LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION

May 13, 2013

TO:	Honorable Tommy Williams, Chair, Senate Committee on Finance
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB2636 by Frullo (Relating to the transfer of money from the tax increment fund established for a tax increment financing reinvestment zone to the fund established for an adjacent zone.), As Engrossed

No fiscal implication to the State is anticipated.

This bill would amend Chapter 311, Tax Code (the Tax Increment Financing Act).

The bill would take effect September 1, 2013. 

Local Government Impact

A new Subsection (f) would be added to Section 311.014 to provide that money may be transferred between tax increment funds of adjacent reinvestment zones if the taxing units participating in each zone are the same, if each participating taxing unit has agreed to deposit the same portion of its tax increment in the fund for each zone, if each participating taxing unit agrees to the transfer, and if the holders of any tax increment bonds or notes issued for the zone from which money is to be transferred have agreed to the transfer.

The bill provides only for transfers of money between funds of the same taxing units and thus would have no revenue implications.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

UP, KK, SD