LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          April 10, 1995



 TO:     Honorable Kenny Marchant, Chair        IN RE:  House Bill No. 3006
         Committee on Financial Institutions            By: Giddings
         House of Representatives
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on House Bill No.
3006 (relating to a residence requirement for a bank director)
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 define a bank's local areas and establish the
composition of a bank's board of directors based on the inclusion
of the local area definition.

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 Revenue     Probable Cost        Change in    
             Year    Gain to Banking      Out of Banking    Number of State 
                    Department Expense  Department Expense   Employees from 
                         Fund 508           Fund  508           FY 1995     
                     GR Consolidated     GR Consolidated                    
                                                                            
          1996                 $36,400             $36,400               1.0
                                                                            
          1997                  34,060              34,060               1.0
          1998                  34,734              34,734               1.0
                                                                            
                                                                            
                                                                            

        1999                    35,423               35,423                1.0

        2000                    36,126               36,126                1.0



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

No fiscal implication to units of local government is
anticipated.


Source:   Department of Banking
          LBB Staff: JK, VS, RR