LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION May 18, 2009 TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB3001 by Homer (Relating to the consideration of longevity and cost of living in setting the salaries for certain municipal employees.), As Engrossed No fiscal implication to the State is anticipated. The bill would amend Chapter 141, Local Government Code, to authorize certain types of municipalities to consider longevity and cost of living when setting the salary of a municipal employee. Local Government Impact It is assumed that taking into consideration longevity and cost of living when determining a salary would result in a higher salary. It is also assumed that a municipality would set salaries using these factors only if the municipality had sufficient resources to absorb the costs. The fiscal impact would vary by municipality, depending on decisions made by the municipality, the number of employees, longevity of the employees, and the current cost of living in the geographical area. Source Agencies: LBB Staff: JOB, DB LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION May 18, 2009 TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB3001 by Homer (Relating to the consideration of longevity and cost of living in setting the salaries for certain municipal employees.), As Engrossed TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S. O'Brien, Director, Legislative Budget Board IN RE: HB3001 by Homer (Relating to the consideration of longevity and cost of living in setting the salaries for certain municipal employees.), As Engrossed Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations John S. O'Brien, Director, Legislative Budget Board John S. O'Brien, Director, Legislative Budget Board HB3001 by Homer (Relating to the consideration of longevity and cost of living in setting the salaries for certain municipal employees.), As Engrossed HB3001 by Homer (Relating to the consideration of longevity and cost of living in setting the salaries for certain municipal employees.), As Engrossed No fiscal implication to the State is anticipated. No fiscal implication to the State is anticipated. The bill would amend Chapter 141, Local Government Code, to authorize certain types of municipalities to consider longevity and cost of living when setting the salary of a municipal employee. Local Government Impact It is assumed that taking into consideration longevity and cost of living when determining a salary would result in a higher salary. It is also assumed that a municipality would set salaries using these factors only if the municipality had sufficient resources to absorb the costs. The fiscal impact would vary by municipality, depending on decisions made by the municipality, the number of employees, longevity of the employees, and the current cost of living in the geographical area. Source Agencies: LBB Staff: JOB, DB JOB, DB