LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  May 9, 1997
         
         
      TO: Honorable Kenneth Armbrister, Chair            IN RE:  House Bill No. 1723, As Engrossed
          Committee on State Affairs                              By: Telford
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB1723 ( Relating 
to appraisal for property tax purposes of open-space land that 
is converted to production of timber.) this office has detemined 
the following:
         
         Biennial Net Impact to General Revenue Funds by HB1723-As Engrossed
         
No significant fiscal implication to the State is anticipated.
         

         
 
The bill would allow landowners whose land qualified for special 
appraisal as open space land, other than timberland; to commence 
timber production, qualify for special appraisal as timberland, 
and continue to pay property taxes based on the property's  
prior use as agricultural land.  Appraisal of the land based 
on the use prior to conversion to timberland would continue 
for a 15 year period following the first year the land qualifies 
for timber valuation.  

The bill would apply only to land 
converted to the production of timber after September 1, 1997.

The 
bill would take effect January 1, 1997.
          
No significant fiscal implication to units of local government 
is anticipated.
          
   Source:            Agencies:   304   Comptroller of Public Accounts
                                         
                      LBB Staff:   JK ,JD ,RR ,BR