LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session March 28, 1995 TO: Honorable Ron Wilson, Chair IN RE: House Bill No. 2451 Committee on Licensing & By: Brimer Administrative Procedures House of Representatives Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on House Bill No. 2451 (Relating to the regulation of alcoholic beverages and imposing a limit on the number of package store permits which may be issued in a county.) 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 provisions of this bill that are the subject of this analysis would amend the Alcoholic Beverage Code by; * Increasing the annual state fee for a package store permit by $200. * Create a new package store permit. * Limiting the number of package store permits per county under certain conditions. * Establishing a lottery for the issuance of new package store 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 licenses 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, the increased package store permit fee revenue would reduce the surcharge revenue by an equal amount. 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 Revenue Probable Revenue Year Gain/(Loss) from Gain/(Loss) from Increased fees to Surcharge Decrease General Revenue to General Revenue Fund 001 Fund 001 1996 $425,000 ($425,000) 1997 404,000 (404,000) 1998 371,000 (371,000) 1999 314,000 (314,000) 2000 252,000 (252,000) Similar annual fiscal implications would continue as long as the provisions of the bill are in effect. The fiscal implication to units of local government cannot be determined. Source: Comptroller of Public Accounts, Alcoholic Beverage Commission LBB Staff: JK, RT, DF