LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION March 25, 2013 TO: Honorable Larry Phillips, Chair, House Committee on Transportation FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB1881 by McClendon (Relating to funds dedicated to the Texas rail relocation and improvement fund.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB1881, As Introduced: an impact of $0 through the biennium ending August 31, 2015. 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, 83RD LEGISLATIVE REGULAR SESSION
March 25, 2013
TO: Honorable Larry Phillips, Chair, House Committee on Transportation FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB1881 by McClendon (Relating to funds dedicated to the Texas rail relocation and improvement fund.), As Introduced
TO: Honorable Larry Phillips, Chair, House Committee on Transportation
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB1881 by McClendon (Relating to funds dedicated to the Texas rail relocation and improvement fund.), As Introduced
Honorable Larry Phillips, Chair, House Committee on Transportation
Honorable Larry Phillips, Chair, House Committee on Transportation
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB1881 by McClendon (Relating to funds dedicated to the Texas rail relocation and improvement fund.), As Introduced
HB1881 by McClendon (Relating to funds dedicated to the Texas rail relocation and improvement fund.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB1881, As Introduced: an impact of $0 through the biennium ending August 31, 2015. 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 HB1881, As Introduced: an impact of $0 through the biennium ending August 31, 2015.
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 2014 $0 2015 $0 2016 $0 2017 $0 2018 $0
2014 $0
2015 $0
2016 $0
2017 $0
2018 $0
All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain/(Loss) fromState Highway Fund6 Probable Revenue Gain/(Loss) fromTexas Rail Relocation and Improvement Fund 306 2014 ($5,335,601) $5,335,601 2015 ($5,442,313) $5,442,313 2016 ($5,551,159) $5,551,159 2017 ($5,662,182) $5,662,182 2018 ($5,775,426) $5,775,426
Fiscal Year Probable Revenue Gain/(Loss) fromState Highway Fund6 Probable Revenue Gain/(Loss) fromTexas Rail Relocation and Improvement Fund 306 2014 ($5,335,601) $5,335,601 2015 ($5,442,313) $5,442,313 2016 ($5,551,159) $5,551,159 2017 ($5,662,182) $5,662,182 2018 ($5,775,426) $5,775,426
2014 ($5,335,601) $5,335,601
2015 ($5,442,313) $5,442,313
2016 ($5,551,159) $5,551,159
2017 ($5,662,182) $5,662,182
2018 ($5,775,426) $5,775,426
Fiscal Analysis
The bill would amend Section 623.0111 of the Transportation Code to specify that from amounts remaining after the required deposits to the General Revenue Fund from permit fees for excess axle and gross weight under that section, $25 million in each fiscal year is to be deposited to the Texas Rail Relocation and Improvement Fund (Fund 306) and the remainder is to be deposited to the State Highway Fund (Fund 6). The bill would take effect immediately upon receiving a vote of two-thirds of all members elected to each house or otherwise on September 1, 2013.
The bill would amend Section 623.0111 of the Transportation Code to specify that from amounts remaining after the required deposits to the General Revenue Fund from permit fees for excess axle and gross weight under that section, $25 million in each fiscal year is to be deposited to the Texas Rail Relocation and Improvement Fund (Fund 306) and the remainder is to be deposited to the State Highway Fund (Fund 6).
The bill would take effect immediately upon receiving a vote of two-thirds of all members elected to each house or otherwise on September 1, 2013.
Methodology
Currently, the revenue collected from permit fees under Section 623.0111 is divided between the General Revenue Fund and State Highway Fund 6 (Fund 6) based on the number of counties designated on the permit. The bill would direct the portion of the revenue that is currently deposited to Fund 6 to the Texas Rail Relocation and Improvement Fund 306 (Fund 306) beginning on the effective date of the bill. The Department of Motor Vehicles (DMV) and the Comptroller of Public Accounts office report that $5,128,413 from these permit fees was deposited to Fund 6 in fiscal year 2012. Based on the analysis provided by the Comptrollers office, it is assumed the permit fee revenue will grow at a rate of two percent each fiscal year. For the purposes of this analysis, it is assumed the bill would take effect on September 1, 2013 (fiscal year 2014). Based on the information and analysis provided by DMV and the Comptrollers office, it is assumed the bill would result in a revenue loss of $5,335,601 to Fund 6 and an equal revenue gain to Fund 306 beginning in fiscal year 2014; and the revenue loss to Fund 6 and revenue gain to Fund 306 would continue at annual growth rate of two percent each year thereafter.
Currently, the revenue collected from permit fees under Section 623.0111 is divided between the General Revenue Fund and State Highway Fund 6 (Fund 6) based on the number of counties designated on the permit. The bill would direct the portion of the revenue that is currently deposited to Fund 6 to the Texas Rail Relocation and Improvement Fund 306 (Fund 306) beginning on the effective date of the bill.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts, 601 Department of Transportation, 608 Department of Motor Vehicles
304 Comptroller of Public Accounts, 601 Department of Transportation, 608 Department of Motor Vehicles
LBB Staff: UP, TG, AG, MW
UP, TG, AG, MW