LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 9, 2001
  
  
          TO:  Honorable Juan Hinojosa, Chair, House Committee on
               Criminal Jurisprudence
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB1988  by Hill (Relating to contracts for the collection
               of fines, fees, restitution, and other costs in a
               criminal case.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  HB1988, As Introduced:  negative impact of $(3,878,000) through       *
*  the biennium ending August 31, 2003.                                  *
**************************************************************************
  
General Revenue-Related Funds, Five-Year Net Impact:
  
          ****************************************************
          *  Fiscal Year  Probable Net Positive/(Negative)   *
          *               Impact to General Revenue Related  *
          *                             Funds                *
          *       2002                         $(1,901,000)  *
          *       2003                          (1,977,000)  *
          *       2004                          (2,057,000)  *
          *       2005                          (2,139,000)  *
          *       2006                          (2,225,000)  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
***************************************************************************
*Fiscal      Probable        Probable        Probable        Probable     *
* Year       Revenue         Revenue         Revenue         Revenue      *
*          Gain/(Loss)     Gain/(Loss)     Gain/(Loss)     Gain/(Loss)    *
*          from General   from Operators       from          from Law     *
*          Revenue Fund   and Chauffeurs  Comprehensive    Enforcement    *
*              0001          License      Rehabilitation     Officer      *
*                            Account/        Account/     Standards and   *
*                          GR-Dedicated    GR-Dedicated     Education     *
*                              0099            0107          Account/     *
*                                                          GR-Dedicated   *
*                                                              0116       *
*  2002      $(1,901,000)    $(3,453,000)    $(1,545,000)    $(1,477,000) *
*  2003       (1,977,000)     (3,465,000)     (1,590,000)     (1,490,000) *
*  2004       (2,057,000)     (3,476,000)     (1,650,000)     (1,504,000) *
*  2005       (2,139,000)     (3,486,000)     (1,710,000)     (1,517,000) *
*  2006       (2,225,000)     (3,498,000)     (1,770,000)     (1,530,000) *
***************************************************************************
  
***************************************************************************
*Fiscal      Probable        Probable        Probable        Probable     *
* Year       Revenue         Revenue         Revenue         Revenue      *
*          Gain/(Loss)     Gain/(Loss)     Gain/(Loss)     Gain/(Loss)    *
*         from Criminal        from          from Law       from Crime    *
*            Justice     Compensation to   Enforcement       Stoppers     *
*            Planning       Victims of      Management      Assistance    *
*            Account/     Crime Account/    Institute        Account/     *
*          GR-Dedicated    GR-Dedicated      Account/      GR-Dedicated   *
*              0421            0469        GR-Dedicated        5012       *
*                                              0581                       *
*  2002      $(3,540,000)   $(10,870,000)      $(640,000)       $(71,000) *
*  2003       (3,540,000)    (10,870,000)       (646,000)        (71,000) *
*  2004       (3,540,000)    (10,870,000)       (652,000)        (71,000) *
*  2005       (3,540,000)    (10,870,000)       (658,000)        (71,000) *
*  2006       (3,540,000)    (10,870,000)       (663,000)        (71,000) *
***************************************************************************
  
***************************************************************************
*Fiscal      Probable        Probable        Probable       Change in     *
* Year       Revenue         Revenue         Revenue     Number of State  *
*          Gain/(Loss)     Gain/(Loss)     Gain/(Loss)    Employees from  *
*        from Center for  from Judicial   from Judicial      FY 2001      *
*           Study and       and Court          Fund                       *
*         Prevention of     Personnel          0573                       *
*         Juvenile Crime  Training Fund                                   *
*              and             0540                                       *
*        Delinquency/ GR                                                  *
*           Dedicated                                                     *
*              5029                                                       *
*  2002        $(208,000)    $(1,060,000)    $(1,763,000)             2.0 *
*  2003         (230,000)     (1,060,000)     (1,926,000)             2.0 *
*  2004         (255,000)     (1,060,000)     (2,104,000)             2.0 *
*  2005         (282,000)     (1,060,000)     (2,299,000)             2.0 *
*  2006         (312,000)     (1,060,000)     (2,511,000)             2.0 *
***************************************************************************
  
Technology Impact
  
The Comptroller of Public Accounts indicated they would incur a cost of
$2,780 in fiscal year 2002 and of $2,160 in each following fiscal year
for leasing electronic data processing equipment.
  
  
Fiscal Analysis
  
The bill would amend the Code of Criminal Procedure to establish a
compensation ceiling at 30 percent of the collection of fines, fees, and
restitution for vendors providing collection services to counties.  Local
governments would be allowed to deduct the collection fee from the
amounts owed to the state.

The bill would take effect September 1, 2001.
  
  
Methodology
  
The Comptroller estimates of court cost revenue for various accounts and
funds are based on data from the "2002-2003 Biennial Revenue Estimate."
The Comptroller's office adjusted amounts for outsourcing a portion of
the collection services and for the collection fee.

The Comptroller anticipates an increased workload for local revenue
audits and estimates the need for hiring two additional auditors to
handle the added workload.  Including travel and electronic data
processing equipment costs, the Comptroller anticipates administrative
costs of $110,087 in fiscal year 2002 and $95,824 each year afterward
through fiscal 2006.
  
  
Local Government Impact
  
The counties contracting for collection services would have a revenue
gain equivalent to the state's projected loss.  The gain would help the
counties recover costs for contracting with a vendor for collection
services.  The positive fiscal impact would vary by county depending on
the amount of collections made.
  
  
Source Agencies:   304   Comptroller of Public Accounts
LBB Staff:         JK, JC, DB