LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

May 8, 2003

TO:	Honorable Steve Ogden, Chair, Senate Committee on Infrastructure Development and Security
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	SB1679 by Gallegos (Relating to driving records and to the operation of commercial motor vehicles; creating an offense.), Committee Report 1st House, Substituted

Estimated Two-year Net Impact to General Revenue Related Funds for SB1679, Committee Report 1st House, Substituted: a positive impact of $12,201,390 through the biennium ending August 31, 2005.

The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2004	$6,100,695
2005	$6,100,695
2006	$6,100,695
2007	$6,100,695
2008	$6,100,695

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue Gain from GENERAL REVENUE FUND 1	Probable Revenue Gain from GENERAL REVENUE DEDICATED - Commercial Driver Record Account	Probable Revenue (Loss) from GENERAL REVENUE FUND 1
2004	$6,130,800	$325,000	($30,105)
2005	$6,130,800	$325,000	($30,105)
2006	$6,130,800	$325,000	($30,105)
2007	$6,130,800	$325,000	($30,105)
2008	$6,130,800	$325,000	($30,105)

Fiscal Analysis

The bill would amend the Transportation Code and the Penal Code as it relates to the driving record of the holder of a commercial driver's license and the operation of commercial motor vehicles.  The bill would require employers of individuals who hold a commercial driver’s license to check the driver's record annually.

Methodology

The Department of Safety (DPS) reports there are approximately 650,000 commercial driver's license holders in Texas.  The bill would require an employer to obtain a driver record on a commercial driver annually.  Driver records including the information required by the bill would cost $15 per request (certified abstracts) and would be provided through the agency's online service.  The bill would also require that fifty cents of each fee collected be deposited into an account for the administration of the bill's provisions.  DPS assumes all employers will purchase the records and estimates a potential total revenue gain of $6,455,800 per year (650,000 records multiplied by $15 equals $9,750,000 minus current sales of individual commercial driving records of $3,294,200).  Additionally, the bill would reduce the costs of individual certified abstract records from $20 to $15, which would result in an estimated annual revenue loss of $30,105 (In fiscal year 2002 DPS collected $120,420 from the sale of 6,021 certified abstract records.  The revenue loss is calculated as 6,021 records at $15, which equals $90,315 [$120,420 less $90,315 = $30,105].

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

405 Department of Public Safety, 601 Department of Transportation

LBB Staff:

JK, JO, RR, VDS, AR