LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session April 22, 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.), Committee Report 1st House, Substituted ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB 1772, Committee Report 1st House, Substituted: negative impact * * of $(99,000) 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 $(48,000) * * 2001 (51,000) * * 2002 (54,000) * * 2003 (58,000) * * 2004 (61,000) * **************************************************** 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 $(48,000) $48,000 * * 2001 (51,000) 51,000 * * 2002 (54,000) 54,000 * * 2003 (58,000) 58,000 * * 2004 (61,000) 61,000 * *************************************************************************** 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 0.25 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 0.25 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: 304 Comptroller of Public Accounts LBB Staff: JK, TL