LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 14, 2025 TO: Honorable Ryan Guillen, Chair, House Committee on Agriculture & Livestock FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB43 by Kitzman (relating to the Texas Agricultural Finance Authority and certain programs administered by the authority.), Committee Report 1st House, Substituted The fiscal implications of the bill cannot be determined due to the number and amounts of loans and grants that would be provided under the increased maximum amounts allowed by the bill and the resulting interest earnings to the Texas Agricultural Fund No. 683 being unknown.The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. The bill would amend the Agriculture Code, to expand the entities definition of an Agricultural Business to include a non-profit organization whose primary purpose is to maintain the agricultural use of land and regarding the Texas Agricultural Finance Authority, to adjust the composition and size of the board of directors. The bill would require the Authority to prepare and submit a report to the Legislative Budget Board, on or before January 1 of each year, of its activities for the preceding fiscal year that sets forth a complete operating and financial statement, including the revenues and expenditures of the authority for each program administered by the board.The bill would remove limits on the maximum allowable aggregate loan amounts to a single business for boll weevil eradication. The bill would also increase the maximum allowable loan in the Farmer Interest Rate Reduction Program, formerly the Young Farmer Interest Rate Reduction Program, from $500,000 to $1,000,000 as well as increase the maximum allowable grant under the Agriculture Grant Program, formerly the Young Farmer Grant Program, from $20,000 to $500,000. The bill would change applicant eligibility for the Agricultural Grant Program to include being an agricultural producer or business and would require that matching funds be provided in an amount of no less than 10.0 percent of the grant funds received.The bill would require the Authority to provide financial assistance to the Animal Health Commission, the Texas A&M AgriLife Extension Service, or Texas A&M AgriLife Research to implement programs to control agriculture-related diseases, pests, or predators in the newly created Pest and Disease Control and Depredation Program. The financial assistance would be required to come from the Texas Agricultural Fund. The bill would require the Animal Health Commission, the Texas A&M AgriLife Extension Service, or Texas A&M AgriLife Research to submit an application to receive financial assistance.Based on analysis of the Comptroller of Public Accounts, the fiscal implications of the bill cannot be determined due to the number and amounts of loans and grants that would be provided under the increased maximum amounts allowed by the bill and the resulting interest earnings to the Texas Agricultural Fund No. 683 being unknown.Based on information provided by the Department of Agriculture, the Animal Health Commission, the Texas A&M AgriLife Extension Service, and the Texas A&M University System Administration, it is assumed that any costs associated with the bill could be absorbed using existing resources.The bill would take effect immediately upon enactment, assuming it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2025. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts, 551 Department of Agriculture, 554 Animal Health Commission, 555 Texas A&M AgriLife Extension Service, 710 Texas A&M University System Administrative and General Offices LBB Staff: b > td > JMc, TUf, MW, RSTE
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION
April 14, 2025
TO: Honorable Ryan Guillen, Chair, House Committee on Agriculture & Livestock FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB43 by Kitzman (relating to the Texas Agricultural Finance Authority and certain programs administered by the authority.), Committee Report 1st House, Substituted
TO: Honorable Ryan Guillen, Chair, House Committee on Agriculture & Livestock
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB43 by Kitzman (relating to the Texas Agricultural Finance Authority and certain programs administered by the authority.), Committee Report 1st House, Substituted
Honorable Ryan Guillen, Chair, House Committee on Agriculture & Livestock
Honorable Ryan Guillen, Chair, House Committee on Agriculture & Livestock
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB43 by Kitzman (relating to the Texas Agricultural Finance Authority and certain programs administered by the authority.), Committee Report 1st House, Substituted
HB43 by Kitzman (relating to the Texas Agricultural Finance Authority and certain programs administered by the authority.), Committee Report 1st House, Substituted
The fiscal implications of the bill cannot be determined due to the number and amounts of loans and grants that would be provided under the increased maximum amounts allowed by the bill and the resulting interest earnings to the Texas Agricultural Fund No. 683 being unknown.The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
The fiscal implications of the bill cannot be determined due to the number and amounts of loans and grants that would be provided under the increased maximum amounts allowed by the bill and the resulting interest earnings to the Texas Agricultural Fund No. 683 being unknown.The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
