LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 1, 2025 TO: Honorable Ken King, Chair, House Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1510 by Shaheen (Relating to the functions and duties of the Texas Ethics Commission.), As Introduced No significant fiscal implication to the State is anticipated. This bill would amend the Election Code and the Government Code related to the functions and duties of the Texas Ethics Commission (TEC).According to the Sunset Commission, provisions of the bill that would limit the accrual of certain late filing penalties could have a potential negative revenue impact to the state, depending on the number of late reports and on the amounts of penalties assessed and collected. According to the Comptroller of Public Accounts, provisions of the bill related to the limitation and abolishment of penalties for certain required reports would have a negative effect on the state's cash flow of $44,000 in General Revenue per year while the impact on revenue from other provisions of the bill cannot be estimated. It is assumed that the overall effect on revenue from the bill cannot be determined.The bill would remove certain prescriptive statutory mailing requirements. It is assumed any savings due to the elimination of these requirements would have no significant fiscal impact on the agency.The bill would require TEC to prioritize complaint investigations based on risk, eliminate certain statutory filing exemptions, and change deadline and reporting periods for certain filers. According to Sunset, these costs could be absorbed within existing TEC resources.It is assumed that costs related to modifications to TEC enforcement practices could be absorbed with existing resources.According to the State Office of Administrative Hearings, no significant fiscal impact is anticipated.According to the Office of Court Administration, no significant fiscal impact to the state court system is anticipated. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 116 Sunset Advisory Commission, 212 Office of Court Administration, Texas Judicial Council, 304 Comptroller of Public Accounts, 356 Texas Ethics Commission, 360 State Office of Administrative Hearings LBB Staff: b > td > JMc, WP, LCO, GP LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 1, 2025 TO: Honorable Ken King, Chair, House Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1510 by Shaheen (Relating to the functions and duties of the Texas Ethics Commission.), As Introduced TO: Honorable Ken King, Chair, House Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1510 by Shaheen (Relating to the functions and duties of the Texas Ethics Commission.), As Introduced Honorable Ken King, Chair, House Committee on State Affairs Honorable Ken King, Chair, House Committee on State Affairs Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board HB1510 by Shaheen (Relating to the functions and duties of the Texas Ethics Commission.), As Introduced HB1510 by Shaheen (Relating to the functions and duties of the Texas Ethics Commission.), As Introduced No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. This bill would amend the Election Code and the Government Code related to the functions and duties of the Texas Ethics Commission (TEC).According to the Sunset Commission, provisions of the bill that would limit the accrual of certain late filing penalties could have a potential negative revenue impact to the state, depending on the number of late reports and on the amounts of penalties assessed and collected. According to the Comptroller of Public Accounts, provisions of the bill related to the limitation and abolishment of penalties for certain required reports would have a negative effect on the state's cash flow of $44,000 in General Revenue per year while the impact on revenue from other provisions of the bill cannot be estimated. It is assumed that the overall effect on revenue from the bill cannot be determined.The bill would remove certain prescriptive statutory mailing requirements. It is assumed any savings due to the elimination of these requirements would have no significant fiscal impact on the agency.The bill would require TEC to prioritize complaint investigations based on risk, eliminate certain statutory filing exemptions, and change deadline and reporting periods for certain filers. According to Sunset, these costs could be absorbed within existing TEC resources.It is assumed that costs related to modifications to TEC enforcement practices could be absorbed with existing resources.According to the State Office of Administrative Hearings, no significant fiscal impact is anticipated.According to the Office of Court Administration, no significant fiscal impact to the state court system is anticipated. The bill would remove certain prescriptive statutory mailing requirements. It is assumed any savings due to the elimination of these requirements would have no significant fiscal impact on the agency.The bill would require TEC to prioritize complaint investigations based on risk, eliminate certain statutory filing exemptions, and change deadline and reporting periods for certain filers. According to Sunset, these costs could be absorbed within existing TEC resources.It is assumed that costs related to modifications to TEC enforcement practices could be absorbed with existing resources.According to the State Office of Administrative Hearings, no significant fiscal impact is anticipated.According to the Office of Court Administration, no significant fiscal impact to the state court system is anticipated. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 116 Sunset Advisory Commission, 212 Office of Court Administration, Texas Judicial Council, 304 Comptroller of Public Accounts, 356 Texas Ethics Commission, 360 State Office of Administrative Hearings 116 Sunset Advisory Commission, 212 Office of Court Administration, Texas Judicial Council, 304 Comptroller of Public Accounts, 356 Texas Ethics Commission, 360 State Office of Administrative Hearings LBB Staff: b > td > JMc, WP, LCO, GP JMc, WP, LCO, GP