LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION April 8, 2013 TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3029 by Fletcher (Relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance.), As Introduced No significant fiscal implication to the State is anticipated. The bill would amend the Insurance Code relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance (TDI). The bill would require TDI to evaluate and implement additional programs to improve the performance of TDI's systems and operations designed to further reduce the uninsured vehicle rate of vehicles registered in Texas. The bill does not specify the type of additional system and operation enhancement TDI should implement with respect to the TexasSure Vehicle Insurance Verification program (TexasSure). Based on information provided by TDI, this analysis assumes that enhancements to the TexasSure system could be similar in size and scope to upgrades and changes TDI implemented previously, which totaled approximately $1.3 million in State Highway Fund 6 funds. These enhancements included updating program documentation; enhancement of database matching and query response processes; updates to ongoing verification processes and report production; upgrades to the customer notices and call center processes; as well as various other system modifications. This analysis further assumes that any costs associated with implementing the provisions of the bill could be absorbed utilizing existing staff and resources. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:454 Department of Insurance LBB Staff: UP, AG, MW, ER LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION April 8, 2013 TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3029 by Fletcher (Relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance.), As Introduced TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: Ursula Parks, Director, Legislative Budget Board IN RE: HB3029 by Fletcher (Relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance.), As Introduced Honorable John T. Smithee, Chair, House Committee on Insurance Honorable John T. Smithee, Chair, House Committee on Insurance Ursula Parks, Director, Legislative Budget Board Ursula Parks, Director, Legislative Budget Board HB3029 by Fletcher (Relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance.), As Introduced HB3029 by Fletcher (Relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance.), As Introduced No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. The bill would amend the Insurance Code relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance (TDI). The bill would require TDI to evaluate and implement additional programs to improve the performance of TDI's systems and operations designed to further reduce the uninsured vehicle rate of vehicles registered in Texas. The bill does not specify the type of additional system and operation enhancement TDI should implement with respect to the TexasSure Vehicle Insurance Verification program (TexasSure). Based on information provided by TDI, this analysis assumes that enhancements to the TexasSure system could be similar in size and scope to upgrades and changes TDI implemented previously, which totaled approximately $1.3 million in State Highway Fund 6 funds. These enhancements included updating program documentation; enhancement of database matching and query response processes; updates to ongoing verification processes and report production; upgrades to the customer notices and call center processes; as well as various other system modifications. This analysis further assumes that any costs associated with implementing the provisions of the bill could be absorbed utilizing existing staff and resources. The bill would amend the Insurance Code relating to enhanced Uninsured Vehicle reporting systems for the Texas Department of Insurance (TDI). The bill would require TDI to evaluate and implement additional programs to improve the performance of TDI's systems and operations designed to further reduce the uninsured vehicle rate of vehicles registered in Texas. The bill does not specify the type of additional system and operation enhancement TDI should implement with respect to the TexasSure Vehicle Insurance Verification program (TexasSure). Based on information provided by TDI, this analysis assumes that enhancements to the TexasSure system could be similar in size and scope to upgrades and changes TDI implemented previously, which totaled approximately $1.3 million in State Highway Fund 6 funds. These enhancements included updating program documentation; enhancement of database matching and query response processes; updates to ongoing verification processes and report production; upgrades to the customer notices and call center processes; as well as various other system modifications. This analysis further assumes that any costs associated with implementing the provisions of the bill could be absorbed utilizing existing staff and resources. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: 454 Department of Insurance 454 Department of Insurance LBB Staff: UP, AG, MW, ER UP, AG, MW, ER