LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION

May 3, 2005

TO:	Honorable Norma Chavez, Chair, House Committee on Border and International Affairs
FROM:	John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:	HB485 by Chavez (Relating to restrictions on the use of state funds to provide jobs for workers outside the United States. ), Committee Report 1st House, Substituted

No significant fiscal implication to the State is anticipated.

The bill would prohibit a public agency from awarding a contract if the contractor or any of its subcontractors propose to perform work on the contract outside the United States. The penalty for the violation is termination of the contract and repayment of that percentage of the contract performed outside of the United States.

The Office of the Attorney General anticipates any legal work resulting from the passage of the bill could be reasonably absorbed with current resources.

The bill would take effect September 1, 2005.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

302 Office of the Attorney General, 303 Building and Procurement Commission

LBB Staff:

JOB, CL, JM, KJG