Bill Caption

Relating to small business recovery funds and insurance tax credits for certain investments in those funds; imposing a monetary penalty; authorizing fees.

Fiscal Notes

Estimated Two­year Net Impact to General Revenue Related Funds for HB570, Committee Report 1st House, Substituted : a negative impact of ($794,936) through the biennium ending August 31, 2023.

Additionally, there would be a negative impact of ($125,000,000) through the biennium ending August 31, 2025.

Bill Analysis

HB 570 would establish a targeted investment program for small business recovery utilizing tax incentives and other measures. HB 570 would grant the Texas Economic Development and Tourism Office the ability to certify and regulate funds for the purpose of relieving small businesses that meet certain criteria. The bill would also grant the Texas Economic Development and Tourism Office the authority to impose penalties and fees on small business relief funds that fail to meet the set criteria.

Vote Recommendation Notes

Texas Action opposes HB 570 because it violates the free market and limited government principles by growing government and tinkering in the economy in a way that will distort markets and pick winners and losers. To better help small businesses the state should cut taxes and regulations that increase overhead and create barriers to entry.