LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION April 13, 2011 TO: Honorable Wayne Smith, Chair, House Committee on Environmental Regulation FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB1648 by Smith, Wayne (Relating to the purchase of plastic bulk merchandise containers by certain businesses; providing a civil penalty. ), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill amends the Business and Commerce Code to permit the purchaser of bulk plastic containers to verify that the individual selling the containers is acting on behalf of a corporation, business, or governmental entity. The bill also prohibits payment for the purchase of bulk plastic containers with cash and adds new record keeping requirements on purchase transactions. The bill may result in new complaints and investigations by the Office of the Attorney Generals Consumer Protection and Public Health Division. However, it is anticipated that any additional costs associated with implementation of the legislation could be absorbed within existing resources. The bill also authorizes a civil penalty not to exceed $10,000 for each violation. The Comptroller of Public Accounts has indicated that the number of potential violations and the amount of penalties levied are unknown. Therefore, there could be an indeterminate revenue increase to the state. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies:302 Office of the Attorney General, 304 Comptroller of Public Accounts LBB Staff: JOB, SZ, JM LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION April 13, 2011 TO: Honorable Wayne Smith, Chair, House Committee on Environmental Regulation FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB1648 by Smith, Wayne (Relating to the purchase of plastic bulk merchandise containers by certain businesses; providing a civil penalty. ), Committee Report 1st House, Substituted TO: Honorable Wayne Smith, Chair, House Committee on Environmental Regulation FROM: John S O'Brien, Director, Legislative Budget Board IN RE: HB1648 by Smith, Wayne (Relating to the purchase of plastic bulk merchandise containers by certain businesses; providing a civil penalty. ), Committee Report 1st House, Substituted Honorable Wayne Smith, Chair, House Committee on Environmental Regulation Honorable Wayne Smith, Chair, House Committee on Environmental Regulation John S O'Brien, Director, Legislative Budget Board John S O'Brien, Director, Legislative Budget Board HB1648 by Smith, Wayne (Relating to the purchase of plastic bulk merchandise containers by certain businesses; providing a civil penalty. ), Committee Report 1st House, Substituted HB1648 by Smith, Wayne (Relating to the purchase of plastic bulk merchandise containers by certain businesses; providing a civil penalty. ), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. The bill amends the Business and Commerce Code to permit the purchaser of bulk plastic containers to verify that the individual selling the containers is acting on behalf of a corporation, business, or governmental entity. The bill also prohibits payment for the purchase of bulk plastic containers with cash and adds new record keeping requirements on purchase transactions. The bill may result in new complaints and investigations by the Office of the Attorney Generals Consumer Protection and Public Health Division. However, it is anticipated that any additional costs associated with implementation of the legislation could be absorbed within existing resources. The bill also authorizes a civil penalty not to exceed $10,000 for each violation. The Comptroller of Public Accounts has indicated that the number of potential violations and the amount of penalties levied are unknown. Therefore, there could be an indeterminate revenue increase to the state. The bill amends the Business and Commerce Code to permit the purchaser of bulk plastic containers to verify that the individual selling the containers is acting on behalf of a corporation, business, or governmental entity. The bill also prohibits payment for the purchase of bulk plastic containers with cash and adds new record keeping requirements on purchase transactions. The bill may result in new complaints and investigations by the Office of the Attorney Generals Consumer Protection and Public Health Division. However, it is anticipated that any additional costs associated with implementation of the legislation could be absorbed within existing resources. The bill also authorizes a civil penalty not to exceed $10,000 for each violation. The Comptroller of Public Accounts has indicated that the number of potential violations and the amount of penalties levied are unknown. Therefore, there could be an indeterminate revenue increase to the state. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 302 Office of the Attorney General, 304 Comptroller of Public Accounts 302 Office of the Attorney General, 304 Comptroller of Public Accounts LBB Staff: JOB, SZ, JM JOB, SZ, JM