LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
May 5, 1997
TO: Honorable Ron Wilson, Chair IN RE: Senate Bill No. 1031, As Engrossed
Committee on Licensing & Administrative Procedures By: Patterson,Jerry
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB1031 ( relating
to the assignment of a lottery prize.) this office has detemined
the following:
Biennial Net Impact to General Revenue Funds by SB1031-As Engrossed
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
The bill would authorize a lottery prize winner to "assign",
or transfer to another recipient, their prize winnings through
a court order from either the district court where the assignor
resides or the district court in Travis County. The Texas
Lottery Commission would be required to establish procedures
to account for and administer the assignments ordered. The
bill would authorize the commission to charge fees to recover
any costs of administering prize assignments.
Methodolgy
Administration of the prize assignment function in other states
indicates the process to be a labor intensive one. Based on
these experiences, the Texas Lottery Commission estimates that
each assignment in Texas would cost $500 to administer and projects
a total annual administration cost of $31,000.
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 Change in Number
Savings/(Cost) Gain/(Loss) from of State
from Lottery Lottery Account/ Employees from
Account/ GR-Dedicated FY 1997
GR-Dedicated
5025 5025
1998 ($36,303) $36,303 1.0
1998 (31,303) 31,303 1.0
2000 (31,303) 31,303 1.0
2001 (31,303) 31,303 1.0
2002 (31,303) 31,303 1.0
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: 362 Texas Lottery Commission
LBB Staff: JK ,TH ,JD ,PH