Texas Government 2306 Hicks-Final
Exam Questions With Complete Solutions
Why must the budget in Texas be balanced? - Correct
Answers ✅The state constitution demands it to be, it is
unconstitutional for it not to be
Article 3, Section 49a (pay-as-you-go limit),
What areas in the state budget are impacted the most by
federal expenditures? - Correct Answers ✅Healthcare and
human services, education
Know the reputation Texas has in terms of spending - Correct
Answers ✅Low service, low tax state
-seeks to maintain a favorable environment for business.
Know how Texas get its revenue - Correct Answers ✅-Sales
taxes
- severance taxes on oil and natural gas produced in the state
- licensing income
-interest and dividends
- federal aid
Describe how the money in the budget is organized into
specific funds - Correct Answers ✅General revenues
fund:the state's primary operating fund; Includes
- the Available School Fund,
- the State Instructional Materials Fund
,Texas Government 2306 Hicks-Final
Exam Questions With Complete Solutions
-and the Foundation School Fund
General Revenue-Dedicated Funds:is a subset of the General
Revenue Fund
-State Parks Account and the college operating accounts
(which hold tuition funds).
- legislature can appropriate money from these accounts
ONLY for their dedicated purposes.
-the balances in this budget are used to certify that the
constitutional pay-as-you-go limits (discussed below) are
being met.
Federal Funds :includes all grants, payments, and
reimbursements received from the federal government by
state agencies and institutions, including those from the
Medicaid program, Title 1 Grants to Local Educational
Agencies, transportation grants, and the Children's Health
Insurance Program.
Other funds budget:consists of all other funds flowing into the
state treasury that are not included in the other methods of
financing.
-State Highway Fund
-the Texas Mobility Fund
- the Property Tax Relief Fund
- the Economic Stabilization Fund.
, Texas Government 2306 Hicks-Final
Exam Questions With Complete Solutions
All funds budget: is the aggregate of all these ways of
financing government and refers to all revenue that goes
through agencies, including federal and state programs.
What provisions in the state constitution affect the budget? -
Correct Answers ✅-limitation on how much money we can
spend above our debt
-pay as you go limit
Know the major steps and players in making the budget -
Correct Answers ✅Two parts:
1. Governor- chief planning officer, budget bills can be line
item vetoed. LBB Legislative budget board State agencies
requesting money
2. Submit to legislature. Ran like a bill being
passedLegislature gives out funds
Know and analyze the budget crisis in Texas - Correct
Answers ✅Came from great recession and property tax
reform-Came to a budget short fall, a lot less money came in
than was expected-Gov considered using rainy day funds but
did not
Know the major issues that have shaped education policy in
Texas, including the Gilmer-Aiken Laws and possible reforms
to the quality of education in the state - Correct Answers
Exam Questions With Complete Solutions
Why must the budget in Texas be balanced? - Correct
Answers ✅The state constitution demands it to be, it is
unconstitutional for it not to be
Article 3, Section 49a (pay-as-you-go limit),
What areas in the state budget are impacted the most by
federal expenditures? - Correct Answers ✅Healthcare and
human services, education
Know the reputation Texas has in terms of spending - Correct
Answers ✅Low service, low tax state
-seeks to maintain a favorable environment for business.
Know how Texas get its revenue - Correct Answers ✅-Sales
taxes
- severance taxes on oil and natural gas produced in the state
- licensing income
-interest and dividends
- federal aid
Describe how the money in the budget is organized into
specific funds - Correct Answers ✅General revenues
fund:the state's primary operating fund; Includes
- the Available School Fund,
- the State Instructional Materials Fund
,Texas Government 2306 Hicks-Final
Exam Questions With Complete Solutions
-and the Foundation School Fund
General Revenue-Dedicated Funds:is a subset of the General
Revenue Fund
-State Parks Account and the college operating accounts
(which hold tuition funds).
- legislature can appropriate money from these accounts
ONLY for their dedicated purposes.
-the balances in this budget are used to certify that the
constitutional pay-as-you-go limits (discussed below) are
being met.
Federal Funds :includes all grants, payments, and
reimbursements received from the federal government by
state agencies and institutions, including those from the
Medicaid program, Title 1 Grants to Local Educational
Agencies, transportation grants, and the Children's Health
Insurance Program.
Other funds budget:consists of all other funds flowing into the
state treasury that are not included in the other methods of
financing.
-State Highway Fund
-the Texas Mobility Fund
- the Property Tax Relief Fund
- the Economic Stabilization Fund.
, Texas Government 2306 Hicks-Final
Exam Questions With Complete Solutions
All funds budget: is the aggregate of all these ways of
financing government and refers to all revenue that goes
through agencies, including federal and state programs.
What provisions in the state constitution affect the budget? -
Correct Answers ✅-limitation on how much money we can
spend above our debt
-pay as you go limit
Know the major steps and players in making the budget -
Correct Answers ✅Two parts:
1. Governor- chief planning officer, budget bills can be line
item vetoed. LBB Legislative budget board State agencies
requesting money
2. Submit to legislature. Ran like a bill being
passedLegislature gives out funds
Know and analyze the budget crisis in Texas - Correct
Answers ✅Came from great recession and property tax
reform-Came to a budget short fall, a lot less money came in
than was expected-Gov considered using rainy day funds but
did not
Know the major issues that have shaped education policy in
Texas, including the Gilmer-Aiken Laws and possible reforms
to the quality of education in the state - Correct Answers
