LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

Revision 2

April 23, 2007

TO:	Honorable Steve Ogden, Chair, Senate Committee on Finance
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	SB947 by Duncan (Relating to delivery of certain unclaimed money to a rural scholarship fund. ), Committee Report 1st House, Substituted

Estimated Two-year Net Impact to General Revenue Related Funds for SB947, Committee Report 1st House, Substituted: a negative impact of ($1,600,000) through the biennium ending August 31, 2009.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2008	($800,000)
2009	($800,000)
2010	($800,000)
2011	($800,000)
2012	($800,000)

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue Gain/(Loss) from GENERAL REVENUE FUND 1
2008	($800,000)
2009	($800,000)
2010	($800,000)
2011	($800,000)
2012	($800,000)

Fiscal Analysis

The bill would amend Section 74 of the Property Code to raise the cap on the amount of money that could be transferred by all local telephone exchange companies to a rural scholarship fund to $800,000.

The bill would take effect September 1, 2007.

Methodology

According to the Comptroller of Public Accounts, the bill increases the cap on amounts transferred to rural scholarship programs from $400,000 to $800,000 and, in doing so, lifts the corresponding cap on the amount that could be transferred to the urban scholarship programs as well. The Comptroller states that with the cap increases, all local telephone exchanges could increase scholarship money and no longer remit these unclaimed funds to the Comptroller for deposit to the General Revenue Fund.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

JOB, SD, CT, JRO, EB