Honorable Fred Hill, Chair, House Committee on Local Government Ways & Means
FROM:
John S. O'Brien, Director, Legislative Budget Board
IN RE:
HB1720 by McReynolds (Relating to the counties eligible to create a county assistance district that may impose a sales and use tax.), As Introduced
No fiscal implication to the State is anticipated.
The bill would amend the Local Government Code to change the criteria for determining eligibility of a county to create a county assistance district that may impose a sales and use tax. Added to the functions a district would be authorized to perform would be firefighting and fire prevention services. Various administrative requirements of the county commissioners court calling an election to establish a district would be added. An election regarding establishing a district would not be allowed in an area in which the combined tax rate of all local sales and use taxes imposed, including the rate to be imposed by a district, would exceed 2 percent.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.