LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION April 19, 2011 TO: Honorable Sid Miller, Chair, House Committee on Homeland Security & Public Safety FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB2613 by Flynn (Relating to the establishment of a procedure under which a person may maintain a license to carry a concealed handgun.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB2613, As Introduced: a positive impact of $20,024,078 through the biennium ending August 31, 2013. 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, 82ND LEGISLATIVE REGULAR SESSION
April 19, 2011
TO: Honorable Sid Miller, Chair, House Committee on Homeland Security & Public Safety FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB2613 by Flynn (Relating to the establishment of a procedure under which a person may maintain a license to carry a concealed handgun.), As Introduced
TO: Honorable Sid Miller, Chair, House Committee on Homeland Security & Public Safety
FROM: John S O'Brien, Director, Legislative Budget Board
IN RE: HB2613 by Flynn (Relating to the establishment of a procedure under which a person may maintain a license to carry a concealed handgun.), As Introduced
Honorable Sid Miller, Chair, House Committee on Homeland Security & Public Safety
Honorable Sid Miller, Chair, House Committee on Homeland Security & Public Safety
John S O'Brien, Director, Legislative Budget Board
John S O'Brien, Director, Legislative Budget Board
HB2613 by Flynn (Relating to the establishment of a procedure under which a person may maintain a license to carry a concealed handgun.), As Introduced
HB2613 by Flynn (Relating to the establishment of a procedure under which a person may maintain a license to carry a concealed handgun.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB2613, As Introduced: a positive impact of $20,024,078 through the biennium ending August 31, 2013. 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 HB2613, As Introduced: a positive impact of $20,024,078 through the biennium ending August 31, 2013.
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 2012 $9,357,046 2013 $10,667,032 2014 $12,160,416 2015 $13,862,875 2016 $15,731,904
2012 $9,357,046
2013 $10,667,032
2014 $12,160,416
2015 $13,862,875
2016 $15,731,904
All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain fromGeneral Revenue Fund1 Probable Savings fromGeneral Revenue Fund1 Probable (Cost) fromState Highway Fund6 Probable (Cost) fromOper & Chauffeurs Lic Ac99 2012 $9,314,550 $42,496 ($3,701,148) ($296,688) 2013 $10,618,587 $48,445 ($3,191,967) ($197,451) 2014 $12,105,189 $55,227 ($3,119,167) ($197,451) 2015 $13,799,916 $62,959 ($3,196,237) ($201,510) 2016 $15,731,904 $0 ($3,119,167) ($197,451) Fiscal Year Change in Number of State Employees from FY 2011 2012 44.4 2013 44.4 2014 44.4 2015 44.4 2016 44.4
Fiscal Year Probable Revenue Gain fromGeneral Revenue Fund1 Probable Savings fromGeneral Revenue Fund1 Probable (Cost) fromState Highway Fund6 Probable (Cost) fromOper & Chauffeurs Lic Ac99 2012 $9,314,550 $42,496 ($3,701,148) ($296,688) 2013 $10,618,587 $48,445 ($3,191,967) ($197,451) 2014 $12,105,189 $55,227 ($3,119,167) ($197,451) 2015 $13,799,916 $62,959 ($3,196,237) ($201,510) 2016 $15,731,904 $0 ($3,119,167) ($197,451)
2012 $9,314,550 $42,496 ($3,701,148) ($296,688)
2013 $10,618,587 $48,445 ($3,191,967) ($197,451)
2014 $12,105,189 $55,227 ($3,119,167) ($197,451)
2015 $13,799,916 $62,959 ($3,196,237) ($201,510)
2016 $15,731,904 $0 ($3,119,167) ($197,451)
Fiscal Year Change in Number of State Employees from FY 2011 2012 44.4 2013 44.4 2014 44.4 2015 44.4 2016 44.4
2012 44.4
2013 44.4
2014 44.4
2015 44.4
2016 44.4
Fiscal Analysis
The bill would amend the Government Code to establish procedures to allow persons to indefinitely maintain a concealed handgun license by providing continuing eligibility documents at regular intervals. The bill's provisions would replace the current system of expiration of a license after a certain time. The bill authorizes the Department of Public Safety to increase the fee on an initial concealed handgun license from $140 to $280. The bill would repeal several sections of the Government Code related to expiration of concealed handgun licenses for certain groups, to conform to the bill's provisions. The bill's provisions would apply only to a license to carry a concealed handgun that is issued on or after the effective date. The bill would take effect September 1, 2011.
The bill would amend the Government Code to establish procedures to allow persons to indefinitely maintain a concealed handgun license by providing continuing eligibility documents at regular intervals. The bill's provisions would replace the current system of expiration of a license after a certain time.
The bill authorizes the Department of Public Safety to increase the fee on an initial concealed handgun license from $140 to $280. The bill would repeal several sections of the Government Code related to expiration of concealed handgun licenses for certain groups, to conform to the bill's provisions.
The bill's provisions would apply only to a license to carry a concealed handgun that is issued on or after the effective date. The bill would take effect September 1, 2011.
Methodology
Increasing the initial fee for a concealed handgun license would result in a gain to General Revenue of $19.9 million during the biennium. The state would also realize a General Revenue savings of $90,941 during the biennium through the elimination of the production process for renewal license cards.The bill's provisions would require significant modification to various aspects of the Concealed Handgun License program. The Department of Public Safety (DPS) reports costs related to program modifications would be significant, including: staff time related to initiating license suspension actions; increased mail processing operations; programming changes to online license application and payment systems; and the maintenance and administration of a duplicate set of application criteria depending on the date of original application.DPS also reported that the bill's provisions could increase the number of concealed handgun license hearings conducted throughout the state and creates an incentive for license holders to appeal proposed suspensions. By appealing a proposed suspension, a license holder would extend their license time without paying the required fees, because an appeal would delay the imposition of the suspension. Based on a current average of 1,100 license expirations prior to renewal per month, DPS estimates that approximately 275 license holders would appeal a suspension each month, requiring DPS to hire 41 additional attorney and legal secretary positions to comply with the statutory hearing deadlines. DPS would also require three (3) public safety records technicians and .4 of an Accountant V position. The expenses reported by DPS would be realized in State Highway Funds and the Operators and Chauffeurs Fund.
Local Government Impact
The bill's provisions could increase local government costs to the extent an increase in the number of hearings on concealed handgun license suspensions are experienced in Justice of the Peace courts. This impact cannot be determined.
Source Agencies: 405 Department of Public Safety
405 Department of Public Safety
LBB Staff: JOB, ESi, GG, KY
JOB, ESi, GG, KY