LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                               May 11, 2001
  
  
          TO:  Honorable Florence Shapiro, Chair, Senate Committee on
               State Affairs
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB7  by Chisum (relating to creation of the Office of
               Rural Community Affairs.), Committee Report 2nd House, as
               amended
  
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*  No significant fiscal implication to the State is anticipated.        *
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It is assumed that any additional costs above the amounts transferred to
the Office of Rural Community Affairs  from other agencies as specified
in the bill can be met through interagency contracts.  The bill would
create a Health Careers Education fund in the State Treasury. The fund
would consist of gifts, grants and donations, and principal and interest
payments on forgivable loans.  The bill would also create the
Outstanding Rural Scholar fund in the State Treasury.  The fund would
consist of legislative appropriations, gifts, grants, donations and
principal and interest payments on forgivable loans.
  
Local Government Impact
  
The provisions of the bill would have a positive impact on rural
government entities that would vary depending on each rural community's
level of need.
  
  
Source Agencies:   
LBB Staff:         JK, RB, RM