LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session April 10, 1997 TO: Honorable Ron E. Lewis, Chair IN RE: House Bill No. 1877, Committee Report 1st House, Substituted Committee on County Affairs By: Chisum House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB1877 ( Relating to creation of an Electronic Recording Task force and to certain electronic recording.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB1877-Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill would create an Electronic Recording Advisory Committee. The committee would be authorized, but not required, to make recommendations to the State Library and Archives Commission regarding the adoption of rules relating to the recording of certain instruments,documents, or records by electronic means. The advisory committee would also be authorized to make recommendations concerning the need for any statutory changes relating to electronic recording of such documents. If the committee makes recommendations, the State Library and Archives Commission may adopt electronic recording rules, and county clerks may accept certain documents for electronic recording in accordance with the rules. The bill would also amend the Government Code to require that electronic filing rules be approved by the local government records committee. The bill would take effect immediately. Provisions relating to the advisory committee and any rules adopted under those provisions would expire on January 1, 2000. While it is anticipated that the State Library and Archives Commission would incur some costs associated with providing staff and other support to assist the advisory committee, it is expected that these costs would be minimal compared to the agency's overall budget and would not result in significant fiscal implications to the state. No fiscal implication to units of local government is anticipated because the bill does not require county clerks to adhere to electronic rules adopted by the commission. It is expected that those local governments that choose to follow the rules would already possess the computer hardware needed to permit recording by electronic means and could do so at no added cost. In addition, because the bill requires that the original document or a paper copy of the document also be provided or generated for any electronic filing, no cost savings for local governments is anticipated. Source: Agencies: LBB Staff: JK ,TL ,JA