LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

April 17, 2007

TO:	Honorable Jim Keffer, Chair, House Committee on Ways & Means
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB1951 by Anderson (Relating to the computation of total revenue in relation to electric generating facilities that use integrated gasification combined cycle technology.), As Introduced

Currently, there are no power generating facilities in Texas that meet the requirements of the bill. The amount of future revenue that would be generated at facilities meeting the requirements of the bill is unknown at this time.

The bill would amend Chapter 171 of the Tax Code to grant power generating companies an exclusion from total revenue for revenue received from the sale of electricity generated at facilities that use integrated gasification combined cycle technology.

 

The Texas Public Utility Commission reports that no power generating facilities in Texas currently meet the requirements of the bill. Future development of such facilities would depend on a number of factors, including prices for energy sources, environmental regulations, and technological developments. The amount of future revenue that would be generated at facilities meeting the requirements of the bill is unknown.

 

The bill would take effect on January 1, 2008, and apply to a franchise tax report due on or after that date.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

JOB, CT, SD, SJS