LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 14, 2009 TO: Honorable Tommy Merritt, Chair, House Committee on Public Safety FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB3508 by Guillen (Relating to the issuance of specialty license plates for certain private security officers.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB3508, As Introduced: a positive impact of $19,200 through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 14, 2009 TO: Honorable Tommy Merritt, Chair, House Committee on Public Safety FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB3508 by Guillen (Relating to the issuance of specialty license plates for certain private security officers.), As Introduced TO: Honorable Tommy Merritt, Chair, House Committee on Public Safety FROM: John S. O'Brien, Director, Legislative Budget Board IN RE: HB3508 by Guillen (Relating to the issuance of specialty license plates for certain private security officers.), As Introduced Honorable Tommy Merritt, Chair, House Committee on Public Safety Honorable Tommy Merritt, Chair, House Committee on Public Safety John S. O'Brien, Director, Legislative Budget Board John S. O'Brien, Director, Legislative Budget Board HB3508 by Guillen (Relating to the issuance of specialty license plates for certain private security officers.), As Introduced HB3508 by Guillen (Relating to the issuance of specialty license plates for certain private security officers.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB3508, As Introduced: a positive impact of $19,200 through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. Estimated Two-year Net Impact to General Revenue Related Funds for HB3508, As Introduced: a positive impact of $19,200 through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2010 $9,600 2011 $9,600 2012 $9,600 2013 $9,600 2014 $9,600 2010 $9,600 2011 $9,600 2012 $9,600 2013 $9,600 2014 $9,600 All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain fromGeneral Revenue Fund1 Probable Revenue Gain fromState Highway Fund6 Probable Revenue Gain fromCounties 2010 $9,600 $2,250 $150 2011 $9,600 $2,250 $150 2012 $9,600 $2,250 $150 2013 $9,600 $2,250 $150 2014 $9,600 $2,250 $150 Fiscal Year Probable Revenue Gain fromGeneral Revenue Fund1 Probable Revenue Gain fromState Highway Fund6 Probable Revenue Gain fromCounties 2010 $9,600 $2,250 $150 2011 $9,600 $2,250 $150 2012 $9,600 $2,250 $150 2013 $9,600 $2,250 $150 2014 $9,600 $2,250 $150 2010 $9,600 $2,250 $150 2011 $9,600 $2,250 $150 2012 $9,600 $2,250 $150 2013 $9,600 $2,250 $150 2014 $9,600 $2,250 $150 Fiscal Analysis The bill would amend the Transportation Code to require the Texas Department of Transportation (TxDOT) to issue specialty license plates for security officers registered with the Texas Private Security Board. The bill would establish a fee of $40 for the specialty plates and would specify that the fees, after the deduction of $8 for TxDOTs administrative expenses, are to be deposited to the credit of the General Revenue Fund and may only be appropriated to the Department of Public Safety (DPS) to fund the private security bureau. The bill would take effect on September 1, 2009. The bill would amend the Transportation Code to require the Texas Department of Transportation (TxDOT) to issue specialty license plates for security officers registered with the Texas Private Security Board. The bill would establish a fee of $40 for the specialty plates and would specify that the fees, after the deduction of $8 for TxDOTs administrative expenses, are to be deposited to the credit of the General Revenue Fund and may only be appropriated to the Department of Public Safety (DPS) to fund the private security bureau. The bill would take effect on September 1, 2009. Methodology Based on the information and analysis provided by TxDOT, this analysis assumes 300 of the new specialty license plates would be issued each year at a fee of $40 each of which $7.50 would be deposited to the State Highway Fund for TxDOT administrative expenses; $0.50 would be credited to the counties; and $32 would be deposited to the General Revenue Fund. Based on the analysis of TxDOT and DPS, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources. Note: This legislation would 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 with or outside of the Treasury, or create a dedicated revenue source. Legislative policy, implemented as Government Code 403.094, consolidated special funds (except those affected by constitutional, federal, or other restrictions) into the General Revenue Fund as of August 31, 1993 and eliminated all applicable statutory revenue dedications as of August 31, 1995. Each subsequent Legislature has reviewed bills that affect funds consolidation. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature. Based on the information and analysis provided by TxDOT, this analysis assumes 300 of the new specialty license plates would be issued each year at a fee of $40 each of which $7.50 would be deposited to the State Highway Fund for TxDOT administrative expenses; $0.50 would be credited to the counties; and $32 would be deposited to the General Revenue Fund. Based on the analysis of TxDOT and DPS, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources. Note: This legislation would 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 with or outside of the Treasury, or create a dedicated revenue source. Legislative policy, implemented as Government Code 403.094, consolidated special funds (except those affected by constitutional, federal, or other restrictions) into the General Revenue Fund as of August 31, 1993 and eliminated all applicable statutory revenue dedications as of August 31, 1995. Each subsequent Legislature has reviewed bills that affect funds consolidation. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 304 Comptroller of Public Accounts, 405 Department of Public Safety, 601 Department of Transportation 304 Comptroller of Public Accounts, 405 Department of Public Safety, 601 Department of Transportation LBB Staff: JOB, ESi, MW, TG JOB, ESi, MW, TG