LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session April 8, 1999 TO: Honorable Eddie Lucio, Chair, Senate Committee on Border Affairs FROM: John Keel, Director, Legislative Budget Board IN RE: SB 1421 by Lucio (relating to the regulation of the subdivision or development of land in certain economically distressed areas, including colonias, and certain other areas; providing penalties), Committee Report 1st House, Substituted ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB1421, Committee Report 1st House, Substituted: negative impact * * of $(662,178) through the biennium ending August 31, 2001. * * * * The bill would make no appropriation but could provide the legal * * basis for an appropriation of funds to implement the provisions of * * the bill. * ************************************************************************** General Revenue-Related Funds, Five-Year Impact: **************************************************** * Fiscal Year Probable Net Positive/(Negative) * * Impact to General Revenue Related * * Funds * * 2000 $(347,337) * * 2001 (314,841) * * 2002 (314,841) * * 2003 (314,841) * * 2004 (314,841) * **************************************************** All Funds, Five-Year Impact: *************************************************************************** *Fiscal Probable Savings/(Cost) from Change in Number of State * * Year General Revenue Fund Employees from FY 1999 * * 0001 * * 2000 $(347,337) 6.0 * * 2001 (314,841) 6.0 * * 2002 (314,841) 6.0 * * 2003 (314,841) 6.0 * * 2004 (314,841) 6.0 * *************************************************************************** Technology Impact Each colonia ombudsman would need one computer. Fiscal Analysis The bill would permit the Governor to designate an agency to act as the state's colonia initiatives coordinator. The bill would also permit the agency designated as the colonia initiatives coordinator to appoint a colonia ombudsman in each of the six border counties that the coordinator determines have the largest colonia population. The bill would authorize the Texas Natural Resource Conservation Commission to award grants for any purpose regarding resource conservation or environmental protection. The bill would authorize a county commissioners court to impose a fee for inspection of property. Methodology This fiscal note assumes the Governor would designate a colonia initiatives coordinator and that the coordinator would employ an ombudsman for each of the six counties. The Office of the Secretary of State (agency) estimates that the salary for each ombudsman would be $34,992 annually. The agency assumes that each ombudsman would travel 12,000 miles each year within the county by personal automobile. At the reimbursement rate of $0.28 per mile, the cost per ombudsman would be $3,360 per year or $20,160 per year for all six ombudsmen. In addition, the agency projects a cost of $2,640 per year for each ombudsman to travel to Austin each quarter for a total annual cost of $15,840 per year. Based upon these projections, the total annual travel costs would be $36,000. Under the agency's assumption that the ombudsman would be state employees, the agency anticipates office space for each ombudsman would be $1,800 per year for a total cost of $10,800 per year. The agency also projects an initial cost of $32,496 for personal computers and office equipment for the ombudsmen and an annual cost of $5,160 for telephones and office supplies. The Texas Natural Resource Conservation Commission estimates that the provision authorizing the agency to award grants would be no significant fiscal impact. The grant authority would allow the agency to pass through grant funds received from the federal government, if they become available. Local Government Impact Under the provisions of the bill, a county commissioners court could impose a fee for inspection of property. The bill would authorize such fees only to fund the inspections. Source Agencies: LBB Staff: JK, DE, DM