LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 17, 2001
TO: Honorable Clyde Alexander, Chair, House Committee on
Transportation
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB3551 by Raymond (Relating to inspection of commercial
vehicles from across the border.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Fundsfor *
* HB3551, As Introduced: a negative impact of $(2,081,612) through *
* the biennium ending August 31, 2003, if the effective date of the *
* bill is September 1, 2001; and a negative impact of $(2,478,902) *
* through the biennium ending August 31, 2003, if the effective date *
* of the bill is July 1, 2001. *
* *
* 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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The following table assumes an effective date of September 1, 2001.
All Funds, Six-Year Impact:
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*Fiscal Probable Probable Change in Number of *
* Year Savings/(Cost) from Savings/(Cost) from State Employees from *
* General Revenue Fund State Highway Fund FY 2001 *
* 0001 0006 *
* 2002 $(732,433) $(47,000,000) 30.0 *
* 2003 (1,349,179) (47,000,000) 65.0 *
* 2004 (2,150,721) 0 65.0 *
* 2005 (2,150,721) 0 65.0 *
* 2006 (2,150,721) 0 65.0 *
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The following table assumes an effective date of July 1, 2001.
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*Fiscal Probable Probable Change in Number of *
* Year Savings/(Cost) from Savings/(Cost) from State Employees from *
* General Revenue Fund State Highway Fund FY 2000 *
* 0001 0006 *
* 2001 $0 $0 0.0 *
* 2002 (857,893) (47,000,000) 30.0 *
* 2003 (1,621,009) (47,000,000) 65.0 *
* 2004 (2,150,721) 0 65.0 *
* 2005 (2,150,721) 0 65.0 *
* 2006 (2,150,721) 0 65.0 *
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Fiscal Analysis
The bill would amend the Transportation Code to require the Texas
Department of Transportation (TxDOT) to erect and maintain eight border
inspection facilities not farther than 60 miles from the Rio Grande in
the Pharr, Laredo, and El Paso districts for the inspection of motor
vehicles. The bill would also require TxDOT to begin and complete
construction of the eight inspection facilities at or about the same
time. The bill would allow a municipality to choose the location of an
inspection facility that is to be located with in the municipality or the
municipality's extraterritorial jurisdiction.
The bill would take effect immediately upon receiving a two-thirds
majority vote in each house; otherwise, the bill would take effect
September 1, 2001.
Methodology
The bill would require the creation and maintenance of eight inspection
facilities within sixty miles of the Rio Grande. It is estimated that
the facilities would take approximately two years from the enactment of
the bill to become fully operational and that approximately $47 million
would be realized in Right-of-Way, Design, and Construction costs each
year. These inspection facilities would be staffed by Department of
Public Safety (DPS) non-commissioned vehicle inspectors. DPS estimates
that in the first year of the construction of these facilities, 30
additional personnel would be necessary. The number of personnel would
grow to 65 in subsequent years. The additional personnel would be needed
due to space limitations at current custom facilities where the
inspectors are only able to carry out a very limited number of
inspections on a daily basis. These new facilities would allow the
inspectors to increase the number of inspections dramatically, as well as
do a greater number of comprehensive inspections.
Salaries for these personnel are estimated to be $376,380 in fiscal year
2002, $815,490 in fiscal year 2003, and $1,630,980 in subsequent fiscal
years due to the phasing in of the employees concurrent with the opening
of the inspection stations. Associated personnel benefits are estimated
to be $106,440 in fiscal year 2002, $230,621 in fiscal year 2003, and
$461,241 in subsequent fiscal years. During the first year of
operations, operating costs are estimated to be $13,500, growing to
$29,250 in fiscal year 2003, and $58,500 in subsequent fiscal years.
Finally, there would be costs related to computer hardware and software,
telephone lines, and inspection equipment of $236,113 in fiscal year 2002
and $273,818 in fiscal year 2003.
The second table above shows the estimated costs were the bill to begin
immediately. Differences in the second scenario reflect the assumption
that the facilities would open approximately two months earlier than
under the first scenario, thereby increasing costs associated with staff
salaries and benefits.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 405 Texas Department of Public Safety, 601 Texas
Department of Transportation
LBB Staff: JK, JO, RT, MW, DG