LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 24, 2001
  
  
          TO:  Honorable Clyde Alexander, Chair, House Committee on
               Transportation
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB3323  by Solomons (Relating to the creation,
               organization, and powers of a coordinated county
               transportation authority; authorizing the imposition of
               a tax, the issuance of bonds and notes, and the exercise
               of the power of eminent domain.), Committee Report 1st
               House, Substituted
  
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*  No significant fiscal implication to the State is anticipated.        *
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Local Government Impact
  
The fiscal impact to units of local government would vary depending on
the size of the local body, the transportation services that would be
provided under the provisions of the bill, and current tax law. It is
assumed that larger counties, population 300,000 or more, will be more
likely to establish a regional transit authority (RTA) than counties
with smaller populations.  For the purposes of providing a cost
estimate, the Corpus Christi Regional Transportation Authority (RTA) was
contacted.  The Corpus Christi RTA services Nueces county, which has a
estimated population of 300,000, reported providing bus and paratransit
services and operating on approximately $23 million each year.  It is
assumed that RTAs providing like services in other counties may realize
similar operating costs in addition to initial start up costs.  It is
also assumed that counties establishing and maintaining an RTA would
utilize taxation, fees, and bond initiatives to fund transportation
services and that generated revenue would cover the cost of operation.
  
  
Source Agencies:   352   Texas Bond Review Board, 601   Texas Department
                   of Transportation, 304   Comptroller of Public
                   Accounts
LBB Staff:         JK, JO, MW, DW