LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session May 3, 1995 TO: Honorable Senator John T. Montford, IN RE: Senate BillNo. 1564 Chair By: Lucio Committee on Finance Senate Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on Senate Bill No. 1564 (Relating to the enhancement of international trade by granting an exemption from taxation of property owned by a navigation district or port authority that is used for public purposes.) this office has determined the following: The bill would exempt property owned by a navigation district or port authority and leased to another party from ad valorem taxation. To qualify, the property would have to be used for a public purpose and would be limited to specific purposes defined under the Texas Water Code. These purposes are: 1. Maintenance of port facilities; 2. Operating and developing port facilities; 3. Acquisition of land; and, 4. Any other general authority granted to navigation districts in Chapter 63, Water Code. The Comptroller does not receive or maintain information on property owned by navigation districts or port authorities and leased to other entities. The fiscal impact on local governments cannot be determined. There would be a reduction in taxable value in those taxing units that currently tax leased property as defined in the bill. Passage of this bill could also cause a change in school district taxable values reported to the Commissioner of Education by the Comptroller. Changes in school district property wealth could have an impact on state funding for public education. Source: Comptroller of Public Accounts LBB Staff: JK, BR, DF