LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

April 5, 2009

TO:	Honorable Mark Strama, Chair, House Committee on Technology, Economic Development & Workforce
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB3329 by Ortiz, Jr. (Relating to funds promoting economic development.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB3329, As Introduced: an impact of $0 through the biennium ending August 31, 2011.

The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2010	$0
2011	$0
2012	$0
2013	$0
2014	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue (Loss) from Texas Enterprise Fund 5107	Probable Revenue Gain from Employment/Trng Investment Assmnt 5128
2010	($136,000,000)	$136,000,000
2011	($136,000,000)	$136,000,000
2012	($136,000,000)	$136,000,000
2013	($136,000,000)	$136,000,000
2014	($136,000,000)	$136,000,000

Fiscal Analysis

The bill would create the Texas Enterprise Fund Board and the Texas Emerging Technology Board.  Each board would have nine appointees from various geographic regions.  Both boards would be required to review and approve each award of money from their respective funds.  Necessary staff and funding for the board would be provided by the Office of the Governor and gifts, grants, and donations to the Office of the Governor.  In addition, grantees would be required to provide health care benefits to all its employees.  The bill would also eliminate the transfer from the Employment and Training Investment Account to the Texas Enterprise Fund.

Methodology

The bill would eliminate the transfer from the Employment and Training Investment Account to the Texas Enterprise Fund of an estimated $136,000,000 per fiscal year.  General Revenue could be impacted if General Revenue appropriations are made to the Texas Enterprise Fund in lieu of amounts transferred from the Employment and Training Investment Account.

 

There is currently staffing in place for both funds and it is assumed that the funding for the boards could be absorbed within the Office of the Governor's existing agency resources.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

301 Office of the Governor, 302 Office of the Attorney General, 304 Comptroller of Public Accounts

LBB Staff:

JOB, JRO, MS, BTA, DB