LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION February 23, 2015 TO: Honorable Larry Phillips, Chair, House Committee on Homeland Security & Public Safety FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB229 by Guillen (Relating to the disposition of surplus motor vehicles and other law enforcement equipment by the Department of Public Safety of the State of Texas.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB229, As Introduced: a negative impact of ($6,039,000) through the biennium ending August 31, 2017.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
February 23, 2015
TO: Honorable Larry Phillips, Chair, House Committee on Homeland Security & Public Safety FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB229 by Guillen (Relating to the disposition of surplus motor vehicles and other law enforcement equipment by the Department of Public Safety of the State of Texas.), As Introduced
TO: Honorable Larry Phillips, Chair, House Committee on Homeland Security & Public Safety
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB229 by Guillen (Relating to the disposition of surplus motor vehicles and other law enforcement equipment by the Department of Public Safety of the State of Texas.), As Introduced
Honorable Larry Phillips, Chair, House Committee on Homeland Security & Public Safety
Honorable Larry Phillips, Chair, House Committee on Homeland Security & Public Safety
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB229 by Guillen (Relating to the disposition of surplus motor vehicles and other law enforcement equipment by the Department of Public Safety of the State of Texas.), As Introduced
HB229 by Guillen (Relating to the disposition of surplus motor vehicles and other law enforcement equipment by the Department of Public Safety of the State of Texas.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB229, As Introduced: a negative impact of ($6,039,000) through the biennium ending August 31, 2017.
Estimated Two-year Net Impact to General Revenue Related Funds for HB229, As Introduced: a negative impact of ($6,039,000) 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 ($3,019,500) 2017 ($3,019,500) 2018 ($3,019,500) 2019 ($3,019,500) 2020 ($3,019,500)
2016 ($3,019,500)
2017 ($3,019,500)
2018 ($3,019,500)
2019 ($3,019,500)
2020 ($3,019,500)
All Funds, Five-Year Impact: Fiscal Year Probable Revenue (Loss) fromGeneral Revenue Fund1 Probable Revenue Gain fromAppropriated Receipts666 2016 ($3,019,500) $3,019,500 2017 ($3,019,500) $3,019,500 2018 ($3,019,500) $3,019,500 2019 ($3,019,500) $3,019,500 2020 ($3,019,500) $3,019,500
Fiscal Year Probable Revenue (Loss) fromGeneral Revenue Fund1 Probable Revenue Gain fromAppropriated Receipts666 2016 ($3,019,500) $3,019,500 2017 ($3,019,500) $3,019,500 2018 ($3,019,500) $3,019,500 2019 ($3,019,500) $3,019,500 2020 ($3,019,500) $3,019,500
2016 ($3,019,500) $3,019,500
2017 ($3,019,500) $3,019,500
2018 ($3,019,500) $3,019,500
2019 ($3,019,500) $3,019,500
2020 ($3,019,500) $3,019,500
Fiscal Analysis
The bill exempts DPS from the provisions of Government Code, Chapter 2175, relating to surplus and salvage property. The bill would authorize the Department of Public Safety (DPS) to dispose of surplus vehicles and equipment through certain direct transfers to a municipal or county law enforcement agency.
The bill exempts DPS from the provisions of Government Code, Chapter 2175, relating to surplus and salvage property. The bill would authorize the Department of Public Safety (DPS) to dispose of surplus vehicles and equipment through certain direct transfers to a municipal or county law enforcement agency.
Methodology
According to DPS, currently, 75 percent of revenues from sales of surplus motor vehicles and other law enforcement equipment is deposited into the General Revenue Fund. DPS is appropriated the remaining 25 percent as Appropriated Receipts. DPS estimates this 75 percent amount deposited to the General Revenue Fund to be $3,019,500 per fiscal year ($4,026,000 in total sales x 0.75). Since the bill exempts DPS from the provisions of Government Code, Chapter 2175, including Section 2175.191, which provides for the deposit of revenues from the sale of surplus property into the General Revenue Fund, this analysis assumes the bill would authorize DPS to keep all revenues from sales of surplus motor vehicles and certain other law enforcement equipment as Appropriated Receipts. Correspondingly, deposits to the General Revenue Fund from these sales revenues would cease, resulting in an estimated loss to the General Revenue Fund of $3,019,500 per fiscal year. It is assumed implementing the provisions of the bill could be absorbed within existing agency resources.
According to DPS, currently, 75 percent of revenues from sales of surplus motor vehicles and other law enforcement equipment is deposited into the General Revenue Fund. DPS is appropriated the remaining 25 percent as Appropriated Receipts. DPS estimates this 75 percent amount deposited to the General Revenue Fund to be $3,019,500 per fiscal year ($4,026,000 in total sales x 0.75).
Since the bill exempts DPS from the provisions of Government Code, Chapter 2175, including Section 2175.191, which provides for the deposit of revenues from the sale of surplus property into the General Revenue Fund, this analysis assumes the bill would authorize DPS to keep all revenues from sales of surplus motor vehicles and certain other law enforcement equipment as Appropriated Receipts. Correspondingly, deposits to the General Revenue Fund from these sales revenues would cease, resulting in an estimated loss to the General Revenue Fund of $3,019,500 per fiscal year.
It is assumed implementing the provisions of the bill could be absorbed within existing agency resources.
Technology
No significant fiscal implication pertaining to technology is anticipated.
Local Government Impact
No significant fiscal implication to units of local government is anticipated. It is assumed that local law enforcement agencies would agree to a transfer at a price or for other consideration if sufficient funding was available.
Source Agencies: 405 Department of Public Safety
405 Department of Public Safety
LBB Staff: UP, ESi, AI, JAW, KVe
UP, ESi, AI, JAW, KVe