LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION April 5, 2011 TO: Honorable Ryan Guillen, Chair, House Committee on Culture, Recreation & Tourism FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB550 by Dutton (Relating to general fishing license fees for residents 65 years old or over.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB550, As Introduced: an impact of $0 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. The bill would amend the Parks and Wildlife Code to provide that general fishing license fees for residents aged 65 or older be waived. The bill would take immediate effect with a two-thirds vote of all members. Otherwise, the bill would take effect September 1, 2011. General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2012 $0 2013 $0 2014 $0 2015 $0 2016 $0 All Funds, Five-Year Impact: Fiscal Year Probable Revenue (Loss) fromGame,Fish,Water Safety Ac9 2012 ($2,358,876) 2013 ($2,358,876) 2014 ($2,358,876) 2015 ($2,358,876) 2016 ($2,358,876) Fiscal Analysis The Texas Parks and Wildlife Department estimates a revenue loss of $2,358,876 per fiscal year in the General Revenue-Dedicated Game, Fish and Water Safety Account No. 9 to result from passage of this legislation. This analysis is based upon licenses and stamps purchased by residents 65 years old or over in fiscal year 2010 and does not take into account any additional revenue loss that may occur in future years due to the aging of the population, which would result in an increasing number of seniors who would have license fees waived. Methodology The following analysis is based on the assumption that the number of licenses purchased by residents aged 65 and over remains at fiscal year 2010 levels. Revenue Loss Daily Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 are as follows:Senior One Day All water Fishing: $11 @ 2,207 = $24,277Senior Two Day All water Fishing: $22 @ 84 = 1,848 Total = $26,125Retail business (license agents such as Wal-Mart) charge a fee of approximately 4% per license; resulting in a net revenue loss to TPWD of $26,125*96%= $25,080 General Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 are as follows:Senior Resident Freshwater Fishing: $12 @ 51,941 = $623,292Senior Resident Saltwater Fishing: $17 @ 11,479 = 195,143Senior Resident All water Fishing: $22 @ 25,797 = 567,534 Total = $1,385,969 This would result in a net loss in license agent receipts of $1,385,969*96%=$1,330,530. Combo Hunting and Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 is as follows:Senior Combo Hunting and Freshwater Fishing: $16 @ 17,436 = $278,976Senior Combo Hunting and Saltwater Fishing: $21 @ 705 = 14,805Senior Combo Hunting and All water Fishing: $26 @ 4,073 = 105,898 Total = $399,679 This would result in a net loss in license agent receipts of $399,679*96%= $383,692. Super Combo Hunting and Fishing Licenses: The Super Combo includes a resident hunting license, a resident fishing license and all hunting and fishing stamps (archery, upland, migratory hunting; freshwater and saltwater fishing stamps) The per license fee and number of resident senior fishing license holders in fiscal year 2010 is as follows:Senior Super Combo Package: $32 @ 47,250 = $1,512,000.This would result in a net loss in license agent receipts of $1,512,000*96%= $1,451,520. Revenue Gain General Hunting License ($7 per license):Assuming those seniors who purchased Combo and Super-Combo licenses (hunting and fishing) would still desire to hunt, TPWD would recognize a revenue gain. Senior Hunting License: (17,436 plus 705 plus 4,073 plus 47,250) = 69,464 @ $7 = $486,248.This would result in a net license agent fee revenue gain of $486,248*96%=$466,798. Hunting Stamps ($7 per stamp):Assuming those seniors who purchased the Super Combo Package would still desire to hunt the game requiring hunting stamps, TPWD would recognize a revenue gain. Through surveys TPWD asks Super Combo holders which "activities" (stamps) they used. This averages out to approximately 1.15 stamps per user.Hunting Stamps (in lieu of Super Combo): 47,250*1.15=54,338 @ $7 = $380,363.This would result in a net license agent fee revenue gain of $380,363*96%= $365,148. Summary:In total, the estimated net revenue loss per fiscal year to the General Revenue-Dedicated Game, Fish and Water Safety Account No. 9 is as follows:Daily Fishing: ($25,080)General Fishing: ($1,330,530)Combo: ($383,692)Super Combo: ($1,451,520)General Hunting: $466,798Hunting Stamps: $365,148Total: ($2,358,876)
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION
April 5, 2011
TO: Honorable Ryan Guillen, Chair, House Committee on Culture, Recreation & Tourism FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB550 by Dutton (Relating to general fishing license fees for residents 65 years old or over.), As Introduced
TO: Honorable Ryan Guillen, Chair, House Committee on Culture, Recreation & Tourism
FROM: John S O'Brien, Director, Legislative Budget Board
IN RE: HB550 by Dutton (Relating to general fishing license fees for residents 65 years old or over.), As Introduced
Honorable Ryan Guillen, Chair, House Committee on Culture, Recreation & Tourism
Honorable Ryan Guillen, Chair, House Committee on Culture, Recreation & Tourism
John S O'Brien, Director, Legislative Budget Board
John S O'Brien, Director, Legislative Budget Board
HB550 by Dutton (Relating to general fishing license fees for residents 65 years old or over.), As Introduced
HB550 by Dutton (Relating to general fishing license fees for residents 65 years old or over.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB550, As Introduced: an impact of $0 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 HB550, As Introduced: an impact of $0 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.
