LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              March 20, 2001
  
  
          TO:  Honorable Clyde Alexander, Chair, House Committee on
               Transportation
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB2203  by Gutierrez (Relating to the construction of
               facilities and trails for bicycles and electric
               bicycles.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  HB2203, As Introduced:  negative impact of $(28,196,000) 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.                                                             *
**************************************************************************
  
General Revenue-Related Funds, Five-Year Impact:
  
          ****************************************************
          *  Fiscal Year  Probable Net Positive/(Negative)   *
          *               Impact to General Revenue Related  *
          *                             Funds                *
          *       2002                        $(13,790,000)  *
          *       2003                         (14,406,000)  *
          *       2004                         (15,062,000)  *
          *       2005                         (15,744,000)  *
          *       2006                         (16,444,000)  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
***********************************************************************
*Fiscal    Probable    Probable    Probable    Probable   Change in    *
* Year     Revenue     Revenue     Savings/    Revenue    Number of    *
*        Gain/(Loss) Gain/(Loss) (Cost) from Gain/(Loss)    State      *
*            from      from New  New General   from New   Employees    *
*          General     General     Revenue     General   from FY 2001  *
*          Revenue     Revenue   Dedicated -   Revenue                 *
*            Fund    Dedicated - Texas Parks Dedicated -               *
*            0001    Texas Parks     and     Bicycle and               *
*                    nd Wildlife   Wildlife   Pedestrian               *
*                       Trails      Trails    Facilities               *
*  2002                $6,895,000              $6,895,000         0.0  *
*           $(13,790,            $(6,895,000)                          *
*                000)                                                  *
*  2003                 7,203,000 (7,203,000)   7,203,000         0.0  *
*        (14,406,000)                                                  *
*  2004                 7,531,000 (7,531,000)   7,531,000         0.0  *
*        (15,062,000)                                                  *
*  2005                 7,872,000 (7,872,000)   7,872,000         0.0  *
*        (15,744,000)                                                  *
*  2006                 8,222,000 (8,222,000)   8,222,000         0.0  *
*        (16,444,000)                                                  *
***********************************************************************
  
         *****************************************************
         * Fiscal Year    Probable Savings/(Cost) from New    *
         *                   General Revenue Dedicated -      *
         *                Bicycle and Pedestrian Facilities   *
         *      2002                             $(6,895,000) *
         *      2003                              (7,203,000) *
         *      2004                              (7,531,000) *
         *      2005                              (7,872,000) *
         *      2006                              (8,222,000) *
         *****************************************************
  
Fiscal Analysis
  
The proposed bill would create two new accounts in General Revenue:  GR
Account - Texas Parks and Wildlife Trails, and GR Account - Bicycle and
Pedestrian Facilities. Funds appropriated out of the Texas Parks and
Wildlife Trails Account could only be for multi-use trails and bicycle
facilities approved by the Texas Parks and Wildlife Commission.  Funds
appropriated out of the Bicycle and Pedestrian Facilities Account could
only be appropriated for construction of bicycle and pedestrian
facilities.  Bicycles and other non-motorized transportation would be
excluded from the definition of "sporting goods" as that term relates to
the "sporting goods" sales tax revenue allocation to the Parks and
Wildlife Department.  Half of this revenue would be allocated to the
Texas Parks and Wildlife Trails and the other half to the Bicycle and
Pedestrian Facilities Account.

The Texas Department of Transportation would be required to establish and
administer a Safe Routes to School Program that distributes federal
grants available under the federal Hazard Elimination Program to local
political jurisdictions to improve safety in and around school areas.
The funds deposited to the Bicycle and Pedestrian Facilities Account
would also be distributed by TxDOT, but only to provide grants for the
construction of bicycle and pedestrian facilities.

The proposed bill impacts the amount of "sporting goods" sales tax
revenue allocated to the Parks and Wildlife Department for the state
parks system, local park and indoor recreation grants, and acquisition,
construction, development and/or improvements to park land and
facilties.  However, because the state sales tax on sporting goods
considerably exceeds the annual sporting goods sales tax allocation to
the Parks and Wildlife Department, the removal of bicycles and
non-motorized items from the definition of "sporting goods" should not
cause a reduction in the existing annual $32 million transfer.
  
  
Methodology
  
It is assumed that any additional costs associated with administering
these grant programs would be absorbed by the Parks and Wildlife
Department, which has an exisiting, similar grant program, and the Texas
Department of Transportation (TxDOT).

Further, it is assumed that all revenues allocated to the Texas Parks and
Wildlife Trails Account and the Bicycle and Pedestrian Facilities
Account would be expended in the same year they are received on grants
and/or administrative costs.
  
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   601   Texas Department of Transportation, 304
                   Comptroller of Public Accounts, 802   Texas Parks and
                   Wildlife Department
LBB Staff:         JK, JO, MF, ZS