LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session May 24, 2001 TO: Honorable Bill Ratliff, Lieutenant Governor, Senate FROM: John Keel, Director, Legislative Budget Board IN RE: SB416 by Ogden (Relating to the authority of the Texas Department of Transportation in connection with the mitigation of an adverse environmental impact resulting from a state highway improvement project.), As Passed 2nd House ************************************************************************** * No significant fiscal implication to the State is anticipated. * ************************************************************************** The bill would amend the Transportation Code to allow the Texas Department of Transportation (TxDOT) to pay a fee, if authorized by the applicable regulatory authority, to an appropriate public agency or private entity in lieu of acquiring or agreeing to manage property for the mitigation of an adverse environmental impact that is a direct result of a state highway improvement project. The bill would also allow TxDOT to contract with any public agency or private entity for the management of property used for the mitigation of an adverse environmental impact directly resulting from the construction or maintenance of a state highway. It is estimated that the cost difference between acquiring or agreeing to manage properties and paying fees would be insignificant. The bill would take effect immediately upon a vote of two-thirds of all the members elected to each house; otherwise, it would take effect September 1, 2001. Local Government Impact If the Texas Department of Transportation (TXDOT) chose to pay a local government agency a fee for mitigation of an environmental impact created by a state highway improvement project, the local agency would receive a revenue gain to offset the costs of the mitigation effort. If the fee paid by TXDOT were insufficient to fully cover this effort, the local government agency would have to pay the difference between the cost and the amount covered by fees received, which might be significant. Source Agencies: 302 Office of the Attorney General, 601 Texas Department of Transportation LBB Staff: JK, JO, RT, MW