LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION March 25, 2015 TO: Honorable Joseph Pickett, Chair, House Committee on Transportation FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB880 by Reynolds (Relating to creating a disadvantaged business assistance program to be operated by the Texas Department of Transportation.), As Introduced No significant fiscal implication to the State is anticipated. The bill would amend the Transportation Code to authorize the Texas Transportation Commission (TTC) by rule to establish a program to assist disadvantaged businesses identified in the Texas Department of Transportation's current disadvantaged business program required by Section 201.702, Transportation Code. The bill would allow the Texas Department of Transportation (TxDOT) to establish an account in the State Highway Fund (Fund 6) to use as a revolving fund to provide financing, including loans, to foster the development of such businesses. The revolving fund may be composed of financing application fees, loan repayments, appropriations from the Legislature, donations, interest earnings on money in the fund, and other sources specified by the bill. The bill would require the TTC to adopt rules governing the terms and conditions for financing and loans from the revolving fund. Based on the information provided by TxDOT, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources. For the purposes of this analysis, it is assumed a disadvantaged business program established by the TTC under the provisions of the bill would provide short-term loans to qualifying businesses that would be repaid within a year of origination and would not result in a significant impact to the cash flow of Fund 6. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:304 Comptroller of Public Accounts, 601 Department of Transportation LBB Staff: UP, AG, NV, TG, MW
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
March 25, 2015
TO: Honorable Joseph Pickett, Chair, House Committee on Transportation FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB880 by Reynolds (Relating to creating a disadvantaged business assistance program to be operated by the Texas Department of Transportation.), As Introduced
TO: Honorable Joseph Pickett, Chair, House Committee on Transportation
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB880 by Reynolds (Relating to creating a disadvantaged business assistance program to be operated by the Texas Department of Transportation.), As Introduced
Honorable Joseph Pickett, Chair, House Committee on Transportation
Honorable Joseph Pickett, Chair, House Committee on Transportation
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB880 by Reynolds (Relating to creating a disadvantaged business assistance program to be operated by the Texas Department of Transportation.), As Introduced
HB880 by Reynolds (Relating to creating a disadvantaged business assistance program to be operated by the Texas Department of Transportation.), As Introduced
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Transportation Code to authorize the Texas Transportation Commission (TTC) by rule to establish a program to assist disadvantaged businesses identified in the Texas Department of Transportation's current disadvantaged business program required by Section 201.702, Transportation Code. The bill would allow the Texas Department of Transportation (TxDOT) to establish an account in the State Highway Fund (Fund 6) to use as a revolving fund to provide financing, including loans, to foster the development of such businesses. The revolving fund may be composed of financing application fees, loan repayments, appropriations from the Legislature, donations, interest earnings on money in the fund, and other sources specified by the bill. The bill would require the TTC to adopt rules governing the terms and conditions for financing and loans from the revolving fund. Based on the information provided by TxDOT, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources. For the purposes of this analysis, it is assumed a disadvantaged business program established by the TTC under the provisions of the bill would provide short-term loans to qualifying businesses that would be repaid within a year of origination and would not result in a significant impact to the cash flow of Fund 6.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts, 601 Department of Transportation
304 Comptroller of Public Accounts, 601 Department of Transportation
LBB Staff: UP, AG, NV, TG, MW
UP, AG, NV, TG, MW