LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          March 13, 1995



 TO:     Honorable Robert Saunders, Chair       IN RE:  House Bill No. 1266
         Committee on Land and Resource                 By: Hilderbran et
         Management                             al.
         House of Representatives
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on House Bill No.
1266 (Relating to creating an ombudsman office to represent
private property owners in certain proceedings.) this office has
determined the following:

The bill would make no appropriation but could provide the legal
basis for an appropriation of funds to implement the provisions
of the bill.  The bill would create an ombudsman office within
the Office of the Attorney General, to represent the interests of
private property owners in disputes with state agencies.  The
disputes would be generated if private property is taken or
damaged for public use, without either the filing of a statutory
eminent domain (condemnation) proceeding or the provision of
"adequate"  or "just" compensation by a state agency, usually
through the exercise of regulatory or "police power," which the
private property owner feels is a "taking" of the property
without due compensation.

The bill would require the Attorney General to establish the
ombudsman office and to submit an annual report describing the
activities/accomplishments of the office.  The office would be
required to receive complaints and inquiries from private
property owners related to "takings,"  and to record all contacts
by private property owners to determine the general concern of
private property owners.  The ombudsman could exercise other
powers, including the authority or prepare and present briefs and
arguments or intervene or appear on behalf of private property
owners in general, or a specific private property owner, in a    




judicial, legislative, or administrative hearing or proceeding.

 
The probable fiscal implication of implementing the provisions of
the bill during each of the first  five years following passage
is estimated as follows:
     



            Fiscal  Probable Cost Out      Change in   
             Year   of  State Highway   Number of State
                         Fund 006       Employees from 
                                            FY 1995    
                                                       
          1996                 $99,256              2.0
          1997                  93,950              2.0
                                                       
          1998                  93,950              2.0
                                                       
          1999                  93,950              2.0
          2000                  93,950              2.0
                                                       
                                                       
                                                       

       Similar annual fiscal implications would continue as long as the
provisions of the bill are in effect.

The fiscal implication to  units of local government cannot be
determined.


Source:   Office of the Attorney General
          LBB Staff: JK, JC, DF