation School Account/Local Recapture – Attendance Credits 2,814,010 2,796,200 3,031,800
304 Property Tax Relief Fund 2,084,728 2,028,444 2,180,666
365 Texas Mobility Fund 523,785 518,048 524,912
573 Judicial Fund 77,789 72,347 67,468
Disproportionate Share Revenue/State & Local Hospitals 5,026,129 5,408,844 3,215,099
Appropriated Receipts 675,622 701,482 620,373
Other Funds 3,119,620 3,869,475 4,319,715
TOTAL ESTIMATED OTHER FUNDS REVENUE $ 22,657,511 $ 23,798,958 $ 22,558,839
Note: Excludes certain local funds that are appropriated but not deposited in the State Treasury, and deposits by semi-independent agencies.
Includes certain state revenue deposited in the State Treasury but not appropriated. Excludes federal income.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
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TABLE A-7
Estimated All Funds Revenue, Excluding Trust Funds
Thousands of Dollars
Source 2021 2022 2023
General Revenue-Related $ 55,459,224 $ 58,444,355 $ 61,133,151
General Revenue-Dedicated 3,065,997 3,169,365 3,184,387
Federal Income 66,658,386 51,882,901 46,294,804
Other Funds 22,657,511 23,798,958 22,558,839
TOTAL ESTIMATED ALL FUNDS REVENUE $ 147,841,118 $ 137,295,579 $ 133,171,181
Note: Excludes local funds and deposits by semi-independent agencies. Includes certain state revenue deposited in the State Treasury
but not appropriated.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
30 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.078
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 80 of 272 PageID 302
Texas Biennial Reve nue Estimate
TABLE A-8
Estimated Allocations and Transfers from the General Revenue Fund
Thousands of Dollars
2021 2022 2023
ALLOCATIONS AND TRANSFERS TO OTHER FUNDS
Available School Fund–Motor Fuel Taxes $ 868,483 $ 881,847 $ 898,620
State Highway Fund–Motor Fuel Taxes 2,586,246 2,625,914 2,675,686
State Highway Fund–Severance Taxes 1,133,688 1,025,747 1,350,667
State Highway Fund–Sales Taxes 2,500,000 2,500,000 2,500,000
State Highway Fund–Motor Vehicle Sales Taxes 0 9,745 51,541
County and Road District Highway Fund–Motor Fuel Taxes 7,300 7,300 7,300
Economic Stabilization Fund–Severance Taxes 1,133,688 1,025,747 1,350,667
Teacher Retirement System Trust Fund (excl. health insurance) 2,315,411 2,462,444 2,616,168
Total Allocations and Transfers to Other Funds $ 10,544,816 $ 10,538,744 $ 11,450,649
ALLOCATIONS AND TRANSFERS TO GENERAL REVENUE-DEDICATED ACCOUNTS
Motor Fuel Allocation to Parks and Wildlife $ 18,720 $ 18,904 $ 19,097
Motor Fuel Enforcement Allocation 31,802 32,318 32,977
State Parks Account–Sporting Goods Sales Tax (SGST) 127,701 183,117 193,347
Texas Recreation and Parks Account–SGST 10,668 0 0
Parks and Wildlife Conservation Capital Account–SGST 58,150 0 0
Large County & Municipal Recreation and Parks Account–SGST 5,198 0 0
Historic Sites Account–SGST 15,183 13,783 14,553
Foundation School Account–Occupation Taxes 1,740,298 1,967,825 2,139,299
Hotel Occupancy Tax–Economic Development 37,823 38,842 40,164
Hotel Occupancy Tax–Coastal Erosion N/A 17,004 17,956
Texas Department of Insurance Operating Account–Insurance Maintenance Taxes 143,485 145,877 148,046
Rural Volunteer Fire Department Insurance Account–Sales Tax 2,120 2,160 2,280
Total Allocations and Transfers to General Revenue-Dedicated Accounts $ 2,191,148 $ 2,419,830 $ 2,607,719
TOTAL ALLOCATIONS AND TRANSFERS FROM GENERAL REVENUE $ 12,735,964 $ 12,958,574 $ 14,058,367
DETAILS OF THE ECONOMIC STABILIZATION FUND – CASH BASIS REPORTING
TOTAL BEGINNING BALANCE* $ 9,996,515 $ 8,947,194 $ 10,073,639
TRANSFERS, INTEREST AND INVESTMENT INCOME
Oil Production Tax Transfer 1,011,552 802,577 939,584
Natural Gas Production Tax Transfer 122,136 223,171 411,082
Unencumbered Balance Transfer 0 0 0
Interest Income 20,503 16,886 12,142
Investment Income 59,501 83,812 118,139
Total Transfers and Interest Income $ 1,213,692 $ 1,126,445 $ 1,480,948
APPROPRIATIONS 2,263,014 0 0
TOTAL ENDING BALANCE OF ESF $ 8,947,194 $ 10,073,639 $ 11,554,587
* The total beginning balance includes the cash balance in the State Treasury and the invested balance with the Texas Treasury Safekeeping Trust Company.
The invested balance and gain on those investments are based on the projected earnings as of October 16, 2021.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 31
App.079
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 81 of 272 PageID 303
Texas Biennial Reve nue Estimate
TABLE A-9
Available School Fund and State Technology and Instructional Materials Fund
Estimated Balances, Revenues and Expenditures
Thousands of Dollars
2021 2022 2023
Beginning Cash Balances
Available School Fund $ 13,458 $ 35,000 $ 18,476
State Technology and Instructional Materials Fund 666,415 291,889 293,745
Total Beginning Cash Balances $ 679,874 $ 326,889 $ 312,221
ESTIMATED REVENUE
Available School Fund
Total Return Allocation from Permanent School Fund $ 1,701,670 $ 2,132,000 $ 2,177,000
Interest on State Deposits/Investments - General, Non-Program 867 1,087 1,110
Allocation from General Revenue Fund 868,483 881,847 898,620
Total Estimated Available School Fund Revenue $ 2,571,020 $ 3,014,934 $ 3,076,730
State Technology and Instructional Materials Fund
Sale of Textbooks $ 0 $ 0 $ 0
Interest on State Deposits/Investments - General, Non-Program 1,856 1,856 486
Other Revenue 0 0 0
Total Estimated State Technology and Instructional Materials Fund Revenue $ 1,856 $ 1,856 $ 486
TOTAL ESTIMATED REVENUE AND BEGINNING CASH BALANCES $ 3,252,750 $ 3,343,679 $ 3,389,437
ESTIMATED EXPENDITURES
State Technology and Instructional Materials* $ 374,112 $ 1,035,439 $ 10,000
Administration–State Technology and Instructional Materials Fund 2,271 2,271 2,271
Administration–Available School Fund 0 0 0
Per Capita Apportionment
5,059,590 (prior year ADA) @ $504 2,549,478
5,095,199 (prior year ADA) @ $391 1,993,748
5,131,468 (prior year ADA) @ $609 3,124,064
Total Estimated Expenditures $ 2,925,861 $ 3,031,458 $ 3,136,335
ENDING CASH BALANCE $ 326,889 $ 312,221 $ 253,102
* Represents only state revenue.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts, Legislative Budget Board.
32 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.080
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 82 of 272 PageID 304
Texas Biennial Reve nue Estimate
TABLE A-10
Sources of Property Tax Relief Fund Revenue
Thousands of Dollars
2021 2022 2023
BEGINNING CASH BALANCE $ 0 $ 0 $ 2,028,444
REVENUE
3004 Motor Vehicle Sales and Use Tax 25,442 26,393 27,033
3130 Franchise/Business Margins Tax 1,258,600 1,305,100 1,393,800
3275 Cigarette Tax 780,300 676,400 738,900
3278 Cigar and Tobacco Products Tax 18,877 19,062 19,388
3851 Interest on State Deposits/Investments - General, Non-Program 1,509 1,489 1,545
Total Revenue $ 2,084,728 $ 2,028,444 $ 2,180,666
NET TRANSFERS $ 0 $ 0 $ 0
APPROPRIATIONS $ 2,084,728 $ 0 $ 0
ENDING CASH BALANCE $ 0 $ 2,028,444 $ 4,209,110
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 33
App.081
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 83 of 272 PageID 305
Texas Biennial Reve nue Estimate
TABLE A-11
Sources of State Highway Fund Revenue
Object Thousands of Dollars
Code Description 2021 2022 2023
STATE REVENUE
3010 Motor Fuel Lubricants Sales Tax $ 37,000 $ 37,500 $ 38,000
3014 Motor Vehicle Registration Fees 1,644,027 1,685,128 1,727,256
3018 Special Vehicle Permits Fees 122,729 125,119 127,557
3752 Sale of Publications/Advertising 4,636 4,683 4,729
3767 Supplies/Equipment/Services–Federal/Other 20,271 20,474 20,679
3851 Interest on State Deposits/Investments - General, Non-Program 19,905 13,013 12,411
3901 Motor Fuel Taxes Allocation 2,586,246 2,625,914 2,675,686
3969 Severance Taxes Allocation 1,133,688 1,025,747 1,350,667
3925 Sales Taxes Allocation 2,500,000 2,500,000 2,500,000
3928 Motor Vehicle Sales Taxes Allocation 0 9,745 51,541
Other Revenue 227,722 162,505 162,278
Total State Revenue $ 8,296,224 $ 8,209,828 $ 8,670,804
FEDERAL INCOME
3001 Federal Receipts Matched–Transportation Programs* $ 5,853,758 $ 4,329,196 $ 3,963,289
3701 Federal Receipts Not Matched–Other Programs 0 0 0
Total Federal Income $ 5,853,758 $ 4,329,196 $ 3,963,289
TOTAL STATE HIGHWAY FUND REVENUE $ 14,149,982 $ 12,539,024 $ 12,634,093
* The estimate for Federal Income is based on the Texas Department of Transportation's October cash forecast.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
34 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.082
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 84 of 272 PageID 306
Texas Biennial Reve nue Estimate
TABLE A-12
State Revenue, by Source and Fiscal Year
General Revenue-Related
Thousands of Dollars
2020 2021 2022 2023
Actual Estimated Estimated Estimated
TAX COLLECTIONS
Sales Taxes $ 30,799,500 $ 30,185,300 $ 31,310,200 $ 32,795,900
Motor Vehicle Sales and Rental Taxes 4,773,615 4,851,684 5,019,733 5,096,715
Motor Fuel Taxes 913,780 951,177 969,772 989,003
Franchise Tax 3,055,377 2,936,700 3,045,200 3,252,300
Oil Production Tax 3,229,347 2,672,076 3,037,430 3,461,722
Insurance Taxes 2,740,586 2,759,697 2,802,069 2,898,371
Cigarette and Tobacco Taxes 546,724 574,422 523,538 550,812
Natural Gas Production Tax 925,473 1,194,898 1,695,996 1,841,911
Alcoholic Beverages Taxes 1,125,322 1,088,010 1,231,530 1,288,890
Hotel Occupancy Tax 470,703 453,877 466,102 481,964
Utility Taxes 478,155 477,475 492,703 507,306
Other Taxes 138,326 66,210 78,980 87,733
Total Tax Collections $ 49,196,907 $ 48,211,526 $ 50,673,253 $ 53,252,627
REVENUE BY SOURCE
Tax Collections $ 49,196,907 $ 48,211,526 $ 50,673,253 $ 53,252,627
Licenses, Fees, Fines, and Penalties 1,439,320 1,127,545 1,270,291 1,278,204
State Health Service Fees and Rebates 985,540 975,402 992,427 1,032,449
Net Lottery Proceeds 1,655,764 1,617,708 1,534,623 1,542,090
Land Income 6,389 2,983 4,397 4,599
Interest and Investment Income 1,729,079 1,706,620 2,137,030 2,180,589
Settlements of Claims 594,637 497,267 486,167 475,467
Escheated Estates 715,456 698,823 719,788 741,381
Sales of Goods and Services 125,203 124,939 125,628 125,628
Other Revenue 534,852 496,411 500,751 500,117
Total Net Revenue $ 56,983,148 $ 55,459,224 $ 58,444,355 $ 61,133,151
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 35
App.083
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 85 of 272 PageID 307
Texas Biennial Reve nue Estimate
TABLE A-13
Percent Change in State Revenue, by Source and Fiscal Year
General Revenue-Related
2020 2021 2022 2023
Actual Estimated Estimated Estimated
TAX COLLECTIONS
Sales Taxes 3.2 % (2.0) % 3.7 % 4.7 %
Motor Vehicle Sales and Rental Taxes (3.9) 1.6 3.5 1.5
Motor Fuel Taxes (9.4) 4.1 2.0 2.0
Franchise Tax 3.1 (3.9) 3.7 6.8
Oil Production Tax (16.9) (17.3) 13.7 14.0
Insurance Taxes 5.5 0.7 1.5 3.4
Cigarette and Tobacco Taxes (8.0) 5.1 (8.9) 5.2
Natural Gas Production Tax (45.1) 29.1 41.9 8.6
Alcoholic Beverages Taxes (17.8) (3.3) 13.2 4.7
Hotel Occupancy Tax (26.0) (3.6) 2.7 3.4
Utility Taxes 1.4 (0.1) 3.2 3.0
Other Taxes (35.2) (52.1) 19.3 11.1
Total Tax Collections (2.1) % (2.0) % 5.1 % 5.1 %
REVENUE BY SOURCE
Tax Collections (2.1) % (2.0) % 5.1 % 5.1 %
Licenses, Fees, Fines, and Penalties 1.7 (21.7) 12.7 0.6
State Health Service Fees and Rebates (6.9) (1.0) 1.7 4.0
Net Lottery Proceeds 8.7 (2.3) (5.1) 0.5
Land Income (18.6) (53.3) 47.4 4.6
Interest and Investment Income 2.5 (1.3) 25.2 2.0
Settlements of Claims (3.7) (16.4) (2.2) (2.2)
Escheated Estates 3.2 (2.3) 3.0 3.0
Sales of Goods and Services (5.7) (0.2) 0.6 0.0
Other Revenue 6.7 (7.2) 0.9 (0.1)
Total Net Revenue (1.5) % (2.7) % 5.4 % 4.6 %
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
36 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.084
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 86 of 272 PageID 308
Texas Biennial Reve nue Estimate
TABLE A-14
State Revenue, by Source and Biennium
General Revenue-Related
Thousands of Dollars
2018-19 2020-21 2022-23
Actual Estimated Estimated
TAX COLLECTIONS
Sales Taxes $ 60,727,319 $ 60,984,800 $ 64,106,100
Motor Vehicle Sales and Rental Taxes 9,897,902 9,625,299 10,116,448
Motor Fuel Taxes 1,988,997 1,864,957 1,958,775
Franchise Tax 5,791,958 5,992,077 6,297,500
Oil Production Tax 7,278,341 5,901,423 6,499,152
Insurance Taxes 5,105,102 5,500,283 5,700,440
Cigarette and Tobacco Taxes 1,155,971 1,121,146 1,074,350
Natural Gas Production Tax 3,116,787 2,120,371 3,537,907
Alcoholic Beverages Taxes 2,661,391 2,213,332 2,520,420
Hotel Occupancy Tax 1,237,354 924,580 948,066
Utility Taxes 923,753 955,630 1,000,009
Other Taxes 419,005 204,536 166,713
Total Tax Collections $ 100,303,880 $ 97,408,433 $ 103,925,880
REVENUE BY SOURCE
Tax Collections $ 100,303,880 $ 97,408,433 $ 103,925,880
Licenses, Fees, Fines, and Penalties 2,827,193 2,566,865 2,548,495
State Health Service Fees and Rebates 2,317,376 1,960,942 2,024,876
Net Lottery Proceeds 2,907,636 3,273,472 3,076,713
Land Income 3,834 9,372 8,996
Interest and Investment Income 2,933,745 3,435,699 4,317,619
Settlements of Claims 1,135,150 1,091,904 961,634
Escheated Estates 1,329,612 1,414,279 1,461,169
Sales of Goods and Services 260,803 250,142 251,256
Other Revenue 1,002,958 1,031,263 1,000,868
Total Net Revenue $ 115,022,186 $ 112,442,372 $ 119,577,506
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 37
App.085
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 87 of 272 PageID 309
Texas Biennial Reve nue Estimate
TABLE A-15
Percent Change in State Revenue, by Source and Biennium
General Revenue-Related
2018-19 2020-21 2022-23
Actual Estimated Estimated
TAX COLLECTIONS
Sales Taxes 6.7 % 0.4 % 5.1 %
Motor Vehicle Sales and Rental Taxes 9.1 (2.8) 5.1
Motor Fuel Taxes 5.4 (6.2) 5.0
Franchise Tax 3.9 3.5 5.1
Oil Production Tax 91.0 (18.9) 10.1
Insurance Taxes 11.0 7.7 3.6
Cigarette and Tobacco Taxes (2.6) (3.0) (4.2)
Natural Gas Production Tax 99.6 (32.0) 66.9
Alcoholic Beverages Taxes 10.9 (16.8) 13.9
Hotel Occupancy Tax 17.6 (25.3) 2.5
Utility Taxes 5.7 3.5 4.6
Other Taxes 135.5 (51.2) (18.5)
Total Tax Collections 12.5 % (2.9) % 6.7 %
REVENUE BY SOURCE
Tax Collections 12.5 % (2.9) % 6.7 %
Licenses, Fees, Fines, and Penalties (1.9) (9.2) (0.7)
State Health Service Fees and Rebates (12.6) (15.4) 3.3
Net Lottery Proceeds 16.1 12.6 (6.0)
Land Income (86.8) 144.5 (4.0)
Interest and Investment Income 35.3 17.1 25.7
Settlements of Claims 3.3 (3.8) (11.9)
Escheated Estates (12.9) 6.4 3.3
Sales of Goods and Services 6.2 (4.1) 0.4
Other Revenue 21.3 2.8 (2.9)
Total Net Revenue 11.6 % (2.2) % 6.3 %
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
38 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.086
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 88 of 272 PageID 310
Texas Biennial Reve nue Estimate
TABLE A-16
State Revenue, by Source and Fiscal Year
All Funds, Excluding Trust Funds
Thousands of Dollars
2020 2021 2022 2023
Actual Estimated Estimated Estimated
TAX COLLECTIONS
Sales Taxes $ 34,099,115 $ 33,623,996 $ 34,918,812 $ 36,461,248
Motor Vehicle Sales and Rental Taxes 4,815,240 4,893,369 5,055,871 5,175,289
Motor Fuel Taxes 3,524,712 3,537,423 3,595,686 3,664,689
Franchise Tax 4,418,420 4,195,300 4,350,300 4,646,100
Oil Production Tax 3,229,347 2,672,076 3,037,430 3,461,722
Insurance Taxes 2,741,653 2,760,758 2,803,252 2,899,444
Cigarette and Tobacco Taxes 1,299,014 1,373,599 1,219,000 1,309,100
Natural Gas Production Tax 925,473 1,194,898 1,695,996 1,841,911
Alcoholic Beverages Taxes 1,125,322 1,088,010 1,231,530 1,288,890
Hotel Occupancy Tax 470,703 453,877 466,102 481,964
Utility Taxes 478,155 477,475 492,703 507,306
Other Taxes 252,664 179,198 191,968 200,721
Total Tax Collections $ 57,379,818 $ 56,449,979 $ 59,058,650 $ 61,938,384
REVENUE BY SOURCE
Tax Collections $ 57,379,818 $ 56,449,979 $ 59,058,650 $ 61,938,384
Federal Income 58,116,754 66,658,386 51,882,901 46,294,804
Licenses, Fees, Fines, and Penalties 6,241,256 6,218,588 6,446,651 6,426,975
State Health Service Fees and Rebates 7,497,445 6,988,056 7,536,138 5,445,452
Net Lottery Proceeds 2,391,653 2,463,540 2,566,046 2,566,046
Land Income 1,809,261 1,400,548 2,011,094 2,406,944
Interest and Investment Income 2,529,037 1,926,245 2,143,170 2,186,675
Settlements of Claims 624,354 527,043 516,423 506,006
Escheated Estates 715,456 698,823 719,788 741,381
Sales of Goods and Services 254,791 259,529 261,705 262,032
Other Revenue 4,016,497 4,250,381 4,153,013 4,396,482
Total Net Revenue $ 141,576,323 $ 147,841,118 $ 137,295,579 $ 133,171,181
Note: Excludes local funds and deposits by semi-independent agencies. Includes certain state revenues deposited in the State Treasury
but not appropriated.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 39
App.087
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 89 of 272 PageID 311
Texas Biennial Reve nue Estimate
TABLE A-17
Percent Change in State Revenue, by Source and Fiscal Year
All Funds, Excluding Trust Funds
2020 2021 2022 2023
Actual Estimated Estimated Estimated
TAX COLLECTIONS
Sales Taxes 0.2 % (1.4) % 3.9 % 4.4 %
Motor Vehicle Sales and Rental Taxes (3.9) 1.6 3.3 2.4
Motor Fuel Taxes (5.8) 0.4 1.6 1.9
Franchise Tax 4.8 (5.0) 3.7 6.8
Oil Production Tax (16.9) (17.3) 13.7 14.0
Insurance Taxes 5.5 0.7 1.5 3.4
Cigarette and Tobacco Taxes (7.9) 5.7 (11.3) 7.4
Natural Gas Production Tax (45.1) 29.1 41.9 8.6
Alcoholic Beverages Taxes (17.8) (3.3) 13.2 4.7
Hotel Occupancy Tax (26.0) (3.6) 2.7 3.4
Utility Taxes 1.4 (0.1) 3.2 3.0
Other Taxes (22.6) (29.1) 7.1 4.6
Total Tax Collections (3.4) % (1.6) % 4.6 % 4.9 %
REVENUE BY SOURCE
Tax Collections (3.4) % (1.6) % 4.6 % 4.9 %
Federal Income 38.7 14.7 (22.2) (10.8)
Licenses, Fees, Fines, and Penalties (4.6) (0.4) 3.7 (0.3)
State Health Service Fees and Rebates 5.8 (6.8) 7.8 (27.7)
Net Lottery Proceeds (4.7) 3.0 4.2 0.0
Land Income (19.6) (22.6) 43.6 19.7
Interest and Investment Income 1.0 (23.8) 11.3 2.0
Settlements of Claims (3.4) (15.6) (2.0) (2.0)
Escheated Estates 3.2 (2.3) 3.0 3.0
Sales of Goods and Services (8.6) 1.9 0.8 0.1
Other Revenue (3.0) 5.8 (2.3) 5.9
Total Net Revenue 10.7 % 4.4 % (7.1) % (3.0) %
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
40 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.088
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 90 of 272 PageID 312
Texas Biennial Reve nue Estimate
TABLE A-18
State Revenue, by Source and Biennium
All Funds, Excluding Trust Funds
Thousands of Dollars
2018-19 2020-21 2022-23
Actual Estimated Estimated
TAX COLLECTIONS
Sales Taxes $ 65,961,151 $ 67,723,111 $ 71,380,060
Motor Vehicle Sales and Rental Taxes 9,984,033 9,708,609 10,231,160
Motor Fuel Taxes 7,418,001 7,062,135 7,260,375
Franchise Tax 7,903,809 8,613,720 8,996,400
Oil Production Tax 7,278,341 5,901,423 6,499,152
Insurance Taxes 5,107,459 5,502,411 5,702,696
Cigarette and Tobacco Taxes 2,730,930 2,672,613 2,528,100
Natural Gas Production Tax 3,116,787 2,120,371 3,537,907
Alcoholic Beverages Taxes 2,661,391 2,213,332 2,520,420
Hotel Occupancy Tax 1,237,354 924,580 948,066
Utility Taxes 923,753 955,630 1,000,009
Other Taxes 642,488 431,862 392,689
Total Tax Collections $ 114,965,497 $ 113,829,797 $ 120,997,034
REVENUE BY SOURCE
Tax Collections $ 114,965,497 $ 113,829,797 $ 120,997,034
Federal Income 81,523,043 124,775,140 98,177,705
Licenses, Fees, Fines, and Penalties 13,019,467 12,459,844 12,873,626
State Health Service Fees and Rebates 14,686,818 14,485,501 12,981,590
Net Lottery Proceeds 4,738,922 4,855,193 5,132,092
Land Income 4,312,293 3,209,809 4,418,038
Interest and Investment Income 4,353,442 4,455,282 4,329,845
Settlements of Claims 1,190,673 1,151,397 1,022,429
Escheated Estates 1,329,612 1,414,279 1,461,169
Sales of Goods and Services 564,011 514,320 523,737
Other Revenue 7,423,243 8,266,878 8,549,495
Total Net Revenue $ 248,107,022 $ 289,417,441 $ 270,466,760
Note: Excludes local funds and deposits by semi-independent agencies. Includes certain state revenue deposited in
the State Treasury but not appropriated.
Note: Totals may not sum because of rounding.
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
2022-2023 Biennium 87th Texas Legislature Januar y 2021 41
App.089
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 91 of 272 PageID 313
Texas Biennial Reve nue Estimate
TABLE A-19
Percent Change in State Revenue, by Source and Biennium
All Funds, Excluding Trust Funds
2018-19 2020-21 2022-23
Actual Estimated Estimated
TAX COLLECTIONS
Sales Taxes 15.4 % 2.7 % 5.4 %
Motor Vehicle Sales and Rental Taxes 9.1 (2.8) 5.4
Motor Fuel Taxes 4.5 (4.8) 2.8
Franchise Tax 11.0 9.0 4.4
Oil Production Tax 91.0 (18.9) 10.1
Insurance Taxes 11.0 7.7 3.6
Cigarette and Tobacco Taxes (6.2) (2.1) (5.4)
Natural Gas Production Tax 99.6 (32.0) 66.9
Alcoholic Beverages Taxes 10.9 (16.8) 13.9
Hotel Occupancy Tax 17.6 (25.3) 2.5
Utility Taxes 5.7 3.5 4.6
Other Taxes 64.2 (32.8) (9.1)
Total Tax Collections 17.2 % (1.0) % 6.3 %
REVENUE BY SOURCE
Tax Collections 17.2 % (1.0) % 6.3 %
Federal Income 4.7 53.1 (21.3)
Licenses, Fees, Fines, and Penalties 5.1 (4.3) 3.3
State Health Service Fees and Rebates (0.6) (1.4) (10.4)
Net Lottery Proceeds 10.9 2.5 5.7
Land Income 52.2 (25.6) 37.6
Interest and Investment Income 42.6 2.3 (2.8)
Settlements of Claims 0.9 (3.3) (11.2)
Escheated Estates (12.9) 6.4 3.3
Sales of Goods and Services (6.2) (8.8) 1.8
Other Revenue 26.0 11.4 3.4
Total Net Revenue 11.5 % 16.7 % (6.5) %
SOURCE: Glenn Hegar, Texas Comptroller of Public Accounts.
42 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Fund
Detail
2022-2023 Biennium 87th Texas Legislature Januar y 2021 43
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44 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Texas Biennial Reve nue Estimate
Schedule I
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE
0001 General Revenue Fund
Account: 0001 General Revenue Fund
3003 Motor Vehicle Sales and Use Tax – Motor Carrier $ 1 $ 0 $ 0
3004 Motor Vehicle Sales and Use Tax 4,455,732 4,622,237 4,734,239
3005 Motor Vehicle Rental Tax 210,797 217,373 221,721
3007 Gasoline Tax 2,629,338 2,655,262 2,682,552
3008 Diesel Fuel Tax 901,925 934,077 975,596
3011 Liquefied and Compressed Natural Gas Tax 6,160 6,347 6,541
3012 Motor Vehicle Certificates 34,399 35,405 36,440
3014 Motor Vehicle Registration Fees 17,201 17,458 17,721
3016 Motor Vehicle Sales and Use Tax – Seller Financed Motor Vehicles 157,125 161,839 164,267
3018 Special Vehicle Permits 45,156 51,930 53,488
3020 Motor Vehicle Inspection Fees 625 628 641
3026 Voluntary Driver License Fee for Blindness, Screening and Treatment 500 500 500
3027 Driver Record Information Fees 3,390 3,556 3,738
3030 Commercial Driver Training School Fees 1,605 1,605 1,605
3031 Automobile Clubs Registration 30 30 30
3032 School Fund Benefit Fee on Diesel Fuel 162 168 175
3035 Commercial Transportation Fees 13,468 13,599 13,667
3038 Motor Carrier – Proof of Insurance Filing Fee 990 1,029 1,050
3045 Railroad Commission Service Fees 1 1 1
3050 Abandoned Motor Vehicles 1 1 1
3055 Excess Fines from Speeding Violations 139 139 139
3056 Motor Vehicle Safety Responsibility Violations 7,525 7,525 7,525
3057 Motor Carrier Act Penalties 1,101 1,145 1,168
3062 Rail Safety Program Fees 1,629 1,634 1,639
3080 Petroleum Product Delivery Fees 345 350 357
3102 Limited Sales and Use Tax 32,609,500 33,928,400 35,420,600
3104 Manufactured Housing Sales and Use Tax 28,029 28,029 28,029
3106 City Sales Tax Service Fees 125,000 130,000 135,800
3107 Local MTA Sales Tax Service Fees 41,900 43,600 45,600
3108 County Sales Tax Service Fees 12,100 12,600 13,100
3109 Local SPD Sales Tax Service Fees 15,100 15,700 16,400
3111 Boat and Boat Motor Sales and Use Tax 75,800 78,700 83,200
3114 Escheated Estates 698,823 719,788 741,381
3123 Volatile Chemical Sales Permit 738 738 738
3126 License to Carry a Handgun Fees 12,900 11,810 11,810
3130 Franchise/Business Margins Tax 2,936,700 3,045,200 3,252,300
3133 General Business Filing Fees 104,700 109,800 116,300
3134 Private Sector Prison Industries Oversight Receipts 434 434 434
3136 Cement Tax 10,152 10,416 10,687
3137 Racing Association ATM Receipts 100 100 100
3139 Hotel Occupancy Tax 453,877 466,102 481,964
3142 Food Service Worker Training 36 49 36
3146 Combative Sports Admissions Tax 510 510 510
3147 Combative Sports Licenses 88 88 88
3150 Coin-Operated Amusement Machine Tax 8,190 7,881 7,583
3151 Coin-Operated Machine Business License Fee 727 705 684
3152 Bingo Operators/Lessors 559 559 559
3153 Bingo Equipment 62 62 62
3157 Loan Administration Fees 11 9 9
3160 Manufactured and Industrialized Housing Registration License Fees 1,299 1,299 1,299
3161 Manufactured and Industrialized Housing Inspection Fees 2,025 2,025 2,025
3164 Boiler Inspection Fees 2,643 2,643 2,643
3170 Bingo Prize Fees 14,030 14,030 14,030
2022-2023 Biennium 87th Texas Legislature Januar y 2021 45
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE (continued)
0001 General Revenue Fund (continued)
Account: 0001 General Revenue Fund (continued)
3173 Credit Service and Charitable Organizations Registration $ 41 $ 41 $ 41
3175 Professional Fees 62,006 64,559 64,732
3186 Securities Fees 140,000 140,000 140,000
3201 Insurance Premium Taxes 2,638,111 2,655,246 2,749,332
3203 Insurance Maintenance Taxes 94,737 94,692 94,302
3205 Office of Public Insurance Counsel (OPIC) Assessment 2,643 2,643 2,643
3206 Insurance Company Fees 42,428 42,996 43,573
3210 Insurance Agents Licenses 675 703 734
3214 Insurance Maintenance Tax – Comptroller (22,800) 0 0
3215 Insurance Department Fees – Miscellaneous 224 224 224
3219 Insurance Maintenance Tax – Workers’ Compensation Division and Office of
Injured Employee Counsel 48,748 51,185 53,744
3220 Insurance Maintenance Tax – Workers’ Compensation Research and Oversight
Division 901 946 993
3221 Insurance Penalties 44,745 44,745 44,745
3222 Insurance Administrative Penalties and Fines in Lieu of Suspension or
Cancellation 7,545 8,935 8,935
3230 Public Utility Gross Receipts Assessment 55,704 56,539 57,104
3233 Gas, Electric and Water Utility Tax 390,321 404,037 416,825
3234 Gas Utility Pipeline Tax 31,450 32,127 33,377
3236 Automatic Dial Announcing Devices 5 5 5
3245 Compressed Natural Gas Training and Examinations 47 47 47
3246 Compressed Natural Gas Licenses 44 44 44
3250 Mixed Beverage Gross Receipts Tax 379,407 443,765 468,667
3251 Mixed Beverage Sales Tax 466,586 544,065 574,623
3253 Liquor Tax 104,016 105,200 106,400
3256 Liquor Permit Fees 33,300 57,047 58,188
3257 License/Permit Surcharges – General 30,500 0 0
3258 Beer Tax 105,501 118,900 120,100
3259 Wine Tax 17,700 18,400 19,100
3261 Wine and Beer Permit Fees 5,600 16,186 16,543
3263 Brew Pub Licenses 145 248 253
3265 Malt Liquor (Ale) Tax 14,800 1,200 0
3266 Temporary Charitable Auction Permit Fees – Alcoholic Beverages 7 12 13
3268 Alcoholic Beverage Code Money Penalty in Lieu of Cancellation or
Suspension 1,200 1,200 1,200
3271 Alcoholic Beverage Import Fee 4,448 4,900 4,900
3272 Alcoholic Beverage Seller Training Programs 790 790 806
3273 Alcoholic Beverage Samples and Labels Certificate of Approval 519 519 530
3274 Alcoholic Beverage Commission Administrative Fees 18 18 18
3275 Cigarette Tax 360,700 312,700 341,600
3276 Cigarette Fee 31,100 30,600 30,100
3278 Cigar and Tobacco Products Tax 213,722 210,838 209,212
3280 Tobacco Product Related Fines 104 104 104
3281 Tobacco Product Advertising Fees 41 41 41
3282 Cigarette, Cigar and Tobacco Combination Permits 662 5,977 662
3290 Oil Production Tax 2,672,076 3,037,430 3,461,722
3291 Natural Gas Production Tax 1,194,898 1,695,996 1,841,911
3296 Oil Well Service Tax 47,438 60,293 69,133
3301 Land Office Fees 980 1,100 1,100
3314 Oil and Gas Violations 1,000 1,000 1,000
3321 Oil Royalties from Other State Lands for State Departments, Boards, Agencies 1,238 1,442 1,644
3326 Gas Royalties from Other State Lands for State Departments, Boards, Agencies 12 12 12
46 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE (continued)
0001 General Revenue Fund (continued)
Account: 0001 General Revenue Fund (continued)
3327 Outer Continental Shelf Settlement Monies $ 600 $ 600 $ 600
3329 Surface Mining Permits 2,678 2,700 2,700
3340 Land Easements 265 1,466 1,466
3342 Land Lease 56 65 65
3344 Sand, Shell, Gravel, Timber Sales 12 12 12
3366 Business Fees – Natural Resources 486 486 486
3372 Quarry Pit Safety Fees 6 6 6
3390 Purchase of Dry Cleaning Solvent Fees 0 395 345
3396 Deepwater Horizon Incident, Economic Damages 6,667 6,667 6,667
3400 Business Fees – Agriculture 6,244 6,244 6,244
3402 Weighing and Measuring Device Service Licenses 67 67 67
3404 Citrus Budwood and Grove Certification Fees 6 6 6
3410 Agriculture Registration Fees 4,446 5,946 4,446
3414 Agriculture Inspection Fees 17,877 17,877 17,877
3420 Livestock Export/Import Processing Fees 770 745 745
3422 Agricultural Administrative Penalties 250 250 250
3428 Texas Certified Retirement Community Program Application Fees 5 0 5
3435 Game, Fish and Equipment Fees – Commercial 10 10 10
3436 Oyster Fees 6 6 6
3449 Game and Fish, Water Safety, and Parks Violations 3 3 3
3462 Boater Education Exam Fees 302 302 302
3463 Marine Safety Enforcement Officer Certification Fees 4 4 4
3464 Floating Cabin Permit, Application, Renewal and Transfer 1 1 1
3510 High School Equivalency Certificate 650 657 661
3511 Teacher Certification Fees 28,183 25,683 25,683
3530 School Bond Guarantee Fees 448 448 448
3554 Food and Drug Fees 3,093 4,153 2,987
3555 Hazardous Substance Manufacture 269 269 269
3557 Health Care Facilities Fees 7,039 7,039 7,039
3560 Medical Examination and Registration 42,507 43,428 43,763
3562 Health Related Professional Fees 34,969 34,803 35,039
3565 Vendor Drug Rebates, Medicaid Program – Supplemental 46,119 47,293 49,665
3570 Peer Assistance Program Fees 1,601 1,579 1,558
3573 Health Licenses for Camps 193 193 193
3579 Vital Statistics Certification and Service Fees 1,814 1,814 1,814
3582 Controlled Substances Act Forfeited Property Sales 64 64 64
3583 Controlled Substances Act Forfeited Money 3,000 3,000 3,000
3589 Radioactive Materials and Devices for Equipment Regulation 13,351 13,351 13,351
3592 Waste Disposal Facilities, Generators, and Transporters 22 22 22
3595 Medical Assistance Cost Recovery 82,484 82,484 82,484
3598 Battery Sales Fee 987 1,024 1,037
3602 Earned Federal Funds, SNAP Recoupment 6,194 6,320 6,669
3611 Private Institutions License Fees 1,858 1,874 1,865
3616 Social Worker Regulation 1,512 1,515 1,518
3618 Welfare/MHMR Service Fees 24,472 24,409 24,409
3622 Child Support Collections – State, Title IV-D 101,922 101,598 101,598
3625 Court Costs Awarded Parent/Child Cases 243 227 227
3628 Dormitory, Cafeteria and Merchandise Sales 119,000 119,000 119,000
3632 Elderly Housing Set-Aside 415 415 415
3634 Medicare Reimbursements 39,464 39,464 39,464
3636 Inmate Fee for Health Care 1,000 2,000 2,000
3638 Vendor Drug Rebates, Medicaid Program – Mandated 710,919 727,399 763,907
2022-2023 Biennium 87th Texas Legislature Januar y 2021 47
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE (continued)
0001 General Revenue Fund (continued)
Account: 0001 General Revenue Fund (continued)
3639 Premium Credits – Medicaid Program $ 8,744 $ 8,263 $ 8,280
3640 Vendor Drug Rebates – Non-Medicaid Programs 6,048 6,048 6,048
3642 Residential Aftercare Participant Fees 9 9 9
3643 Premium Co-payments 5,140 5,653 5,653
3649 Vendor Drug and HMO Experience Rebates, CHIP Program 4,262 5,275 6,400
3694 Educator Preparation Program Accreditation Fee 1,584 1,584 1,584
3702 Federal Receipts – Earned Credits 55,933 56,019 56,011
3704 Court Costs 5,000 4,000 3,000
3705 State Parking Violations 44 44 44
3706 Arrest Fees 1,024 1,024 1,024
3707 Marriage License Fees 1,677 1,612 1,549
3708 Judge’s Retirement Contributions 17 17 17
3710 Court Fines 50,030 50,030 50,030
3714 Judgments and Settlements 30,700 30,700 30,700
3716 Lien Fees 375 375 375
3717 Civil Penalties 5,000 5,000 5,000
3720 Expedited Handling Charges, Secretary of State 1,800 1,800 1,800
3723 Fees for Examinations and Audits 12,164 10,879 10,795
3724 Insurance Notification of HIV Related Test Fees 1 1 1
3726 Federal Receipts – Indirect Cost Recoveries 38,014 37,621 37,687
3727 Fees for Administrative Services (45,267) 64,240 60,272
3731 Controlled Substance Reimbursement of Related Costs 2,100 2,200 2,200
3733 Workers’ Compensation Administrative Penalties 849 849 849
3735 Recovery of Parole Costs 6,606 6,937 6,937
3746 Rental of Lands/Miscellaneous Land Income 800 800 800
3748 Royalties 59 75 75
3749 Use of Great Seal of Texas – Licenses 3 3 3
3753 Sale of Surplus Property Fee 713 713 713
3755 Commemorative Sales/Gift Shop and Museum Revenues 88 88 88
3756 Prison Industries Sales 3,516 4,205 4,205
3763 Sale of Operating Supplies 3 3 3
3770 Administrative Penalties 15,693 15,655 15,699
3771 Tax Refunds to Employers of TANF Recipients (80) (120) (180)
3775 Returned Check Fees 476 533 522
3776 Fingerprint Record Fees 100 100 100
3777 Warrants Voided by Statute of Limitation – Default Fund 10,000 10,000 10,000
3782 Repayments from Political Subdivisions/Other of Loans/Advances 8,125 7,375 6,682
3793 Political Subdivision Administrative Fees, Failure to Appear 35 0 0
3795 Other Miscellaneous Governmental Revenue 4,279 4,461 4,461
3796 Interest Received/Paid to Federal Government (3,000) (3,000) (3,000)
3799 Local Account Balances Brought into Treasury 766 811 834
3801 Time Payment Plan for Court Costs/Fees 24 0 0
3839 Sale of Vehicles, Boats and Aircraft 2,420 2,420 2,420
3848 Public/Private Revenue Sharing – State Receipts (State Electronic Internet
Portal) 32,074 32,246 31,875
3849 Tobacco Suit Settlement Receipts 456,900 445,800 435,100
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 3,015 3,015 3,015
3854 Interest Other – General, Non-Program 1,556 1,556 1,556
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 656 516 422
3901 Allocations to GR 0001 (Unapp Undyed Diesel), Fund 0002, Fund 0006 and
Fund 0057 from Fund 0001 (Motor Fuels Tax) (2,586,246) (2,625,914) (2,675,686)
48 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE (concluded)
0001 General Revenue Fund (concluded)
Account: 0001 General Revenue Fund (concluded)
3924 Allocations to GRD Accounts 0064, 0467, 5004 and 5150 (Parks and Wildlife)
from Fund 0001 (Sporting Goods Sales Tax) $ 0 $ (183,117) $ (193,347)
3924 Allocations to GRD Account 5139 (Historic Site) from Fund 0001
(Sporting Goods Sales Tax) 0 (13,783) (14,553)
3925 Allocations to Fund 0006 (State Highway) from Fund 0001
(Sales and Use Tax) (2,500,000) (2,500,000) (2,500,000)
3928 Allocations to Fund 0006 (State Highway) from Fund 0001
(Motor Vehicle Tax) 0 (9,745) (51,541)
3950 Allocations to Fund 0001/Other Funds from Special Funds – UB 12,705 20,292 20,292
3952 Transfer to Unappropriated GR 0001 from Disproportionate Share Funds 199,310 198,149 198,149
3953 Unappropriated GR 0001 Reimbursement for Statewide Cost Allocation Plan
(SWCAP) 12,012 12,012 12,012
Total Estimated Account 0001 Receipts 52,053,870 54,695,524 57,333,200
ACCOUNT: 0193 GR ACCOUNT – FOUNDATION SCHOOL
3922 Transfers to GR Account – Foundation School 0193 from GR Account –
Lottery 5025 (Education) 1,617,708 1,534,623 1,542,090
3963 Transfer to GR Account – State Owned Multicategorical Teaching Hospital
5049 and Unappropriated GR 0001 from GR Account – Lottery 5025 (Other) 83,253 79,265 79,265
Total Estimated Account 0193 Receipts 1,700,961 1,613,888 1,621,355
Total Estimated Fund 0001 Receipts 53,754,831 56,309,412 58,954,555
0002 Available School Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 867 1,087 1,110
3910 Transfers to Available Education Funds from Permanent Education Funds 1,701,670 2,132,000 2,177,000
Total Estimated Fund 0002 Receipts 1,702,537 2,133,087 2,178,110
0003 State Technology and Instructional Materials Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1,856 1,856 486
Total Estimated Fund 0003 Receipts 1,856 1,856 486
Total Estimated General Revenue 55,459,224 58,444,355 61,133,151
SOURCE: GENERAL REVENUE DEDICATED
0001 General Revenue Fund
Account: 0009 GR Account – Game, Fish, and Water Safety
3111 Boat and Boat Motor Sales and Use Tax 4,050 4,212 4,448
3319 Oil Royalties from Parks and Wildlife Lands 101 155 155
3324 Gas Royalties from Parks and Wildlife Lands 43 68 68
3340 Land Easements 2 2 2
3341 Grazing Lease Rental 286 286 286
3344 Sand, Shell, Gravel, Timber Sales 89 89 89
3433 Lake Texoma Fishing License Fees 304 304 304
3434 Game, Fish and Equipment Fees – Non-Commercial 105,248 105,248 105,248
3435 Game, Fish and Equipment Fees – Commercial 5,593 5,593 5,593
3437 Public Hunting/Fishing/Other Participation Fees 1,837 1,837 1,837
3445 Oyster Bed Location Rental 48 48 48
3446 Wildlife Value Recovery 776 776 776
3447 Sale of Confiscated Pelts, Marine Life, Vessels, Contraband 14 14 14
3448 Parks and Wildlife, Sale of Forfeited Property 14 14 14
3449 Game and Fish, Water Safety, and Parks Violations 1,666 1,666 1,666
3452 Wildlife Management Permits 3,376 4,390 4,390
2022-2023 Biennium 87th Texas Legislature Januar y 2021 49
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0009 GR Account – Game, Fish, and Water Safety (concluded)
3455 Vessel Registration Fees $ 14,904 $ 14,904 $ 14,904
3456 Vessel or Outboard Motor Title Certificate 4,662 4,662 4,662
3464 Floating Cabin Permit, Application, Renewal and Transfer 42 42 42
3468 Parks and Wildlife Publication Sales 871 871 871
3714 Judgments and Settlements 423 423 423
3727 Fees for Administrative Services 1,563 1,588 1,588
3755 Commemorative Sales/Gift Shop and Museum Revenues 123 144 144
3839 Sale of Vehicles, Boats and Aircraft 709 709 709
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 550 550 550
Total Estimated Account 0009 Receipts 147,294 148,595 148,831
Account: 0019 GR Account – Vital Statistics
3579 Vital Statistics Certification and Service Fees 4,769 4,530 4,530
3624 Adoption Registry Fees 130 130 130
Total Estimated Account 0019 Receipts 4,899 4,660 4,660
Account: 0027 GR Account – Coastal Protection
3378 Coastal Protection Fee 15,016 15,334 10,271
3379 Oil Spill Prevention and Response Act Violations 117 117 117
3839 Sale of Vehicles, Boats and Aircraft 5 5 5
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 55 73 88
Total Estimated Account 0027 Receipts 15,193 15,529 10,481
Account: 0028 GR Account – Appraiser Registry
3175 Professional Fees 166 1,003 166
Total Estimated Account 0028 Receipts 166 1,003 166
Account: 0036 GR Account – Texas Department of Insurance Operating
3149 Amusement Ride Inspection 246 209 179
3175 Professional Fees 3,292 3,346 3,403
3206 Insurance Company Fees 339 321 306
3210 Insurance Agents Licenses 24,260 25,126 25,113
3212 Texas Workers’ Compensation Self-Insurance Regulatory Fees 521 482 445
3213 Catastrophe Property Insurance Pool Fees 1 1 1
3215 Insurance Department Fees – Miscellaneous 805 787 772
3216 Insurance Department Examination and Audit Fees 3,362 4,346 4,346
3219 Insurance Maintenance Tax – Workers’ Compensation Division and Office of
Injured Employee Counsel 1,050 1,161 1,051
3220 Insurance Maintenance Tax – Workers’ Compensation Research and Oversight
Division 11 22 22
3727 Fees for Administrative Services 139 93 56
Total Estimated Account 0036 Receipts 34,026 35,894 35,694
Account: 0064 GR Account – State Parks
3319 Oil Royalties from Parks and Wildlife Lands 244 270 270
3324 Gas Royalties from Parks and Wildlife Lands 785 979 979
3340 Land Easements 9 9 9
3341 Grazing Lease Rental 7 7 7
3342 Land Lease 32 32 32
3344 Sand, Shell, Gravel, Timber Sales 9 10 10
3349 Land Sales 49 0 0
3449 Game and Fish, Water Safety, and Parks Violations 96 96 96
3461 State Park Fees 46,782 51,980 51,980
50 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0064 GR Account – State Parks (concluded)
3468 Parks and Wildlife Publication Sales $ 932 $ 932 $ 932
3883 Issuance of Parks and Wildlife Gift Cards 39 39 39
3924 Allocations to GRD Account 0064 from Fund 0001 (Sporting Goods Sales Tax) 0 183,117 193,347
Total Estimated Account 0064 Receipts 48,984 237,471 247,701
Account: 0088 GR Account – Low-Level Radioactive Waste
3589 Radioactive Materials and Devices for Equipment Regulation 450 450 450
3590 Low-Level Radioactive Waste Disposal Fees 250 250 250
Total Estimated Account 0088 Receipts 700 700 700
Account: 0116 GR Account – Texas Commission on Law Enforcement
3175 Professional Fees 130 130 130
3704 Court Costs 6,496 6,837 6,535
3727 Fees for Administrative Services 30 25 25
3839 Sale of Vehicles, Boats and Aircraft 5 0 0
Total Estimated Account 0116 Receipts 6,661 6,992 6,690
Account: 0127 GR Account – Community Affairs Federal
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 600 630 662
Total Estimated Account 0127 Receipts 600 630 662
Account: 0129 GR Account – Hospital Licensing
3557 Health Care Facilities Fees 2,542 2,542 2,542
Total Estimated Account 0129 Receipts 2,542 2,542 2,542
Account: 0151 GR Account – Clean Air
3020 Motor Vehicle Inspection Fees 53,660 52,480 53,005
3375 Air Pollution Control Fees 15,576 15,588 15,600
Total Estimated Account 0151 Receipts 69,236 68,068 68,605
Account: 0153 GR Account – Water Resource Management
3242 Water/Sewer Utility Service Regulatory Assessments/Penalties 11,263 11,601 11,949
3364 Water Use Permits 6,213 6,299 6,389
3366 Business Fees – Natural Resources 26,732 26,876 27,281
3370 Boat Sewage Disposal Device Certificate 8 30 8
3371 Waste Treatment Inspection Fee 36,240 37,809 38,380
3373 Injection Well Regulation 11 11 11
3592 Waste Disposal Facilities, Generators, Transporters 700 711 724
3596 Automotive Oil Sales Fee 2,888 2,945 3,004
Total Estimated Account 0153 Receipts 84,055 86,282 87,746
Account: 0158 GR Account – Watermaster Administration
3364 Water Use Permits 2,680 2,680 2,680
3592 Waste Disposal Facilities, Generators, Transporters (24) 0 0
Total Estimated Account 0158 Receipts 2,656 2,680 2,680
Account: 0165 GR Account – Unemployment Compensation Special Administration
3716 Lien Fees 4 4 4
3732 Unemployment Compensation Penalties 16,221 16,221 16,221
3770 Administrative Penalties 211 211 211
Total Estimated Account 0165 Receipts 16,436 16,436 16,436
2022-2023 Biennium 87th Texas Legislature Januar y 2021 51
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Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 101 of 272 PageID 323
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0221 GR Account – Federal Civil Defense and Disaster Relief
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 1 $ 1 $ 1
Total Estimated Account 0221 Receipts 1 1 1
Account: 0222 GR Account – Department of Public Safety Federal
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 15 15 15
Total Estimated Account 0222 Receipts 15 15 15
Account: 0224 GR Account – Governor’s Office Federal Projects
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 146 146 146
Total Estimated Account 0224 Receipts 146 146 146
Account: 0225 GR Account – University of Houston Current
3505 Higher Education, Tuition and Fees – Non-Pledged 77,839 77,839 77,839
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 607 607 607
Total Estimated Account 0225 Receipts 78,446 78,446 78,446
Account: 0227 GR Account – Angelo State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 10,878 10,891 10,923
3522 Higher Education, Sales/Services of Educational and Research Activities 120 120 120
3527 Administrative Fees – Higher Education 155 155 155
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 35 35 35
Total Estimated Account 0227 Receipts 11,188 11,201 11,233
Account: 0228 GR Account – University of Texas at Tyler Current
3505 Higher Education, Tuition and Fees – Non-Pledged 13,377 13,736 14,111
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 65 65 65
Total Estimated Account 0228 Receipts 13,442 13,801 14,176
Account: 0229 GR Account – University of Houston - Clear Lake Current
3505 Higher Education, Tuition and Fees – Non-Pledged 12,672 12,672 12,925
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 41 41 41
Total Estimated Account 0229 Receipts 12,713 12,713 12,966
Account: 0230 GR Account – Texas A&M University - Corpus Christi Current
3503 Higher Education, Other Fees 4 0 0
3505 Higher Education, Tuition and Fees – Non-Pledged 16,475 16,650 16,827
3506 Higher Education, Laboratory Fees 68 64 70
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 56 56 56
Total Estimated Account 0230 Receipts 16,603 16,770 16,953
Account: 0231 GR Account – Texas A&M International University Current
3503 Higher Education, Other Fees 146 146 146
3505 Higher Education, Tuition and Fees – Non-Pledged 10,853 11,103 11,359
3506 Higher Education, Laboratory Fees 179 181 183
3527 Administrative Fees – Higher Education 30 30 30
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 78 78 78
Total Estimated Account 0231 Receipts 11,286 11,538 11,796
Account: 0232 GR Account – Texas A&M University - Texarkana Current
3505 Higher Education, Tuition and Fees – Non-Pledged 1,930 2,027 2,087
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 10 10 10
Total Estimated Account 0232 Receipts 1,940 2,037 2,097
52 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.100
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 102 of 272 PageID 324
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0233 GR Account – University of Houston - Victoria Current
3505 Higher Education, Tuition and Fees – Non-Pledged $ 5,237 $ 5,237 $ 5,237
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 11 11 11
Total Estimated Account 0233 Receipts 5,248 5,248 5,248
Account: 0236 GR Account – University of Texas System Cancer Center Current
3505 Higher Education, Tuition and Fees – Non-Pledged 734 748 763
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 6 6 6
Total Estimated Account 0236 Receipts 740 754 769
Account: 0237 GR Account – Texas State Technical College System Current
3688 Higher Education, Tuition and Fees – Pledged 5,458 5,622 5,790
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 57 57 57
Total Estimated Account 0237 Receipts 5,515 5,679 5,847
Account: 0238 GR Account – University of Texas at Dallas Current
3505 Higher Education, Tuition and Fees – Non-Pledged 51,919 53,458 54,514
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 174 174 174
Total Estimated Account 0238 Receipts 52,093 53,632 54,688
Account: 0239 GR Account – Texas Tech University Health Sciences Center Current
3505 Higher Education, Tuition and Fees – Non-Pledged 16,646 16,646 16,646
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 55 55 55
Total Estimated Account 0239 Receipts 16,701 16,701 16,701
Account: 0242 GR Account – Texas A&M University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 112,000 112,800 113,300
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 482 482 482
Total Estimated Account 0242 Receipts 112,482 113,282 113,782
Account: 0243 GR Account – Tarleton State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 16,263 16,588 16,920
3506 Higher Education, Laboratory Fees 177 160 144
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 21 21 21
Total Estimated Account 0243 Receipts 16,461 16,769 17,085
Account: 0244 GR Account – University of Texas at Arlington Current
3505 Higher Education, Tuition and Fees – Non-Pledged 66,744 67,924 68,488
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 218 218 218
Total Estimated Account 0244 Receipts 66,962 68,142 68,706
Account: 0245 GR Account – Prairie View A&M University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 14,875 15,061 15,249
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 114 114 114
Total Estimated Account 0245 Receipts 14,989 15,175 15,363
