Bill Caption

Relating to the creation of the small business disaster recovery loan program.

Fiscal Notes

The bill would have an indeterminate cost to the state which is dependent on the funds transferred to the credit of the Small Business Disaster Recovery Revolving Fund as authorized by statute or law.

The Texas Economic Development and Tourism Office, in the Office of the Governor, is required to implement a provision of this Act only if the legislature appropriates money specifically for that purpose.  If the legislature does not appropriate money specifically for that purpose, the Office may, but is not required to, implement a provision of this Act using other appropriations available for that purpose.

Bill Analysis

SB 678 would create a fund which the Texas Economic Development and Tourism Office would be required to use as the basis for a small business disaster recovery loan program to provide to small businesses to use for payroll purposes.

Vote Recommendation Notes

Texas Action opposes SB 678 because it violates the limited-government principle. While we sympathize with the bill's aim to aid small businesses that have been physically or economically damaged by a declared disaster, it is not the proper function of government to fund loan programs.