According to the texas constitution (article 3, section 49j), state debt cannot be greater than what percentage of state revenue?

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Armani Horne

20 October, 06:03

According to the texas constitution (article 3, section 49j), state debt cannot be greater than what percentage of state revenue?

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Kristian Preston · Answer 1

5%

Article 3, section 49-j is actually more specific than merely stating 5% of the state revenue. It more specifically states that the debt can't exceed 5% of the average state income over the past 3 years. Additionally, only that debt that's payable via the state general funds has that 5% limit. An example of a debt that generally wouldn't be under this 5% limit would be bonds and lease purchase agreements.