LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 11, 2001
  
  
          TO:  Honorable Steven Wolens, Chair, House Committee on State
               Affairs
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB2810  by Wolens (Relating to the application of
               statutes that classify political subdivisions according
               to population.), Committee Report 1st House, Substituted
  
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*  No significant fiscal implication to the State is anticipated.        *
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The bill would change the population limits used in various statutes to
reflect 2000 census figures, thus leaving in place those provisions in
statute for which any activity is limited based on population brackets.
As a result, the political subdivisions for which the original population
limits were applicable would continue to be the only political
subdivisions affected. An exception is that the figures used for
population limitations in Section 143.301, Local Government Code, would
remain the same as under current statute. The act would take effect
September 1, 2001.

The provisions of the bill would primarily affect distribution of state
funds, regulatory or reporting functions, or certain programs or
activities by or for political subdivisions. The total amount of state
moneys would not change as a result of the proposed change in statutes,
and therefore, no significant fiscal implication to the state is
anticipated. Absent implementation, however, there would be significant
impact on the distribution of funding for certain programs because of
population shifts.
  
Local Government Impact
  
Under existing statute, a political subdivision that is not currently
eligible for a program, fund, exemption, taxing authority, or other
activity under a population limitation, could move into a bracket that
changes its eligibility as a result of the new census figures.  A
political subdivision to which a statute currently applies could shift
below or above a bracket and lose eligibility for an activity. Various
local political subdivisions could experience negative or positive
fiscal impacts, some of which could be significant, depending on their
population shifts under existing statute after September 1, 2001.  Under
the provisions of the bill, however, no significant fiscal impact to
units of local government is anticipated.
  
  
Source Agencies:   
LBB Staff:         JK, RB, WP, DB