LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 4, 1997
         
         
      TO: Honorable Kenneth Armbrister, Chair            IN RE:  Senate Bill No. 627
          Committee on State Affairs                              By: Sibley
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on SB627 ( Relating 
to certification of bail bondsmen by the Texas Department of 
Licensing and Regulation; providing a penalty.) this office 
has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by SB627-As Introduced
         
Implementing the provisions of the bill would result in a net 
positive impact of $24,710 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 
(TDLR) to register bail bondsmen and provides for criminal penalties 
for related violations.  The certification of bail bondsmen 
would be administered through an examination provided through 
the Department and through continuing education requirements. 
 In addition, this bill provides for the creation of the Bail 
Bondsman Advisory Council to serve as an advisory committee 
to the Department.  

The fiscal impacts related to this bill 
relate primarily to the examinations and certification requirements.
 
Methodolgy
 
It is assumed that approximately 800 bail bondsmen would renew 
registrations in 1998, half of which would renew for one year 
at $120, and the remainder would renew for two years at $240. 
Beginning in 1999, approximately 400 bail bondsman per year 
would renew for a two year period.  The number of examinees 
would increase from 80 in 1998 to 100 in 1999 at $100 per exam. 
 The number of examinees would decrease to 50 per year in future 
years.  Travel costs are assumed at a total of $5,000 per meeting 
for 9 members.  For 2 meetings per year, the estimate is $10,000. 
 The agency would require 3 additional FTEs at an annual cost 
of $60,936 primarily for exam administration. The total cost 
estimate includes operating expenses.
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           Registration and   
            Savings/(Cost)     Examination Fees                                                           
            from General       -
Probable                                                                
            Revenue Fund       Revenue                                                                    
                               Gain/(Loss) from                                                           
                               General Revenue                                                            
                               Fund                                                                       
            0001               0001                                                                        
       1998        ($134,180)          $152,000                                                      
       1998         (118,310)           125,200                                                      
       2000         (118,310)           110,600                                                      
       2001         (118,310)           129,800                                                      
       2002         (118,310)           129,800                                                      
 
 
         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              $17,820
               1999                6,890
               2000              (7,710)
               2001               11,490
               2002               11,490
 
          
No fiscal implication to units of local government is anticipated.
          
   Source:            Agencies:   452   Department of Licensing and Regulation
                                         
                      LBB Staff:   JK ,JD ,RA