LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session March 26, 1999 TO: Honorable J.E. "Buster" Brown, Chair, Senate Committee on Natural Resources FROM: John Keel, Director, Legislative Budget Board IN RE: SB631 by Duncan (relating to modifications to the boll weevil eradication program), Committee Report 1st House, Substituted ************************************************************************** * No significant fiscal implication to the State is anticipated. * ************************************************************************** Fiscal Analysis The bill provides the Commissioner of the Texas Department of Agriculture (TDA) with authority to audit or inspect the financial records of the Texas Boll Weevil Eradication Foundation (TBWEF) whenever deemed necessary. The bill would allow the TBWEF to develop a compliance program for the collection of assessments owed by producers in active zones to finance boll weevil eradication efforts. Also, the bill would allow the Commissioner of the Texas Department of Agriculture to establish provisions that would define the various roles of producers, cotton ginners, and cotton buyers as they relate to the timely collection of assessments. The TBWEF will issue compliance certificates to growers when their assessment is paid. The bill allows for an incentive for producers to pay assessments before they are due by giving the Commissioner the authority to establish penalties and interest against growers who pay assessments after a prescribed time period. Methodology Although the TDA would need to develop a communication system with the TBWEF to ensure timely reporting of payment of growers, there would be no significant technological impact on the TDA as a result of the bill. According to the TDA, the TBWEF would absorb the cost of implementing this program. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: LBB Staff: JK, DE, TT