LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
May 17, 1997
TO: Honorable James E. "Pete" Laney IN RE: House Bill No. 2335, As Passed 2nd House
Speaker of the House Smith
House of Representatives
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB2335 ( Relating
to certain crime control and prevention districts.) this office
has detemined the following:
Biennial Net Impact to General Revenue Funds by HB2335-As Passed 2nd House
No fiscal implication to the State is anticipated.
This bill would add municipalities located in counties with
populations between 5,000 and 1 million to the list of entities
eligible to create a crime control and prevention district.
Such municipalities choosing to create a district could incur
costs associated with the creation of a district. However,
the municipality would be reimbursed by the district for actual
expenses incurred.
A district created as a result of this
bill's passage could incur costs associated with personnel,
administration, expansion, enhancement, and capital expenditures,
pursuant to the limitation on expenditures described in Section
5.01, Article 2370c-4, Vernon's Texas Civil Statutes. A district
would be expected to be funded through a sales and use tax ranging
from one-eighth of one percent to one-half of one percent.
The municipality creating the district would be expected to
receive a portion of such sales and use taxes if it applies
to the district for funding under programs described in Section
5.01.
The bill's provision allowing a portion of a crime
control and prevention district's sales and use tax collections
to be dedicated to the renovation or expansion of convention
center built before 1969, upon approval of voters, could result
in increased revenues to a municipality or county owning the
facility. The amount of revenue increase such an entity would
experience would depend on the portion of a district's sales
and use tax dedicated to the facility and the level of sales
and use tax collections within the crime control and prevention
district.
Source: Agencies:
LBB Staff: JK ,TL