LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
March 31, 1997
TO: Honorable Kenneth Armbrister, Chair IN RE: Senate Bill No. 657
Committee on State Affairs By: Barrientos
Senate
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB657 ( Relating
to the creation of intermunicipal commuter rail districts.)
this office has detemined the following:
Biennial Net Impact to General Revenue Funds by SB657-As Introduced
No significant fiscal implication to the State is anticipated.
This bill would permit the creation of Intermunicipal Commuter
Rail Districts (districts) to provide commuter service between
two municipalities with populations of 450,000 or more and located
no farther than 100 miles apart. Districts would be supported
by rates and other compensation for the use of the district
facilities, grants received by the district and the issuance
of bonds and notes. The bill would provide an exemption from
all state and local taxes on the property, revenues, and income
of a district and on the interest on bonds and notes issued
by the district.
Because the bill would exempt districts
from taxes levied by the state, there could be some loss of
state revenues.
Some existing taxable real property could become exempt under
the bill. Total taxable property value for each school district
is an element in the state's school funding formula. Passage
of this bill could cause a reduction in school district taxable
values reported to the Commissioner of Education by the Comptroller.
Depending on a school district's wealth per student, this could
result in an increased cost to state-funded public education.
Source: Agencies: 601 Department of Transportation
304 Comptroller of Public Accounts
302 Office of the Attorney General
LBB Staff: JK ,JD ,ML