LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                            February 21, 2001
  
  
          TO:  Honorable Rodney Ellis, Chair, Senate Committee on Finance
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB411  by Shapiro (Relating to the disposition of certain
               fees and penalties collected by the Department of Public
               Safety.), As Introduced
  
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*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB411, As Introduced:  negative impact of $(484,569,000) 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                       $(240,224,000)  *
          *       2003                        (244,345,000)  *
          *       2004                        (248,620,000)  *
          *       2005                        (253,246,000)  *
          *       2006                        (258,742,000)  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
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*Fiscal    Probable Revenue     Probable Revenue     Probable Revenue    *
* Year     Gain/(Loss) from     Gain/(Loss) from     Gain/(Loss) from    *
*        General Revenue Fund Motorcycle Education  State Highway Fund   *
*                0001               Account/               0006          *
*                                 GR-Dedicated                           *
*                                     0501                               *
*  2002         $(240,224,000)         $(1,532,000)         $241,756,000 *
*  2003          (244,345,000)          (1,559,000)          245,904,000 *
*  2004          (248,620,000)          (1,587,000)          250,207,000 *
*  2005          (253,246,000)          (1,615,000)          254,861,000 *
*  2006          (258,742,000)          (1,644,000)          260,386,000 *
**************************************************************************
  
Fiscal Analysis
  
The bill would amend the Transportation Code to change the disposition of
certain fees and penalties collected by the Department of Public Safety
(DPS).  The bill would require that the fee and penalty revenues
currently deposited to the credit of the General Revenue Fund from motor
vehicle inspection fees, driver license fees, driver record information
fees, and motor carrier penalties be deposited to the credit of the State
Highway Fund.  The authority to direct $5 from each motorcycle driver
license issuance and renewal fee to General Revenue Account 0501 -
Motorcycle Education would be repealed.

The bill would take effect September 1, 2001 and would apply only to fees
and penalties collected by DPS on or after that date.
  
  
Methodology
  
The estimated fiscal impact is based on the estimated collections
reported in the 2002-03 Biennial Revenue Estimate.  Estimates for 2004-06
were projected by the Comptroller's Office using appropriate
macroeconomic fee specific variables.

The bill would eliminate the Motorcycle Education Account which funds a
program in DPS.  The bill does not provide an alternate source of
funding for the motorcycle education program currently funded through
this account, thus the fiscal note assumes that the program would be
cancelled.  Should funding for the program be continued from another
account, there would be a cost to that account equal to the revenue loss
from the Motorcycle Education Account shown in the table above.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   405   Texas Department of Public Safety, 304
                   Comptroller of Public Accounts
LBB Staff:         JK, SD, DG