Honorable Jeff Leach, Chair, House Committee on Judiciary & Civil Jurisprudence
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB2179 by Moody (relating to trusts.), Committee Report 1st House, Substituted
No significant fiscal implication to the State is anticipated.
The bill would amend the Property Code to modify conditions under which homestead property may be placed in, or transferred to, a trust for use as a homestead by either the beneficiaries of the trust or the settlors of the trust and still retain homestead protection from creditors. The bill would provide that the status of a beneficiary of certain trusts does not change to settlor if the beneficiary holds a testamentary general power of appointment as that term is defined by a section of the federal Internal Revenue Code.
Based on information provided by the Office of Court Administration, no significant fiscal impact to the state court system is anticipated as a result from implementing the provisions of the bill.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.