LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session March 21, 1999 TO: Honorable Steven Wolens, Chair, House Committee on State Affairs FROM: John Keel, Director, Legislative Budget Board IN RE: HB1777 by Wolens (relating to compensation a municipality may receive from a provider of communications services in the municipality), As Introduced ************************************************************************** * No significant fiscal implication to the State is anticipated. * ************************************************************************** Local Government Impact The bill would not affect the authority of a municipality regarding compensation for use of rights-of-way and would allow a municipality to obtain revenues from communication providers based on gross receipts. Franchise agreements in effect before September 1, 1999 would not be affected. However, since the bill would limit future franchise fees to a percentage of a communication provider's gross receipts, a municipality could be limited in its ability to increase its revenues from this source. Source Agencies: LBB Staff: JK, BB, TL, CB