The bill would amend the Agriculture Code, to expand the entities definition of an Agricultural Business to include a non-profit organization whose primary purpose is to maintain the agricultural use of land and regarding the Texas Agricultural Finance Authority, to adjust the composition and size of the board of directors. The bill would require the Authority to prepare and submit a report to the Legislative Budget Board, on or before January 1 of each year, of its activities for the preceding fiscal year that sets forth a complete operating and financial statement, including the revenues and expenditures of the authority for each program administered by the board.The bill would remove limits on the maximum allowable aggregate loan amounts to a single business for boll weevil eradication. The bill would also increase the maximum allowable loan in the Farmer Interest Rate Reduction Program, formerly the Young Farmer Interest Rate Reduction Program, from $500,000 to $1,000,000 as well as increase the maximum allowable grant under the Agriculture Grant Program, formerly the Young Farmer Grant Program, from $20,000 to $500,000. The bill would change applicant eligibility for the Agricultural Grant Program to include being an agricultural producer or business and would require that matching funds be provided in an amount of no less than 10.0 percent of the grant funds received.The bill would require the Authority to provide financial assistance to the Animal Health Commission, the Texas A&M AgriLife Extension Service, or Texas A&M AgriLife Research to implement programs to control agriculture-related diseases, pests, or predators in the newly created Pest and Disease Control and Depredation Program. The financial assistance would be required to come from the Texas Agricultural Fund. The bill would require the Animal Health Commission, the Texas A&M AgriLife Extension Service, or Texas A&M AgriLife Research to submit an application to receive financial assistance.Based on analysis of the Comptroller of Public Accounts, the fiscal implications of the bill cannot be determined due to the number and amounts of loans and grants that would be provided under the increased maximum amounts allowed by the bill and the resulting interest earnings to the Texas Agricultural Fund No. 683 being unknown.Based on information provided by the Department of Agriculture, the Animal Health Commission, the Texas A&M AgriLife Extension Service, and the Texas A&M University System Administration, it is assumed that any costs associated with the bill could be absorbed using existing resources.The bill would take effect immediately upon enactment, assuming it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2025.
The bill would remove limits on the maximum allowable aggregate loan amounts to a single business for boll weevil eradication. The bill would also increase the maximum allowable loan in the Farmer Interest Rate Reduction Program, formerly the Young Farmer Interest Rate Reduction Program, from $500,000 to $1,000,000 as well as increase the maximum allowable grant under the Agriculture Grant Program, formerly the Young Farmer Grant Program, from $20,000 to $500,000. The bill would change applicant eligibility for the Agricultural Grant Program to include being an agricultural producer or business and would require that matching funds be provided in an amount of no less than 10.0 percent of the grant funds received.
The bill would require the Authority to provide financial assistance to the Animal Health Commission, the Texas A&M AgriLife Extension Service, or Texas A&M AgriLife Research to implement programs to control agriculture-related diseases, pests, or predators in the newly created Pest and Disease Control and Depredation Program. The financial assistance would be required to come from the Texas Agricultural Fund. The bill would require the Animal Health Commission, the Texas A&M AgriLife Extension Service, or Texas A&M AgriLife Research to submit an application to receive financial assistance.
Based on analysis of the Comptroller of Public Accounts, the fiscal implications of the bill cannot be determined due to the number and amounts of loans and grants that would be provided under the increased maximum amounts allowed by the bill and the resulting interest earnings to the Texas Agricultural Fund No. 683 being unknown.Based on information provided by the Department of Agriculture, the Animal Health Commission, the Texas A&M AgriLife Extension Service, and the Texas A&M University System Administration, it is assumed that any costs associated with the bill could be absorbed using existing resources.The bill would take effect immediately upon enactment, assuming it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2025.
Based on information provided by the Department of Agriculture, the Animal Health Commission, the Texas A&M AgriLife Extension Service, and the Texas A&M University System Administration, it is assumed that any costs associated with the bill could be absorbed using existing resources.The bill would take effect immediately upon enactment, assuming it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2025.
The bill would take effect immediately upon enactment, assuming it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2025.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 304 Comptroller of Public Accounts, 551 Department of Agriculture, 554 Animal Health Commission, 555 Texas A&M AgriLife Extension Service, 710 Texas A&M University System Administrative and General Offices
304 Comptroller of Public Accounts, 551 Department of Agriculture, 554 Animal Health Commission, 555 Texas A&M AgriLife Extension Service, 710 Texas A&M University System Administrative and General Offices
LBB Staff: b > td > JMc, TUf, MW, RSTE
JMc, TUf, MW, RSTE