Bill Text: TX HB237 | 2019-2020 | 86th Legislature | Introduced
Bill Title: Relating to zero-based budgeting for certain entities funded by this state and submission of a zero-based budget by and performance of a financial audit of an agency undergoing review by the Sunset Advisory Commission.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-02-19 - Referred to Appropriations [HB237 Detail]
Download: Texas-2019-HB237-Introduced.html
86R1124 CJC-F | ||
By: Krause | H.B. No. 237 |
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relating to zero-based budgeting for certain entities funded by | ||
this state and submission of a zero-based budget by and performance | ||
of a financial audit of an agency undergoing review by the Sunset | ||
Advisory Commission. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 322.007, Government Code, is amended to | ||
read as follows: | ||
Sec. 322.007. ESTIMATES AND REPORTS; SCHEDULED ZERO-BASED | ||
BUDGET PLANNING. (a) Each institution, department, agency, | ||
officer, employee, or agent of the state shall submit to the board | ||
any estimate or report relating to appropriations requested by the | ||
board or under the board's direction. | ||
(a-1) The board shall adopt a schedule for the submission of | ||
zero-based budget plans by institutions, departments, and agencies | ||
of this state so that: | ||
(1) one-third of the entities, or as near as possible | ||
to one-third of the entities, are scheduled to submit a zero-based | ||
budget plan before each regular legislative session; and | ||
(2) each entity is scheduled to submit a zero-based | ||
budget plan before every third regular legislative session. | ||
(a-2) Each institution, department, and agency of this | ||
state that receives an appropriation shall submit to the board a | ||
zero-based budget plan in accordance with the schedule adopted | ||
under Subsection (a-1). A zero-based budget plan must contain: | ||
(1) a description of the discrete activities the | ||
entity is charged with conducting or performing, together with a | ||
justification for each activity by reference to a statute or other | ||
legal authority; | ||
(2) for each activity identified under Subdivision | ||
(1), a quantitative estimate of any adverse effects that reasonably | ||
may be expected to result if the activity were discontinued, | ||
together with a description of the methods by which the adverse | ||
effects were estimated; | ||
(3) for each activity identified under Subdivision | ||
(1), an itemized account of expenditures required to maintain the | ||
activity at the minimum level of service required by the statute or | ||
other legal authority, together with a concise statement of the | ||
quantity and quality of service required at that minimum level; | ||
(4) for each activity identified under Subdivision | ||
(1), an itemized account of expenditures required to maintain the | ||
activity at the current level of service, together with a concise | ||
statement of the quantity and quality of service provided at that | ||
level; and | ||
(5) a ranking of activities identified under | ||
Subdivision (1) that illustrates the relative importance of each | ||
activity to the overall goals and purposes of the institution, | ||
department, or agency at current service levels. | ||
(b) Each zero-based budget plan and each estimate or report | ||
shall be submitted at a time set by the board and in the manner and | ||
form prescribed by board rules. | ||
(c) Each zero-based budget plan and each [ |
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report required under this section is in addition to a budget plan | ||
or an estimate or report required by other law, including those | ||
estimates or reports relating to appropriations required by Chapter | ||
401. | ||
SECTION 2. Section 322.008(a), Government Code, is amended | ||
to read as follows: | ||
(a) Based on information provided under Section 322.007, | ||
the [ |
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the general appropriations bill for introduction at each regular | ||
legislative session. | ||
SECTION 3. The heading to Section 325.007, Government Code, | ||
is amended to read as follows: | ||
Sec. 325.007. AGENCY REPORT TO COMMISSION; ZERO-BASED | ||
BUDGET REPORTS. | ||
SECTION 4. Section 325.007, Government Code, is amended by | ||
adding Subsection (a-1) and amending Subsection (b) to read as | ||
follows: | ||
(a-1) Before November 1 of the odd-numbered year before the | ||
year in which a state agency subject to this chapter is abolished, | ||
the agency shall present to the commission a zero-based budget for | ||
the state fiscal year that begins on the date the agency is | ||
scheduled to be abolished that: | ||
(1) describes the discrete activities the agency is | ||
charged with conducting or performing, together with a | ||
justification for each activity by reference to a statute or other | ||
legal authority; | ||
(2) for each activity identified under Subdivision | ||
(1), provides a quantitative estimate of any adverse effects that | ||
reasonably may be expected to result if the activity were | ||
discontinued, together with a description of the methods by which | ||
the adverse effects were estimated; | ||
(3) for each activity identified under Subdivision | ||
(1), provides an itemized account of expenditures required to | ||
maintain the activity at the minimum level of service required by | ||
the statute or other legal authority, together with a concise | ||
statement of the quantity and quality of service required at that | ||
minimum level; | ||
(4) for each activity identified under Subdivision | ||
(1), provides an itemized account of expenditures required to | ||
maintain the activity at the current level of service, together | ||
with a concise statement of the quantity and quality of service | ||
provided at that level; and | ||
(5) ranks activities identified under Subdivision (1) | ||
in a manner that illustrates the relative importance of each | ||
activity to the overall goals and purposes of the agency at current | ||
service levels. | ||
(b) The reports under this section [ |
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submitted in electronic format only. The commission shall | ||
prescribe the electronic format to be used. | ||
SECTION 5. Chapter 325, Government Code, is amended by | ||
adding Section 325.0074 to read as follows: | ||
Sec. 325.0074. FINANCIAL AUDIT. The state auditor shall | ||
conduct a financial audit under Section 321.0131 of each state | ||
agency scheduled to be abolished on a date certain if not continued | ||
in accordance with this chapter. The state auditor shall conduct | ||
the audit at a time so that the completed audit may be sent to the | ||
commission on September 1 of the odd-numbered year before the year | ||
the agency is scheduled to be abolished. | ||
SECTION 6. Section 401.0445(a), Government Code, is amended | ||
to read as follows: | ||
(a) The governor shall compile the biennial appropriation | ||
budget using information: | ||
(1) submitted to the governor in the uniform budget | ||
estimate forms; [ |
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(2) obtained at public hearings, from inspections, and | ||
from other sources; and | ||
(3) submitted to the Legislative Budget Board under | ||
Section 322.007. | ||
SECTION 7. (a) Sections 322.007, 322.008(a), and | ||
401.0445(a), Government Code, as amended by this Act, apply only in | ||
regard to information for developing a biennial appropriation | ||
budget for a state fiscal biennium beginning on or after the | ||
effective date of this Act. | ||
(b) Section 325.007, Government Code, as amended by this | ||
Act, and Section 325.0074, Government Code, as added by this Act, | ||
apply only in relation to the review by the Sunset Advisory | ||
Commission of agencies scheduled to be abolished on or after | ||
September 1, 2023, if not continued in accordance with Chapter 325, | ||
Government Code, and in relation to any other agencies that by law | ||
are reviewed during those review periods by the Sunset Advisory | ||
Commission. | ||
SECTION 8. This Act takes effect September 1, 2019. |