LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session April 18, 1997 TO: Honorable Rene Oliveira, Chair IN RE: House Bill No. 3083, Committee Report 1st House, Substituted Committee on Economic Development By: Coleman House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB3083 ( Relating to the Tax Increment Financing Act and to the creation of a public improvement district.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB3083-Committee Report 1st House, Substituted No fiscal implication to the State is anticipated. The bill would allow an enterprise zone to be designated as a reinvestment zone under the Tax Increment Financing Act. Current law does not provide the option for an enterprise zone to be designated as an reinvestment zone. This expansion would apply to a governing body of a municipality with a population of 100,000 or more. The bill would also require a project plan for a reinvestment zone located in a county with a population of 2.1 million or more to specify the manner in which the portion of the tax increment dedicated to low-income housing is to be spent and to provide for an annual allocation for that portion. The bill would take effect September 1, 1997. No fiscal implication to units of local government is anticipated. Source: Agencies: LBB Staff: JK ,TH ,BR