LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session May 9, 1997 TO: Honorable Eddie Lucio, Jr., Chair IN RE: Senate Bill No. 679, Committee Report 1st House, Substituted Committee on Intergovernmental Relations By: Lindsay Senate Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on SB679 ( Relating to the requirement that a portion of the sales and use tax revenue collected by certain metropolitan rapid transit authorities be used only for county and municipal road and bridge purposes.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by SB679-Committee Report 1st House, Substituted No fiscal implication to the State is anticipated. This bill would require the Metropolitan Transit Authority of Harris County to distribute 25 percent of the total revenue from sales and use tax collected during a calendar year to each municipality or county in the authority, unless voters approve a proposition eliminating the requirement. Since the authority already distributes these revenues (approximately $68.8 million of $268.3 million collected in fiscal year 1996) to the 15 member municipalities and Harris County according to the authority's own formula, no significant fiscal implication to the authority is expected. However, since the authority currently has the ability to distribute less than 25 percent of tax revenues, the authority would lose discretionary control over such funds. The fiscal implications to member local governments would depend on distribution levels decided by the board of the transit authority in consultation with the local governments. Source: Agencies: Metropolitan Transit Authority of Harris County Harris County City of Houston LBB Staff: JK ,TL