TO: | Honorable David Swinford, Chair, House Committee on Government Reform |
FROM: | John Keel, Director, Legislative Budget Board |
IN RE: | HB7 by Swinford (Relating to the abandonment of proceeds distributable on reorganization of an insurance company.), As Introduced |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2004 | $3,250,000 |
2005 | $3,250,000 |
2006 | ($1,625,000) |
2007 | ($1,625,000) |
2008 | $0 |
Fiscal Year | Probable Revenue Gain/(Loss) from GENERAL REVENUE FUND 1 |
---|---|
2004 | $3,250,000 |
2005 | $3,250,000 |
2006 | ($1,625,000) |
2007 | ($1,625,000) |
2008 | $0 |
The state receives revenue from its role as custodian of unclaimed property. The change in dates that property is considered abandoned would result in an acceleration of revenue collected from abandoned property as a result of an insurance company demutualization. The annual estimated general revenue gain is $3,250,000 for fiscal years 2004 and 2005. Annual estimated revenue losses for fiscal years 2006 and 2007 are estimated to be $1,625,000. However, future demutualizations are expected to partially offset these amounts.
Source Agencies: |
LBB Staff: | JK, SD, WP, DLBe
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