LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

March 30, 2003

TO:	Honorable Helen Giddings, Chair, House Committee on Business & Industry
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB650 by Campbell (Relating to the expiration of a gift certificate.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill adds Section 35.57 to the Business & Commerce Code related to the expiration of gift certificates.  The bill prohibits the issuance or sale of a gift certificate or gift card that contains an expiration date.  The exceptions are if the expiration date appears in at least 10-point type and is capitalized and (a) is distributed by the issuer to a consumer under an awards, loyalty, or promotional program without the consumer giving any money or any other thing of value, (b) sold below face-value at a volume discount to employers, nonprofits or charitable organizations for fund-raising purposes if the expiration date is not more than 30 days after the date of the sale, or (c) issued for a food product.  The Act takes effect September 1, 2003.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	302 Office of the Attorney General
LBB Staff:	JK, JRO, MS, BL