The bill would amend the Parks and Wildlife Code to provide that general fishing license fees for residents aged 65 or older be waived. The bill would take immediate effect with a two-thirds vote of all members. Otherwise, the bill would take effect September 1, 2011.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2012 $0 2013 $0 2014 $0 2015 $0 2016 $0
2012 $0
2013 $0
2014 $0
2015 $0
2016 $0
All Funds, Five-Year Impact: Fiscal Year Probable Revenue (Loss) fromGame,Fish,Water Safety Ac9 2012 ($2,358,876) 2013 ($2,358,876) 2014 ($2,358,876) 2015 ($2,358,876) 2016 ($2,358,876)
Fiscal Year Probable Revenue (Loss) fromGame,Fish,Water Safety Ac9 2012 ($2,358,876) 2013 ($2,358,876) 2014 ($2,358,876) 2015 ($2,358,876) 2016 ($2,358,876)
2012 ($2,358,876)
2013 ($2,358,876)
2014 ($2,358,876)
2015 ($2,358,876)
2016 ($2,358,876)
Fiscal Analysis
The Texas Parks and Wildlife Department estimates a revenue loss of $2,358,876 per fiscal year in the General Revenue-Dedicated Game, Fish and Water Safety Account No. 9 to result from passage of this legislation. This analysis is based upon licenses and stamps purchased by residents 65 years old or over in fiscal year 2010 and does not take into account any additional revenue loss that may occur in future years due to the aging of the population, which would result in an increasing number of seniors who would have license fees waived.
Methodology
The following analysis is based on the assumption that the number of licenses purchased by residents aged 65 and over remains at fiscal year 2010 levels. Revenue Loss Daily Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 are as follows:Senior One Day All water Fishing: $11 @ 2,207 = $24,277Senior Two Day All water Fishing: $22 @ 84 = 1,848 Total = $26,125Retail business (license agents such as Wal-Mart) charge a fee of approximately 4% per license; resulting in a net revenue loss to TPWD of $26,125*96%= $25,080 General Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 are as follows:Senior Resident Freshwater Fishing: $12 @ 51,941 = $623,292Senior Resident Saltwater Fishing: $17 @ 11,479 = 195,143Senior Resident All water Fishing: $22 @ 25,797 = 567,534 Total = $1,385,969 This would result in a net loss in license agent receipts of $1,385,969*96%=$1,330,530. Combo Hunting and Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 is as follows:Senior Combo Hunting and Freshwater Fishing: $16 @ 17,436 = $278,976Senior Combo Hunting and Saltwater Fishing: $21 @ 705 = 14,805Senior Combo Hunting and All water Fishing: $26 @ 4,073 = 105,898 Total = $399,679 This would result in a net loss in license agent receipts of $399,679*96%= $383,692. Super Combo Hunting and Fishing Licenses: The Super Combo includes a resident hunting license, a resident fishing license and all hunting and fishing stamps (archery, upland, migratory hunting; freshwater and saltwater fishing stamps) The per license fee and number of resident senior fishing license holders in fiscal year 2010 is as follows:Senior Super Combo Package: $32 @ 47,250 = $1,512,000.This would result in a net loss in license agent receipts of $1,512,000*96%= $1,451,520. Revenue Gain General Hunting License ($7 per license):Assuming those seniors who purchased Combo and Super-Combo licenses (hunting and fishing) would still desire to hunt, TPWD would recognize a revenue gain. Senior Hunting License: (17,436 plus 705 plus 4,073 plus 47,250) = 69,464 @ $7 = $486,248.This would result in a net license agent fee revenue gain of $486,248*96%=$466,798. Hunting Stamps ($7 per stamp):Assuming those seniors who purchased the Super Combo Package would still desire to hunt the game requiring hunting stamps, TPWD would recognize a revenue gain. Through surveys TPWD asks Super Combo holders which "activities" (stamps) they used. This averages out to approximately 1.15 stamps per user.Hunting Stamps (in lieu of Super Combo): 47,250*1.15=54,338 @ $7 = $380,363.This would result in a net license agent fee revenue gain of $380,363*96%= $365,148. Summary:In total, the estimated net revenue loss per fiscal year to the General Revenue-Dedicated Game, Fish and Water Safety Account No. 9 is as follows:Daily Fishing: ($25,080)General Fishing: ($1,330,530)Combo: ($383,692)Super Combo: ($1,451,520)General Hunting: $466,798Hunting Stamps: $365,148Total: ($2,358,876)
The following analysis is based on the assumption that the number of licenses purchased by residents aged 65 and over remains at fiscal year 2010 levels.
