LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session May 12, 1997 TO: Honorable James E. "Pete" Laney IN RE: House Bill No. 1487, As Passed 2nd House Speaker of the House Cuellar House of Representatives Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB1487 ( Relating to the regulation of certain transportation service providers; providing penalties.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB1487-As Passed 2nd House 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 This bill requires the Department of Licensing and Regulation to register certain property transportation providers and provides for criminal and civil penalties for related violations. This bill requires the registration of those who coordinate the movement of cargo or other property throughout the state. The bill outlines specific criteria for registration eligibility and provides authorization for the department to collect registration and renewal fees to offset administration costs. This bill requires the creation of the Transportation Service Provider Fund. This new fund would hold all fees collected from registrants required by this bill. Amounts in this fund would only be accessible by the department for the administration and enforcement of the requirements in this bill. The department would require an investigator, an admin. tech I and their related costs to enforce the provisions of this bill. Methodolgy The Department assumes the population of eligible registrants is 500 throughout the state. Registrations and renewals are $350 per registrant and are valid for 2 years. The department assumes 265 registrants in the first year and 235 combined renewals and registrations for subsequent years. Personnel costs for an Investigator III and an Admin. Tech. I are $45,720 per year. Travel costs of $3,000 per year are estimated for expected complaint investigations. 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 Change in Number Savings/(Cost) Gain/(Loss) from of State from New - New - Employees from Other Transportation Other Transportation FY 1997 Service Provider Service Provider Fund Fund NEW-OTH NEW-OTH 1998 ($89,046) $92,750 2.0 1998 (78,006) 82,250 2.0 2000 (78,006) 82,250 2.0 2001 (78,006) 82,250 2.0 2002 (78,006) 82,250 2.0 Net Impact on General Revenue Related Funds: 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 ,TH ,JD ,PE ,RA ,ML