LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  February 27, 1997
         
         
      TO: Honorable Clyde Alexander, Chair            IN RE:  House Bill No. 691
          Committee on Transportation                              By: Thompson
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB691 ( Relating 
to the erection of sound barrier walls along certain parts of 
Interstate Highway 610 in Houston.) this office has detemined 
the following:
         
         Biennial Net Impact to General Revenue Funds by HB691-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 require the Department of Transportation, as 
soon as practical, to erect sound barrier walls along the west 
side of Interstate 610 in Houston to reduce highway noise on 
various streets.
 
Methodolgy
 
Federal Highway Administration (FHWA)  regulation 23 CFR 772, 
Procedures for Abatement of Highway Noise and Construction Noise, 
requires the Texas Department of Transportation (TxDOT) to develop 
and implement a traffic noise analysis and abatement program 
for Federal-aid Type I highway projects that involve construction 
on a new location; or the alteration of an existing highway 
that substantially changes either the horizontal or vertical 
alignment; or an increase in the number of through-traffic lanes.

The 
FHWA regulation also addresses Type II highway projects to retrofit 
noise abatement along existing highways (not in conjunction 
with a Type I highway construction or improvement project). 
 However, since there is no separate funding source identified 
for Type II highway projects, these projects must compete with 
all other statewide transportation needs.  Therefore, the FHWA 
has indicated that the development and implementation of Type 
II projects are not mandatory requirements of Federal law or 
regulation.

The bill would require the construction of noise 
barriers along an existing highway (IH 610); therefore, they 
would be considered Type II noise abatement.  Also, the bill 
does not indicate that a traffic noise analysis was performed 
to confirm that the noise barriers are both feasible and reasonable 
or that a majority of the property owners adjacent to the noise 
barriers approve of their construction.  Construction of these 
Type II noise barriers would circumvent the traffic noise analysis 
and public involvement processes, as well as pending action 
of the commission upon completion of the Type II Study;  and 
would require TxDOT to establish a statewide Type II Noise Abatement 
Program to ensure future Type II noise barriers are constructed 
in a manner that is uniform, equitable and fair. 

The fiscal 
impact of the bill includes the cost of the IH 610 noise barriers 
themselves and the costs associated with the development and 
implementation of a statewide Type II Noise Abatement Program.
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     ($53,549,177)               8.0                                                      
       1998      (53,549,177)               8.0                                                      
       2000      (53,549,177)               8.0                                                      
       2001      (53,549,177)               8.0                                                      
       2002      (53,549,177)               8.0                                                      
 
 
         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
 
Similar annual fiscal implications would continue as long as 
the provisions of the bill are in effect.
          
Because the bill would not have statewide impact on units of 
local government of the same type or class, no comment from 
this office is required by the rules of the House as to its 
probable fiscal implication on units of local government. 
          
   Source:            Agencies:   601   Department of Transportation
                                         
                      LBB Staff:   JK ,PE ,ML