Revenue Loss
Daily Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 are as follows:Senior One Day All water Fishing: $11 @ 2,207 = $24,277Senior Two Day All water Fishing: $22 @ 84 = 1,848 Total = $26,125Retail business (license agents such as Wal-Mart) charge a fee of approximately 4% per license; resulting in a net revenue loss to TPWD of $26,125*96%= $25,080
General Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 are as follows:Senior Resident Freshwater Fishing: $12 @ 51,941 = $623,292Senior Resident Saltwater Fishing: $17 @ 11,479 = 195,143Senior Resident All water Fishing: $22 @ 25,797 = 567,534 Total = $1,385,969 This would result in a net loss in license agent receipts of $1,385,969*96%=$1,330,530.
Combo Hunting and Fishing Licenses:The per license fee and number of resident senior fishing license holders in fiscal year 2010 is as follows:Senior Combo Hunting and Freshwater Fishing: $16 @ 17,436 = $278,976Senior Combo Hunting and Saltwater Fishing: $21 @ 705 = 14,805Senior Combo Hunting and All water Fishing: $26 @ 4,073 = 105,898 Total = $399,679 This would result in a net loss in license agent receipts of $399,679*96%= $383,692. Super Combo Hunting and Fishing Licenses: The Super Combo includes a resident hunting license, a resident fishing license and all hunting and fishing stamps (archery, upland, migratory hunting; freshwater and saltwater fishing stamps) The per license fee and number of resident senior fishing license holders in fiscal year 2010 is as follows:Senior Super Combo Package: $32 @ 47,250 = $1,512,000.This would result in a net loss in license agent receipts of $1,512,000*96%= $1,451,520. Revenue Gain
General Hunting License ($7 per license):Assuming those seniors who purchased Combo and Super-Combo licenses (hunting and fishing) would still desire to hunt, TPWD would recognize a revenue gain. Senior Hunting License: (17,436 plus 705 plus 4,073 plus 47,250) = 69,464 @ $7 = $486,248.This would result in a net license agent fee revenue gain of $486,248*96%=$466,798. Hunting Stamps ($7 per stamp):Assuming those seniors who purchased the Super Combo Package would still desire to hunt the game requiring hunting stamps, TPWD would recognize a revenue gain. Through surveys TPWD asks Super Combo holders which "activities" (stamps) they used. This averages out to approximately 1.15 stamps per user.Hunting Stamps (in lieu of Super Combo): 47,250*1.15=54,338 @ $7 = $380,363.This would result in a net license agent fee revenue gain of $380,363*96%= $365,148.
Summary:In total, the estimated net revenue loss per fiscal year to the General Revenue-Dedicated Game, Fish and Water Safety Account No. 9 is as follows:Daily Fishing: ($25,080)General Fishing: ($1,330,530)Combo: ($383,692)Super Combo: ($1,451,520)General Hunting: $466,798Hunting Stamps: $365,148Total: ($2,358,876)
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 802 Parks and Wildlife Department
802 Parks and Wildlife Department
LBB Staff: JOB, KM, ZS, TB
JOB, KM, ZS, TB