LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                        February 20, 1995



 TO:     Honorable Ken Armbrister, Chair        IN RE:  Senate Bill No. 3
         Committee on State Affairs                     By: Bivins
         Senate
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on Senate Bill No.
3 (Relating to the regulation of commercial carriers; providing
civil, administrative, and criminal penalties.; ) 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  transfers responsibilities relating to commercial
carriers from the Railroad Commission to the Department of
Transportation and sets up a system of registration and insurance
requirements for commercial carriers of property and passengers
to be administered by the Department of Transportation. The bill
also removes all regulatory authority for motor carrier
transportation from the jurisdiction of the Railroad Commission.

The bill would require every commercial carrier subject to the
provisions of the bill to maintain liability and property
insurance covering every commercial vehicle operated by the
carrier.

The bill would direct the Department of Public Safety to enforce
the provisions of the bill including the adoption of safety rules
for commercial carriers consistent with federal law; allows for
the imposing  of administrative penalties for safety violations
committed by a commercial carrier; and requires the Department of
Public Safety to enforce a safety audit program similar to the
federal safety audit program for commercial carriers not subject    




to federal regulations.
 
The bill would abolish the Motor Carrier Act Enforcement Fund and
require all money in the account be transferred to the General
Revenue fund on September 1, 1995.  Department of Transportation
costs are based on Comptroller estimates.

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 Cost to   Probable Cost to  
             Year    Savings to the    the Department of   the Department of 
                    General Revenue    Transportation Out  Public Safety Out 
                        Fund 001          of  General         of  General    
                                        Revenue Fund 001   Revenue Fund 001  
                                                                             
          1996             $6,596,000            $571,000          $3,884,771
          1997              6,596,000             571,000           2,762,496
                                                                             
          1998              6,596,000             571,000           2,765,129
                                                                             
          1999              6,596,000             571,000           2,767,763
          2000              6,596,000             571,000           3,162,580
                                                                             
                                                                             
                                                                             
            Fiscal     Change in    
             Year   Number of State 
                     Employees from 
                        FY 1995     
                                    
                                    
          1996                (25.0)
          1997                (25.0)
                                    
          1998                (25.0)
                                    
          1999                (25.0)
          2000                (25.0)
                                    
                                    
                                    

       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, Department of Public
Safety,
                         Commission on Law Enforcement Officer
Standards and Education,
                         Department of Licensing and Regulation,
Railroad Commission, Department of Transportation
          LBB Staff: JK, ML, DF