84(R) - 2015
Relating to comparisons of state budgets made by the Legislative Budget Board.
A May 5, 2015 fiscal note anticipates no fiscal implication to the State or units of local government.
House Bill 1592 would amend Chapter 322 of the Government Code, relating to the Legislative Budget Board.
It would require that the Legislative Budget Board (LBB) make sure that a consistent accounting methodology is used for the purpose of a biennial fiscal size-up report, or any successor report, that compares appropriations made for one state fiscal biennium or year with the appropriations made for one or more state fiscal bienniums or years.
The LBB would have to adjust the reported amount of appropriations made by the legislature to a state agency or institution as necessary so that the appropriations made for each of the state fiscal bienniums or years being compared reflect the approved accounting methodology for the latest of the state fiscal bienniums or years being compared.
Vote Recommendation Notes
House Bill 1592 aims at changes in accounting methods are taken into account when the Legislative Budget Board (LBB) prepares reports that compare appropriations for several fiscal years.
The statement of purpose for the bill indicates that when legislators make decisions about state budgets they rely on the LBB to provide reliable information from which the legislators can discern trends and make appropriate comparisons.
It is indeed important that the same accounting methodology be used when reports compare appropriations over several fiscal years or bienniums, as different methodologies could lead to erroneous comparisons. If legislators are to use these reports to make appropriation decisions, they must relay on accurate information that does not compare apples to oranges. As a consequence, we support House Bill 1592.