LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION March 24, 2021 TO: Honorable Chris Paddie, Chair, House Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1950 by Slawson (Relating to the control and funding of law enforcement and public safety services in certain political subdivisions.), As Introduced No significant fiscal implication to the State is anticipated.However, there could be an indeterminate increase to state revenue if an applicable municipality is determined to have adopted a budget that defunds law enforcement. The bill would amend the Local Government Code by adding Chapter 345 regarding the creation of law enforcement and public safety zones and by adding Section 140.013 to define a defunding local government. Zone operations would be funded by municipal sales and use tax revenue set aside by the Comptroller of Public Accounts (CPA) as directed by the Governor.According to the CPA, the bill's provisions regarding municipal sales tax revenue could increase state revenue in the same amount that revenue to any local governments would be reduced.This legislation could do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either in, with, or outside of the Treasury, or create a dedicated revenue source.This bill would not make an appropriation, but could establish the basis for an appropriation. Local Government ImpactThe bill would have significant fiscal impact on municipalities located wholly or partially in Travis County that defund law enforcement agencies in the manner defined by the bill. Source Agencies: b > td > 300 Trusteed Programs - Gov, 304 Comptroller of Public Accounts LBB Staff: b > td > JMc, SMAT, CMA, DPE
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
March 24, 2021
TO: Honorable Chris Paddie, Chair, House Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1950 by Slawson (Relating to the control and funding of law enforcement and public safety services in certain political subdivisions.), As Introduced
TO: Honorable Chris Paddie, Chair, House Committee on State Affairs
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB1950 by Slawson (Relating to the control and funding of law enforcement and public safety services in certain political subdivisions.), As Introduced
Honorable Chris Paddie, Chair, House Committee on State Affairs
Honorable Chris Paddie, Chair, House Committee on State Affairs
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB1950 by Slawson (Relating to the control and funding of law enforcement and public safety services in certain political subdivisions.), As Introduced
HB1950 by Slawson (Relating to the control and funding of law enforcement and public safety services in certain political subdivisions.), As Introduced
No significant fiscal implication to the State is anticipated.However, there could be an indeterminate increase to state revenue if an applicable municipality is determined to have adopted a budget that defunds law enforcement.
No significant fiscal implication to the State is anticipated.However, there could be an indeterminate increase to state revenue if an applicable municipality is determined to have adopted a budget that defunds law enforcement.
However, there could be an indeterminate increase to state revenue if an applicable municipality is determined to have adopted a budget that defunds law enforcement.
The bill would amend the Local Government Code by adding Chapter 345 regarding the creation of law enforcement and public safety zones and by adding Section 140.013 to define a defunding local government. Zone operations would be funded by municipal sales and use tax revenue set aside by the Comptroller of Public Accounts (CPA) as directed by the Governor.According to the CPA, the bill's provisions regarding municipal sales tax revenue could increase state revenue in the same amount that revenue to any local governments would be reduced.This legislation could do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either in, with, or outside of the Treasury, or create a dedicated revenue source.This bill would not make an appropriation, but could establish the basis for an appropriation.
Local Government Impact
The bill would have significant fiscal impact on municipalities located wholly or partially in Travis County that defund law enforcement agencies in the manner defined by the bill.
Source Agencies: b > td > 300 Trusteed Programs - Gov, 304 Comptroller of Public Accounts
300 Trusteed Programs - Gov, 304 Comptroller of Public Accounts
LBB Staff: b > td > JMc, SMAT, CMA, DPE
JMc, SMAT, CMA, DPE