LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

May 11, 2009

TO:	Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB807 by Gallego (Relating to allowing counties with no incorporated territory to participate in programs designed to assist municipalities.), As Engrossed

No fiscal implication to the State is anticipated.

The bill would amend the Local Government Code to allow counties that have no incorporated territory to, on behalf of locations in the county that are designated as census designated places, apply for certain federal or state grants, loans, or other assistance that is available to municipalities. Under current statute, only counties with a population of more than 5,000 that are located within 100 miles of an international boundary and that have no incorporated territory may apply for the applicable program grants, loans, or assistance.

There would be no change in the amount of state money available through grants, loans, or other assistance, only additional counties eligible to apply for and receive money from these sources.

Local Government Impact

The proposed change in statute would allow additional counties to participate in grant, loan, and assistance programs. The revenue gain from being eligible for participation would vary depending on amounts sought and awarded.

Source Agencies:

LBB Staff:

JOB, DB