LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 13, 2021 TO: Honorable Charles Schwertner, Chair, Senate Committee on Administration FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB713 by Buckingham (relating to the sunset review process and certain governmental entities subject to that process.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for SB713, Committee Report 1st House, Substituted : an impact of $0 through the biennium ending August 31, 2023. General Revenue-Related Funds, Five- Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact toGeneral Revenue Related Funds2022$02023$02024$02025$02026$0All Funds, Five-Year Impact: Fiscal Year Probable Savings fromAppropriated Receipts666 Probable (Cost) fromAppropriated Receipts6662022$125,917($125,917)2023$13,990($13,990)2024$0$02025$0$02026$0$0 Fiscal AnalysisThe bill would adjust the Sunset dates of several agencies and include reviews of the San Jacinto River Authority, the Low-Level Radioactive Waste Disposal Compact Commission, and the Texas Real Estate Commission, including the Appraiser Licensing and Certification Board. The bill would not have a fiscal impact to the Sunset Advisory Commission, as it does not receive appropriations related to the inclusion of regular state agencies in the Sunset review schedule, but some entities such as river authorities and self-directed, semi-independent agencies are required to pay for the cost of their reviews. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 13, 2021 TO: Honorable Charles Schwertner, Chair, Senate Committee on Administration FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB713 by Buckingham (relating to the sunset review process and certain governmental entities subject to that process.), Committee Report 1st House, Substituted TO: Honorable Charles Schwertner, Chair, Senate Committee on Administration FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB713 by Buckingham (relating to the sunset review process and certain governmental entities subject to that process.), Committee Report 1st House, Substituted Honorable Charles Schwertner, Chair, Senate Committee on Administration Honorable Charles Schwertner, Chair, Senate Committee on Administration Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board SB713 by Buckingham (relating to the sunset review process and certain governmental entities subject to that process.), Committee Report 1st House, Substituted SB713 by Buckingham (relating to the sunset review process and certain governmental entities subject to that process.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for SB713, Committee Report 1st House, Substituted : an impact of $0 through the biennium ending August 31, 2023. Estimated Two-year Net Impact to General Revenue Related Funds for SB713, Committee Report 1st House, Substituted : an impact of $0 through the biennium ending August 31, 2023. General Revenue-Related Funds, Five- Year Impact: 2022 $0 2023 $0 2024 $0 2025 $0 2026 $0 All Funds, Five-Year Impact: 2022 $125,917 ($125,917) 2023 $13,990 ($13,990) 2024 $0 $0 2025 $0 $0 2026 $0 $0 Fiscal Analysis The bill would adjust the Sunset dates of several agencies and include reviews of the San Jacinto River Authority, the Low-Level Radioactive Waste Disposal Compact Commission, and the Texas Real Estate Commission, including the Appraiser Licensing and Certification Board. The bill would not have a fiscal impact to the Sunset Advisory Commission, as it does not receive appropriations related to the inclusion of regular state agencies in the Sunset review schedule, but some entities such as river authorities and self-directed, semi-independent agencies are required to pay for the cost of their reviews. Methodology The Sunset Advisory Commission would incur costs for fiscal years 2022-2023 for the review of the San Jacinto River Authority, which would be offset by the San Jacinto River Authority paying for the review. The cost to conduct the review would be $94,196 in fiscal year 2022 and $10,466 in fiscal year 2023. San Jacinto River Authority generates its own revenue through water and wastewater sales, issuing permits for structures on Lake Conroe, and/or other means. The authority does not receive appropriations from General Revenue.The Low-Level Radioactive Waste Disposal Compact Commission would undergo Sunset review at the same time as the Texas Commission of Environmental Quality. The Sunset Advisory Commission would incur costs for fiscal years 2022-2023, which would be offset by the compact commission paying for its review. The cost to conduct the review would be $31,721 in fiscal year 2022 and $3,524 in fiscal year 2023.The Low-Level Radioactive Waste Disposal Compact Commission is funded through a General Revenue-Dedicated account, made up primarily of fees for disposal of low-level radioactive waste.The Texas Real Estate Commission and Appraiser and Licensing and Certification Board would undergo Sunset review in fiscal years 2030-2031. The Sunset Advisory Commission would incur costs for fiscal years 2030-31, which would be offset by the agency paying for its review. The cost to conduct the review would be $90,630 in fiscal year 2030 and $10,070 in fiscal year 2031.The Real Estate Commission, which includes the Appraiser and Licensing and Certification Board, is a self-directed, semi-independent agency that does not receive General Revenue Funds. The agency's funding is primarily from fees on the real estate industry. San Jacinto River Authority generates its own revenue through water and wastewater sales, issuing permits for structures on Lake Conroe, and/or other means. The authority does not receive appropriations from General Revenue. The Low-Level Radioactive Waste Disposal Compact Commission would undergo Sunset review at the same time as the Texas Commission of Environmental Quality. The Sunset Advisory Commission would incur costs for fiscal years 2022-2023, which would be offset by the compact commission paying for its review. The cost to conduct the review would be $31,721 in fiscal year 2022 and $3,524 in fiscal year 2023. The Low-Level Radioactive Waste Disposal Compact Commission is funded through a General Revenue-Dedicated account, made up primarily of fees for disposal of low-level radioactive waste. The Texas Real Estate Commission and Appraiser and Licensing and Certification Board would undergo Sunset review in fiscal years 2030-2031. The Sunset Advisory Commission would incur costs for fiscal years 2030-31, which would be offset by the agency paying for its review. The cost to conduct the review would be $90,630 in fiscal year 2030 and $10,070 in fiscal year 2031. The Real Estate Commission, which includes the Appraiser and Licensing and Certification Board, is a self-directed, semi-independent agency that does not receive General Revenue Funds. The agency's funding is primarily from fees on the real estate industry. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: b > td > 116 Sunset Advisory Commission 116 Sunset Advisory Commission LBB Staff: b > td > JMc, LBO, CMA, MMF, SMAT JMc, LBO, CMA, MMF, SMAT