Honorable Steve Ogden, Chair, Senate Committee on Finance
John S. O'Brien, Deputy Director, Legislative Budget Board
SB1501 by West, Royce (Relating to the imposition of a fee for a currency transmission sent to a destination outside the United States.), As Introduced
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|Fiscal Year||Probable Revenue Gain/(Loss) from
GENERAL REVENUE FUND
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GENERAL REVENUE FUND
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The bill would impose a one-half of one percent fee on certain currency transmissions to a destination outside the United States. The fees would be collected by the Comptroller and deposited to a trust account. The Comptroller would transfer two percent of collections to the General Revenue Fund as a service fee. Interest earnings would be deposited to the General Revenue Fund.
After setting aside a portion of the fees to pay refunds, the Comptroller would distribute from the trust fund to each county its share of the fees. The fees would be dedicated for the use and benefit of the counties or hospital districts for indigent health care.
The estimates were produced by the Comptroller's office using the following sources and methods. The estimated fiscal impact was based on data from the February 2005 Texas Business Review, Banking Across Borders for the dollar amount of "money sent to Latin America via remittances from Texas 2004," from data provided by the Texas Department of Banking, and from Migrant Remittances to Latin America: Reviewing the Literature, a working paper from the Thomas Rivera Policy Institute.
Where appropriate, allowances were made for remittances to other locations outside the United States and for various methods used to send remittances to arrive at the dollar amount of currency transmissions that would be subject to the fee.
The fees to be sent to the counties were adjusted for the three-month lag in remittances in the first year and reduced by the state service fee and the five percent that the Comptroller would be permitted to retain in the counties' suspense accounts.
302 Office of the Attorney General, 304 Comptroller of Public Accounts
JOB, SD, WP, KJG, RS