LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 4, 2009 TO: Honorable Garnet Coleman, Chair, House Committee on County Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB3776 by Gallego (Relating to a fee imposed on foreclosure filings to fund civil legal services to indigent Texans.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB3776, As Introduced: an impact of $0 through the biennium ending August 31, 2011. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 4, 2009 TO: Honorable Garnet Coleman, Chair, House Committee on County Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB3776 by Gallego (Relating to a fee imposed on foreclosure filings to fund civil legal services to indigent Texans.), As Introduced TO: Honorable Garnet Coleman, Chair, House Committee on County Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE: HB3776 by Gallego (Relating to a fee imposed on foreclosure filings to fund civil legal services to indigent Texans.), As Introduced Honorable Garnet Coleman, Chair, House Committee on County Affairs Honorable Garnet Coleman, Chair, House Committee on County Affairs John S. O'Brien, Director, Legislative Budget Board John S. O'Brien, Director, Legislative Budget Board HB3776 by Gallego (Relating to a fee imposed on foreclosure filings to fund civil legal services to indigent Texans.), As Introduced HB3776 by Gallego (Relating to a fee imposed on foreclosure filings to fund civil legal services to indigent Texans.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB3776, As Introduced: an impact of $0 through the biennium ending August 31, 2011. Estimated Two-year Net Impact to General Revenue Related Funds for HB3776, As Introduced: an impact of $0 through the biennium ending August 31, 2011. General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2010 $0 2011 $0 2012 $0 2013 $0 2014 $0 2010 $0 2011 $0 2012 $0 2013 $0 2014 $0 All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain/(Loss) fromBasic Civil Legal Services Account , Judicial Fund573 2010 $15,744,000 2011 $17,948,000 2012 $17,051,000 2013 $16,198,000 2014 $15,388,000 Fiscal Year Probable Revenue Gain/(Loss) fromBasic Civil Legal Services Account , Judicial Fund573 2010 $15,744,000 2011 $17,948,000 2012 $17,051,000 2013 $16,198,000 2014 $15,388,000 2010 $15,744,000 2011 $17,948,000 2012 $17,051,000 2013 $16,198,000 2014 $15,388,000 Fiscal Analysis The bill would amend Chapter 118 of the Local Government Code, regarding fees charged by county officers. The bill would require a county clerk to collect a fee of $150 for the filing of the first page of a foreclosure notice filed pursuant to Section 51.002(b)(2) of the Property Code. The county treasurer would remit fee collections to the Comptroller of Public Accounts for deposit to the Basic Civil Legal Services Fund of the Supreme Court. The bill would take effect immediately if it receives the required two-thirds vote in each house; otherwise, it would take effect September 1, 2009. The bill would amend Chapter 118 of the Local Government Code, regarding fees charged by county officers. The bill would require a county clerk to collect a fee of $150 for the filing of the first page of a foreclosure notice filed pursuant to Section 51.002(b)(2) of the Property Code. The county treasurer would remit fee collections to the Comptroller of Public Accounts for deposit to the Basic Civil Legal Services Fund of the Supreme Court. The bill would take effect immediately if it receives the required two-thirds vote in each house; otherwise, it would take effect September 1, 2009. Methodology The comptroller provided information based on calendar year 2008 foreclosure filings, which was obtained through a survey of certain county clerks' offices, and those results were extrapolated to an estimated statewide total. Estimated filings were adjusted to reflect the expectation of the current foreclosure pattern continuing into fiscal 2010, then receding, and adjusted for a September 1, 2009 effective date and projected through fiscal 2014. Local Government Impact There would be no revenue gain to the counties because the full $150 collected would be submitted to the Comptroller of Public Accounts. There would be administrative costs for collecting the extra fee, maintaining separate records, and making quarterly submissions. No significant fiscal implication to units of local government is anticipated. There would be no revenue gain to the counties because the full $150 collected would be submitted to the Comptroller of Public Accounts. There would be administrative costs for collecting the extra fee, maintaining separate records, and making quarterly submissions. No significant fiscal implication to units of local government is anticipated. Source Agencies: 304 Comptroller of Public Accounts 304 Comptroller of Public Accounts LBB Staff: JOB, DB JOB, DB