LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
74th Regular Session
May 15, 1995
TO: Honorable John T. Montford, Chair IN RE: Committee Substitute
Committee on Finance for
Senate Senate Bill
Austin, Texas No. 767
By: Montford
FROM: John Keel, Director
In response to your request for a Fiscal Note on Senate Bill No.
767 (Relating to the allocation of certain sales tax revenue to
the Texas cultural endowment fund.) this office has determined
the following:
The bill would require the deposit of a portion of the state
sales tax to the Texas Cultural Endowment Fund outside the state
treasury. The amount diverted from the treasury to the Texas
Cultural Endowment Fund would be equal to state sales tax
collections on cultural services and related tangible personal
property at a 1 percent tax rate, not to exceed $2,000,000 per
year.
The diversion of state sales tax would continue until the fund
balance reached $200,000,000 or September 1, 2005, whichever
occurred first. The bill would take effect on September 1, 1995.
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 Revenue
Year Loss from General Gain to the Texas
Revenue Fund 001 Cultural Endowment
Fund - Outside the
Treasury
1996 $2,000,000 $2,000,000
1997 2,000,000 2,000,000
1998 2,000,000 2,000,000
1999 2,000,000 2,000,000
2000 2,000,000 2,000,000
No fiscal implication to units of local government is
anticipated.
Source: Comptroller of Public Accounts
LBB Staff: JK, RS, DF