LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION
 
March 29, 2005

TO:
Honorable Mike Jackson, Chair, Senate Committee on S/C on Agriculture & Coastal Resources
 
FROM:
John S. O'Brien, Deputy Director, Legislative Budget Board
 
IN RE:
SB1192 by Estes (Relating to stamps for migratory and upland game bird hunting.), As Introduced



Estimated Two-year Net Impact to General Revenue Related Funds for SB1192, As Introduced: an impact of $0 through the biennium ending August 31, 2007.

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

The bill would create two new comprehensive bird stamps (the Migratory Game Bird Stamp and the Upland Game Bird Stamp) to replace three current bird stamps for white-wing doves, waterfowl, and turkeys.  The bill would set each stamp fee at the greater of $7 or an amount set by the Texas Parks and Wildlife Commission.  Net proceeds, after deducting a five percent fee to license agents, would be credited to two new dedicated accounts for the purchase, lease, or development of habitat or the research and management of migratory or upland game birds. The bill would authorize the Texas Parks and Wildlife Department (TPWD) to issue and sell a collector’s edition of the stamps as well as use the stamp’s design for products offered for sale to the general public.  




Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2006 $0
2007 $0
2008 $0
2009 $0
2010 $0




Fiscal Year Probable Revenue Gain/(Loss) from
GAME,FISH,WATER SAFETY ACCOUNT
9
Probable Revenue Gain/(Loss) from
New General Revenue Dedicated - Migratory Game Bird Stamp Account
Probable Revenue Gain/(Loss) from
New General Revenue Dedicated - Upland Game Bird Stamp Account
2006 ($2,254,004) $1,382,085 $2,804,481
2007 ($2,254,004) $1,382,085 $2,804,481
2008 ($2,254,004) $1,382,085 $2,804,481
2009 ($2,254,004) $1,382,085 $2,804,481
2010 ($2,254,004) $1,382,085 $2,804,481

Fiscal Analysis

The overall fiscal impact of the bill is a revenue increase of $1,932,562 per fiscal year.  This amount includes an increase of $1,914,721 in annual revenue from stamp sales and $17,841 in annual revenue from the sale of items using the stamp's design, including collector's stamp edition sales.  TPWD indicates that current revenue from the three existing bird stamps is $2,254,004 per year, and estimated revenue from the two new stamps is $4,168,725 per year. 

 

The bill would create dedicated accounts in the General Revenue Fund, and as such, these new accounts would be subject to funds consolidation review by the current Legislature.


Methodology

This bill reorganizes the current $7 white wing dove, $7 waterfowl and $5 turkey stamp into two new stamps. The new $7 Migratory Game Bird Stamp will cover all migratory game birds (ducks, geese, dove, sandhill cranes, etc.) and the new $7 Upland Game Bird Stamp will cover all resident game birds, such as Eastern and Rio Grande turkey, quail, pheasant, and others. The stamps will provide additional revenue that is currently not being collected for certain species. TPWD indicates this would include mourning doves, white tipped doves, Wilson’s snipe, and the American Woodcock.

Migratory and Upland Game Bird Stamps:
Estimated revenue for the sale of each type of stamp was derived based on the following:
(1) Analysis of the current number of waterfowl and white-wing (355,000) and turkey (127,237) hunters in the state, derived from hunter population surveys conducted by TPWD. This estimate assumes that these hunters will continue to hunt these species and will therefore purchase the new stamps when they become available. 

(2) Analysis of the number of additional hunters that would purchase each stamp due to the expanded list of species included in each stamp. TPWD anticipates an additional 65,385 hunters would purchase the migratory game bird stamp, and an additional 79,254 hunters would purchase the upland game bird stamp. TPWD indicates these estimates were derived from hunter surveys indicating the number of hunters of each species, adjusted for any overlap among species (i.e. white-wing dove hunters who also hunt waterfowl.)

(3) Total proceeds associated with each stamp were calculated based on the estimated number of hunters (420,385 for Migratory and 206,491 for Upland) multiplied by the stamp fee of $7, and adjusted to reflect the 5 percent fee retained by license agents.  

The Upland Game Bird stamp would generate annual revenue of $1,373,165, and the Migratory Game Bird stamp annual revenue of $2,795,560, or combined, a total of $4,168,725 in estimated revenue per fiscal year.

Revenue from Collector’s Edition Stamps and Other Items:  The amount for collector’s stamp edition sets, based on historical data, would provide a small amount of additional revenue.  Based on historical information regarding the sale of both prints and collector's stamp sales, TPWD estimates a revenue gain of $17,841 per year, which would be split evenly between the two new stamp funds.

Repeal of Subchapters B, J and K, of Chapter 43, Parks and Wildlife Code:   Section 3 of the bill would repeal existing statutory provisions regarding the sale and issuance of white-wing dove, turkey and waterfowl stamps. Based on 2004 allocations to each stamp, elimination of these three stamps would result in a revenue loss to the Game, Fish and Water Safety Account in the amount of $2,254,004 each year.


Local Government Impact

No fiscal implication to units of local government is anticipated.


Source Agencies:
304 Comptroller of Public Accounts, 802 Parks and Wildlife Department
LBB Staff:
JOB, WK, ZS, TB