LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

March 25, 2007

TO:	Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	SB1536 by Fraser (Relating to the issuance of bonds by a municipality for certain improvements on the state highway system; providing authority to impose a tax.), As Introduced

No fiscal implication to the State is anticipated.

The bill would add Subtitle J to Title 9, Government Code, to authorize municipalities to issue bonds for the design, development, financing, construction, maintenance, operation, extension, expansion, or improvement of a nontoll project or facility on the state highway system. Revenue received from the Texas Department of Transportation under a pass-through toll agreement may be pledged as payment of the bonds.

The bill would take effect immediately if it were to receive the required two-thirds vote in each house; otherwise, it would take effect September 1, 2007.

Local Government Impact

The impact would vary by municipality and would depend on projects pursued and amount of bonds issued.

Source Agencies:

601 Department of Transportation

LBB Staff:

JOB, KJG, DB