LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
April 14, 1997
TO: Honorable Fred M. Bosse, Chair IN RE: House Bill No. 3240
Committee on Land and Resource Management By: Hilderbran
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB3240 ( Relating
to the disannexation of an area by a general-law municipality.)
this office has detemined the following:
Biennial Net Impact to General Revenue Funds by HB3240-As Introduced
No fiscal implication to the State is anticipated.
This bill could have a negative fiscal impact on a municipality
with a population of 1,000 to 4,999 that disannexes an area,
since such a municipality would be required to continue providing
services but could no longer collect ad valorem taxes on property
in the disannexed area. The extent to which the bill could
impact such a municipality would depend on the amount of funds
that were spent by the municipality on capital improvements
in the disannexed area and the portion which the municipality
had anticipated repaying through the ad valorem taxes collected
in the area in question.
Source: Agencies: 304 Comptroller of Public Accounts
LBB Staff: JK ,BB ,TL