TO:	Honorable Eddie Lucio, Jr., Chair, Senate Committee on Intergovernmental Relations
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB3173 by Bell ( Relating to the powers of the Harris County Improvement District No. 17 and to the creation of the East Lake Houston Management District; providing authority to issue bonds; providing authority to impose assessments, fees, or taxes.), Committee Report 2nd House, Substituted

The bill would amend the Special District Local Laws Code establishing the East Lake Houston Management District. The district would have authority to engage in economic development activities. The district would not have authority to exercise the power of eminent domain. The district would have authority to impose an ad valorem tax on all taxable property in the district. The district would have authority to impose a sales and use tax. The district would have authority to issue bonds, notes or other obligations.

The bill would take effect immediately if the bill receives a two-thirds vote in each house; otherwise, the bill would take effect September 1, 2017.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.