LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
February 13, 1997
TO: Honorable Steven Wolens, Chair IN RE: House Bill No. 255
Committee on State Affairs By: Denny
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB255 ( Relating
to permitting county law enforcement authorities to receive
reduced airline fares while engaged in certain official duties.)
this office has detemined the following:
Biennial Net Impact to General Revenue Funds by HB255-As Introduced
Implementing the provisions of the bill would result in a net
negative impact of $(88,928) to General Revenue Related Funds
through the biennium ending August 31, 1999.
The bill would make no appropriation but could provide the legal
basis for an appropriation of funds to implement the provisions
of the bill.
Fiscal Analysis
The bill would allow a county sheriff or deputy sheriff who
is transporting a state prisoner under a felony warrant to participate
in the General Services Commission's contracts for travel services,
enabling these officials and their prisoners to receive reduced
airline fares.
Methodolgy
Estimates are based on the General Services Commission's (GSC)
determination that extending travel contract eligibility to
county sheriffs and deputy sheriffs would significantly increase
the agency's travel management workload.
The GSC notes that
use of the state's discounted airline fares by county sheriffs
and deputy sheriffs may lead to airline fare increases under
the state's travel contracts. This is based on the assumption
that higher demand for discounted airfares would lead airlines
to reduce the amount of the discount offered under the state
travel contracts in an attempt to recover lost revenue.
The probable fiscal implications of implementing the provisions
of the bill during each of the first five years following passage
is estimated as follows:
Five Year Impact:
Fiscal Year Probable Change in Number
Savings/(Cost) of State
from General Employees from
Revenue Fund FY 1997
0001
1998 ($50,964) 1.0
1998 (37,964) 1.0
2000 (37,964) 1.0
2001 (37,964) 1.0
2002 (37,964) 1.0
Net Impact on General Revenue Related Funds:
The probable fiscal implication to General Revenue related funds
during each of the first five years is estimated as follows:
Fiscal Year Probable Net Postive/(Negative)
General Revenue Related Funds
Funds
1998 ($50,964)
1999 (37,964)
2000 (37,964)
2001 (37,964)
2002 (37,964)
Similar annual fiscal implications would continue as long as
the provisions of the bill are in effect.
The GSC notes that use of the state's discounted airline fares
by county sheriffs and deputy sheriffs would result in a potential
savings of $8,750 per county or $750,000 statewide. Actual
savings would vary depending on each county's airline travel
volume. County administrative costs associated with processing
travel accounts may reduce these savings.
Source: Agencies: 303 General Services Commission
LBB Staff: JK ,JD ,PE ,RN