Honorable Angie Chen Button, Chair, House Committee on Trade, Workforce & Economic Development
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB112 by Button (Relating to the creation and operation of a science park district in certain counties.), Committee Report 1st House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for HB112, Committee Report 1st House, Substituted: a negative impact of ($680,169) through the biennium ending August 31, 2027.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five- Year Impact:
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2026
($344,432)
2027
($335,737)
2028
($344,432)
2029
($335,737)
2030
($344,432)
All Funds, Five-Year Impact:
Fiscal Year
Probable Savings/(Cost) from General Revenue Fund 1
Change in Number of State Employees from FY 2025
2026
($344,432)
2.5
2027
($335,737)
2.5
2028
($344,432)
2.5
2029
($335,737)
2.5
2030
($344,432)
2.5
Fiscal Analysis
The bill would amend the Local Government Code to allow for certain areas to petition the Texas Economic Development and Tourism Office within the Office of the Governor (OOG) in order to create a science park district (district). The district would be governed by a board of nine elected directors. The bill would allow the district to issue bonds to cover all or part of the cost of any project serving a district purpose.
The bill would also establish the Texas Science Park Commission (Commission) within the OOG. The Commission would be composed of seven appointed members. The OOG would provide administrative support and resources, including funding from the OOG budget, as necessary, to support the Commission's duties. The OOG could supplement the Commission's funding with gifts, grants, or donations received by the OOG. A legislative member of the Commission may provide staffing and administrative support from the member's office to the Commission. Not later than December 1, 2026, the Commission would submit a report to the Governor, Lieutenant Governor, Speaker of the House of Representatives, and each standing committee of each house of the Legislature with primary jurisdiction over business and commerce. The Commission would be abolished September 1, 2027.
Methodology
It is anticipated the OOG would need 2.5 additional FTEs to administer and monitor the program: 0.5 General Counsel III, 1 Program Specialist VI, and 1 Administrative Assistant IV. The total estimate for FTE-related costs, including travel and various other operating costs, is anticipated to be $680,169 for the 2026-27 biennium.
Technology
No technology impact is anticipated.
Local Government Impact
The fiscal implications of the bill to the district cannot be determined due to the circumstances relating to the district's issuance of bonds being unknown. No fiscal implication to other units of local government is anticipated.
Source Agencies:
300 Trusteed Programs Within the Office of the Governor, 352 Bond Review Board