LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 26, 2001
  
  
          TO:  Honorable Frank Madla, Chair, Senate Committee on
               Intergovernmental Relations
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB1007  by Barrientos (Relating to the exemption from ad
               valorem taxation of property owned by charitable
               organizations that provide child-care services.),
               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 amend Section 11.18 of the Tax Code to include in the
statutory list of charitable organizations eligible for property tax
exemptions, certain organizations providing child-care services.

The bill would exempt from property taxation the real and personal
property owned by a child-care facility if the organization provides the
child care using (1) donated funds, state funds, federal funds or a
combination of those funds; or (2) money derived from fees paid for the
child care on a sliding scale based on the beneficiaries  ability to
pay.  Due to the restrictive qualifications for the exemption, it is not
anticipated that the provisions of the bill would result in a
significant fiscal impact on the state or units of local government.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   304   Comptroller of Public Accounts
LBB Staff:         JK, DB, WP, BR