LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION

February 18, 2013

TO:	Honorable John Carona, Chair, Senate Committee on Business & Commerce
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	SB327 by Carona (Relating to termination of franchises to provide cable or video service in municipalities.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would amend the Utilities Code to allow cable service providers or video service providers who currently hold municipal franchises to terminate that franchise and seek a state-issued certificate of franchise.

Based on information provided by the Public Utility Commission, this analysis assumes that duties and responsibilities associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.

Local Government Impact

The bill may reduce revenue in municipalities in which companies elect to terminate franchise agreements and elect to seek state-issued certificates of franchise authority. Lost revenue would vary by municipality but is not anticipated to be significant.

Source Agencies:

473 Public Utility Commission of Texas

LBB Staff:

UP, RB, MW, ED, KKR