LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  April 16, 1997
         
         
      TO: Honorable Robert Junell, Chair            IN RE:  House Joint Resolution
                                                                No. 1
          Committee on Appropriations                              By: Gallego
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HJR1 ( Proposing 
a constitutional amendment relating to the purposes for which 
money in the compensation to victims of crime fund and the compensation 
to victims of crime auxiliary fund may be used.) this office 
has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HJR1-As Introduced
         
Implementing the provisions of the bill would result in a net 
negative impact of $(182,913,000) to General Revenue Related 
Funds through the biennium ending August 31, 1999.
         

         
 
Fiscal Analysis
 
The resolution would propose an amendment to the Texas Constitution 
relating to the purposes for which money in the Compensation 
to Victims of Crime Fund and the Compensation to Victims of 
Crime Auxiliary Fund may be used.  The resolution would  make 
the Compensation to Victims of Crime GR-Account 0469 and the 
Compensation to Victims of Crime Auxiliary GR-Account 0494 dedicated 
funds in the State Treasury.  Currently, they are dedicated 
accounts in the General Revenue Fund 0001. 

Moneys deposited 
to the credit of these funds, from whatever source and subject 
to Legislative appropriation, could be expended only for the 
purpose of compensating victims of crime and for providing services 
to victims of crime. 
 
One exception to the proposed dedication 
would be provided by the proposed amendment.  In the event of 
an episode of mass violence, the Legislature would be authorized 
to expend moneys in either of the two funds for the purpose 
of assisting victims of that event.  Money could be spent out 
of the two funds only after money appropriated for providing 
assistance were depleted.  

The proposed constitutional amendment 
would be submitted to the voters at an election to be held November 
4, 1997.  Upon passage, the proposed constitutional amendment 
would take effect January 1, 1998.
 
Methodolgy
 
By creating new constitutionally dedicated funds, there would 
be a loss to the General Revenue Fund because the two dedicated 
accounts would no longer be in the General Revenue Fund.  The 
first-year loss for each account is based on the estimated fiscal 
1997 ending balance plus the amount by which estimated revenues 
would exceed estimated expenditures in fiscal 1998.  For each 
year thereafter, the losses are based on the difference between 
estimated revenues and expenditures.  The estimates of expenditures 
for 1998 and 1999 are based on the proposed 1998-99 General 
Appropriations Act, as filed.  The fiscal impact after fiscal 
year 1999 assumes that all revenue to the accounts would be 
appropriated.

The cost to the state for publication of the 
resolution would be $71,000.
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   Probable Revenue   Probable Revenue   
            Certification      Gain/(Loss) from   Gain/(Loss) from   Gain/(Loss) from                     
            Gain/(Loss) from   Compensation to    Compensation to    New -                                
            General Revenue    Victims of Crime   Victims of Crime   Compensation to                      
            Fund               Account/           Auxiliary          Victims of Crime                     
                               GR-Dedicated       Account/           and Auxiliary Fund                   
                                                  GR-Dedicated                                            
            0001               0469               0494               NEW-OTH                               
       1998    ($156,747,000)    ($154,134,000)      ($2,613,000)      $156,747,000                  
       1998      (26,095,000)      (25,444,000)         (651,000)        26,095,000                  
       2000                 0                 0                 0                 0                  
       2001                 0                 0                 0                 0                  
       2002                 0                 0                 0                 0                  
 
 
Fiscal Year Probable           
            Savings/(Cost)                                                                                
            from General                                                                                  
            Revenue Fund for                                                                              
            publication of                                                                                
            the resolution                                                                                
            0001                                                                                           
       1998                                                                                          
       1999                 0                                                                        
       2000                 0                                                                        
       2001                 0                                                                        
       2002                 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       ($156,818,000)
               1999         (26,095,000)
               2000                    0
               2001                    0
               2002                    0
 
          
The fiscal impact to local government would be the normal cost 
of conducting local elections but no other fiscal implications 
to local governments are anticipated.
          
   Source:            Agencies:   304   Comptroller of Public Accounts
                                         302   Office of the Attorney General
                                         
                      LBB Staff:   JK ,RR ,JC