LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                           May 12, 1995



 TO:     Honorable Ken Armbrister, Chair        IN RE: Committee Substitute
         Committee on State Affairs             for
         Senate                                                House Bill
         Austin, Texas                          No. 1419
                                                        By: Cain









FROM: John Keel, Director

In response to your request for a Fiscal Note on House Bill No.
1419 (Relating to certificates and permits issued by the
Alcoholic Beverage Commission and to regulation of private club
permittees by certain municipalities.) this office has determined
the following:

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 amend the Alcoholic Beverage Code by allowing the
Texas Alcoholic Beverage Commission to issue food and beverage
certificates to certain holders of alcoholic beverage permits. 
By statute, the total permit and license fee revenue collected by
the Alcoholic Beverage Commission must equal its legislative
appropriations for the regulation of the industry.  In addition
to collecting the revenue from permits and license fees as set by
law, the Commission is authorized to levy a surcharge on all
permits and licenses (with the rate set by Commission rule) to
ensure that revenue collected equals appropriations.  As a
result, any increase in costs would be offset by a similar
increase in revenues.


The probable fiscal implication of implementing the provisions of
the bill during each of the first  five years following passage    




is estimated as follows:
     


 
            Fiscal  Probable Cost Out    Probable Revenue      Change in    
             Year      of  General      Gain to   General   Number of State 
                     Revenue Fund 001    Revenue Fund 001    Employees from 
                                                                FY 1995     
                                                                            
          1996                $764,040            $746,040              18.0
          1997                 679,016             679,016              18.0
                                                                            
          1998                 679,746             679,746              18.0
                                                                            
          1999                 665,655             665,655              18.0
          2000                 665,831             665,831              18.0
                                                                            
                                                                            
                                                                            
       Similar annual fiscal implications would continue as long as the
provisions of the bill are in effect.

No significant fiscal implication to units of local government is
anticipated.




Source:   Alcoholic Beverage Commission
          LBB Staff: JK, RT, BR, DF