LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session April 4, 1997 TO: Honorable Allen Place, Chair IN RE: Senate Bill No. 35, Committee Report 2nd House, Substituted Committee on Criminal Jurisprudence By: West, Royce/et al. House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on SB35 ( Relating to operating a vehicle while intoxicated or under the influence of alcohol by a minor and other actions of a minor concerning the acquisition, possession, and use of alcohol; providing penalties.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by SB35-Committee Report 2nd House, Substituted Implementing the provisions of the bill would result in a net positive impact of $3,000,000 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 The bill would amend the Alcoholic Beverage Code by creating the offense of Driving Under the Influence of Alcohol by a Minor. This offense would apply to any person under the age of 21 driving with any detectable amount of alcohol in his or her system. This provision of the bill would affect Texas' eligibility for federal funding. According to Section 161, Title 23, U.S. Code, Texas must enact a zero-tolerance law for minors driving with a Blood Alcohol Content (BAC) content of .02 or greater to avoid losing approximately $38 million in federal fiscal year 1999 for federal highway construction funds and $77 million each year thereafter. In addition, the zero-tolerance provision and the driver's license suspension provision would assist the state in meeting eligibility for National Highway Traffic Safety Administration grant funding of up to $2.8 million each fiscal year for up to five years. The bill would also increase the available punishment options available for minors convicted of alcohol related offenses. Punishment could include a combination of a fine, community service, driver's license suspension or denial, or confinement in jail on the third and subsequent offenses. The bill would also amend the Transportation Code by increasing the period of driver's license suspension for minors convicted of motor vehicle related alcohol offenses. Methodolgy It is estimated that there would be approximately 5,000 additional license suspensions for Driving Under the Influence (requiring a $100 driver's license reinstatement fee) and 20,000 cases involving Minor in Possession of Alcoholic Beverage suspensions (requiring a $50 reinstatement fee). The estimate allows for 17 additional employees to meet the additional legal, information systems, and administrative workload requirements of the bill. Due to the additional sanctions, it is anticipated that the 5,000 suspensions would result would result in a hearing request rate of 40% or 2,000 hearings per year. (The current rate is 20% per year.) 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 State General Revenue Employees from Highway Fund Fund FY 1997 0006 0001 1998 ($1,038,157) $1,500,000 17.0 1998 (668,208) 1,500,000 17.0 2000 (668,208) 1,500,000 17.0 2001 (668,208) 1,500,000 17.0 2002 (668,208) 1,500,000 17.0 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 $1,500,000 1999 1,500,000 2000 1,500,000 2001 1,500,000 2002 1,500,000 No significant fiscal implication to units of local government is anticipated. Source: Agencies: 665 Juvenile Probation Commission 405 Department of Public Safety 304 Comptroller of Public Accounts 694 Youth Commission LBB Staff: JK ,CB ,RS