LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 23, 2021 TO: Honorable Terry Canales, Chair, House Committee on Transportation FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1064 by Alvarado (Relating to the extended registration of certain county fleet vehicles.), As Engrossed Estimated Two-year Net Impact to General Revenue Related Funds for SB1064, As Engrossed : an impact of $0 through the biennium ending August 31, 2023. 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, Six- Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact toGeneral Revenue Related Funds2021$02022$02023$02024$02025$02026$0All Funds, Six-Year Impact: Fiscal Year Probable Savings/(Cost) fromTexas Department of Motor Vehicles Fund102021($250,000)2022$02023$02024$02025$02026$0 Fiscal AnalysisThe bill would amend Chapter 502 of the Transportation Code to require the Texas Department of Motor Vehicles (TxDMV) to develop and implement a system to allow the owner of an exempt county fleet to register the fleet of exempt vehicles for an extended period of not less than one year or more than eight years. Under the provisions of the bill, an exempt county fleet would be defined as a group of two or more nonapportioned exempt motor vehicles, semitrailers, or trailers that is owned by and exclusively used in the service of a county with a population of 3.3 million or more. The bill would specify that a motor vehicle, semitrailer, or trailer registered under the extended exempt county fleet registration would be subject to inspection requirements as if it were registered without an extended registration period. The bill would require TxDMV to adopt rules to implement the provisions of the bill.The bill would take effect on September 1, 2021. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 23, 2021 TO: Honorable Terry Canales, Chair, House Committee on Transportation FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1064 by Alvarado (Relating to the extended registration of certain county fleet vehicles.), As Engrossed TO: Honorable Terry Canales, Chair, House Committee on Transportation FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1064 by Alvarado (Relating to the extended registration of certain county fleet vehicles.), As Engrossed Honorable Terry Canales, Chair, House Committee on Transportation Honorable Terry Canales, Chair, House Committee on Transportation Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board SB1064 by Alvarado (Relating to the extended registration of certain county fleet vehicles.), As Engrossed SB1064 by Alvarado (Relating to the extended registration of certain county fleet vehicles.), As Engrossed Estimated Two-year Net Impact to General Revenue Related Funds for SB1064, As Engrossed : an impact of $0 through the biennium ending August 31, 2023. 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 SB1064, As Engrossed : an impact of $0 through the biennium ending August 31, 2023. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. 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, Six- Year Impact: 2021 $0 2022 $0 2023 $0 2024 $0 2025 $0 2026 $0 All Funds, Six-Year Impact: 2021 ($250,000) 2022 $0 2023 $0 2024 $0 2025 $0 2026 $0 Fiscal Analysis The bill would amend Chapter 502 of the Transportation Code to require the Texas Department of Motor Vehicles (TxDMV) to develop and implement a system to allow the owner of an exempt county fleet to register the fleet of exempt vehicles for an extended period of not less than one year or more than eight years. Under the provisions of the bill, an exempt county fleet would be defined as a group of two or more nonapportioned exempt motor vehicles, semitrailers, or trailers that is owned by and exclusively used in the service of a county with a population of 3.3 million or more. The bill would specify that a motor vehicle, semitrailer, or trailer registered under the extended exempt county fleet registration would be subject to inspection requirements as if it were registered without an extended registration period. The bill would require TxDMV to adopt rules to implement the provisions of the bill.The bill would take effect on September 1, 2021. The bill would take effect on September 1, 2021. Methodology Based on information provided by TxDMV, it is assumed the agency would incur a one-time cost of $250,000 to the Texas Department of Motor Vehicles Fund in fiscal year 2021 for programming changes to accommodate the new process for extended exempt county fleet registration.Because the bill would require vehicles, semitrailers, and trailers that are part of an extended exempt county fleet registration to comply with state vehicle inspection laws as if they were not registered for an extended period of more than one year, it is assumed implementation of the bill would not impact State revenue collections from vehicle inspections. Because the bill would require vehicles, semitrailers, and trailers that are part of an extended exempt county fleet registration to comply with state vehicle inspection laws as if they were not registered for an extended period of more than one year, it is assumed implementation of the bill would not impact State revenue collections from vehicle inspections. Technology It is assumed TxDMV would incur a one-time information technology cost of $250,000 for programming changes in fiscal year 2021 to accommodate the new exempt county fleet registration process by the bill's effective date of September 1, 2021. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts, 608 Department of Motor Vehicles 304 Comptroller of Public Accounts, 608 Department of Motor Vehicles LBB Staff: b > td > JMc, AAL, TG, MB JMc, AAL, TG, MB