LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session March 20, 1997 TO: Honorable Bill Ratliff, Chair IN RE: Senate Joint Resolution No. 33 Committee on Finance By: Moncrief Senate Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on SJR33 ( Proposing a constitutional amendment relating to the dedication of the compensation to victims of crime fund and the compensation to victims of crime auxiliary fund.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by SJR33-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 a constitutional amendment to 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. Monies 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, as provided in Chapter 56 of the Code of Criminal Procedures. One exception to the proposed dedication would be provided by the proposed amendment. In the event of an episode of mass violence, the Legislative Budget Board would be authorized to expend monies in either of the two funds for the purpose of assisting victims of that event. Monies could be spent out of the two funds only after monies appropriated for providing assistance, as authorized under other state law, 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 1999 assumes that all revenue to the accounts would be appropriated. 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 GR-Dedicated Fund 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 2001 0 0 2002 0 0 The following is the cost to the State for publication of the resolution. Fiscal Year Probable Savings/(Cost) from General Revenue Fund 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 on local government would be the normal cost of conducting local elections but no other fiscal implications to local governments are anticipated. Source: Agencies: 302 Office of the Attorney General 304 Comptroller of Public Accounts LBB Staff: JK ,RR ,JC