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: HB2522 by Wilson (Relating to requiring the Texas Department of Transportation to establish and maintain a state airport in Central Texas.), As Engrossed ************************************************************************** * No significant fiscal implication to the State is anticipated. * ************************************************************************** The bill would amend the Transportation Code by requiring the Texas Department of Transportation (TxDOT) to establish and maintain an airport, in consultation with the State Aircraft Pooling Board, in Central Texas that would be open to the general public. The bill would require the Avitation Division of TxDOT to conduct the site selection and would establish criteria and requirements for determing the site selection. The bill would require TxDOT to use only federal matching funds, federal grants, in kind contributions, private sector funds, nonprofit grants and local government funding for the establishment of the facility and would require the approval of a local government to acquire land within their jurisdiction to build an airport. TxDOT estimates that no significant fiscal implications to the State would be realized based on its assumptions that no eligible local entity would provide the required 10 percent match for federal funding; that there are currently not any eligible non-profit grants that could be used for the matching requirement; that no private sector entity would contribute matching funds due to the inability of that entity to control the airport; and that no local government would approve acquisition of land within their jurisdictions. TxDOT estimates that if required matching funds were provided, the total cost of such a facility would be approximately $52 million and that of this amount approximately $31.1 million would be provided in federal funds that would come through TxDOT. TxDOT also estimates the remaining $20.9 million would comprise an amount for any required matching funds and establishment costs that could not be paid for with federal funds. The bill would take effect immediately upon receiving a two-thirds majority vote in both houses; otherwise, the bill would take effect September 1, 2001. Local Government Impact No significant fiscal implication to units of local government is anticipated based on assumptions stated above. However, if required matching funds were provided by a local entity, it is estimated that costs of approximately $20.9 million would be realized and that this would comprise an amount provided for required matching funds and establishment costs that could not be paid for with federal funds. Source Agencies: 601 Texas Department of Transportation LBB Staff: JK, RB, MW