LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session April 16, 1999 TO: Honorable John Smithee, Chair, House Committee on Insurance FROM: John Keel, Director, Legislative Budget Board IN RE: HB3757 by Giddings (relating to approved drug and alcohol driving awareness programs), Committee Report 1st House, Substituted ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * HB3757, Committee Report 1st House, Substituted: negative impact * * of $(488,368) through the biennium ending August 31, 2001. * * * * The bill would make no appropriation but could provide the legal * * basis for an appropriation of funds to implement the provisions of * * the bill. * ************************************************************************** General Revenue-Related Funds, Five-Year Impact: **************************************************** * Fiscal Year Probable Net Positive/(Negative) * * Impact to General Revenue Related * * Funds * * 2000 $(281,684) * * 2001 (206,684) * * 2002 (206,684) * * 2003 (206,684) * * 2004 (206,684) * **************************************************** All Funds, Five-Year Impact: *************************************************************************** *Fiscal Probable Savings/(Cost) from Change in Number of State * * Year General Revenue Fund Employees from FY 1999 * * 0001 * * 2000 $(281,684) 3.0 * * 2001 (206,684) 3.0 * * 2002 (206,684) 3.0 * * 2003 (206,684) 3.0 * * 2004 (206,684) 3.0 * *************************************************************************** Fiscal Analysis The bill would require the Texas Education Agency to develop and implement a driver awareness program designed to educate individuals concerning the dangers of driving while under the influence of drugs or alcohol. TEA would be required to develop a course of instruction, establish qualifications and a certification process for providers, and monitor and coordinate the educational programs. The curriculum for the program would be developed in coordination with the Texas Commission on Alcohol and Drug Abuse. The Department of Insurance would be require insurance companies to offer a 5% discount on auto coverage for individuals completing the course. Methodology The administrative cost of the program are the responsibility of the Texas Education Agency. The costs to TEA are estimated to be $281,684 in FY2000 and $206,684 for each year thereafter to account for contracting costs and 3 additional employees to implement and administer the program. The bill does not provide the authorization for TEA to impose fees to cover the cost of implementation and administration of the program. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 517 Commission on Alcohol and Drug Abuse, 701 Texas Education Agency - Administration LBB Staff: JK, TH