LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              March 9, 2001
  
  
          TO:  Honorable Rene Oliveira, Chair, House Committee on Ways &
               Means
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB2140  by Marchant (Relating to municipal tax rate
               adjustments to compensate for unfunded state and federal
               mandates.), As Introduced
  
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*  No fiscal implication to the State is anticipated.                    *
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The bill would amend Chapter 26 of the Tax Code to require a city to
increase its effective tax rate and its effective maintenance and
operations (M&O) rate according to a specific formula, as an adjustment
for the local revenue costs of unfunded state and federal mandates.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   304   Comptroller of Public Accounts
LBB Staff:         JK, SD, WP, BR