LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
74th Regular Session
March 28, 1995
TO: Honorable Clyde Alexander, Chair IN RE: House Bill No. 2151
Committee on Transportation By: Bosse
House of Representatives
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on House Bill No.
2151 (Relating to the issuance of titles to certain motor
vehicles.) 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 require that a domestic insurance company that
acquires ownership of a late model salvage motor vehicle through
payment of a claim shall surrender a properly assigned
certificate of title to the Department of Transportation. The
bill creates two additional title certificates, a salvage motor
vehicle certificate and a nonrepairable motor vehicle
certificate. An insurance company would not be able to sell a
motor vehicle until an appropriate certificate had been issued by
the Department. The bill would allow the Department to set a fee,
not to exceed an amount that was sufficient, when added to other
fees, to cover the actual costs to the Department for issuing the
certificates.
The bill would also require the Department of Public Safety to
inspect certain repaired vehicles for safety and parts
identification and provide a written statement of compliance. The
Department of Public Safety would be able to set a fee, in an
amount not to exceed the actual cost to the Department, for
conducting an inspection and providing the written statement.
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 Net Probable Cost Probable Cost Probable
Year Program Out of to Local Revenue Gain
Savings to General Governments to Local
State Highway Revenue Fund Governments
Fund 006 001
1996 $12,960 $5,688,468 $127,803 $450,000
1997 14,460 3,225,012 73,728 450,000
1998 14,460 3,228,852 73,728 450,000
1999 14,460 3,232,693 73,728 450,000
2000 14,460 3,236,533 73,728 450,000
Fiscal Change in
Year Number of
State
Employees
from FY
1995
1996 42.0
1997 42.0
1998 42.0
1999 42.0
2000 42.0
Fiscal Year Probable Probable
Revenue Gain Revenue Gain
from General from State
Revenue Fund Highway Fund
001 006
1996 $5,688,468 $750,000
1997 3,225,012 $750,000
1998 3,228,852 $750,000
1999 3,232,693 $750,000
2000 3,236,533 $750,000
Similar annual fiscal implications would continue as long as the
provisions of the bill are in effect.
Source: Comptroller of Public Accounts, Department of Public
Safety,
Department of Transportation
LBB Staff: JK, ML, DF