LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 8, 2001
  
  
          TO:  Honorable Clyde Alexander, Chair, House Committee on
               Transportation
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB1705  by Smithee (Relating to the issuance of Air Force
               Association license plates.), As Introduced
  
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*  No significant fiscal implication to the State is anticipated.        *
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The bill would amend the Transportation Code to authorize the Texas
Department of Transportation (TxDOT) to issue specially designed "Air
Force Association" license plates.  The bill would require an annual fee
of $30 for the license plates and would require that $25 of the fee, in
addition to any other registration fees, be deposited in the State
Treasury to the credit of a newly-created dedicated account in the
General Revenue Fund.  The bill would require TxDOT to use $5 from each
fee collected to defray the costs of providing the plates and that these
proceeds would be deposited in the State Highway Fund.  The bill would
also require that funds deposited in the new dedicated account may only
be appropriated to the Texas Veterans Commission for the purpose of
making grants to benefit projects sponsored by the Air Force Association
of Texas.

No significant fiscal implication to the State is anticipated due to the
number of license plates expected to be issued.

The bill would take effect immediately upon receiving a two-thirds
majority vote in both houses; otherwise, the bill would take effect
September 1, 2001.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   403   Texas Veterans Commission, 601   Texas
                   Department of Transportation
LBB Staff:         JK, JO, RT, MW