Account: 0246 GR Account – University of Texas Medical Branch at Galveston Current
3503 Higher Education, Other Fees 320 327 333
3505 Higher Education, Tuition and Fees – Non-Pledged 10,214 10,418 10,627
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 15 15 15
Total Estimated Account 0246 Receipts 10,549 10,760 10,975
2022-2023 Biennium 87th Texas Legislature Januar y 2021 53
App.101
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 103 of 272 PageID 325
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0247 GR Account – Texas Southern University Current
3503 Higher Education, Other Fees $ 80 $ 39 $ 39
3505 Higher Education, Tuition and Fees – Non-Pledged 22,930 23,801 23,801
3506 Higher Education, Laboratory Fees 424 170 170
3507 Higher Education, Student Fees 1,111 535 535
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 80 80 80
Total Estimated Account 0247 Receipts 24,625 24,625 24,625
Account: 0248 GR Account – University of Texas at Austin Current
3505 Higher Education, Tuition and Fees – Non-Pledged 112,950 112,950 112,950
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 717 717 717
Total Estimated Account 0248 Receipts 113,667 113,667 113,667
Account: 0249 GR Account – University of Texas at San Antonio Current
3505 Higher Education, Tuition and Fees – Non-Pledged 43,778 44,924 45,375
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 141 141 141
Total Estimated Account 0249 Receipts 43,919 45,065 45,516
Account: 0250 GR Account – University of Texas at El Paso Current
3505 Higher Education, Tuition and Fees – Non-Pledged 31,184 31,396 31,977
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 39 39 39
Total Estimated Account 0250 Receipts 31,223 31,435 32,016
Account: 0251 GR Account – University of Texas of the Permian Basin Current
3505 Higher Education, Tuition and Fees – Non-Pledged 8,132 8,299 8,469
3506 Higher Education, Laboratory Fees 20 20 20
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 71 71 71
Total Estimated Account 0251 Receipts 8,223 8,390 8,560
Account: 0252 GR Account – University of Texas Southwestern Medical Center Current
3505 Higher Education, Tuition and Fees – Non-Pledged 6,501 6,455 6,455
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 130 130 130
Total Estimated Account 0252 Receipts 6,631 6,585 6,585
Account: 0253 GR Account – Texas Woman’s University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 20,935 20,958 20,979
3687 Tuition Set-Aside for Dental Hygiene Education Loan Repayments 18 18 18
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 35 35 35
Total Estimated Account 0253 Receipts 20,988 21,011 21,032
Account: 0254 GR Account – Texas A&M University - Kingsville Current
3505 Higher Education, Tuition and Fees – Non-Pledged 12,367 12,487 12,606
3506 Higher Education, Laboratory Fees 84 86 86
3527 Administrative Fees – Higher Education 240 240 240
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 23 23 23
Total Estimated Account 0254 Receipts 12,714 12,836 12,955
Account: 0255 GR Account – Texas Tech University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 57,293 57,293 57,293
3527 Administrative Fees – Higher Education 575 575 575
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 504 504 504
Total Estimated Account 0255 Receipts 58,372 58,372 58,372
54 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.102
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 104 of 272 PageID 326
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0256 GR Account – Lamar University Current
3505 Higher Education, Tuition and Fees – Non-Pledged $ 17,000 $ 17,000 $ 17,000
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 38 38 38
Total Estimated Account 0256 Receipts 17,038 17,038 17,038
Account: 0257 GR Account – Texas A&M University - Commerce Current
3505 Higher Education, Tuition and Fees – Non-Pledged 15,631 15,579 15,564
3506 Higher Education, Laboratory Fees 86 86 86
3527 Administrative Fees – Higher Education 100 100 100
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 23 23 23
Total Estimated Account 0257 Receipts 15,840 15,788 15,773
Account: 0258 GR Account – University of North Texas Current
3505 Higher Education, Tuition and Fees – Non-Pledged 47,448 48,397 49,364
3506 Higher Education, Laboratory Fees 137 140 143
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 217 217 217
Total Estimated Account 0258 Receipts 47,802 48,754 49,724
Account: 0259 GR Account – Sam Houston State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 26,642 26,703 26,903
3507 Higher Education, Student Fees 442 450 456
3527 Administrative Fees – Higher Education 112 112 112
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 103 103 103
Total Estimated Account 0259 Receipts 27,299 27,368 27,574
Account: 0260 GR Account – Texas State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 42,524 42,524 42,524
3506 Higher Education, Laboratory Fees 80 80 80
3522 Higher Education, Sales/Services of Educational and Research Activities 1,065 1,065 1,065
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 103 103 103
Total Estimated Account 0260 Receipts 43,772 43,772 43,772
Account: 0261 GR Account – Stephen F. Austin State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 15,725 15,800 15,850
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 19 19 19
Total Estimated Account 0261 Receipts 15,744 15,819 15,869
Account: 0262 GR Account – Sul Ross State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 1,660 1,648 1,644
3527 Administrative Fees – Higher Education 8 8 8
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 11 11 11
Total Estimated Account 0262 Receipts 1,679 1,667 1,663
Account: 0263 GR Account – West Texas A&M University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 12,698 12,657 12,678
3527 Administrative Fees – Higher Education 35 14 12
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 10 10 10
Total Estimated Account 0263 Receipts 12,743 12,681 12,700
Account: 0264 GR Account – Midwestern State University Current
3505 Higher Education, Tuition and Fees – Non-Pledged 5,276 5,225 5,181
3506 Higher Education, Laboratory Fees 50 48 48
2022-2023 Biennium 87th Texas Legislature Januar y 2021 55
App.103
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 105 of 272 PageID 327
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0264 GR Account – Midwestern State University Current (concluded)
3687 Tuition Set-Aside for Dental Hygiene Education Loan Repayments $ 1 $ 1 $ 1
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 11 11 11
Total Estimated Account 0264 Receipts 5,338 5,285 5,241
Account: 0268 GR Account – University of Houston Downtown Current
3505 Higher Education, Tuition and Fees – Non-Pledged 17,404 17,752 18,107
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 22 22 22
Total Estimated Account 0268 Receipts 17,426 17,774 18,129
Account: 0271 GR Account – University of Texas Health Science Center at Houston
Current
3505 Higher Education, Tuition and Fees – Non-Pledged 23,572 23,689 23,808
3506 Higher Education, Laboratory Fees 150 150 150
3684 Dental School Set-Aside, Loan Repayments 45 45 45
3687 Tuition Set-Aside for Dental Hygiene Education Loan Repayments 2 2 2
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 222 222 222
Total Estimated Account 0271 Receipts 23,991 24,108 24,227
Account: 0275 GR Account – Texas A&M University at Galveston Current
3505 Higher Education, Tuition and Fees – Non-Pledged 3,051 3,112 3,175
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 19 19 19
Total Estimated Account 0275 Receipts 3,070 3,131 3,194
Account: 0279 GR Account – University of Texas Health Science Center at San Antonio
Current
3505 Higher Education, Tuition and Fees – Non-Pledged 12,003 12,140 12,284
3684 Dental School Set-Aside, Loan Repayments 48 48 48
3687 Tuition Set-Aside for Dental Hygiene Education Loan Repayments 2 2 2
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 33 33 33
Total Estimated Account 0279 Receipts 12,086 12,223 12,367
Account: 0280 GR Account – University of North Texas Health Science Center at
Fort Worth Current
3505 Higher Education, Tuition and Fees – Non-Pledged 10,076 10,126 10,227
3506 Higher Education, Laboratory Fees 24 24 25
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 17 17 17
Total Estimated Account 0280 Receipts 10,117 10,167 10,269
Account: 0282 GR Account – University of Texas Health Center at Tyler Current
3505 Higher Education, Tuition and Fees – Non-Pledged 382 387 464
3506 Higher Education, Laboratory Fees 5 2 3
Total Estimated Account 0282 Receipts 387 389 467
Account: 0285 GR Account – Lamar State College Orange Current
3505 Higher Education, Tuition and Fees – Non-Pledged 1,931 1,951 1,970
3506 Higher Education, Laboratory Fees 23 23 24
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 15 15 15
Total Estimated Account 0285 Receipts 1,969 1,989 2,009
56 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.104
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 106 of 272 PageID 328
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0286 GR Account – Lamar State College Port Arthur Current
3505 Higher Education, Tuition and Fees – Non-Pledged $ 1,827 $ 1,857 $ 1,876
3506 Higher Education, Laboratory Fees 15 15 16
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 11 11 11
Total Estimated Account 0286 Receipts 1,853 1,883 1,903
Account: 0287 GR Account – Lamar Institute of Technology Current
3505 Higher Education, Tuition and Fees – Non-Pledged 2,080 2,080 2,080
3506 Higher Education, Laboratory Fees 11 11 11
3687 Tuition Set-Aside for Dental Hygiene Education Loan Repayments 1 1 1
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 10 10 10
Total Estimated Account 0287 Receipts 2,102 2,102 2,102
Account: 0289 GR Account – Texas A&M University System Health Science Center
Current
3505 Higher Education, Tuition and Fees – Non-Pledged 16,671 16,966 17,136
3684 Dental School Set-Aside, Loan Repayments 42 42 42
3687 Tuition Set-Aside for Dental Hygiene Education Loan Repayments 2 2 2
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 141 141 141
Total Estimated Account 0289 Receipts 16,856 17,151 17,321
Account: 0290 GR Account – Texas A&M University - San Antonio Current
3505 Higher Education, Tuition and Fees – Non-Pledged 6,796 6,855 6,915
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 58 58 58
Total Estimated Account 0290 Receipts 6,854 6,913 6,973
Account: 0291 GR Account – Texas A&M University - Central Texas Current
3505 Higher Education, Tuition and Fees – Non-Pledged 2,397 2,395 2,382
3506 Higher Education, Laboratory Fees 8 8 8
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 7 7 7
Total Estimated Account 0291 Receipts 2,412 2,410 2,397
Account: 0292 GR Account – University of North Texas - Dallas Current
3505 Higher Education, Tuition and Fees – Non-Pledged 7,098 7,453 7,825
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 15 15 15
Total Estimated Account 0292 Receipts 7,113 7,468 7,840
Account: 0293 GR Account – University of Texas - Rio Grande Valley Current
3505 Higher Education, Tuition and Fees – Non-Pledged 34,765 34,765 34,765
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 226 226 226
Total Estimated Account 0293 Receipts 34,991 34,991 34,991
Account: 0294 GR Account – Texas Tech University Health Sciences Center El Paso
Current
3505 Higher Education, Tuition and Fees – Non-Pledged 2,992 3,586 4,424
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 27 27 27
Total Estimated Account 0294 Receipts 3,019 3,613 4,451
Account: 0341 GR Account – Food and Drug Retail Fees
3554 Food and Drug Fees 2,621 2,684 2,490
Total Estimated Account 0341 Receipts 2,621 2,684 2,490
2022-2023 Biennium 87th Texas Legislature Januar y 2021 57
App.105
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 107 of 272 PageID 329
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0412 GR Account – Midwestern State University Special Mineral
3320 Oil Royalties from Lands Owned by Educational Institutions $ 2 $ 2 $ 2
Total Estimated Account 0412 Receipts 2 2 2
Account: 0421 GR Account – Criminal Justice Planning
3704 Court Costs 16,115 17,034 16,281
Total Estimated Account 0421 Receipts 16,115 17,034 16,281
Account: 0449 GR Account – Texas Military Federal
3795 Other Miscellaneous Governmental Revenue 18 18 18
Total Estimated Account 0449 Receipts 18 18 18
Account: 0450 GR Account – Coastal Public Lands Management Fee
3302 Land Office Administrative Fees 312 312 312
Total Estimated Account 0450 Receipts 312 312 312
Account: 0468 GR Account – TCEQ Occupational Licensing
3175 Professional Fees 428 414 474
3366 Business Fees – Natural Resources 1,152 1,089 1,186
3386 Engineer Registration Program Fees 25 13 21
3562 Health Related Professional Fees 140 96 128
3592 Waste Disposal Facilities, Generators, Transporters 792 741 790
Total Estimated Account 0468 Receipts 2,537 2,353 2,599
Account: 0469 GR Account – Compensation to Victims of Crime
3704 Court Costs 46,377 49,008 46,841
3727 Fees for Administrative Services 15,999 16,231 16,494
3734 Recoveries from Crime Victim Restitution 910 910 910
3777 Warrants Voided by Statute of Limitation – Default Fund 181 94 94
3801 Time Payment Plan for Court Costs/Fees 7 7 7
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 255 255 255
Total Estimated Account 0469 Receipts 63,729 66,505 64,601
Account: 0492 GR Account – Business Enterprise Program
3628 Dormitory, Cafeteria and Merchandise Sales 666 666 666
Total Estimated Account 0492 Receipts 666 666 666
Account: 0494 GR Account – Compensation to Victims of Crime Auxiliary
3736 Unclaimed Compensation to Crime Victims 500 500 500
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 45 45 45
Total Estimated Account 0494 Receipts 545 545 545
Account: 0501 GR Account – Motorcycle Education
3025 Driver’s License Fees 1,412 1,412 1,412
Total Estimated Account 0501 Receipts 1,412 1,412 1,412
Account: 0506 GR Account – Non-Game and Endangered Species Conservation
3435 Game, Fish and Equipment Fees – Commercial 23 23 23
3452 Wildlife Management Permits 9 9 9
3469 Parks and Wildlife Publication Royalties and Commissions 1 1 1
Total Estimated Account 0506 Receipts 33 33 33
58 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.106
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 108 of 272 PageID 330
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0512 GR Account – Bureau of Emergency Management
3557 Health Care Facilities Fees $ 134 $ 133 $ 133
3560 Medical Examination and Registration 2,505 2,480 2,480
Total Estimated Account 0512 Receipts 2,639 2,613 2,613
Account: 0524 GR Account – Public Health Services Fee
3595 Medical Assistance Cost Recovery 24,571 23,343 23,343
3727 Fees for Administrative Services 90 90 90
Total Estimated Account 0524 Receipts 24,661 23,433 23,433
Account: 0540 GR Account – Judicial and Court Personal Training Fund
3704 Court Costs 6,270 6,600 6,308
3711 Judicial Fees 6,000 6,000 6,000
Total Estimated Account 0540 Receipts 12,270 12,600 12,308
Account: 0543 GR Account – Texas Capital Trust
3315 Oil and Gas Lease Bonus 50 50 50
3316 Oil and Gas Lease Rental 5 5 5
3321 Oil Royalties from Other State Lands for State Departments, Boards, Agencies 1,549 831 723
3326 Gas Royalties from Other State Lands for State Departments, Boards, Agencies 265 201 182
3340 Land Easements 17 17 17
3349 Land Sales 1,836 1,836 1,836
3746 Rental of Lands /Miscellaneous Land Income 80 80 80
Total Estimated Account 0543 Receipts 3,802 3,020 2,893
Account: 0544 GR Account – Lifetime License Endowment
3434 Game, Fish and Equipment Fees – Non-Commercial 1,372 1,372 1,372
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 140 140 140
Total Estimated Account 0544 Receipts 1,512 1,512 1,512
Account: 0549 GR Account – Waste Management
3374 Underground and Above Ground Storage Tank Fees 1 1 1
3571 Hazardous Waste Clean Up Application Fees 1,000 1,000 1,000
3585 Toxic Chemical Release Form Reporting Fees 131 131 131
3589 Radioactive Materials and Devices for Equipment Regulation 1,054 1,054 1,054
3592 Waste Disposal Facilities, Generators, Transporters 33,993 34,238 34,486
3727 Fees for Administrative Services 25 25 25
Total Estimated Account 0549 Receipts 36,204 36,449 36,697
Account: 0550 GR Account – Hazardous and Solid Waste Remediation Fees
3571 Hazardous Waste Clean Up Application Fees 80 85 85
3592 Waste Disposal Facilities, Generators, Transporters 5,415 5,420 5,420
3598 Battery Sales Fee 23,276 23,393 23,510
Total Estimated Account 0550 Receipts 28,771 28,898 29,015
Account: 0570 GR Account – Federal Surplus Property Service Charge
3753 Sale of Surplus Property Fee 1,226 1,260 1,260
3839 Sale of Vehicles, Boats and Aircraft 10 0 0
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 34 34 34
Total Estimated Account 0570 Receipts 1,270 1,294 1,294
2022-2023 Biennium 87th Texas Legislature Januar y 2021 59
App.107
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 109 of 272 PageID 331
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 0581 GR Account – Bill Blackwood Law Enforcement Management Institute
3704 Court Costs $ 2,779 $ 2,928 $ 2,799
Total Estimated Account 0581 Receipts 2,779 2,928 2,799
Account: 0597 GR Account – Texas Racing Commission
3188 Race Track Licenses – Horse 1,550 1,389 1,244
3189 Racing and Wagering Licenses 796 796 796
3190 Race Track Licenses – Greyhound 635 581 532
3196 Racing Pool – State Share – Greyhound, Simulcast Pari-Mutuel 400 400 400
3200 Racing Pool – State Share – Horse, Simulcast Pari-Mutuel 1,800 1,800 1,800
Total Estimated Account 0597 Receipts 5,181 4,966 4,772
Account: 0655 GR Account – Petroleum Storage Tank Remediation
3080 Petroleum Product Delivery Fees 16,883 17,161 17,490
Total Estimated Account 0655 Receipts 16,883 17,161 17,490
Account: 0664 GR Account – Texas Preservation Trust
3855 Interest on Investments, Obligations and Securities – General, Non-Program 249 249 249
Total Estimated Account 0664 Receipts 249 249 249
Account: 0679 GR Account – Artificial Reef
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 70 70 70
Total Estimated Account 0679 Receipts 70 70 70
Account: 5000 GR Account – Solid Waste Disposal Fees
3592 Waste Disposal Facilities, Generators, Transporters 11,493 11,606 11,720
Total Estimated Account 5000 Receipts 11,493 11,606 11,720
Account: 5005 GR Account – Oil Overcharge
3782 Repayments from Political Subdivisions/Other of Loans/Advances 9,851 10,713 9,614
3785 Interest on Oil Overcharge Loans 1,372 1,566 1,288
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 461 461 461
Total Estimated Account 5005 Receipts 11,684 12,740 11,363
Account: 5006 GR Account – Attorney General Law Enforcement
3583 Controlled Substances Act Forfeited Money 328 527 527
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 15 15 14
Total Estimated Account 5006 Receipts 343 542 541
Account: 5007 GR Account – Commission on State Emergency Communications
3563 Equalization Surcharges, 9-1-1 Emergencies 18,355 18,355 18,355
Total Estimated Account 5007 Receipts 18,355 18,355 18,355
Account: 5010 GR Account – Sexual Assault Program
3175 Professional Fees 13,500 17,200 19,700
3710 Court Fines 204 207 211
3727 Fees for Administrative Services 244 248 253
Total Estimated Account 5010 Receipts 13,948 17,655 20,164
Account: 5012 GR Account – Crime Stoppers Assistance
3704 Court Costs 473 482 461
Total Estimated Account 5012 Receipts 473 482 461
60 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.108
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 110 of 272 PageID 332
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 5013 GR Account – Breath Alcohol Testing
3704 Court Costs $ 738 $ 775 $ 740
Total Estimated Account 5013 Receipts 738 775 740
Account: 5017 GR Account – Asbestos Removal Licensure
3175 Professional Fees 3,769 3,769 3,769
Total Estimated Account 5017 Receipts 3,769 3,769 3,769
Account: 5018 GR Account – Home Health Services
3557 Health Care Facilities Fees 6,307 6,826 6,307
3770 Administrative Penalties 1,697 1,697 1,697
Total Estimated Account 5018 Receipts 8,004 8,523 8,004
Account: 5020 GR Account – Workplace Chemicals List
3577 Tier Two Forms Filing Fees 1,218 1,310 1,415
Total Estimated Account 5020 Receipts 1,218 1,310 1,415
Account: 5021 GR Account – Certification of Mammography Systems
3557 Health Care Facilities Fees 1,341 1,328 1,328
Total Estimated Account 5021 Receipts 1,341 1,328 1,328
Account: 5022 GR Account – Oyster Sales
3436 Oyster Fees 291 277 277
Total Estimated Account 5022 Receipts 291 277 277
Account: 5024 GR Account – Food and Drug Registration
3554 Food and Drug Fees 10,254 9,705 10,254
Total Estimated Account 5024 Receipts 10,254 9,705 10,254
Account: 5025 GR Account – Lottery
3176 Lottery License Application Fees 311 311 311
3177 Lottery Ticket Sales 551,744 525,433 525,433
3178 Lottery Security Proceeds 60 60 60
Total Estimated Account 5025 Receipts 552,115 525,804 525,804
Account: 5026 GR Account – Workforce Commission Federal
3321 Oil Royalties from Other State Lands for State Departments, Boards, Agencies 2 2 2
3349 Land Sales 225 782 1,633
3716 Lien Fees 55 55 55
3751 Sale of Buildings 1,201 1,975 3,236
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 16 16 16
Total Estimated Account 5026 Receipts 1,499 2,830 4,942
Account: 5029 GR Account – Center for Study and Prevention of Juvenile Crime and
Delinquency
3704 Court Costs 1,615 1,696 1,621
Total Estimated Account 5029 Receipts 1,615 1,696 1,621
Account: 5044 GR Account – Permanent Fund for Health and Tobacco Education and
Enforcement
3873 Interest on Investments, Obligations and Securities, Operating Revenue –
Operating Grants and Contributions 425 118 98
Total Estimated Account 5044 Receipts 425 118 98
2022-2023 Biennium 87th Texas Legislature Januar y 2021 61
App.109
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 111 of 272 PageID 333
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 5045 GR Account – Permanent Fund for Children and Public Health
3873 Interest on Investments, Obligations and Securities, Operating Revenue –
Operating Grants and Contributions $ 213 $ 58 $ 47
Total Estimated Account 5045 Receipts 213 58 47
Account: 5046 GR Account – Permanent Fund for Emergency Medical Services and
Trauma Care
3873 Interest on Investments, Obligations and Securities, Operating Revenue –
Operating Grants and Contributions 213 56 44
Total Estimated Account 5046 Receipts 213 56 44
Account: 5047 GR Account – Permanent Fund for Rural Health Facility Capital
Improvement
3873 Interest on Investments, Obligations and Securities, Operating Revenue –
Operating Grants and Contributions 1,701 1,746 1,786
Total Estimated Account 5047 Receipts 1,701 1,746 1,786
Account: 5048 GR Account – Permanent Hospital Fund for Capital Improvements
and the Texas Center for Infectious Disease
3873 Interest on Investments, Obligations and Securities, Operating Revenue –
Operating Grants and Contributions 850 873 893
Total Estimated Account 5048 Receipts 850 873 893
Account: 5049 GR Account – State Owned Multicategorical Teaching Hospital
3963 Transfer to GR Account – State Owned Multicategorical Teaching Hospital
5049 and Unappropriated GR 0001 from GR Account – Lottery 5025 (Other) 439 439 439
Total Estimated Account 5049 Receipts 439 439 439
Account: 5050 GR Account – 9-1-1 Service Fees
3647 9-1-1 Emergency Service Fees 6,025 6,025 5,619
3981 Transfers to 9-1-1 Service Fee 5050 from 0875 26,486 26,486 26,830
Total Estimated Account 5050 Receipts 32,511 32,511 32,449
Account: 5064 GR Account – Volunteer Fire Department Assistance
3208 Insurance Assessment for Volunteer Fire Departments 22,563 21,613 21,613
3782 Repayments from Political Subdivisions/Other of Loans/Advances 57 36 27
3854 Interest Other – General, Non-Program 6 3 2
Total Estimated Account 5064 Receipts 22,626 21,652 21,642
Account: 5065 GR Account – Environmental Trust Lab Accreditation
3557 Health Care Facilities Fees 831 831 831
Total Estimated Account 5065 Receipts 831 831 831
Account: 5071 GR Account – Emissions Reduction Plan
3004 Motor Vehicle Sales and Use Tax 16,212 0 0
3014 Motor Vehicle Registration Fees 11,689 0 0
3016 Motor Vehicle Sales and Use Tax – Seller Financed Motor Vehicles 31 0 0
3020 Motor Vehicle Inspection Fees 5,912 0 0
3102 Limited Sales and Use Tax 67,646 0 0
Total Estimated Account 5071 Receipts 101,490 0 0
62 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.110
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 112 of 272 PageID 334
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 5073 GR Account – Fair Defense
3195 Additional Legal Services Fee $ 2,000 $ 2,000 $ 2,000
3704 Court Costs 33,169 35,530 33,959
3858 Bail Bond Surety Fees 1,850 1,850 1,850
Total Estimated Account 5073 Receipts 37,019 39,380 37,809
Account: 5080 GR Account – Quality Assurance
3557 Health Care Facilities Fees 60,000 60,000 60,000
3770 Administrative Penalties 57 57 57
Total Estimated Account 5080 Receipts 60,057 60,057 60,057
Account: 5083 GR Account – Correctional Management Institute and Criminal Justice
Center
3704 Court Costs 1,612 1,693 1,618
Total Estimated Account 5083 Receipts 1,612 1,693 1,618
Account: 5085 GR Account – Child Abuse Neglect and Prevention Trust
3707 Marriage License Fees 3,500 3,364 3,232
Total Estimated Account 5085 Receipts 3,500 3,364 3,232
Account: 5093 GR Account – Dry Cleaner Facility Release
3175 Professional Fees 2,705 0 0
3390 Purchase of Dry Cleaning Solvent Fees 452 0 0
3770 Administrative Penalties 4 0 0
Total Estimated Account 5093 Receipts 3,161 0 0
Account: 5094 GR Account – Operating Permit Fees
3375 Air Pollution Control Fees 39,425 39,757 40,093
Total Estimated Account 5094 Receipts 39,425 39,757 40,093
Account: 5095 GR Account – Election Improvement
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 90 50 25
Total Estimated Account 5095 Receipts 90 50 25
Account: 5096 GR Account – Perpetual Care
3589 Radioactive Materials and Devices for Equipment Regulation 424 424 424
Total Estimated Account 5096 Receipts 424 424 424
Account: 5101 GR Account – Subsequent Injury
3869 Workers’ Compensation Insurance – Death Benefits to the State 11,398 11,398 11,398
Total Estimated Account 5101 Receipts 11,398 11,398 11,398
Account: 5105 GR Account – Public Assurance
3572 Health Related Professional Fees, Doctor Surcharge 3,599 3,646 3,693
Total Estimated Account 5105 Receipts 3,599 3,646 3,693
Account: 5106 GR Account – Economic Development Bank
3727 Fees for Administrative Services 150 150 150
3782 Repayments from Political Subdivisions/Other of Loans/Advances 864 882 567
3852 Interest on Local Deposits – State Agencies 1 1 1
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 113 89 65
Total Estimated Account 5106 Receipts 1,128 1,122 783
2022-2023 Biennium 87th Texas Legislature Januar y 2021 63
App.111
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 113 of 272 PageID 335
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 5107 GR Account – Texas Enterprise
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 1,081 $ 996 $ 911
Total Estimated Account 5107 Receipts 1,081 996 911
Account: 5108 GR Account – EMS, Trauma Facilities, Trauma Care Systems
3704 Court Costs 688 661 661
3710 Court Fines 1,523 1,462 1,462
Total Estimated Account 5108 Receipts 2,211 2,123 2,123
Account: 5109 GR Account – Medicaid Recovery 42 U.S.C. § 1396p
3595 Medical Assistance Cost Recovery 2,300 2,300 2,300
Total Estimated Account 5109 Receipts 2,300 2,300 2,300
Account: 5111 GR Account – Designated Trauma Facility and EMS
3206 Insurance Company Fees 60,619 61,772 62,637
3710 Court Fines 41,281 41,281 41,281
3717 Civil Penalties 6,000 2,512 0
Total Estimated Account 5111 Receipts 107,900 105,565 103,918
Account: 5114 GR Account – Texas Military Value Revolving Loan
3782 Repayments from Political Subdivisions/Other of Loans/Advances 1,396 1,450 1,505
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 743 686 627
Total Estimated Account 5114 Receipts 2,139 2,136 2,132
Account: 5125 GR Account – Childhood Immunization
3579 Vital Statistics Certification and Service Fees 68 68 68
Total Estimated Account 5125 Receipts 68 68 68
Account: 5128 GR Account – Employment and Training Investment Holding
3728 Unemployment Assessments 112,988 112,988 112,988
Total Estimated Account 5128 Receipts 112,988 112,988 112,988
Account: 5139 GR Account – Historic Site
3340 Land Easements 10 10 10
3344 Sand, Shell, Gravel, Timber Sales 12 12 12
3461 State Park Fees 520 567 567
3727 Fees for Administrative Services 49 49 49
3755 Commemorative Sales/Gift Shop and Museum Revenues 234 234 234
3924 Allocations to GRD Account 5139 from Fund 0001 (Sporting Goods Sales Tax) 0 13,783 14,553
Total Estimated Account 5139 Receipts 825 14,655 15,425
Account: 5152 GR Account – Alamo Complex
3748 Royalties 0 2 2
3755 Commemorative Sales/Gift Shop and Museum Revenues 1,030 4,120 4,120
3770 Administrative Penalties 2 7 7
3833 Cash Receipt – Capital Contributions/Capital Grants and Contributions –
Other Grant Revenue 6 24 24
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 24 24 24
Total Estimated Account 5152 Receipts 1,062 4,177 4,177
64 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.112
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 114 of 272 PageID 336
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (continued)
0001 General Revenue Fund (continued)
Account: 5153 GR Account – Emergency Radio Infrastructure
3704 Court Costs $ 6,942 $ 7,333 $ 7,009
Total Estimated Account 5153 Receipts 6,942 7,333 7,009
Account: 5155 GR Account – Oil and Gas Regulation and Cleanup
3310 Oil and Gas Regulation and Cleanup Fee Surcharge 16,164 18,028 19,197
3313 Oil and Gas Well Drilling Permit 4,034 5,057 5,682
3314 Oil and Gas Violations 11,968 11,968 11,968
3338 Organization Report Fees 3,750 3,750 3,750
3339 Railroad Commission Voluntary Cleanup Application Fees 10 10 10
3369 Reimbursement for Well Plugging Costs 1,475 1,475 1,475
3373 Injection Well Regulation 51 57 60
3381 Oil Field Cleanup Regulatory Fee on Oil 8,998 9,038 9,158
3382 Railroad Commission Rule Exceptions 1,262 1,352 1,449
3383 Oil Field Cleanup Regulatory Fee on Gas 5,911 6,384 6,617
3384 Oil and Gas Compliance Certification Reissue Fee 433 557 612
3393 Abandoned Well Site Equipment Disposal 997 1,084 1,168
3553 Pipeline Safety Inspection Fees 11,050 11,050 11,050
3592 Waste Disposal Facilities, Generators, Transporters 190 190 190
3727 Fees for Administrative Services 1,046 1,046 1,046
Total Estimated Account 5155 Receipts 67,339 71,046 73,432
Account: 5157 GR Account – Statewide Electronic Filing System
3704 Court Costs 1,419 1,090 1,041
3711 Judicial Fees 23,755 24,279 24,814
Total Estimated Account 5157 Receipts 25,174 25,369 25,855
Account: 5158 GR Account – Environmental Radiation and Perpetual Care
3589 Radioactive Materials and Devices for Equipment Regulation 45 45 45
3590 Low-Level Radioactive Waste Disposal Fees 1,500 1,550 1,550
Total Estimated Account 5158 Receipts 1,545 1,595 1,595
Account: 5161 GR Account – Governor’s University Research Initiative
3782 Repayments from Political Subdivisions/Other of Loans/Advances 880 907 934
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 827 801 773
Total Estimated Account 5161 Receipts 1,707 1,708 1,707
Account: 5164 GR Account – Truancy Prevention and Diversion
3704 Court Costs 4,935 5,156 4,928
Total Estimated Account 5164 Receipts 4,935 5,156 4,928
Account: 5168 GR Account – Cancer Prevention and Research Interest and Sinking
3748 Royalties 350 350 350
Total Estimated Account 5168 Receipts 350 350 350
Account: 5173 GR Account – Texas Forensic Science Commission
3562 Health Related Professional Fees 157 45 157
Total Estimated Account 5173 Receipts 157 45 157
Account: 5178 GR Account – State Hemp Program
3400 Business Fees – Agriculture 712 712 712
Total Estimated Account 5178 Receipts 712 712 712
2022-2023 Biennium 87th Texas Legislature Januar y 2021 65
App.113
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 115 of 272 PageID 337
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: GENERAL REVENUE DEDICATED (concluded)
0001 General Revenue Fund (concluded)
Account: 5184 GR Account – Specialty Court
3704 Court Costs $ 1,806 $ 2,061 $ 1,970
Total Estimated Account 5184 Receipts 1,806 2,061 1,970
Account: 5185 GR Account – DNA Testing
3704 Court Costs 243 277 265
Total Estimated Account 5185 Receipts 243 277 265
Account: 5186 GR Account – Transportation Administrative Fee
3704 Court Costs 7,549 8,614 8,233
Total Estimated Account 5186 Receipts 7,549 8,614 8,233
Total Estimated Fund 0001 Receipts 3,065,997 3,169,365 3,184,387
Total Estimated General Revenue Dedicated $ 3,065,997 $ 3,169,365 $ 3,184,387
SOURCE: FEDERAL FUNDS
0001 General Revenue Fund
Account: 0001 General Revenue Fund
3500 Federal Receipts, Matched – Education Programs 398 120 0
3501 Federal Receipts, Not Matched – Education Programs 43 0 0
3550 Federal Receipts, Matched – Health Programs 1,217 1,217 1,217
3551 Federal Receipts, Not Matched – Health Programs 672,870 672,870 672,870
3600 Federal Receipts, Matched – Medicaid, TANF, Other Health Programs 30,386,328 31,516,942 28,756,000
3601 Federal Receipts, Not Matched – Medicaid Standards/Mental Health 85,287 85,287 85,287
3700 Federal Receipts, Matched – Other Programs 552,695 547,459 547,257
3701 Federal Receipts, Not Matched – Other Programs 1,932,663 2,835,595 2,755,836
Total Estimated Account 0001 Receipts 33,631,501 35,659,490 32,818,467
Account: 0009 GR Account – Game, Fish, and Water Safety
3430 Federal Receipts, Matched – Parks and Wildlife 55,697 55,697 55,697
3431 Federal Receipts, Not Matched – Parks and Wildlife 2,322 2,322 2,322
Total Estimated Account 0009 Receipts 58,019 58,019 58,019
Account: 0027 GR Account – Coastal Protection
3700 Federal Receipts, Matched – Other Programs 2,531 2,531 2,531
3701 Federal Receipts, Not Matched – Other Programs 524 524 524
Total Estimated Account 0027 Receipts 3,055 3,055 3,055
Account: 0036 GR Account – Texas Department of Insurance Operating
3700 Federal Receipts, Matched – Other Programs 2,784 2,820 2,820
Total Estimated Account 0036 Receipts 2,784 2,820 2,820
Account: 0037 GR Account – Federal Child Welfare Service
3600 Federal Receipts, Matched – Medicaid, TANF, Other Health Programs 477,072 479,988 477,654
3601 Federal Receipts, Not Matched – Medicaid Standards/Mental Health 31,385 32,812 40,771
3621 Child Support Collections – Federal 704 669 635
Total Estimated Account 0037 Receipts 509,161 513,469 519,060
Account: 0064 GR Account – State Parks
3430 Federal Receipts, Matched – Parks and Wildlife 129 129 129
Total Estimated Account 0064 Receipts 129 129 129
66 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 116 of 272 PageID 338
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: FEDERAL FUNDS (continued)
0001 General Revenue Fund (continued)
Account: 0092 GR Account – Federal Disaster
3701 Federal Receipts, Not Matched – Other Programs $ 202,788 $ 172,645 $ 156,103
Total Estimated Account 0092 Receipts 202,788 172,645 156,103
Account: 0118 GR Account – Federal Public Library Service
3700 Federal Receipts, Matched – Other Programs 11,834 11,834 11,834
Total Estimated Account 0118 Receipts 11,834 11,834 11,834
Account: 0127 GR Account – Community Affairs Federal
3701 Federal Receipts, Not Matched – Other Programs 280,153 280,726 282,887
Total Estimated Account 0127 Receipts 280,153 280,726 282,887
Account: 0148 GR Account – Federal Health, Education and Welfare
3501 Federal Receipts, Not Matched – Education Programs 3,364,884 3,341,116 3,341,116
Total Estimated Account 0148 Receipts 3,364,884 3,341,116 3,341,116
Account: 0151 GR Account – Clean Air
3700 Federal Receipts, Matched – Other Programs 6,750 6,750 6,750
3701 Federal Receipts, Not Matched – Other Programs 3,500 3,500 3,500
Total Estimated Account 0151 Receipts 10,250 10,250 10,250
Account: 0153 GR Account – Water Resource Management
3700 Federal Receipts, Matched – Other Programs 13,500 13,500 13,500
3701 Federal Receipts, Not Matched – Other Programs 5,500 5,500 5,500
Total Estimated Account 0153 Receipts 19,000 19,000 19,000
Account: 0171 GR Account – Federal School Lunch
3501 Federal Receipts, Not Matched – Education Programs 2,246,334 1,979,337 1,979,337
Total Estimated Account 0171 Receipts 2,246,334 1,979,337 1,979,337
Account: 0221 GR Account – Federal Civil Defense and Disaster Relief
3701 Federal Receipts, Not Matched – Other Programs 281 0 0
Total Estimated Account 0221 Receipts 281 0 0
Account: 0222 GR Account – Department of Public Safety Federal
3701 Federal Receipts, Not Matched – Other Programs 1,900 1,850 1,850
Total Estimated Account 0222 Receipts 1,900 1,850 1,850
Account: 0224 GR Account – Governor’s Office Federal Projects
3701 Federal Receipts, Not Matched – Other Programs 108,383 115,591 123,278
Total Estimated Account 0224 Receipts 108,383 115,591 123,278
Account: 0273 GR Account – Federal Health and Health Lab Funding Excess Revenue
3550 Federal Receipts, Matched – Health Programs 160,900 160,900 160,900
3551 Federal Receipts, Not Matched – Health Programs 140,377 140,377 140,377
Total Estimated Account 0273 Receipts 301,277 301,277 301,277
Account: 0421 GR Account – Criminal Justice Planning
3700 Federal Receipts, Matched – Other Programs 12,338 12,198 12,059
3701 Federal Receipts, Not Matched – Other Programs 206,480 206,480 206,480
Total Estimated Account 0421 Receipts 218,818 218,678 218,539
2022-2023 Biennium 87th Texas Legislature Januar y 2021 67
App.115
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 117 of 272 PageID 339
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: FEDERAL FUNDS (continued)
0001 General Revenue Fund (continued)
Account: 0449 GR Account – Texas Military Federal
3700 Federal Receipts, Matched – Other Programs $ 66,794 $ 68,797 $ 67,864
Total Estimated Account 0449 Receipts 66,794 68,797 67,864
Account: 0467 GR Account – Texas Recreation and Parks
3430 Federal Receipts, Matched – Parks and Wildlife 5,332 5,332 5,332
Total Estimated Account 0467 Receipts 5,332 5,332 5,332
Account: 0469 GR Account – Compensation to Victims of Crime
3700 Federal Receipts, Matched – Other Programs 31,853 20,511 21,249
Total Estimated Account 0469 Receipts 31,853 20,511 21,249
Account: 0549 GR Account – Waste Management
3700 Federal Receipts, Matched – Other Programs 6,000 6,000 6,000
3701 Federal Receipts, Not Matched – Other Programs 750 750 750
Total Estimated Account 0549 Receipts 6,750 6,750 6,750
Account: 0550 GR Account – Hazardous and Solid Waste Remediation Fees
3700 Federal Receipts, Matched – Other Programs 225 225 225
3701 Federal Receipts, Not Matched – Other Programs 425 425 425
Total Estimated Account 0550 Receipts 650 650 650
Account: 0655 GR Account – Petroleum Storage Tank Remediation
3700 Federal Receipts, Matched – Other Programs 4,000 4,000 4,000
Total Estimated Account 0655 Receipts 4,000 4,000 4,000
Account: 5006 GR Account – Attorney General Law Enforcement
3700 Federal Receipts, Matched – Other Programs 523 523 523
Total Estimated Account 5006 Receipts 523 523 523
Account: 5007 GR Account – Commission on State Emergency Communications
3701 Federal Receipts, Not Matched – Other Programs 4,755 3,380 0
Total Estimated Account 5007 Receipts 4,755 3,380 0
Account: 5026 GR Account – Workforce Commission Federal
3550 Federal Receipts, Matched – Health Programs 272,835 260,123 264,951
3551 Federal Receipts, Not Matched – Health Programs 18,297 18,114 18,114
3700 Federal Receipts, Matched – Other Programs 241,790 238,069 238,001
3701 Federal Receipts, Not Matched – Other Programs 1,209,073 1,157,468 1,146,761
Total Estimated Account 5026 Receipts 1,741,995 1,673,774 1,667,827
Account: 5041 GR Account – Railroad Commission Federal
3700 Federal Receipts, Matched – Other Programs 1,400 1,460 1,460
3701 Federal Receipts, Not Matched – Other Programs 1,640 1,640 1,640
Total Estimated Account 5041 Receipts 3,040 3,100 3,100
Account: 5091 GR Account – Office of Rural Community Affairs Federal
3700 Federal Receipts, Matched – Other Programs 1,076 1,076 1,076
3701 Federal Receipts, Not Matched – Other Programs 67,090 66,701 66,701
Total Estimated Account 5091 Receipts 68,166 67,777 67,777
68 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.116
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 118 of 272 PageID 340
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: FEDERAL FUNDS (concluded)
0001 General Revenue Fund (concluded)
Account: 5155 GR Account – Oil and Gas Regulation and Cleanup
3700 Federal Receipts, Matched – Other Programs $ 5,700 $ 5,700 $ 5,700
3701 Federal Receipts, Not Matched – Other Programs 120 120 120
Total Estimated Account 5155 Receipts 5,820 5,820 5,820
Total Estimated Fund 0001 Receipts $ 42,910,229 $ 44,549,700 $ 41,697,913
0006 State Highway Fund
3001 Federal Receipts, Matched – Transportation Programs 5,853,758 4,329,196 3,963,289
Total Estimated Fund 0006 Receipts 5,853,758 4,329,196 3,963,289
0008 State Highway Debt Service Fund
3001 Federal Receipts, Matched – Transportation Programs 36,629 36,372 36,014
Total Estimated Fund 0008 Receipts 36,629 36,372 36,014
0010 Texas Department of Motor Vehicles Fund
3001 Federal Receipts, Matched – Transportation Programs 744 744 744
Total Estimated Fund 0010 Receipts 744 744 744
0325 Coronavirus Relief Fund
3001 Federal Receipts, Matched – Transportation Programs 1,004,700 0 0
3501 Federal Receipts, Not Matched – Education Programs 5,256,050 1,827,396 0
3551 Federal Receipts, Not Matched – Health Programs 1,796,205 495,296 30,157
3600 Federal Receipts, Matched – Medicaid, TANF, Other Health Programs 2,373,519 0 0
3601 Federal Receipts, Not Matched – Medicaid Standards/Mental Health 3,518 1,173 0
3700 Federal Receipts, Matched – Other Programs 1,634,380 1,818 0
3701 Federal Receipts, Not Matched – Other Programs 3,105,771 541,493 466,949
3831 Federal Receipts – Proprietary Funds – Operating 2,583,242 0 0
Total Estimated Fund 0325 Receipts 17,757,385 2,867,176 497,106
0365 Texas Mobility Fund
3001 Federal Receipts, Matched – Transportation Programs 21,945 21,955 21,918
Total Estimated Fund 0365 Receipts 21,945 21,955 21,918
0368 Fund for Veterans’ Assistance
3701 Federal Receipts, Not Matched – Other Programs 30 30 30
Total Estimated Fund 0368 Receipts 30 30 30
0369 Federal American Recovery and Reinvestment Fund
3701 Federal Receipts, Not Matched – Other Programs 6,141 6,203 6,265
Total Estimated Fund 0369 Receipts 6,141 6,203 6,265
0374 Veterans Financial Assistance Program Fund
3700 Federal Receipts, Matched – Other Programs 5,566 5,566 5,566
3701 Federal Receipts, Not Matched – Other Programs 3,215 3,215 3,215
3831 Federal Receipts – Proprietary Funds – Operating 62,744 62,744 62,744
Total Estimated Fund 0374 Receipts 71,525 71,525 71,525
Total Estimated Federal Funds $ 66,658,386 $ 51,882,901 $ 46,294,804
2022-2023 Biennium 87th Texas Legislature Januar y 2021 69
App.117
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 119 of 272 PageID 341
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: APPROPRIATED RECEIPTS
0001 General Revenue Fund
Account: 0001 General Revenue Fund
3015 Motor Fuel Mixture Testing Fee $ 1,625 $ 1,625 $ 1,625
3158 Manufactured Housing Training Fees 128 128 128
3159 Manufactured Housing Statement of Ownership 3,500 3,500 3,500
3180 Health Regulation Fees 4,081 4,092 4,092
3509 Private Educational Institution Fees 1,618 1,618 1,618
3517 Repayment of College Student Loans 3,476 3,298 3,136
3540 Tax Discount Donation – Student Financial Assistance Grants 3 3 3
3552 Vendor Drug Rebates, HIV Program 20,180 20,180 20,180
3591 Transfers from State Hospitals/Agencies for Medicaid Match (UC, UPL, and
DSRIP) 67,401 88,284 5,086
3603 Reimbursement for Telecommunications Assistance, Distance Learning and
Other Advanced Services 1,551 1,551 1,551
3606 Support and Maintenance of Patients 27,454 27,454 27,454
3718 Court Costs/Attorney/OAG Authorized Collection Fees 20,500 23,000 23,000
3719 Fees for Copies or Filing of Records 32,103 37,406 37,406
3722 Conference, Seminars, and Training Registration Fees 5,482 5,922 5,922
3738 Grants – Cities/Counties 3,000 3,000 3,000
3739 Grants – Other Political Subdivisions 70 70 70
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 6,600 6,600 6,600
3747 Rental – Other 925 997 1,033
3750 Sale of Furniture and Equipment 1,371 1,371 1,371
3752 Sale of Publications/Advertising 9,269 9,314 9,369
3754 Other Surplus or Salvage Property/Materials Sales 10,300 10,300 10,300
3759 Telecommunications Service from Local Funds 20,500 21,000 21,000
3766 Supplies/Equipment/Services – Local Funds 4,700 4,700 4,700
3767 Supplies/Equipment/Services – Federal/Other 7,797 7,797 7,797
3769 Forfeitures 353 353 353
3773 Insurance Recovery In Subsequent Years 16,000 16,000 16,000
3802 Reimbursements – Third Party 312,162 312,749 313,560
3803 Reimbursements – Intra-Agency 83 103 103
3805 Subrogation Recoveries 585 585 585
3806 Rental of Housing to State Employees 2,176 2,192 2,192
3879 Credit Card and Electronic Services Related Fees 47,760 50,960 52,347
Total Estimated Account 0001 Receipts 632,753 666,152 585,081
Account: 0009 GR Account – Game, Fish, and Water Safety
3719 Fees for Copies or Filing of Records 4 4 4
3722 Conference, Seminars, and Training Registration Fees 38 38 38
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 922 922 922
3747 Rental – Other 5 5 5
3750 Sale of Furniture and Equipment 26 26 26
3754 Other Surplus or Salvage Property/Materials Sales 68 68 68
3766 Supplies/Equipment/Services – Local Funds 10 10 10
3767 Supplies/Equipment/Services – Federal/Other 111 111 111
3802 Reimbursements – Third Party 1,866 1,866 1,866
3806 Rental of Housing to State Employees 70 70 70
3879 Credit Card and Electronic Services Related Fees 809 809 809
Total Estimated Account 0009 Receipts 3,929 3,929 3,929
70 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.118
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 120 of 272 PageID 342
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: APPROPRIATED RECEIPTS (continued)
0001 General Revenue Fund (continued)
Account: 0019 GR Account – Vital Statistics
3802 Reimbursements – Third Party $ 7,851 $ 7,851 $ 7,851
3879 Credit Card and Electronic Services Related Fees 4,550 4,550 4,550
Total Estimated Account 0019 Receipts 12,401 12,401 12,401
Account: 0027 GR Account – Coastal Protection
3802 Reimbursements – Third Party 227 227 227
Total Estimated Account 0027 Receipts 227 227 227
Account: 0036 GR Account – Texas Department of Insurance Operating
3719 Fees for Copies or Filing of Records 52 71 71
3802 Reimbursements – Third Party 2,873 3,001 3,082
Total Estimated Account 0036 Receipts 2,925 3,072 3,153
Account: 0064 GR Account – State Parks
3722 Conference, Seminars, and Training Registration Fees 40 59 59
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 1,147 1,147 1,147
3767 Supplies/Equipment/Services – Federal/Other 20 20 20
3802 Reimbursements – Third Party 9,566 387 387
3806 Rental of Housing to State Employees 299 299 299
3879 Credit Card and Electronic Services Related Fees 1,537 1,537 1,537
Total Estimated Account 0064 Receipts 12,609 3,449 3,449
Account: 0116 GR Account – Texas Commission on Law Enforcement
3719 Fees for Copies or Filing of Records 250 250 250
3722 Conference, Seminars, and Training Registration Fees 0 195 200
3802 Reimbursements – Third Party 270 160 160
3879 Credit Card and Electronic Services Related Fees 4 5 5
Total Estimated Account 0116 Receipts 524 610 615
Account: 0127 GR Account – Community Affairs Federal
3767 Supplies/Equipment/Services – Federal/Other 670 690 711
