LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          April 12, 1995



 TO:     Honorable Kenny Marchant, Chair        IN RE: Committee Substitute
         Committee on Financial Institutions    for
         House of Representatives                              House Bill
         Austin, Texas                          No. 1441









FROM: John Keel, Director

In response to your request for a Fiscal Note on House Bill No.
1441 (relating to the financing of alternative fuels projects by
the Texas Public Finance Authority on behalf of state agencies
and certain political subdivisions of the state) this office has
determined the following:

The bill would amend the Texas Public Finance Authority (TPFA)
Act to allow TPFA to use the proceeds of obligations to finance
the conversion of motor vehicles and other sources of substantial
energy output to alternative fuels and to finance alternative
fueling stations and equipment.  The bill would add a local
government, hospital district or authority, a housing authority,
or a district or authority created under Section 52 Article III
or Section 59, Article XVI, Texas Constitution.  The bill would
authorize TPFA to purchase an eligible entity's obligations and
those entities could borrow from TPFA by selling obligations to
the authority.


No fiscal implication to the State or units of local government
is anticipated.


Source:   Texas Public Finance Authority, Bond Review Board
          LBB Staff: JK, LP, RR