AUSTIN – Today, the Texas Public Policy Foundation released a paper by Center for Fiscal Policy Director Talmadge Heflin and Economist Dr. Vance Ginn on Articles VI and VII that include natural resources and business and economic development functions in Texas’ state budget. The paper, Texas Budget Trends in Articles VI and VII, is the fifth of six in a series that examines trends in each article of the Texas budget.
“The 2016-17 budget includes increases in funds to Articles VI and VII by less than population growth plus inflation from the previous budget,” said Heflin. “In fact, Article VI declined by 37 percent, however, this decline was from a one-time removal of funds from the budget for water projects. Despite one budget cycle changes, budget trends suggest these areas should be watched closely as agencies make their requests and during the legislative process next session.”
“Since the 2004-05 budget, the total state budget is up 86 percent for natural resources and up 77 percent for business and economic development compared with an estimated 55 percent increase in compounded population growth plus inflation,” said Ginn. “These trends indicate individual functions that increase by more than this key metric deserve scrutiny each session to manage growth in the total budget.”
To read the full report, visit: http://txpo.li/spotlight-texas-budget-trends-articles-vi-vii
The Honorable Talmadge Heflin is Director of the Center for Fiscal Policy at the Texas Public Policy Foundation, a non-profit, free-market research institute based in Austin. In the 78th Session, Heflin served as chairman of the House Committee on Appropriations and navigated a $10 billion state budget shortfall through targeted spending cuts that allowed Texans to avoid a tax increase.
Vance Ginn, Ph.D., is an Economist at the Texas Public Policy Foundation, a non-profit, free-market research institute based in Austin.
The Texas Public Policy Foundation is a non-profit, free-market research institute based in Austin, Texas.