3802 Reimbursements – Third Party 150 150 150
Total Estimated Account 0127 Receipts 820 840 861
Account: 0193 GR Account – Foundation School
3680 Recapture Receipts 2,814,010 2,796,200 3,031,800
Total Estimated Account 0193 Receipts 2,814,010 2,796,200 3,031,800
Account: 0225 GR Account – University of Houston Current
3754 Other Surplus or Salvage Property/Materials Sales 10 10 10
Total Estimated Account 0225 Receipts 10 10 10
Account: 0264 GR Account – Midwestern State University Current
3747 Rental – Other 1 1 1
Total Estimated Account 0264 Receipts 1 1 1
Account: 0334 GR Account – Commission of Arts Operating
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 152 152 152
Total Estimated Account 0334 Receipts 152 152 152
2022-2023 Biennium 87th Texas Legislature Januar y 2021 71
App.119
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 121 of 272 PageID 343
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: APPROPRIATED RECEIPTS (continued)
0001 General Revenue Fund (continued)
Account: 0449 GR Account – Texas Military Federal
3739 Grants – Other Political Subdivisions $ 10 $ 10 $ 10
3802 Reimbursements – Third Party 12 12 12
Total Estimated Account 0449 Receipts 22 22 22
Account: 0469 GR Account – Compensation to Victims of Crime
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 171 171 171
3802 Reimbursements – Third Party 15 15 15
3805 Subrogation Recoveries 516 516 516
Total Estimated Account 0469 Receipts 702 702 702
Account: 0472 GR Account – Inaugural
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 0 0 12
Total Estimated Account 0472 Receipts 0 0 12
Account: 0492 GR Account – Business Enterprise Program
3747 Rental – Other 783 633 482
3802 Reimbursements – Third Party 27 27 27
Total Estimated Account 0492 Receipts 810 660 509
Account: 0506 GR Account – Non-Game and Endangered Species Conservation
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 3 3 3
Total Estimated Account 0506 Receipts 3 3 3
Account: 0524 GR Account – Public Health Services Fee
3879 Credit Card and Electronic Services Related Fees 6 6 6
Total Estimated Account 0524 Receipts 6 6 6
Account: 0540 GR Account – Judicial and Court Personal Training Fund
3719 Fees for Copies or Filing of Records 1 1 1
Total Estimated Account 0540 Receipts 1 1 1
Account: 0544 GR Account – Lifetime License Endowment
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 1 1 1
Total Estimated Account 0544 Receipts 1 1 1
Account: 0550 GR Account – Hazardous and Solid Waste Remediation Fees
3802 Reimbursements – Third Party 500 500 500
Total Estimated Account 0550 Receipts 500 500 500
Account: 0570 GR Account – Federal Surplus Property Service Charge
3754 Other Surplus or Salvage Property/Materials Sales 276 276 276
3802 Reimbursements – Third Party 607 607 607
Total Estimated Account 0570 Receipts 883 883 883
Account: 0597 GR Account – Texas Racing Commission
3802 Reimbursements – Third Party 12 12 12
Total Estimated Account 0597 Receipts 12 12 12
72 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.120
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 122 of 272 PageID 344
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: APPROPRIATED RECEIPTS (continued)
0001 General Revenue Fund (continued)
Account: 0679 GR Account – Artificial Reef
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions $ 800 $ 800 $ 800
Total Estimated Account 0679 Receipts 800 800 800
Account: 5018 GR Account – Home Health Services
3879 Credit Card and Electronic Services Related Fees 87 87 87
Total Estimated Account 5018 Receipts 87 87 87
Account: 5025 GR Account – Lottery
3719 Fees for Copies or Filing of Records 5 5 5
3802 Reimbursements – Third Party 481 481 481
Total Estimated Account 5025 Receipts 486 486 486
Account: 5026 GR Account – Workforce Commission Federal
3719 Fees for Copies or Filing of Records 175 165 155
3747 Rental – Other 42 42 42
3752 Sale of Publications/Advertising 90 90 90
3767 Supplies/Equipment/Services – Federal/Other 500 500 500
Total Estimated Account 5026 Receipts 807 797 787
Account: 5059 GR Account – Peace Officer Flag
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 7 5 7
Total Estimated Account 5059 Receipts 7 5 7
Account: 5093 GR Account – Dry Cleaner Facility Release
3802 Reimbursements – Third Party 3 0 0
Total Estimated Account 5093 Receipts 3 0 0
Account: 5107 GR Account – Texas Enterprise
3769 Forfeitures 1,100 1,100 1,100
Total Estimated Account 5107 Receipts 1,100 1,100 1,100
Account: 5136 GR Account – Cancer Prevention and Research
3802 Reimbursements – Third Party 40 40 40
Total Estimated Account 5136 Receipts 40 40 40
Account: 5139 GR Account – Historic Site
3806 Rental of Housing to State Employees 20 20 20
Total Estimated Account 5139 Receipts 20 20 20
Account: 5152 GR Account – Alamo Complex
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 60 239 239
3747 Rental – Other 428 1,713 1,713
3802 Reimbursements – Third Party 24 95 95
Total Estimated Account 5152 Receipts 512 2,047 2,047
Account: 5155 GR Account – Oil and Gas Regulation and Cleanup
3802 Reimbursements – Third Party 5 5 5
3879 Credit Card and Electronic Services Related Fees 450 450 450
Total Estimated Account 5155 Receipts 455 455 455
2022-2023 Biennium 87th Texas Legislature Januar y 2021 73
App.121
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 123 of 272 PageID 345
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: APPROPRIATED RECEIPTS (concluded)
0001 General Revenue Fund (concluded)
Account: 5170 GR Account – Evidence Testing
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions $ 800 $ 800 $ 800
Total Estimated Account 5170 Receipts 800 800 800
Account: 5173 GR Account – Texas Forensic Science Commission
3879 Credit Card and Electronic Services Related Fees 2 0 2
Total Estimated Account 5173 Receipts 2 0 2
Account: 5177 GR Account – Identification Fee Exemption
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 1,200 1,200 1,200
Total Estimated Account 5177 Receipts 1,200 1,200 1,200
Account: 5178 GR Account – State Hemp Program
3879 Credit Card and Electronic Services Related Fees 12 12 12
Total Estimated Account 5178 Receipts 12 12 12
Total Estimated Fund 0001 Receipts 3,489,632 3,497,682 3,652,173
Total Estimated Appropriated Receipts $ 3,489,632 $ 3,497,682 $ 3,652,173
SOURCE: OTHER FUNDS
0001 General Revenue Fund
Account: 0001 General Revenue Fund
3564 Disproportionate Share Revenues/State Hospitals 322,455 322,455 322,455
3565 Vendor Drug Rebates, Medicaid Program – Supplemental 65,549 73,878 77,323
3568 Disproportionate Share Revenues/Non-State Hospitals 588,732 605,057 615,998
3569 Receipt of Federal/State Disproportionate Share and Upper Payment Limit
Program by State Hospitals 296,369 297,086 296,049
3588 Transfers from Urban and Rural Hospitals for Medicaid Match
(UC, UPL, STAR+PLUS, and DSRIP) 3,613,533 3,979,206 1,775,557
3597 WIC (Women, Infants, and Children Program) Rebates 205,040 205,040 205,040
3638 Vendor Drug Rebates, Medicaid Program – Mandated 1,075,759 1,211,298 1,267,761
3639 Premium Credits – Medicaid Program 12,428 12,908 12,891
3649 Vendor Drug and HMO Experience Rebates, CHIP Program 11,919 14,752 17,898
3950 Allocations to Fund 0001/Other Funds from Special Funds – UB (12,705) (20,292) (20,292)
3952 Transfer to Unappropriated GR 0001 from Disproportionate Share Funds (199,310) (198,149) (198,149)
3953 Unappropriated GR 0001 Reimbursement for Statewide Cost Allocation Plan
(SWCAP) (12,012) (12,012) (12,012)
Total Estimated Account 0001 Receipts 5,967,757 6,491,227 4,360,519
Account: 5025 GR Account – Lottery
3177 Lottery Ticket Sales 275,073 487,863 480,396
3963 Transfer to GR Account – State Owned Multicategorical Teaching Hospital
5049 and Unappropriated GR 0001 from GR Account – Lottery 5025 (Other) (86,476) (82,355) (82,355)
Total Estimated Account 5025 Receipts 188,597 405,508 398,041
Total Estimated Fund 0001 Receipts $ 6,156,354 $ 6,896,735 $ 4,758,560
0006 State Highway Fund
3010 Motor Fuel Lubricants Sales Tax 37,000 37,500 38,000
3012 Motor Vehicle Certificates 8,097 8,258 8,423
3014 Motor Vehicle Registration Fees 1,644,027 1,685,128 1,727,256
74 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.122
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 124 of 272 PageID 346
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0006 State Highway Fund (concluded)
3018 Special Vehicle Permits $ 122,729 $ 125,119 $ 127,557
3046 State Highway Toll Project Revenue 48,031 48,031 48,031
3047 Concession Payments/Other Contractual Receipts from Comprehensive
Development Agreements 5,608 5,900 6,188
3049 Upfront Payments – Service Concession Arrangements 75 0 0
3052 Highway Beautification Fees 1,119 1,130 1,141
3053 Logo, Major Shopping and Tourist-Oriented Signs 11,398 11,512 11,627
3315 Oil and Gas Lease Bonus 817 825 833
3321 Oil Royalties from Other State Lands for State Departments, Boards, Agencies 10,585 10,691 10,798
3326 Gas Royalties from Other State Lands for State Departments, Boards, Agencies 3,000 3,031 3,060
3331 Wind/Other Surface Lease Income from School Land 5 5 5
3349 Land Sales 9,373 9,467 9,562
3704 Court Costs 152 154 156
3714 Judgments and Settlements 28,077 28,358 28,641
3719 Fees for Copies or Filing of Records 1 1 1
3727 Fees for Administrative Services 3 0 0
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 100 100 100
3746 Rental of Lands/Miscellaneous Land Income 5,421 5,475 5,530
3752 Sale of Publications/Advertising 4,636 4,683 4,729
3754 Other Surplus or Salvage Property/Materials Sales (687) 0 0
3767 Supplies/Equipment/Services – Federal/Other 20,271 20,474 20,679
3777 Warrants Voided by Statute of Limitation – Default Fund 192 194 196
3782 Repayments from Political Subdivisions/Other of Loans/Advances 88,962 23,022 22,172
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 19,905 13,013 12,411
3854 Interest Other – General, Non-Program 7,386 6,344 5,807
3879 Credit Card and Electronic Services Related Fees 7 7 7
3901 Allocations to GR 0001 (Unapp Undyed Diesel), Fund 0002, Fund 0006 and
Fund 0057 from Fund 0001 (Motor Fuels Tax) 2,586,246 2,625,914 2,675,686
3925 Allocations to Fund 0006 from Fund 0001 (Sales and Use Tax) 2,500,000 2,500,000 2,500,000
3928 Allocations to Fund 0006 from Fund 0001 (Motor Vehicle Tax) 0 9,745 51,541
Total Estimated Fund 0006 Receipts 7,162,536 7,184,081 7,320,137
0008 State Highway Debt Service Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1,465 1,465 1,465
Total Estimated Fund 0008 Receipts 1,465 1,465 1,465
0010 Texas Department of Motor Vehicles Fund
3012 Motor Vehicle Certificates 40,713 41,934 42,563
3014 Motor Vehicle Registration Fees 34,223 35,080 35,959
3018 Special Vehicle Permits 13,340 16,008 16,488
3022 Assigned Vehicle Identification Number Fees 4 4 4
3035 Commercial Transportation Fees 7,686 7,994 8,154
3036 Motor Vehicle Complaints/Protests 21 22 22
3050 Abandoned Motor Vehicles 14 14 14
3081 Equipment Lease to County Automated Registration and Titling System 245 245 245
3717 Civil Penalties 1,296 1,347 1,374
3719 Fees for Copies or Filing of Records 3 3 3
3727 Fees for Administrative Services 57,347 56,630 57,766
3775 Returned Check Fees 20 21 21
3777 Warrants Voided by Statute of Limitation – Default Fund 5 0 0
2022-2023 Biennium 87th Texas Legislature Januar y 2021 75
App.123
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 125 of 272 PageID 347
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0010 Texas Department of Motor Vehicles Fund (concluded)
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 628 $ 590 $ 672
3879 Credit Card and Electronic Services Related Fees 4,433 4,611 4,703
Total Estimated Fund 0010 Receipts 159,978 164,503 167,988
0011 Available University Fund
3301 Land Office Fees 225 225 225
3315 Oil and Gas Lease Bonus 155 155 155
3328 Surface Damages 3,670 3,303 3,663
3337 Brine and Water Receipts 13,743 12,369 13,606
3340 Land Easements 31,218 28,097 30,906
3341 Grazing Lease Rental 5,000 5,000 5,000
3344 Sand, Shell, Gravel, Timber Sales 1,126 1,013 1,114
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 4,590 4,590 4,590
3854 Interest Other – General, Non-Program 1,300 1,300 1,300
3855 Interest on Investments, Obligations and Securities – General, Non-Program 1,112,265 1,163,985 1,218,110
Total Estimated Fund 0011 Receipts 1,173,292 1,220,037 1,278,669
0044 Permanent School Fund
3302 Land Office Administrative Fees 606 640 640
3315 Oil and Gas Lease Bonus 44,000 44,000 39,000
3316 Oil and Gas Lease Rental 3,500 7,564 7,564
3318 Sale of Natural Gas – State Energy Marketing Program 50,000 50,000 50,000
3320 Oil Royalties from Lands Owned by Educational Institutions 494,220 727,324 890,321
3325 Gas Royalties from Lands Owned by Educational Institutions 161,158 237,170 290,321
3327 Outer Continental Shelf Settlement Monies 1,200 1,200 1,200
3328 Surface Damages 6,300 7,300 7,300
3330 Hard Mineral – Prospect and Lease 400 480 480
3331 Wind/Other Surface Lease Income from School Land 130 202 202
3335 Royalties – Other Hard Minerals 938 938 938
3340 Land Easements 4,500 4,900 4,900
3341 Grazing Lease Rental 3,500 4,700 4,700
3342 Land Lease 1,750 1,800 1,800
3344 Sand, Shell, Gravel, Timber Sales 1,200 1,200 1,200
3350 Interest on Land Sales, Public School Land 7 7 7
3714 Judgments and Settlements 38 38 38
3770 Administrative Penalties 700 900 900
3802 Reimbursements – Third Party 180 180 180
3828 Dividend Income 8 8 8
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 5,294 5,294 5,294
3854 Interest Other – General, Non-Program 8,000 8,000 8,000
3861 Gain on Sale of Investments, Obligations, and Securities 120,000 135,000 135,000
3864 Interest on State Deposits and Treasury Investments, Non-Operating
Revenue – Operating Grants and Contributions 18,856 18,856 18,856
3873 Interest on Investments, Obligations and Securities, Operating Revenue –
Operating Grants and Contributions 78,000 83,000 83,000
3910 Transfers to Available Education Funds from Permanent Education Funds (1,701,670) (2,132,000) (2,177,000)
Total Estimated Fund 0044 Receipts (697,185) (791,299) (625,151)
0045 Permanent University Fund
3315 Oil and Gas Lease Bonus 5,000 25,000 10,000
3316 Oil and Gas Lease Rental 62 312 125
3320 Oil Royalties from Lands Owned by Educational Institutions 520,637 766,201 937,911
76 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.124
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 126 of 272 PageID 348
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0045 Permanent University Fund (concluded)
3325 Gas Royalties from Lands Owned by Educational Institutions $ 69,170 $ 101,795 $ 124,607
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 49 49 49
Total Estimated Fund 0045 Receipts 594,918 893,357 1,072,692
0047 Texas A&M University Available Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2,819 2,819 2,819
Total Estimated Fund 0047 Receipts 2,819 2,819 2,819
0053 Charter District Bond Guarantee Reserve Fund
3530 School Bond Guarantee Fees 20,559 20,970 21,390
3864 Interest on State Deposits and Treasury Investments, Non-Operating
Revenue – Operating Grants and Contributions 1 1 1
Total Estimated Fund 0053 Receipts 20,560 20,971 21,391
0161 TexasSure Fund
3014 Motor Vehicle Registration Fees 5,074 5,074 5,074
Total Estimated Fund 0161 Receipts 5,074 5,074 5,074
0175 Texas Infrastructure Resiliency Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2,912 2,884 2,659
Total Estimated Fund 0175 Receipts 2,912 2,884 2,659
0179 Permanent Fund Supporting Graduate Education
3854 Interest Other – General, Non-Program 11,000 11,000 11,000
Total Estimated Fund 0179 Receipts 11,000 11,000 11,000
0183 Texas Economic Development Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 50 50 50
Total Estimated Fund 0183 Receipts 50 50 50
0184 Transportation Infrastructure Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 51 51 51
Total Estimated Fund 0184 Receipts 51 51 51
0186 Pesticide Disposal Fund
3410 Agriculture Registration Fees 400 400 400
Total Estimated Fund 0186 Receipts 400 400 400
0194 Flood Infrastructure Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 3,323 2,598 1,593
Total Estimated Fund 0194 Receipts 3,323 2,598 1,593
0211 University of Texas Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 26 26 26
Total Estimated Fund 0211 Receipts 26 26 26
0214 Available National Research University Fund
3777 Warrants Voided by Statute of Limitation – Default Fund 3 3 3
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 282 282 282
Total Estimated Fund 0214 Receipts 285 285 285
2022-2023 Biennium 87th Texas Legislature Januar y 2021 77
App.125
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 127 of 272 PageID 349
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0301 Rural Water Assistance Fund
3857 Interest on State Deposits and Treasury Investments, Operating Revenue –
Operating Grants and Contributions $ 54 $ 54 $ 54
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 2,646 2,646 2,570
Total Estimated Fund 0301 Receipts 2,700 2,700 2,624
0302 Water Infrastructure Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1,740 1,444 1,158
3854 Interest Other – General, Non-Program 10,567 10,567 9,603
Total Estimated Fund 0302 Receipts 12,307 12,011 10,761
0303 Assistant Prosecutor Supplement Fund
3858 Bail Bond Surety Fees 3,000 3,000 3,000
Total Estimated Fund 0303 Receipts 3,000 3,000 3,000
0304 Property Tax Relief Fund
3004 Motor Vehicle Sales and Use Tax 25,442 26,393 27,033
3130 Franchise/Business Margins Tax 1,258,600 1,305,100 1,393,800
3275 Cigarette Tax 780,300 676,400 738,900
3278 Cigar and Tobacco Products Tax 18,877 19,062 19,388
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1,509 1,489 1,545
Total Estimated Fund 0304 Receipts 2,084,728 2,028,444 2,180,666
0305 Tax Reduction and Excellence in Education Fund
3102 Limited Sales and Use Tax 830,000 870,000 915,000
Total Estimated Fund 0305 Receipts 830,000 870,000 915,000
0325 Coronavirus Relief Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 17,664 0 0
Total Estimated Fund 0325 Receipts 17,664 0 0
0327 Texas-bred Incentive Fund
3193 Breakage – Horse Racing 1,549 1,400 1,266
3197 Breakage – Greyhound Racing 300 300 300
Total Estimated Fund 0327 Receipts 1,849 1,700 1,566
0328 Jury Service Fund
3704 Court Costs 11,158 12,731 12,169
Total Estimated Fund 0328 Receipts 11,158 12,731 12,169
0356 Economically Distressed Areas Clearance Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 5 5 5
Total Estimated Fund 0356 Receipts 5 5 5
0357 Economically Distressed Areas Clearance Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 4 4 4
Total Estimated Fund 0357 Receipts 4 4 4
78 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.126
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 128 of 272 PageID 350
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0358 Agricultural Water Conservation Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 20 $ 20 $ 20
3857 Interest on State Deposits and Treasury Investments, Operating Revenue –
Operating Grants and Contributions 143 143 143
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 31 31 23
Total Estimated Fund 0358 Receipts 194 194 186
0361 State Water Implementation Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 790 794 797
Total Estimated Fund 0361 Receipts 790 794 797
0364 Permanent Endowment Fund for the Rural Community Health Care Investment
Program
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 122 122 122
Total Estimated Fund 0364 Receipts 122 122 122
0365 Texas Mobility Fund
3012 Motor Vehicle Certificates 150,433 154,946 157,270
3014 Motor Vehicle Registration Fees 2 2 2
3020 Motor Vehicle Inspection Fees 97,752 95,603 96,559
3025 Driver’s License Fees 203,120 193,260 196,159
3027 Driver Record Information Fees 68,436 70,130 70,832
3057 Motor Carrier Act Penalties 3,150 3,290 3,500
3777 Warrants Voided by Statute of Limitation – Default Fund 12 0 0
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 880 817 590
Total Estimated Fund 0365 Receipts 523,785 518,048 524,912
0368 Fund for Veterans’ Assistance
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 2,753 2,753 2,753
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 182 182 182
3922 Transfers to GR Account – Foundation School 0193 from GR Account –
Lottery 5025 (Education) 18,644 17,756 17,756
3963 Transfer to GR Account – State Owned Multicategorical Teaching Hospital
5049 and Unappropriated GR 0001 from GR Account – Lottery 5025 (Other) 2,784 2,651 2,651
Total Estimated Fund 0368 Receipts 24,363 23,342 23,342
0369 Federal American Recovery and Reinvestment Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 138 138 138
Total Estimated Fund 0369 Receipts 138 138 138
0370 Texas Water Development Fund II Clearance Fund
3857 Interest on State Deposits and Treasury Investments, Operating Revenue –
Operating Grants and Contributions 2,000 2,000 2,000
Total Estimated Fund 0370 Receipts 2,000 2,000 2,000
0371 Texas Water Development Fund II
3782 Repayments from Political Subdivisions/Other of Loans/Advances 49,250 30,014 30,014
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
3854 Interest Other – General, Non-Program 600 600 600
2022-2023 Biennium 87th Texas Legislature Januar y 2021 79
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0371 Texas Water Development Fund II (concluded)
3857 Interest on State Deposits and Treasury Investments, Operating Revenue –
Operating Grants and Contributions $ 400 $ 400 $ 400
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 50,000 50,000 50,000
Total Estimated Fund 0371 Receipts 100,251 81,015 81,015
0372 Texas Water Development Fund II Interest and Sinking Fund
3857 Interest on State Deposits and Treasury Investments, Operating Revenue –
Operating Grants and Contributions 50 50 50
Total Estimated Fund 0372 Receipts 50 50 50
0373 Freestanding Emergency Medical Care Facility Licensing Fund
3557 Health Care Facilities Fees 1,013 1,013 1,013
Total Estimated Fund 0373 Receipts 1,013 1,013 1,013
0374 Veterans Financial Assistance Program Fund
3634 Medicare Reimbursements 7,806 7,806 7,806
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 62 62 62
3777 Warrants Voided by Statute of Limitation – Default Fund 20 20 20
3802 Reimbursements – Third Party 10 10 10
3840 Veteran Home/Cemetery Payments from Residents, VA Reimbursements and
Non-Veterans 25,748 25,748 25,748
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 115 115 115
Total Estimated Fund 0374 Receipts 33,761 33,761 33,761
0383 Veterans Housing Program, Tax-Exempt Issues
3307 Repayment of Principal on Veterans Land/Housing Contracts 180,973 180,973 180,973
3308 Interest on Veterans Land/Housing Contracts 48,643 48,643 48,643
3770 Administrative Penalties 6 6 6
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 305 305 305
3861 Gain on Sale of Investments, Obligations, and Securities 7 7 7
Total Estimated Fund 0383 Receipts 229,934 229,934 229,934
0384 Veterans Housing Program, Taxable Issues
3307 Repayment of Principal on Veterans Land/Housing Contracts 63,561 63,561 63,561
3308 Interest on Veterans Land/Housing Contracts 16,223 16,223 16,223
3770 Administrative Penalties 2 2 2
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 27 27 27
3861 Gain on Sale of Investments, Obligations, and Securities 13 13 13
Total Estimated Fund 0384 Receipts 79,826 79,826 79,826
0385 Veterans Land Program, Tax-Exempt Issues
3307 Repayment of Principal on Veterans Land/Housing Contracts 500 500 500
3308 Interest on Veterans Land/Housing Contracts 373 373 373
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 22 22 22
Total Estimated Fund 0385 Receipts 895 895 895
0388 Texas College Student Loan Bonds Interest and Sinking Fund
3517 Repayment of College Student Loans 162,140 170,247 178,759
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1,570 1,570 1,570
Total Estimated Fund 0388 Receipts 163,710 171,817 180,329
80 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.128
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0480 Water Assistance Fund
3767 Supplies/Equipment/Services – Federal/Other $ 240 $ 240 $ 240
Total Estimated Fund 0480 Receipts 240 240 240
0482 Storage Acquisition Fund
3854 Interest Other – General, Non-Program 23 23 23
Total Estimated Fund 0482 Receipts 23 23 23
0493 Endowment Fund for the Blind
3740 Gifts/Grants/Donations – Non-Operating Revenue/Program Revenue –
Operating Grants and Contributions 8 8 8
Total Estimated Fund 0493 Receipts 8 8 8
0522 Veterans Land Program Administration Fund
3802 Reimbursements – Third Party 1 1 1
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 29 32 34
Total Estimated Fund 0522 Receipts 30 33 35
0529 Veterans Housing Assistance Series 1984A Fund
3307 Repayment of Principal on Veterans Land/Housing Contracts 14,302 14,302 14,302
3308 Interest on Veterans Land/Housing Contracts 2,774 2,774 2,774
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 9 9 9
3861 Gain on Sale of Investments, Obligations, and Securities 1,318 1,318 1,318
Total Estimated Fund 0529 Receipts 18,403 18,403 18,403
0571 Veterans Land Bond Series 1986 Refunding Fund
3305 Veterans Land Board Service Fees 502 502 502
3307 Repayment of Principal on Veterans Land/Housing Contracts (20,260) (20,260) (20,260)
3308 Interest on Veterans Land/Housing Contracts 23,500 23,500 23,500
3770 Administrative Penalties 20 20 20
3777 Warrants Voided by Statute of Limitation – Default Fund 50 50 50
3802 Reimbursements – Third Party 37 37 37
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 34 34 34
3861 Gain on Sale of Investments, Obligations, and Securities 364 364 364
3879 Credit Card and Electronic Services Related Fees 4 4 4
Total Estimated Fund 0571 Receipts 4,251 4,251 4,251
0573 Judicial Fund
3014 Motor Vehicle Registration Fees 9 9 9
3195 Additional Legal Services Fee 2,280 2,280 2,280
3704 Court Costs 52,497 47,055 42,176
3709 District Court Suit Filing Fee 13,070 13,070 13,070
3711 Judicial Fees 1,090 1,090 1,090
3717 Civil Penalties 8,842 8,842 8,842
3719 Fees for Copies or Filing of Records 1 1 1
Total Estimated Fund 0573 Receipts 77,789 72,347 67,468
0577 Tax and Revenue Anticipation Note Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 295,182 471,470 471,470
Total Estimated Fund 0577 Receipts 295,182 471,470 471,470
2022-2023 Biennium 87th Texas Legislature Januar y 2021 81
App.129
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Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
0588 Small Business Incubator Fund
3782 Repayments from Political Subdivisions/Other of Loans/Advances $ 164 $ 164 $ 164
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 84 73 83
3875 Interest Income, Other Operating Revenue – Operating Grants and
Contributions 86 89 82
Total Estimated Fund 0588 Receipts 334 326 329
0589 Texas Product Development Fund
3782 Repayments from Political Subdivisions/Other of Loans/Advances 1,148 1,148 1,148
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 46 49 51
Total Estimated Fund 0589 Receipts 1,194 1,197 1,199
0590 Veterans Housing Assistance Bonds Series 1992 Fund
3307 Repayment of Principal on Veterans Land/Housing Contracts 19,982 19,982 19,982
3308 Interest on Veterans Land/Housing Contracts 4,924 4,924 4,924
3770 Administrative Penalties 1 1 1
3777 Warrants Voided by Statute of Limitation – Default Fund 1 1 1
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 21 21 21
3861 Gain on Sale of Investments, Obligations, and Securities 28 28 28
Total Estimated Fund 0590 Receipts 24,957 24,957 24,957
0599 Economic Stabilization Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 20,503 16,886 12,142
Total Estimated Fund 0599 Receipts 20,503 16,886 12,142
0626 Veterans Bonds Activity Series 1989 Fund
3307 Repayment of Principal on Veterans Land/Housing Contracts 250 200 180
3308 Interest on Veterans Land/Housing Contracts 50 40 30
Total Estimated Fund 0626 Receipts 300 240 210
0683 Texas Agricultural Fund
3042 Motor Vehicle Assessment – Young Farmer Program 595 595 595
3401 Repayment of Financial Assistance Loans/Agricultural Products 140 140 140
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 90 90 90
3855 Interest on Investments, Obligations and Securities – General, Non-Program 45 45 45
Total Estimated Fund 0683 Receipts 870 870 870
0733 T.P.F.A. Series B Master Lease Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 23 23 23
Total Estimated Fund 0733 Receipts 23 23 23
0735 T.P.F.A. Series B Master Lease Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 6 4 4
Total Estimated Fund 0735 Receipts 6 4 4
0827 Anthropogenic Carbon Dioxide Storage Trust Fund
3366 Business Fees – Natural Resources 20 0 0
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 0827 Receipts 21 1 1
7048 T.P.F.A. G.O. Series 2010 Refunding Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 0
Total Estimated Fund 7048 Receipts 1 1 0
82 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.130
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 132 of 272 PageID 354
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
7049 T.P.F.A. G.O. Series 2011 Refunding Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 2 $ 2 $ 2
Total Estimated Fund 7049 Receipts 2 2 2
7051 T.P.F.A. G.O. Taxable Series 2011 Refunding Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7051 Receipts 1 1 1
7056 T.P.F.A. G.O. Series 2014A Refunding Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7056 Receipts 1 1 1
7058 T.P.F.A. G.O. Taxable Series 2014B Refunding Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7058 Receipts 1 1 1
7059 T.P.F.A. G.O. Series 2015A Refunding Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7059 Receipts 1 1 1
7061 T.P.F.A. G.O. and Refunding Bonds (CPRIT), Series 2015C, Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 2 2
Total Estimated Fund 7061 Receipts 2 2 2
7063 T.P.F.A. G.O. Refunding Bonds, Series 2016, Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 0 0
Total Estimated Fund 7063 Receipts 1 0 0
7067 T.P.F.A. G.O. and Refunding Bonds (CPRIT),Series 2017, Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 2 2
Total Estimated Fund 7067 Receipts 2 2 2
7069 T.P.F.A. G.O. Refunding Bonds, Series 2017A, Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7069 Receipts 1 1 1
7073 T.P.F.A. G.O. Refunding Bonds Taxable Series 2018 CPRIT Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 2 2
Total Estimated Fund 7073 Receipts 2 2 2
7075 T.P.F.A. G.O. Refunding Bonds, Series 2018A, Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 2 2
Total Estimated Fund 7075 Receipts 1 2 2
7077 T.P.F.A. G.O. and Refunding Bonds, Taxable Series 2020, Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 2 2
Total Estimated Fund 7077 Receipts 2 2 2
7209 T.P.F.A. G.O. Series 2008A Refunding DPS Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 0 0
Total Estimated Fund 7209 Receipts 2 0 0
2022-2023 Biennium 87th Texas Legislature Januar y 2021 83
App.131
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 133 of 272 PageID 355
Texas Biennial Reve nue Estimate
Schedule I (continued)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (continued)
7211 T.P.F.A. G.O. Series 2009B DPS Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 5 $ 0 $ 0
Total Estimated Fund 7211 Receipts 5 0 0
7213 T.P.F.A. G.O. Series 2009B THC Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 6 0 0
Total Estimated Fund 7213 Receipts 6 0 0
7217 T.P.F.A. G.O. Series 2011 Refunding TFC Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 0 0
Total Estimated Fund 7217 Receipts 1 0 0
7352 T.P.F.A. Revenue Commercial Paper Series 2016 A&B TFC Interest and Sinking Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7352 Receipts 1 1 1
7356 T.P.F.A. Lease Revenue and Refunding (TFC Project) Tax-Exempt Interest and Sinking
Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 1 1
Total Estimated Fund 7356 Receipts 1 1 1
7516 T.P.F.A. Lease Revenue and Refunding (TFC Project) Tax-Exempt Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 720 374 204
Total Estimated Fund 7516 Receipts 720 374 204
7604 T.P.F.A. G.O. Commercial Paper Series 2002B Colonias Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 3 0 0
Total Estimated Fund 7604 Receipts 3 0 0
7629 T.P.F.A. G.O. Commercial Paper Series 2008 DPS Project 1A Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 45 32 8
Total Estimated Fund 7629 Receipts 45 32 8
7639 T.P.F.A. Cancer Prevention and Research Institute of Texas Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 727 869 788
Total Estimated Fund 7639 Receipts 727 869 788
7647 T.P.F.A. G.O. Commercial Paper Series 2008 TPWD Project 1B Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 0 0
Total Estimated Fund 7647 Receipts 1 0 0
7650 T.P.F.A. G.O. Commercial Paper Series 2008 THC Project 1C Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 1 0 0
Total Estimated Fund 7650 Receipts 1 0 0
7651 T.P.F.A. G.O. Commercial Paper Series 2008 DSHS Project 1C Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 3 0 0
Total Estimated Fund 7651 Receipts 3 0 0
7652 T.P.F.A. G.O. Commercial Paper Series 2008 TFC Project 1C Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 0 0
Total Estimated Fund 7652 Receipts 2 0 0
84 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.132
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 134 of 272 PageID 356
Texas Biennial Reve nue Estimate
Schedule I (concluded)
Estimate of Revenue by Source, Fund, Account and Object
(Thousands of Dollars)
Fund Fiscal Year
No. 2021 2022 2023
SOURCE: OTHER FUNDS (concluded)
7654 T.P.F.A. G.O. Commercial Paper Series 2008 TPWD Project 1C Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program $ 11 $ 2 $ 0
Total Estimated Fund 7654 Receipts 11 2 0
7656 T.P.F.A. G.O. Commercial Paper Series 2008 DPS Project 1C Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 5 0 0
Total Estimated Fund 7656 Receipts 5 0 0
7657 T.P.F.A. G.O. Commercial Paper Series 2008 TFC Project 1D Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 2 0 0
Total Estimated Fund 7657 Receipts 2 0 0
7658 T.P.F.A. G.O. Commercial Paper Series 2008 DADS Project 1C Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 7 4 0
Total Estimated Fund 7658 Receipts 7 4 0
7659 T.P.F.A. G.O. Commercial Paper Series 2008 TPWD Project 1D Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 11 3 0
Total Estimated Fund 7659 Receipts 11 3 0
7660 T.P.F.A. G.O. Commercial Paper Series 2008 DSHS Project 1D Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 4 1 0
Total Estimated Fund 7660 Receipts 4 1 0
7800 T.P.F.A. Revenue Commercial Paper Series 2016 A&B TFC Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 26 0 0
Total Estimated Fund 7800 Receipts 26 0 0
7802 T.P.F.A. Revenue Commercial Paper Series 2019A (HHSC Deferred Maintenance)
Project Fund
3851 Interest on State Deposits and Treasury Investments – General, Non-Program 38 111 191
Total Estimated Fund 7802 Receipts 38 111 191
Total Estimated Other Funds $ 19,167,879 $ 20,301,276 $ 18,906,666
Total Estimated All Funds $ 147,841,118 $ 137,295,579 $ 133,171,181
2022-2023 Biennium 87th Texas Legislature Januar y 2021 85
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Texas Biennial Reve nue Estimate
Schedule II
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS
0001 0001 General Revenue Fund $ (160,062) $ 96,941,713 $ (26,494,330) $ 75,114,003 $ (4,826,682)
0001 0009 GR Account – Game, Fish, and Water Safety 127,199 209,242 (5,883) 191,328 139,230
0001 0019 GR Account – Vital Statistics 19,066 17,300 (565) 17,282 18,519
0001 0027 GR Account – Coastal Protection 10,636 18,475 (1,677) 12,886 14,548
0001 0028 GR Account – Appraiser Registry 1 166 0 166 1
0001 0036 GR Account – Texas Department of Insurance Operating 177,782 39,735 130,000 187,000 160,517
0001 0064 GR Account – State Parks 66,168 61,722 88,413 147,255 69,048
0001 0088 GR Account – Low-Level Radioactive Waste 23,749 700 (348) 1,506 22,595
0001 0099 GR Account – Operators and Chauffeurs License 403 0 0 0 403
0001 0107 GR Account – Comprehensive Rehabilitation 1,642 0 0 0 1,642
0001 0108 GR Account – Private Beauty Culture School Tuition Protection 202 0 0 0 202
0001 0116 GR Account – Texas Commission on Law Enforcement 10,094 7,185 (18) 11,290 5,971
0001 0129 GR Account – Hospital Licensing 26,410 2,542 0 2,715 26,237
0001 0151 GR Account – Clean Air 289,985 79,486 (8,907) 48,322 312,242
0001 0153 GR Account – Water Resource Management 66,312 103,055 (2,052) 98,889 68,426
0001 0158 GR Account – Watermaster Administration 2,230 2,656 (19) 2,163 2,704
0001 0165 GR Account – Unemployment Compensation Special
Administration 27,939 16,436 12,342 33,819 22,898
0001 0225 GR Account – University of Houston Current 104,481 78,456 (2,015) 17,083 163,839
0001 0227 GR Account – Angelo State University Current 2,891 11,188 (334) 10,865 2,880
0001 0228 GR Account – University of Texas at Tyler Current 9,761 13,442 (400) 11,307 11,496
0001 0229 GR Account – University of Houston – Clear Lake Current 10,852 12,713 (426) 14,798 8,341
0001 0230 GR Account – Texas A&M University – Corpus Christi Current 11,943 16,603 (450) 16,691 11,405
0001 0231 GR Account – Texas A&M International University Current 13,333 11,286 (594) 9,348 14,677
0001 0232 GR Account – Texas A&M University – Texarkana Current 2,343 1,940 (138) 3,375 770
0001 0233 GR Account – University of Houston – Victoria Current 841 5,248 (199) 5,666 224
0001 0236 GR Account – University of Texas System Cancer Center
Current 1,178 740 (475) 475 968
0001 0237 GR Account – Texas State Technical College System Current 8,784 5,515 (242) 4,410 9,647
0001 0238 GR Account – University of Texas at Dallas Current 20,800 52,093 (1,620) 57,851 13,422
0001 0239 GR Account – Texas Tech University Health Sciences Center
Current 17,943 16,701 (512) 16,259 17,873
0001 0242 GR Account – Texas A&M University Current 6,641 112,482 (2,985) 116,138 0
0001 0243 GR Account – Tarleton State University Current 3,076 16,461 (613) 17,522 1,402
0001 0244 GR Account – University of Texas at Arlington Current 24,870 66,962 (1,875) 69,732 20,225
0001 0245 GR Account – Prairie View A&M University Current 17,574 14,989 (773) 17,126 14,664
0001 0246 GR Account – University of Texas Medical Branch at Galveston
Current 0 10,549 0 10,549 0
0001 0247 GR Account – Texas Southern University Current 17,029 24,625 (919) 24,601 16,134
0001 0248 GR Account – University of Texas at Austin Current 122,365 113,667 (1,300) 131,700 103,032
0001 0249 GR Account – University of Texas at San Antonio Current 12,970 43,919 (1,387) 45,587 9,915
0001 0250 GR Account – University of Texas at El Paso Current 4,337 31,223 (845) 31,938 2,777
0001 0251 GR Account – University of Texas of the Permian Basin Current 13,500 8,223 (188) 7,258 14,277
0001 0252 GR Account – University of Texas Southwestern Medical
Center Current 24,764 6,631 (201) 4,785 26,409
0001 0253 GR Account – Texas Woman’s University Current 4,949 20,988 (704) 21,339 3,894
0001 0254 GR Account – Texas A&M University – Kingsville Current 8,708 12,714 (508) 16,923 3,991
0001 0255 GR Account – Texas Tech University Current 15,396 58,372 (1,800) 54,943 17,025
0001 0256 GR Account – Lamar University Current 6,485 17,038 (810) 16,978 5,735
0001 0257 GR Account – Texas A&M University – Commerce Current 3,681 15,840 (340) 17,507 1,674
0001 0258 GR Account – University of North Texas Current 10,406 47,802 (1,745) 50,000 6,463
0001 0259 GR Account – Sam Houston State University Current 21,040 27,299 (718) 24,799 22,822
0001 0260 GR Account – Texas State University Current 20,061 43,772 (1,623) 42,037 20,173
0001 0261 GR Account – Stephen F. Austin State University Current 2,068 15,744 (450) 16,925 437
86 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 136 of 272 PageID 358
Texas Biennial Reve nue Estimate
Schedule II (continued)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS (continued)
0001 0262 GR Account – Sul Ross State University Current $ 1,845 $ 1,679 $ (139) $ 1,690 $ 1,695
0001 0263 GR Account – West Texas A&M University Current 1,614 12,743 (600) 13,393 364
0001 0264 GR Account – Midwestern State University Current 3,326 5,339 (149) 6,734 1,782
0001 0268 GR Account – University of Houston Downtown Current 999 17,426 (589) 17,835 1
0001 0271 GR Account – University of Texas Health Science Center at
Houston Current 42,402 23,991 (1,853) 22,416 42,124
0001 0275 GR Account – Texas A&M University at Galveston Current 1,231 3,070 (142) 3,377 782
0001 0279 GR Account – University of Texas Health Science Center at
San Antonio Current 8,464 12,086 (460) 15,875 4,215
0001 0280 GR Account – University of North Texas Health Science Center
at Fort Worth Current 5,126 10,117 (478) 10,170 4,595
0001 0282 GR Account – University of Texas Health Center at Tyler
Current 0 387 (120) 267 0
0001 0285 GR Account – Lamar State College Orange Current 1,922 1,969 (64) 850 2,977
0001 0286 GR Account – Lamar State College Port Arthur Current 2,488 1,853 (98) 1,798 2,445
0001 0287 GR Account – Lamar Institute of Technology Current 1,742 2,102 (149) 2,180 1,515
0001 0289 GR Account – Texas A&M University System Health Science
Center Current 15,453 16,856 (382) 14,480 17,447
0001 0290 GR Account – Texas A&M University – San Antonio Current 9,521 6,854 (438) 7,612 8,325
0001 0291 GR Account – Texas A&M University – Central Texas Current 1,618 2,412 (78) 2,374 1,578
0001 0292 GR Account – University of North Texas – Dallas Current 4,401 7,113 (490) 7,098 3,926
0001 0293 GR Account – University of Texas – Rio Grande Valley Current 29,210 34,991 (650) 38,741 24,810
0001 0294 GR Account – Texas Tech University Health Sciences Center
El Paso Current 6,376 3,019 (88) 5,418 3,889
0001 0334 GR Account – Commission on the Arts Operating 0 152 0 152 0
0001 0341 GR Account – Food and Drug Retail Fee 15,965 2,621 (469) 1,784 16,333
0001 0412 GR Account – Midwestern State University Special Mineral 0 2 0 2 0
0001 0450 GR Account – Coastal Public Lands Management Fee 764 312 (9) 280 787
0001 0453 GR Account – Disaster Contingency 373 0 0 0 373
0001 0467 GR Account – Texas Recreation and Parks 27,476 5,332 10,172 18,414 24,566
0001 0468 GR Account – Texas Commission on Environmental Quality
Occupational Licensing 10,351 2,537 (93) 2,165 10,630
0001 0472 GR Account – Inaugural 100 0 0 0 100
0001 0492 GR Account – Business Enterprise Program 258 1,476 (1) 1,666 67
0001 0501 GR Account – Motorcycle Education 17,222 1,412 (2) 1,035 17,597
0001 0506 GR Account – Non-Game and Endangered Species Conservation 1,602 36 0 57 1,581
0001 0507 GR Account – State Lease 8,362 0 0 0 8,362
0001 0512 GR Account – Bureau of Emergency Management 5,300 2,639 (366) 2,486 5,087
0001 0524 GR Account – Public Health Services Fees 5,726 24,667 (1,490) 23,086 5,817
0001 0543 GR Account – Texas Capital Trust 4,085 3,802 (1,940) 4,583 1,364
0001 0544 GR Account – Lifetime License Endowment 27,878 1,513 0 286 29,105
0001 0549 GR Account – Waste Management 25,439 42,954 (1,595) 41,400 25,398
0001 0550 GR Account – Hazardous and Solid Waste Remediation Fees 34,193 29,921 (2,329) 32,961 28,824
0001 0570 GR Account – Federal Surplus Property Service Charge 6,539 2,153 (399) 1,666 6,627
0001 0581 GR Account – Bill Blackwood Law Enforcement Management
Institute 1,653 2,779 (74) 3,308 1,050
0001 0597 GR Account – Texas Racing Commission 1,398 5,193 (188) 4,294 2,109
0001 0655 GR Account – Petroleum Storage Tank Remediation 103,633 20,883 (1,828) 27,609 95,079
0001 0664 GR Account – Texas Preservation Trust 756 249 500 249 1,256
0001 0679 GR Account – Artificial Reef 14,150 870 (1) 480 14,539
0001 5000 GR Account – Solid Waste Disposal Fees 117,026 11,493 (40) 5,533 122,946
0001 5003 GR Account – Hotel Occupancy Tax for Economic Development 98,946 0 0 0 98,946
0001 5004 GR Account – Parks and Wildlife Conservation and Capital 59,124 0 46,086 46,086 59,124
0001 5005 GR Account – Oil Overcharge 81,507 11,684 (3,374) 13,796 76,021
2022-2023 Biennium 87th Texas Legislature Januar y 2021 87
App.135
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 137 of 272 PageID 359
Texas Biennial Reve nue Estimate
Schedule II (continued)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS (continued)
0001 5006 GR Account – Attorney General Law Enforcement $ 3,693 $ 866 $ 1,189 $ 2,355 $ 3,393
0001 5007 GR Account – Commission on State Emergency
Communications 49,883 23,110 (3,525) 14,953 54,515
0001 5008 GR Account – Inaugural Endowment 84 0 0 0 84
0001 5009 GR Account – Children with Special Healthcare Needs 391 0 0 0 391
0001 5010 GR Account – Sexual Assault Program 36,361 13,948 (310) 21,215 28,784
0001 5012 GR Account – Crime Stoppers Assistance 988 473 (10) 456 995
0001 5013 GR Account – Breath Alcohol Testing 9,806 738 (1) 1,513 9,030
0001 5017 GR Account – Asbestos Removal Licensure 28,001 3,769 (95) 3,812 27,863
0001 5018 GR Account – Home Health Services 17,241 8,091 (16) 7,333 17,983
0001 5020 GR Account – Workplace Chemicals List 1,260 1,218 (45) 1,127 1,306
0001 5021 GR Account – Certification of Mammography Systems 3,943 1,341 (70) 1,504 3,710
0001 5022 GR Account – Oyster Sales 720 291 (17) 108 886
0001 5024 GR Account – Food and Drug Registration 39,831 10,254 (621) 9,090 40,374
0001 5025 GR Account – Lottery 141,921 2,464,026 (1,718,823) 796,145 90,979
0001 5029 GR Account – Center for Study and Prevention of Juvenile
Crime and Delinquency 8,329 1,615 (44) 1,957 7,943
0001 5031 GR Account – Excess Benefit Arrangement, Teacher Retirement
System 283 0 0 0 283
0001 5039 GR Account – Excess Benefit Arrangement, Employees
Retirement System 246 0 0 0 246
0001 5040 GR Account – Tobacco Settlement 70,381 456,900 (2,911) 407,705 116,665
0001 5049 GR Account – State Owned Multicategorical Teaching Hospital 5,367 0 439 439 5,367
0001 5050 GR Account – 9-1-1 Service Fees 86,234 6,025 26,211 73,000 45,470
0001 5051 GR Account – Go Texan Partner Program 81 0 0 0 81
0001 5059 GR Account – Peace Officer Flag 9 7 0 0 16
0001 5060 GR Account – Private Sector Prison Industries 1,000 0 0 0 1,000
0001 5064 GR Account – Volunteer Fire Department Assistance 64,771 22,626 (570) 25,118 61,709
0001 5065 GR Account – Environmental Testing Laboratory Accreditation 991 831 2 906 918
0001 5066 GR Account – Rural Volunteer Fire Department Insurance 4,866 0 2,115 1,899 5,082
0001 5071 GR Account – Emissions Reduction Plan 1,952,168 101,490 136,602 97,972 2,092,288
0001 5073 GR Account – Fair Defense 38,860 37,019 6,211 50,051 32,039
0001 5080 GR Account – Quality Assurance 3,726 60,057 11,300 60,000 15,083
0001 5081 GR Account – Barber School Tuition Protection 25 0 0 0 25
0001 5083 GR Account – Correctional Management Institute and Criminal
Justice Center 1,757 1,612 (58) 1,482 1,829
0001 5085 GR Account – Child Abuse Neglect and Prevention Trust 4,160 3,500 (5,686) 0 1,974
0001 5093 GR Account – Dry Cleaning Facility Release 22,583 3,164 (20) 3,891 21,836
0001 5094 GR Account – Operating Permit Fees 16,572 39,425 (3,980) 40,433 11,584
0001 5096 GR Account – Perpetual Care 7,553 424 0 0 7,977
0001 5101 GR Account – Subsequent Injury 84,518 11,398 0 9,680 86,236
0001 5103 GR Account – Texas B-On-Time Student Loan 137,959 0 0 0 137,959
0001 5105 GR Account – Public Assurance 2,644 3,599 0 4,033 2,210
0001 5106 GR Account – Economic Development Bank 13,083 1,128 (3,578) 557 10,076
0001 5107 GR Account – Texas Enterprise 259,980 2,181 (18,600) 0 243,561
0001 5108 GR Account – EMS, Trauma Facilities, Trauma Care Systems 22,012 2,211 (3) 2,398 21,822
0001 5111 GR Account – Designated Trauma Facility and EMS 59,796 107,900 (46,307) 19,279 102,110
