LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 21, 1997
         
         
      TO: Honorable Clyde Alexander, Chair            IN RE:  House Bill No. 422
          Committee on Transportation                              By: Farrar
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB422 ( Relating 
to the regulation by the Texas Department of Transportation 
of fences along a road or highway in the state highway system 
in certain municipalities.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB422-As Introduced
         
Implementing the provisions of the bill would result in a net 
impact of $0 to General Revenue Related Funds through the biennium 
ending August 31, 1999.
         

         
 
Fiscal Analysis
 
The bill would allow The Department of Transportation (TxDot) 
to regulate the use of a fence, near a road or highway on the 
state highway system and in a municipality with a population 
of 1.5 million or more, that prevents or obstructs a vehicle 
from observing other vehicles or traffic in a manner that creates 
a safety hazard. The bill also allows TxDOT to draft rules and 
provide compensation for owners of non-conforming fences that 
were modified or removed under the program.  

 
Methodolgy
 
TxDot estimates that they could be required to compensate landowners 
for the removal or alteration of fences at a cost of approximately 
$250,000 per year to TxDOT. 

The probable fiscal implications of implementing the provisions 
of the bill during each of the first  five years following passage 
is estimated as follows:
 
Five Year Impact:
 
Fiscal Year Probable           Change in Number   
            Savings/(Cost)     of State                                                                   
            from State         Employees from                                                             
            Highway Fund       FY 1997                                                                    
            0006                                                                                           
       1998        ($283,596)               1.0                                                      
       1998         (283,596)               1.0                                                      
       2000         (283,596)               1.0                                                      
       2001         (283,596)               1.0                                                      
       2002         (283,596)               1.0                                                      
 
 
         Net Impact on General Revenue Related Funds:
 
The probable fiscal implication to General Revenue related funds 
during each of the first five years is estimated as follows:
 
              Fiscal Year      Probable Net Postive/(Negative)
                               General Revenue Related Funds
                                             Funds
               1998                   $0
               1999                    0
               2000                    0
               2001                    0
               2002                    0
 
          
No fiscal implication to units of local government is anticipated.
          
   Source:            Agencies:   601   Department of Transportation
                                         
                      LBB Staff:   JK ,PE ,ML