Salary Supplements Paid From Sources Other Than Appropriated Funds

Overview

Applicable to

State agencies and institutions of higher education.

Policy

Appropriated funds may not be used to pay the salary of an employee whose classified or exempt position is supplemented from non-appropriated sources until a Salary Supplementation Report is submitted to the Texas Comptroller of Public Accounts, the State Auditor and the Secretary of State.

In September of each fiscal year, state agencies and institutions of higher education must report to the Comptroller’s office, the State Auditor and the Secretary of State all salary supplements for classified and exempt positions paid from sources other than appropriated funds. See Instructions in this fiscal policy and procedure (FPP) for details on submitting the electronic Salary Supplementation Report form.

Agencies and institutions must submit reports no later than Sept. 15 to allow for the processing of September payrolls.

Note: If salary supplementation does not apply to your agency or institution, do not submit a report.

Legal Citations

• Salary supplementation: Texas Government Code, Section 659.020.
• Special provisions relating only to components of Texas State Technical College chancellor salary: General Appropriations Act, Article III, Rider 9 (2023).
• Special provisions relating only to state agencies of higher education, president salaries and chancellor salaries: General Appropriations Act, Article III, Riders 2-3 (2023).
• Requirement to report to the Comptroller’s office and the Secretary of State: General Appropriations Act, Article IX, Section 3.02 (2023).