0001 5125 GR Account – Childhood Immunization 221 68 0 46 243
0001 5128 GR Account – Employment and Training Investment Holding 374,872 112,988 (487,473) 386 1
0001 5136 GR Account – Cancer Prevention and Research 848 40 0 40 848
0001 5138 GR Account – Fire Prevention and Public Safety 49 0 0 0 49
0001 5139 GR Account – Historic Site 1,677 845 12,033 12,879 1,676
0001 5143 GR Account – Jobs and Education For Texans (JET) 1,149 0 0 0 1,149
0001 5144 GR Account – Physician Education Loan Repayment Program 82,631 0 0 14,947 67,684
88 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.136
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 138 of 272 PageID 360
Texas Biennial Reve nue Estimate
Schedule II (continued)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS (concluded)
0001 5150 GR Account – Large County and Municipal Recreation and
Parks $ 17,176 $ 0 $ 0 $ 0 $ 17,176
0001 5151 GR Account – Low-Level Radioactive Waste Disposal Compact
Commission 331 0 325 325 331
0001 5152 GR Account – Alamo Complex 5,084 1,574 (15) 4,068 2,575
0001 5153 GR Account – Emergency Radio Infrastructure 25,682 6,942 (64) 4,493 28,067
0001 5155 GR Account – Oil and Gas Regulation and Cleanup 139,225 73,614 865 88,571 125,133
0001 5157 GR Account – Statewide Electronic Filing System 20,777 25,174 0 20,774 25,177
0001 5158 GR Account – Environmental Radiation and Perpetual Care 6,816 1,545 0 4,739 3,622
0001 5161 GR Account – Governor’s University Research Initiative 67,686 1,707 (16,925) 38 52,430
0001 5164 GR Account – Truancy Prevention and Diversion 15,057 4,935 0 3,097 16,895
0001 5166 GR Account – Deferred Maintenance 66,131 0 (1,512) 64,619 0
0001 5168 GR Account – Cancer Prevention and Research Interest and
Sinking 1,479 350 0 0 1,829
0001 5169 GR Account – Veterans Recovery 1 0 0 0 1
0001 5170 GR Account – Evidence Testing 1,728 800 224 1,100 1,652
0001 5172 GR Account – Prisoner Safety 644 0 0 0 644
0001 5173 GR Account – Texas Forensic Science Commission 133 159 4 153 143
0001 5174 GR Account – Drug Court 2,400 0 0 2,000 400
0001 5177 GR Account – Identification Fee Exemption 144 1,200 0 0 1,344
0001 5178 GR Account – State Hemp Program 358 724 0 0 1,082
0001 5184 GR Account – Specialty Court 1,017 1,806 0 0 2,823
0001 5185 GR Account – DNA Testing 60 243 0 299 4
0001 5186 GR Account – Transportation Administrative Fee 1,873 7,549 0 7,549 1,873
0010 0000 Texas Department of Motor Vehicles Fund 160,705 160,722 (34,243) 101,028 186,156
0053 0000 Charter District Bond Guarantee Reserve Fund 0 20,560 (20,163) 0 397
0161 0000 TexasSure Fund 6,707 5,074 (24) 3,470 8,287
0175 0000 Texas Infrastructure Resiliency Fund 647,134 2,912 (50) 9,188 640,808
0179 0000 Permanent Fund Supporting Graduate Education 0 11,000 0 11,000 0
0183 0000 Texas Economic Development Fund 5,933 50 0 1,000 4,983
0184 0000 Transportation Infrastructure Fund 10,321 51 0 0 10,372
0186 0000 Pesticide Disposal Fund 0 400 400 400 400
0210 0000 Permanent Fund Supporting Military and Veterans Exemptions 1,584 0 0 0 1,584
0303 0000 Assistant Prosecutor Supplement Fund 0 3,000 0 3,000 0
0304 0000 Property Tax Relief Fund 0 2,084,728 0 2,084,728 0
0305 0000 Tax Reduction and Excellence in Education Fund 0 830,000 (830,000) 0 0
0326 0000 Charter School Liquidation Fund 2,085 0 1,999 2,000 2,084
0327 0000 Texas-bred Incentive Fund 237 1,849 0 1,849 237
0328 0000 Jury Service Fund 0 11,158 0 11,158 0
0329 0000 Healthy Texas Small Employer Premium Stabilization Fund 47,827 0 0 0 47,827
0368 0000 Fund for Veterans’ Assistance 41,157 2,965 19,045 19,868 43,299
0373 0000 Freestanding Emergency Medical Care Facility Licensing Fund 9,445 1,013 0 0 10,458
0827 0000 Anthropogenic Carbon Dioxide Storage Trust Fund 63 21 0 0 84
Total Group 1 $ 7,014,914 $ 105,543,328 $ (29,251,435) $ 81,320,048 $ 1,986,759
GROUP 02: CONSTITUTIONAL FUNDS
0001 0469 GR Account – Compensation to Victims of Crime 43,689 96,284 (1,864) 119,633 18,476
0001 0494 GR Account – Compensation to Victims of Crime Auxiliary 8,250 545 (1,495) 708 6,592
0001 5114 GR Account – Texas Military Value Revolving Loan 69 2,139 (2,138) 0 70
0002 0000 Available School Fund 13,458 867 2,570,153 2,549,478 35,000
0003 0000 State Technology and Instructional Materials Fund 666,415 1,856 0 376,382 291,889
0006 0000 State Highway Fund 7,345,368 7,930,048 5,141,506 12,884,000 7,532,922
0008 0000 State Highway Debt Service Fund 211,840 38,094 279,100 433,728 95,306
0011 0000 Available University Fund 864,798 1,173,292 1,163,124 793,487 2,407,727
2022-2023 Biennium 87th Texas Legislature Januar y 2021 89
App.137
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 139 of 272 PageID 361
Texas Biennial Reve nue Estimate
Schedule II (continued)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 02: CONSTITUTIONAL FUNDS (continued)
0047 0000 Texas A&M University Available Fund $ 557,981 $ 2,819 $ 278,160 $ 261,351 $ 577,609
0057 0000 County and Road District Highway Fund 0 0 7,300 7,300 0
0194 0000 Flood Infrastructure Fund 797,213 3,323 0 386,705 413,831
0211 0000 University of Texas Interest and Sinking Fund 0 26 265,170 265,170 26
0214 0000 Available National Research University Fund 50,210 285 24,758 28,325 46,928
0356 0000 Economically Distressed Areas Clearance Fund 657 5 (20) 20 622
0357 0000 Economically Distressed Areas Clearance Interest and Sinking
Fund 9 4 21,965 21,965 13
0358 0000 Agricultural Water Conservation Fund 6,828 194 381 1,200 6,203
0361 0000 State Water Implementation Fund 175,604 790 (60,636) 0 115,758
0365 0000 Texas Mobility Fund 358,700 545,730 (92,552) 489,157 322,721
0370 0000 Texas Water Development Fund II Clearance Fund 91,113 2,000 (2,000) 2,000 89,113
0371 0000 Texas Water Development Fund II 66,243 100,251 (50,000) 50,000 66,494
0372 0000 Texas Water Development Fund II Interest and Sinking Fund 27 50 50,000 50,000 77
0383 0000 Veterans Housing Program, Tax-Exempt Issues 138,303 229,934 (32,828) 213,503 121,906
0384 0000 Veterans Housing Program, Taxable Issues 10,058 79,826 (8,503) 63,030 18,351
0385 0000 Veterans Land Program, Tax-Exempt Issues 355 895 (349) 901 0
0387 0000 Texas Opportunity Plan Fund 77,911 0 14,918 54 92,775
0388 0000 Texas College Student Loan Bonds Interest and Sinking Fund 116,894 163,710 (84,000) 36,000 160,604
0480 0000 Water Assistance Fund 5,100 240 (690) 338 4,312
0482 0000 Storage Acquisition Fund 0 23 (23) 0 0
0483 0000 Research and Planning Fund 2,574 0 5,090 4,727 2,937
0522 0000 Veterans Land Program Administration Fund 6,532 30 22,925 22,443 7,044
0529 0000 Veterans Housing Assistance Series 1984A Fund 2,985 18,403 6,280 24,056 3,612
0571 0000 Veterans Land Bond Series 1986 Refunding Fund 5,262 4,251 (9,513) 0 0
0588 0000 Small Business Incubator Fund 21,110 334 (5) 2,690 18,749
0589 0000 Texas Product Development Fund 9,632 1,194 (195) 389 10,242
0590 0000 Veterans Housing Assistance Bonds Series 1992 Fund 8,715 24,957 (430) 10,000 23,242
0599 0000 Economic Stabilization Fund 5,895,954 20,503 833,688 2,263,014 4,487,131
0601 0000 Student Loan Auxiliary Fund 123,635 0 86,440 148,000 62,075
0626 0000 Veterans Bonds Activity Series 1989 Fund 410 300 0 0 710
0683 0000 Texas Agricultural Fund 17,600 870 0 (1,063) 19,533
7013 0000 TPFA GO Series 2002A Interest and Sinking Fund 17 0 0 0 17
7020 0000 TPFA GO Commercial Paper Series 2002B Colonias Rebate
Fund 158 0 0 0 158
7030 0000 TPFA GO Series 2007 TDJC and TFC Interest and Sinking
Fund 1 0 0 0 1
7033 0000 TPFA GO Commercial Paper Series 2008 Interest and Sinking
Fund 0 0 5,656 5,656 0
7039 0000 TPFA GO Series 2008A Refunding Interest and Sinking Fund 1 0 0 0 1
7040 0000 TPFA GO Series 2009B Interest and Sinking Fund 8 0 0 0 8
7042 0000 TPFA GO Commercial Paper Series A&B Cancer Project
Interest and Sinking Fund 1,194 0 1,500 1,500 1,194
7045 0000 TPFA GO Series 2009A Refunding Interest and Sinking Fund 13 0 0 0 13
7048 0000 TPFA GO Series 2010 Refunding Interest and Sinking Fund 0 1 10,780 10,780 1
7049 0000 TPFA GO Series 2011 Refunding Interest and Sinking Fund 1 2 32,503 32,503 3
7051 0000 TPFA GO Taxable Series 2011 Refunding Interest and Sinking
Fund 1 1 16,132 16,132 2
7053 0000 TPFA GO Series 2013 Refunding Interest and Sinking Fund 0 0 4,662 4,662 0
7056 0000 TPFA GO Series 2014A Refunding Interest and Sinking Fund 1 1 22,746 22,746 2
7058 0000 TPFA GO Taxable Series 2014B Refunding Interest and Sinking
Fund 1 1 18,058 18,058 2
7059 0000 TPFA GO Series 2015A Refunding Interest and Sinking Fund 0 1 19,339 19,339 1
90 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.138
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 140 of 272 PageID 362
Texas Biennial Reve nue Estimate
Schedule II (continued)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 02: CONSTITUTIONAL FUNDS (continued)
7061 0000 TPFA GO and Refunding Bonds (CPRIT), Series 2015C,
Interest and Sinking Fund $ 1 $ 2 $ 27,640 $ 27,640 $ 3
7063 0000 TPFA GO Refunding Bonds, Series 2016, Interest and Sinking
Fund 1 1 22,525 22,525 2
7065 0000 TPFA GO Refunding Bonds, (TMPC) Series 2016, Interest and
Sinking Fund 1 0 2,138 2,138 1
7067 0000 TPFA GO and Refunding Bonds (CPRIT), Series 2017, Interest
and Sinking Fund 1 2 29,012 29,012 3
7069 0000 TPFA GO Refunding Bonds, Series 2017A, Interest and Sinking
Fund 1 1 12,621 12,621 2
7071 0000 TPFA GO Refunding Bonds, Series 2017B, Interest and Sinking
Fund 0 0 2,796 2,796 0
7073 0000 TPFA GO Refunding Bonds Taxable Series 2018 CPRIT Interest
and Sinking Fund 1 2 25,396 25,396 3
7075 0000 TPFA GO Refunding Bonds, Series 2018A, Interest and Sinking
Fund 1 1 12,394 12,394 2
7077 0000 TPFA GO and Refunding Bonds, Taxable Series 2020, Interest
and Sinking Fund 0 2 30,186 30,186 2
7078 0000 TPFA GO and Refunding Bonds, Taxable Series 2020, Cost of
Issuance Fund 49 0 0 0 49
7201 0000 TPFA GO Commercial Paper Series 2002A TDH Project A
Fund 6 0 0 0 6
7207 0000 TPFA GO Series 2007 TFC Project Fund 67 0 0 0 67
7209 0000 TPFA GO Series 2008A Refunding DPS Project Fund 818 2 2 752 70
7211 0000 TPFA GO Series 2009B DPS Project Fund 1,937 5 5 1,781 166
7213 0000 TPFA GO Series 2009B THC Project Fund 2,057 6 6 1,891 178
7216 0000 TPFA GO Series 2011 Refunding TSBVI Project Fund 1 0 0 0 1
7217 0000 TPFA GO Series 2011 Refunding TFC Project Fund 264 1 1 243 23
7604 0000 TPFA GO Commercial Paper Series 2002B Colonias Project
Fund 1,173 3 3 1,078 101
7616 0000 TPFA GO Commercial Paper Series 2002A MHMR Project B
Fund 2 0 0 0 2
7618 0000 TPFA GO Commercial Paper Series 2002A DPS Project B Fund 775 0 0 0 775
7628 0000 TPFA GO Commercial Paper Series 2002A TYC Project C Fund 45 0 0 0 45
7629 0000 TPFA GO Commercial Paper Series 2008 DPS Project 1A Fund 5,053 45 9,395 4,996 9,497
7633 0000 TPFA GO Commercial Paper Series 2008 TFC Project 1A Fund 3 0 0 0 3
7636 0000 TPFA GO Commercial Paper Series 2008 THC Project 1A Fund 77 0 0 0 77
7637 0000 TPFA GO Commercial Paper Series 2008 TYC Project 1A Fund 97 0 0 0 97
7639 0000 TPFA Cancer Prevention and Research Institute of Texas Project
Fund 107,694 727 261,027 123,564 245,884
7640 0000 TPFA GO Commercial Paper Series 2002A TFC Project C Fund 20 0 0 0 20
7641 0000 TPFA GO Commercial Paper Series 2008 TFC Project 1B Fund 1 0 0 0 1
7645 0000 TPFA GO Commercial Paper Series 2008 TYC Project 1B Fund 21 0 0 0 21
7647 0000 TPFA GO Commercial Paper Series 2008 TPWD Project 1B
Fund 399 1 1 367 34
7648 0000 TPFA GO Commercial Paper Series 2008 DPS Project 1B Fund 602 0 0 0 602
7649 0000 TPFA GO Commercial Paper Series 2008 Adjutant General
Project 1B Fund 15 0 0 0 15
7650 0000 TPFA GO Commercial Paper Series 2008 THC Project 1C Fund 254 1 1 233 23
7651 0000 TPFA GO Commercial Paper Series 2008 DSHS Project 1C
Fund 358 3 1,003 1,247 117
7652 0000 TPFA GO Commercial Paper Series 2008 TFC Project 1C Fund 699 2 2 643 60
7654 0000 TPFA GO Commercial Paper Series 2008 TPWD Project 1C
Fund 2,440 11 1,161 2,333 1,279
2022-2023 Biennium 87th Texas Legislature Januar y 2021 91
App.139
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 141 of 272 PageID 363
Texas Biennial Reve nue Estimate
Schedule II (continued)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 02: CONSTITUTIONAL FUNDS (concluded)
7656 0000 TPFA GO Commercial Paper Series 2008 DPS Project 1C Fund $ 1,401 $ 5 $ 605 $ 1,839 $ 172
7657 0000 TPFA GO Commercial Paper Series 2008 TFC Project 1D Fund 554 2 533 997 92
7658 0000 TPFA GO Commercial Paper Series 2008 DADS Project 1C
Fund 647 7 1,707 929 1,432
7659 0000 TPFA GO Commercial Paper Series 2008 TPWD Project 1D
Fund 1,209 11 3,011 2,448 1,783
7660 0000 TPFA GO Commercial Paper Series 2008 DSHS Project 1D
Fund 1,101 4 4 554 555
7662 0000 TPFA GO Commercial Paper Series 2008 THC Project 1D Fund 158 0 0 134 24
Total Group 2 $ 17,832,902 $ 10,444,926 $ 10,998,268 $ 21,950,804 $ 17,325,292
GROUP 03: FEDERAL FUNDS
0001 0037 GR Account – Federal Child Welfare Service 0 509,161 (509,161) 0 0
0001 0092 GR Account – Federal Disaster 9,966 202,788 (30,139) 176,000 6,615
0001 0118 GR Account – Federal Public Library Service 146 11,834 (460) 10,988 532
0001 0127 GR Account – Community Affairs Federal 30,762 281,573 (104) 252,373 59,858
0001 0148 GR Account – Federal Health, Education and Welfare 11,515 3,364,884 (55,000) 3,309,884 11,515
0001 0171 GR Account – Federal School Lunch 0 2,246,334 (140) 2,246,194 0
0001 0221 GR Account – Federal Civil Defense and Disaster Relief 111 282 0 146 247
0001 0222 GR Account – Department of Public Safety Federal 323 1,915 0 1,900 338
0001 0223 GR Account – Federal Land and Water Conservation 9 0 0 0 9
0001 0224 GR Account – Governor’s Office Federal Projects 26,315 108,529 (5,706) 104,926 24,212
0001 0273 GR Account – Federal Health and Health Lab Funding Excess
Revenue 32,058 301,277 (32,958) 254,747 45,630
0001 0421 GR Account – Criminal Justice Planning 31,777 234,933 (8,485) 257,129 1,096
0001 0449 GR Account – Texas Military Federal 11,199 66,834 (2,063) 59,251 16,719
0001 0454 GR Account – Federal Land Reclamation 413 0 0 0 413
0001 5026 GR Account – Workforce Commission Federal 31,218 1,744,301 (22,329) 1,704,561 48,629
0001 5041 GR Account – Railroad Commission Federal 10,289 3,040 (11) 3,040 10,278
0001 5091 GR Account – Office of Rural Community Affairs Federal 6,255 68,166 (30) 68,136 6,255
0001 5095 GR Account – Election Improvement 33,272 90 (1,500) 15,327 16,535
0001 5109 GR Account – Medicaid Recovery 42 U.S.C §1396p 0 2,300 0 2,300 0
0325 0000 Coronavirus Relief Fund 6,920,164 17,775,049 (48,502) 21,396,130 3,250,581
0369 0000 Federal American Recovery and Reinvestment Fund 25,966 6,279 (6,141) 9,000 17,104
Total Group 3 $ 7,181,758 $ 26,929,569 $ (722,729) $ 29,872,032 $ 3,516,566
GROUP 04: PLEDGED FUNDS
0001 0193 GR Account – Foundation School 738,398 2,814,010 17,809,220 21,361,628 0
0001 0540 GR Account – Judicial and Court Personnel Training 5,986 12,271 (10) 11,004 7,243
0301 0000 Rural Water Assistance Fund 2,068 2,700 (71) 2,651 2,046
0302 0000 Water Infrastructure Fund 75,851 12,307 47,617 64,851 70,924
0364 0000 Permanent Endowment Fund for the Rural Community Health
Care Investment Program 296 122 0 140 278
0374 0000 Veterans Financial Assistance Program Fund 31,639 105,286 (1,960) 100,154 34,811
0493 0000 Endowment Fund for the Blind 2 8 0 8 2
0573 0000 Judicial Fund 9,863 77,789 2,058 80,181 9,529
0577 0000 Tax and Revenue Anticipation Note Fund 71,989 295,182 (34,714) 282,990 49,467
0733 0000 TPFA Series B Master Lease Interest and Sinking Fund 5,132 23 8,878 8,878 5,155
0735 0000 TPFA Series B Master Lease Project Fund 869 6 6 802 79
7342 0000 TPFA Revenue Refunding Series 2015A TFC Interest and
Sinking Fund 0 0 1,007 1,007 0
7344 0000 TPFA Revenue Refunding Series 2015B TMD Interest and
Sinking Fund 0 0 1,259 1,259 0
7352 0000 TPFA Revenue Commercial Paper Series 2016 A&B TFC
Interest and Sinking Fund 0 1 15,985 15,985 1
92 2022-2023 Biennium 87th Texas Legislature Januar y 2021
App.140
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 142 of 272 PageID 364
Texas Biennial Reve nue Estimate
Schedule II (concluded)
Estimated Fund Balances for Fiscal Year 2021
(Thousands of Dollars)
Beginning Estimated Estimated Estimated Ending
Fund Acct Fund or Account Name Balance Revenue Net Transfers Expenditures Balance
GROUP 04: PLEDGED FUNDS (concluded)
7354 0000 TPFA Revenue Refunding Series 2017 THC Interest and Sinking
Fund $ 0 $ 0 $ 551 $ 551 $ 0
7356 0000 TPFA Lease Revenue and Refunding (TFC Project) Tax-Exempt
Interest and Sinking Fund 0 1 20,690 20,690 1
7516 0000 TPFA Lease Revenue and Refunding (TFC Project)
Tax-Exempt Project Fund 111,620 720 240,720 275,923 77,137
7800 0000 TPFA Revenue Commercial Paper Series 2016 A&B TFC
Project Fund 9,362 26 26 8,608 806
7802 0000 TPFA Revenue Commercial Paper Series 2019A (HHSC
Deferred Maintenance) Project Fund 0 38 57,841 47,892 9,987
Total Group 4 $ 1,063,075 $ 3,320,490 $ 18,169,103 $ 22,285,202 $ 267,466
GROUP 05: CONSTITUTIONAL NONEXPENDABLE FUNDS
0044 0000 Permanent School Fund 3,209,443 1,004,485 (2,475,572) 99,827 1,638,529
0045 0000 Permanent University Fund 528 594,918 (594,716) 0 730
Total Group 5 $ 3,209,971 $ 1,599,403 $ (3,070,288) $ 99,827 $ 1,639,259
GROUP 12: RESTRICTED FUNDS
0001 5044 GR Account – Permanent Fund for Health And Tobacco
Education and Enforcement 1,573 425 (629) 425 944
0001 5045 GR Account – Permanent Fund for Children and Public Health 302 213 (213) 213 89
0001 5046 GR Account – Permanent Fund for Emergency Medical Services
and Trauma Care 1,165 213 (213) 213 952
0001 5047 GR Account – Permanent Fund for Rural Health Facility
Capital Improvement 2,447 1,701 0 1,984 2,164
0001 5048 GR Account – Permanent Hospital Fund for Capital
Improvements and the Texas Center for Infectious Disease 96 850 (451) 451 44
0001 5149 GR Account – BP Oil Spill Texas Response Grant 109 0 0 0 109
Total Group 12 $ 5,692 $ 3,402 $ (1,506) $ 3,286 $ 4,302
TOTAL FOR ALL GROUPS $ 36,308,312 $ 147,841,118 $ (3,878,587) $ 155,531,199 $ 24,739,644
2022-2023 Biennium 87th Texas Legislature Januar y 2021 93
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Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 143 of 272 PageID 365
Texas Biennial Reve nue Estimate
Schedule III
Estimated Fund Balances of the General Revenue-Dedicated
Accounts for Fiscal Year 2021
(Thousands of Dollars)
Beginning Ending
Fund Acct Fund or Account Name Balance Balance
3.1 - General Revenue-Dedicated Accounts Used for Certification
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS
0001 0009 GR Account – Game, Fish, and Water Safety $ 127,199 $ 139,230
0001 0019 GR Account – Vital Statistics 19,066 18,519
0001 0027 GR Account – Coastal Protection 10,636 14,548
0001 0028 GR Account – Appraiser Registry 1 1
0001 0036 GR Account – Texas Department of Insurance Operating 177,782 160,517
0001 0064 GR Account – State Parks 66,168 69,048
0001 0088 GR Account – Low-Level Radioactive Waste 23,749 22,595
0001 0099 GR Account – Operators and Chauffeurs License 403 403
0001 0107 GR Account – Comprehensive Rehabilitation 1,642 1,642
0001 0108 GR Account – Private Beauty Culture School Tuition Protection 202 202
0001 0116 GR Account – Texas Commission on Law Enforcement 10,094 5,971
0001 0129 GR Account – Hospital Licensing 26,410 26,237
0001 0151 GR Account – Clean Air 289,985 312,242
0001 0153 GR Account – Water Resource Management 66,312 68,426
0001 0158 GR Account – Watermaster Administration 2,230 2,704
0001 0165 GR Account – Unemployment Compensation Special Administration 27,939 22,898
0001 0225 GR Account – University of Houston Current 104,481 163,839
0001 0227 GR Account – Angelo State University Current 2,891 2,880
0001 0228 GR Account – University of Texas at Tyler Current 9,761 11,496
0001 0229 GR Account – University of Houston – Clear Lake Current 10,852 8,341
0001 0230 GR Account – Texas A&M University – Corpus Christi Current 11,943 11,405
0001 0231 GR Account – Texas A&M International University Current 13,333 14,677
0001 0232 GR Account – Texas A&M University – Texarkana Current 2,343 770
0001 0233 GR Account – University of Houston – Victoria Current 841 224
0001 0236 GR Account – University of Texas System Cancer Center Current 1,178 968
0001 0237 GR Account – Texas State Technical College System Current 8,784 9,647
0001 0238 GR Account – University of Texas at Dallas Current 20,800 13,422
0001 0239 GR Account – Texas Tech University Health Sciences Center Current 17,943 17,873
0001 0242 GR Account – Texas A&M University Current 6,641 0
0001 0243 GR Account – Tarleton State University Current 3,076 1,402
0001 0244 GR Account – University of Texas at Arlington Current 24,870 20,225
0001 0245 GR Account – Prairie View A&M University Current 17,574 14,664
0001 0246 GR Account – University of Texas Medical Branch at Galveston Current 0 0
0001 0247 GR Account – Texas Southern University Current 17,029 16,134
0001 0248 GR Account – University of Texas at Austin Current 122,365 103,032
0001 0249 GR Account – University of Texas at San Antonio Current 12,970 9,915
0001 0250 GR Account – University of Texas at El Paso Current 4,337 2,777
0001 0251 GR Account – University of Texas of the Permian Basin Current 13,500 14,277
0001 0252 GR Account – University of Texas Southwestern Medical Center Current 24,764 26,409
0001 0253 GR Account – Texas Woman's University Current 4,949 3,894
0001 0254 GR Account – Texas A&M University – Kingsville Current 8,708 3,991
0001 0255 GR Account – Texas Tech University Current 15,396 17,025
0001 0256 GR Account – Lamar University Current 6,485 5,735
0001 0257 GR Account – Texas A&M University – Commerce Current 3,681 1,674
0001 0258 GR Account – University of North Texas Current 10,406 6,463
0001 0259 GR Account – Sam Houston State University Current 21,040 22,822
0001 0260 GR Account – Texas State University Current 20,061 20,173
0001 0261 GR Account – Stephen F. Austin State University Current 2,068 437
0001 0262 GR Account – Sul Ross State University Current 1,845 1,695
0001 0263 GR Account – West Texas A&M University Current 1,614 364
94 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Texas Biennial Reve nue Estimate
Schedule III (continued)
Estimated Fund Balances of the General Revenue-Dedicated
Accounts for Fiscal Year 2021
(Thousands of Dollars)
Beginning Ending
Fund Acct Fund or Account Name Balance Balance
3.1 - General Revenue-Dedicated Accounts Used for Certification (continued)
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS (continued)
0001 0264 GR Account – Midwestern State University Current $ 3,326 $ 1,782
0001 0268 GR Account – University of Houston Downtown Current 999 1
0001 0271 GR Account – University of Texas Health Science Center at Houston Current 42,402 42,124
0001 0275 GR Account – Texas A&M University at Galveston Current 1,231 782
0001 0279 GR Account – University of Texas Health Science Center at San Antonio Current 8,464 4,215
0001 0280 GR Account – University of North Texas Health Science Center at Fort Worth Current 5,126 4,595
0001 0282 GR Account – University of Texas Health Center at Tyler Current 0 0
0001 0285 GR Account – Lamar State College Orange Current 1,922 2,977
0001 0286 GR Account – Lamar State College Port Arthur Current 2,488 2,445
0001 0287 GR Account – Lamar Institute of Technology Current 1,742 1,515
0001 0289 GR Account – Texas A&M University System Health Science Center Current 15,453 17,447
0001 0290 GR Account – Texas A&M University – San Antonio Current 9,521 8,325
0001 0291 GR Account – Texas A&M University – Central Texas Current 1,618 1,578
0001 0292 GR Account – University of North Texas – Dallas Current 4,401 3,926
0001 0293 GR Account – University of Texas – Rio Grande Valley Current 29,210 24,810
0001 0294 GR Account – Texas Tech University Health Sciences Center El Paso Current 6,376 3,889
0001 0334 GR Account – Commission on the Arts Operating 0 0
0001 0341 GR Account – Food and Drug Retail Fee 15,965 16,333
0001 0412 GR Account – Midwestern State University Special Mineral 0 0
0001 0450 GR Account – Coastal Public Lands Management Fee 764 787
0001 0453 GR Account – Disaster Contingency 373 373
0001 0467 GR Account – Texas Recreation and Parks 27,476 24,566
0001 0468 GR Account – Texas Commission on Environmental Quality Occupational Licensing 10,351 10,630
0001 0472 GR Account – Inaugural 100 100
0001 0492 GR Account – Business Enterprise Program 258 67
0001 0501 GR Account – Motorcycle Education 17,222 17,597
0001 0506 GR Account – Non-Game and Endangered Species Conservation 1,602 1,581
0001 0507 GR Account – State Lease 8,362 8,362
0001 0512 GR Account – Bureau of Emergency Management 5,300 5,087
0001 0524 GR Account – Public Health Services Fees 5,726 5,817
0001 0543 GR Account – Texas Capital Trust 4,085 1,364
0001 0544 GR Account – Lifetime License Endowment 27,878 29,105
0001 0549 GR Account – Waste Management 25,439 25,398
0001 0550 GR Account – Hazardous and Solid Waste Remediation Fees 34,193 28,824
0001 0570 GR Account – Federal Surplus Property Service Charge 6,539 6,627
0001 0581 GR Account – Bill Blackwood Law Enforcement Management Institute 1,653 1,050
0001 0597 GR Account – Texas Racing Commission 1,398 2,109
0001 0655 GR Account – Petroleum Storage Tank Remediation 103,633 95,079
0001 0664 GR Account – Texas Preservation Trust 756 1,256
0001 0679 GR Account – Artificial Reef 14,150 14,539
0001 5000 GR Account – Solid Waste Disposal Fees 117,026 122,946
0001 5003 GR Account – Hotel Occupancy Tax for Economic Development 98,946 98,946
0001 5004 GR Account – Parks and Wildlife Conservation and Capital 59,124 59,124
0001 5006 GR Account – Attorney General Law Enforcement 3,693 3,393
0001 5007 GR Account – Commission on State Emergency Communications 49,883 54,515
0001 5008 GR Account – Inaugural Endowment 84 84
0001 5009 GR Account – Children with Special Healthcare Needs 391 391
0001 5010 GR Account – Sexual Assault Program 36,361 28,784
0001 5012 GR Account – Crime Stoppers Assistance 988 995
0001 5013 GR Account – Breath Alcohol Testing 9,806 9,030
2022-2023 Biennium 87th Texas Legislature Januar y 2021 95
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Texas Biennial Reve nue Estimate
Schedule III (continued)
Estimated Fund Balances of the General Revenue-Dedicated
Accounts for Fiscal Year 2021
(Thousands of Dollars)
Beginning Ending
Fund Acct Fund or Account Name Balance Balance
3.1 - General Revenue-Dedicated Accounts Used for Certification (continued)
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS (continued)
0001 5017 GR Account – Asbestos Removal Licensure $ 28,001 $ 27,863
0001 5018 GR Account – Home Health Services 17,241 17,983
0001 5020 GR Account – Workplace Chemicals List 1,260 1,306
0001 5021 GR Account – Certification of Mammography Systems 3,943 3,710
0001 5022 GR Account – Oyster Sales 720 886
0001 5024 GR Account – Food and Drug Registration 39,831 40,374
0001 5029 GR Account – Center for Study and Prevention of Juvenile Crime and Delinquency 8,329 7,943
0001 5031 GR Account – Excess Benefit Arrangement, Teacher Retirement System 283 283
0001 5039 GR Account – Excess Benefit Arrangement, Employees Retirement System 246 246
0001 5040 GR Account – Tobacco Settlement 70,381 116,665
0001 5049 GR Account – State Owned Multicategorical Teaching Hospital 5,367 5,367
0001 5050 GR Account – 9-1-1 Service Fees 86,234 45,470
0001 5051 GR Account – Go Texan Partner Program 81 81
0001 5059 GR Account – Peace Officer Flag 9 16
0001 5060 GR Account – Private Sector Prison Industries 1,000 1,000
0001 5064 GR Account – Volunteer Fire Department Assistance 64,771 61,709
0001 5065 GR Account – Environmental Testing Laboratory Accreditation 991 918
0001 5066 GR Account – Rural Volunteer Fire Department Insurance 4,866 5,082
0001 5071 GR Account – Emissions Reduction Plan 1,952,168 2,092,288
0001 5073 GR Account – Fair Defense 38,860 32,039
0001 5080 GR Account – Quality Assurance 3,726 15,083
0001 5081 GR Account – Barber School Tuition Protection 25 25
0001 5083 GR Account – Correctional Management Institute and Criminal Justice Center 1,757 1,829
0001 5085 GR Account – Child Abuse Neglect and Prevention Trust 4,160 1,974
0001 5093 GR Account – Dry Cleaning Facility Release 22,583 21,836
0001 5094 GR Account – Operating Permit Fees 16,572 11,584
0001 5096 GR Account – Perpetual Care 7,553 7,977
0001 5101 GR Account – Subsequent Injury 84,518 86,236
0001 5103 GR Account – Texas B-On-Time Student Loan 137,959 137,959
0001 5105 GR Account – Public Assurance 2,644 2,210
0001 5106 GR Account – Economic Development Bank 13,083 10,076
0001 5108 GR Account – EMS, Trauma Facilities, Trauma Care Systems 22,012 21,822
0001 5111 GR Account – Designated Trauma Facility and EMS 59,796 102,110
0001 5125 GR Account – Childhood Immunization 221 243
0001 5128 GR Account – Employment And Training Investment Holding 374,872 1
0001 5136 GR Account – Cancer Prevention And Research 848 848
0001 5138 GR Account – Fire Prevention and Public Safety 49 49
0001 5139 GR Account – Historic Site 1,677 1,676
0001 5143 GR Account – Jobs and Education For Texans (JET) 1,149 1,149
0001 5144 GR Account – Physician Education Loan Repayment Program 82,631 67,684
0001 5150 GR Account – Large County and Municipal Recreation and Parks 17,176 17,176
0001 5151 GR Account – Low-Level Radioactive Waste Disposal Compact Commission 331 331
0001 5152 GR Account – Alamo Complex 5,084 2,575
0001 5153 GR Account – Emergency Radio Infrastructure 25,682 28,067
0001 5155 GR Account – Oil and Gas Regulation and Cleanup 139,225 125,133
0001 5158 GR Account – Environmental Radiation and Perpetual Care 6,816 3,622
0001 5164 GR Account – Truancy Prevention and Diversion 15,057 16,895
0001 5166 GR Account – Deferred Maintenance 66,131 0
0001 5168 GR Account – Cancer Prevention and Research Interest and Sinking 1,479 1,829
0001 5169 GR Account – Veterans Recovery 1 1
96 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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Texas Biennial Reve nue Estimate
Schedule III (continued)
Estimated Fund Balances of the General Revenue-Dedicated
Accounts for Fiscal Year 2021
(Thousands of Dollars)
Beginning Ending
Fund Acct Fund or Account Name Balance Balance
3.1 - General Revenue-Dedicated Accounts Used for Certification (concluded)
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS (concluded)
0001 5170 GR Account – Evidence Testing $ 1,728 $ 1,652
0001 5172 GR Account – Prisoner Safety 644 644
0001 5173 GR Account – Texas Forensic Science Commission 133 143
0001 5174 GR Account – Drug Court 2,400 400
0001 5177 GR Account – Identification Fee Exemption 144 1,344
0001 5178 GR Account – State Hemp Program 358 1,082
0001 5184 GR Account – Specialty Court 1,017 2,823
0001 5185 GR Account – DNA Testing 60 4
0001 5186 GR Account – Transportation Administrative Fee 1,873 1,873
Total Group 1 $ 5,669,907 $ 5,368,297
GROUP 03: FEDERAL FUNDS
0001 0037 GR Account – Federal Child Welfare Service 0 0
0001 0092 GR Account – Federal Disaster 9,966 6,615
0001 0118 GR Account – Federal Public Library Service 146 532
0001 0127 GR Account – Community Affairs Federal 30,762 59,858
0001 0148 GR Account – Federal Health, Education and Welfare 11,515 11,515
0001 0171 GR Account – Federal School Lunch 0 0
0001 0221 GR Account – Federal Civil Defense and Disaster Relief 111 247
0001 0222 GR Account – Department of Public Safety Federal 323 338
0001 0223 GR Account – Federal Land and Water Conservation 9 9
0001 0224 GR Account – Governor’s Office Federal Projects 26,315 24,212
0001 0273 GR Account – Federal Health and Health Lab Funding Excess Revenue 32,058 45,630
0001 0421 GR Account – Criminal Justice Planning 31,777 1,096
0001 0449 GR Account – Texas Military Federal 11,199 16,719
0001 0454 GR Account – Federal Land Reclamation 413 413
0001 5026 GR Account – Workforce Commission Federal 31,218 48,629
0001 5041 GR Account – Railroad Commission Federal 10,289 10,278
0001 5091 GR Account – Office of Rural Community Affairs Federal 6,255 6,255
0001 5109 GR Account – Medicaid Recovery 42 U.S.C §1396p 0 0
Total Group 3 $ 202,356 $ 232,346
GROUP 04: PLEDGED FUNDS
0001 0193 GR Account – Foundation School 738,398 0
Total Group 4 $ 738,398 $ 0
GROUP 12: RESTRICTED FUNDS
0001 5044 GR Account – Permanent Fund for Health And Tobacco Education and Enforcement 1,573 944
0001 5045 GR Account – Permanent Fund for Children and Public Health 302 89
0001 5046 GR Account – Permanent Fund for Emergency Medical Services and Trauma Care 1,165 952
0001 5047 GR Account – Permanent Fund for Rural Health Facility Capital Improvement 2,447 2,164
0001 5048 GR Account – Permanent Hospital Fund for Capital Improvements and the Texas Center
for Infectious Disease 96 44
Total Group 12 $ 5,583 $ 4,193
TOTAL FOR ALL GROUPS $ 6,616,244 $ 5,604,836
2022-2023 Biennium 87th Texas Legislature Januar y 2021 97
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Texas Biennial Reve nue Estimate
Schedule III (concluded)
Estimated Fund Balances of the General Revenue-Dedicated
Accounts for Fiscal Year 2021
(Thousands of Dollars)
Beginning Ending
Fund Acct Fund or Account Name Balance Balance
3.2 - General Revenue-Dedicated Accounts Not Used for Certification
GROUP 01: GENERAL STATE OPERATING AND DISBURSING FUNDS
0001 5005 GR Account – Oil Overcharge $ 81,507 $ 76,021
0001 5025 GR Account – Lottery 141,921 90,979
0001 5107 GR Account – Texas Enterprise 259,980 243,561
0001 5157 GR Account – Statewide Electronic Filing System 20,777 25,177
0001 5161 GR Account – Governor’s University Research Initiative 67,686 52,430
Total Group 1 $ 571,871 $ 488,168
GROUP 02: CONSTITUTIONAL FUNDS
0001 0469 GR Account – Compensation to Victims of Crime 43,689 18,476
0001 0494 GR Account – Compensation to Victims of Crime Auxiliary 8,250 6,592
0001 5114 GR Account – Texas Military Value Revolving Loan 69 70
Total Group 2 $ 52,008 $ 25,138
GROUP 03: FEDERAL FUNDS
0001 5095 GR Account – Election Improvement 33,272 16,535
Total Group 3 $ 33,272 $ 16,535
GROUP 04: PLEDGED FUNDS
0001 0540 GR Account – Judicial and Court Personnel Training 5,986 7,243
Total Group 4 $ 5,986 $ 7,243
GROUP 12: RESTRICTED FUNDS
0001 5149 GR Account – BP Oil Spill Texas Response Grant 109 109
Total Group 12 $ 109 $ 109
TOTAL FOR ALL GROUPS $ 663,246 $ 537,193
98 2022-2023 Biennium 87th Texas Legislature Januar y 2021
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App.147
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Texas Comptroller of Public Accounts
Publication #96-402
Printed January 2021
To request additional copies, call 1-800-531-5441, ext. 5-9846 toll-free or write:
Texas Comptroller of Public Accounts
Revenue Estimating Division
111 E. 17th Street
Austin, Texas 78774-0100
Online: comptroller.texas.gov/transparency/reports/biennial-revenue-estimate/
App.148
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
U.S. Department of Treasury – Coronavirus State and Local Fiscal Recovery Funds – Allocation
for States
EXHIBIT A-4
App.149
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State Total Funding Funding Based on Average Number of Unemployed Funding from Even Distribution CRF Top-Up
Alabama $2,120,279,417.00 $1,620,279,417.00 $500,000,000.00 $0.00
Alaska $1,011,788,220.00 $511,788,220.00 $500,000,000.00 $0.00
Arizona $4,182,827,491.60 $3,682,827,491.60 $500,000,000.00 $0.00
Arkansas $1,573,121,580.80 $1,073,121,580.80 $500,000,000.00 $0.00
California $27,017,016,860.10 $26,517,016,860.10 $500,000,000.00 $0.00
Colorado $3,828,761,789.90 $3,328,761,789.90 $500,000,000.00 $0.00
Connecticut $2,812,288,081.60 $2,312,288,081.60 $500,000,000.00 $0.00
Delaware $924,597,608.00 $424,597,608.00 $500,000,000.00 $0.00
District of Columbia $1,802,441,116.20 $547,579,179.80 $500,000,000.00 $754,861,936.40
Florida $8,816,581,838.70 $8,316,581,838.70 $500,000,000.00 $0.00
Georgia $4,853,535,459.70 $4,353,535,459.70 $500,000,000.00 $0.00
Hawaii $1,641,602,609.60 $1,141,602,609.60 $500,000,000.00 $0.00
Idaho $1,094,018,353.40 $594,018,353.40 $500,000,000.00 $0.00
Illinois $8,127,679,948.70 $7,627,679,948.70 $500,000,000.00 $0.00
Indiana $3,071,830,673.20 $2,571,830,673.20 $500,000,000.00 $0.00
Iowa $1,480,862,558.00 $980,862,558.00 $500,000,000.00 $0.00
Kansas $1,583,680,553.30 $1,083,680,553.30 $500,000,000.00 $0.00
Kentucky $2,183,237,290.90 $1,683,237,290.90 $500,000,000.00 $0.00
Louisiana $3,011,136,886.60 $2,511,136,886.60 $500,000,000.00 $0.00
Maine $997,495,130.10 $497,495,130.10 $500,000,000.00 $0.00
Maryland $3,717,212,336.40 $3,217,212,336.40 $500,000,000.00 $0.00
Massachusetts $5,286,067,526.40 $4,786,067,526.40 $500,000,000.00 $0.00
Michigan $6,540,417,626.70 $6,040,417,626.70 $500,000,000.00 $0.00
Minnesota $2,833,294,345.30 $2,333,294,345.30 $500,000,000.00 $0.00
Mississippi $1,806,373,345.90 $1,306,373,345.90 $500,000,000.00 $0.00
Missouri $2,685,296,130.80 $2,185,296,130.80 $500,000,000.00 $0.00
Montana $906,418,527.00 $406,418,527.00 $500,000,000.00 $0.00
Nebraska $1,040,157,440.40 $540,157,440.40 $500,000,000.00 $0.00
Nevada $2,738,837,228.70 $2,238,837,228.70 $500,000,000.00 $0.00
New Hampshire $994,555,877.60 $494,555,877.60 $500,000,000.00 $0.00
New Jersey $6,244,537,955.50 $5,744,537,955.50 $500,000,000.00 $0.00
New Mexico $1,751,542,835.00 $1,251,542,835.00 $500,000,000.00 $0.00
New York $12,744,981,589.00 $12,244,981,589.00 $500,000,000.00 $0.00
North Carolina $5,439,309,692.20 $4,939,309,692.20 $500,000,000.00 $0.00
North Dakota $1,007,502,515.00 $507,502,515.00 $500,000,000.00 $0.00
Ohio $5,368,386,901.00 $4,868,386,901.00 $500,000,000.00 $0.00
Oklahoma $1,870,417,575.70 $1,370,417,575.70 $500,000,000.00 $0.00
Oregon $2,648,024,988.20 $2,148,024,988.20 $500,000,000.00 $0.00
Pennsylvania $7,291,328,098.40 $6,791,328,098.40 $500,000,000.00 $0.00
Rhode Island $1,131,061,056.70 $631,061,056.70 $500,000,000.00 $0.00
South Carolina $2,499,067,328.50 $1,999,067,328.50 $500,000,000.00 $0.00
South Dakota $974,478,793.00 $474,478,793.00 $500,000,000.00 $0.00
Tennessee $3,725,832,113.00 $3,225,832,113.00 $500,000,000.00 $0.00
Texas $15,814,388,615.00 $15,314,388,615.00 $500,000,000.00 $0.00
Utah $1,377,866,887.60 $877,866,887.60 $500,000,000.00 $0.00
Vermont $1,049,287,303.00 $549,287,303.00 $500,000,000.00 $0.00
Virginia $4,293,727,162.20 $3,793,727,162.20 $500,000,000.00 $0.00
Washington $4,427,709,355.90 $3,927,709,355.90 $500,000,000.00 $0.00
West Virginia $1,355,489,988.00 $855,489,988.00 $500,000,000.00 $0.00
Wisconsin $2,533,160,626.50 $2,033,160,626.50 $500,000,000.00 $0.00
Wyoming $1,068,484,768.00 $568,484,768.00 $500,000,000.00 $0.00
TOTAL $195,300,000,000.00 $169,045,138,063.60 $25,500,000,000.00 $754,861,936.40
App.150
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 1 – General Appropriations Act – Eighty-seventh Legislature (excerpts)
EXHIBIT A-5
App.151
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Chapter 1053
S.B. No. 1
General Appropriations Act
Eighty-seventh Legislature
App.152
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TABLE OF CONTENTS
RECAPITULATION - ALL ARTICLES............................................................................................. ix
ARTICLE 1 - GENERAL GOVERNMENT
Arts, Commission on the I-1
Attorney General, Office ofthe 1-3
Bond Review Board 1-13
Cancer Prevention and Research Institute of Texas 1-15
Comptroller of Public Accounts I-18
Fiscal Programs - Comptroller of Public Accounts 1-23
Informational Listing of Funds Appropriated to the Comptroller for Social Security BRP ....... I-29
Emergency Communications, Commission on State I-30
Emergency Services Retirement System, Te,Ing 1-33
Employees Retirement System I-34
Ethics Commission, Texaq I-39
Facilities Commisginn I-41
Finance Authority, Public I-49
Governor, Office of the. I-53
Trusteed Programs within the O ffice of the Governor I-54
Historical Commisginn 1-63
Information Resources, Department of 1-69
Library & Archives Commissinn 1-77
Pension Review Boarrl I-81
Preservation Board 1-82
Risk Management, State Office of 1-85
Secretary of State 1-87
Veterans Commission I-91
Retirement and Group Insurance ...1-95
Social Security and Benefit Replacement Pay 1-96
Bond Debt Service Paymentq 1-96
Lease Paymentq I-97
Recapitulation - Article I - General Revenue I-98
Recapitulation - Article I - General Revenue - Dedicated 1-99
Recapitulation - Article 1 - Federal Funds 1-100
Recapitulation - Article I - Other Funds 1-101
Recapitulation - Article 1 - All Funds 1-102
ARTICLE 11 - HEALTH AND HUMAN SERVICES
Family and Protective Services, Department of II-1
State Health Services, Department of 11-20
Health and Human Services Commission 11-34
Retirement and Group Insurance 11-94
Social Security and Benefit Replacement Pay 11-95
Bond Debt Service Paymentq 11-95
Lease Paymentq 11-96
Special Provisions Relating to All Health and Human Services Agencies........................................ 11-96
Recapitulation - Article Il - General Revenue ..Il-110
Recapitulation - Article II - General Revenue - Dedicated 11-111
Recapitulation - Article II - Federal Funds II-112
Recapitulation - Article II - Other Fundq II-113
Recapitulation - Article Il - All Funds II-114
ARTICLE 111 - EDUCATION
Education Agency, Texas 111-1
Blind and Visually Impaired, School for the III-27
Deaf, School for the III-31
Special Provisions for the School for the Blind and Visually Impaired /
School for the Deaf III-33
Teacher Retirement System 11I-35
Optional Retirement Program III-39
Group Insurance Contributions, Higher Education Employepq III-41
Higher Education Coordinating Board III-46
Higher Education Fi,nrl III-61
The University of Texas System Administration 111-62
Available University Fund 111-63
Available National Research University Fund III-67
Support for Military and Veterans Exemptiong 111-67
i
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The University of Texas at Arlington III-69
The University of Texas at Austin III-71
The University of Texas at Dallaq III-76
The University of Texas at El Pagn III-78
The University ofTexas at Rio Grande Valley III-81
The University ofTexas Permian Basin III-83
The University of Texas at San Antonio III-86
The University of Texas at Tyler III-88
Texas A&M University System Administrative and General Offirpq III-90
Texas A&M University III-91
Texas A&M University at Galveetnn III-93
Prairie View A&M University III-95
Tarleton State University III-98
Texas A&M University - Central Texas III-100
Texas A&M University - Corpus Chrie; III-102
Texas A&M University - Kingsville II1-105
Texas A&M University - San Antonio III-107
Texas A&M International University. III-109
West Texas A&M University III-111
Texas A&M University - Commerre III-113
Texas A&M University - Texarkana III-115
University of Houston System Administration III-117
University of Houston III-120
University of Houston - Clear I,ke III-122
University of Houston - Downtown III-124
University of Houston - Victoria III-126
Midwestern State University III-128
University of North Texas System Administration. III-130
University ofNorth Texas Ill-131
University of North Texas at Dallas III-129
Stephen F. Austin State University III-136
Texas Southern University 111-138
Texas Tech University System Administration 111-140
Texas Tech University III-141
Angelo State University III-144
Texas Woman's University IlI-146
Texas State University System III-148
Lamar University III-149
Lamar Institute ofTechnology.. III-152
Lamar State College - Orange III-154
Lamar State College - Port Arthur III-155
Sam Houston State University III-157
Texas State University III-160
Sul Ross State University III-162
Sul Ross State University Rio Grande College Ill-164
The University of Texas Southwestern Medical Center III-165
The University of Texas Medical Branch at Galveston III-169
The University of Texas Health Science Center at Houston III-166
The University of Texas Health Science Center at San Antonio....................................................III-177
The University of Texas Rio Grande Valley School of Medicine..................................................III-181
The University of Texas M. D. Anderson Cancer Center III-183
The University of Texas Health Center at Tyler III-179
Texas A&M University System Health Science Center III-190
University ofNorth Texas Health Science Center at Fort Worth Ill-195
Texas Tech University Health Sciences Center III-198
Texas Tech University Health Sciences Center at El Paso.............................................................III-202
University of Houston College of Medicine III-205
Public Community/Junior Colleges .... 1II-208
Texas State Technical College System Administration III-218
Texas State Technical College - Harlingen III-220
Texas State Technical College - West Tergq III-222
Texas State Technical College - Marshall III-223
Texas State Technical College - Waco III-225
Texas State Technical College - Fort Bend....................................................................................III-226
Texas State Technical College - North Texas III-228
Special Provisions Relating Only to Components ofTexas State Technical College ....................III-229
Texas A&M Agrilife Research. III-232
Texas A&M Agrilife Extension Service III-234
Texas A&M Engineering Experiment Station III-238
Texas A&M Transportation InstitlltP III-240
Texas A&M Engineering Extension Service III-242
Texas A&M Forest Service III-244
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Texas A&M Veterinary Medical Diagnostic Laboratory. .III-247
Texas Division of Emergency Management III-249
Retirement and Group Insurance IlI-252
Social Security and Benefit Replacement Pay III-252
Bond Debt Service Paymentq III-253
Lease Paymenk III-253
Special Provisions Relating Only to State Agencies of Higher Education.....................................III-253
Recapitulation - Article III - General Revenue III-280
Recapitulation - Article III - General Revenue - Dedicated Ill-282
Recapitulation - Article III - Federal Funds....................................................................................1II-284
Recapitulation - Article III - Other Funrk III-285
Recapitulation - Article 111 - All Funds...........................................................................................111-287
ARTICLE IV - THE JUDICIARY
Supreme Court of Texas IV-1
Court of Criminal Appealq IV-3
First Court of Appeals District, Houston IV-7
Second Court of Appeals District, Fort Worth IV-8
Third Court of Appeals District, Austin IV-9
Fourth Court of Appeals District, San Antonio .. IV-11
Fifth Court of Appeals District, Dallas IV-12
Sixth Court of Appeals District, Texarkana. .. IV-13
Seventh Court of Appeals District, Amarillo IV-14
Eighth Court of Appeals District, El Paso IV-15
Ninth Court of Appeals District, Beaumont IV-16
Tenth Court ofAppeals District, Waco IV-17
Eleventh Court of Appeals District, Eastland .. ]V-18
Twelfth Court of Appeals District, Tyler IV-20
Thirteenth Court of Appeals District, Corpus Christi - Edinburg IV-21
Fourteenth Court of Appeals District, Houston IV-22
Office of Court Administration, Texas Judicial Council IV-23
Office of Capital Writq IV-28
State Prosecuting Attorney, Office of the IV-29
State Law Library rV-30
Commission on Judicial Conduct, State .. IV-31
Judiciary Section, Comptroller's Department.................................................................................. IV-32
Retirement and Group Insurance IV-36
Social Security and Benefit Replacement Pay .. IV-37
Lease Paymentq IV-37
Special Provisions - Judiciary .. IV-37
Recapitulation - Article ]V - General Revenue. IV-40
Recapitulation - Article IV - General Revenue - Dedicated IV-41
............................................................
