LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

April 9, 2003

TO:	Honorable Kino Flores, Chair, House Committee on Licensing & Administrative Procedures
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB599 by Chisum (relating to the continuation and functions of the State Bar of Texas. ), Committee Report 1st House, Substituted

Estimated Two-year Net Impact to General Revenue Related Funds for HB599, Committee Report 1st House, Substituted: an impact of $0 through the biennium ending August 31, 2005.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2004	$0
2005	$0
2006	$0
2007	$0
2008	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue Gain from New Local Account for Basic Civil Legal Services Held Outside the State Treasury
2004	$4,550,000
2005	$4,550,000
2006	$4,550,000
2007	$4,550,000
2008	$4,550,000

Fiscal Analysis

The bill would amend Government Code, Chapter 81, to implement certain recommendations of the Sunset Advisory Commission and continue the State Bar of Texas in existence until 2015. The State Bar operates as a public corporation funded primarily by membership dues and professional development program fees and is not subject to state appropriations. Therefore, the bill would have no fiscal impact to General Revenue or any other fund maintained in the state treasury.  Additionally, under the provisions of the bill the State Bar would collect a new $65 fee paid annually by members of the State Bar for the purpose of providing basic civil legal services to indigents.  The new collections would be forwarded to the Supreme Court to coordinate the new collections distribution with the distribution of money in the judicial fund for programs that provide basic civil legal services to the indigent.  This estimate assumes the new collections would also be in an account held outside the state treasury.

The bill would take effect September 1, 2003.

Methodology

The State Bar reports a membership totaling 70,000.  With each member paying a new fee of $65 annually, the local account for basic civil legal services for the indigent may accrue revenue of $4,550,000 annually.  [70,000 members x $65 fee = $4,550,000]

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	116 Sunset Advisory Commission, 201 Supreme Court of Texas, 301 Office of the Governor, 344 Commission on Human Rights
LBB Staff:	JK, JO, JRO, VDS, TB