LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session February 25, 1997 TO: Honorable Ron E. Lewis, Chair IN RE: House Bill No. 964 Committee on County Affairs By: Kamel House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB964 ( Relating to county regulation of roadside vendors.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB964-As Introduced Implementing the provisions of the bill would result in a net impact of $0 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 Currently, only Dallas and Harris Counties have the authority to regulate roadside vendors. This bill would remove that authority from Harris County while extending it to the remaining counties in the state. According to the Department of Transportation, this bill would result in a proliferation of vendors because it would allow their authorization. The department believes that it would experience an increased workload since it would have to coordinate appropriate vending locations with county officials and vendors, increase shoulder maintenance, repair pavement edge drop-offs caused by vehicles leaving and entering the pavement, remove litter from vending locations, remove unauthorized signs and remove or relocate unauthorized vendors. Methodolgy The Department of Transportation estimates that its costs for litter collection would increase by $80 for each of the 278 maintenance sections throughout the state, while costs for shoulder maintenance would increase by $750 per maintenance section. Since this bill would take effect upon enactment, it is assumed that the department would incur increased maintenance costs for the fourth quarter of fiscal year 1997. The probable fiscal implications of implementing the provisions of the bill during each of the first five years following passage is estimated as follows: Six Year Impact: Fiscal Year Probable Savings/(Cost) from State Highway Fund 0006 1997 ($57,685) 1997 (230,740) 1999 (230,740) 2000 (230,740) 2001 (230,740) 2002 (230,740) 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 1997 $0 1998 0 1999 0 2000 0 2001 0 2002 0 Similar annual fiscal implications would continue as long as the provisions of the bill are in effect. Local governments could realize increased revenues as a result of this bill, since it is assumed they could charge for permits. However, increased revenues would be offset by the cost of initiating and administering a roadside vendor regulation program. No significant fiscal implication to local governments is anticipated. Source: Agencies: 601 Department of Transportation LBB Staff: JK ,TL