LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 24, 1997
         
         
      TO: Honorable Steven Wolens, Chair            IN RE:  House Bill No. 1691
          Committee on State Affairs                              By: Eiland
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB1691 ( Relating 
to enforcement of the Texas Fair Housing Practices Act.) this 
office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB1691-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.
         
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 amend Section 301.131(a) of the 
Texas Property Code, the Texas Fair Housing Act (TFHA) which 
provides a cause of action for certain discriminatory acts and 
practices relating to housing.
         
 
Fiscal Analysis
 
The bill would delete the requirement that the Attorney General 
"shall" file cases referred for litigation by the Texas Commission 
on Human Rights (TCHR) under the Texas Fair Housing Act.  The 
bill would give the Attorney General discretion to file cases 
based on the merits of a case, rather than the current requirement 
than such cases be filed.
 
Methodolgy
 
The bill would not create a new workload for the Office of the 
Attorney General which currently handles referrals from the 
Texas Commission on Human Rights.  The Commission on Human Rights 
states that the bill would remove the agency's current authority 
to enforce the Texas Fair Housing Act, resulting in a loss of 
"deferral status" under the federal fair housing law and a loss 
of funds from the federal Department of Housing and Urban Development.
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 Revenue   Change in Number   
            Gain/(Loss) from   of State                                                                   
            Federal Funds      Employees from                                                             
                               FY 1997                                                                    
            0555                                                                                           
       1998        ($680,000)             (5.0)                                                      
       1998         (680,000)             (5.0)                                                      
       2000         (680,000)             (5.0)                                                      
       2001         (680,000)             (5.0)                                                      
       2002         (680,000)             (5.0)                                                      
 
 
         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.
          
No fiscal implication to units of local government is anticipated.
          
   Source:            Agencies:   302   Office of the Attorney General
                                         344   Commission on Human Rights
                      LBB Staff:   JK ,JD ,JC