TO: | Honorable Kenneth Armbrister, Chair, Senate Committee on Natural Resources |
FROM: | John Keel, Director, Legislative Budget Board |
IN RE: | HB1194 by West, George "Buddy" (Relating to pipeline safety fees.), As Engrossed |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2004 | $1,461,463 |
2005 | $1,461,113 |
2006 | $1,461,463 |
2007 | $1,461,113 |
2008 | $1,461,113 |
Fiscal Year | Probable Revenue Gain from GENERAL REVENUE FUND 1 |
---|---|
2004 | $1,461,463 |
2005 | $1,461,113 |
2006 | $1,461,463 |
2007 | $1,461,113 |
2008 | $1,461,113 |
The bill would provide that the Railroad Commission adopt fees to be assessed annually against operators of pipelines and pipeline facilities. The amount of fees collected would be limited to the amount estimated by the Commission to be necessary to recover the costs of administering the pipeline safety program, excluding costs that are fully funded by federal sources. The commission could assess each investor-owned and each municipally-owned gas distribution system an annual inspection fee not to exceed 50 cents per sercie line. The commission could assess each operator of a natural gas master metered system an annual inspection fee not to exceed $100 per system.
This estimate assumes that fees would be set by the Railroad Commission at a rate sufficient only to cover cost of the Safety of Pipelines and Geographic Information Systems programs. Costs for these programs are based on those identified in the agency's Building Block submission for 2004-05, plus related indirect costs. Costs are assumed to remain relatively constant through fiscal year 2008.
This estimate identifies increased revenues to the General Revenue Fund but does not identify any increased costs, since costs of the pipeline safety program are currently being paid with General Revenue Funds not supported by fee revenues.
Source Agencies: | 455 Railroad Commission, 304 Comptroller of Public Accounts
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LBB Staff: | JK, JO, CL, MS, TL
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