LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION
 
April 4, 2011

TO:
Honorable Rick Hardcastle, Chair, House Committee on Agriculture & Livestock
 
FROM:
John S O'Brien, Director, Legislative Budget Board
 
IN RE:
HB2997 by Miles (Relating to the creation and funding of the urban farming pilot program and the creation of the Select Committee on Urban Farming.), As Introduced



Estimated Two-year Net Impact to General Revenue Related Funds for HB2997, As Introduced: a negative impact of ($566,144) through the biennium ending August 31, 2013.

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



Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2012 ($291,072)
2013 ($275,072)
2014 $0
2015 $0
2016 $0




Fiscal Year Probable Savings/(Cost) from
General Revenue Fund
1 		Change in Number of State Employees from FY 2011
2012 ($291,072) 1.5
2013 ($275,072) 1.5
2014 $0 0.0
2015 $0 0.0
2016 $0 0.0

Fiscal Analysis

The bill would create the Urban Farming Pilot Program within the Department of Agriculture (TDA) to provide grants to urban farmers to establish new urban farms and expand existing urban farms. The bill would require TDA to periodically monitor and evaluate each grant recipient under the program. 

The bill would create the Select Committee on Urban Farming. The bill would require the committee to conduct an interim study and make recommendations to the legislature regarding the performance and operation of the program; the continuation, elimination, or expansion of the program; urban farming trends; the capacity for urban farming in the state; and the potential effects of urban farming on the state and on enterprise zones.

The Urban Farming Pilot Program and the Select Committee on Urban Farming would be abolished on September 1, 2013.

The bill would take effect September 1, 2011.


Methodology

The bill does not specify the intended amount of a grant through the Urban Farming Pilot Program. For the purpose of this analysis, an average grant amount of $25,000 is assumed.  The bill would require each grant to be given in a municipality with a population of 1,000,000 or more.  This analysis assumes two grant awards per eligible municipality, per fiscal year. Since there are three eligible municipalities, it is assumed that six grants would be issued in each fiscal year, resulting in total grant funding of $150,000 in each fiscal year for the Urban Farming Pilot Program.

It is anticipated that TDA would need 1.5 additional FTEs to assist in the administration of the Urban Farming Pilot Program and to support the Select Committee on Urban Farming.  The annual salary for the positions is estimated to be $78,752, with estimated annual benefits costs of $21,940.  Related travel, equipment, and other operating expenses are estimated to be $40,380 in fiscal year 2012 and $24,380 in fiscal year 2013.


Technology

The cost for computer equipment, software, and data center services would be $9,400 in fiscal year 2012 and $2,400 in fiscal year 2013.


Local Government Impact

No fiscal implication to units of local government is anticipated.


Source Agencies:
551 Department of Agriculture
LBB Staff:
JOB, SZ, ZS, AH