LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 11, 1997
         
         
      TO: Honorable Fred Hill, Chair            IN RE:  Senate Bill No. 544, As Engrossed
          Committee on Urban Affairs                              By: Carona
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on SB544 ( Relating 
to the procedure which a municipality may dispose of certain 
land.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by SB544-As Engrossed
         
No fiscal implication to the State is anticipated.
         

         
 
          
This bill would allow a municipality to sell or convey a park 
without holding an election if the park is smaller than 1.25 
acres, the governing body determines that the property is no 
longer usable as a park, the proceeds of such a sale would be 
used only for the acquisition of additional park land and the 
park was originally acquired by the United States Department 
of Housing and Urban Development or by foreclosure.  The bill 
would apply only to land conveyed on or after September 1, 1997, 
and the provisions of the bill would expire on September 1, 
2002.

This bill could result in some savings to municipalities, 
since it would remove the requirement for a special election 
to consider the sale of such park land in certain circumstances. 
 In cases where this bill would save the expense of an election, 
it is estimated that this savings would be equal to the cost 
of a local option election, which has been calculated at a median 
cost of $0.40 per resident, based on data from a survey of local 
governments conducted by the Texas Association of Counties.

Since 
this bill would simplify the procedure for the sale of certain 
park land, some municipalities could realize a nominal increase 
in revenues as a result of this bill's enactment.  Such revenues 
would depend on the number of tracts to be sold and the property 
values in the area in which such tracts are located.  Assuming 
that relatively few properties would be exempt from the election 
requirement as provided by this bill, no significant fiscal 
implication to municipalities is anticipated.
          
   Source:            Agencies:   
                                         
                      LBB Staff:   JK ,TL