LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          April 3, 1995



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






FROM: John Keel, Director

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

The bill would repeal the Alternative Fuels Act Section 9C of
Article 601d, Vernon's Texas Civil Statutes and replace those
provisions with similar language clarifying the current
provisions of the Alternative Fuels Financing Act.  The bill
would create an Alternative Fuels Assistance Fund and a Reserve
Fund in the state treasury to be administered by the Texas Public
Finance Authority (TPFA).  The fund could be financed with
proceeds from the sale of revenue bonds issued by TPFA in an
amount not to exceed $50 million outstanding at any one time. 
The fund would be used to provide assistance to alternative fuels
projects of eligible entities approved by the Alternative Fuels
Council.  Both funds would be exempted from the Funds
Consolidation Act.  The bill would authorize but not require the
legislature to make appropriations to eligible entities for
alternative fuels projects.


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


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