LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
February 21, 2001
TO: Honorable Kenneth Armbrister, Chair, Senate Committee on
Criminal Justice
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB494 by Bernsen (Relating to allowing the Department of
Public Safety to sell certain confiscated firearms.), As
Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB494, As Introduced: negative impact of $(656,230) 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. *
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General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $(439,549) *
* 2003 (216,681) *
* 2004 (216,681) *
* 2005 (216,681) *
* 2006 (216,681) *
****************************************************
All Funds, Five-Year Impact:
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*Fiscal Probable Probable Probable Change in *
* Year Revenue Savings/(Cost) Savings/(Cost) Number of State *
* Gain/(Loss) from New from General Employees from *
* from New General Revenue Revenue Fund FY 2001 *
* General Revenue Dedicated Law 0001 *
* Dedicated Law Enforcement *
* Enforcement Safety Account *
* Safety Account *
* 2002 $1,998,563 $(1,998,563) $(439,549) 5.0 *
* 2003 1,998,563 (1,998,563) (216,681) 5.0 *
* 2004 1,998,563 (1,998,563) (216,681) 5.0 *
* 2005 1,998,563 (1,998,563) (216,681) 5.0 *
* 2006 1,998,563 (1,998,563) (216,681) 5.0 *
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Technology Impact
The Department of Public Safety (DPS) estimates that 528 contract
programming hours at $120/hours for a cost of $63,360 would be needed to
design the database that would keep track of the forfeited weapons.
Computer hardware and software for would be $34,591 for new DPS
employees in fiscal year 2002 only.
Fiscal Analysis
This bill would require that weapons forfeited to the state be turned
over to DPS for disposition. Certain law enforcement agencies holding a
court-ordered forfeited weapon would be required to transfer the weapon
to DPS within 90 days of the order. Law enforcement agencies in
municipalities with a population of 30,000 or less would be exempt from
the transfer requirement. These agencies would have to destroy the
weapon or retain it for law enforcement purposes, as specified in the
court order.
DPS would assess the value of the forfeited weapon. Those deemed without
value would be destroyed within 120 days of receipt. All other weapons
would be sold at public sale or designated for use by a law enforcement
agency and transferred to that agency.
This bill would create the Law Enforcement Safety Account as a General
Revenue Dedicated account. This account would receive revenue generated
from the public weapon sales, less five percent that DPS could retain for
administrative purposes. The Legislature could appropriate money in the
new account to the CJD; and the CJD would be authorized to provide, from
such appropriations, grants to participating law enforcement agencies
for the purpose of purchasing safety equipment.
This bill would take effect September 1, 2001, and it only would apply to
weapons forfeited on or after that date.
Methodology
DPS estimates that 75 percent of an estimated 33,000 weapons forfeited
annually to law enforcement agencies and forwarded to the state will be
subject to public sale. DPS estimates that these 24,750 weapons would
have an average value of $85 generating $2,103,750 a year in revenue.
Five percent or $105,187 would be retained by DPS to administer the
program while the remaining $1,998,563 would be deposited into the Law
Enforcement Safety Account of General Revenue.
It is estimated that 5 employees (1 sergeant, 1 data entry clerk, 2
administrative technicians, and 1 gunsmith) would be necessary to
administer the program at DPS. Salaries for these employees would be
$140,692 in fiscal year 2002 and fiscal year 2003. Operating expenses
for the employees would average $5,250 each fiscal year. Equipment for
the employees outside of computer equipment would cost $39,571 in fiscal
year 2002 and $4,654 each year thereafter. Sale of the forfeited weapons
would require an auctioneer whose fee typically is 6.25% of the total
sale. It is assumed that half of the $2,103,750 would be generated
through the use of an auctioneer resulting in an annual fee of $131,484.
There would be several one-time costs that would occur exclusively in
fiscal year 2002. Contract programming would cost $63,360 while computer
hardware and software for the new employees would be $34,591 in fiscal
year 2002 only. Employee training would cost $26,000, ten 1600 pound
secure gun vaults would cost $3,400 apiece, and a secure commercial
vehicle to transport the weapons to auction would cost $30,000. Finally,
employee benefits are expected to be $39,788 each fiscal year.
The five percent fee that DPS would retain from the sales is estimated to
be insufficient to support the program. This fiscal note assumes that
the annual cost to run the program less the $105,187 retained by DPS
would cost against the General Revenue Fund.
It is estimated that there would be no significant impact to the CJD .
The fiscal note assumes that the revenues deposited to the Law
Enforcement Safety Account would be appropriated to the CJD for
grant-making purposes.
Local Government Impact
Currently, Article 18.19, Code of Criminal Procedure, allows a court to
award a forfeited weapon to the law enforcement agency holding the
weapon for the agency's use. The proposed amendments to Article 18.19
would require a law enforcement agency in a municipality with a
population in excess of 30,000 to transfer all forfeited weapons to the
DPS. The DPS, after determining the value of the weapon, would have the
option to either transfer the weapon back to the law enforcement agency
or sell the weapon at a public sale. Therefore, it is possible that a
law enforcement agency may not receive certain weapons via forfeiture
and could have to purchase certain types of weapons with public funds.
Source Agencies: 405 Texas Department of Public Safety, 304
Comptroller of Public Accounts, 301 Office of the
Governor
LBB Staff: JK, JC, DG, DB