AUSTIN — Today, Senator Brandon Creighton's state agency savings incentive program legislation passed in the Texas Senate by a vote of 31-0. Filed as Senate Bill 677, this legislation creatively incentivizes state agencies to implement savings measures rather than spend all funds allocated to them.

"Under current law, when a state agency saves money under their particular budget for the fiscal year, the agency is only able to retain one-fourth of the savings," said Senator Creighton. "Additionally, there is a stringent one-percent cap on what can be retained. As a result, the provision has never been used. This is not enough of an incentive to encourage the savings our state needs."

"This legislation is a positive step forward for rewarding those in our state agencies for being responsible stewards of our taxpayer dollars," continued Senator Creighton. "I will continue to work with my colleagues in the House until this bill makes it to the Governor's desk. It is our obligation to return those hard-earned dollars to the taxpayers of Texas rather than promote a "use it or lose it" policy for the use of government funds."

S.B. 677 also sets up a tiered bonus structure for agency employees after the agency pays off its general obligations bonds.

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