LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  May 13, 1997
         
         
      TO: Honorable Eddie Lucio, Jr., Chair            IN RE:  House Bill No. 2335, Committee Report 2nd House, Substituted
          Committee on Intergovernmental Relations                              By: Smith
          Senate
          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-Committee Report 2nd House, Substituted
         
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.


          
   Source:            Agencies:   
                                         
                      LBB Staff:   JK ,TL