Capitol Update

Capitol Update:
 For Your Information
February 13, 2007

The Legislature considers several proposals that could impact the future of the arts in Texas.

Governor’s Proposal

  • Governor Perry’s FY 2008 – 2009 budget recommendation includes a proposal for a one-time investment of $29 million into the Texas Cultural Endowment Fund bringing the corpus to $45 million and transferring the functions of the Texas Commission on the Arts to a Trusteed Program within the Office of the Governor. According to the proposal, the infusion of funds to the endowment would increase the total amount of dollars available for art grants from $3.3 million annually to $5.5 million based on the endowment earning 10% interest annually and $1 million from the sale of license plates. This proposal would not jeopardize NEA funding currently coming to the agency. The commissioners would be replaced by an advisory council.

TCA Executive Director Rick Hernandez stated that he believes this is a good move and that it is "the best offer we have."

TCA Commissioner and Chair of the TCA Legislative Committee, Polly Sowell agreed that this is a good proposal and one that is of special interest to both Governor Perry and his wife. Sowell has spoken to other commissioners who also support the plan.

Sunset Commission Recommendations

  • The Sunset Advisory Commission has recommended that TCA be renewed for a period of two years. Additionally, the Sunset Advisory Commission is recommending TCA be given access to interest earnings of the Texas Cultural Endowment to provide increased support for grants to the field.

Legislative Budget Board recommendations

  • As reported earlier, the Legislative Budget Board’s recommendation for TCA includes a recommendation that TCA have access to a designated amount of interest and earnings from the Texas Cultural Endowment Fund. However, those interest earnings would take the place of the same amount of General Revenue funds. This recommendation would not increase the funding for grants and could hinder TCA’s ability to grow the Endowment through private sector support.

House Bill 399

  • Representative Leo Berman has introduced HB 399 that is intended to give TCA full access to interest earned on the Texas Cultural Endowment Fund.

Texas Commission on the Arts Perspective

  • TCA’s number one concern is providing high-quality service to constituents statewide. The Commission hopes the results of the 80th Legislative session will reflect increased support for the field in the form of grants and professional hands-on assistance from the agency’s experienced staff. Whether TCA continues as a separate state agency or becomes a division of the Office of the Governor is less important than the provision of service to the field.

In conclusion:
Clearly, there are multiple options for arts funding presently on the table for consideration by the Legislature. Governor Perry’s proposal seems to indicate his recognition of the importance of the arts as a public policy asset for the State of Texas. Texans for the Arts agrees that the Governor’s proposal is an interesting idea that warrants further investigation. PLEASE NOTE THAT TFA IS NOT GOING TO CONTACT LEGISLATORS UNTIL WE SEE THE BILL THAT IS SUBMITTED REGARDING THIS PROPOSAL.

Meanwhile, the TCA continues thru the appropriations process, which means that advocates must stay informed on all the issues. TFA will continue to send alerts and directly contact people in the districts of the House and Senate Appropriations Committee Members. If you receive a TFA Action Alert, please take a minute to contact your legislators regarding the issue covered in the alert. All TFA correspondence will be clearly marked “FOR ACTION” or “FOR INFORMATION” to reduce confusion.