As part of the Texas Legislature’s power of the purse, it sets a biennial budget for the state in the fiscal years 2024 and 2025.
The 88th Legislature is scheduled to convene Tuesday, Jan. 10, and conclude May 29. Ahead of the first session, State Comptroller Glenn Hegar revealed his biennial revenue estimate in a Jan. 9 news release.
The state is projected to have a record $188.2 billion in revenue available for general-purpose spending during the 2024-25 biennium, a 26.3% increase from the 2022-23 biennium, according to the news release. The $188.2 billion available for general-purpose spending includes 2024-25 collections of $165.9 billion in General Revenue-Related (GR-R) funds.
Reacting to the news of an increase, Lt. Governor Dan Patrick highlighted the success of the state’s economy.
“Since I’ve become Lt. Governor, we’ve taken the utmost care to manage our budget wisely and conservatively,” Patrick said. “We are leading the United States forward in the global marketplace and it is clear for all to see. Our conservative policies, including no income tax and minimal regulation, attract businesses and grow jobs.”
These collections are augmented by an expected 2022-23 ending GR-R balance of $32.7 billion. Of the total, $10.2 billion must be reserved from 2024-25 oil and natural gas tax collections for transfers to the Economic Stabilization Fund (ESF), also known as the state’s “Rainy Day Fund,” and the State Highway Fund (SHF). These reserves would be $4.5 billion higher but for the constitutional limit on the ESF balance, which will be met beginning in 2025. Another $155 million must be set aside to cover a shortfall in the Texas Guaranteed Tuition Plan, also known as the Texas Tomorrow Fund.
For the full story, see the Jan. 19 issue of The Sachse News.
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