Skip to content

Funds Consolidation: Limits on New General Revenue Accounts, Special Funds and Dedications of Revenue

Issued: June 26, 2007
Updated: July 14, 2023 – View Changes

FPP A.046

Details

View entire document

Contacts

For questions, please contact Samuel Miller at samuel.miller@cpa.texas.gov or (512) 936-5870 or your designated appropriation control officer.

Overview

Applicable to

State agencies.

Summary

House Bill 3461, 88th Legislature, Regular Session, limits the number of new General Revenue (GR) accounts, special funds and dedications of revenue.

Unless specifically exempted by HB 3461, funds or accounts created or recreated and revenues dedicated or rededicated by the Legislature during the regular session are abolished and will not become effective Sept. 1, 2023. See Section 2 of HB 3461.

HB 3461 became effective June 13, 2023, and supersedes any other legislation that authorized or created a special fund or account, or dedicated or rededicated revenue for a particular purpose. Funds, accounts, and revenue dedications approved by the 88th Legislature, Regular Session, but abolished by HB 3461, will not become effective.

Exemptions

HB 3461 does not apply to:

  • Institutions of higher education, as defined by Education Code, Section 61.003.
  • Statutory dedications, funds or accounts enacted before the 88th Legislature convened, or designed to comply with constitutional or federal requirements.
  • Dedications, funds or accounts previously exempted from former Texas Government Code, Section 403.094(h), increases in fees or other revenue covered under Section 3 or newly authorized use of or name change to a dedicated fund, account or revenue covered under Section 8 of HB 3461.

In addition, funds and accounts created by approval of a constitutional amendment, pledged for payment of a bond, requiring separate accounting by federal law, dedicating revenue from license plates or established in trust are exempted.

See Funds, Accounts and Revenue Dedications Exempted by the 88th Legislature for a list of funds, accounts and revenue dedications that were exempted and will be created.

Procedure for agencies

Revenues not exempted that otherwise would have been deposited to a special fund or account authorized by the 88th Legislature should be deposited to unappropriated GR (0001). If your agency received an appropriation of newly dedicated revenue or from a new fund or account in the General Appropriations Act, but the dedication, fund or account was abolished, the appropriation will be established in GR (0001).

Conversely, if your agency received an appropriation of revenue in GR (0001) that was dedicated to a new fund or account by the funds consolidation bill, the appropriation will be established in the new fund or account.

Per section 12 of HB 3461, the Legislature can reduce the amount of revenues exceeding appropriations in a dedicated account to be made available for general governmental purposes on Aug. 31, 2025. Section 12 amends Texas Government Code, Section 403.095 (b), (d) and (f) and becomes effective Sept. 1, 2023.

Funds, Accounts and Revenue Dedications Exempted by the 88th Legislature

The following funds, accounts and revenue dedications were exempted in HB 3461 and will be created:

Administering Agency HB 3461
Section
Related Bill Effective Date Fund or Account Name and Number/Revenue Information
304 Comptroller of Public Accounts10HB 51/1/2024Dedicates program administration fees to GR Account 0193 - Foundation School
909 Texas Broadband Development Office7HB 9/HJR 1251/1/2024New Broadband Infrastructure Fund pending voter approval 11/07/2023
405 Department of Public Safety10HB 8429/1/2023Dedicates to Fund 0365 - Mobility, new driver's license fee for reinstatement of license after offense of driving with expired license
537 Department of State Health Services9HB 13159/1/2023New Open Burn Pit Registry Fund
320 Texas Workforce Commission19HB 17559/1/2023New GR Account - Lone Star Workforce of the Future
503 Texas Medical Board10HB 19989/1/2023$15 surcharge dedicated to GR Account 5147 - Texas Physician Health Program. Dedicates to GR Account 5105 - Public Assurance a surcharge for databank administration
808 Texas Historical Commission9HB 27199/1/2023New Texas Historical Commission Retail Operations outside of the state's treasury
802 Texas Parks and Wildlife10HB 27559/1/2023Dedicates boater education exam fees currently deposited to Fund 0001 to GR Account 0009 - Game, Fish, and Water Safety
405 Department of Public Safety, 608 Department of Motor Vehicles, 582 Texas Commission on Environmental Quality10HB 32971/1/2025New inspection program replacement fee paid at registration. Dedicated to Fund 0151 - Clean Air, 0365 - Mobility, and Fund 0001
551 Texas Department of Agriculture19HB 33236/11/2023New GR Account - Food System Security Planning
902 Comptroller of Public Accounts10HB 33459/1/2023Dedicates 1% of mixed beverage and mixed beverage gross receipts taxes to GR Account - 5010 Sexual Assault Program
301 Office of the Governor - Fiscal5HB 34479/1/2023New Space Exploration and Aeronautics Research Trust outside of the state's treasury
902 Comptroller of Public Accounts10HB 3727, SB 627, SB 14206/12/23, 6/18/23, 6/2/2023Dedicates half of hotel occupancy tax collected from the projects to GR Account 5003 - Hotel Occupancy Tax for Economic Development
601 Department of Transportation10HB 40159/1/2023Dedicates rail safety fees currently deposited to Fund 0001 to Fund 0006 - State Highway
802 Texas Parks and Wildlife10HB 40189/1/2023Dedicates new carbon sequestration credits to GR Account 0009 - Game, Fish, and Water Safety and GR Account 0064 - State Parks
582 Texas Commission on Environmental Quality9HB 42566/13/2023New Leaking Water Wells Fund
302 Office of the Attorney General10HB 46359/1/2023Dedicates attorney fees and other similar costs to GR Account 5006 - Attorney General Law Enforcement and certain forfeiture amounts to GR Account 0469 - Compensation to Victims of Crime
300 Office of the Governor - Fiscal19HB 51746/9/2023New GR Account - Texas Semiconductor Innovation
902 Comptroller of Public Accounts7HJR 3/HB 15951/1/2024Dedicates the first $100 million, or as calculated, interest/investment earnings from Economic Stabilization Fund 0599 deposited to new Texas University Fund (previously NRUF) pending voter approval 11/07/23
580 Water Development Board4, 7, 19SB 28/SJR 751/1/2024New Texas Water Fund, New Water Supply for Texas, and GR Account - Statewide Public Awareness pending voter approval 11/07/2023
608 Department of Motor Vehicles10SB 5059/1/2023Dedicates new electric vehicle registration fee to Fund 0006 - State Highway
902 Comptroller of Public Accounts10SB 6589/1/2023Dedicates revenue from abandoned local Interest on Lawyers' Trust Accounts (IOLTA) to Fund 0573 - Judicial Fund to the Supreme Court basic civil legal services program
802 Texas Parks and Wildlife10SB 10329/1/2023Dedicates new fees for applications for approval of oyster bed location restorations to GR Account 0009 - Game, Fish, and Water Safety
808 Texas Historical Commission5SB 13329/1/2023New Historic Infrastructure Sustainability Trust outside of the state's treasury
809 State Preservation Board9SB 13339/1/2023New Texas State Buildings Preservation Endowment outside of the state's treasury
601 Texas Department of Transportation19SB 14999/1/2023New GR Account - Port Access
802 Texas Parks and Wildlife7SB 1648/SJR 741/1/2024New Centennial Parks Conservation Trust outside of the state's treasury pending voter approval 11/07/2023
808 Texas Historical Commission9SB 20575/23/2023New Iwo Jima Monument and Museum outside of the state's treasury
405 Department of Public Safety, 608 Department of Motor Vehicles, 582 Texas Commission on Environmental Quality10SB 21029/1/2023Dedicates new fee for initial three-year inspection for rental motor vehicles to Fund 0151 - Clean Air and Fund 0365 - Mobility
473 Public Utility Commission7, 9SB 2627/ SJR 9311/7/2023New Texas Energy Fund and Loan Recipients Escrow Account pending voter approval 11/07/2023

Items NOT Exempted

Unless specifically exempted by HB 3461, funds or accounts created or recreated and revenues dedicated or rededicated by the Legislature during the regular session are abolished. The following were not exempted in HB 3461, will not be created, and any revenue will be deposited to undedicated GR (0001):

  • HB 387 – State Guard Uniform and Insignia Fund was not exempted in the funds consolidation bill, and will not be created in the treasury.
  • HB 2416 – GR Account Gulf Cost Protection was vetoed by the Governor.
  • HB 1688 – GR Account Reclamation and Restoration was not exempted in the funds consolidation bill, and will not be created.
  • HB 3466 – Community Collaborative Fund was not exempted in the funds consolidation bill, and will not be created.
  • HB 3858 – GR Account Peace Officer Mental health was not exempted in the funds consolidation bill, and will not be created.
  • SB 224 – The $1 fee increase as dedicated by the bill, was not exempted for dedication in the funds consolidation bill.

If you have questions about this fiscal policy or funds consolidation, please contact Sam Miller at (512) 936-5870 or samuel.miller@cpa.texas.gov.

Changes to This Document
Date Updates
07/14/2023 Updated to reflect changes by the 88th Legislature
07/16/2021 Updated to reflect changes by the 87th Legislature
07/19/2019 Updated to reflect changes by the 86th Legislature