LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              April 20, 1999
  
  
          TO:  Honorable Rene Oliveira, Chair, House Committee on Ways &
               Means
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB2858 by Siebert (relating to the authority of certain
               taxing entities to repeal the local sales and use tax
               exemption for telecommunications services), As
               Introduced
  
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*  No fiscal implication to the State is anticipated.                    *
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The bill would prohibit the governing board of a Metropolitan Rapid
Transit Authority (MTA) from repealing the local sales and use tax
exemption for telecommunications services, unless the repeal was first
approved by a majority of the members of the city council of each
municipality that created the MTA.  The bill would require similar
approval to reinstate the exemption.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.

The bill would require an MTA board to first receive approval from a
majority of the city council members of each municipality that created
the MTA to repeal or reinstate the local sales tax exemption for
telecommunications services.
  
  
Source Agencies:   304   Comptroller of Public Accounts
LBB Staff:         JK, BB, SM