LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
April 30, 1997
TO: Honorable Kim Brimer, Chair IN RE: Senate Bill No. 700, Committee Report 2nd House, as amended
Committee on Business & Industry By: Armbrister
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB700 ( relating
to unclaimed property; providing penalties.) this office has
detemined the following:
Biennial Net Impact to General Revenue Funds by SB700-Committee Report 2nd House, as amended
Implementing the provisions of the bill would result in a net
positive impact of $250,000 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 make various amendments to the Government Code,
the Insurance Code, the Local Government Code, the Natural Resources
Code, and the Property Code to provide clarification and changes
to publication requirements, penalties and interest, enforcement,
and other miscellaneous topics relating to unclaimed property,
and to conform with state funds consolidation and the abolishment
of statutory dedications enacted in the 71st Legislature, First
Called Session. The bill would correct obsolete statutory references
to the Treasurer and make other non-substantive changes relating
to unclaimed property.
Methodolgy
Except for the provisions relating to enforcement, penalties,
interest, and publishing notice of unclaimed property, the bill
would not have a fiscal impact on the state or local governments.
The
provisions relating to enforcement, penalties, and interest
would have a positive fiscal impact on the state. The financial
gain to the state would depend on the actions of individuals
and corporations that violated these provisions.
There would
be a fiscal implication from the requirement that the comptroller
publish in a newspaper notification of unclaimed property having
a value under $100. Over the last four years, claims between
$50 and $100 have accounted for 40 percent of the published
claims. The Comptroller's Office plans to use other methods
of circulating the names of these claimants.
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
Savings/(Cost)
from General
Revenue Fund
0001
1998 $125,000
1998 125,000
2000 125,000
2001 125,000
2002 125,000
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 $125,000
1999 125,000
2000 125,000
2001 125,000
2002 125,000
Similar annual fiscal implications would continue as long as
the provisions of the bill are in effect.
No significant fiscal implication to units of local government
is anticipated.
Source: Agencies: 304 Comptroller of Public Accounts
LBB Staff: JK ,TH ,RN