TO: | Honorable Jane Nelson, Chair, Senate Committee on Finance |
FROM: | Ursula Parks, Director, Legislative Budget Board |
IN RE: | SB186 by Creighton (Relating to the franchise tax and alternative revenue sources and spending priorities for this state; repealing the franchise tax.), As Introduced |
Estimated Two-year Net Impact to General Revenue Related Funds for SB186, As Introduced: a negative impact of ($1,300,000) through the biennium ending August 31, 2017.
For the year ending August 31, 2020, the estimated net impact to General Revenue Related Funds is a negative ($2,895,089,000) and to the Property Tax Relief Fund a negative ($1,646,540,000). Under current law, a reduction to the PTRF would result in an equal increase in appropriations from General Revenue to fund the Foundation School Program.
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2016 | ($650,000) |
2017 | ($650,000) |
2018 | $0 |
2019 | $0 |
2020 | ($2,895,089,000) |
Fiscal Year | Probable (Cost) from General Revenue Fund 1 |
Probable Revenue (Loss) from General Revenue Fund 1 |
Probable Revenue (Loss) from Property Tax Relief Fund 304 |
Change in Number of State Employees from FY 2015 |
---|---|---|---|---|
2016 | ($650,000) | $0 | $0 | 7.0 |
2017 | ($650,000) | $0 | $0 | 7.0 |
2018 | $0 | $0 | $0 | 7.0 |
2019 | $0 | $0 | $0 | 7.0 |
2020 | $0 | ($2,895,089,000) | ($1,646,540,000) | 7.0 |
The estimated impact of the repeal of Chapter 171 of the Tax Code is based on the 2016-2017 Biennial Revenue Estimate.
The Comptroller of Public accounts would need to hire an additional 7 FTEs to conduct the study prescribed by the bill.
Source Agencies: | 304 Comptroller of Public Accounts
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LBB Staff: | UP, KK, SD
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