What is a fiscal note?
A fiscal note estimates the costs, savings, revenue gain, or revenue loss resulting from the implementation of proposed legislation. It serves as a tool to help legislators better understand how a bill might impact the state budget as a whole, individual agencies and, in some instances, local governments.
Fiscal notes prepared by the Legislative Budget Board (LBB) are required under House and Senate rules for any bill or joint resolution that authorizes or requires the expenditure or diversion of any state funds for any purpose. The rules also require that any bill or joint resolution that has a statewide impact on units of local government and which authorizes or diverts local funds or fees must have a fiscal note. Under specified circumstances, an impact statement is also required in addition to the fiscal note.
House and Senate Rules direct the LBB to prepare several types of impact statements in addition to fiscal notes. Under Senate Rules, the Director of the LBB determines whether an impact statement is required. Under House Rules, the committee chair makes that determination. Other differences between the Senate and House rules are noted below.
Distribution of Fiscal Notes
Fiscal notes are delivered directly to the requesting committee's chair or clerk. This is usually accomplished via the LBB's Automated Fiscal Note System. An electronic copy of the fiscal note will also be forwarded to the author and sponsor of the bill or resolution.
Fiscal notes and related information are made available to the Lieutenant Governor, Speaker of the House, Governor, and Comptroller of Public Accounts.
The fiscal note file is an open public record. Requests for copies of fiscal notes are referred to committee clerks. It is the policy of the LBB to require a written request for the release of any fiscal note information, except requests from legislative staff or state agencies.