HBA-TBM H.J.R. 64 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.J.R. 64
By: Junell
Appropriations
4/8/2001
Introduced



BACKGROUND AND PURPOSE 

Currently, the Texas Constitution provides for the annual appropriation of
money to institutions of higher education (university).  Under current law,
a university is authorized to pledge up to 50 percent of its allocated
funds to the payment of principal and interest owed for bonds and notes
issued by the university. Because the pledge is made before the allocation
adjustment, after an adjustment a university may have pledged more than 50
percent of its allocation.  As proposed, House Joint Resolution 64 requires
the submission to the voters of a constitutional amendment validating this
adjustment.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this resolution
does not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Joint Resolution 64 amends the Texas Constitution to provide that an
adjustment in the allocation formula for the annual allocations to eligible
agencies and institutions of higher education is not invalid even though
under the adjusted allocation more than 50 percent of the money allocated
to a governing board must be used to pay the principal and interest of
outstanding bonds or notes.  The resolution provides that such an
adjustment is validated.  The provision expires January 1, 2006.   

FOR ELECTION

This proposed constitutional amendment shall be submitted to the voters at
an election to be held November 6, 2001.  If the voters approve the
amendment, H.J.R. 64 takes effect January 1, 2002.