LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION May 14, 2009 TO: Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB4102 by Eiland (Relating to the disaster contingency fund.), As Engrossed Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. The bill would allow a state or local government entity that participates in disaster preparation or disaster recovery to request and receive funding from the disaster contingency fund to pay for costs incurred by the state or local government entity in preparing for or recovering from a disaster. If state or local government entities receive reimbursement from the federal government, then the entities would be required to reimburse the disaster contingency fund by the amount received from the federal government. The bill would also require the Governors Division of Emergency Management (GDEM) to prescribe accounting and other procedures necessary to implement the provisions of the bill. Money in the disaster contingency fund may be used to pay for a disaster risk financing instrument to leverage available funds and receive proceeds greater than appropriated amounts to pay for extraordinary expenses. Money in the fund also may be used to provide local matching funds for Federal Emergency Management Agency projects or for preventing default on outstanding bonds or meeting other financial requirements. Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state.The bill would take effect immediately upon receiving a two-thirds majority vote in each house. If the bill does not receive a two-thirds vote in each house, the bill would take effect September 1, 2009. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies:301 Office of the Governor, 405 Department of Public Safety LBB Staff: JOB, KJG, KK, MS, BTA
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
May 14, 2009
TO: Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB4102 by Eiland (Relating to the disaster contingency fund.), As Engrossed
TO: Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB4102 by Eiland (Relating to the disaster contingency fund.), As Engrossed
Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security
Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB4102 by Eiland (Relating to the disaster contingency fund.), As Engrossed
HB4102 by Eiland (Relating to the disaster contingency fund.), As Engrossed
Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
The bill would allow a state or local government entity that participates in disaster preparation or disaster recovery to request and receive funding from the disaster contingency fund to pay for costs incurred by the state or local government entity in preparing for or recovering from a disaster. If state or local government entities receive reimbursement from the federal government, then the entities would be required to reimburse the disaster contingency fund by the amount received from the federal government. The bill would also require the Governors Division of Emergency Management (GDEM) to prescribe accounting and other procedures necessary to implement the provisions of the bill. Money in the disaster contingency fund may be used to pay for a disaster risk financing instrument to leverage available funds and receive proceeds greater than appropriated amounts to pay for extraordinary expenses. Money in the fund also may be used to provide local matching funds for Federal Emergency Management Agency projects or for preventing default on outstanding bonds or meeting other financial requirements. Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state.The bill would take effect immediately upon receiving a two-thirds majority vote in each house. If the bill does not receive a two-thirds vote in each house, the bill would take effect September 1, 2009.
The bill would allow a state or local government entity that participates in disaster preparation or disaster recovery to request and receive funding from the disaster contingency fund to pay for costs incurred by the state or local government entity in preparing for or recovering from a disaster. If state or local government entities receive reimbursement from the federal government, then the entities would be required to reimburse the disaster contingency fund by the amount received from the federal government. The bill would also require the Governors Division of Emergency Management (GDEM) to prescribe accounting and other procedures necessary to implement the provisions of the bill. Money in the disaster contingency fund may be used to pay for a disaster risk financing instrument to leverage available funds and receive proceeds greater than appropriated amounts to pay for extraordinary expenses. Money in the fund also may be used to provide local matching funds for Federal Emergency Management Agency projects or for preventing default on outstanding bonds or meeting other financial requirements. Due to the unknown nature of any future disaster, the bill could have an indeterminate fiscal impact to the state.The bill would take effect immediately upon receiving a two-thirds majority vote in each house. If the bill does not receive a two-thirds vote in each house, the bill would take effect September 1, 2009.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: 301 Office of the Governor, 405 Department of Public Safety
301 Office of the Governor, 405 Department of Public Safety
LBB Staff: JOB, KJG, KK, MS, BTA
JOB, KJG, KK, MS, BTA