LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION April 25, 2011 TO: Honorable John Carona, Chair, Senate Committee on Business & Commerce FROM: John S O'Brien, Director, Legislative Budget Board IN RE:SB1848 by Hegar (Relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency service fee.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for SB1848, As Introduced: an impact of $0 through the biennium ending August 31, 2013. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION April 25, 2011 TO: Honorable John Carona, Chair, Senate Committee on Business & Commerce FROM: John S O'Brien, Director, Legislative Budget Board IN RE:SB1848 by Hegar (Relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency service fee.), As Introduced TO: Honorable John Carona, Chair, Senate Committee on Business & Commerce FROM: John S O'Brien, Director, Legislative Budget Board IN RE: SB1848 by Hegar (Relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency service fee.), As Introduced Honorable John Carona, Chair, Senate Committee on Business & Commerce Honorable John Carona, Chair, Senate Committee on Business & Commerce John S O'Brien, Director, Legislative Budget Board John S O'Brien, Director, Legislative Budget Board SB1848 by Hegar (Relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency service fee.), As Introduced SB1848 by Hegar (Relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency service fee.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for SB1848, As Introduced: an impact of $0 through the biennium ending August 31, 2013. Estimated Two-year Net Impact to General Revenue Related Funds for SB1848, As Introduced: an impact of $0 through the biennium ending August 31, 2013. 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) from911 Service Fees5050 Probable Revenue Gain fromEmergency Service Fee on Wireless Telecommunications Trust Fund 0875 2012 ($36,703,000) $36,703,000 2013 ($36,703,000) $36,703,000 2014 ($36,703,000) $36,703,000 2015 ($36,703,000) $36,703,000 2016 ($36,703,000) $36,703,000 Fiscal Year Probable Revenue (Loss) from911 Service Fees5050 Probable Revenue Gain fromEmergency Service Fee on Wireless Telecommunications Trust Fund 0875 2012 ($36,703,000) $36,703,000 2013 ($36,703,000) $36,703,000 2014 ($36,703,000) $36,703,000 2015 ($36,703,000) $36,703,000 2016 ($36,703,000) $36,703,000 2012 ($36,703,000) $36,703,000 2013 ($36,703,000) $36,703,000 2014 ($36,703,000) $36,703,000 2015 ($36,703,000) $36,703,000 2016 ($36,703,000) $36,703,000 Fiscal Analysis The bill would amend the Health and Safety Code relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency fee. The Commission on State Emergency Communications (CSEC) would be required to distribute the wireless service fee to each emergency communication district and regional planning commission. Emergency communication districts and regional planning commissions would be required to reimburse wireless service providers for certain reasonable expenses. The Comptroller of Public Accounts (CPA) would be required to remit to CSEC the wireless service fee and prepaid wireless service fee and CSEC would be required to distribute the money. The bill would take effect on September 1, 2011. The bill would amend the Health and Safety Code relating to the distribution of the emergency service fee for wireless telecommunications connections and the prepaid 9-1-1 emergency fee. The Commission on State Emergency Communications (CSEC) would be required to distribute the wireless service fee to each emergency communication district and regional planning commission. Emergency communication districts and regional planning commissions would be required to reimburse wireless service providers for certain reasonable expenses. The Comptroller of Public Accounts (CPA) would be required to remit to CSEC the wireless service fee and prepaid wireless service fee and CSEC would be required to distribute the money. The bill would take effect on September 1, 2011. Methodology It is assumed that the Commission on State Emergency Communications would distribute all the wireless service fees in the Emergency Service Fee on Wireless Telecommunications Trust Fund No. 0875 by the 15th day of each month instead of depositing money into General Revenue-Dedicated 9-1-1 Service Fees Account No. 5050. It is also assumed that appropriations from General Revenue-Dedicated 9-1-1 Service Fees Account No. 5050 would be reduced by the amount distributed to the Regional Planning Commissions out of Emergency Service Fee on Wireless Telecommunications Trust Fund No. 0875. It is anticipated that any costs associated with implementation of the legislation could be absorbed within existing resources. It is assumed that the Commission on State Emergency Communications would distribute all the wireless service fees in the Emergency Service Fee on Wireless Telecommunications Trust Fund No. 0875 by the 15th day of each month instead of depositing money into General Revenue-Dedicated 9-1-1 Service Fees Account No. 5050. It is also assumed that appropriations from General Revenue-Dedicated 9-1-1 Service Fees Account No. 5050 would be reduced by the amount distributed to the Regional Planning Commissions out of Emergency Service Fee on Wireless Telecommunications Trust Fund No. 0875. It is anticipated that any costs associated with implementation of the legislation could be absorbed within existing resources. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 304 Comptroller of Public Accounts, 477 Commission on State Emergency Communications 304 Comptroller of Public Accounts, 477 Commission on State Emergency Communications LBB Staff: JOB, AG, MS, BTA JOB, AG, MS, BTA