Recapitulation - Article IV - Federal FI,nrk ..IV-42
Recapitulation - Article IV - Other Funds IV-43
Recapitulation - Article IV - All Funds IV-44
ARTICLE V - PUBLIC SAFETY AND CRIMINAL JUSTICE
Alcoholic Beverage Commission V-1
Criminal Justice, Department of V-5
Fire Protection, Commission on V-21
Jail Standards, Commission on V-23
Juvenile Justice Department V-25
Law Enforcement, Commission on V-36
Military Department V-39
Public Safety, Department of V-45
Retirement and Group Insurance V-55
Social Security and Benefit Replacement Pay V-56
Bond Debt Service Payments... V-56
Lease Paymentq V-57
Recapitulation - Article V - General Revenue V-58
Recapitulation - Article V - General Revenue - Dedicated................................................................V-59
Recapitulation - Article V - Federal Funrk V-60
Recapitulation - Article V - Other Fundq ....V-61
Recapitulation - Article V - All Funrk V-62
ARTICLE VI - NATURAL RESOURCES
Agriculture, Department Af VI-1
Animal Health Commission VI-12
Commission on Environmental Quality VI-15
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General Land Office and Veterans' Land Boarrl VI-25
Low-Level Radioactive Waste Disposal Compact Commission VI-32
Parks and Wildlife Department VI-33
Railroad Commission VI-46
Soil and Water Conservation Board VI-52
Water Development Board VI-55
Retirement and Group Insurance VI-62
Social Security and Benefit Replacement Pay VI-62
Bond Debt Service Paymentq VI-63
Lease Paymentq VI-63
Recapitulation - Article VI - General Reventie Vl-64
Recapitulation - Article VI - General Revenue - Dedicated . VI-65
Recapitulation - Article VI -Federal Funds..................................................................................... VI-66
Recapitulation - Article VI - Other Funds VI-67
Recapitulation - Article VI - All Funds VI-68
ARTICLE VII - BUSINESS AND ECONOMIC DEVELOPMENT
Housing and Community Affairs, Department of VII-1
Lottery Commission, Texiq VII-8
Motor Vehicles, Department of VII-12
Transportation, Department of VII-15
Workforce Commission, Teng VII-31
Reimbursements to the Unemployment Compensation Benefit Account VII-44
..............................
Retirement and Group Insurance VII-46
Social Security and Benefit Replacement Pay VII-46
Bond Debt Service Paymentq VII-47
Lease Paymentq VII-47
Recapitulation - Article VII - General Revenue VII-48
Recapitulation - Article VII - General Revenue - Dedicater' VII-49
Recapitulation - Article VII - Federal Funds VII-50
Recapitulation - Article VII - Other Funds ..................................................................................... VII-51
Recapitulation - Article VII - All Funde VII-52
ARTICLE VI11 - REGULATORY
Administrative Hearings, State Office of VIII-1
Behavioral Health Executive Council, VIII-4
Chiropractic Examiners, Board of VIII-6
Dental Examiners, Texas State Board of VIII-7
Funeral Service Commisann VIII-9
Geoscientists, Board of Professional VIII-11
Health Professions Council VII1-12
Injured Employee Counsel, Office of VIII-14
Insurance, Department of VIII-16
Insurance Counsel, Office of Public VIII-23
Licensing and Regulation, Department of VIII-25
Texas Medical Board VIII-29
Nursing, Texas Board of VIII-32
Optometry Board VIII-36
Pharmacy, Board of VIII-37
Physical Therapy & Occupational Therapy Examiners, Executive Council of VIII-39
Plumbing Examiners, Board of VIII-41
Racing Commission VIII-43
Securities Board VIII-48
Utility Commission ofTexas, Public ............................................................................................. VlII-50
Utility Counsel, Office of Public VIII-53
Veterinary Medical Examiners, Board of VIII-55
Retirement and Group Insurance VIII-57
Social Security and Benefit Replacement Pay VIII-57
Lease Paymentq VIII-57
Special Provisions Relating to All Regulatory Agenripq VIII-58
Recapitulation - Article VIII - General Revenue VIII-62
Recapitulation - Article VIII - General Revenue - Dedicatprl VI1I-63
Recapitulation - Article VIII - Federal Funds VIII-64
Recapitulation - Article VIII - Other Funds................................................................................... VIII-65
Recapitulation - Article VIII - All Fundq VIII-66
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ARTICLE IX - GENERAL PROVISIONS
LEGISLATIVE INTENT IX-1
Sec. 1.01. Limitationg IX-1
PROVISIONS RELATING TO THE POSITION CLASSIFICATION PLAN IX-1
Sec. 2.01. Position Classification Plan IX-1
Classified Positions for the 2022-2023 Biennium IX-1
Schedule A Classification Salary Schedule IX-19
Schedule B Classification Salary Schedule IX-19
Schedule C Classification Salary Schedule IX-20
SALARY ADMINISTRATION AND EMPLOYMENT PROVISIONS IX-20
Sec. 3.01. Salary Ratpq IX-20
Sec. 3.02. Salary Supplementation IX-20
Sec. 3.03. Salary Limits.. IX-20
Sec. 3.04. Scheduled Exempt Positions IX-20
Sec. 3.05. Evening, Night, Weekend Shift Pay: Registered Nurses and Licensed
Vocational Nurses 1X-23
Sec. 3.06. Recruitment and Retention Bonuses IX-23
Sec. 3.07. Equity Adjustmentq IX-23
Sec. 3.08. Classification Study on Scheduled Exempt Positions............................................ IX-23
Sec. 3.09. Method of Salary Payments IX-23
Sec. 3.10. Exception - Contracts Less than 12 Monthq LX-23
Sec. 3.11. Exceptions for Certain Employeeg LX-23
Sec. 3.12. Exceptions for Salary Schedule C IX-24
Sec. 3.13. Matching Retirement and Certain Insurance 1X-24
GRANT-MAKING PROVISIONS 1X-24
Sec. 4.01. Grant Restriction IX-24
Sec. 4.02. Grank IX-24
Sec. 4.03. Grants for Political Polling Prohibited IX-25
Sec. 4.04. Limitation on Grants to Units of Local Government ............................................. IX-25
TRAVEL REGULATIONS IX-25
Sec. 5.01. Travel Definitions. IX-25
Sec. 5.02. General Travel Provisiong IX-25
Sec. 5.03. Transportation Expenses in Personally Owned or Leased Motor Vehicles IX-25 ...........
Sec. 5.04. Transportation in Personally Owned or Leased Aircraft IX-25
Sec. 5.05. Travel Meals and Lodging Expenses IX-26
Sec. 5.06. Special Provisions Regarding Travel Expen- IX-26
Sec. 5.07. Travel and Per Diem of Board or Commission Members...................................... IX-26
Sec. 5.08. Travel of Advisory Committee Members IX-27
GENERAL LIMITATIONS ON EXPENDITURES IX-27
Sec. 6.01. Unexpended Balance IX-27
Sec. 6.02. Interpretation of Estimatrq IX-27
Sec. 6.03. Excess Obligations Prohibited IX-27
Sec. 6.04. Interpretation of Legislative Intent IX-28
Sec. 6.05. Comptroller's Duty to Pay IX-28
Sec. 6.06. Last Quarter Expenditurrg IX-28
Sec. 6.07. Employee Benefit and Debt Service Items IX-28
Sec. 6.08. Benefits Paid Proportional by Method of Finance IX-28
Sec. 6.09. Appropriations from Special Funds IX-30
Sec. 6.10. Limitation on State Employment Levek IX-30
Sec. 6.11. Purchases of Pottlep IX-32
Sec. 6.12. Expenditures for State-Federal Relations IX-32
Sec. 6.13. Performance Standardq IX-33
Sec. 6.14. Bookkeeping Entries IX-33
Sec. 6.15. Accounting for State Expenditures 1X-33
Sec. 6.16. Fee Increase Notification IX-33
Sec. 6.17. Consolidated Flinrlq IX-33
Sec. 6.18. Demographic and Statistical Studirq IX-34
Sec. 6.19. Cost Allocationg IX-34
Sec. 6.20. Use of Appropriations to Contract for Audits... .. IX-34
Sec. 6.21. Limitations on Use of Appropriated Funrlq IX-34
Sec. 6.22. Informational Itpmq IX-34
Sec. 6.23. Appropriations from State Tax Revenue................................................................ IX-34
Sec. 6.24. Limitation on Abortion Funding IX-35
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REPORTING REQUIREMENTS IX-35
Sec. 7.01. Budgeting and Reporting IX-35
Sec. 7.02. Annual Reports and Inventorirq IX-36
Sec. 7.03. Notification to Members ofthe Legislature IX-36
Sec. 7.04. Contract Notification: Amounts Greater than $50,000 IX-36
Sec. 7.05. Reports and References.......................................................................................... IX-37
Sec. 7.06. Internal Assessments on Utilization of Historically Underutilized
Businesses . IX-38
Sec. 7.07. Historically Underutilized Business Policy Compliance IX-38
Sec. 7.08. Reporting of Historically Underutilized Business (HUB) Key Measures IX-38
.............
Sec. 7.09. Fraud Reporting LX-39
Sec. 7.10. Border Security . IX-39
Sec. 7.11. Notification of Certain Purchases or Contract Awards, Amendments,
and Extensions IX-40
Sec. 7.12. Document Production Standards............................................................................ IX-41
OTHER APPROPRIATION AUTHORITY IX-41
Sec. 8.01. Acceptance of Gifts of Money .IX-41
Sec. 8.02. Reimbursements and Paymentq IX-42
Sec. 8.03. Surplus Property IX-43
Sec. 8.04. Refunds of Deposits., 1X-43
Sec. 8.05. Vending Machines IX-43
Sec. 8.06. Pay Station Telephonef IX-44
Sec. 8.07. Appropriation of Collections for Seminars and Conferences IX-44
Sec. 8.08. Appropriation of Bond Proceeds............................................................................ IX-44
Sec. 8.09. CMIA Interest and Other Federal Paymentc IX-44
Sec. 8.10. Appropriation ofReceipts: Credit, Charge, Debit Card, or Electronic
Cost Recovery Service Feeq . IX-44
Sec. 8.11. Employee Meal Authorization IX-44
Sec. 8.12. Bank Fees and Charges IX-45
Sec. 8.13. Appropriation of Specialty License Plate Receipte IX-45
Sec. 8.14. Cost Recovery of Application or Testing Fees IX-45
Sec. 8.15. Cost Recovery of Fees IX-45
Sec. 8.16. Deaccessioned 1tems, IX-45
INFORMATION RESOURCES PROVISIONS IX-45
Sec. 9.01. Purchases of Information Resources Technologies................................................ IX-45
Sec. 9.02. Quality Assurance Review ofMajor Information Resources Projects................... IX-46
Sec. 9.03. Biennial Operating Plan and Information Resources Strategic Plan
' Approval IX-48
Sec. 9.04. Information Technology Replacement . IX-48
Sec. 9.05. Texas.gov Project: Occupational Licenses............................................................. IX-48
Sec. 9.06. Texas.gov Project: Cost Recovery Feeq 1X-49
Sec. 9.07. Server Consolidation Status Update IX-49
Sec. 9.08. Prioritization of Cybersecurity and Legacy System Projects................................. IX-49
Sec. 9.09. Surplus Information Technology Hardware IX-49
Sec. 9.10. Centralized Accounting and Payroll/Personnel System Deployments................... IX-49
Sec. 9.11. Staff Telecommunications Survey and Analysis IX-50
Sec. 9.12. Assignment of Contract Responsibility IX-50
Sec. 9.13. Report on Monitoring Assessments by State Auditor............................................ IX-52
HEALTH-RELATED PROVISIONS IX-53
Sec. 10.01. Full Application for Health Coverage............................................................... IX-53
Sec. 10.02. Appropriation of Disproportionate Share Hospital Payments to
State-Owned Hospitalq IX-53
Sec. 10.03. Informational Listing on Use ofTobacco Settlement Receipts IX-53
........................
Sec. 10.04. Statewide Behavioral Health Strategic Plan and Coordinated
Expenditureq IX-55
Sec. 10.05. Funding for Autism Servireq IX-57
Sec. 10.06. Cross-Agency Coordination on Healthcare Strategies and Measures............... IX-58
PROVISIONS RELATED TO REAL PROPERTY IX-58
Sec. 11.01. Limitation on Use of Funds for Personal Residences IX-58
Sec. 11.02. Reporting Related to State Owned Housing IX-59
Sec. 11.03. Statewide Capital Planning . IX-59
Sec. 11.04. Efficient Use of State Owned and Leased Space IX-60
..............................................
Sec. 11.05. State Agency Emergency Leases 1X-60
Sec. 11.06. Prepayment of Annual Lease Coqtq . IX-61
Sec. 11.07. Efficient Use of State Property to House State Facilities.................................. IX-61
PROVISIONS RELATED TO PROPERTY IX-61
Sec. 12.01. Aircraft ]X-61
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Sec. 12.02. Publication or Sale of Printed, Recorded, or Electronically Produced
Matter or Rernrrlg IX-62
Sec. 12.03. Limitation on Expenditures for Purchases and Conversions of
Alternative Fuel Vehicleg IX-62
Sec. 12.04. Transfer ofMaster Lease Purchase Program Payments .................................... IX-62
Sec. 12.05. Vehicle Fleet Maintenance and Repair IX-63
FEDERAL FUNDS IX-63
Sec. 13.01. Federal Funds/Block Grants.............................................................................. IX-63
Sec. 13.02. Report of Additional Funding IX-63
Sec. 13.03. Reports to Comptroller.. 1X-64
Sec. 13.04. Deposit and Expenditure Limitations................................................................ IX-64
Sec. 13.05. Reimbursements from Federal Funds................................................................ IX-64
Sec. 13.06. Limitations on Classified Positions................................................................... IX-64
Sec. 13.07. Funding Reductione 1X-64
Sec. 13.08. Unexpended Balances ..IX-64
Sec. 13.09. Temporary Assistance for Needy Families (TANF), Social Services Block
Grant (SSBG), or Child Care and Development Block Grant (CCDBG) IX-65
.........
Sec. 13.10. Definition, Appropriation, Reporting and Audit of
Earned Federal Fundq IX-65
Sec. 13.11. Reporting of Federal Homeland Security Funding IX-67
AGENCY DISCRETIONARY TRANSFER PROVISIONS IX-67
Sec. 14.01. Appropriation Trangfprq IX-67
Sec. 14.02. Transfers for Contract Servireq IX-68
Sec. 14.03. Transfers - Capital Budget IX-68
Sec. 14.04. Disaster Related Transfer Authority 1X-70
Sec. 14.05. Unexpended Balance Authority Between Fiscal Years within
the Same Biennium .. IX-71
AGENCY NON-DISCRETIONARY TRANSFER PROVISIONS IX-71
Sec. 15.01. Reimbursements for Unemployment Benefits IX-71
Sec. 15.02. Payments to the State Office of Risk Management (SORM)............................ IX-72
Sec. 15.03. Contingency Appropriation Reduction IX-74
Sec. 15.04. Appropriation Transfers: Billings for Statewide Allocated Costs..................... IX-74
LEGAL REPRESENTATION AND JUDGMENTS PROVISIONS IX-74
Sec. 16.01. Court Representation and Outside Legal Counsel............................................. IX-74
Sec. 16.02. Contingent Fee Contract for Legal Services IX-76
Sec. 16.03. Proceeds of Litigation... .. IX-76
Sec. 16.04. Judgments and Settlements IX-77
Sec. 16.05. Incidents Report: State Supported Living Centers
and State Hospitalf IX-78
Sec. 16.06. Professional Legal Servireq IX-78
MISCELLANEOUS PROVISIONS.. .. IX-79
Sec. 17.01. Contingency Rider IX-79
Sec. 17.02. Limitation on Substitution of General Obligation Bond
Funded Projerk IX-79
Sec. 17.03. Payroll Contribution for Group Health Insurance............................................. IX-79
Sec. 17.04. Veterans Services at Other State Agencies IX-79
Sec. 17.05. Agency Coordination for Youth Prevention and Intervention Services............ IX-79
Sec. 17.06. Additional Payroll Contribution for Retirement Contribution IX-80
..........................
Sec. 17.07. Use of Sporting Goods Sales Tax Transfer to the General Revenue -
Dedicated State Parks Account No. 64 .. ]X-80
Sec. 17.08. Reporting Requirement for Funds Held Outside the Treasury.......................... IX-81
Sec. 17.09. Contract Management and Oversight IX-81
Sec. 17.10. Energy Efficiency Savings for State Facilitieq IX-83
Sec. 17.11. Human Trafficking Prevention Coordinating Council .. IX-83
Sec. 17.12. Reports on Interagency Contracts IX-85
Sec. 17.13. Realtime Captioning of Open Meetinge .. IX-85
Sec. 17.14. Informational Listing of Program Funding IX-85
Sec. 17.15. Contingency Appropriation for the Capitol Complex Safety Zone................... IX-85
Sec. 17.16. Contact Tracing LX-85
Sec. 17.17. Reporting: Texas Opioid Settlement Receipts LX-85
Sec. 17.18. Informational Listing: Pro-rata Share ofTexas Opioid Settlement Receipts
Received by Municipal Areas and Regions . IX-86
Sec. 17.19. Agency's Participation in Master Lease Purchase Program............................ IX-109
Sec. 17.20. Appropriation of Administrative Receipts IX-109
Sec. 17.21. Informational Listing: Federal Elementary and Secondary School
Emergency Relief Funds IX-109
Sec. 17.22. Spaceport Trust Fund IX-109
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Sec. 17.23. Victims of Human Trafficking........................................................................ IX-110
Sec. 17.24. Caddo Mounds Visitors Center LX-110
Sec. 17.25. Courthouse Grants........................................................................................... 1X-110
Sec. 17.26. Mission Socorro Archaeological Site IX-110
Sec. 17.27. Texas Holocaust and Genocide Commission Five Percent Restoration.......... IX-110
Sec. 17.28. Washington-on-the-Brazos State Historic Site IX-110
Sec. 17.29. Family Finding Collaboration Funding........................................................... IX-110
Sec. 17.30. Nurse Family Partnership IX-110
Sec. 17.31. Multi-Assistance Center Demonstration Projert IX-110
Sec. 17.32. Rusk State Hospital Building #5 Demolition IX-111
Sec. 17.33. Additional Funding for Texas Division of Emergency Management IX-111
.............
Sec. 17.34. Additional Funding for Article III - Higher Education IX-111
...................................
Sec. 17.35. Funding for Various Programs at the Texas Education Agency IX-113
.....................
Sec. 17.36. League City Mega Center Driver License Office IX-113
Sec. 17.37. Competency-Based Education Degree Plans IX-113
Sec. 17.38. Galveston Park Board of Trustees for Beach Patrol Services IX-113
.........................
Sec. 17.39. TCEQ Aggregate Operations IX-113
Sec. 17.40. Recreational Facilitieq IX-113
Sec. 17.41. Economically Distressed Areas Program (EDAP) IX-114
Sec. 17.42. Accumulated Siltation at Lake Houston IX-114
Sec. 17.43. Ector County Airport Runway . LX-114
Sec. 17.44. Emergency and First Responder Airport Facilities IX-114
Sec. 17.45. Council of Government Salary Schedules....................................................... IX-114
Sec. 17.46. Appropriation for Law Enforcement Officer Salary Increase LX-115
.........................
Sec. 17.47. Additional Funding for Formula Funding IX-115
Sec. 17.48. Additional Reductions to Appropriations made under other Articles............. IX-115
CONTINGENCY AND OTHER PROVISIONS IX-117
Recapitulation - Article IX - General Provisions - General Revenue.......................................... IX-131
Recapitulation - Article IX - General Provisions - General Revenue - Dedicated................. .... IX-132
Recapitulation - Article IX - General Provisions - Federal Fundq IX-133
Recapitulation - Article IX - General Provisions - Other Funds IX-134
Recapitulation- Article 1X -General Provisions- All Funds...................................................... IX-135
CONTINGENCY PROVISIONS: ARTICLE AND AGENCY INDEX IX-136
ARTICLE X - THE LEGISLATURE
Senate X-1
House of Representativeq x-2
Legislative Budget Board 9-2
Legislative Council 3(-3
Uniform State Laws, Commission on X-4
Sunset Advisory Commission..............................................................................................................X-5
State Auditor's Offirp X-6
Legislative Reference Library X-7
Retirement and Group Insurance X-8
.........................................................................................................
Social Security and Benefit Replacement.Pay 3(-8
Lease Paymenk X-9
Special Provisions Relating to the Legislature X-9
Recapitulation - Article X - General Revenue X-10
Recapitulation - Article X - Other Funrk X-11
Recapitulation - Article X - All Funds...............................................................................................X-12
ARTICLE XI - SAVINGS CLAUSE X1-1
ARTICLE XII - EMERGENCY CLAUSE..................................................................................... XI-1
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RECAPITULATION - ALL ARTICLES
(General Revenue)
For the Years Ending
August 31, August 31,
2022 2023
ARTICLE 1 - General Government $ 2,197,940,933 $ 1,866,401,230
ARTICLE 11 -Health and Human Services 17,183,698,693 17,107,699,825
ARTICLE 111 - Agencies of Education 31,263,682,104 31,481,378,606
ARTICLE IV - The Judiciary 276,087,308 275,479,042
ARTICLE V - Public Safety and Criminal Justice 6,085,692,235 5,969,269,581
ARTICLE VI - Natural Resources 513,723,554 488,361,551
ARTICLE VII - Business and Economic Development 244,986,142 245,065,474
ARTICLE VIII - Regulatory 152,652,736 149,065,948
ARTICLE IX - General Provisions 57,884,790 398,927,544
ARTICLE X - The Legislature 198,955,736 2 It.224,746
GRAND TOTAL, General Revenue L-iLLZilQi231 Lia.192*811541
RECAPITULATION - ALL ARTICLES
(General Revenue-Dedicated)
For the Years Ending
August 31, August 31,
2022 2023
ARTICLE 1 - General Government $ 386,181,196 $ 222,939,427
ARTICLE 11 - Health and Human Services 278,804,718 279,263,247
ARTICLE 111 - Agencies of Education 1,403,338,034 1,402,735,845
ARTICLE IV - The Judiciary 101,476,124 91,274,079
ARTICLE V - Public Safety and Criminal Justice 25,211,179 25,272,970
ARTICLE VI -Natural Resources 609,408,904 556,402,326
ARTICLE VII - Business and Economic Development 306,001,554 293,528,761
ARTICLE Vill - Regulatory 166,364,413 163,654,548
ARTICLE IX - General Provisions 2,171,886 1,190,386
ARTICLE X - The Legislature 0 0
GRAND TOTAL, General Revenue-Dedicated $ 3,278,958,008 $ 3,036,261,589
RECAPITULATION - ALL ARTICLES
(Federal Funds)
For the Years Ending
August 31, August 31,
2022 2023
ARTICLE 1 - General Government $ 648,188,994 $ 595,555,677
ARTICLE 11 - Health and Human Services 25,460,012,233 25,202,198,711
ARTICLE 111 - Agencies of Education 5,888,218,883 5,826,152,805
ARTICLE IV - The Judiciary 2,255,162 2,255,162
ARTICLE V - Public Safety and Criminal Justice 334,780,114 290,145,020
ARTICLE VI - Natural Resources 3,001,762,880 1,858,184,051
ARTICLE VII - Business and Economic Development 6,970,100,090 7,029,236,134
ARTICLE VI11- Regulatory 4,732,499 4,771,327
ARTICLE IX - General Provisions 1,572,406,500 76,145,652
ARTICLE X - The Legislature 0 0
GRAND TOTAL, Federal Funds $ 43,882.457,355 $ 40,884,644,539
RECAP-Conf-ALL iX May 23,2021
App.161
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 163 of 272 PageID 385
RECAPITULATION - ALL ARTICLES
(Other Funds)*
For the Years Ending
August 31, August 31,
2022 2023
ARTICLE I - General Government $ 504,258,281 $ 498,116,587
ARTICLE 11 - Health and Human Services 569,650,154 596,666,594
ARTICLE 111 - Agencies of Education 8,298,608,467 7,941,476,589
ARTICLE IV - The Judiciary 89,100,856 90,318,022
ARTICLE V - Public Safety and Criminal Justice 87,508,557 74,513,457
ARTICLE Vl - Natural Resources 262,549,537 217,161,568
ARTICLE VII - Business and Economic Development 10,963,477,558 10,494,400,482
ARTICLE VIH - Regulatory 34,872,247 51,924,773
ARTICLE IX - General Provisions 172,710,604 153,860,130
ARTICLE X - The Legislature 101.425 101.425
GRAND TOTAL, Other Funds $ 2[.222,I-25
01'K#/Illoo $ 20.118.539.627
* Excludes interagency contracts
RECAPITULATION - ALL ARTICLES
(All Funds)*
For the Years Ending
August 31, August 31,
2022 2023
ARTICLE I - General Government $ 3,736,569,404 $ 3,183,012,921
ARTICLE 11 -Health and Human Services 43,492,165,798 43,185,828,377
ARTICLE III - Agencies of Education 46,853,847,488 46,651,743,845
ARTICLE IV - The Judiciary 468,919,450 459,326,305
ARTICLE V - Public Safety and Criminal Justice 6,533,192,085 6,359,201,028
ARTICLE VI - Natural Resources 4,387,444,875 3,120,109,496
ARTICLE VII - Business and Economic Development 18,484,565,344 18,062,230,851
ARTICLE VIII - Regulatory 358,621,895 369,416,596
ARTICLE IX - General Provisions 1,805,173,780 630,123,712
ARTICLE X - The Legislature 199,057.161 211.326,171
GRAND TOTAL, All Funds $ 126,319,557,280 $ 122,232,319,302
Number of Full-Time-Equivalents (FTE) -
Appropriated Funds 216,071.2 215,848.1
* Excludes interagency contracts
RECAP-Conf-ALL X May 23,2021
App.162
02£C
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page
r 164
Yof 272 1 PageID 386 1
S.B.No.
03 D rh /01 k. rn
pf'es 0ent 92'-th6 Senate speakeT-er the House
1 /\/ certify that S.B. No. 1 passed the Senate on
April 6, 2021, by the following vote: Yeas 31, Nays 0;
7. April 26, 2021, Senate refused to concur in House amendments and
requested appointment of Conference Committee; April 27, 2021,
House granted request of the Senate; May 26, 2021, Senate adopted
Conference Committee Report by the following vote: Yeas 31,
Nays 0; passed subject to the provisions of Article III,
Section 49a, of the Constitution of Texas.
f-&113
A
Secretar~ 0423/Senate
I hereby certify that S.B. No. 1 passed the House, with
amendments, on April 22, 2021, by the following vote: Yeas 149,
73 Nays 0, zero present not voting; April 27, 2021, House granted
i ·t
request of the Senate for appointment of Conference Committee;
May 27, 2021, House adopted Conference Committee Report by the
following vote: Yeas 142, Nays 6, zero present not voting; passed
subject to the provisions of Article III, ,~tion 49a, of the
Constitution of Texas.
8
. 18- 7
Chief Clerk of the Hous
Approved:
19-1/
Date
A
o ernor
I.)1'-. 1, Glenn Hegar, Comptroller of
,~ublic Accounts, do
07 hereby certify that the amounts
appropriated in the herein
S.B. No. 1, Regular Session,
:rt. 87th Legislature, are within the
amount estimated to be available
li in the affected fund.
FILED IN THE OFFICE OF THE
Certified ~~~~re ¢~- , 20 2c .
u Frn
SECRETARY OF STATE
Jl~ 1 8~2021
O'CLOCK
Comptroller of Pu6liA Accounts
<3 L-
Secretary of State
App.163
961
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 165 of 272 PageID 387
PROCLAMATION
BYTHE
Qi mremnr of f4~~faf~ of W:~xas
41-3844
TO ALL TO WHOM THESE PRESENTS SHALL COME:
Senate Bill o. 1, the General Appropriations Act, having been duly certified by the
Comptroller of Public Accounts pursuant to Article III, Section 49a of the Texas
Constitution, has been presented to me for action.
I am proud to sign a budget that does not grow government in an amount greater than the
increase in population and inflation while also making targeted investments in areas such
as public education, foster care, law enforcement, border security, pension solvency, and
broadband access.
However, I hereby object to and veto the following items from Senate Bill No.1, and
include a statement of my objections to each of those items.
Article X - The Legislature
2022 2023
A.I.I. Strategy: ~SEB:I'~J:AA:+T£E'-----------i!r.$3¥41-;',4'h2:-i2~,6'H144--~$3~7f-7.,2~9:1-!1-IH
;-,=685
3. Unexpended Balances. Any unobligated and unexpended balances remaining as of August 31. 2021,
from appropriations made to the Senate are appropriated to the Senate for the same purposes for the
biennium beginning Septenlber I, ?O? I.
Any unobligated and unexpended balances remaining as of August 31,2022, from appropriations made to
the Senate are appropriated for the same purposes for the fiscal year beginning September 1,2022.
House of Representatives
2022 2023
A.I.l. Strategy: HOUSE OF REPRESENTATIVES $43,098,410 $48,600,335
3. Unexpended Balances. Any unobligated and unexpended balances remaining as of August 31,2021.
from appropriations made to the House of Representatiyes are appropriated to the House of Representati yes
for the same purposes for the biennium beginning September I, 20? I.
An)' unobligated and unexpended balances remaining as of August 31,2022, from appropriations made to
the House of Representatives are appropriated for the same purposes for the fiscal year beginning
September I, 2022.
Legislative Budget Board
2022 2023
A.I.I. Strategy: LEGISLATIVE BUDGET BOARD $13, 178,999 $13, 178,998
2. Unexpended Balance. Any unobligated and une)(pended balances remaining as of August 31, ?021 ,
from appropriations made to the Legislati\'e Budget Board are appropriated to the Legislati\'e Budget
Board for the same purposes for the biennium beginning September 1,2021.
Any unobligated and unexpended balances remaining as of August 31,2022. from appropriations made to
the Legislative Budget Board are appropriated to the Legislative Budget Board for the same purposes for
the fiscal year beginning Septenlber 1,2022.
App.164
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 166 of 272 PageID 388
Governor Greg Abbott S8 J Signature and item Disapproval Proclamation
June 18.2021 Page 2
Legislative Council
2022 2023
A.1.1. Strategy: LEGISLATIVE COUNCIL $40,205,883 $43,556,374
2. Unexpended Balances. Any unobligated and unexpended balances remaining as of August 31,2021,
from appropriations made to the Legislati\'e Council are appropriated to the Legislative Council for the
same purposes for the biennium beginning September 1,2021.
Any unobligated and unexpended balances remaining as of August 3 1,2022, from appropriations made to
the Legislati\'e Council are appropriated 10 the Legislative Council for the same purposes for the fiscal year
beginning September 1,2022.
Commission on Uniform State Laws
2022
A.1.1. Strategy: COMMISSION ON UNIFORM
STATE LAWS $143,958 $143,958
2. Unexpended Balances. Any unobligated and unexpended balances remaining as of August 31,2021,
from appropriations made to the Commission on Uniform State Laws are appropriated to the Commission
on Uniform State Laws for the same purposes for the biennium beginning September 1,2021.
Any unobligated and unexpended balances remaining as of August 31, 2022, from appropriations made to
the Commission on Uniform State Laws are appropriated to the Commission on Uniform State Laws for
the same purposes for the fiscal year beginning September 1,2022.
Sunset Advisory Commission
2022 2023
A.1.1. Strategy: SUNSET ADVISORY COMMISSION $2,268,722 $2,268,722
1. Unexpended Balances. Any unobligated and unexpended balances remaining as or August 31,2021,
from appropriations made to the Sunset Advisory Commission are appropriated to the Sunset Advisory
Commission for the same purposes for the biennium beginning September 1,2021.
Any unobligated and unexpended balances remaining as of August 31,2022, from appropriations made to
the Sunset Advisory Commission are appropriated to the Suwjet Advisory Commission for the same
purposes for the fiscal year beginning September I, 2022.
2. Appropriation to Sunset Advisory Commission Account. The money that an entity is required by law
to pay to the Sunset Advisory Commission to cover the costs the commission incurs in performing a review
of the entity is appropriated to the commission for maintaining the operations of the commission.
State Auditor's Office
2022 2023
A.1.1. Strategy: STATE AUDITOR $21,802,403 $21,802,402
2. Appropriation of Appropriated Receipts. All funds reimbursed to the State Auditor's Gffice (SAG) by
governmental entities for the provision or services are appropriated to the SAG during the fiscal year in
'"'hich they are received and shall be used as provided by Government Code, Chapter 321.
3. Unexpended Balances. Any unobligated and unexpended balances remaining as of August 31,2021,
from appropriations made to the State Auditor'[j Gffice (SAG) from the General Revenue Fund are
appropriated to the SAG for the same purposes for the biennium beginning September 1,2021.
Any unobligated and unexpended balance remaining as of August 31,2022, from appropriations made to
the SAG from the General Revenue Fund are appropriated to the SAG for the same purposes for the fiscal
year beginning September 1,2022.
Legislative Reference Library
2022
A.1.1. Strategy: LEGISLATIVE REFERENCE
LIBRARY $1,735,750 $1,735,750
2. Unexpended Balances. Any unobligated and unexpended balances remaining as of August 31, 2021,
from appropriations made to the Legislative Reference Library from the General Revenue Fund are
appropriated for the same purposes for the biennium beginning September I, ?021.
App.165
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 167 of 272 PageID 389
Governor Greg Abbott SB I Signature and Item Disapproval Proclamation
June 18.2021 Page 3
ARY uRobligated aRd uRexpeRded balaRces remaiRiRg as of August 31, 202?, from appropriatioRs made to
the Legislatiye RefereRce Library from the General ReveRue FURd are appropriated for the same purposes
for the fiscal )'ear begiRRiRg ~eptember 1,2022.
Texans don't run from a legislative fight, and they don't walk away from unfinished business.
Funding should not be providedfor those who quit their job early, leaving their state with
unfinished business and exposing taxpayers to higher costs for an additional legislative
session. I therefore object to and disapprove of these appropriations.
I have signed Senate Bill No.1 together with this proclamation, stating my objections in
accordance with Article IV, Section 14, of the Texas Constitution.
Since the 87th Legislature, Regular Session, by its adjournment has prevented the return
of this bill, I am filing this bill and these objections in the office of the Secretary of State
and giving notice thereof by this public proclamation according to the aforementioned
constitutional provision.
IN TESTLMO Y WHEREOF, I
have signed my name officially
and caused the Seal of the State to
be affixed hereto at Austin, this
18th day of June, 2021.
~TT~~~~~~
Governor of Texas
ATTESTED BY:
Deputy Secretary of State
FILED IN THE OFFICE OF THE
SECBETARY OF STATE
11· 0 pxnO'CLOCK
JUN 1 8 2021
~&-
App.166
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 168 of 272 PageID 390
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
FY 21-22 Total State Budget Summary
EXHIBIT A-6
App.167
FY 21-22 Total State Budget Summary
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21
Page 169 of 272 PageID 391
As the Bills Left the House
Prepared by the House Fiscal Division – May 19, 2021
Available State General Fund Forecast
Official forecast adopted by REC on January 19, 2021 = $9,567,300,000
Reengrossed bill versions = $9,567,300,000 (REC increased the forecast by $320.2M on May 18, 2021)
− $8.8 B - General Operating Appropriations − $161.5 M - Judicial Appropriations
− $0 - Ancillary Operating Appropriations − $73.6 M - Legislative Appropriations
− $525.4 M - Non-Appropriated Requirements − $0 - Capital Outlay (HB2 Re-Reengrossed)
Funding by Means of Finance: FY21 Existing vs. FY22 Reengrossed
FY21 FY22
Means of Finance Change from FY21 to FY22
Existing Budget Reengrossed
State General Fund $9,313,994,979 $9,567,300,000 $253,305,021 2.7%
Interagency Transfers $2,391,134,866 $1,826,347,164 ($564,787,702) (23.6%)
Fees & Self-gen Rev $4,845,767,080 $5,241,912,624 $396,145,544 8.2%
Statutory Dedications $5,879,091,259 $5,694,487,249 ($184,604,010) (3.1%)
Federal $18,055,592,188 $19,551,163,031 $1,495,570,843 8.3%
Total $40,485,580,372 $41,881,210,068 $1,395,629,696 3.4%
Significant State General Fund Changes
• $79.5M to the Department of Education for the MFP for a pay increase for teachers and support staff
($800 per certificated teacher, $400 for support staff)
• $56.4M for Higher Education to increase formula funding and statewide services costs ($31.1M),
provide for a Faculty pay increase ($19.8M), and support specialized institutions ($5.5M)
• $23.2M for LOSFA scholarship programs ($12.2 to fully fund TOPS, $11M for Go Grants)
• $35.6M to Department of Corrections for personnel services, supplies, and offender medical expenses,
issues typically addressed each year in the supplemental bill
• $23.8M for local housing of state adult offenders
• $25.3M for net statewide adjustments (including but not limited to civil service market rate, group
insurance, related benefits, risk management, legislative auditor fees, rent in state owned building,
and Office of Technology Services (OTS) adjustments)
• $11.5M for annual maintenance and support for the Louisiana Wireless Information Network (LWIN)
• $6.3M for foster care board rates, adoption subsidies, and guardianship subsidies (plus $5.6M in
additional federal funds)
Federal Funds
• $924.5M from the American Rescue Plan (ARP) Act: Federal-Coronavirus State Fiscal Recovery Fund $400M
Unemployment (FED), $300M Water (SD), $55M Ports (SD), $50M Nonprofits (SD), $10M Loggers (SD), $4.5M Save
App.168
Our Screens (SD); Federal-Coronavirus Capital Project Fund $90M Broadband (SD), $15M Cap. Tech. Enh. Fund (SD)
• $314M in savings due to additional enhanced FMAP matching rates to fund services
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 170 of 272 PageID 392
Funding by Means of Finance: FY22 Original vs. FY22 Reengrossed
FY22 FY22 Change from FY22 Original to
Means of Finance
Original Reengrossed FY22 Reengrossed
State General Fund $9,596,777,165 $9,567,300,000 ($29,477,165) (0.3%)
Interagency Transfers $1,813,596,501 $1,826,347,164 $12,750,663 0.7%
Fees & Self-gen Rev $5,065,634,892 $5,241,912,624 $176,277,732 3.5%
Statutory Dedications $5,124,847,758 $5,694,487,249 $569,639,491 11.1%
Federal $18,641,323,775 $19,551,163,031 $909,839,256 4.9%
Total $40,242,180,091 $41,881,210,068 $1,639,029,977 4.1%
Significant Amendments to HB 1 in the House
• $924.5M from the American Rescue Plan (ARP) Act: Federal-Coronavirus State Fiscal Recovery Fund
$400M Unemployment (FED), $300M Water (SD), $55M Ports (SD), $50M Nonprofits (SD), $10M Loggers
(SD), $4.5M Save Our Screens (SD); Federal-Coronavirus Capital Projects Fund $90M Broadband (SD),
$15M Capitol Technology Enhancement Fund (SD)
• $274M (FED) additional federal relief funding from CRRSA and ARP Acts for COVID-19 testing, vaccine
initiatives, and screening in schools in the Office of Public Health
• $52M (SD & FED) for rate increases to providers of individuals with developmental disabilities
• $21.2M (FED) for mental health and substance abuse prevention and treatment in the Office of
Behavioral Health
• $15M (SD) from the State Emergency Response Fund for emergency response efforts in GOHSEP
• $11.9M (SGF & FED) for foster care board rates, adoption subsidies, and guardianship subsidies
• $5.8M (SGF & FED) for 500 additional Community Choice Waiver slots
• $3.6M (SGF) for the LSU Agricultural Center for operating expenses
• $3.4M (SD & FED) from CARES Act and LA State Parks Improvement and Repair Fund for permanent
sewage connections at nine state parks
• $2.3M (SGF) to the Department of Education for the MFP to fully fund pay increase for teachers and
support staff ($800 per certificated teacher, $400 for support staff)
• ($23.8M) reduces LDH funding for the Payments to Private Providers Program
• ($2.4M) (FSGR) removed all funding and authorized positions (20) in the Office of Charitable Gaming
• ($1.4M) (SGF) reduces savings realized by paying off financed equipment and vehicles in FY 21
• Language amendments: restricting changes for the personal services expenditure category (salaries,
related benefits, and other compensation); requiring monthly reports from DOA to JLCB regarding
COVID monies and expenditures; requiring JLCB approval prior to Secretary of State purchasing any
voting equipment; and encouraging LDH to look at alternative hospital supplemental payment methods
• Spreads Higher Education’s State General Fund directly to the higher education institutions
• Creates separate sections to identify federal relief funds within an agency’s budget
App.169
SGF = State General Fund IAT = Interagency Transfers FSGR = Fees & Self-generated Revenues
SD = Statutory Dedications FED = Federal Funds
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 171 of 272 PageID 393
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
March 16, 2021 Letter from State Attorneys General to Secretary Janet L. Yellen
EXHIBIT A-7
App.170
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 172 of 272 PageID 394
Office of the Attorney General Office of the Attorney General Office of the Attorney General
State of Georgia State of Arizona State of West Virginia
March 16, 2021
VIA EMAIL & U.S. MAIL
The Honorable Janet L. Yellen
Secretary
Department of the Treasury
1500 Pennsylvania Avenue, N.W.
Washington, D.C. 20220
(202) 622-1100
correspondence@treasury.gov
Re: Treasury Action to Prevent Unconstitutional Restriction on State’s
Fiscal Policy through American Rescue Plan Act of 2021
Dear Secretary Yellen:
The undersigned State Attorneys General request that the Department of the
Treasury take immediate action to confirm that certain provisions of the American
Rescue Plan Act (the “Act”) do not attempt to strip States of their core sovereign
authority to enact and implement basic tax policy. Those provisions, found in section
9901 of the Act,1 forbid States from using COVID-19 relief funds to “directly or
indirectly offset a reduction in … net tax revenue” resulting from state laws or
regulations that reduce tax burdens—whether by cutting rates or by giving rebates,
deductions, credits, “or otherwise[.]”2 This language could be read to deny States the
ability to cut taxes in any manner whatsoever—even if they would have provided such
tax relief with or without the prospect of COVID-19 relief funds. Absent a more sensible
interpretation from your department, this provision would amount to an unprecedented
and unconstitutional intrusion on the separate sovereignty of the States through federal
usurpation of essentially one half of the State’s fiscal ledgers (i.e., the revenue half).
Indeed, such federal usurpation of state tax policy would represent the greatest attempted
invasion of state sovereignty by Congress in the history of our Republic.
1
https://www.congress.gov/117/bills/hr1319/BILLS-117hr1319enr.pdf.
2
Id. at pp. 1319-223.
App.171
2005 NORTH CENTRAL AVENUE, PHOENIX, AZ 85004-1592 PHONE 602.542.4266 WWW.AZAG.GOV
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 173 of 272 PageID 395
Letter to Secretary Janet L. Yellen
March 16, 2021
Page 2
Section 9901 of the American Rescue Plan Act, which amends sections 602 and
603 of the Social Security Act, explains what States may and may not use COVID-19
recovery funds for. Most pertinent here, subsection 602(c)(2)(A) (the “Tax Cut
Prohibition”) prohibits the States from “us[ing] the funds provided under this section …
to either directly or indirectly offset a reduction in the net tax revenue of such State or
territory resulting from a change in law, regulation, or administrative interpretation
during the covered period that reduces any tax (by providing for a reduction in a rate, a
rebate, a deduction, a credit, or otherwise) or delays the imposition of any tax or tax
increase.”3 States must certify that they will use any COVID-19 relief funds provided
under the Act “in compliance with subsection (c) of this section[,]” and if a State fails to
comply, the Act requires the State to repay the funds in “an amount equal to the amount
of funds used in violation of such subsection[.]”4
The import of the Act’s prohibition against “offsetting” reductions in state tax
revenue is unclear, but potentially breathtaking. This provision might have been intended
merely to prohibit States from expressly taking COVID-19 relief funds and rolling them
directly into a tax cut of a similar amount. But its prohibition on “indirectly” offsetting
reductions in tax revenue, combined with the list of prohibited kinds of tax reductions
(rate cuts, rebates, deductions, credits, or “otherwise”), could also be read to prohibit tax
cuts or relief of any stripe, even if wholly unrelated to and independent of the availability
of relief funds. After all, money is fungible, and States must balance their budgets. So,
in a sense, any tax relief enacted by a state legislature after the State has received relief
funds could be viewed as “using” those funds as an “offset” that allows the State to
provide that tax relief.
Several real and hypothetical examples of state tax policy sharpen this troubling
point:
Arizona voters at the 2020 election voted for a large tax increase related to
education that has nothing to do with COVID-19 and the Arizona Legislature
may seek to provide an alternative tax structure for small businesses—again
having nothing to do with COVID-19 or the federal funds.
Arizona is phasing out law-enforcement fees on vehicle registration renewals.
3
“Covered period” is defined in Section 602(g)(1) as the period that begins on March 3, 2021, and “ends
on the last day of the fiscal year of such State … in which all funds received by the State … from a
payment made under this section or a transfer made under section 603(c)(4) have been expended or
returned to, or recovered by, the Secretary.”
4
It further provides that “in the case of a violation of subsection (c)(2)(A), the amount the State … shall
be required to repay shall be the lesser of—(1) the amount of the applicable reduction to net tax revenue
attributable to such violation; and (2) the amount of funds received by such State … pursuant to a
payment made under this section or a transfer made under section 603(c)(4).”
App.172
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 174 of 272 PageID 396
Letter to Secretary Janet L. Yellen
March 16, 2021
Page 3
During the current legislative session and prior to the passage of the Act,
Georgia’s House of Representatives passed a bill, now under consideration by
its Senate, that would extend a tax credit for families who adopt a child out of
foster care.
Also during the current legislative session and prior to the passage of the Act,
Georgia’s House of Representatives passed a bill that raises the standard
deduction, which would provide Georgians with an estimated $140 million in
state income tax relief that largely benefits those of lower to middle incomes.
The West Virginia Legislature is considering a bill to extend the Neighborhood
Investment Tax Credit (a charitable program) and increase the annual tax credit
cap from $3 million to $5 million. These changes are projected to reduce West
Virginia tax revenue by roughly $2 million per year in future years.
Another bill in West Virginia would expand a limited aircraft repair and
maintenance sales tax exemption to all such activities. This change will result
in a small reduction in sales tax collections.
Alabama legislators are currently considering legislation that would allow tax
exemptions for organizations that provide care for the sick and terminally
ill, offer services for children who are victims of sexual or physical abuse,
furnish new homes for victims of natural disasters, and respond to
emergencies and provide life-saving, rescue, and first-aid services; tax
deductions that would benefit people with special needs and enable citizens to
purchase storm shelters to protect their families from tornadoes; and tax credits
for hospitals and universities engaged in research and development beneficial
to society.
The Indiana General Assembly is considering a tax credit for donations to
public school foundations as well as a tax credit for donations to qualified
foster care organizations. It is also considering various sales tax exemptions
for purchases such as public safety equipment.
Kansas is considering decoupling part of its income tax code from the federal
tax code, to end a state-level income tax increase caused by pass-through
changes from prior federal tax law revisions.
Kansas is considering giving property or income tax deferrals or credits to
small businesses impacted by closure orders during the COVID-19 pandemic.
App.173
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 175 of 272 PageID 397
Letter to Secretary Janet L. Yellen
March 16, 2021
Page 4
Under bipartisan legislation proposed in Kentucky, homeowners in a proposed
tax increment financing district meant to revitalize a predominantly minority
area of Louisville hurt by decades of disinvestment would pay property taxes
for the next three decades based on their property’s assessed value this year.
And a housing developer would be able to defer 80% of its annual property
taxes, up to $7.64 million, to offset construction costs.
Montana’s Legislature is considering a very slight income tax cut for most
income earners.
Montana’s Legislature is also considering increasing its current education tax
credit for families.
In Oklahoma, a bill has passed the House that would, among other things,
restore the refundability of the state’s Earned Income Tax Credit.
Suppose a property decreases in value resulting in a decrease of legally
assessed value, and the state keeps the assessed tax rate consistent—which
results in a decrease in assessed tax amount.
Similarly, suppose a property increases in value, but the State decreases the
assessed rate such that the amount of tax assessed remains unchanged.
Assume that projected state revenue is set to increase 10%, and a state
legislature adopts measures such that the state’s revenue collection “only”
increases 8%.
Not one of these common changes to state tax policy has any real or direct
connection to the State’s potential receipt of COVID-19 relief funds, yet each of them
could be deemed a tax “rebate,” “deduction,” “credit,” or “otherwise” that could result in
a “reduction in the net tax revenue” of the State. Thus, each of these otherwise lawful
enactments could be construed as violations of the Act’s prohibition on “offsetting” tax
cuts.
Put aside the gross federal overreach inherent in trying to take state tax policy
hostage in this way. If this expansive view of this provision were adopted, it would
represent an unprecedented and unconstitutional infringement on the separate sovereignty
of the States. When Congress attaches conditions to a States’ receipt and use of federal
funds, those conditions must (1) be placed “‘unambiguously[,]’” (2) relate to “‘the federal
interest’” for which the spending program was established, (3) not violate other
constitutional provisions, and (4) not contain a financial inducement “so coercive as to
pass the point at which ‘pressure turns into compulsion.’” See generally South Dakota v.
App.174
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Letter to Secretary Janet L. Yellen
March 16, 2021
Page 5
Dole, 483 U.S. 203, 207-208, 211 (1987); National Federation of Independent Business
v. Sebelius, 567 U.S. 519 (2012). Spending conditions imposed on States that do not
meet these requirements are not “necessary and proper” for exercising Congress’
spending power and also infringe on powers “reserved to” the States. U.S. Const. Art. I,
Section 8, Clause 18; U.S. Const. Amd. X. The Act’s Tax Cut Prohibition violates these
requirements.
