The Senate Committee on Finance voted 13-0 to report favorably a committee substitute to HJR7, a joint resolution that would propose a constitutional amendment dedicating a portion of revenue from state sales and use taxes to the Texas Water Fund. Sponsor Senator Perry told the committee the substitute makes several substantive changes to the version previously laid out.

Senator Perry said the substitute extends the length of the initial term from 16 years to 20 years and moves the method for allocating the dedicated funding for the initial term from the constitutional amendment itself to implementation by statute or a concurrent resolution. He described that change as placing the specific split into statute while tying the overall dedication period to the constitution.

Perry described additional changes in the committee substitute: it removes a provision that would have allowed the legislature to reduce the dedication by 50% or increase it by 100% for a specified year; it authorizes the governor or the legislature to spend the allocation of dedicated funding during the duration of a state of disaster declared under Chapter 418; and it removes the constitutional provision that would have allowed the legislature to extend the dedication beyond the initial term via a 10-year agreement adopted by concurrent resolution.

Perry told the committee he expects the Legislature to revisit the dedication at the end of the initial term and described the substitute as the product of negotiations that included the governor’s office and other stakeholders. He also noted the committee previously heard HJR7 on May 7.

Senator Shwartner asked about ballot language; Perry pointed committee members to the section of the substitute that contains that text and the chair then moved to adopt the substitute without objection. Senator Perry then moved the committee substitute be reported favorably to the full Senate. The clerk called the roll; the clerk announced “13 ayes, no nays,” and the committee announced the substitute “will be reported favorably to the full Senate.”

The committee took no amendments on the substitute in the hearing; the change to move allocation implementation to statute means further statutory work will be required for the split and implementing mechanics if the amendment is approved by voters and enacted.