LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION May 17, 2011 TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB782 by Davis, Yvonne (Relating to a requirement that certain bond issuers obtain an appraisal of property that is to be purchased with bond proceeds.), As Engrossed No fiscal implication to the State is anticipated. The bill would require that a municipality and a Type B corporation obtain an independent appraisal of a propertys market value prior to wholly or partly purchasing property with bond proceeds. Local Government Impact A municipality or a Type B corporation that does not currently conduct independent appraisals prior to purchasing property could experience a negative fiscal impact; however, it would vary depending on the number of properties purchased. It is assumed that a municipality or a Type B corporation would only purchase property that would require an independent appraisal if sufficient funds were available. According to a sampling of cities that provided information to the Texas Municipal League, most reported there would not be a fiscal impact because property appraisals are currently conducted prior to purchasing property. Source Agencies: LBB Staff: JOB, KKR, TP
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION
May 17, 2011
TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB782 by Davis, Yvonne (Relating to a requirement that certain bond issuers obtain an appraisal of property that is to be purchased with bond proceeds.), As Engrossed
TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations
FROM: John S O'Brien, Director, Legislative Budget Board
IN RE: HB782 by Davis, Yvonne (Relating to a requirement that certain bond issuers obtain an appraisal of property that is to be purchased with bond proceeds.), 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
HB782 by Davis, Yvonne (Relating to a requirement that certain bond issuers obtain an appraisal of property that is to be purchased with bond proceeds.), As Engrossed
HB782 by Davis, Yvonne (Relating to a requirement that certain bond issuers obtain an appraisal of property that is to be purchased with bond proceeds.), As Engrossed
No fiscal implication to the State is anticipated.
No fiscal implication to the State is anticipated.
The bill would require that a municipality and a Type B corporation obtain an independent appraisal of a propertys market value prior to wholly or partly purchasing property with bond proceeds.
Local Government Impact
A municipality or a Type B corporation that does not currently conduct independent appraisals prior to purchasing property could experience a negative fiscal impact; however, it would vary depending on the number of properties purchased. It is assumed that a municipality or a Type B corporation would only purchase property that would require an independent appraisal if sufficient funds were available. According to a sampling of cities that provided information to the Texas Municipal League, most reported there would not be a fiscal impact because property appraisals are currently conducted prior to purchasing property.
Source Agencies:
LBB Staff: JOB, KKR, TP
JOB, KKR, TP