First, if the Tax Cut Prohibition were interpreted to place any limits on how States
could enact tax relief not directly connected to the relief funds provided by the Act, it
would impose a hopelessly ambiguous condition on federal funding. The examples listed
above make the point: how is a State to know, when accepting the relief funds, whether
any of these kinds of commonplace and sensible tax relief measures are “indirectly”
offset by COVID-19 relief funds? Is it enough that the funds help balance a state budget
that also contains tax relief measures? What if the presence of relief funds in 2021’s
budget effectively frees up funds to offer tax relief in 2022? Absent a clear and narrowing
construction by Treasury regulation, States cannot possibly know the bargain they are
striking in accepting the relief funds. Yet the “legitimacy of Congress’ power to legislate
under the spending power … rests on whether the State voluntarily and knowingly
accepts the terms of the ‘contract.’” Pennhurst State School and Hospital v. Halderman,
451 U.S. 1, 17 (1981).
Second, for similar reasons, a maximalist construction of the Tax Cut Prohibition
would result in federal conditions that do not relate to the federal interest for which the
spending program was established: relief from the economic harms caused by COVID-
19. It is one thing to require that coronavirus-stimulus-related money be spent on
coronavirus-related stimulus. It is quite another, and beyond Congress’s Spending
Power, to forbid States from providing tax relief of any kind, for any reason, merely to
ensure that federal funds are spent for their intended purpose.
Third, a broad construction of the Tax Cut Prohibition would violate separation of
powers and fundamental democratic principles, and would effectively commandeer half
of the State’s fiscal ledgers, compelling States to adopt the one-way revenue ratchet of
the current Congress for the next three years. For example, if citizens wish to lower their
overall tax burden in the next two election cycles, they cannot elect a candidate for state
office that could actually carry out such a policy. Similarly, elected officials who wish to
spend more public funds would now have a ready excuse for why state surpluses cannot
be used to cut taxes: Congress forbids that, so we “have” to spend it instead. Such a
system would eliminate the democratic accountability that federalism serves to protect.
See, e.g., New York v. United States, 505 U.S. 144, 169 (1992) (“Accountability is thus
diminished when, due to federal coercion, elected state officials cannot regulate in
accordance with the views of the local electorate[.]”). The upshot is that, for purposes of
setting tax policy, there would now be a single sovereign in the United States: Congress.
App.175
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Letter to Secretary Janet L. Yellen
March 16, 2021
Page 6
But fundamental to our Constitution is separate federal and state sovereigns, who can
each set their own taxing policies based on their own independent legislatures.
In addition, a governor could—by mere stroke of a pen—accept the stimulus funds
and thereby bind both (1) the legislature of that state and (2) his or her successor as
governor from cutting any tax or tax assessment. Congress has no such power to intrude
upon the democratic structures of the States, whose republican forms of government are
guaranteed by Article IV. Notably, the 117th Congress cannot even bind the 118th
Congress from enacting legislation contrary to its legislation. Yet a broad construction of
the Tax Cut Prohibition would let the governors of the States in 2021 prohibit future state
governors and legislatures from enacting revenue-reducing measures in 2024.
Fourth, the expansive view of the Tax Cut Prohibition is unconstitutionally
coercive. No one could dispute that Congress cannot force States to pursue certain tax
policies at the state level. Cf. Sebelius, 567 U.S. at 577 (plurality) (“‘[T]he Constitution
has never been understood to confer upon Congress the ability to require the States to
govern according to Congress’ instructions.’ Otherwise the two-government system
established by the Framers would give way to a system that vests power in one central
government, and individual liberty would suffer.” (quoting New York, 505 U.S. at162)).
Congress may not micromanage a State’s fiscal policies in violation of anti-
commandeering principles nor coerce a State into forfeiting one of its core constitutional
functions in exchange for a large check from the federal government. Such “economic
dragooning” of the States cannot withstand constitutional scrutiny. Id. at 582.
Yet the Act arguably compels that result. The COVID-19 pandemic has wreaked
economic havoc across much of the Nation, leaving many citizens in need of short-term
financial support, and Congress determined that some of that support would flow through
the States. Although some States have weathered the crisis better than others, it is
difficult to envision many, if any, turning down this support for their citizens. For
example, Arizona has an annual budget of around $12.4 billion from its general fund, and
the moneys from the State Recovery Fund are anticipated to be $4.8 billion—40 percent
of one year’s general fund budget. As another example, West Virginia’s share represents
over 25% of one year’s budget. Many States put to the Hobson’s choice of taking this
financial support or maintaining their sovereign independence to set their own tax policy
will be hard pressed to decline the federal funds.
Given the foregoing, we ask that you confirm that the American Rescue Plan Act
does not prohibit States from generally providing tax relief through the kinds of measures
listed and discussed above and other, similar measures, but at most precludes express use
of the funds provided under the Act for direct tax cuts rather than for the purposes
specified by the Act. In the absence of such an assurance by March 23, we will take
appropriate additional action to ensure that our States have the clarity and assurance
App.176
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 178 of 272 PageID 400
Letter to Secretary Janet L. Yellen
March 16, 2021
Page 7
necessary to provide for our citizens’ welfare through enacting and implementing
sensible tax policies, including tax relief. We look forward to hearing from you
promptly. Please direct your response to joe.kanefield@azag.gov, and we will forward.5
Sincerely,
Mark Brnovich Christopher M. Carr Patrick Morrisey
Attorney General of Arizona Attorney General of Georgia Attorney General of West
Virginia
Steve Marshall Leslie Rutledge Ashley Moody
Attorney General of Attorney General of Attorney General of Florida
Alabama Arkansas
Lawrence G. Wasden Theodore E. Rokita Derek Schmidt
Attorney General of Idaho Attorney General of Indiana Attorney General of Kansas
Daniel Cameron Jeff Landry Lynn Fitch
Attorney General of Attorney General of Attorney General of
Kentucky Louisiana Mississippi
Eric S. Schmitt Austin Knudsen Douglas J. Peterson
Attorney General of Attorney General of Attorney General of
Missouri Montana Nebraska
Mike Hunter Alan Wilson Jason R. Ravnsborg
Attorney General of Attorney General of South Attorney General of South
Oklahoma Carolina Dakota
Ken Paxton Sean D. Reyes Bridget Hill
Attorney General of Texas Attorney General of Utah Attorney General of
Wyoming
5
Please note this letter is not intended to be and is not in any way a waiver of any legal rights, claims,
defenses, or immunities possessed by the States regarding this matter.
App.177
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 179 of 272 PageID 401
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
March 23, 2021 Letter from Secretary Janet L. Yellen to Mark Brnovich
EXHIBIT A-8
App.178
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App.179
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 181 of 272 PageID 403
App.180
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 182 of 272 PageID 404
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
HB 1195
EXHIBIT A-9
App.181
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 183 of 272 PageID 405
Chapter 4
H.B,. No. 1195
1 AN ACT
2 relating to the franchise tax treatment of certain loans and grants
3 made under the federal Coronavirus Aid, Relief, and Economic
4 Security Act.
5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
6 SECTION 1. Subchapter C, Chapter 171, Tax Code, is amended
7 by adding Section 171.10131 to read as follows:
8 Sec. 171.10131. PROVISIONS RELATED TO CERTAIN MONEY
9 RECEIVED FOR COVID-19 RELIEF. (a) In this section, "qualifying
10 loan or grant proceeds" means the amount of money received by a
11 taxable entity that:
12 (1) 1S:
13 (A) a loan or grant under the Coronavirus Aid,
14 Relief, and Economic Security Act (15 U.S.C. Section 9001 et seq.) ,
15 as amended by the Paycheck Protection Program Flexibility Act of
16 2020 (Pub. L. No. 116-142), the Consolidated Appropriations Act,
17 2021 (Pub. L. No. 116-260), the American Rescue Plan Act of 2021
18 (Pub. L. No. 117-2), and the PPP Extension Act of 2021 (Pub. L.
19 No. 117-6);
20 (B) a shuttered venue operator grant under
21 Section 324 of the Consolidated Appropriations Act, 2021 (Pub. L.
22 No. 116-260), as amended by Section 5005 of the American Rescue
23 Plan Act of 2021 (Pub. L. No. 117-2);
24 (C) microloan program recovery assistance under
1
App.182
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 184 of 272 PageID 406
H.B. No. 1195
1 Section 329 of the Consolidated Appropriations Act, 2021 (Pub. L.
2 No. 116-260); or
3 (D) a grant from the restaurant revitalization
4 fund established under Section 5003 of the American Rescue Plan Act
5 of 2021 (Pub. L. No. 117-2); and
6 (2) lS not included in the taxable entity's gross
7 income for purposes of federal income taxation under:
8 (A) Section 276 or 278 of the Consolidated
9 Appropriations Act, 2021 (Pub. L. No. 116-260); or
10 (B) Section 9672 or 9673 of the American Rescue
11 Plan Act of 2021 (Pub. L. No. 117-2).
12 (b) Notwithstanding any other law, a taxable entity:
13 (1) shall exclude from its total revenue, to the
14 extent included under Section 171.1011(c)(1)(A), (c)(2)(A), or
15 (c)(3), qualifying loan or grant proceeds;
16 (2) may include as a cost of goods sold under Section
17 171.1012 any expense paid using qualifying loan or grant proceeds
18 to the extent the expense is otherwise includable as a cost of goods
19 sold under that section; and
20 (3) may include as compensation under Section 171.1013
21 any expense paid using qualifying loan or grant proceeds to the
22 extent the expense is otherwise includable as compensation under
23 that section.
24 SECTION 2. This Act applies only to a report originally due
25 on or after January 1, 2021.
26 SECTION 3. This Act takes effect immediately if it receives
27 a vote of two-thirds of all the members elected to each house, as
2
App.183
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 185 of 272 PageID 407
H.B. No. 1195
1 provided by Section 39, Article III, Texas Constitution. If this
2 Act does not receive the vote necessary for immediate effect, this
3 Act takes effect September 1, 2021.
3
App.184
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 186 of 272 PageID 408
Senate Speaker of the House
I certify that H.B. No. 1195 was passed by the House on April
1, 2021, by the following vote: Yeas 148, Nays 0, 1 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 1195 on April 23, 2021, by the following vote: Yeas 143, Nays
1, 1 pr esent, not vot ing.
I certify that H.B. No. 1195 was passed by the Senate, with
amendments, on April 19, 2021, by the following vote: Yeas 31,
Nays o.
APPROVED:
5"-- 7-- 2/
FILED IN THE OFFICE OF THE
SECRETARY OF STATE
~:frV) O'CLOCK
4
/I(l::
App.185
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 187 of 272 PageID 409
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
H.B. No. 1195 Fiscal Note
EXHIBIT A-10
App.186
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 188 of 272 PageID 410
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
April 21, 2021
TO: Honorable Dade Phelan, Speaker of the House, House of Representatives
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB1195 by Geren (relating to the franchise tax treatment of certain loans and grants made under the
federal Coronavirus Aid, Relief, and Economic Security Act.), As Passed 2nd House
Estimated Twoyear Net Impact to General Revenue Related Funds for HB1195, As Passed 2nd House :
an impact of $0 through the biennium ending August 31, 2023.
Additionally, the bill will have a direct impact of a revenue loss to the Property Tax Relief Fund of
($220,900,000) through the 202223 biennium. Any loss to the Property Tax Relief Fund must be made up
with an equal amount of General Revenue to fund the Foundation School Program.
All Funds, SixYear Impact:
Probable Revenue (Loss) from
Fiscal
Property Tax Relief Fund
Year
304
2021 ($4,400,000)
2022 ($138,500,000)
2023 ($78,000,000)
2024 $0
2025 $0
2026 $0
The first table assumes the bill takes immediate effect. The second table assumes the bill takes effect on
September 1, 2021.
Probable Revenue (Loss) from
Fiscal
Property Tax Relief Fund
Year
304
2022 ($142,900,000)
2023 ($78,000,000)
2024 $0
2025 $0
2026 $0
Fiscal Analysis
The bill would amend Chapter 171, Tax Code to provide for exclusion from total revenue of the amounts of
certain loan or grant proceeds for purposes of the franchise tax.
Added Section 171.10131 would provide that total revenue does not include an amount of money that:
(1) is received in loans or grants under the federal Coronavirus Aid, Relief, and Economic Security Act, as
amended by the Paycheck Protection Program Flexibility Act of 2020, the Consolidated Appropriations Act,
2021, the American Rescue Plan Act of 2021, or Page 1 ofExtension
the PPP 2 Act of 2021, or is a shuttered venue
operator grant, microloan program recovery assistance, or a restaurant revitalization grant under the
Consolidated Appropriations Act, 2021 or the American Rescue Plan Act of 2021 as applicable, and
App.187
(2) is excluded from gross income for purposes of federal income taxation by Sections 276 and 278 of the
Consolidated Appropriations Act, 2021 or Sections 9672 or 9673 of the American Rescue Plan Act of 2021.
The bill would amend Chapter 171, Tax Code to provide for exclusion from total revenue of the amounts of
certainCase 2:21-cv-00079-Z
loan or grant Documentof the
proceeds for purposes 29-1franchise
Filed tax.
09/27/21 Page 189 of 272 PageID 411
Added Section 171.10131 would provide that total revenue does not include an amount of money that:
(1) is received in loans or grants under the federal Coronavirus Aid, Relief, and Economic Security Act, as
amended by the Paycheck Protection Program Flexibility Act of 2020, the Consolidated Appropriations Act,
2021, the American Rescue Plan Act of 2021, or the PPP Extension Act of 2021, or is a shuttered venue
operator grant, microloan program recovery assistance, or a restaurant revitalization grant under the
Consolidated Appropriations Act, 2021 or the American Rescue Plan Act of 2021 as applicable, and
(2) is excluded from gross income for purposes of federal income taxation by Sections 276 and 278 of the
Consolidated Appropriations Act, 2021 or Sections 9672 or 9673 of the American Rescue Plan Act of 2021.
Expenses paid with such qualifying loan or grant proceeds would be allowed in the determination of cost of
goods sold or of compensation for subtraction from total revenue in the determination of taxable margin, if
otherwise includable as cost of goods sold or compensation. The bill would only apply to reports originally due
on or after January 1, 2021.
The bill would take effect immediately upon enactment, assuming it received the requisite twothirds majority
votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2021.
Methodology
The federal Consolidated Appropriations Act, 2021 and the American Rescue Plan Act of 2021 provide for
exclusion of certain loans and other financial assistance from gross income for purposes of federal income
taxation, including forgiven Paycheck Protection Program (PPP) loans, emergency Economic Injury Disaster
Loans (EIDL) and targeted EIDL advances, small business loan payments made on behalf of borrowers pursuant
to Section 1112(c), CARES Act, grants for shuttered venue operators, microloan recovery assistance, and
restaurant revitalization grants. Those exclusions do not apply for purposes of the Texas franchise tax, because
the state tax is tied to the Internal Revenue Code as it existed in 2007.
Data from the U.S. Small Business Administration (SBA) on amounts by recipient of PPP loans approved in
2020 was combined with comptroller franchise tax report data to estimate amounts of loan forgiveness that
would be deemed revenue of taxable entities in the calculation of margin subject to apportionment to the state,
and multiplied by a weighted average franchise tax rate. Amounts associated with the small business loan
assumptions by SBA, the EIDL grants and advances, shuttered venue operator grants, microloan recovery
assistance, and the restaurant revitalization grants were estimated proportionally, based on the amounts
appropriated for those purposes relative to appropriations for PPP loans. It is assumed that PPP loans granted in
2020 would be forgiven in 2021, affecting franchise tax liabilities for reports originally due in 2022. The
exclusion from revenue of the value of loan payments made by the SBA in 2020 pursuant to Section 1112,
CARES Act are assumed to affect franchise tax reports in fiscal year 2021 if the bill receives immediate effect,
otherwise the effects would occur with respect to amended reports filed in fiscal year 2022.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts
LBB Staff: JMc, KK, SD
Page 2 of 2
App.188
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 190 of 272 PageID 412
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 313
EXHIBIT A-11
App.189
0
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 191 of 272 PageID 413
Chapter 554
S.B. No. 313
1 AN ACT
2 relating to a sales and use tax exemption for firearm safety
3 equipment.
4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
5 SECTION 1. Subchapter H, Chapter 151, Tax Code, is amended
6 by adding Section 151.3131 to read as follows:
7 Sec. 151.3131. FIREARM SAFETY EQUIPMENT. (a) In this
8 section, 11
firearm safety equipment" means a gun lock box, a gun
9 safe, a barrel lock, a trigger lock, a firearm safety training
10 manual or electronic publication, or another item designed to
11 ensure the safe handling or storage of a firearm.
12 (b) The sale, storage, use, or other consumption of firearm
13 safety equipment is exempted from the taxes imposed by this
14 chapter.
15 SECTION 2. The change in law made by this Act does not
16 affect tax liability accruing before the effective date of this
17 Act. That liability continues in effect as if this Act had not been
18 enacted, and the former law is continued in effect for the
19 collection of taxes due and for civil and criminal enforcement of
20 the liability for those taxes.
21 SECTION 3. This Act takes effect September 1, 2021.
1
App.190
9
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 192 of 272 PageID 414
n1
S.B. No. 313
c _U4j
h
,Ff~~8lerybof tO'lenate ~Mpeak27 of the House
1/ herlby certify that S.B. No. 313 passed the Senate on
April 19, 2021, by the following vote: Yeas 30, Nays 1; and that
the Senate concurred in House amendment on May 27, 2021, by the
following vote: Yeas 31, Nays 0.
decretary~f rhe lenate
I hereby certify that S.B. No. 313 passed the House, with
amendment, on May 18, 2021, by the following vote: Yeas 142,
Nays 2, one present not voting.
Chief Clerk 02 the Ho
i- 11-11
Approved:
Date
1.
A R
0 JRa~ ,46}--
£~,/Governor
FILED IN THE OFFICE OF THE
SECRETARY OF STATE
- Le ~Drd o'CLOCK
~UN 1,4 2021
2
t<-
-~~tary-orState
App.191
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 193 of 272 PageID 415
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 313 Fiscal Note
EXHIBIT A-12
App.192
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 194 of 272 PageID 416
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
May 19, 2021
TO: Honorable Dan Patrick, Lieutenant Governor, Senate
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB313 by Huffman (Relating to a sales and use tax exemption for firearm safety equipment.), As
Passed 2nd House
Estimated Twoyear Net Impact to General Revenue Related Funds for SB313, As Passed 2nd House : a
negative impact of ($1,650,000) through the biennium ending August 31, 2023.
General RevenueRelated Funds, Five Year Impact:
Probable Net Positive/(Negative) Impact
Fiscal
to
Year
General Revenue Related Funds
2022 ($770,000)
2023 ($880,000)
2024 ($930,000)
2025 ($980,000)
2026 ($1,040,000)
All Funds, FiveYear Impact:
Probable Revenue (Loss)
Probable Revenue (Loss)
from Probable Revenue (Loss) Probable Revenue (Loss)
from
Fiscal Year Tax Reduc. & Excell. Edu. from from
General Revenue Fund
Fund Cities Transit Authorities
1
305
2022 ($770,000) ($30,000) ($150,000) ($50,000)
2023 ($880,000) ($30,000) ($170,000) ($60,000)
2024 ($930,000) ($30,000) ($180,000) ($60,000)
2025 ($980,000) ($40,000) ($190,000) ($60,000)
2026 ($1,040,000) ($40,000) ($200,000) ($70,000)
Fiscal Probable Revenue (Loss) from
Year Counties & Special Districts
2022 ($30,000)
2023 ($40,000)
2024 ($40,000)
2025 ($40,000)
2026 ($40,000)
Fiscal Analysis
The bill would amend Chapter 151 of the Tax Code by adding Section 151.3131 to provide an exemption of
firearm safety equipment from sales and use taxes.
The new section would define "firearm safety equipment" to include a gun lock box, a gun safe, a barrel lock, a
trigger lock, firearm safety training manual or electronic publication, and other items designed to ensure the
Page 1 of 2
safe handling or storage of a firearm.
The bill would take effect September 1, 2021.
App.193
Methodology
Fiscal Analysis
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 195 of 272 PageID 417
The bill would amend Chapter 151 of the Tax Code by adding Section 151.3131 to provide an exemption of
firearm safety equipment from sales and use taxes.
The new section would define "firearm safety equipment" to include a gun lock box, a gun safe, a barrel lock, a
trigger lock, firearm safety training manual or electronic publication, and other items designed to ensure the
safe handling or storage of a firearm.
The bill would take effect September 1, 2021.
Methodology
The Comptroller estimated tax revenue loss resulting from the bill based on information from a sample of
firearms dealers. A ratio of sales of firearms safety devices to total sales of firearms dealers was applied to
estimated sales of firearms, ammunition, and related accessories in the state, multiplied by the state sales tax
rate, and extrapolated through 2026.
Local Government Impact
There would be a proportional loss of sales and use tax revenue from units of local government.
Source Agencies: 304 Comptroller of Public Accounts
LBB Staff: JMc, LBO, KK, SD
Page 2 of 2
App.194
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 196 of 272 PageID 418
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 609
EXHIBIT A-13
App.195
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Chapter 84
S.B. No. 609
1 AN ACT
2 relating to the creation of the Texas music incubator rebate
3 pr ogr am to provide for rebates of a port ion of certain taxes
4 collected from certain music venues and promoters of certain music
5 festivals.
6 BE IT ENACTEDBY THE LEGISLATURE OF THE STATE OF TEXAS:
7 SECTION 1. Chapter 485, Government Code, is amended by
8 adding Subchapter C to read as follows:
9 SUBCHAPTERC. TEXAS MUSIC INCUBATORREBATE PROGRAM
10 Sec. 485.041. DEFINITIONS. (a) Except as provided by
11 Subsection (b), the definitions in Section 1.04, Alcoholic Beverage
12 Code, apply to this subchapter.
13 (b) In this subchapter:
14 (1) "Mixed beverage gross receipts tax" means the tax
15 imposed by Subchapter B, Chapter 183, Tax Code.
16 (2) "Permit holder" means a person who holds a permit
17 issued under Section 151. 201, Tax Code.
18 (3) "Permittee" has the meaning assigned by Section
19 183.001(b), Tax Code.
20 (4) "Program" means the Texas music incubator rebate
21 program.
22 (5) "Sales tax" means the tax imposed by Chapter 151,
23 Tax Code.
24 Sec. 485.042. TEXAS MUSIC INCUBATOR REBATE PROGRAM. (a)
1
App.196
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S.B. No. 609
1 The office shall administer the Texas music incubator rebate
2 program under which the office shall provide to eligible music
3 venues and eligible music festival promoter s from money
4 appropr iated from the Texas music incubator account a full or
5 partial rebate of the mixed beverage gross receipts taxes and sales
6 tax receipts attributable to the sale of beer and wine and remitted
7 to the comptroller annually by those venues and promoters. The
8 Texas music incubator account shall be funded by mixed beverage
9 gross receipts taxes and sales tax receipts attributable to the
10 sale of beer and wine remitted annually by venues and promoters and
11 deposited into that account as required by Sections 151.801(f) and
12 183.023(c), Tax Code. The rebates are to assist eligible music
13 venues and eligible music festival promoters in their efforts to
14 support and continue to bring to local communities in this state
15 live musical performances, including the recruitment of musical
16 performance artists.
17 (b) The office may not provide a rebate under the program to
18 a music venue or music festival promoter in an amount that exceeds
19 the lesser of:
20 (1) the amount of mixed beverage gross receipts taxes
21 and sales taxes attributable to the sale of beer and wine remitted
22 in the preceding fiscal year to the comptroller by the music venue
23 or music festival promoter as a permittee or permit holder; or
24 (2) $100,000.
25 Sec. 485.043. ELIGIBILITY FOR REBATE. (a) Except as
26 provided by Subsect ion (b), to qualify for a rebate under the
27 program, a music venue or music festival promoter, for at least the
App.197
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S.B. No. 609
1 two years preceding the date on which the music venue or promoter,
2 as applicable, submits an application under Section 485.044, must
3 have:
4 (1) been a permittee subject to the mixed beverage
5 gross receipts tax or a permit holder subject to the sales tax on
6 the sale of beer or wine;
7 (2) if the applicant is a music venue, been a retail
8 establishment with a dedicated audience capacity of not more than
9 3,000 persons;
10 (3) if the applicant is a music festival promoter,
11 held a music festival in a county with a population of less than
12 100,000;
13 (4) entered into a written contract with a musical
14 performance artist to conduct a live performance at the venue or
15 festival, as applicable, under which the artist received as
16 compensation a specified percentage of ticket sales for or other
17 sales during the performance, or a guaranteed amount in advance of
18 the performance; and
19 (5) met at least five of the following criteria, one of
20 which must be described by Paragraph (A) or (B):
21 (A) the marketing of live music performances
22 thr ough list ings in pr inted or electronic publicat ions;
23 (B) the provision of live music performances five
24 or more nights per week;
25 (C) employment or contracting of the services of
26 one or more people who are tasked with two or more of the following
27 positions or services:
App.198
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S.B. No. 609
1 (i) sound engineer;
2 (ii) booker;
3 (iii) promoter;
4 (iv) stage manager; or
5 (v) security personnel;
6 (D) having live performance and audience space;
7 (E) the provision of technical sound and lighting
8 support, either in-house or through a contract with a vendor;
9 (F) having a space for the storage of audio
10 eguipment or musical instruments;
11 (G) the application of cover charges to one or
12 more live music performances through ticketing or the imposition of
13 a front door entrance fee; or
14 (H) the maintenance of hours of operation that
15 coincide with live music performance show times.
16 (b) The office may, at the office's discretion, provide a
17 rebate under the program to a music venue or a music festival
18 promoter that fails to meet the eligibility reguirements prescr ibed
19 by Subsect ion (a) solely because the venue is located, or the
20 festival is usually held, as applicable, in a county located wholly
21 or partly in an area that at any time during the preceding two-year
22 period was declared to be a disaster area by the governor or by the
23 president of the United States.
24 Sec. 485.044. REBATEAPPLICATION. (a) The off ice shall:
25 (1) subject to Subsection (b), prescribe the
26 application form for obtaining a rebate under the program; and
27 (2) establish an online portal on the office's public
App.199
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S.B. No. 609
1 Internet website that allows a music venue or music festival
2 promoter to submit the application to the office for consideration.
3 (b) The application must:
4 (1) state the amount of mixed beverage gross receipts
5 tax and sales tax receipts attributable to the sale of beer and wine
6 that was remitted to the comptroller by the music venue or music
7 festival promoter in the preceding fiscal year;
8 (2) include suff icient evidence for the off ice to
9 determine that the music venue or promoter qualifies for a rebate;
10 and
11 (3) include any other information the office
12 determines necessary to administer the program.
13 (c) The office shall accept rebate applications beginning
14 September 1 of each year and may provide rebates until all the money
15 in the Texas music incubator account is exhausted.
16 (d) The office may expedite the review of an application
17 submitted by a music venue or music festival promoter, if the venue
18 is located, or the festival is usually held, as applicable, in a
19 county located wholly or partly in an area that at any time during
20 the preceding two-year period was declared to be a disaster area by
21 the governor or by the president of the United States.
22 Sec. 485.045. REVIEW OF APPLICATIONS; REBATES. (a) After
23 reviewing applications for a rebate under the program, the office
24 shall grant rebates to eligible music venues and music festival
25 promoters that the office determines provide or have committed to
26 provide the most economic benefit to the communities in which the
27 music venues are located or the festivals are held, as applicable,
App.200
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S.B. No. 609
1 and to the Texas music industry, including live music performers.
2 (b) As directed by the office, the comptroller shall issue a
3 warrant for a rebate granted by the office under this section drawn
4 on the Texas music incubator account.
5 Sec. 485.046. TEXASMUSIC INCUBATORACCOUNT. (a) The Texas
6 music incubator account is a dedicated account in the general
7 revenue fund. The account is composed of:
8 (1) money deposited to the credit of the account under
9 Sections 151.801(f) and 183.023(c), Tax Code;
10 (2) gifts, grants, and other money received by the
11 office for the program; and
12 (3) other amounts deposited to the credit of the
13 account.
14 (b) Money in the account may be appropriated only to the
15 office for the purpose of paying rebates to music venues and certain
16 music festival promoters under the program.
17 (c) Interest and other earnings from money in the account
18 shall be credited to the account.
19 (d) On the last day of each state fiscal biennium, the
20 comptroller shall transfer any money deposited to the account under
21 Subsection (a) (1) that is unobligated and unexpended on that date
22 to the general revenue fund to be used in accordance with
23 legislative appropriation.
24 Sec. 485.047. RULES. The office shall adopt rules
25 necessary to implement and administer this subchapter.
26 SECTION 2. Section 151.801, Tax Code, is amended by
27 amending Subsection (a) and adding Subsection (f) to read as
App.201
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S.B. No. 609
1 follows:
2 (a) Except for the amounts allocated under Subsections (b),
3 (c), (c-2), [aM] (c-3), and (f), all proceeds from the collection
4 of the taxes imposed by this chapter shall be deposited to the
5 cr edit of the gener al revenue fund.
6 (f) The comptroller shall deposit each fiscal year $100,000
7 of the revenue received under this chapter to the credit of the
8 Texas music incubator account under Section 485.046, Government
9 Code.
10 SECTION 3. Section 183.023, Tax Code, is amended by
11 amending Subsection (b) and adding Subsection (c ) to read as
12 follows:
13 (b) Except for the amounts allocated under Subsection (c),
14 the [~] comptroller shall deposit the revenue received under this
15 sect ion in the gener al revenue fund.
16 (c) The comptroller shall deposit each fiscal year $10
17 million of the revenue received under this section to the credit of
18 the Texas music incubator account under Section 485.046, Government
19 Code.
20 SECTION 4. (a) Not later than September 1, 2022, the Music,
21 Film, Television, and Multimedia Office within the office of the
22 governor shall establish the Texas music incubator rebate program
23 as required under Subchapter C, Chapter 485, Government Code, as
24 added by this Act.
25 (b ) Notwithstanding Sect ion 485.044 (c) , Government Code, as
26 added by this Act, the Music, Film, Television, and Multimedia
27 Office shall begin accepting rebate applications as authorized
App.202
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S.B. No. 609
1 under that section beginning September 1, 2022.
2 SECTION 5. The Music, Film, Television, and Multimedia
3 Office and the comptroller of public accounts are required to
4 implement a provision of this Act only if the legislature
5 appropriates money specifically for that purpose. If the
6 legislature does not appropriate money specifically for that
7 purpose, the office and comptroller may, but are not required to,
8 implement a provision of this Act using other appropriations that
9 are available for that purpose.
10 SECTION 6. This Act takes effect September 1, 2021.
App.203
, I
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S.B. No. 609
~~~~;-::o:-:-u:"':s~e~liiiiij;;:::-
I hereby certify that S. B. No. 609 passed the Senate on
April 26, 2021, by the following vote: Yeas 22, Nays 9. _
~~
I hereby certify that S. B. No. 609 passed the House on
May 8,2021, by the following vote: Yeas 102, Nays 40, one present
not voting.------------~~~~~--lP~~--------------
Approved:
Date
FILED IN THE OFFICE OF THE
SECRETARY OF STATE
~:rocxn O'CLOCK
~
Secretary of State
9
App.204
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 609 Fiscal Note
EXHIBIT A-14
App.205
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 207 of 272 PageID 429
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
April 14, 2021
TO: Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB609 by Alvarado (relating to the creation of the Texas music incubator rebate program to provide
for rebates of a portion of certain taxes collected from certain music venues and promoters of certain
music festivals.), Committee Report 1st House, Substituted
Estimated Twoyear Net Impact to General Revenue Related Funds for SB609, Committee Report 1st
House, Substituted : a negative impact of ($20,200,000) through the biennium ending August 31, 2023.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to
implement the provisions of the bill.
General RevenueRelated Funds, Five Year Impact:
Probable Net Positive/(Negative) Impact
Fiscal
to
Year
General Revenue Related Funds
2022 ($10,100,000)
2023 ($10,100,000)
2024 ($10,100,000)
2025 ($10,100,000)
2026 ($10,100,000)
All Funds, FiveYear Impact:
Probable Revenue (Loss) from
Fiscal Probable Revenue Gain from
General Revenue Fund
Year Texas Music Incubator Account
1
2022 ($10,100,000) $10,100,000
2023 ($10,100,000) $10,100,000
2024 ($10,100,000) $10,100,000
2025 ($10,100,000) $10,100,000
2026 ($10,100,000) $10,100,000
Fiscal Analysis
The bill would amend Chapter 485 of the Government Code, regarding Music, Film, Television, and Multimedia
Industries, by adding subsection C to create the Texas Music Incubator Rebate Program.
The bill would establish the Texas Music Incubator Program to be administered by the Office of the Governor.
The program would allow eligible music venues and eligible music festival promoters to apply for a rebate of
the Mixed Beverage Gross Receipts Tax and sales taxes paid on the sale of alcoholic beverages in the preceding
fiscal year, up to a maximum of $100,000. The Comptroller would be required to issue a warrant for all granted
rebates at the direction of the Governor's Office. All warrants would be drawn on the newly created Texas
Music Incubator Account in the General Revenue Fund. The program may provide rebates until all the money in
the Texas Music Incubator Account is exhausted. The Governor's Office would be required to establish the
program by September 1, 2022 and would begin Page 1 of 2
accepting applications September 1, 2022.
The bill would amend Section 183 of the Tax Code to direct the Comptroller to deposit $10,000,000 of Mixed
Beverage Gross Receipts Tax collections and $100,000 of sales tax collections in to the newly created Texas
Music Incubator Account. App.206
The bill would establish the Texas Music Incubator Program to be administered by the Office of the Governor.
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 208 of 272 PageID 430
The program would allow eligible music venues and eligible music festival promoters to apply for a rebate of
the Mixed Beverage Gross Receipts Tax and sales taxes paid on the sale of alcoholic beverages in the preceding
fiscal year, up to a maximum of $100,000. The Comptroller would be required to issue a warrant for all granted
rebates at the direction of the Governor's Office. All warrants would be drawn on the newly created Texas
Music Incubator Account in the General Revenue Fund. The program may provide rebates until all the money in
the Texas Music Incubator Account is exhausted. The Governor's Office would be required to establish the
program by September 1, 2022 and would begin accepting applications September 1, 2022.
The bill would amend Section 183 of the Tax Code to direct the Comptroller to deposit $10,000,000 of Mixed
Beverage Gross Receipts Tax collections and $100,000 of sales tax collections in to the newly created Texas
Music Incubator Account.
The bill would take effect September 1, 2021.
Methodology
The bill requires the Comptroller to direct $10,000,000 of Mixed Beverage Gross Receipts Tax collections
and $100,000 of sales tax collections that would have otherwise gone to undedicated General Revenue to the
newly created Texas Music Incubator Account.
This estimate assumes that the entire amount directed to the Texas Music Incubator Account will be exhausted
each year.
The Governor's Office estimates that there would be administrative costs associated with implementing the
provisions of the bill, however this analysis assumes those costs could be absorbed within existing resources.
This legislation would do one or more of the following: create or recreate a dedicated account in the General
Revenue Fund, create or recreate a special or trust fund either within or outside of the Treasury, or create a
dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to
funds consolidation review by the current Legislature.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 300 Trusteed Programs Gov, 304 Comptroller of Public Accounts
LBB Staff: JMc, KK, BRI, LCO, HGR, AJL
Page 2 of 2
App.207
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 938
EXHIBIT A-15
App.208
0
#e
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Chapter 859
S.B. No. 938
1 AN ACT
2 relating to an exemption from the franchise tax and certain filing
3 fees for certain businesses owned by veterans during an initial
4 period of operation in the state.
5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
6 SECTION 1. Subchapter A, Chapter 12, Business Organizations
7 Code, is amended by adding Section 12.005 to read as follows:
8 Sec. 12.005. FEE WAIVER FOR NEW VETERAN-OWNED BUSINESS.
9 The secretary of state shall waive all fees imposed under
10 Subchapter D, Chapter 4, for an entity that is a new veteran-owned
11 business as defined by Section 171.0005, Tax Code, until the
12 earlier of:
13 (1) the fifth anniversary of the date on which the
14 entity was formed; or
15 (2) the date the entity ceases to qualify as a new
16 veteran-owned business as defined by Section 171.0005, Tax Code.
17 SECTION 2. Section 171.0001(4), Tax Code, is amended to
18 read as follows:
19 (4) 11
Beginning date means:
20 (A) except as provided by Paragraph (B) :
21 (i) for a taxable entity chartered or
22 organized in this state, the date on which the taxable entity's
23 charter or organization takes effect; and
24 ( ii) [44] for any other taxable entity,
1
App.209
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S.B. No. 938
1 the date on which the taxable entity begins doing business in this
2 state; or
3 (B) for a taxable entity that qualifies as a new
4 veteran-owned business as defined by Section 171.0005, the earlier
5 of:
6 (i) the fifth anniversary of the date on
7 which the taxable entity begins doing business in this state; or
8 (ii) the date the taxable entity ceases to
9 qualify as a new veteran-owned business as defined by Section
10 171.0005.
11 SECTION 3. Effective January 1, 2026, Section 171.0001 (4),
12 Tax Code, is amended to read as follows:
13 (4) 11
Beginning date 1, means:
14 (A) for a taxable entity chartered or organized
15 in this state, the date on which the taxable entity's charter or
16 organization takes effect; and
17 (B) for any other taxable entity, the date on
18 which the taxable entity begins doing business in this state.
19 SECTION 4. Subchapter A, Chapter 171, Tax Code, is amended
20 by adding Section 171.0005 to read as follows:
21 Sec. 171.0005. DEFINITION OF NEW VETERAN-OWNED BUSINESS.
22 (a) A taxable entity is a new veteran-owned business only if the
23 taxable entity is a new business in which each owner is a natural
24 person who:
25 (1) served in and was honorably discharged from a
26 branch of the United States armed forces; and
27 (2) provides verification to the comptroller of the
2
App.210
64 1
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S.B. No. 938
1 person's service and discharge required by Subdivision (1) .
2 (b) The Texas Veterans Commission shall provide to a person
3 who meets the requirements of Subsection (a)(1) written
4 verification of that status in a form required by the comptroller.
5 The comptroller shall adopt rules prescribing the form and content
6 of the verification and the manner in which the verification may be
7 provided to the comptroller.
8 (c) For purposes of Subsection (a), a new business is a
9 taxable entity that:
10 (1) is chartered or organized or otherwise formed in
11 this state; and
12 (2) first begins doing business in this state on or
13 after January 1, 2022.
14 SECTION 5. Section 171.001, Tax Code, is amended by adding
15 Subsection (d) to read as follows:
16 (d) Notwithstanding Subsection (a), the tax imposed under
17 this chapter is not imposed on a taxable entity that qualifies as a
18 new veteran-owned business as defined by Section 171.0005 until the
19 earlier of:
20 (1) the fifth anniversary of the date on which the
21 taxable entity begins doing business in this state; or
22 (2) the date the taxable entity ceases to qualify as a
23 new veteran-owned business as defined by Section 171.0005.
24 SECTION 6. Section 171.063(g), Tax Code, is amended to read
25 as follows:
26 (g) If a corporation's federal tax exemption is withdrawn by
27 the Internal Revenue Service for failure of the corporation to
3
App.211
*9.
L-"
te
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 213 of 272 PageID 435
S.B. No. 938
1 qualify or maintain its qualification for the exemption, the
2 corporation s exemption under this section ends on the effective
3 date of that withdrawal by the Internal Revenue Service. The
4 effective date of the withdrawal is considered the corporation's
5 beginning date for purposes of determining the corporation's
6 privilege periods and for all other purposes of this chapterl
7 except that if the corporation would have been subject to Section
8 171.001(d) in the absence of the federal tax exemption, and the
9 effective date of the withdrawal is a date earlier than the date the
10 corporation would have become subiect to the franchise tax as
11 provided by Section 171.001(d) , the date the corporation would have
12 become subject to the franchise tax under that section is
13 considered the corporation's beginning date for those purposes.
14 SECTION 7. Effective January 1, 2026, Section 171.063(g),
15 Tax Code, is amended to read as follows:
16 (g) If a corporation's federal tax exemption is withdrawn by
17 the Internal Revenue Service for failure of the corporation to
18 qualify or maintain its qualification for the exemption, the
19 corporation's exemption under this section ends on the effective
20 date of that withdrawal by the Internal Revenue Service. The
21 effective date of the withdrawal is considered the corporation's
22 beginning date for purposes of determining the corporation S
23 privilege periods and for all other purposes of this chapter.
24 SECTION 8. Section 171.204, Tax Code, is amended by adding
25 Subsection (d) to read as follows:
26 (d) The comptroller may require a taxable entity on which
27 the tax imposed under this chapter is not imposed solely because of
4
App.212
Voe/9
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 214 of 272 PageID 436
S.B. No. 938
1 the application of Section 171.001(d) to file an information report
2 stating the taxable entity's beginning date as determined under
3 Section 171.0001(4)(B) and any other information the comptroller
4 determines necessary. The comptroller may not require the taxable
5 entity to report or compute its margin.
6 SECTION 9. Effective January 1, 2026, the following
7 provisions are repealed:
8 (1) Section 12.005, Business Organizations Code;
9 (2) Section 171.0005, Tax Code;
10 (3) Section 171.001(d), Tax Code; and
11 (4) Section 171.204(d), Tax Code.
12 SECTION 10. The changes in law made by this Act that take
13 effect January 1, 2026, do not apply to a business that first
14 qualifies before that date as a new veteran-owned business as
15 defined by Section 171.0005, Tax Code, as that section exists
16 immediately before that date. A business that first qualifies
17 before January 1, 2026, as a new veteran-owned business is governed
18 by the law in effect immediately before that date, and that law is
19 continued in effect for that purpose.
20 SECTION 11. The agency is required to implement this Act
21 only if the legislature appropriates money specifically for that
22 purpose. If the legislature does not appropriate money
23 specifically for that purpose, the commission may, but is not
24 required to, implement this Act using other appropriations
25 available for the purpose.
26 SECTION 12. Except as otherwise provided by this Act, this
27 Act takes effect January 1, 2022.
5
App.213
6
4+ 2
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 215 of 272 PageID 437
n
S.B. No. 938
AA
/ »Il Af-
Ekes:i/den~ of tlre Senate Speaker of the House
Lj 3/hereby certify that S.B. No. 938 passed the Senate on
April 13, 2021, by the following vote: Yeas 31, Nays 0.
A
(159049*41)
Seciethr~*fthj Senate
I hereby certify that S.B. No. 938 passed the House on
May 25, 2021, by the following vote: Yeas 104, Nays 1, one
present not voting.
Chief Clerk of-the Hout~
Approved:
Co - ) W - -2- C
Date
2460 Gg#4 rnor
U
FILED IN THE OFFICE OF THE
S~RETARY OF STATE
~F'71 O'CLOCK
6
J. 1 61021
Sh,a;Jry ot-Emte
App.214
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 938 Fiscal Note
EXHIBIT A-16
App.215
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 217 of 272 PageID 439
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
May 6, 2021
TO: Honorable Morgan Meyer, Chair, House Committee on Ways & Means
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB938 by Campbell (Relating to an exemption from the franchise tax and certain filing fees for
certain businesses owned by veterans during an initial period of operation in the state.), As Engrossed
Estimated Twoyear Net Impact to General Revenue Related Funds for SB938, As Engrossed : a
negative impact of ($363,000) through the biennium ending August 31, 2023.
Additionally, the bill will have a direct impact of a revenue loss to the Property Tax Relief Fund of
($300,000) for the 202223 biennium. Any loss to the Property Tax Relief Fund must be made up with an
equal amount of General Revenue to fund the Foundation School Program.
General RevenueRelated Funds, Five Year Impact:
Probable Net Positive/(Negative) Impact
Fiscal
to
Year
General Revenue Related Funds
2022 $0
2023 ($363,000)
2024 ($1,058,000)
2025 ($2,019,000)
2026 ($2,760,000)
All Funds, FiveYear Impact:
Probable Revenue (Loss) from Probable Revenue (Loss) from
Fiscal
General Revenue Fund Property Tax Relief Fund
Year
1 304
2022 $0 $0
2023 ($363,000) ($300,000)
2024 ($1,058,000) ($900,000)
2025 ($2,019,000) ($1,500,000)
2026 ($2,760,000) ($2,100,000)
Fiscal Analysis
The bill would amend the Business Organizations Code and the Tax Code to provide for waiver of filing fees and
for franchise tax exemption for new veteranowned businesses.
The bill would provide that the secretary of state shall waive all filing fees imposed under Subchapter D,
Chapter 4, Business Organizations Code for a new veteranowned business.
The bill would amend Chapter 171, Tax Code to provide for franchise tax exemption for a new veteranowned
business formed in the state during the fouryear period between January 1, 2022 and December 31, 2025. The
exemption would persist until the earlier of the fifth anniversary after the taxable entity begins doing business
in the state or the date the taxable entity ceases to Page
qualify1 as
of a2 new veteranowned business. A “new veteran
owned business” would be defined as a taxable entity each owner of which is a natural person who served in and
was honorably discharged from a branch of the United States armed forces as verified by the Texas Veterans
Commission.
App.216
The bill would take effect January 1, 2022.
for franchise tax exemption for new veteranowned businesses.
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 218 of 272 PageID 440
The bill would provide that the secretary of state shall waive all filing fees imposed under Subchapter D,
Chapter 4, Business Organizations Code for a new veteranowned business.
The bill would amend Chapter 171, Tax Code to provide for franchise tax exemption for a new veteranowned
business formed in the state during the fouryear period between January 1, 2022 and December 31, 2025. The
exemption would persist until the earlier of the fifth anniversary after the taxable entity begins doing business
in the state or the date the taxable entity ceases to qualify as a new veteranowned business. A “new veteran
owned business” would be defined as a taxable entity each owner of which is a natural person who served in and
was honorably discharged from a branch of the United States armed forces as verified by the Texas Veterans
Commission.
The bill would take effect January 1, 2022.
Methodology
The Comptroller indicates the bill would result in a franchise tax revenue loss from the Property Tax Relief
Fund. This estimate is based on U.S. Census Bureau data for veteranowned businesses and Comptroller tax file
information for new franchise tax filers.
The Secretary of State estimated the General Revenue Fund revenue loss from waiving filing fees for new
veteranowned businesses based on historical filing data.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts, 307 Secretary of State
LBB Staff: JMc, KK, SD
Page 2 of 2
App.217
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 219 of 272 PageID 441
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 1524
EXHIBIT A-17
App.218
0
1.
e.
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 220 of 272 PageID 442
Chapter 401
S.B. No. 1524
1 AN ACT
2 relating to a sales and use tax refund pilot program for certain
3 persons who employ apprentices.
4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
5 SECTION 1. Subchapter I, Chapter 151, Tax Code, is amended
6 by adding Section 151.4292 to read as follows:
7 Sec. 151.4292. TAX REFUND PILOT PROGRAM FOR CERTAIN PERSONS
8 WHO EMPLOY APPRENTICES. (a) In this section:
9 (1) "Executive director" means the executive director
10 of the Texas Workforce Commission.
11 (2) "Qualified apprenticeship" means an
12 apprenticeship program that is:
13 (A) certified as an industry-recognized
14 apprenticeship program by an entity determined to meet United
15 States Department of Labor criteria; or
16 (B) registered with the United States Department
17 of Labor and qualified to receive funding provided through the
18 Texas Workforce Commission under Chapter 133, Education Code.
19 (b) A person is eligible for a refund in the amount and under
20 the conditions provided by this section of the taxes paid under this
21 chapter during a calendar year if the person is certified by the
22 executive director under Subsection (f) and employs at least one
23 apprentice in a qualified apprenticeship position for at least
24 seven months during the calendar year. A person is not considered
1
App.219
3u
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 221 of 272 PageID 443
S.B. No. 1524
1 to be employed in a qualified apprenticeship position for purposes
2 of this section:
3 (1) after the earlier of:
4 (A) the fourth anniversary of employment in the
5 position; or
6 (B) the conclusion of the term of the
7 apprenticeship position; or
8 (2) if the person was employed in another position by
9 the employer immediately before beginning employment in the
10 apprenticeship position.
11 (c) Subject to Subsections (d) and (e), the amount of the
12 refund for a calendar year in connection with each apprentice
13 described by Subsection (b) is $2,500.
14 (d) The total amount of the refund for a calendar year is
15 equal to the lesser of:
16 (1) the amount allowed under Subsection (c) for the
17 calendar year for each apprentice described by Subsection (b), not
18 to exceed the maximum number of apprentices provided by Subsection
19 (e); or
20 (2) the amount of sales and use taxes paid by the
21 person during the calendar year.
22 (e) The maximum number of apprentices in connection with
23 whom a person may receive a refund in a calendar year is:
24 ( 1) one; or
25 (2) not more than six if at least half of the
26 apprentices employed are:
27 (A) foster children who have transitioned or are
2
App.220
..
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 222 of 272 PageID 444
S.B. No. 1524
1 transitioning to independent living, as described in Section
2 264.121, Family Code;
3 (B) military veterans, as defined by Section
4 55.001, Occupations Code;
5 (C) military spouses, as defined by Section
6 55.001, Occupations Code; or
7 (D) women.
8 (f) A person may not apply for a refund under this section
9 unless the executive director certifies that the person is able to
10 employ apprentices in qualified apprenticeships. A person must
11 apply to the executive director to obtain certification. The
12 executive director shall create an application form for the
13 certification.
14 (g) The executive director may certify not more than 100
15 persons under Subsection (f) at any time. If the number of eligible
16 applicants exceeds the limit provided by this subsection, the
17 executive director shall select applicants for certification
18 according to rules adopted under Subsection (h) .
19 (h) The executive director shall adopt rules that establish
20 merit-based criteria for selecting persons to certify from among
21 those who apply. The rules must require that the executive director
22 give preference to applicants who:
23 (1) offer qualified apprenticeships in areas of this
24 state that are not designated as metropolitan statistical areas by
25 the United States Office of Management and Budget; and
26 (2) provide training and skills development in
27 emerging or developing occupational fields.
3
App.221
1
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 223 of 272 PageID 445
S.B. No. 1524
1 (i) The executive director shall issue a certificate to each
2 person certified under Subsection (f). The certificate must
3 confirm that the person is eligible to apply for a refund under this
4 section.
5 (j) A person must apply to the comptroller for a refund
6 under this section. The person must include with the application
7 the certificate issued to the person under Subsection (i) and any
8 other information the comptroller requires.
9 (k) Not later than September 1, 2024, the executive director
10 shall prepare and deliver to the governor, the lieutenant governor,
11 the speaker of the house of representatives, and the presiding
12 officer of each legislative standing committee with primary
13 jurisdiction over taxation a report that evaluates the effect of
14 the pilot program on the employment outcomes and earnings of
15 apprentices with respect to whom refunds are granted under the
16 pilot program under this section. The report must include a
17 recommendation regarding whether the pilot program should be
18 continued, expanded, or terminated.
19 (1) A person who applies for a refund under this section
20 shall provide to the executive director information the executive
21 director requests to prepare the report described by Subsection
22 (k).
23 (m) This section expires December 31, 2026.
24 SECTION 2. A person may apply for a refund under Section
25 151.4292, Tax Code, as added by this Act, only in connection with
26 apprentices first employed on or after the effective date of this
27 Act.
4
App.222
>V
6.
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 224 of 272 PageID 446
S.B. No. 1524
1 SECTION 3. The Texas Workforce Commission and the
2 comptroller of public accounts are required to implement this Act
3 only if the legislature appropriates money specifically for that
4 purpose. If the legislature does not appropriate money
5 specifically for that purpose, the commission and the comptroller
6 may, but are not required to, implement this Act using other
7 appropriations available for the purpose.
8 SECTION 4. This Act takes effect January 1, 2022.
5
App.223
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 225 of 272 PageID 447 Au--
S.B. No. 1524
/1\44,h•
POsidint dighAe Senate Speaker of the House
~
\/
1 ~ )@A re 'by d& r tify that S . B . No . 1524 passed the Senate on
04ru
Ap~i.Ff~, 2021, by the following vote: Yeas 27, Nays 4.
