Malcolm Rivera
The Texas Constitution authorizes various funds for different purposes, including education, hurricane relief, and victim compensation. For instance, Article III, Section 52(a) permits expenditures for literacy programs and hurricane relief, while Article I, Section 31 establishes dedicated accounts in the general revenue fund for compensating victims of crime. The constitution also addresses the management of funds, such as the Permanent University Fund and the State Water Implementation Fund, outlining investment and bond issuance guidelines. County law libraries, hospital districts, and school districts also have financial authorities granted or restricted by the Texas Constitution.
| Characteristics | Values |
|---|---|
| Hurricane relief fund | County education department's expenditure under Article III, section 52(a) |
| Holiday lighting and decorations | Expenditure under Article III, section 52(a) |
| Literacy programs | Expenditure under Article III, section 52(a) |
| Transportation of students and employees to and from polling places | Absent educational purpose, use of school district's public funds violates Article III, section 52 |
| School district public funds | Cannot be used to promote or oppose any political or religious matters |
| Online legal research services | May be obtained using the county law library fund |
| Additional fees for court reporters | May be paid without violating Article III, section 53 |
| Hospital district's authority | Can contribute funds to the city for a building to house emergency medical services |
| Texas Water Development Board | Has the authority to issue and sell general obligation bonds |
| Veterans' Land Board | Can issue and sell bonds or obligations to create the Veterans' Land Fund, the Veterans' Housing Assistance Fund, and the Veterans' Housing Assistance Fund II |
| Available school fund | Consists of distributions from the total return on all investment assets of the permanent school fund |
| Permanent University Fund | Income accruing from investments is subject to appropriation by the Legislature |
| State agencies | May expend money accepted under this subsection without the necessity of an appropriation |
| Compensation to victims of crime fund | Money deposited may be expended for delivering or funding victim-related compensation, services, or assistance |
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What You'll Learn
Hurricane relief fund
The Texas Constitution, under Article III, Section 52(a), authorizes the county education department to provide funding for hurricane relief. This fund is intended to provide financial assistance to those affected by hurricanes and other natural disasters in Texas.
The State of Texas, the Federal Emergency Management Agency (FEMA), and the Small Business Administration have collaborated to establish disaster recovery centers to aid individuals impacted by flooding. These centers are located in various places, including First Baptist Church in Kerrville, the Concho Valley Transit District Annex building in San Angelo, and the Williamson County EMS North Campus in Georgetown.
FEMA provides federal disaster assistance to Texas, offering grants for temporary housing, home repairs, and low-cost loans to those who have suffered uninsured property losses. Additionally, FEMA offers federal funding to state and local governments, as well as certain private nonprofit organizations, to support emergency work and repair or replace facilities damaged by natural disasters.
Survivors, families, first responders, and others affected by hurricanes or other disasters can access 24/7 professional crisis counseling at no cost by calling the dedicated crisis hotline. Other resources are also available, such as the Texas Hurricane Center, which can be reached by calling 512-463-2000, and the Substance Abuse and Mental Health Services Administration (SAMHSA), which provides emotional support to cope with the distress caused by storms.
The Texas Department of Housing and Community Affairs offers disaster relief and recovery resources, including links to organizations such as the State Bar of Texas, the Federal Trade Commission (FTC), and the National Center for Disaster Fraud. Additionally, the US Department of Agriculture provides food assistance for disaster relief, and the Salvation Army and SNAP Food Benefits (food stamps) also offer support through their respective hotlines.
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School district funds
The Texas Constitution of 1869 outlines the role of the Superintendent in supervising Public Free Schools and providing for the formation of school districts and boards of school directors in each district. The constitution also states that it is the imperative duty of the Legislature to ensure that all children in the state of a scholastic age are provided with ample means of education.
The constitution further outlines the powers of the Legislature to raise funds for school districts through taxation, with one-fourth of the revenue from State occupation taxes being set apart for the benefit of public free schools. The Legislature is also responsible for investing the principal of the School Fund in government bonds.
In addition to the Public School Fund, the Texas Constitution also mentions the Permanent School Fund, which consists of land, properties, and revenue derived from these sources. The Available School Fund receives distributions from the total return on investment assets of the Permanent School Fund and is also composed of taxes authorized by the constitution or general law.
The Texas Constitution also addresses the management of school funds, allowing for the acquisition, exchange, sale, supervision, management, or retention of investments in the Texas growth fund. Furthermore, it establishes the Texas Water Development Board, which has the authority to issue and sell general obligation bonds, known as Texas Water Development Bonds.
The constitution also mentions the Veterans' Land Fund, the Veterans' Housing Assistance Fund, and the authority of the Texas State Technical College to discharge student loans for a legitimate public purpose.
