Changes to Article IX of the GAA and Other Bills of Interest to State Agencies
Changes to Article IX of the General Appropriations Act —
Senate Bill 1, 87th Legislature, Regular Session, 2021
Part 2. Provisions Relating to the Position Classification Plan
This section contains the numerical listing of all classified positions by class number, position title, salary schedule (A, B or C) and salary group number. The listing includes classified titles that have been added and/or have title changes for the biennium. The State Auditor’s Office (SAO) has provided agencies with a conversion manual for these changes. The job classifications are designated to the appropriate pay group in the proper salary schedule (A, B or C).
Pay group A21 is added to the schedule. In addition, all pay groups and steps in Schedule C are increased.
Part 6. General Limitations on Expenditures
Paragraph (k) is new. It requires the University of Texas Medical Branch at Galveston and Texas Tech University Health Services Center, with regard to correctional health care services, and The University of Texas Health Science Center at Houston, with regard to the operation of the Harris County Psychiatric Center, to disclose information on the amount of interagency contract proceeds used to pay salaries and wages as well as the associated general revenue benefits for the specified programs, in accordance with the policies developed and maintained by the Legislative Budget Board (LBB) and the SAO to provide for the administration of Article IX, Section 6.08.
This section revised language for clarity. There are no substantive changes.
Section 6.24 – Limitation on Abortion Funding (formerly section 6.25)
Part 7. Reporting Requirements
Paragraph (c) adds to the reporting requirements the semiannual total number of border security-related apprehensions and arrests made by or assisted with state law enforcement personnel.
Paragraph (c) changes when state agencies and institutions of higher education must notify the LBB with regard to: (1) contracts with an expected value over $10 million; (2) emergency contracts with an expected value over $1 million; and (3) non-competitively procured contracts with an expected value over $1 million. The notification time is changed from no later than 30 calendar days after the date of contract award to within 15 calendar days of contract award. The notification time for contracts awarded as a result of an emergency is changed from within 48 hours of making a payment to within five calendar days of contract award.
This section removes the requirement that agencies must report any cost savings or other efficiencies achieved from implementing changes to document transmission and production practices in the agency's legislative appropriations request.
Part 8. Other Appropriation Authority
Paragraph (f) adds that if an agency recovers federal money through a recovery audit, the payment made to the recovery audit consultant must be made from the agency’s current appropriation items from non-federal methods of finance, unless the rules of the federal program allow payment from the recovered federal funds. As applicable, federal reimbursements received for such expenditures of state funds must be credited to the funds the expenditures were originally made from.
This section appropriates for use by a state agency all receipts collected from the sale of deaccessioned items for which the Texas Comptroller of Public Accounts (Comptroller’s office) deposited the receipts to the appropriate dedicated account. The appropriated funds may be used as determined by the agency for the purposes of the care and preservation of the agency’s qualifying collection.
Part 9. Information Resources Provisions
Paragraph (c) adds the requirement that the Department of Information Resources (DIR) must coordinate the bulk purchase of any additional information technology commodity items that may produce cost savings from bulk purchases.
Part 10. Health-Related Provisions
Paragraphs (e) and (f) are new. No later than Jan. 15, 2023, the coordinating council must submit a report to the executive commissioner of the Health and Human Services Commission and the LBB regarding the coordinating council's thorough review and complete vetting of all behavioral health exceptional items submitted with each agency's legislative appropriation request. The coordinating council must also provide an update to the report on suicide and suicide prevention in Texas required by HB 3980, 86th Legislature, Regular Session, 2019.
Part 11. Provisions Related to Real Property
This section clarifies when an agency’s appropriations must be reduced as the result of an emergency lease.
Part 13. Federal Funds
This section specifically excludes from appropriation funds received from: the American Rescue Plan Act of 2021 (Pub. L. No. 117-2) for the Coronavirus State Fiscal Recovery Fund, except for funds appropriated through Section 603; the Coronavirus Local Fiscal Recovery Fund of the same act; the Coronavirus Capital Projects Fund; any federal funds made available under the American Jobs Act or similar federal legislation enacted after the 87th Legislature, Regular Session, adjourns.
This section adds institutions of higher education to the entities that must request permission from the LBB and the governor to expend funds over $10 million appropriated under Section 13.01.
Paragraph (a) removes the chair of the House Select Committee on State and Federal Power and Responsibility as a person who must be notified by the agency or institution.
Paragraph (c) clarifies that paragraph (a) and (b) do not need to be followed in the event of a disaster proclamation by the governor.
