LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION March 4, 2011 TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE:SB494 by Fraser (Relating to the authority of certain local governmental entities to borrow money for a public hospital.), As Introduced No fiscal implication to the State is anticipated. The bill would amend the Health and Safety Code to authorize a hospital district created under general or special law; a municipal or county hospital authority; a municipality; or a county to borrow money for the purposes of a hospital owned or operated by the entity at a rate no higher than the maximum rate allowed by law. In order to secure a loan, a local governmental entity would be allowed to pledge hospital or tax revenue that is not previously pledged to pay for a bond. Local Government Impact There could be a fiscal impact associated with the provisions of the bill; however, the amounts would vary depending on whether a local governmental entity chose to borrow money, the amount borrowed, and the interest rate on the bond. The Harris County Hospital District reported the costs associated with the provisions of the bill could be absorbed within current resources. Source Agencies: LBB Staff: JOB, KKR, TP
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION
March 4, 2011
TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE:SB494 by Fraser (Relating to the authority of certain local governmental entities to borrow money for a public hospital.), As Introduced
TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations
FROM: John S O'Brien, Director, Legislative Budget Board
IN RE: SB494 by Fraser (Relating to the authority of certain local governmental entities to borrow money for a public hospital.), As Introduced
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
SB494 by Fraser (Relating to the authority of certain local governmental entities to borrow money for a public hospital.), As Introduced
SB494 by Fraser (Relating to the authority of certain local governmental entities to borrow money for a public hospital.), As Introduced
No fiscal implication to the State is anticipated.
No fiscal implication to the State is anticipated.
The bill would amend the Health and Safety Code to authorize a hospital district created under general or special law; a municipal or county hospital authority; a municipality; or a county to borrow money for the purposes of a hospital owned or operated by the entity at a rate no higher than the maximum rate allowed by law. In order to secure a loan, a local governmental entity would be allowed to pledge hospital or tax revenue that is not previously pledged to pay for a bond.
Local Government Impact
There could be a fiscal impact associated with the provisions of the bill; however, the amounts would vary depending on whether a local governmental entity chose to borrow money, the amount borrowed, and the interest rate on the bond. The Harris County Hospital District reported the costs associated with the provisions of the bill could be absorbed within current resources.
There could be a fiscal impact associated with the provisions of the bill; however, the amounts would vary depending on whether a local governmental entity chose to borrow money, the amount borrowed, and the interest rate on the bond.
The Harris County Hospital District reported the costs associated with the provisions of the bill could be absorbed within current resources.
Source Agencies:
LBB Staff: JOB, KKR, TP
JOB, KKR, TP