LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session April 9, 1997 TO: Honorable Tom Craddick, Chair IN RE: House Bill No. 3520 Committee on Ways & Means By: Stiles House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB3520 ( Relating to the recovery of costs and expenses in a suit to collect a delinquent ad valorem tax.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB3520-As Introduced No fiscal implication to the State is anticipated. FISCAL ANALYSIS The bill would amend Chapter 33 of the Tax Code to allow taxing units in a delinquent property tax lawsuit to recover reasonable expenses and reasonable attorney's fees, not to exceed 15 percent of total taxes, penalties, and interest. Current law allows reasonable expenses and attorney's fees only upon approval by the district court. This bill would entitle taxing units to recovery. The bill would take effect September 1, 1997, and would apply only to a suit to collect a delinquent ad valorem tax filed on or after the effective date. LOCAL The bill could increase revenues to local governments by an undetermined amount. The potential amount of increased revenue would depend on the amount of expenses and attorney's fees that would be recovered that would not otherwise be awarded under current law. Source: Agencies: 304 Comptroller of Public Accounts LBB Staff: JK ,RR ,BR