LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION March 26, 2015 TO: Honorable Wayne Smith, Chair, House Committee on Licensing & Administrative Procedures FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2089 by Darby (Relating to the repeal of certain occupational license fees and taxes.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB2089, As Introduced: a negative impact of ($249,951,000) through the biennium ending August 31, 2017.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
March 26, 2015
TO: Honorable Wayne Smith, Chair, House Committee on Licensing & Administrative Procedures FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2089 by Darby (Relating to the repeal of certain occupational license fees and taxes.), As Introduced
TO: Honorable Wayne Smith, Chair, House Committee on Licensing & Administrative Procedures
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB2089 by Darby (Relating to the repeal of certain occupational license fees and taxes.), As Introduced
Honorable Wayne Smith, Chair, House Committee on Licensing & Administrative Procedures
Honorable Wayne Smith, Chair, House Committee on Licensing & Administrative Procedures
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB2089 by Darby (Relating to the repeal of certain occupational license fees and taxes.), As Introduced
HB2089 by Darby (Relating to the repeal of certain occupational license fees and taxes.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB2089, As Introduced: a negative impact of ($249,951,000) through the biennium ending August 31, 2017.
Estimated Two-year Net Impact to General Revenue Related Funds for HB2089, As Introduced: a negative impact of ($249,951,000) through the biennium ending August 31, 2017.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2016 ($124,256,000) 2017 ($125,695,000) 2018 ($126,791,000) 2019 ($127,900,000) 2020 ($129,021,000)
2016 ($124,256,000)
2017 ($125,695,000)
2018 ($126,791,000)
2019 ($127,900,000)
2020 ($129,021,000)
All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain/(Loss) fromGeneral Revenue Fund1 Probable Revenue Gain/(Loss) fromFoundation School Fund193 Probable Revenue Gain/(Loss) fromTexas A&M Real Estate Center 2016 ($92,852,000) ($31,404,000) ($1,360,000) 2017 ($93,931,000) ($31,764,000) ($1,360,000) 2018 ($94,753,000) ($32,038,000) ($1,360,000) 2019 ($95,585,000) ($32,315,000) ($1,360,000) 2020 ($96,426,000) ($32,595,000) ($1,360,000)
Fiscal Year Probable Revenue Gain/(Loss) fromGeneral Revenue Fund1 Probable Revenue Gain/(Loss) fromFoundation School Fund193 Probable Revenue Gain/(Loss) fromTexas A&M Real Estate Center 2016 ($92,852,000) ($31,404,000) ($1,360,000) 2017 ($93,931,000) ($31,764,000) ($1,360,000) 2018 ($94,753,000) ($32,038,000) ($1,360,000) 2019 ($95,585,000) ($32,315,000) ($1,360,000) 2020 ($96,426,000) ($32,595,000) ($1,360,000)
2016 ($92,852,000) ($31,404,000) ($1,360,000)
2017 ($93,931,000) ($31,764,000) ($1,360,000)
2018 ($94,753,000) ($32,038,000) ($1,360,000)
2019 ($95,585,000) ($32,315,000) ($1,360,000)
2020 ($96,426,000) ($32,595,000) ($1,360,000)
Fiscal Analysis
The bill would repeal certain occupational license fees and taxes. The bill would repeal Sections 153.053, 201.153(b) and (c), 254.004(b), 351.153, 501.153, 801.154(b), (c) and (d), 901.406, 901.407, 901.410, 1001.206, 1051.652, 1101.153, and 1105.003(e) of the Occupations Code; Subchapter H of Chapter 191 of the Tax Code; and Section 41 of Article 581-41, Vernon's Texas Civil Statutes. All the sections to be repealed (except 153.053) charge additional fees of $200 to be collected from chiropractors, dentists, optometrists and therapeutic optometrists, psychologists, veterinarians, accountants, engineers, architects, real estate brokers, attorneys, and investment representatives; $50 is deposited to the Foundation School Fund (FSF) and the remaining $150 to the General Revenue (GR) Fund. From the fee for real estate brokers, $100 is deposited to GR, $50 to the FSF, and $50 to the Texas A&M Real Estate Center. Section 153.053, regarding physicians, has three additional fees (a $200 license fee, a $200 fee for license reinstatement after cancellation, and a $400 fee for registration permits), with each allocated 75 percent to GR and 25 percent to the FSF. The bill would take effect September 1, 2015.
The bill would repeal certain occupational license fees and taxes. The bill would repeal Sections 153.053, 201.153(b) and (c), 254.004(b), 351.153, 501.153, 801.154(b), (c) and (d), 901.406, 901.407, 901.410, 1001.206, 1051.652, 1101.153, and 1105.003(e) of the Occupations Code; Subchapter H of Chapter 191 of the Tax Code; and Section 41 of Article 581-41, Vernon's Texas Civil Statutes. All the sections to be repealed (except 153.053) charge additional fees of $200 to be collected from chiropractors, dentists, optometrists and therapeutic optometrists, psychologists, veterinarians, accountants, engineers, architects, real estate brokers, attorneys, and investment representatives; $50 is deposited to the Foundation School Fund (FSF) and the remaining $150 to the General Revenue (GR) Fund. From the fee for real estate brokers, $100 is deposited to GR, $50 to the FSF, and $50 to the Texas A&M Real Estate Center. Section 153.053, regarding physicians, has three additional fees (a $200 license fee, a $200 fee for license reinstatement after cancellation, and a $400 fee for registration permits), with each allocated 75 percent to GR and 25 percent to the FSF.
The bill would take effect September 1, 2015.
Methodology
The Comptroller's 2016-17 Biennial Revenue Estimate was used, with projections made for 2018 and beyond, for determining the bill's fiscal impacts.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts, 212 Office of Court Administration, Texas Judicial Council, 312 Securities Board, 329 Real Estate Commission, 457 Board of Public Accountancy, 459 Board of Architectural Examiners, 460 Board of Professional Engineers, 503 Texas Medical Board, 514 Optometry Board, 520 Board of Examiners of Psychologists, 578 Board of Veterinary Medical Examiners
304 Comptroller of Public Accounts, 212 Office of Court Administration, Texas Judicial Council, 312 Securities Board, 329 Real Estate Commission, 457 Board of Public Accountancy, 459 Board of Architectural Examiners, 460 Board of Professional Engineers, 503 Texas Medical Board, 514 Optometry Board, 520 Board of Examiners of Psychologists, 578 Board of Veterinary Medical Examiners
LBB Staff: UP, CL, SD, AG, KK, AH
UP, CL, SD, AG, KK, AH