LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session March 27, 1995 TO: Honorable Ken Armbrister, Chair IN RE: Senate Bill No. 1470 Committee on State Affairs By: Turner, Jim Senate Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on Senate Bill No. 1470 (Relating to intellectual property rights and publications of the Texas Department of Transportation.) 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 allow the Department of Transportation to apply for, register, secure, hold, and protect patents, copyrights, and trademarks for items including ideas, publications, and other original innovations fixed in a tangible medium. In addition, the bill would allow the Department to enter into non-exclusive license agreements with any third party for the receipt of fees, royalties, or other things of monetary or nonmonetary value. The bill would also allow the Department to recover the direct and indirect costs of production for large quantities of pamphlets, documents, maps, and other travel material and authorize the free distribution of multiple copies if it maximizes the Departments resources and promotes travel within the state. The bill provides that certain funds deposited to the credit of the State Highway Fund be exempted from Sections 403.094(h) and 403.095, Government Code. Included in this exemption are revenues from the sale of promotional items. The Comptroller's current revenue estimate for the 1996-97 biennium includes $5,000,000 for such items. The exemption of these items from the provisions of fund consolidation would result in a $5,000,000 loss to General Revenue consolidated funds and a $5,000,000 gain to the State Highway fund. It should be noted, however, that current provisions included in Senate Bill 2 would allocate this revenue to the State Highway Fund. Under the provisions of Senate Bill 2 there would be no loss to General Revenue Consolidated. The fiscal implication to the State or units of local government cannot be determined. Source: Department of Transportation LBB Staff: JK, ML, DF