LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 24, 1997
         
         
      TO: Honorable Barry Telford, Chair            IN RE:  House Bill No. 2259
          Committee on Pensions and Investments                              By: Gray
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB2259 ( Relating 
to the establishment of and administration of a retirement fund 
for police officers in certain municipalities.) this office 
has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB2259-As Introduced
         
No fiscal implication to the State is anticipated.
         

         
 
          
The bill would allow for the establishment of a police pension 
fund with a specified benefit structure by any city whose population 
was greater than 50,000. The cost to a city adopting a plan 
specified by the provisions of the bill would depend on whether 
the city currently has a police pension fund, and the comparative 
cost of providing benefits under the two plan structures. 

The 
City of Galveston estimates that adoption of this plan would 
have no fiscal impact for Galveston since the benefit structure 
is identical to their current police pension plan and the bill 
would allow them to transfer the assets from their current plan. 

          
   Source:            Agencies:   327   Employees Retirement System
                                         
                      LBB Staff:   JK ,PE ,WM