LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 25, 1997
         
         
      TO: Honorable Rene Oliveira, Chair            IN RE:  House Bill No. 2500
          Committee on Economic Development                              By: Oliveira
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB2500 ( Relating 
to state agency loan and loan guarantee programs, the creation, 
administration, and operation of the Texas Economic Development 
Agency to administer state agency loan and loan guarantee programs 
and to engage in capital formation initiatives to further the 
state's economic and agricultural development goals, and to 
the abolition of the Texas Department of Commerce and the Texas 
Agricultural Finance Authority.) this office has detemined the 
following:
         
         Biennial Net Impact to General Revenue Funds by HB2500-As Introduced
         
No significant fiscal implication to the State is anticipated. 
 
         
This bill would abolish the Department of Commerce and the Agricultural 
 Finance Authority and create a the Texas Economic Development 
Agency.  The bill would combine the staff of the two abolished 
agencies to form the new agency.  In addition, the bill would 
transfer program staff and funding involved in economic development 
activity from several different agencies to the new agency. 
  The net impact of this transfer with have a $0 fiscal impact 
on the state.
         
 
          
   Source:            Agencies:   305   General Land Office and Veterans' Land Board
                                         451   Department of Banking
                                         308   State Auditor's Office
                                         551   Department of Agriculture
                                         332   Department of Housing and Community Affairs
                                         802   Parks and Wildlife Department
                                         347   Texas Public Finance Authority
                                         465   Department of Commerce
                                         601   Department of Transportation
                                         304   Comptroller of Public Accounts
                                         
                      LBB Staff:   JK ,TH ,CG