TO: | Honorable Troy Fraser, Chair, Senate Committee on Business & Commerce |
FROM: | John Keel, Director, Legislative Budget Board |
IN RE: | SB1039 by Van de Putte (relating to fuel cell demonstration and deployment for electric generation. ), Committee Report 1st House, Substituted |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2004 | $0 |
2005 | $0 |
2006 | $0 |
2007 | $0 |
2008 | $0 |
Fiscal Year | Probable Revenue Gain/(Loss) fromAPPROPRIATED RECEIPTS 666 |
---|---|
2004 | $63,257 |
2005 | $63,257 |
2006 | $63,257 |
2007 | $63,257 |
2008 | $63,257 |
The bill would provide for the Texas Council on Environmental Technology (TCET) to charge grant recipients a fee of up to five percent of the amount of a grant to cover administrative costs in managing grants and tracking the progress of projects.
The bill also would provide that projects involving fuel cells, catalysts, and fuel additives are eligible for TCET grant funding. It would also direct the TCET to appoint an advisory council on fuel cell power plant technology and provide legislative recommendations on the commercialization of advanced environmental technologies.
The bill also would exempt the sale of fuel cell power plants from sales and use taxes.
Assuming the TCET would assess the five percent fee authorized by the bill on all grants, and based on expected available grant funding in 2004 of $1.3 million, it is anticipated that $63,257 in new Appropriated Receipts revenues would be generated to reimburse the agency for administrative costs. It is expected that this additional funding would replace current administrative funding for the TCET, thereby making an additional $63,257 available for grant funding each year. It is not expected that the agency's overall administrative budget would increase since there is a statutory limit of $250,000 for TCET administrative costs.
No significant fiscal implications are expected as a result of the bill's provisions regarding the following: the expansion of items eligible for TCET grant funding; the establishment of an advisory council on fuel cell additives; provisions requiring TCET to provide legislative recommendations on the commercialization of advanced environmental technologies; or the exemption of the sale of fuel cell power plants from sales and use taxes.
Source Agencies: | 369 Council on Environmental Technology, 473 Public Utility Commission of Texas, 582 Commission on Environmental Quality
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LBB Staff: | JK, JRO, TL, KG
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