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Water development fund
The Texas Water Development Board (TWDB) is an agency of the State of Texas, with the power to provide for, issue, and sell general obligation bonds, known as "Texas Water Development Bonds". The TWDB is composed of three members, appointed by the governor, with one member each having experience in engineering, public or private finance, and law or business. The board's mission is to lead the state's efforts in ensuring a secure water future for Texas and its citizens.
The Texas Water Development Fund is a special fund in the state treasury outside the general revenue fund, which is administered by the TWDB. It was created by the 88th Texas Legislature in 2023, with the passing of Senate Bill (SB) 28 and Senate Joint Resolution (SJR) 75. The fund is used to finance water projects in Texas, and is not a new financial assistance program. Instead, it allows the TWDB to provide funding through certain existing financial assistance programs and the newly created New Water Supply for Texas Fund.
Separate accounts are established in the water development fund for administering the proceedings of bonds issued for purposes under this subsection. An interest and sinking fund is also established in the State Treasury, separate from other Texas water development bonds. This fund is used for paying the principal and interest on bonds for the purposes of the subsection.
The TWDB also administers the Flood Infrastructure Fund (FIF) program, which provides financial assistance in the form of loans and grants for flood control, flood mitigation, and drainage projects. Eligible political subdivisions include cities, counties, and any district or authority created under Article III, Section 52 or Article XVI, Section 59 of the Texas Constitution.
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Veterans' Land Fund
The Texas Veterans Land Board, also known as VLB, is part of the Texas General Land Office. The board was established by the Texas Legislature in 1946 to make land available to veterans returning from World War II.
The Veterans Land Fund is authorized by the Texas Constitution, with the Commissioner of the General Land Office acting as Chairman of the Veterans' Land Program. The fund was created to provide Texas veterans and active military members with financing for land, home loans, and home improvement loans. Eligible veterans can finance up to $150,000 of land for tracts that are one acre or greater, with a minimum 5% down payment. The interest rate for land loans as of February 2017 was 7.25%.
The VLB has evolved since its inception, and today, any veteran or military member who resides in Texas for at least one day with the intention to remain, has served a minimum of 90 days of active duty, and was not dishonorably discharged, can apply for VLB programs. This is a shift from previous requirements, which mandated that military service had to begin in Texas for eligibility.
The VLB also owns and manages four Texas State Veterans Cemeteries, with a fifth under construction, and nine state veterans homes that provide long-term skilled nursing care for veterans, spouses, and Gold Star parents.
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Victim compensation fund
The Texas Constitution establishes several funds, including the State Water Implementation Fund, the Texas Water Development Fund, the Veterans' Land Fund, the Veterans' Housing Assistance Fund, the Permanent School Fund, the Permanent University Fund, and the Texas Growth Fund.
One fund authorized by the Texas Constitution is the Crime Victims' Compensation (CVC) Program fund, which helps victims of violent crimes and their families by covering costs such as medical bills, counseling, and lost wages. The CVC Program is administered by the Texas Attorney General's Office, which determines whether a claim is valid and justifies payment. The fund is intended to provide financial relief to those affected by violent crimes, allowing them to focus on healing.
The Texas Constitution allows for the use of money in the CVC Program fund and the compensation to victims of crime auxiliary fund to assist victims of mass violence if other funds for emergency assistance are depleted. The attorney general is responsible for certifying the amount of money remaining in the auxiliary fund annually and may transfer excess amounts exceeding $5 million to make compensation payments.
The CVC Program has specific eligibility requirements and a step-by-step application process. It covers various expenses, and there is an appeals process in place if a claim is denied or if the claimant disagrees with a decision. The fund serves as a payer of last resort for victims of crime, ensuring they receive the support needed to recover from the financial impacts of criminal acts.
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Frequently asked questions
The Texas Constitution authorizes the use of the Permanent School Fund, the Available School Fund, and the Permanent University Fund for educational purposes. The Available School Fund consists of distributions from the Permanent School Fund, taxes, and appropriations made by the legislature. The Permanent University Fund's income can be appropriated by the Legislature to accomplish the purposes declared in Section 10 of Article VII. The Texas Constitution also allows for the appropriation of funds for a bond guarantee program and the Texas Growth Fund.
The Texas Constitution mentions the Community Health Center Revolving Loan Fund, which was abolished by a later-enacted bill. It also mentions the authority of hospital districts to contribute funds to cities for buildings to house emergency medical services vehicles.
The Texas Constitution authorizes the Texas Water Development Fund, the Victims of Crime Fund, and the Veterans' Land Fund, Veterans' Housing Assistance Fund, and Veterans' Housing Assistance Fund II. It also mentions the use of county law library funds for online legal research services that benefit private attorneys.
