LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                            February 17, 2001
  
  
          TO:  Honorable David Sibley, Chair, Senate Committee on
               Business & Commerce
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB564  by Armbrister (Relating to the funding and
               operation of the universal service fund.), As Introduced
  
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*  No significant fiscal implication to the State is anticipated.        *
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The bill would exclude owners of customer owned pay telephones from the
Texas Universal Service Fund (TUSF).  Incumbent telephone service
providers operating pay telephones would not be exempt from the TUSF.
The Public Utility Commission estimates the customer owned pay
telephones represent a "very small percentage" of TUSF and would have
minimal impact on TUSF revenues.
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   473   Public Utility Commission of Texas, 475
                   Office of Public Utility Counsel
LBB Staff:         JK, JO, KM