Secretary~f~the/Senate
I hereby certify that S.B. No. 1524 passed the House on
May 24, 2021, by the following vote: Yeas 103, Nays 38, one
present not voting.
Chief Clerk of the HousA
Approved:
6 - 9- 2/Date
~32«42.ur-
G(69 rnor
FILED IN THE OFFICE OF -1 1,i.
SECRETARY OF STATE
81©0 Un_ O'CLOCK
~ JUN ~ 7 2021
1- 1.
C.-2*e~0#)State
App.224
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 226 of 272 PageID 448
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 1524 Fiscal Note
EXHIBIT A-18
App.225
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 227 of 272 PageID 449
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
May 6, 2021
TO: Honorable Morgan Meyer, Chair, House Committee on Ways & Means
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB1524 by Hughes (Relating to a sales and use tax refund pilot program for certain persons who
employ apprentices.), As Engrossed
Estimated Twoyear Net Impact to General Revenue Related Funds for SB1524, As Engrossed : a
negative impact of ($1,756,000) through the biennium ending August 31, 2023.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to
implement the provisions of the bill.
General RevenueRelated Funds, Five Year Impact:
Probable Net Positive/(Negative) Impact
Fiscal
to
Year
General Revenue Related Funds
2022 ($128,000)
2023 ($1,628,000)
2024 ($1,628,000)
2025 ($1,628,000)
2026 ($1,628,000)
All Funds, FiveYear Impact:
Probable Revenue (Loss) from Probable (Cost) from
Fiscal
General Revenue Fund General Revenue Fund Change in Number of State
Year
1 1 Employees from FY 2021
2022 $0 ($128,000) 2.0
2023 ($1,500,000) ($128,000) 2.0
2024 ($1,500,000) ($128,000) 2.0
2025 ($1,500,000) ($128,000) 2.0
2026 ($1,500,000) ($128,000) 2.0
Fiscal Analysis
The bill would amend Chapter 151 of the Tax Code regarding sales and use tax refunds for businesses that
employ apprentices. The bill would define apprentices that qualify for a refund as those that participate in a
program that is either registered with the U.S. Department of Labor (DoL) and qualified to receive funding
provided through the Texas Workforce Commission under Chapter 133 of the Education Code, or certified as
an industryrecognized apprenticeship program by an entity determined to meet DoL criteria.
The bill would add Section 151.4292 to allow an entity that is certified by the Texas Workforce Commission
(TWC) to claim a sales tax refund of $2,500 per qualified apprenticeship position per calendar year. The
apprentice would have to be employed by the entity for at least seven months during the calendar year in order
for the entity to be eligible for the refund.
Page 1 at
TWC would not be able to certify more than 100 entities of a2time. The maximum number of apprentices any
entity would be able to claim for purposes of the refund would be one or up to six if half of the apprentices
meet certain criteria described in the bill.
App.226
The total refund amount allowed per calendar year would be limited to the lesser of the total sales and use taxes
paid by the person during the calendar year or the maximum refund amount allowed in connection with each
provided through the Texas Workforce Commission under Chapter 133 of the Education Code, or certified as
an industryrecognized apprenticeship program by an entity determined to meet DoL criteria.
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 228 of 272 PageID 450
The bill would add Section 151.4292 to allow an entity that is certified by the Texas Workforce Commission
(TWC) to claim a sales tax refund of $2,500 per qualified apprenticeship position per calendar year. The
apprentice would have to be employed by the entity for at least seven months during the calendar year in order
for the entity to be eligible for the refund.
TWC would not be able to certify more than 100 entities at a time. The maximum number of apprentices any
entity would be able to claim for purposes of the refund would be one or up to six if half of the apprentices
meet certain criteria described in the bill.
The total refund amount allowed per calendar year would be limited to the lesser of the total sales and use taxes
paid by the person during the calendar year or the maximum refund amount allowed in connection with each
apprentice for not more than six apprentices. The bill would require a person to apply to the Comptroller to
receive the refund.
The bill would require TWC to write a report evaluating the effectiveness of the apprenticeship program by
September 1, 2024.
Section 151.4292 would expire December 31, 2026.
The bill would take effect January 1, 2022.
Methodology
The Comptroller assumes TWC would certify 100 entities, that those entities that apply for certification would
be those with enough annual sales tax remittances to receive the maximum allowable refunds, and that each
certified entity would employ six apprentices, the maximum number of apprentices allowed for purposes of the
sales tax refund. Refunds would be paid in each year following the calendar year of apprenticeship.
The administrative cost includes the funds necessary for the Comptroller to hire two Accounts Examiner III
FTEs to implement the provisions of the bill. These FTEs are necessary to verify and pay the additional sales tax
refund claims.
TWC indicates they could absorb their responsibilities from the bill within existing resources.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts, 320 Texas Workforce Commission
LBB Staff: JMc, KK, SD
Page 2 of 2
App.227
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 229 of 272 PageID 451
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
July 7, 2021 Proclamation by the Governor of the State of Texas
EXHIBIT A-19
App.228
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 230 of 272 PageID 452
GOVERNOR GREG ABBOTT
July 7, 2021
FILED IN THE OFFICE OF THE
SECRETARY OF STATE
~~ O'CLOCK
~L~_20_21_ _
Mr. Joe A. Esparza etary o State
Deputy Secretary of State
State Capitol Room 1E.8
Austin, Texas 7870 l
Dear Mr. Deputy Secretary:
Pursuant to his powers as Governor of the State of Texas, Greg Abbott has issued the following:
A proclamation calling an extraordinary session of the 87th Legislature, to convene in the
City of Austin, commencing at IO a.m. on Thursday, July 8, 2021.
The original proclamation is attached to this letter of transmittal.
Respectfully submitted,
son
lerk to the Governor
Attachment
Posr OFFICE Box 12428 AUSTIN, TEXAS 78711 512-463-2000 (VOICE) DIAL 7·1·1 FOR RELAy SERVICES
App.229
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 231 of 272 PageID 453
PROCLAMATION
BY THE
TO ALL TO WHOM THESE PRESENTS SHALL COME:
I, GREG ABBOTT, GOVERNOR OF THE STATE OF TEXAS, by the authority vested in
me by Article III, Sections 5 and 40, and Article IV, Section 8 of the Texas Constitution, do
hereby call an extraordinary session of the 87th Legislature, to convene in the City of Austin,
commencing at 10:00 a.m. on Thursday, July 8, 2021, for the following purposes:
To consider and act upon the following:
Legislation reforming the bail system in Texas to protect the public from
accused criminals who may be released on bail.
Legislation strengthening the integrity of elections in Texas.
Legislation providing funding to support law-enforcement agencies, counties,
and other strategies as part of Texas' comprehensive border security plan.
Legislation safeguarding the freedom of speech by protecting social-media
users from being censored by social-media companies based on the user's
expressed viewpoints, including by providing a legal remedy for those
wrongfully excluded from a platform.
Legislation providing appropriations to the Legislature and legislative
agencies in Article X of the General Appropriations Act.
Legislation similar to Senate Bill 1109 from the 87th Legislature, Regular
Session, requiring schools to provide appropriate education to middle- and
high-school students about dating violence, domestic violence, and child
abuse, but that recognizes the right of parents to opt their children out of the
instruction.
Legislation identical to Senate Bill 29 as passed by the Texas Senate in the
87th Legislature, Regular Session, disallowing a student from competing in
University Interscholastic League athletic competitions designated for the sex
opposite to the student's sex at birth.
Legislation similar to Senate Bill 394 from the 87th Legislature, Regular
Session, which prohibits people from providing abortion-inducing drugs by
mail or delivery service, strengthens the laws applicable to the reporting of
abortions and abortion complications, and ensures that no abortion-inducing
drugs are provided unless there is voluntary and informed consent.
Legislation similar to House Bill 3507 from the 87th Legislature, Regular
Session, relating to a "thirteenth check" or one-time supplemental payment of
benefits under the Teacher Retirement System of Texas.
Legislation similar to House Bill 3979 concerning critical race theory as
originally passed by the Texas Senate in the 87th Legislature, Regular
Session.
FILED IN THE OFFICE OF THE
SECRETARY OF STATE
4'AM O'CLOCK
JUL 0 7 2021
App.230
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 232 of 272 PageID 454
Governor Greg Abbott Proclamation
July 7, 2021 Page 2
Legislation providing appropriations from additional available general
revenue for the following purposes:
• property-tax reliet
• enhanced protection for the safety of children in Texas' foster-care
system by attracting and retaining private providers for the system; and
• to better safeguard the state from potential cybersecurity threats.
To consider and act upon such other subjects as may be submitted by the
Governor from time to time after the session convenes.
The Secretary of State will take notice of this action and will notify the members of the
legislature of my action.
IN TESTIMONY WHEREOF, I
have hereto signed my name and
have officially caused the Seal of
State to be affixed at my Office in
the City of Austin, Texas, this the
7th day of July, 2021 .
GREG ABBOTT
Governor of Texas
Attested by:
Deputy Secretary of State
FILED IN THE OFFICE OF THE
SECRETARY OF STATE
'A-':'\ O'CLOCK
JUL 0 7 2021
App.231
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 233 of 272 PageID 455
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
August 5, 2021 Proclamation by the Governor of the State of Texas
EXHIBIT A-20
App.232
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 234 of 272 PageID 456
GOVERNOR GREG ABBOTT
August 5,2021
FILED IN THE OFFCE OF THE
SECRETARY OF STATE
fl2.S±1D’CLOCK
O2O
Mr. Joe A. Esparza
Deputy Secretary of State
State Capitol Room IE.8
Austin, Texas 78701
Dear Mr. Deputy Secretary:
Pursuant to his powers as Governor of the State of Texas, Greg Abbott has issued the following:
A proclamation calling an extraordinary session of the 87th Legislature, to convene in the
City of Austin. commencing at 12 p.m. noon on Saturday. August 7, 2021.
The original proclamation is attached to this letter of transmittal.
Respectfully submitted,
Governor
Attachment
POST OFFICE Box 12428 AUSTIN, TEXAS 78711 512-463-2000 (VOICE) DIAL 7-1-1 Foa RELAY SERVICES
App.233
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 235 of 272 PageID 457
PROCLAMATION
BY THE
utirrnnr uff4r$fatr nftrxaz
TO ALL TO WHOM THESE PRESENTS SHALL COME:
I, GREG ABBOTT, GOVERNOR OF THE STATE OF TEXAS, by the authority vested
in me by Article III, Sections 5 and 40, and Article IV, Section 8 of the Texas
Constitution, do hereby call an extraordinary session of the 87th Legislature, to convene
in the City of Austin, commencing at 12:00 p.m. on Saturday, August 7, 2021, for thc
following purposes:
To consider and act upon the following:
Legislation reforming the bail system in Texas to protect the public from
accused criminals who may be released on bail.
Legislation strengthening the integrity of elections in Texas.
Legislation providing appropriations from unappropriated available revenues
for COVID-19-related healthcare expenses, such as those listed below, taking
into consideration the approximately $10.5 billion in funds received by local
governments intended to be used on COVID-19 from the American Rescue
Plan Act of 2021 (ARPA), Pub. L. No. 117-2:
• healthcare staffing needs, including physicians, nurses, and other
medical professionals;
• establishing, staffing, and operating alternative care sites;
• supporting the operations of nursing homes, state supported living
centers, assisted living facilities, and long-term care facilities;
• vaccine administration;
• testing sites;
• supplies and equipment, such as personal protective equipment (PPE)
and ventilators; and
• standing up and operating infusion centers.
Legislation providing strategies for public-school education in
prekindergarten through twelfth grade during the COVID-19 pandemic, which
ensures:
• students receive a high-quality education and progress in their
learning;
• in-person learning is available for any student whose parent wants it;
• the wearing of face coverings is not mandatory; and
FILED IN THE OFFICE OF ThE
• COVID-19 vaccinations are always voluntary.
AUG 052021
App.234
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 236 of 272 PageID 458
Governor Greg Abbott Proclamation
August 5, 2021 Page 2
Legislation enhancing criminal laws or providing funding from
unappropriated available revenues to support law-enforcement agencies,
counties, and other strategies as part of Texas’ comprehensive border security
plan.
Legislation safeguarding the freedom of speech by protecting social-media
and email users from being censored based on the user’s expressed
viewpoints, including by providing a legal remedy for those wrongfully
excluded from a platform.
Legislation providing appropriations from unappropriated available revenues
to the Legislature and legislative agencies in Article X of the General
Appropriations Act.
Legislation similar to Senate Bill 1109 from the 87th Legislature, Regular
Session, requiring schools to provide appropriate education to middle- and
high-school students about dating violence, domestic violence, and child
abuse, but that recognizes the right of parents to opt their children out of the
instruction.
Legislation identical to Senate Bill 29 as passed by the Texas Senate in the
87th Legislature, Regular Session, disallowing a student from competing in
University Interscholastic League athletic competitions designated for the sex
opposite to the student’s sex at birth.
Legislation similar to Senate Bill 394 from the 87th Legislature, Regular
Session, which prohibits people from providing abortion-inducing drugs by
mail or delivery service, strengthens the laws applicable to the reporting of
abortions and abortion complications, and ensures that no abortion-inducing
drugs are provided unless there is voluntary and informed consent.
Legislation similar to House Bill 3507 from the 87th Legislature, Regular
Session, relating to a “thirteenth check” or one-time supplemental payment of
benefits under the Teacher Retirement System of Texas.
Legislation similar to House Bill 3979 concerning critical race theory as
originally passed by the Texas Senate in the 87th Legislature, Regular
Session.
Legislation providing appropriations from unappropriated available revenues
for the following purposes:
• property-tax relief;
• enhanced protection for the safety of children in Texas’ foster-care
system by attracting and retaining private providers for the system; and
• to better safeguard the state from potential cybersecurity threats.
Legislation modifying the filing periods and related election dates, including
any runoffs, for primary elections held in Texas in 2022.
FILED IN THE OFCE C.- T
SECREThRY OF STATE
O’CLOCK
AUG 052021
App.235
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Governor Greg Abbott Proclamation
August 5,2021 Page 3
Legislation reforming the laws governing radioactive waste to protect the
safety of Texans, including by further limiting the ability to store and
transport high-level radioactive materials in this state.
Legislation shielding private employers and employees from political
subdivision rules, regulations, ordinances, and other actions that require any
terms of employment that exceed or conflict with federal or state law relating
to any form of employment leave, hiring practices, employment benefits, or
scheduling practices.
Legislation relating to legislative quorum requirements.
To consider and act upon such other subjects as may be submitted by the Governor
from time to time after the session convenes.
The Secretary of State will take notice of this action and will notify the members of the
legislature of my action.
IN TESTIMONY WHEREOF, I
have hereto signed my name and
have officially caused the Seal of
State to be affixed at my Office
in the City of Austin, Texas, this
the 5th day of August, 2021.
Governor of Texas
Attested by:
Deputy Secretary of State
FILED IN THE 0FFCE OF TH
SECRETARY OF STATE
12 p.’i. O’CLOCK
AUG 052021
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 12
EXHIBIT A-21
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S.B.ANo.A12
1 AN ACT
2 relating to the reduction of the amount of a limitation on the total
3 amount of ad valorem taxes that may be imposed by a school district
4 on the residence homestead of an individual who is elderly or
5 disabled to reflect any reduction from the preceding tax year in the
6 district ’s maximum compressed rate and to the protection of school
7 districts against the resulting loss in local revenue.
8 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9 SECTIONA1.AASection 11.26, Tax Code, is amended by adding
10 Subsections (a-4), (a-5), (a-6), (a-7), (a-8), (a-9), and (a-10) to
11 read as follows:
12 (a-4)AAIn this section, "maximum compressed rate" means the
13 maximum compressed rate of a school district as calculated under
14 Section 48.2551, Education Code.
15 (a-5)AANotwithstanding the other provisions of this section,
16 if in the 2023 tax year an individual qualifies for a limitation on
17 tax increases provided by this section on the individual ’s
18 residence homestead and the first tax year the individual or the
19 individual ’s spouse qualified for an exemption under Section
20 11.13(c) for the same homestead was a tax year before the 2019 tax
21 year, the amount of the limitation provided by this section on the
22 homestead in the 2023 tax year is equal to the amount computed by:
23 (1)AAmultiplying the taxable value of the homestead in
24 the 2018 tax year by a tax rate equal to the difference between the
1
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S.B.ANo.A12
1 school district ’s tier one maintenance and operations rate for the
2 2018 tax year and the district ’s maximum compressed rate for the
3 2019 tax year;
4 (2)AAsubtracting the greater of zero or the amount
5 computed under Subdivision (1) from the amount of tax the district
6 imposed on the homestead in the 2018 tax year;
7 (3)AAadding any tax imposed in the 2019 tax year
8 attributable to improvements made in the 2018 tax year as provided
9 by Subsection (b) to the amount computed under Subdivision (2);
10 (4)AAmultiplying the taxable value of the homestead in
11 the 2019 tax year by a tax rate equal to the difference between the
12 district ’s maximum compressed rate for the 2019 tax year and the
13 district ’s maximum compressed rate for the 2020 tax year;
14 (5)AAsubtracting the amount computed under Subdivision
15 (4) from the amount computed under Subdivision (3);
16 (6)AAadding any tax imposed in the 2020 tax year
17 attributable to improvements made in the 2019 tax year as provided
18 by Subsection (b) to the amount computed under Subdivision (5);
19 (7)AAmultiplying the taxable value of the homestead in
20 the 2020 tax year by a tax rate equal to the difference between the
21 district ’s maximum compressed rate for the 2020 tax year and the
22 district ’s maximum compressed rate for the 2021 tax year;
23 (8)AAsubtracting the amount computed under Subdivision
24 (7) from the amount computed under Subdivision (6);
25 (9)AAadding any tax imposed in the 2021 tax year
26 attributable to improvements made in the 2020 tax year as provided
27 by Subsection (b) to the amount computed under Subdivision (8);
2
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S.B.ANo.A12
1 (10)AAmultiplying the taxable value of the homestead in
2 the 2021 tax year by a tax rate equal to the difference between the
3 district ’s maximum compressed rate for the 2021 tax year and the
4 district ’s maximum compressed rate for the 2022 tax year;
5 (11)AAsubtracting the amount computed under
6 Subdivision (10) from the amount computed under Subdivision (9);
7 (12)AAadding any tax imposed in the 2022 tax year
8 attributable to improvements made in the 2021 tax year as provided
9 by Subsection (b) to the amount computed under Subdivision (11);
10 (13)AAmultiplying the taxable value of the homestead in
11 the 2022 tax year by a tax rate equal to the difference between the
12 district ’s maximum compressed rate for the 2022 tax year and the
13 district ’s maximum compressed rate for the 2023 tax year;
14 (14)AAsubtracting the amount computed under
15 Subdivision (13) from the amount computed under Subdivision (12);
16 and
17 (15)AAadding any tax imposed in the 2023 tax year
18 attributable to improvements made in the 2022 tax year as provided
19 by Subsection (b) to the amount computed under Subdivision (14).
20 (a-6)AANotwithstanding the other provisions of this section,
21 if in the 2023 tax year an individual qualifies for a limitation on
22 tax increases provided by this section on the individual ’s
23 residence homestead and the first tax year the individual or the
24 individual ’s spouse qualified for an exemption under Section
25 11.13(c) for the same homestead was the 2019 tax year, the amount of
26 the limitation provided by this section on the homestead in the 2023
27 tax year is equal to the amount computed by:
3
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S.B.ANo.A12
1 (1)AAmultiplying the taxable value of the homestead in
2 the 2019 tax year by a tax rate equal to the difference between the
3 school district ’s maximum compressed rate for the 2019 tax year and
4 the district ’s maximum compressed rate for the 2020 tax year;
5 (2)AAsubtracting the amount computed under Subdivision
6 (1) from the amount of tax the district imposed on the homestead in
7 the 2019 tax year;
8 (3)AAadding any tax imposed in the 2020 tax year
9 attributable to improvements made in the 2019 tax year as provided
10 by Subsection (b) to the amount computed under Subdivision (2);
11 (4)AAmultiplying the taxable value of the homestead in
12 the 2020 tax year by a tax rate equal to the difference between the
13 district ’s maximum compressed rate for the 2020 tax year and the
14 district ’s maximum compressed rate for the 2021 tax year;
15 (5)AAsubtracting the amount computed under Subdivision
16 (4) from the amount computed under Subdivision (3);
17 (6)AAadding any tax imposed in the 2021 tax year
18 attributable to improvements made in the 2020 tax year as provided
19 by Subsection (b) to the amount computed under Subdivision (5);
20 (7)AAmultiplying the taxable value of the homestead in
21 the 2021 tax year by a tax rate equal to the difference between the
22 district ’s maximum compressed rate for the 2021 tax year and the
23 district ’s maximum compressed rate for the 2022 tax year;
24 (8)AAsubtracting the amount computed under Subdivision
25 (7) from the amount computed under Subdivision (6);
26 (9)AAadding any tax imposed in the 2022 tax year
27 attributable to improvements made in the 2021 tax year as provided
4
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S.B.ANo.A12
1 by Subsection (b) to the amount computed under Subdivision (8);
2 (10)AAmultiplying the taxable value of the homestead in
3 the 2022 tax year by a tax rate equal to the difference between the
4 district ’s maximum compressed rate for the 2022 tax year and the
5 district ’s maximum compressed rate for the 2023 tax year;
6 (11)AAsubtracting the amount computed under
7 Subdivision (10) from the amount computed under Subdivision (9);
8 and
9 (12)AAadding any tax imposed in the 2023 tax year
10 attributable to improvements made in the 2022 tax year as provided
11 by Subsection (b) to the amount computed under Subdivision (11).
12 (a-7)AANotwithstanding the other provisions of this section,
13 if in the 2023 tax year an individual qualifies for a limitation on
14 tax increases provided by this section on the individual ’s
15 residence homestead and the first tax year the individual or the
16 individual ’s spouse qualified for an exemption under Section
17 11.13(c) for the same homestead was the 2020 tax year, the amount of
18 the limitation provided by this section on the homestead in the 2023
19 tax year is equal to the amount computed by:
20 (1)AAmultiplying the taxable value of the homestead in
21 the 2020 tax year by a tax rate equal to the difference between the
22 school district ’s maximum compressed rate for the 2020 tax year and
23 the district ’s maximum compressed rate for the 2021 tax year;
24 (2)AAsubtracting the amount computed under Subdivision
25 (1) from the amount of tax the district imposed on the homestead in
26 the 2020 tax year;
27 (3)AAadding any tax imposed in the 2021 tax year
5
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S.B.ANo.A12
1 attributable to improvements made in the 2020 tax year as provided
2 by Subsection (b) to the amount computed under Subdivision (2);
3 (4)AAmultiplying the taxable value of the homestead in
4 the 2021 tax year by a tax rate equal to the difference between the
5 district ’s maximum compressed rate for the 2021 tax year and the
6 district ’s maximum compressed rate for the 2022 tax year;
7 (5)AAsubtracting the amount computed under Subdivision
8 (4) from the amount computed under Subdivision (3);
9 (6)AAadding any tax imposed in the 2022 tax year
10 attributable to improvements made in the 2021 tax year as provided
11 by Subsection (b) to the amount computed under Subdivision (5);
12 (7)AAmultiplying the taxable value of the homestead in
13 the 2022 tax year by a tax rate equal to the difference between the
14 district ’s maximum compressed rate for the 2022 tax year and the
15 district ’s maximum compressed rate for the 2023 tax year;
16 (8)AAsubtracting the amount computed under Subdivision
17 (7) from the amount computed under Subdivision (6); and
18 (9)AAadding any tax imposed in the 2023 tax year
19 attributable to improvements made in the 2022 tax year as provided
20 by Subsection (b) to the amount computed under Subdivision (8).
21 (a-8)AANotwithstanding the other provisions of this section,
22 if in the 2023 tax year an individual qualifies for a limitation on
23 tax increases provided by this section on the individual ’s
24 residence homestead and the first tax year the individual or the
25 individual ’s spouse qualified for an exemption under Section
26 11.13(c) for the same homestead was the 2021 tax year, the amount of
27 the limitation provided by this section on the homestead in the 2023
6
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S.B.ANo.A12
1 tax year is equal to the amount computed by:
2 (1)AAmultiplying the taxable value of the homestead in
3 the 2021 tax year by a tax rate equal to the difference between the
4 school district ’s maximum compressed rate for the 2021 tax year and
5 the district ’s maximum compressed rate for the 2022 tax year;
6 (2)AAsubtracting the amount computed under Subdivision
7 (1) from the amount of tax the district imposed on the homestead in
8 the 2021 tax year;
9 (3)AAadding any tax imposed in the 2022 tax year
10 attributable to improvements made in the 2021 tax year as provided
11 by Subsection (b) to the amount computed under Subdivision (2);
12 (4)AAmultiplying the taxable value of the homestead in
13 the 2022 tax year by a tax rate equal to the difference between the
14 school district ’s maximum compressed rate for the 2022 tax year and
15 the district ’s maximum compressed rate for the 2023 tax year;
16 (5)AAsubtracting the amount computed under Subdivision
17 (4) from the amount computed under Subdivision (3); and
18 (6)AAadding any tax imposed in the 2023 tax year
19 attributable to improvements made in the 2022 tax year as provided
20 by Subsection (b) to the amount computed under Subdivision (5).
21 (a-9)AANotwithstanding the other provisions of this section,
22 if in the 2023 tax year an individual qualifies for a limitation on
23 tax increases provided by this section on the individual ’s
24 residence homestead and the first tax year the individual or the
25 individual ’s spouse qualified for an exemption under Section
26 11.13(c) for the same homestead was the 2022 tax year, the amount of
27 the limitation provided by this section on the homestead in the 2023
7
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S.B.ANo.A12
1 tax year is equal to the amount computed by:
2 (1)AAmultiplying the taxable value of the homestead in
3 the 2022 tax year by a tax rate equal to the difference between the
4 school district ’s maximum compressed rate for the 2022 tax year and
5 the district ’s maximum compressed rate for the 2023 tax year;
6 (2)AAsubtracting the amount computed under Subdivision
7 (1) from the amount of tax the district imposed on the homestead in
8 the 2022 tax year; and
9 (3)AAadding any tax imposed in the 2023 tax year
10 attributable to improvements made in the 2022 tax year as provided
11 by Subsection (b) to the amount computed under Subdivision (2).
12 (a-10)AANotwithstanding the other provisions of this
13 section, if in the 2024 or a subsequent tax year an individual
14 qualifies for a limitation on tax increases provided by this
15 section on the individual ’s residence homestead, the amount of the
16 limitation provided by this section on the homestead is equal to the
17 amount computed by:
18 (1)AAmultiplying the taxable value of the homestead in
19 the preceding tax year by a tax rate equal to the difference between
20 the school district ’s maximum compressed rate for the preceding tax
21 year and the district ’s maximum compressed rate for the current tax
22 year;
23 (2)AAsubtracting the amount computed under Subdivision
24 (1) from the amount of tax the district imposed on the homestead in
25 the preceding tax year; and
26 (3)AAadding any tax imposed in the current tax year
27 attributable to improvements made in the preceding tax year as
8
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S.B.ANo.A12
1 provided by Subsection (b) to the amount computed under Subdivision
2 (2).
3 SECTIONA2.AASubchapter F, Chapter 48, Education Code, is
4 amended by adding Section 48.2542 to read as follows:
5 Sec.A48.2542.AAADDITIONAL STATE AID FOR ADJUSTMENT OF
6 LIMITATION ON TAX INCREASES ON HOMESTEAD OF ELDERLY OR DISABLED.
7 Notwithstanding any other provision of this chapter, if a school
8 district is not fully compensated through state aid or the
9 calculation of excess local revenue under this chapter based on the
10 determination of the district ’s taxable value of property under
11 Subchapter M, Chapter 403, Government Code, the district is
12 entitled to additional state aid in the amount necessary to fully
13 compensate the district for the amount of ad valorem tax revenue
14 lost due to a reduction of the amount of the limitation on tax
15 increases provided by Sections 11.26(a-4), (a-5), (a-6), (a-7),
16 (a-8), (a-9), and (a-10), Tax Code, as applicable.
17 SECTIONA3.AASection 48.2551(d), Education Code, is amended
18 to read as follows:
19 (d)AAThe agency shall:
20 (1)AAcalculate and make available school districts ’
21 maximum compressed rates, as determined under this section; and
22 (2)AApost the information described by Section 48.2556
23 on the agency ’s Internet website as required by that section.
24 SECTIONA4.AASubchapter F, Chapter 48, Education Code, is
25 amended by adding Section 48.2556 to read as follows:
26 Sec.A48.2556.AAPOSTING ON AGENCY WEBSITE OF INFORMATION
27 RELATED TO REDUCTION OF LIMITATION OF TAX ON HOMESTEADS OF ELDERLY
9
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S.B.ANo.A12
1 OR DISABLED. (a)AAThe agency shall post the following information
2 on the agency ’s Internet website for purposes of allowing the chief
3 appraiser of each appraisal district and the assessor for each
4 school district to make the calculations required by Sections
5 11.26(a-5), (a-6), (a-7), (a-8), (a-9), and (a-10), Tax Code:
6 (1)AAeach school district ’s maximum compressed rate, as
7 determined under Section 48.2551, for each tax year beginning with
8 the 2019 tax year; and
9 (2)AAeach school district ’s tier one maintenance and
10 operations tax rate, as provided by Section 45.0032(a), for the
11 2018 tax year.
12 (b)AAThe agency shall post each school district ’s maximum
13 compressed rate for the current tax year, as determined under
14 Section 48.2551, promptly after calculating the rate. If, for the
15 2023 or a subsequent tax year, the agency calculates a preliminary
16 rate before calculating a final rate, the agency shall post the
17 preliminary rate, and the chief appraiser of each appraisal
18 district and the assessor for each school district shall use the
19 preliminary rate to make the calculations described by Subsection
20 (a).
21 (c)AAThe agency shall notify the chief appraiser of each
22 appraisal district and the assessor for each school district when
23 the agency has complied with Subsection (b). The notice must
24 include the location on the agency ’s Internet website at which the
25 information required by this section to be posted may be found.
26 SECTIONA5.AASection 403.302, Government Code, is amended by
27 adding Subsection (j-1) to read as follows:
10
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S.B.ANo.A12
1 (j-1)AAIn the final certification of the study under
2 Subsection (j), the comptroller shall separately identify the final
3 taxable value for each school district as adjusted to account for
4 the reduction of the amount of the limitation on tax increases
5 provided by Sections 11.26(a-4), (a-5), (a-6), (a-7), (a-8), (a-9),
6 and (a-10), Tax Code, as applicable.
7 SECTIONA6.AAThis Act applies only to ad valorem taxes imposed
8 for a tax year beginning on or after the effective date of this Act.
9 SECTIONA7.AAThis Act takes effect January 1, 2023, but only
10 if the constitutional amendment proposed by the 87th Legislature,
11 2nd Called Session, 2021, authorizing the legislature to provide
12 for the reduction of the amount of a limitation on the total amount
13 of ad valorem taxes that may be imposed for general elementary and
14 secondary public school purposes on the residence homestead of a
15 person who is elderly or disabled to reflect any statutory
16 reduction from the preceding tax year in the maximum compressed
17 rate of the maintenance and operations taxes imposed for those
18 purposes on the homestead is approved by the voters. If that
19 amendment is not approved by the voters, this Act has no effect.
11
App.248
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S.B.ANo.A12
______________________________AAAA______________________________
President of the SenateAAAAAAAAAAAAASpeaker of the House
I hereby certify that S.B.ANo.A12 passed the Senate on
AugustA9,A2021, by the following vote: YeasA29, NaysA0; and that
the Senate concurred in House amendment on AugustA29,A2021, by the
following vote: YeasA31, NaysA0.
______________________________
AAAASecretary of the Senate
I hereby certify that S.B.ANo.A12 passed the House, with
amendment, on AugustA27,A2021, by the following vote: YeasA121,
NaysA0, one present not voting.
______________________________
AAAAChief Clerk of the House
Approved:
______________________________
AAAAAAAAAAAAADate
______________________________
AAAAAAAAAAAGovernor
12
App.249
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
S.B. No. 12 Fiscal Note
EXHIBIT A-22
App.250
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LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATURE 2nd CALLED SESSION 2021
August 27, 2021
TO: Honorable Dan Patrick, Lieutenant Governor, Senate
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB12 by Bettencourt (relating to the reduction of the amount of a limitation on the total amount of ad
valorem taxes that may be imposed by a school district on the residence homestead of an individual
who is elderly or disabled to reflect any reduction from the preceding tax year in the district ’s
maximum compressed rate and to the protection of school districts against the resulting loss in local
revenue.), As Passed 2nd House
Estimated Twoyear Net Impact to General Revenue Related Funds for SB12, As Passed 2nd House : an
impact of $0 through the biennium ending August 31, 2023. However, a negative impact of ($467.5 million)
is expected in the biennium ending August 31, 2025.
General RevenueRelated Funds, Five Year Impact:
Probable Net Positive/(Negative) Impact
Fiscal
to
Year
General Revenue Related Funds
2022 $0
2023 $0
2024 ($219,348,876)
2025 ($248,120,464)
2026 ($276,892,052)
All Funds, FiveYear Impact:
Probable Savings/(Cost) from Probable Revenue Gain/(Loss)
Fiscal
Foundation School Fund from
Year
193 School Districts
2022 $0 $0
2023 $0 $0
2024 ($219,348,876) ($219,348,876)
2025 ($248,120,464) ($248,120,464)
2026 ($276,892,052) ($276,892,052)
Fiscal Analysis
The bill would amend Section 11.26 of the Tax Code, regarding the limitation of school tax on homesteads of
elderly or disabled. The bill would recalculate school district tax limitations (tax ceiling) on residence
homesteads for individuals who are 65 or over or disabled to reflect reductions in school district maximum
compressed tax rates for 2019 and subsequent tax years.
The bill specifies certain calculations for the 2023 tax year to adjust the tax limitation for certain individuals
(tax ceiling) based on the year they were first eligible to receive the limitation to account for tax rate
reductions and ongoing tax rate compression passed by the 86th Legislature. For the 2023 tax year and
subsequent tax years, the tax ceiling is computed by the prior year tax amount minus the rate reduction from
compression (prior year maximum compressed rate minus current year maximum compressed rate) and
Page 1 of 2
adjusting for any tax attributable to new improvements.
The bill would amend Chapter 48 of the Education Code, regarding the Foundation School Program, to require
that the state hold school districts harmless for tax revenue losses resulting from tax ceiling reductions. School
App.251
districts would be entitled to additional state aid to the extent state aid under the current formulas does not fully
reimburse them for the tax revenue losses. The bill would require the Texas Education Agency post certain
homesteads for individuals who are 65 or over or disabled to reflect reductions in school district maximum
compressed tax rates for 2019 and subsequent tax years.
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 Page 253 of 272 PageID 475
The bill specifies certain calculations for the 2023 tax year to adjust the tax limitation for certain individuals
(tax ceiling) based on the year they were first eligible to receive the limitation to account for tax rate
reductions and ongoing tax rate compression passed by the 86th Legislature. For the 2023 tax year and
subsequent tax years, the tax ceiling is computed by the prior year tax amount minus the rate reduction from
compression (prior year maximum compressed rate minus current year maximum compressed rate) and
adjusting for any tax attributable to new improvements.
The bill would amend Chapter 48 of the Education Code, regarding the Foundation School Program, to require
that the state hold school districts harmless for tax revenue losses resulting from tax ceiling reductions. School
districts would be entitled to additional state aid to the extent state aid under the current formulas does not fully
reimburse them for the tax revenue losses. The bill would require the Texas Education Agency post certain
information on the agency's website.
The bill would amend Chapter 403 of the Government Code, regarding the Comptroller's Property Value Study,
to require the Comptroller separately identify the final taxable value for each school district to account for the
reduction in tax ceilings.
The bill would be effective January 1, 2023, contingent on voter approval of a constitutional amendment (SJR
2).
Methodology
This estimate is based on information from the United States Census Bureau and from appraisal districts. The
average taxable value of a 65andover homestead was estimated for each year from 2000 through 2020. The
statewide school district weighted average tax rate was applied in each year to estimate the typical tax limitation
in each year. The costs were stratified in fiveyear groups and an average cost was estimated for each group. The
rate reductions as specified in the bill were calculated for each group and summed to estimate the initial
statewide total cost to school districts in tax year 2023. For subsequent tax years, projected rate reductions
were applied to estimated growth in the average taxable value of 65andover homesteads to estimate future tax
ceiling reductions.
If school district property tax rates decreased from the preceding year, homestead owners subject to the
limitation would have their limitation reduced. A continuous tax ceiling adjustment would effectively exempt
future taxable property value growth after the ceiling is imposed and continue decreasing all tax ceilings as long
as there is a reduction in a school district's maximum compressed rate (MCR). This analysis assumes a
continuing 1 cent reduction in MCR each year after 2022. Larger reductions of the MCR would impose
additional cost. The impact will vary depending on property value growth and the level of tax rate reduction.
Because the bill would hold school districts harmless for all property tax revenue losses from tax ceiling
reductions, the cost would be transferred to the state. Therefore, there would be no losses to local taxing units.
There would be no administrative costs to the Comptroller's office.
Local Government Impact
The fiscal implication for school districts is shown in the table above.
Source Agencies: 304 Comptroller of Public Accounts
LBB Staff: JMc, KK, SD, AF, BRI
Page 2 of 2
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
Act No. 134
EXHIBIT A-23
App.253
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2021 Regular Session ENROLLED
ACT No. 134
SENATE BILL NO. 159
BY SENATORS ALLAIN AND JOHNS AND REPRESENTATIVE BISHOP
1 A JOINT RESOLUTION
2 Proposing to amend Article VII, Section 4(A) of the Constitution of Louisiana, relative to
3 income tax; to provide a maximum rate of individual income tax; to provide with
4 respect to the deductibility of federal income tax for purposes of computing state
5 income tax; to eliminate the mandatory deduction for federal income taxes; and to
6 specify an election for submission of the proposition to electors and provide a ballot
7 proposition.
8 Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members
9 elected to each house concurring, that there shall be submitted to the electors of the state, for
10 their approval or rejection in the manner provided by law, a proposal to amend Article VII,
11 Section 4(A) of the Constitution of Louisiana, to read as follows:
12 §4. Income Tax; Severance Tax; Political Subdivisions
13 Section 4.(A) Income Tax. Equal and uniform taxes may be levied on net
14 incomes, and these taxes may be graduated according to the amount of net income.
15 However, the maximum state individual and joint income tax schedule of rates and
16 brackets shall never exceed the rates and brackets set forth in Title 47 of the
17 Louisiana Revised Statutes on January 1, 2003 rate shall not exceed four and
18 three-quarters percent for tax years beginning after December 31, 2021. Federal
19 income taxes paid shall may be allowed as a deductible item in computing state
20 income taxes for the same period as provided by law.
21 Section 2. Be it further resolved that this proposed amendment shall be submitted
22 to the electors of the state of Louisiana at the statewide election to be held on
23 October 9, 2021.
Page 1 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
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ENROLLED
1 Section 3. Be it further resolved that on the official ballot to be used at said election
2 there shall be printed a proposition, upon which the electors of the state shall be permitted
3 to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as
4 follows:
5 Do you support an amendment to lower the maximum allowable rate of
6 individual income tax and to authorize the legislature to provide by law for
7 a deduction for federal income taxes paid?
8 (Amends Article VII, Section 4(A))
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
Page 2 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
The Official Journal of the Senate of the State of Louisiana – Thirty-Fourth Day’s Proceedings
(excerpts)
EXHIBIT A-24
App.256
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THE OFFICIAL JOURNAL Post Office Box 94183
OF THE Baton Rouge, Louisiana 70804-9183
Dear President Cortez:
SENATE
OF THE In accordance with Louisiana Revised Statute 24:511(E), I have
appointed Mr. Ernest F. Summerville, Jr. as First Assistant
STATE OF LOUISIANA Legislative Auditor, effective May 3, 2021. Mr. Summerville is
_______ replacing Thomas H. Cole, who will be retiring from our agency.
THIRTY-FOURTH_______
DAY'S PROCEEDINGS
In that regard, I hereby acknowledge the following appointment
Forty-Seventh Regular Session of the Legislature and submit to you the name for consideration of Senate confirmation
Under the Adoption of the as required by law.
Constitution of 1974
_______ FIRST ASSISTANT LEGISLATIVE AUDITOR
(Effective May 3, 2021)
Senate Chamber Mr. Ernest F. Summerville Jr., CPA
State Capitol 1600 North Third Street
Baton Rouge, Louisiana
Baton Rouge, LA 70802
Thursday, June 10, 2021 (225) 339-3931
The Senate was called to order at 9:35 o'clock A.M. by Hon. Thank you in advance for your attention to this important
Patrick Page Cortez, President of the Senate. matter, and please contact me should you have any questions or need
additional information.
Morning Hour
Sincerely,
CONVENING ROLL CALL MICHAEL J. WAGUESPACK, CPA
Legislative Auditor
The roll being called, the following members answered to their
names: Messages from the Governor
PRESENT The following messages from the Governor were received and
read as follows:
Mr. President Henry Morris
Abraham Hensgens Peacock OFFICE OF THE GOVERNOR
Allain Hewitt Peterson STATE OF LOUISIANA
Barrow Jackson Pope
Bernard Johns Price June 9, 2021
Boudreaux Lambert Reese
Bouie Luneau Smith Honorable Clay J. Schexnayder Honorable Patrick Page Cortex
Cathey McMath Talbot Speaker of the House President
Fesi Milligan Ward Louisiana House of Representatives Louisiana State Senate
Fields Mills, F. Womack Post Office Box 94062 Post Office Box 94183
Foil Mills, R. Baton Rouge, Louisiana 70804 Baton Rouge, Louisiana 70804
Harris Mizell
Total - 34 Re: Line Item Vetoes in House Bill 1 of the 2021 Regular Session
ABSENT
Dear Speaker Schexnayder and President Cortez:
Cloud Tarver
Connick White Please allow this letter to inform you that I have signed House
Total - 4 Bill 1 of the 2021 Regular Session. However, I have exercised my
line item veto authority granted to me to veto 8 items.
The President of the Senate announced there were 34 Senators
present and a quorum. I have exercised my line item veto authority as follows:
Prayer Veto No. 1: Delete Lines 16-19 on Page 4 of 230,
beginning with the last sentence ("Any
The prayer was offered by Senator Beth Mizell, following which subsequent change . . ."): This language is
the Senate joined in the Pledge of Allegiance to the flag of the United unnecessary, as this oversight of the Personal
States of America. Services expenditure categories is already
performed by the Executive Branch. Further, this
provision violates Article II, Section 2 of the
Reading of the Journal Louisiana Constitution.
On motion of Senator Lambert, the reading of the Journal was Veto No. 2: Delete Lines 21-25 on Page 12 of 230: This
dispensed with and the Journal of June 9, 2021, was adopted. language is unnecessary, as this information is
already provided throughout the bill.
Petitions, Memorials and Additionally, this oversight is afforded to the
Communications Joint Legislative Committee on the Budget
through the budget adjustment process.
The following petitions, memorials and communications were
received and read: Veto No. 3: Delete Lines 26-30 on Page 12 of 230: This
language is unnecessary, as this oversight of
LOUISIANA LEGISLATIVE AUDITOR agency expenditures is already performed by the
Executive Branch.
April 27, 2021
Veto No. 4: Delete Lines 46-48 of Page 18 of 230: This
The Honorable Patrick "Page" Cortez, President amendment would reduce necessary funding for
Louisiana State Senate operating services and contractual obligations.
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June 10, 2021
Veto No. 5: Deleted Lines 1-3 on Page 20 of 230: This Message from the House
language is unnecessary oversight of the
Homeowners Assistance Fund program. Further, CONCURRING IN
this provision violates Article II, Section 2 of the SENATE CONCURRENT RESOLUTIONS
Louisiana Constitution.
June 9, 2021
Veto No. 6 Delete Lines 23-35 on Page 88 of 230: The
entities that are transferring the funds are in the To the Honorable President and Members of the Senate:
best position to identify or verify the source of
their funds set for transfer, not the Department. I am directed to inform your honorable body that the House of
Thus, the transferring entity is the entity which Representatives has finally concurred in the following Senate
should certify as to the fact that the funds Concurrent Resolutions:
transferred are "public funds" pursuant to federal
regulation. Further, this provision violates SENATE CONCURRENT RESOLUTION NO. 59—
Article II, Section 2 of the Louisiana BY SENATOR BERNARD
Constitution. A CONCURRENT RESOLUTION
To urge and request the office of public health of the Louisiana
Veto No. 7 Delete lines 12-13 on Page 197 of 230: This Department of Health to study and submit a report relative to
item contains an unnecessary appropriation. health care infrastructure needs in Louisiana.
Veto No. 8 Delete Lines 38-40 on Page 199 of 230: This Reported without amendments.
item contains an unnecessary appropriation.
Respectfully submitted,
Enclosed is a copy of the signed version of House Bill 1. I have MICHELLE D. FONTENOT
sent the original to the Secretary of State. Clerk of the House of Representatives
Sincerely, Message from the House
JOHN BEL EDWARDS
Governor DISAGREEMENT TO HOUSE BILL
OFFICE OF THE GOVERNOR June 9, 2021
STATE OF LOUISIANA
To the Honorable President and Members of the Senate:
June 9, 2021
I am directed to inform your honorable body that the House of
Honorable Clay J. Schexnayder Honorable Patrick Page Cortex Representatives has refused to concur in the proposed Senate
Speaker of the House President Amendment(s) to House Bill No. 137 by Representative Duplessis,
Louisiana House of Representatives Louisiana State Senate and ask the President to appoint on the part of the Senate a committee
Post Office Box 94062 Post Office Box 94183 to confer with a like committee from the House on the disagreement;
Baton Rouge, Louisiana 70804 Baton Rouge, Louisiana 70804 and to inform your honorable body that the Speaker of the House of
Representatives has appointed the following members as conferees
Re: Line Item Vetoes in House Bill 516 of the 2021 Regular Session on the part of the House:
Dear Speaker Schexnayder and President Cortez: Representatives Duplessis, James and Magee.
Please allow this letter to inform you that I have signed House Respectfully submitted,
Bill 516 of the 2021 Regular Session. However, I have exercised my MICHELLE D. FONTENOT
line item veto authority granted to me to veto 4 items. Clerk of the House of Representatives
I have exercised my line item veto authority as follows: Message from the House
Veto No. 1: Delete Lines 40-41 on Page 27 of 36: This item DISAGREEMENT TO HOUSE BILL
contains an unnecessary appropriation.
Veto No. 2: Delete Lines 12-14 on Page 29 of 36: This item June 9, 2021
contains an unnecessary appropriation. To the Honorable President and Members of the Senate:
Veto No. 3: Delete Lines 23-24 on Page 30 of 36: This item I am directed to inform your honorable body that the House of
contains an unnecessary appropriation. Representatives has refused to concur in the proposed Senate
Veto No. 4: Delete Lines 33-35 on Page 30 of 36: This item Amendment(s) to House Bill No. 183 by Representative Brown, and
contains an unnecessary appropriation. ask the President to appoint on the part of the Senate a committee to
confer with a like committee from the House on the disagreement;
Enclosed is a copy of the signed version of House Bill 516. I and to inform your honorable body that the Speaker of the House of
have sent the original to the Secretary of State. Representatives has appointed the following members as conferees
on the part of the House:
Sincerely, Representatives Brown, Carpenter and Stefanski.
JOHN BEL EDWARDS
Governor Respectfully submitted,
MICHELLE D. FONTENOT
Clerk of the House of Representatives
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June 10, 2021
Message from the House Respectfully submitted,
MICHELLE D. FONTENOT
DISAGREEMENT TO HOUSE BILL Clerk of the House of Representatives
June 9, 2021 Message from the House
To the Honorable President and Members of the Senate: ADOPTION OF
CONFERENCE COMMITTEE REPORT
I am directed to inform your honorable body that the House of
Representatives has refused to concur in the proposed Senate June 9, 2021
Amendment(s) to House Bill No. 678 by Representative Duplessis,
and ask the President to appoint on the part of the Senate a committee To the Honorable President and Members of the Senate:
to confer with a like committee from the House on the disagreement;
and to inform your honorable body that the Speaker of the House of I am directed to inform your honorable body that the House of
Representatives has appointed the following members as conferees Representatives has adopted the Report of the Conference Committee
on the part of the House: on the disagreement to House Bill No. 188.
Representatives Duplessis, Bishop and Ivey. Respectfully submitted,
MICHELLE D. FONTENOT
Respectfully submitted, Clerk of the House of Representatives
MICHELLE D. FONTENOT
Clerk of the House of Representatives Message from the House
Message from the House ADOPTION OF
CONFERENCE COMMITTEE REPORT
ADOPTION OF
CONFERENCE COMMITTEE REPORT June 9, 2021
June 9, 2021 To the Honorable President and Members of the Senate:
To the Honorable President and Members of the Senate: I am directed to inform your honorable body that the House of
Representatives has adopted the Report of the Conference Committee
I am directed to inform your honorable body that the House of on the disagreement to House Bill No. 278.
Representatives has adopted the Report of the Conference Committee
on the disagreement to Senate Bill No. 10. Respectfully submitted,
MICHELLE D. FONTENOT
Respectfully submitted, Clerk of the House of Representatives
MICHELLE D. FONTENOT
Clerk of the House of Representatives Message from the House
Message from the House ADOPTION OF
CONFERENCE COMMITTEE REPORT
ADOPTION OF
CONFERENCE COMMITTEE REPORT June 9, 2021
June 9, 2021 To the Honorable President and Members of the Senate:
To the Honorable President and Members of the Senate: I am directed to inform your honorable body that the House of
Representatives has adopted the Report of the Conference Committee
I am directed to inform your honorable body that the House of on the disagreement to House Bill No. 292.
Representatives has adopted the Report of the Conference Committee
on the disagreement to Senate Bill No. 154. Respectfully submitted,
MICHELLE D. FONTENOT
Respectfully submitted, Clerk of the House of Representatives
MICHELLE D. FONTENOT
Clerk of the House of Representatives Message from the House
Message from the House ADOPTION OF
CONFERENCE COMMITTEE REPORT
ADOPTION OF
CONFERENCE COMMITTEE REPORT June 9, 2021
June 9, 2021 To the Honorable President and Members of the Senate:
To the Honorable President and Members of the Senate: I am directed to inform your honorable body that the House of
Representatives has adopted the Report of the Conference Committee
I am directed to inform your honorable body that the House of on the disagreement to House Bill No. 423.
Representatives has adopted the Report of the Conference Committee
on the disagreement to House Bill No. 38. Respectfully submitted,
MICHELLE D. FONTENOT
Clerk of the House of Representatives
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Message from the House Barrow Jackson Pope
Bernard Johns Price
ADOPTION OF Boudreaux Luneau Reese
CONFERENCE COMMITTEE REPORT Cathey McMath Smith
Fesi Milligan Ward
June 9, 2021 Fields Mills, F. Womack
Foil Mills, R.
To the Honorable President and Members of the Senate: Harris Mizell
Total - 31
I am directed to inform your honorable body that the House of NAYS
Representatives has adopted the Report of the Conference Committee
on the disagreement to House Bill No. 647. Total - 0
ABSENT
Respectfully submitted,
MICHELLE D. FONTENOT Bouie Lambert White
Clerk of the House of Representatives Cloud Talbot
Connick Tarver
Appointment of Conference Committee Total - 7
on House Bill No. 137 The Chair declared the Senate adopted the Senate Resolution.
