LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              April 6, 1999
  
  
          TO:  Honorable Frank Madla, Chair, Senate Committee on
               Intergovernmental Relations
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB 1772  by Zaffirini (Relating to the allocation of
               revenue from the state hotel tax for certain purposes in
               certain municipalities located in a park and recreation
               district.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB1772, As Introduced:  negative impact of $(798,000) 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                           $(388,000)  *
          *       2001                            (410,000)  *
          *       2002                            (435,000)  *
          *       2003                            (460,000)  *
          *       2004                            (490,000)  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
***************************************************************************
*Fiscal    Probable Revenue Gain/(Loss)    Probable Revenue Gain/(Loss)   *
* Year      from General Revenue Fund       from City of New Braunfels    *
*                      0001                                               *
*  2000                        $(388,000)                        $388,000 *
*  2001                         (410,000)                         410,000 *
*  2002                         (435,000)                         435,000 *
*  2003                         (460,000)                         460,000 *
*  2004                         (490,000)                         490,000 *
***************************************************************************
  
Technology Impact
  
None.
  
  
Fiscal Analysis
  
This bill would amend require the Comptroller to make quarterly payments
to a municipality with a population of more than 25,000 located in a
county in which a park and recreation district has been created under
Chapter 324 of the Local Government Code. The payments would be equal to
the amount of revenue derived from state hotel occupancy taxes in the
municipality at a rate of 2 percent. Based on the population and
location restrictions, the bill only would apply to the municipality of
New Braunfels.
  
  
Methodology
  
Data on taxable hotel receipts from the municipality of New Braunfels
were gathered from Comptroller tax files.  Taxable receipts was
multiplied by 2 percent to determine the gain to the municipality.  This
amount also would represent a loss to the General Revenue Fund 0001. 
  
  
Local Government Impact
  
Money received by the municipality only could be used to clean and
maintain rivers located within the boundaries of the municipality.
  
  
Source Agencies:   
LBB Staff:         JK, TL