LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  February 17, 1997
         
         
      TO: Honorable Edmund Kuempel, Chair            IN RE:  House Bill No. 520
          Committee on State Recreational Resources                              By: Woolley
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB520 ( Relating 
to menhaden boat licenses.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB520-As Introduced
         
No significant fiscal implication to the State is anticipated. 
 The bill would create a new class of menhaden boat license. 
 As a result, two menhaden boat licenses, Class A and Class 
B, would be offered.

In the past, the Parks and Wildlife 
Department has required a license for only those boats involved 
in catching, storing and transporting menhaden.  Under HB520, 
this license would be known as a Class A menhaden boat license. 
 The current statutory minimum license fee is $2,000, but the 
Parks and Wildlife Commission has set the fee at $3,500.  HB520 
would not impact license fee revenues for boats involved in 
catching, storing and transporting menhaden.

HB520 would 
create a second class of license, known as a Class B menhaden 
boat license, at a minimum fee of $50.  The Class B license 
would be required for boats that assist in catching menhaden. 
 Prior to fiscal year 1997, the Parks and Wildlife Department 
did not require such boats to obtain a license.  Therefore, 
the fiscal impact of HB520 is calculated by multiplying the 
number of Class B boats (42) by the license fee of $50.  The 
estimated fiscal impact is a revenue gain to the Game, Fish 
and Water Safety Account 009 of $2,100.

In fiscal year 1997, 
however, the Parks and Wildlife Department determined that the 
current statute also required boats that assist in catching 
menhaden to obtain a license.  Current law only established 
one license, so boats that assist in catching menhaden are now 
required to obtain a license at a fee of $3,500.  Under the 
agency's recent interpretation, license revenue generated from 
boats that assist in catching menhaden could total $147,000 
(42 x $3,500) in fiscal year 1997.  Under HB520, the license 
fee for these boats would be established at a minimum of $50, 
and the license would be known as a Class B license.  The estimated 
fiscal impact of HB520 in relation to the agency's recent interpretation 
of the law is a revenue loss to the Game, Fish and Water Safety 
Account 009 of $144,900 ($147,000 generated from the $3,500 
license minus the $2,100 generated from the Class B $50 ).
         

         
 
          
No fiscal implication to units of local government is anticipated.
          
   Source:            Agencies:   802   Parks and Wildlife Department
                                         
                      LBB Staff:   JK ,BB ,DM