LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
March 27, 2001
TO: Honorable Ron Wilson, Chair, House Committee on Licensing
& Administrative Procedures
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB659 by Pickett (Relating to the regulation of the sale
and inspection of real estate.), Committee Report 1st
House, Substituted
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB659, Committee Report 1st House, Substituted: positive impact *
* of $156,000 through the biennium ending August 31, 2003. *
* *
* The bill would make no appropriation but could provide the legal *
* basis for an appropriation of funds to implement the provisions of *
* the bill. *
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General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $78,000 *
* 2003 78,000 *
* 2004 78,000 *
* 2005 78,000 *
* 2006 78,000 *
****************************************************
All Funds, Five-Year Impact:
*****************************************************
* Fiscal Year Probable Revenue Gain/(Loss) from *
* General Revenue Fund *
* 0001 *
* 2002 $78,000 *
* 2003 78,000 *
* 2004 78,000 *
* 2005 78,000 *
* 2006 78,000 *
*****************************************************
Technology Impact
No technology impact is anticipated.
Fiscal Analysis
The bill would make several amendments to the Real Estate License Act,
VTCS Article 6573. The bill would increase the fee charged by the Texas
Real Estate Commission (TREC) for education and continuing education
transcript evaluations from $15 to $20, institute a new fee for real
estate inspectors requesting a name change for up to $20, allow TREC
staff to file complaints against licensees who fail to comply with
continuing education reporting, and increase inspector continuing
education requirements from four to eight hours and professional
inspectors from eight to sixteen hours per year. The bill would also
amend the administrative penalties from the current ceiling of $1,000 to
a maximum of $1,000 per day for violations.
The bill would become effective September 1, 2001.
Methodology
TREC estimates 15,000 transcript evaluations per year which would
generate an additional $75,000 in general revenue through the $5
increase in the fee. TREC also estimates approximately 150 name change
applications each year generating $3,000 per year in general revenue.
TREC anticipates absorbing any additional duties within current
resources.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 329 Texas Real Estate Commission, 302 Office of
the Attorney General, 304 Comptroller of Public
Accounts
LBB Staff: JK, JO, RT, KM