The President of the Senate appointed to the Conference Rules Suspended
Committee on House Bill No. 137 the following members of the
Senate: Senator Ward asked for and obtained a suspension of the rules
Senators Cortez, to take up at this time:
Smith
and Bouie. Senate Bills and Joint Resolutions
Returned from the House of Representatives
Appointment of Conference Committee with Amendments
on House Bill No. 183
SENATE BILL NO. 142—
BY SENATORS WARD, CORTEZ AND JOHNS
The President of the Senate appointed to the Conference AN ACT
Committee on House Bill No. 183 the following members of the To enact R.S. 4:199, R.S. 27:625(G) and R.S. 28:843, relative to
Senate: sports wagering; to provide relative to revenue generated from
Senators Luneau, sports wagering; to provide for appropriation; to create the
Reese Behavioral Health and Wellness Fund; to create the Sports
and Womack. Wagering Purse Supplemental Fund; and to provide for related
matters.
Appointment of Conference Committee The bill was read by title. Returned from the House of
on House Bill No. 678 Representatives with amendments:
The President of the Senate appointed to the Conference HOUSE COMMITTEE AMENDMENTS
Committee on House Bill No. 678 the following members of the
Senate: Amendments proposed by House Committee on Appropriations to
Reengrossed Senate Bill No. 142 by Senator Ward
Senators Allain,
Ward AMENDMENT NO. 1
and Bouie. On page 1, line 5, change "Supplemental" to "Supplement"
Introduction of Senate Resolutions AMENDMENT NO. 2
On page 1, delete line 13, and insert
Senator Boudreaux asked for and obtained a suspension of the "(1) Two percent of the monies collected pursuant to this
rules to read Senate Resolutions a first and second time. Section, or five hundred thousand dollars, whichever is greater,
shall be"
SENATE RESOLUTION NO. 220—
BY SENATOR BOUDREAUX AMENDMENT NO. 3
A RESOLUTION On page 1, line 16, after "(2)" and before "percent" change
To commend Gregg Gothreaux, President and CEO of the Lafayette "Twenty" to "Twenty-five"
Economic Development Authority for his accomplishments and
service with LEDA for twenty-one years. AMENDMENT NO. 4
On page 2, line 2, after "(3)" and before "percent" change "Ten" to
Senator Boudreaux moved adoption of the Senate Resolution. "Twelve"
ROLL CALL AMENDMENT NO. 5
On page 2, delete line 5 and insert the following:
The roll was called with the following result: "(4) One percent of the monies collected pursuant to this
Section shall be credited to the Sports Wagering Purse
YEAS Supplement Fund"
Mr. President Henry Morris AMENDMENT NO. 6
Abraham Hensgens Peacock On page 2, line 6, after "Sports" and before "Purse" change
Allain Hewitt Peterson "Gaming" to "Wagering"
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June 10, 2021
AMENDMENT NO. 7 shall be credited to the Disability Affairs Trust Fund established
On page 2, line 10, after "funds" delete the remainder of the line and by R.S. 46:2583.
insert "collected pursuant to this Section shall be credited to the (6) Any remaining funds shall be available as state general
state general fund." funds."
AMENDMENT NO. 8 Senator Ward moved to reject the amendments proposed by the
On page 2, line 12, change "Supplemental" to "Supplement" House.
AMENDMENT NO. 9 ROLL CALL
On page 2, line 14, after "Wagering" and before "Fund" delete
"Supplemental" and insert "Purse Supplement" The roll was called with the following result:
AMENDMENT NO. 10 YEAS
On page 2, line 15, after "as" and before ""fund"" insert "the"
Mr. President Hensgens Peacock
AMENDMENT NO. 11 Abraham Hewitt Peterson
On page 3, line 22, after "as" and before ""fund"" insert "the" Allain Jackson Pope
Barrow Johns Price
HOUSE FLOOR AMENDMENTS Bernard Lambert Reese
Boudreaux Luneau Smith
Amendments proposed by Representative Stefanski to Reengrossed Bouie McMath Talbot
Senate Bill No. 142 by Senator Ward Cathey Milligan Ward
Fields Mills, F. White
AMENDMENT NO. 1 Foil Mills, R. Womack
On page 1, after "R.S. 27:625(G)" and before "and" insert "and 628" Harris Mizell
Henry Morris
AMENDMENT NO. 2 Total - 34
On page 1, line 5, after "Fund;" and before "and" insert "to create the NAYS
Sports Wagering Local Allocation Fund;"
Total - 0
AMENDMENT NO. 3 ABSENT
On page 1, line 7, after "R.S. 27:625(G)" and before "hereby" delete
"is" and insert "and 628 are" Cloud Fesi
Connick Tarver
AMENDMENT NO. 4 Total - 4
On page 2, delete lines 3 and 4 in their entirety and insert "credited
to the Sports Wagering Local Allocation Fund established by R.S. The Chair declared the Senate rejected the amendments
27:628." proposed by the House.
AMENDMENT NO. 5 Rules Suspended
On page 2, between lines 10 and 11, insert the following:
"* * * Senator Womack asked for and obtained a suspension of the
§628. Sports Wagering Local Allocation Fund rules to take up at this time:
A. There is hereby created in the state treasury a special
fund to be known as the Sports Wagering Local Allocation Fund,
hereafter referred to as the "fund". Senate Bills and Joint Resolutions
B. Monies in the fund shall be remitted monthly, by Returned from the House of Representatives
proportionate distribution, to each parish governing authority in with Amendments, Subject to Call
which the taxable conduct pursuant to R.S. 27:625 occurred."
AMENDMENT NO. 6
Called from the Calendar
On page 3, line 25, after "Chapter" and before "shall" insert a Senator Womack asked that Senate Bill No. 188 be called from
comma ","and insert "except for monies deposited into the the Calendar.
Compulsive and Problem Gaming Fund pursuant to the
provisions of this Chapter, shall be credited to the fund. Monies SENATE BILL NO. 188—
in the fund" BY SENATOR WOMACK
AN ACT
HOUSE FLOOR AMENDMENTS To amend and reenact R.S. 40:600.89(A)(1) and the introductory
paragraph of (2), (c), and (e), relative to the Louisiana Housing
Amendments proposed by Representative Lyons to Reengrossed Corporation; to provide relative to the board of directors; and to
Senate Bill No. 142 by Senator Ward provide for related matters.
AMENDMENT NO. 1 The bill was read by title. Returned from the House of
Delete House Committee Amendment No. 7 by the House Committee Representatives with amendments:
on Appropriations (#3873)
HOUSE FLOOR AMENDMENTS
AMENDMENT NO. 2
Delete House Committee Amendment No. 4 by the House Committee Amendments proposed by Representatives Riser and Gary Carter to
on Appropriations (#3873) Reengrossed Senate Bill No. 188 by Senator Womack
AMENDMENT NO. 3 AMENDMENT NO. 1
On page 2, delete line 10 in its entirety and insert the following: On page 1, line 2, after "reenact" delete "R.S. 40:600.89(A)(1)" and
"(5) Two percent of the monies collected pursuant to this insert in lieu thereof "R.S. 40:531(B)(2)(b) and 600.89(A)(1)"
Section, or five hundred thousand dollars, whichever is greater,
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AMENDMENT NO. 2 Conference Committee Reports
On page 1, line 3, after "Corporation" and before "; to provide" insert
"and local housing authorities" The following report was received and read:
AMENDMENT NO. 3 HOUSE BILL NO. 278—
On page 1, line 4, after "directors;" and before "and to provide" insert BY REPRESENTATIVE BISHOP AND SENATOR ALLAIN
"to provide for the appointment of landlord commissioners;" AN ACT
To amend and reenact R.S. 47:32(A), 241, 293(3) and (10), 295(B),
AMENDMENT NO. 4 296.1(B)(3)(c) and (d), 300.1, 300.6(A), and 300.7(A), to enact
On page 1, line 6, delete "R.S. 40:600.89(A)(1)" and insert in lieu R.S. 47:32.1, and to repeal R.S. 47:293(4) and (9)(a)(ii),
thereof "R.S. 40:531(B)(2)(b) and 600.89(A)(1)" 296.1(B)(3)(e), and 298, relative to the individual and fiduciary
income tax; to reduce the rates for purposes of calculating
AMENDMENT NO. 5 individual and fiduciary income tax liability; to repeal the
On page 1, between lines 7 and 8, insert the following: deductibility of federal income taxes paid for purposes of
"§531. Appointment of commissioners to local housing authority calculating individual and fiduciary income tax; to provide with
* * * respect to the deduction for excess federal itemized personal
B. deductions; to provide for certain requirements and limitations;
* * * to authorize the reduction of certain rates under certain
(2) circumstances; to provide for applicability; to provide for an
* * * effective date; and to provide for related matters.
(b) The one landlord commissioner shall be appointed by the
mayor from a list of three nominees submitted by the Landlords CONFERENCE COMMITTEE REPORT
Advisory Committee. No person who has or who is seeking a
business or financial relationship with the housing authority or who June 9, 2021
otherwise has a conflict pursuant to the Code of Governmental Ethics
regarding service on the housing authority shall be eligible to be To the Honorable Speaker and Members of the House of
appointed as a landlord commissioner. The committee shall meet Representatives and the Honorable President and Members of the
within sixty days after any mayoral election is concluded or any Senate.
vacancy in the landlord commissioner position and shall nominate the
list of landlord commissioners as provided in this Subsection upon a Ladies and Gentlemen:
majority vote of the members of the committee present and voting.
The committee shall give notice of the purpose, time, and place of We, the conferees appointed to confer over the disagreement
such a meeting through the landlord portal on the official website of between the two houses concerning House Bill No. 278 by
the housing authority or by publication in the official journal of the Representative Bishop recommend the following concerning the
city of New Orleans at least seven days prior to the date set for the Reengrossed bill:
hearing.
* * *" 1. That Senate Committee Amendment Nos. 2, 3, and 4 by the
Committee on Revenue and Fiscal Affairs (#2962) be rejected.
Senator Womack moved to concur in the amendments proposed
by the House. 2. That Senate Committee Amendment Nos. 1 and 5 through 8 by
the Committee on Revenue and Fiscal Affairs (#2962) be
ROLL CALL adopted.
The roll was called with the following result: 3. That Senate Floor Amendment No. 1 by Senator Allain (#3170)
be rejected.
YEAS
4. That Senate Floor Amendment No. 2 by Senator Allain (#3170)
Mr. President Henry Peacock be adopted.
Abraham Hensgens Pope
Allain Hewitt Price 5. That the following amendments to the Reengrossed bill be
Barrow Jackson Reese adopted:
Bernard Johns Smith
Boudreaux Lambert Talbot AMENDMENT NO. 1
Bouie McMath Tarver On page 1, line 2, after "295(B)," delete the remainder of the line in
Cloud Milligan Ward its entirety
Fesi Mills, F. White
Fields Mills, R. Womack AMENDMENT NO. 2
Foil Mizell On page 1, line 4, after "(9)(a)(ii)," and before "and 298," delete
Harris Morris "296.1(B)(3)(e)," and insert "296.1(B)(3)(c),"
Total - 34
NAYS AMENDMENT NO. 3
On page 1, line 13, after "295(B)," delete the remainder of the line in
Total - 0 its entirety
ABSENT
AMENDMENT NO. 4
Cathey Luneau On page 2, delete lines 9 through 29 in their entirety and on page 3,
Connick Peterson delete lines 1 through 7 in their entirety and insert the following:
Total - 4 "A.(1) Beginning April 1, 2024, and each April first through
2034, if the prior fiscal year's actual individual income tax collections
The Chair declared the Senate concurred in the amendments as reported in the state's accounting system exceed the actual
proposed by the House. individual income tax collections for the fiscal year ending June 30,
2019, as reported in the state's accounting system, adjusted annually
by the growth factor provided for in Article VII, Section 10(C) of the
Constitution, the individual income tax rate in R.S. 47:32 for the tax
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year beginning the following January first shall be reduced as NAYS
provided in Paragraph (2) of this Subsection.
(2) The reduced rates shall be calculated by multiplying each Lambert
current rate by the difference between one and the percentage change Total - 1
in individual income tax collections in excess of the individual ABSENT
income tax collections for Fiscal Year 2018-2019 adjusted annually
by the growth factor as provided in Paragraph (1) of this Subsection. Connick
Rate reductions shall be made only if both of the following conditions Total - 1
are met:
(a) The prior fiscal year's actual total tax, licenses, and fees The Chair declared the Conference Committee Report was
exceed the actual total tax, licenses, and fees for Fiscal Year adopted.
2018-2019, adjusted annually by the growth factor in Article VII,
Section 10(C) of the Constitution of Louisiana. Senator Allain moved to reconsider the vote by which the
(b) The Budget Stabilization Fund balance as determined by the Conference Committee Report to House Bill No. 278 was adopted
treasurer is at least two and one-half percent of the total state revenue and laid the motion on the table.
receipts from the prior fiscal year.
B. When the provisions of this Section require a reduction in the Conference Committee Report
individual income tax rates, the secretary of the Department of
Revenue shall publish the reduced rates, and shall include the reduced The following report was received and read:
rates when publishing the tax tables pursuant to R.S. 47:295 and the
withholding tables pursuant to R.S. 47:112. HOUSE BILL NO. 292—
C. The actual individual income tax collections and actual total BY REPRESENTATIVE RISER
tax, licenses, and fees used in the calculations required by this AN ACT
Section shall be certified by the Office of Statewide Reporting and To amend and reenact R.S. 47:241 and 287.69 and to repeal R.S.
Accounting Policy. 47:287.79, 287.83, 287.85, and 287.442(B)(1), relative to
D.(1) "Growth factor provided for in Article VII, Section 10(C) corporation income tax; to provide relative to the deductibility
of the Constitution" means the positive growth factor that is the most of federal income taxes; to repeal deductibility of federal
recent average annual percentage rate of change of personal income income taxes paid for purposes of calculating corporate income
for Louisiana as defined and reported by the United States taxes; to provide for applicability; to provide for an effective
Department of Commerce for the three calendar years prior to the date; and to provide for related matters.
fiscal year in which this calculation is made.
(2) "Actual total tax, licenses, and fees" means actual total tax, CONFERENCE COMMITTEE REPORT
licenses, and fees as reported to the Revenue Estimating Conference."
June 9, 2021
AMENDMENT NO. 5
On page 5, delete lines 24 through 28 in their entirety and on page 6, To the Honorable Speaker and Members of the House of
delete lines 1 through 7 in their entirety Representatives and the Honorable President and Members of the
Senate.
AMENDMENT NO. 6
On page 7, line 6, after "(9)(a)(ii)," and before "and 298," delete Ladies and Gentlemen:
"296.1(B)(3)(e)," and insert "296.1(B)(3)(c),"
We, the conferees appointed to confer over the disagreement
Respectfully submitted, between the two houses concerning House Bill No. 292 by
Representative Riser recommend the following concerning the
Representatives: Senators: Engrossed bill:
Stuart J. Bishop Patrick Page Cortez
Neil Riser R. L. Bret Allain II 1. That Senate Committee Amendment Nos. 1, 2, and 4 by the
Clay Schexnayder W. Jay Luneau Committee on Revenue and Fiscal Affairs (#2951) be rejected.
Senator Allain moved to adopt the Conference Committee 2. That Senate Committee Amendment Nos. 3 and 5 through 10 by
Report. the Committee on Revenue and Fiscal Affairs (#2951) be
adopted.
ROLL CALL
3. That the set of Senate Floor Amendments by Senator Allain
The roll was called with the following result: (#3182) be rejected.
YEAS 4. That the following amendments be adopted:
Mr. President Harris Morris AMENDMENT NO. 1
Abraham Henry Peacock
Allain Hensgens Peterson In Amendment No. 5 by the Senate Committee on Revenue and
Barrow Hewitt Pope Fiscal Affairs (#2951), on page 1, delete lines 17 through 39 in their
Bernard Jackson Price entirety and insert the following:
Boudreaux Johns Reese "C. On corporations. The tax to be assessed, levied, collected,
Bouie Luneau Smith and paid upon the net taxable income of every corporation shall be
Cathey McMath Talbot computed at the rate of: rates provided for in R.S. 47:287.12.
Cloud Milligan Tarver (1) Four percentum upon the first twenty-five thousand dollars
Fesi Mills, F. Ward of net income.
Fields Mills, R. White
Foil Mizell Womack (2) Five percentum upon the amount of net income above
Total - 36 twenty-five thousand dollars but not in excess of fifty thousand
dollars.
(3) Six percentum on the amount of net income above fifty
thousand dollars but not in excess of one hundred thousand dollars.
1189 App.263
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Page 8 SENATE 34th DAY'S PROCEEDINGS
June 10, 2021
(4) Seven percentum on the amount of net income above one loss, as the case may be. That portion, if any, of the federal refund or
hundred thousand dollars but not in excess of two hundred thousand credit of an overpayment which has not previously been charged
dollars. against or deducted from Louisiana net income shall be excluded
(5) Eight percentum on all net income in excess of two hundred from such adjustment.
thousand dollars." (d)(3) Adjustments made to the Louisiana return. Adjustments
to a return filed pursuant to this Part, whether initiated by the
AMENDMENT NO. 2 secretary or the taxpayer, shall be taken into account in the taxable
In Amendment No. 5 by the Senate Committee on Revenue and year for which the return was filed in accordance with rules,
Fiscal Affairs (#2951), on page 2, delete lines 20 through 35 in their regulations, or forms prescribed by the secretary.
entirety and insert the following: (2)(4) If a deduction is claimed and allowed in any period, the
"§287.12. Rates of tax same deduction cannot again be claimed in a subsequent period in
The tax to be assessed, levied, collected, and paid upon the which it otherwise would be properly deductible, unless the taxpayer,
Louisiana taxable income of every corporation shall be computed at prior to the running of prescription with respect to the first period,
the rate of: shall have amended his return for that period so as to eliminate the
(1) Four Three and one-half percent upon the first twenty-five deduction and shall have paid any additional tax which may be due
fifty thousand dollars of Louisiana taxable income. as a result thereof, together with any interest and penalties that may
(2) Five percent upon the amount of Louisiana taxable income be applicable thereto.
above twenty-five thousand dollars but not in excess of fifty thousand
dollars. * * *"
(3) Six Five and one-half percent on the amount of Louisiana
taxable income above fifty thousand dollars but not in excess of one AMENDMENT NO. 4
hundred fifty thousand dollars. On page 1, line 2, after "reenact" delete the remainder of the line in
(4)(3) Seven and one-half percent on the amount of Louisiana its entirety and at the beginning of line 3, delete "and 287.442(B)(1),"
taxable income above one hundred fifty thousand dollars but not in and insert the following: "R.S. 47:32(C), 241, 287.12, 287.69,
excess of two hundred thousand dollars. 287.442(B), and 287.732.2(B) and to repeal R.S. 47:55(5), 287.79,
(5) Eight percent on all Louisiana taxable income in excess of 287.83, 287.85, and 287.732.2(C),"
two hundred thousand dollars."
AMENDMENT NO. 5
AMENDMENT NO. 3 On page 1, line 8, after "Section 1." and before "are" delete "R.S.
In Amendment No. 6 by the Senate Committee on Revenue and 47:241 and 287.69" and insert "R.S. 47:32(C), 241, 287.12, 287.69,
Fiscal Affairs (#2951), on page 2, between lines 38 and 39, insert the 287.442(B), and 287.732.2(B)"
following:
"§287.442. Exceptions to taxable year of inclusion; taxable year AMENDMENT NO. 6
deductions taken On page 2, line 24, after "Section 2." delete the remainder of the line
* * * in its entirety and insert the following: "R.S. 47:55(5), 287.79,
B. Period for which deductions and credits shall be taken. 287.83, 287.85, and 287.732.2(C) are hereby repealed"
(1) The taxable year in which to claim the federal income tax
deduction allowed by R.S. 47:287.85 shall be determined as follows, Respectfully submitted,
regardless of the method of accounting regularly employed by the
taxpayer: Representatives: Senators:
(a) The federal income tax deduction may be claimed for the Neil Riser Patrick Page Cortez
same taxable year in which the federal income tax sought to be Stuart J. Bishop R. L. Bret Allain II
deducted is incurred, provided the taxpayer files a federal income tax Gerald "Beau" Alphonse Beaullieu IV Mike Reese
return for such taxable year or is included with affiliates in a
consolidated federal income tax return for such taxable year. Senator Allain moved to adopt the Conference Committee
(b)(i)(a) Taxable year for adjustments to taxpayer's federal Report.
income tax return. Except as otherwise provided in this Subparagraph
Paragraph, adjustments affecting federal taxable income which are ROLL CALL
made to the taxpayer's income tax return subsequent to filing,
whether made because of a deficiency proposed by the government, The roll was called with the following result:
a court order, an amended return, or other appropriate instrument or
act, showing an overpayment or a deficiency shall be taken into YEAS
account for purposes of this Part in the period for which the return
was filed, unless the prescriptive period for the collection of tax or Mr. President Harris Mizell
the refund or credit of overpayments, as the case may be, has expired. Abraham Henry Morris
If the applicable prescriptive period has expired, the additional tax Allain Hensgens Peacock
paid by the taxpayer in the case of an underpayment or the refund or Barrow Hewitt Peterson
credit received by the taxpayer in the case of an overpayment shall be Bernard Jackson Pope
for the taxable year such tax was paid, such refund was received, or Boudreaux Johns Price
such credit was allowed, as the case may be. Bouie Lambert Reese
(ii)(b) When a federal refund results from transactions or Cathey Luneau Smith
conditions which arise after the close of the taxable year for which Cloud McMath Talbot
the refund is made, such federal refund shall be taken into account, Fesi Milligan Ward
for purposes of this Part, for the taxable year in which arose the Fields Mills, F. White
transactions or conditions causing the refund. Foil Mills, R. Womack
(c)(2) Taking federal adjustments into account. A payment of Total - 36
additional federal tax upon income which has borne Louisiana tax NAYS
shall be taken into account by decreasing taxable income. That
portion, if any, of such additional federal tax payment which would Total - 0
be disallowed as a deduction under either R.S. 47:287.81 or R.S. ABSENT
47:287.83 shall be excluded from such adjustment. Refunds or credits
of federal overpayments, including refunds or credits created by the Connick Tarver
carryback of a federal net operating loss, shall be taken into account Total - 2
by increasing Louisiana net income or decreasing the Louisiana net
1190 App.264
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34th DAY'S PROCEEDINGS Page 9 SENATE
June 10, 2021
The Chair declared the Conference Committee Report was NAYS
adopted.
Lambert Morris Peterson
Senator Allain moved to reconsider the vote by which the Total - 3
Conference Committee Report to House Bill No. 292 was adopted ABSENT
and laid the motion on the table.
Connick
Conference Committee Report Total - 1
The following report was received and read: The Chair declared the Conference Committee Report was
adopted.
SENATE BILL NO. 159—
BY SENATOR ALLAIN AND REPRESENTATIVE BISHOP AND Senator Allain moved to reconsider the vote by which the
SENATOR JOHNS Conference Committee Report to Senate Bill No. 159 was adopted
A JOINT RESOLUTION and laid the motion on the table.
Proposing to amend Article VII, Section 4(A) of the Constitution of
Louisiana, relative to income tax; to provide a maximum rate of Appointment of Conference Committee
individual income tax; to provide with respect to the
deductibility of federal income tax for purposes of computing on Senate Bill No. 142
state income tax; to eliminate the mandatory deduction for
federal income taxes; and to specify an election for submission The President of the Senate appointed the following members
of the proposition to electors and provide a ballot proposition. to confer with a like committee from the House to consider the
disagreement on Senate Bill No. 142:
CONFERENCE COMMITTEE REPORT
Senators Ward,
June 2, 2021 Cortez
and Smith.
To the Honorable President and Members of the Senate and to the
Honorable Speaker and Members of the House of Representatives. Conference Committee Report
Ladies and Gentlemen: The following report was received and read:
We, the conferees appointed to confer over the disagreement HOUSE BILL NO. 457—
between the two houses concerning Senate Bill No. 159 by Senator BY REPRESENTATIVE FIRMENT
Allain recommend the following concerning the Engrossed bill: AN ACT
To amend and reenact R.S. 22:1662(3), to enact R.S. 22:1674.1, and
1. That House Committee Amendment No. 1 proposed by the to repeal R.S. 22:1674, relative to insurance claims adjusters; to
House Committee on Ways and Means and adopted by the provide for the standards of conduct for claims adjusters; to
House of Representatives on May 12, 2021, be adopted. require newly licensed claims adjusters and claims adjusters
renewing their license to read and acknowledge the claims
2. That House Committee Amendment No. 1 proposed by the adjuster standards of conduct; to provide for penalties for
House Committee on Civil Law and Procedure and adopted by violation of the standards of conduct; to provide an exemption
the House of Representatives on May 19, 2021, be rejected. from licensure for certain persons; and to provide for related
matters.
Respectfully submitted,
CONFERENCE COMMITTEE REPORT
Senators: Representatives:
Patrick Page Cortez Stuart J. Bishop June 7, 2021
R. L. Bret Allain II Neil Riser
W. Jay Luneau Gerald "Beau" Alphonse Beaullieu IV To the Honorable Speaker and Members of the House of
Representatives and the Honorable President and Members of the
Senator Allain moved to adopt the Conference Committee Senate.
Report.
Ladies and Gentlemen:
ROLL CALL We, the conferees appointed to confer over the disagreement
The roll was called with the following result: between the two houses concerning House Bill No. 457 by
Representative Firment recommend the following concerning the
YEAS Reengrossed bill:
Mr. President Harris Peacock 1. That Senate Committee Amendment No. 2 proposed by the
Abraham Henry Pope Senate Committee on Insurance (#2282) be adopted.
Allain Hensgens Price 2. That Senate Committee Amendment Nos. 1 and 3 proposed by
Barrow Hewitt Reese the Senate Committee on Insurance (#2282) be rejected.
Bernard Jackson Smith
Boudreaux Johns Talbot 3. That the following amendments to the Reengrossed bill be
Bouie Luneau Tarver adopted:
Cathey McMath Ward
Cloud Milligan White AMENDMENT NO. 1
Fesi Mills, F. Womack On page 1, delete line 2 in its entirety and insert in lieu thereof the
Fields Mills, R. following: "To enact R.S. 22:1674.1 and to repeal R.S. 22:1674,"
Foil Mizell
Total - 34
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June 10, 2021
June 10, 2021 SENATE BILL NO. 188—
BY SENATOR WOMACK AND REPRESENTATIVE THOMPSON
To the President and Members of the Senate: AN ACT
To amend and reenact R.S. 40:531(B)(2)(b) and 600.89(A)(1) and the
I am directed by your Committee on Senate and Governmental introductory paragraph of (2), (c), and (e), relative to the
Affairs to submit the following report: Louisiana Housing Corporation and local housing authorities; to
provide relative to the board of directors; to provide for the
The following Senate Bills have been properly enrolled: appointment of landlord commissioners; and to provide for
related matters.
SENATE BILL NO. 10—
BY SENATORS FIELDS, BARROW, BERNARD, BOUDREAUX, BOUIE, SENATE BILL NO. 87—
CATHEY, CONNICK, HARRIS, HEWITT, JACKSON, LUNEAU, MCMATH, BY SENATOR CONNICK
MILLIGAN, FRED MILLS, ROBERT MILLS, MIZELL, PEACOCK, A JOINT RESOLUTION
PETERSON, PRICE, SMITH, TALBOT AND TARVER AND
REPRESENTATIVES ADAMS, BRYANT, GARY CARTER, ROBBY Proposing to amend Article VI, Section 39 of the Constitution of
CARTER, WILFORD CARTER, COX, DUPLESSIS, FREEMAN, FREIBERG, Louisiana, relative to taxing authority of levee districts; to
GLOVER, GREEN, HILFERTY, JAMES, JEFFERSON, JENKINS, JORDAN, provide for the millage limits on certain levee districts; and to
LANDRY, LARVADAIN, LYONS, MARINO, DUSTIN MILLER, MOORE,
NEWELL, PHELPS, PIERRE, PRESSLY, SELDERS, STAGNI, THOMPSON specify an election for submission of the proposition to electors
AND WILLARD and provide a ballot proposition.
AN ACT
To amend and reenact R.S. 17:151.3, 221(A)(1), and 222, and to SENATE BILL NO. 154—
enact R.S. 17:221(E), relative to compulsory school attendance; BY SENATOR SMITH AND REPRESENTATIVES BOURRIAQUE,
FARNUM, HUGHES, MCMAHEN, MINCEY, ORGERON AND WRIGHT
to provide for mandatory attendance in kindergarten; to provide A JOINT RESOLUTION
for exceptions; to provide for effectiveness; and to provide for Proposing to amend Article VII, Section 23(C) of the Constitution of
related matters. Louisiana, relative to ad valorem property tax millage rate
adjustments; to provide for maximum authorized millage rates;
SENATE BILL NO. 96— and to specify an election for submission of the proposition to
BY SENATOR LAMBERT
AN ACT electors and to provide a ballot proposition.
To amend and reenact R.S. 30:2418(H)(1) and to enact R.S.
30:2418.1 and 2418.2, relative to the waste tire program in the SENATE BILL NO. 148—
BY SENATORS CORTEZ, ABRAHAM, ALLAIN, BARROW, BERNARD,
Department of Environmental Quality; to authorize the BOUDREAUX, CATHEY, CLOUD, FIELDS, FOIL, HARRIS, HENRY,
establishment of standards, requirements, and permitting HENSGENS, HEWITT, JACKSON, JOHNS, LAMBERT, LUNEAU,
procedures; to provide for waste tire generators; to authorize the MCMATH, MILLIGAN, FRED MILLS, ROBERT MILLS, MIZELL,
PEACOCK, POPE, PRICE, REESE, TALBOT, TARVER, WHITE AND
promulgation of rules, regulations, and guidelines; to require WOMACK AND REPRESENTATIVES ADAMS, AMEDEE, BACALA,
certain generators of waste tires to obtain generator BAGLEY, BEAULLIEU, BISHOP, BOURRIAQUE, BRASS, BROWN,
identification numbers; to require certain transporters to obtain BRYANT, BUTLER, CARRIER, GARY CARTER, ROBBY CARTER,
WILFORD CARTER, CORMIER, COUSSAN, COX, CREWS, DAVIS,
a certificate; to provide for criminal penalties; and to provide for DEVILLIER, DUBUISSON, DUPLESSIS, ECHOLS, EDMONDS,
related matters. EMERSON, FARNUM, FIRMENT, FONTENOT, FREEMAN, FREIBERG,
FRIEMAN, GADBERRY, GAINES, GAROFALO, GLOVER, GOUDEAU,
GREEN, HARRIS, HILFERTY, HODGES, HOLLIS, HORTON, HUGHES,
SENATE BILL NO. 128— HUVAL, ILLG, JEFFERSON, JENKINS, TRAVIS JOHNSON, JONES,
BY SENATORS JACKSON, BARROW, BOUDREAUX, FIELDS AND JORDAN, KERNER, LACOMBE, LANDRY, LARVADAIN, MACK,
TARVER AND REPRESENTATIVES GARY CARTER, WILFORD MAGEE, MARINO, MCCORMICK, MCKNIGHT, MCMAHEN, MIGUEZ,
CARTER, COX, HUGHES, JEFFERSON, JENKINS, TRAVIS JOHNSON, GREGORY MILLER, MINCEY, MOORE, MUSCARELLO, NELSON,
JONES, LARVADAIN, LYONS, MOORE, NEWELL, ORGERON, PIERRE, NEWELL, ORGERON, CHARLES OWEN, ROBERT OWEN, PHELPS,
SELDERS, STAGNI AND WILLARD PIERRE, PRESSLY, ROMERO, SCHAMERHORN, SCHEXNAYDER,
AN ACT SCHLEGEL, SEABAUGH, SELDERS, ST. BLANC, STAGNI, STEFANSKI,
To amend and reenact R.S. 17:434(A) and to enact R.S. 17:426, TARVER, THOMAS, THOMPSON, TURNER, VILLIO, WHEAT, WHITE,
WRIGHT AND ZERINGUE
relative to teachers and other school employees; to provide
relative to planning time and lunch periods for teachers; to AN ACT
provide for an uninterrupted planning period for teachers; to To enact Chapter 20-G of Title 17 of the Louisiana Revised Statutes
delete requirements for a duty-free lunch period for teachers; to of 1950, to be comprised of R.S. 17:3047 through 3047.7,
provide for an exemption from tolls on the Louisiana Highway relative to the M.J. Foster Promise Program; to establish the
1 Bridge for teachers, school bus drivers, and other school program; to provide for program awards including establishing
employees; and to provide for related matters. eligibility requirements and award amount limitations; to
provide for funding and administration of the program; and to
SENATE BILL NO. 159— provide for related matters.
BY SENATORS ALLAIN AND JOHNS AND REPRESENTATIVE BISHOP
A JOINT RESOLUTION SENATE BILL NO. 161—
BY SENATOR ALLAIN
Proposing to amend Article VII, Section 4(A) of the Constitution of
Louisiana, relative to income tax; to provide a maximum rate of AN ACT
individual income tax; to provide with respect to the To amend and reenact R.S. 47:601(A)(introductory paragraph) and
deductibility of federal income tax for purposes of computing 601.1(A)(1) and to enact R.S. 47:601(D) and 601.2, relative to
state income tax; to eliminate the mandatory deduction for the corporation franchise tax and the suspension of the
federal income taxes; and to specify an election for submission corporation franchise tax on the first three hundred thousand
of the proposition to electors and provide a ballot proposition. dollars of taxable capital for small business corporations; to
provide for the applicable tax periods of the suspension; to
provide for the rates of tax; to provide an automatic rate
reduction trigger; to provide for effectiveness; and to provide for
related matters.
1299 App.266
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June 10, 2021
the Department of Economic Development to promulgate rules; SENATE BILL NO. 31—
to provide for definitions; to provide for effectiveness; and to BY SENATOR CATHEY
provide for related matters. AN ACT
To enact R.S. 47:293(9)(a)(xx) and 297.16, relative to individual
and they are hereby presented for executive approval. income tax exemptions; to provide for an individual income tax
exemption for digital nomads; to provide for definitions; to
Respectfully submitted, provide for eligibility requirements; to authorize the Department
YOLANDA J. DIXON of Revenue to promulgate rules; to provide for record keeping
Secretary of the Senate requirements; to provide for recovery of the tax exemption by
the Department of Revenue; to provide for effectiveness; and to
provide for related matters.
Message to the Secretary of State SENATE BILL NO. 142—
BY SENATORS WARD, CORTEZ AND JOHNS
SIGNED AN ACT
SENATE BILLS To enact R.S. 4:199, R.S. 27:625(G), and 628 and R.S. 28:843,
relative to sports wagering; to provide relative to revenue
June 11, 2021 generated from sports wagering; to provide for appropriation; to
create the Behavioral Health and Wellness Fund; to create the
To the Honorable Secretary of State: Sports Wagering Purse Supplement Fund; to create the Sports
Wagering Local Allocation Fund; and to provide for related
The President of the Senate and the Speaker of the House of matters.
Representatives have signed the following Senate Bills:
SENATE BILL NO. 197—
BY SENATOR CATHEY
SENATE BILL NO. 87— AN ACT
BY SENATOR CONNICK
A JOINT RESOLUTION To enact R.S. 47:1925.13, relative to assessors; to provide relative to
Proposing to amend Article VI, Section 39 of the Constitution of an automobile expense allowance; to provide relative to
Louisiana, relative to taxing authority of levee districts; to requirements and funding of such allowance; to require an
provide for the millage limits on certain levee districts; and to affidavit verifying nonuse; and to provide for related matters.
specify an election for submission of the proposition to electors
and provide a ballot proposition. SENATE BILL NO. 221—
BY SENATORS HEWITT, CATHEY, CLOUD, CORTEZ, HENRY,
MCMATH, MILLIGAN, ROBERT MILLS, MORRIS, PEACOCK, TALBOT
SENATE BILL NO. 154— AND WOMACK
BY SENATOR SMITH AND REPRESENTATIVES BOURRIAQUE, AN ACT
FARNUM, HUGHES, MCMAHEN, MINCEY, ORGERON AND WRIGHT To amend and reenact R.S. 18:18(A)(7), 1351, 1352, 1353(B), the
A JOINT RESOLUTION introductory paragraph of (C) and (C)(2), and (D), 1361,
Proposing to amend Article VII, Section 23(C) of the Constitution of 1362(A), 1364(A), and 1400.21(C), to enact R.S. 18:1362.1,
Louisiana, relative to ad valorem property tax millage rate 1362.2, and 1366 and R.S. 36:744(O) and (P), and to repeal R.S.
adjustments; to provide for maximum authorized millage rates; 18:553.1, 1351(5), and 1365, relative to oversight of voting
and to specify an election for submission of the proposition to systems; to provide for definitions; to provide for promulgation
electors and to provide a ballot proposition. of rules and standards; to provide for appointments; to provide
for legislative oversight; to provide for an evaluation authority;
SENATE BILL NO. 159— to provide for membership; to provide for reporting
BY SENATORS ALLAIN AND JOHNS AND REPRESENTATIVE BISHOP
A JOINT RESOLUTION requirements; to provide for evaluation criteria; to provide
Proposing to amend Article VII, Section 4(A) of the Constitution of certain requirements relative to funds used to acquire voting
Louisiana, relative to income tax; to provide a maximum rate of systems; and to provide for related matters.
individual income tax; to provide with respect to the
deductibility of federal income tax for purposes of computing SENATE BILL NO. 247— (Substitute of Senate Bill No. 202 by
state income tax; to eliminate the mandatory deduction for Senator Cortez)
BY SENATORS CORTEZ, JOHNS AND WARD AND REPRESENTATIVE
federal income taxes; and to specify an election for submission STEFANSKI
of the proposition to electors and provide a ballot proposition. AN ACT
To amend and reenact R.S. 13:4721, R.S. 14:90.5(A), (B), and (C),
Respectfully submitted, R.S. 27:15(B)(1), 15.1, 24(A)(5) and (6), the introductory
YOLANDA J. DIXON paragraph of 27.1(C), 44(9), (11), and (13), 58(5), 65(B)(11),
Secretary of the Senate 205(11) and (12), 239.1, 353(2) and (5), 361(F), 364(A)(1)(c)(ii)
and (5), 371(C), 372(B) and (C), and 375(D),
Message to the Governor 417(A)(2)(introductory paragraph), and R.S. 46:1816(B)(8), to
enact R.S. 14:90(E) and 90.3(K) and R.S. 27:15(B)(8)(c),
205(35), 249.1, Chapter 10 of Title 27 of the Louisiana Revised
SIGNED SENATE BILLS Statutes of 1950, to be comprised of R.S. 27:601 through 611,
and 627, and to repeal R.S. 27:24(A)(5)(f), relative to sports
June 11, 2021 wagering; to provide for definitions; to require a license to
conduct sports wagering; to provide relative to duties and
To the Honorable Governor of the State of Louisiana: powers of the Louisiana Gaming Control Board and the gaming
division in the office of state police; to provide for requirements
The President of the Senate and the Speaker of the House of and limitations on licensees and permittees; to authorize cash
Representatives have signed the following Senate Bills: wagers; to authorize racehorse wagering at certain licensees; to
1305 App.267
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF TEXAS
AMARILLO DIVISION
§
STATE OF TEXAS, STATE OF MISSISSIPPI, §
STATE OF LOUISIANA, §
§
Plaintiffs, §
§ Case No. 2:21-cv-00079-Z
v. §
§
JANET YELLEN, IN HER OFFICIAL CAPACITY §
AS SECRETARY OF THE TREASURY, ET AL., §
§
Defendants. §
§
APPENDIX IN SUPPORT OF PLAINTIFFS’ COMBINED RESPONSE TO
DEFENDANTS’ MOTION TO DISMISS AND MOTION FOR PARTIAL SUMMARY
JUDGMENT
DECLARATION OF JEFFREY M. WHITE
Webster’s New World College Dictionary (5th ed. 2016) (excerpts)
EXHIBIT A-25
App.268
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WEBSTER’S
NEW WØRLDR
COLLEGE
DICTIONARY
FIFTH EDITION
App.269
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Libriny of Congress Cataloging-in-Publication Data
Webster’s New world college dictionary / Editors of Webster’s New World
College Dictionaries. Fifth Edition.
—
pages cm
I5BN 978-0-544-16606-6 (hardback) — IsBN 978-0-544-16553-3 (hardcover with cd-rom)
1. English language—Dictionaries. I. Title: New world college dictionary.
II. Title: World college dictionary.
PE1628.W5629 2014
423—dc23
2014004003
Manufactured in the United States of America
123456789—DOC—2221 2019181716
4500593905
App.270
See page xxii, far prsnAncfatias key
ADSL. adverb
Case 2:21-cv-00079-Z Document 29-1 Filed 09/27/21 20 The S symbal ,nd,cates terms or senses oi American orig in
Page 272 of 272 PageID 494
ADSL abbrev. asymmetric digital subscriber line SYN.—advance is used to describe assistance in hastening the course of
adsorb (ad sôrb, -zôrb) Vt. 11< AD- * L sorbere: see ABsoRBI to collect (a anything or in moving toward an objective; to promote is to help in the
gas, liquid, or dissolved substance) in condensed form on a surface —ad establishment, development, or success of something (to prsmste good
sorb’able ad]. will]; forward emphasizes the idea of action as an impetus (concessions
adsorb-ate (ad sôr’bit, -zOr’-; -bat’) n. a gas, liquid, etc. taken up by ad were made tofsris’ard the pact]; further emphasizes assistance in bringing
sorption a desired goal closer (tofbrther a cause] —ANT. retard, check
adsorbent (ad sôrbant, -zôr!-) adj. that is capable of adsorbing —n. a
thing or substance that adsorbs advanced aS vanst’, act-) adj. 1 moved forward; in front tan advanced
adsorption (ad sorp’shan, .zôrp) fi. < ADsORB, by analogy with military post] 2 far on in time or in a course of action or events (despite
ABaoRpTIoNJ an adsorbing or being adsorbed; adhesion of the molecules of his advanced age, at an advanced stage in the trial] 3 a) ahead or beyond
a gas, liquid, or dissolved substance to a surface —adaorp’tive ad]. others in progress, complexity, etc. (advanced studies] b) ahead of the
adsu’kI bean (ad sctD’ke, -ziTDl-) AOZUKI BEAN times (her advanced views on education] —SYN. LIBERAL
adu4ar’ia (a’jiTô lery a, -ja-) n. lt < Fr adslaire, after Adsla, a group of oadvanced credit (sr standing) credit toward a degree allowed to a student
mountains in Switzerland * -aire, -ARVI a transparent or translucent vari by a college for courses taken elsewhere or for high scores on preliminary
ety of orthoclase examinations
adulate (a’jcto 1St’, -ja-) Vt. -lat’ed, —lat’ing )< L adulatus, pp. ofadslari, advance guard a detachment of troops sent ahead to reconnoiter and pro
to fawn upon, orig., to wag the tail < ad-, to + ‘tilss, tail < IE ‘file < base tect the line of march
‘it’d- WALK: cf. wHEEDLE) 1 to praise too highly or flatter servilely 2 to “advance man a person hired to travel in advance of a theatrical company,
admire intensely or excessively ad’u-lat ion n. —ad’u-la’tor n. -ad’u political candidate, etc. to arrange for publicity, schedule appearances, etc.
la-to’ry (-Ia tôr’y) adj. advancement (ad vansmant, ad-) a. 1 an advancing or beisg ad
adult (a adult’) ad]. L adsltss, pp. of adelescere: see ADoLEscENT) 1 vanced 2 promotion, as to a higher rank 3 progress or improvement; fur
mature in age, size, strength, etc.; grosvn-up 2 of or for adult persons (an therance 4 Law money or property given as an advance share in the estate
adult novel] 3 containing or providing sexually explicit or, esp., porno of a person who later dies without making a will: it is deducted frsm the
graphic material (adult movies] —n. 1 a man or woman who is fully ma total share of the recipient in the intestate’s estate
ture; grown-up 2 an animal or plant that is fully developed 3 a person advantage (ad vantij, ad-) a. ME avantage, avauntage OFr avantage
who has reached the age of majority, now generally iS years —SYN. RIPE -n avaatt, before < L ab- + ante: see ADVANCE) 1 a more favorable position;
a-dult’hood’ a. a.dultneaa a. superiority: often with efor aver 2 a favorable or beneficial circumstance,
adult education CONTINUING EDUCATION event, etc. 3 gain or benefit 4 Tennis the first point scored after deuce
a’dul’ter’ant (a ant) a. a substance that adulterates —adj. adulter —Vt. -taged, -tag-ing to give an advantage to; be a benefit or aid to —have
ating; making inferior or impure the advantage of to have an advantage over —take advantage of ito make
adulterate (a dulftar at’;fsradj., -tar it) Vt. —at’ed, -at’ing 1< L adsltera use of for one’s osvn benefit 2 to impose upon in a selfish way —to advan
tin, pp. of adulterare, to falsify < adslter, an adulterer, counterfeiter <ad-, tage so an to result in a good effect
to + alter, other, another) to make inferior, impure, not genuine, etc. by advantaged (-ijd) ad]. characterized by certain, esp. socioeconomic, ad
adding a harmful, less valuable, or prohibited substance —ad]. 1 guilty of vantages (advantaged students within a school district]
adultery; adulterous 2 adulterated; not genuine —a-dul’tera’tor a. advantageous (ad’van tajas, -van-) ad]. resulting in advantage; favor
adulterated (-St’id) ad]. 1 made inferior, impure, etc. by adulterating 2 able; profitable _ad’van.tageously adv.
that does not conform to legal standards of purity, processing, labeling, etc. advec’tion (ad vekshn) a. (AD- + lcoN)vecT:oNl the transference sfheat
adulteration (a dul’tar iishan) a. 1 an adulterating or being adulter by horizontal currents of air —ad-vec’tive (-tiv) adj.
ated 2 an adulterated substance, commodity, etc. Advent (ad’vent’) a. ?vtE & OFr avent < ML advcstss v pp. of L advenire.
adulterer (a dultar ar) a. altered, after L adulterare, from ME avow to come < ad-, to + venue, COME) 1 the period including the four Sundays
terer, avsuter < OFr avsstre < avsstrer, to commit adultery < L adsltersre: just before Christmas 2 Tlzeol. a) the birth of Christ b) SECOND COMING 3
see A0uLTERATEI a person (esp. a man) guilty of adultery [a-] a coming or arrival
adulteress (a dul’tar is, a dultris) a. a woman guilty of adultery ,:Ad.vent.ism (ad’van tiz’am) a. the belief that the Second Coming of
adulter’ine (a dul’tar in, -tar in’) ad]. (L adulterinss e adslter: see Christ will occur soon
ADULTERATE) 1 of adultery 2 due to adulteration sAd’vent.jst (advan tist, ad vent’ist) a, a member of a Christian sect based
adulterous (a dul’tar as, -dul’tras) adj. relating to, characterized by, or on Adventism —adj. of Adventism or Adventists
guilty of, adultery —a-dul’terous-ly adv. adven’ti’ti-a (ad’ven tish’a, -tish’e a; -van-) a. ModL < L, for adventicia,
adultery (a s, -dul’trt) a., p1. —ter-iea IL adsltertssn < adslter: neut. p1. of adventiciiis: see fol.) the outer covering of an organ, as of an
see ADULTERATE) voluntary sexual intercourse between a married man and artery: it is made up chiefly of connective tissue
a woman not his wife, or between a married woman and a man not her adventitious (ad’ven tish’as, -van-) adj. L adventiciss, coming from
husband: see also FORNICATION abroad: SCC ADVENT) 1 added from outside; not isherent; accidental 2
adumbral (ad um’bral) ad]. see fol. I in shadosv; shady occurring in unusual or abnormal places (adventitisus roots growisg on a
ad’umbrate (ad umbrãt’, adam brat’) Vt. -brat’ed, -brat’ing (< I. ad stem] —SYN. ACCIDENTAL ._ad’ven.titious.ly adv.
unzbratus, pp. of adsinbrari, to shade <ad-, to + umbra, SHADE) ito outline a.
in a shadowy way; sketch 2 to suggest beforehand; foreshadow in a vague adventive (ad ven’tiv) adj. iL adventus (see ADVENT) + .ivtj not native
way 3 to obscure; overshadosv ad’umbra’tion (-brshan) a. —adum’ to the environment; rarely or imperfectly naturalized —a. an adventive
bra-tive (-bra tiv) adj. plant or aninsal
aduncate (ad uij’kat’, -kit; a dug) ad]. IL adsnciis ad-, to + uncus, Advent Sunday the first Sunday in Advent
hooked, a hook < IE base ‘asg-, ‘ask-: see ANGLE9 curved or hooked, as a adventure (ad ad-) a. ME aveiiturc < OFr <VL ‘sdventsra, lit.,
parrot’s beak a happening L advenire: see ADVENT) 1 the encountering of danger 2 a
a’dust (a dust’) ad/. ty adsstus, pp. of adurere, to burn up <ad-, to + srere, daring, hazardous undertaking 3an unusual, stirring experience, often of
to burn: see EMBER’) [Archaic] 1 scorched; burned 2 parched 3 sun a romantic nature 4a venture or speculation in business or finance 5 a lik
burned 4 sallow and melancholy ing for danger, excitement, etc. (a man full of advestsre] —VL -tured, -tur
A’duwa (ida Wa, ad’-) vat: OfADWA ing [Archaic] 1 to put in danger; risk; venture 2 to be bold about; dare
adv al,brev. 1 ad valorem 2 advance 3 adverb 4 advertisement 5 advi —vi. ito engage in daring undertakings 2 to takes risk
sory 6 L adversssJ against adventurer (ad venchar or, ad-) a. 1 a person who has or likes to have
ad va’lorem (ad’ Va lôr’am) LI in proportion to the value: a phrase ap adventures 2 SOLDIER OF FORTUNE (sense 1) 3 a financial speculator 4 a
plied to certain duties and taxes levied on goods, property, etc. as a per person who seeks to become rich, powerful, etc. by dubious schemes
centage of their value: abbrev. ad val. adventuresome (ad vcnchar sam, ad-) adj. svilling to take risks; ad
advance (ad vans, ad-) Vt. -vanced’, -vanc’ing ME avascen < OFr venturous
avancer, to forward V VL ‘abantiare < L ab-, from + ante, before: sp. ad- adventuress (ad venchor is, ad-) a. a woman adventurer, specif. one
by assoc. with L ad, to, forward) 1 to bring forward; move forward (to who seeks to become rich and socially accepted by exploiting her charms,
advance a chessman] 2 to raise in rank, importance, etc.; promote 3 b scheming, etc.
to help or hasten the success or conspletion of; further (to advance a a •venturiam (ad ven’char iz’am, ad-) a. actions or tactics, cap. in poli
project] 4 to put forward; propose 5 to bring closer to the present; tics or international relations, that are regarded as recklessly daring and
specif., a) to cause (a future event) to happen earlier b) to assign a involving the risk of serious consequences _ed.ventur.igt a., adj. —ad
later date to (a past event) 6 to raise the rate of; increase (to advance ven’tur-is’tic ad].
prices] 7 to pay (money) before due 8 to lend —vi. 1 to go forward; adventurous (ad ven’char as, ad-) adj. (ME aventtiross < OFr avcntsrss
move ahead 2 to make progress; improve; develop 3 to rise in rank, aventure, ADVENTURE 1 fond of adventure; ivilling to take chances; dar
importance. etc. 4 to rise in price or cost; increase —a. 1 a moving for ing 2 full of danger; risky _ad.ven’turous.ly adv. _ad.ventur.oua.ness
ward 2 an improvement; progress (new advances in science] 3 a rise in a.
value or cost 4 (p1.] approaches to get favor, become acquainted, etc.; adverb (ad’vurb’) a. (ME adverbe < L adverbists < ad-, to + verbutn, a
overtures (to someone) 5 a payment made before due, as of wages 6 wordJ any ofa class of words used generally to modify a verb, an adjective,
a loan —adj. 1 in front (advance guard] 2 beforehand; ahead of time another adverb, a phrase, or a clause, by expressing time, place, manner,
(advance information] —in advance 1 in front 2 before dtie; ahead of degree, cause, etc.: English adverbs often end in -ly (Ex.: fast, carefiully,
time advanc’er a, then)
App.271
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