"Some of the highlights of Hobby's years as Lieutenant Governor included reforms in the appropriations process such as zero-based budgeting, which required agencies to justify their budgets regardless of previous budget levels, and a requirement that the fiscal impact of bills be determined and reported to the Legislature in advance of passage. Also passed during his tenure were the indigent health care plan, the Texas water plan, and the school finance bill of 1984 that redistributed state funds among the state's school districts, required teacher testing, and created the controversial 'no-pass-no-play' rule."