LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session March 6, 2001 TO: Honorable David Sibley, Chair, Senate Committee on Business & Commerce FROM: John Keel, Director, Legislative Budget Board IN RE: SB465 by Shapleigh (Relating to the creation of a border port authority; granting the power of eminent domain and the right to issue bonds.), As Introduced ************************************************************************** * No fiscal implication to the State is anticipated. * ************************************************************************** The bill would provide the legal basis, requirements, and authorization for counties in the border region to create single-county or multi-county border port authorities and would grant authorities the power of eminent domain and the right to issue revenue bonds for the purpose of facilitating the movement of goods. The bill would establish the powers and abilities of authorities and would authorize authorities to impose fees for the use of any facility, project, structure, or service they provided. The bill would also allow authorities to lease facilities they owned. The bill would require that bonds issued by authorities be secured by a pledge of and be payable from all or part of the revenue generated from the use of any facility, project, or structure for which bonds were issued. The bill would allow authorities to borrow and loan money and to invest money under certain guidelines. The bill would take effect on September 1, 2001. Local Government Impact Although it is estimated that units of local government would not realize significant costs to hold elections and publish election notices, significant costs are anticipated with the creation and operation of port authorities. The issuance of obligations would have a significant fiscal impact on units of local government through fees, tolls and charges to pay off the debt service of any obligations issued through authorities. However, it is assumed that costs incurred would be recovered by revenue generated by the authorities. Source Agencies: 601 Texas Department of Transportation, 352 Texas Bond Review Board, 304 Comptroller of Public Accounts LBB Staff: JK, JO, MW