LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 26, 2021 TO: Honorable Greg Bonnen, Chair, House Committee on Appropriations FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB125 by Buckley (Relating to the applicability of the law governing the provision of state aid to certain local governments disproportionately affected by the granting of ad valorem tax relief to disabled veterans.), As Introduced No significant fiscal implication to the State is anticipated. The bill would amend Section 140.011 of the Local Government Code, regarding local governments disproportionately affected by property tax relief for disabled veterans, to redefine local government to include as a local government a city with extraterritorial jurisdiction located within two miles of the boundary line of a United States military installation. The local governments as defined would be eligible to receive certain disabled veteran assistance payments from the state beginning with the fiscal year of the local government that ends in the 2019 tax year. Under current law, a "local government" includes a municipality adjacent to a U. S. military installation and a county in which a U.S. military installation is wholly or partly located. The funds for such payments are paid from General Revenue (GR) appropriations to GR-Dedicated Account 5160 Disabled Veterans Local Government Assistance and are set by appropriation. The appropriations to the Comptroller of Public Accounts' Fiscal Programs include $19 million in GR funds for the 2020-21 biennium ($8.5 million in fiscal year 2020 and $10.5 million in fiscal year 2021), or an average of $9.5 million annually, for disabled veteran assistance payments to qualifying local governments. It is assumed that the costs associated with expanding eligibility of local governments that would be eligible to receive disabled veteran assistance payments paid from this account would result in a redistribution of payments across all eligible local governments. Local Government ImpactAccording to the Texas Association of Counties, no fiscal impact to counties is anticipated. No significant fiscal implication to other units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts LBB Staff: b > td > JMc, KK, LCO, MBO, AF
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
April 26, 2021
TO: Honorable Greg Bonnen, Chair, House Committee on Appropriations FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB125 by Buckley (Relating to the applicability of the law governing the provision of state aid to certain local governments disproportionately affected by the granting of ad valorem tax relief to disabled veterans.), As Introduced
TO: Honorable Greg Bonnen, Chair, House Committee on Appropriations
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB125 by Buckley (Relating to the applicability of the law governing the provision of state aid to certain local governments disproportionately affected by the granting of ad valorem tax relief to disabled veterans.), As Introduced
Honorable Greg Bonnen, Chair, House Committee on Appropriations
Honorable Greg Bonnen, Chair, House Committee on Appropriations
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB125 by Buckley (Relating to the applicability of the law governing the provision of state aid to certain local governments disproportionately affected by the granting of ad valorem tax relief to disabled veterans.), As Introduced
HB125 by Buckley (Relating to the applicability of the law governing the provision of state aid to certain local governments disproportionately affected by the granting of ad valorem tax relief to disabled veterans.), As Introduced
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend Section 140.011 of the Local Government Code, regarding local governments disproportionately affected by property tax relief for disabled veterans, to redefine local government to include as a local government a city with extraterritorial jurisdiction located within two miles of the boundary line of a United States military installation. The local governments as defined would be eligible to receive certain disabled veteran assistance payments from the state beginning with the fiscal year of the local government that ends in the 2019 tax year. Under current law, a "local government" includes a municipality adjacent to a U. S. military installation and a county in which a U.S. military installation is wholly or partly located. The funds for such payments are paid from General Revenue (GR) appropriations to GR-Dedicated Account 5160 Disabled Veterans Local Government Assistance and are set by appropriation. The appropriations to the Comptroller of Public Accounts' Fiscal Programs include $19 million in GR funds for the 2020-21 biennium ($8.5 million in fiscal year 2020 and $10.5 million in fiscal year 2021), or an average of $9.5 million annually, for disabled veteran assistance payments to qualifying local governments. It is assumed that the costs associated with expanding eligibility of local governments that would be eligible to receive disabled veteran assistance payments paid from this account would result in a redistribution of payments across all eligible local governments.
Local Government Impact
According to the Texas Association of Counties, no fiscal impact to counties is anticipated. No significant fiscal implication to other units of local government is anticipated.
Source Agencies: b > td > 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: b > td > JMc, KK, LCO, MBO, AF
JMc, KK, LCO, MBO, AF