LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
April 18, 1997
TO: Honorable Clyde Alexander, Chair IN RE: House Bill No. 1437, Committee Report 1st House, Substituted
Committee on Transportation By: Carter
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB1437 ( Relating
to the creation of an emergency telephone call box system for
highway users in this state.) this office has detemined the
following:
Biennial Net Impact to General Revenue Funds by HB1437-Committee Report 1st House, Substituted
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.
Fiscal Analysis
The bill would require the department to establish an emergency
call box program along the state highway system. Farm-to-Market
and Ranch-to-Market roads would be excluded. The department
would be required to implement the system by June 1, 1998. The
department has estimated that installation of approximately
11,000 call boxes would be accomplished over a ten year period.
The provisions of the bill would be subject to the Texas Sunset
Act and unless continued would be abolished on September 1,
2007. The effective date of the bill would be September 1, 1997.
Methodolgy
The department has estimated that installation of approximately
11,000 call boxes would be accomplished over a ten year period.
The bill requires a fee to be paid to the Comptroller by each
insurer by March 1 of each year in an amount of one dollar multiplied
by the total number of motor vehicle years of insurance for
insurance policies delivered, issued for delivery, or renewed
by the insurer during the proceeding calendar year. The fee
amounts for the March 1, 1998 would only include applicable
policies issued after the effective date of the act. The fee
would be deposited into a separate account in the State Highway
Fund for the purpose of designing, implementing, operating,
and maintaining an emergency telephone call box system.
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 Probable Revenue
Savings/(Cost) Gain/(Loss) from
from State State Highway Fund
Highway Fund
0006 0006
1998 ($3,144,900) $3,865,545
1998 (6,115,800) 11,482,500
2000 (6,857,200) 11,598,000
2001 (7,598,600) 11,713,500
2002 (8,340,000) 11,808,000
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 $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.
No fiscal implication to units of local government is anticipated.
Source: Agencies:
LBB Staff: JK ,PE ,ML