Paragraphs (d) and (e) are new. Section 13.03, Report of Expanded Operational Capacity, from the previous GAA is incorporated into this section under these paragraphs. Institutions are added to the entities that must report their operational capacity for expanded federal programs. The reporting criteria is changed from “an existing federal program that previously granted an agency $10 million or more per year and increases its grant by at least 1000%” to one that “increases its grant by at least 100%.”
Section 13.03 – Reports to Comptroller (formerly section 13.04)
Section 13.04 – Deposit and Expenditure Limitations (formerly section 13.05)
Section 13.05 – Reimbursements From Federal Funds (formerly section 13.06)
Section 13.06 – Limitations on Classified Positions (formerly section 13.07)
Section 13.07 – Funding Reductions (formerly section 13.08)
Section 13.08 – Unexpended Balances (formerly section 13.09)
Section 13.09 – Temporary Assistance for Needy Families (TANF), Social Services Block Grant (SSBG) or Child Care and Development Block Grant (CCDBG) (formerly section 13.10)
Section 13.10 – Definition, Appropriation, Reporting and Audit of Earned Federal Funds (formerly section 13.11)
Section 13.11 – Reporting of Federal Homeland Security Funding (formerly section 13.12)
Part 14. Agency Discretionary Transfer Provisions
Paragraph (c) adds that the request for approval to exceed the 20% discretionary transfer authority must be submitted by the chief administrative officer if the agency does not have a governing board or if the governing board has not met.
Paragraph (b) adds that the request for approval to exceed transfer limitation on capital budget expenditures under paragraph (h) must be submitted by the chief administrative officer if the agency does not have a governing board or if the governing board has not met.
Paragraph (h) adds that an agency may transfer appropriations for data center consolidation or data center services after obtaining written approval from the LBB.
Part 17. Miscellaneous Provisions
Section 17.07 – Use of the Sporting Goods Sales Tax Transfer to the General Revenue-Dedicated State Parks Account No. 64 (formerly section 17.08)
Section 17.08 – Reporting Requirement for Funds Held Outside the Treasury (formerly section 17.09)
Section 17.09 – Contract Management and Oversight (formerly section 17.10)
Section 17.10 – Energy Efficiency Savings for State Facilities (formerly section 17.11)
Section 17.11 – Human Trafficking Prevention Coordinating Council (formerly section 17.12)
Section 17.12 – Reports on Interagency Contracts (formerly section 17.13)
Section 17.13 – Realtime Captioning of Open Meetings (formerly section 17.14)
Section 17.14 – Information Listing of Program Funding (formerly section 17.15)
This section forbids any funds appropriated by the GAA to be used for the purpose of contact tracing of COVID-19.
This section requires any state agency or institution that receives funds from litigation involving opioids to report to the LBB, the speaker of the House, the office of the lieutenant governor, the House Appropriations Committee and the Senate Finance Committee within 15 calendar days of the receipt of the funds, stating the amount of funds received, the date on which the funds are received, the purposes for which the funds are to be expended, and any other information requested by the LBB.
This section specifies that it is the intent of the Legislature that all agencies participate in the Master Lease Purchase Program to the extent that the program will be the most cost-effective type of financing when using a lease purchase method to acquire capital assets.
The sections listed below, referenced by section number as listed in Article IX, House Bill 1, 86th Legislature, Regular Session, appear to be deleted from Article IX, Senate Bill 1, 87th Legislature, Regular Session.
|Page||Section||Title and Description SB 1, 85th Legislature, Regular Session|
|IX-33||Section 6.24||Notification Requirement for Certain RESTORE Act Funds
This section required any agency that intended to expend at least $1 million for a project or program using funds related to the RESTORE Act Direct Component to notify the LBB in a timely manner before making any such expenditure.
|IX-37||Section 7.10||Reporting Requirement for Deepwater Horizon Oil Spill Funds
This section required any state agency or institution that received, expended or administered funds, appropriations or donations related to the Deepwater Horizon oil spill to submit reports at the end of each fiscal quarter to the LBB.
|IX-62||Section 13.03||Report of Expanded Operational Capacity
This section required each agency to report their operational capacity for expanded federal programs. This section was incorporated into 13.02.
|IX-79||Section 17.07||Border Security
This section provided an informational list of the amounts appropriated elsewhere for border security.
Note: As in the past, some of the provisions of Article IX have been renumbered. The LBB staff recommendations provide drafter’s notes that could assist in finding those items that were moved but had no substantive changes.