LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              March 9, 1999
  
  
          TO:  Honorable Eddie Lucio, Chair, Senate Committee on Border
               Affairs
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB630 by Truan (Relating to the use by political
               subdivisions that receive state financial assistance for
               water supply and sewer service projects in economically
               distressed areas of the revenue from the operation of
               those projects.), As Introduced
  
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*  No fiscal implication to the State is anticipated.                    *
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Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.  The bill would require political subdivisions to ensure
that a portion of funds derived from projects funded with state loan
funds are used to repay the state and to operate and maintain the
project.  The political subdivisions may have to develop a mechanism to
determine and monitor which portion of a project is subject to this
requirement.
  
  
Source Agencies:   
LBB Staff:         JK, DE, DM