LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 10, 2001
TO: Honorable David Sibley, Chair, Senate Committee on
Business & Commerce
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB1516 by Lucio (Relating to the issuance of certain
special license plates by the Texas Department of
Transportation.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB1516, As Introduced: negative impact of $(46,000) 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. *
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General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $(46,000) *
* 2003 0 *
* 2004 0 *
* 2005 0 *
* 2006 0 *
****************************************************
All Funds, Five-Year Impact:
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*Fiscal Probable Revenue Gain/(Loss) Probable Revenue Gain/(Loss) *
* Year from State Highway Fund from General Revenue Fund *
* 0006 0001 *
* 2002 $592,300 $(46,000) *
* 2003 604,000 0 *
* 2004 604,000 0 *
* 2005 604,000 0 *
* 2006 604,000 0 *
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Fiscal Analysis
The bill would amend the Transportation Code by requiring that renewals
of special license plates be processed by a county tax
assessor-collector. The bill would require the Texas Department of
Transportation (TxDOT) to consolidate renewal notices for special license
plates with the current renewal process for other plates and update its
automated system accordingly. The bill would eliminate the $3 annual fee
and the requirement that individuals provide proof of eligibility when
renewing disabled veteran, Purple Heart recipient, Pearl Harbor survivor,
former Prisoner of War, and Legion of Valor recipient special plates.
The bill would remove the exemption from the full registration fee on the
first set of disabled veterans plates issued to an individual and would
eliminate the $15 fee charged for each additional set of Pearl Harbor
survivor and Purple Heart recipient plates issued to a individual. The
bill would require state officials, county judges, members of Congress
and state and federal judges to be issued multi-year license plates
rather than plates issued annually.
The bill would take effect September 1, 2001 and would only apply to
initial registration and renewals applied for on or after the effective
date. The bill would require that law in effect prior to September 1,
2001 would continue to govern registration and renewals applied for
before the effective date.
Methodology
It is estimated that $40 of the average registration fee of $60 would be
deposited to the State Highway Fund (Fund 6) for 19,300 sets of disabled
veteran plates each year for a total amount of $772,000 annually. It is
also estimated that removing the $3 fee from the disabled veteran, Purple
Heart recipient, Pearl Harbor survivor, former Prisoner of War, and
Legion of Valor plates would result in annual revenue loss of $94,000 to
Fund 6 and that eliminating the $15 fee charged for each additional set
of Pearl Harbor survivor and Purple Heart recipient plates would result
in an additional loss of $74,000 per year.
It is estimated that a one-time payment delay would be realized during
the first year in amounts totaling $11,700 for Fund 6; $46,000 to the
General Revenue Fund; and $22,200 to other state funds and accounts as a
result of renewing special plates in a single transaction through county
tax assessor-collectors' offices.
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
LBB Staff: JK, JO, RT, MW