LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session March 8, 1995 TO: Honorable Ken Armbrister, Chair IN RE: Committee Substitute Committee on State Affairs for Senate Senate Bill No. 3 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 motor 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