LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION March 11, 2011 TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE:SB86 by Nelson (Relating to municipal contracts for enforcement of outstanding traffic violation arrest warrants.), As Introduced No fiscal implication to the State is anticipated. The bill would repeal Section 702.002 of the Transportation Code that applies Chapter 702 only to a home-rule municipality. The bill would authorize a county tax assessor-collector or the Texas Department of Motor Vehicles that is under contract with a municipality for enforcement of outstanding traffic warrants to refuse to register a vehicle. Local Government Impact There could be a negative fiscal impact to a county that chose to contract with a municipality and exercise the authority to reject vehicle registrations resulting in a revenue loss. According to the Williamson County Tax Assessor-Collector, counties that choose to enter into a contract with a municipality and exercise the authority to reject vehicle registrations or renewals could experience a significant fiscal impact for costs associated with additional staffing, time and enforcement. According to the Texas Municipal League (TML), municipalities that entered into a contract with a county or the Texas Department of Motor Vehicles would experience a positive fiscal impact for revenue from the payment of unpaid traffic fines. Source Agencies: LBB Staff: JOB, KKR, TP LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION March 11, 2011 TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE:SB86 by Nelson (Relating to municipal contracts for enforcement of outstanding traffic violation arrest warrants.), As Introduced TO: Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations FROM: John S O'Brien, Director, Legislative Budget Board IN RE: SB86 by Nelson (Relating to municipal contracts for enforcement of outstanding traffic violation arrest warrants.), As Introduced Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations John S O'Brien, Director, Legislative Budget Board John S O'Brien, Director, Legislative Budget Board SB86 by Nelson (Relating to municipal contracts for enforcement of outstanding traffic violation arrest warrants.), As Introduced SB86 by Nelson (Relating to municipal contracts for enforcement of outstanding traffic violation arrest warrants.), As Introduced No fiscal implication to the State is anticipated. No fiscal implication to the State is anticipated. The bill would repeal Section 702.002 of the Transportation Code that applies Chapter 702 only to a home-rule municipality. The bill would authorize a county tax assessor-collector or the Texas Department of Motor Vehicles that is under contract with a municipality for enforcement of outstanding traffic warrants to refuse to register a vehicle. Local Government Impact There could be a negative fiscal impact to a county that chose to contract with a municipality and exercise the authority to reject vehicle registrations resulting in a revenue loss. According to the Williamson County Tax Assessor-Collector, counties that choose to enter into a contract with a municipality and exercise the authority to reject vehicle registrations or renewals could experience a significant fiscal impact for costs associated with additional staffing, time and enforcement. According to the Texas Municipal League (TML), municipalities that entered into a contract with a county or the Texas Department of Motor Vehicles would experience a positive fiscal impact for revenue from the payment of unpaid traffic fines. There could be a negative fiscal impact to a county that chose to contract with a municipality and exercise the authority to reject vehicle registrations resulting in a revenue loss. According to the Williamson County Tax Assessor-Collector, counties that choose to enter into a contract with a municipality and exercise the authority to reject vehicle registrations or renewals could experience a significant fiscal impact for costs associated with additional staffing, time and enforcement. According to the Texas Municipal League (TML), municipalities that entered into a contract with a county or the Texas Department of Motor Vehicles would experience a positive fiscal impact for revenue from the payment of unpaid traffic fines. Source Agencies: LBB Staff: JOB, KKR, TP JOB, KKR, TP