LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION
 
April 13, 2007

TO:
Honorable Mike Krusee, Chair, House Committee on Transportation
 
FROM:
John S. O'Brien, Director, Legislative Budget Board
 
IN RE:
HB616 by Quintanilla (Relating to specialty license plates benefiting the classroom supply reimbursement program.), Committee Report 1st House, Substituted



Estimated Two-year Net Impact to General Revenue Related Funds for HB616, Committee Report 1st House, Substituted: a positive impact of $88,000 through the biennium ending August 31, 2009.

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



Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2008 $44,000
2009 $44,000
2010 $44,000
2011 $44,000
2012 $44,000




Fiscal Year Probable Revenue Gain from
GENERAL REVENUE FUND (for distribution to school districts)
1 		Probable Revenue Gain from
STATE HIGHWAY FUND
6
2008 $44,000 $15,000
2009 $44,000 $15,000
2010 $44,000 $15,000
2011 $44,000 $15,000
2012 $44,000 $15,000

Fiscal Analysis

The bill would amend the Transportation Code to require the Texas Department of Transportation (TxDOT) to design and issue new specialty license plates to support the classroom supply reimbursement program. The bill specifies that fees from the plates remaining after the deduction of TxDOT's administrative expenses would be sent to the Texas Education Agency (TEA) to fund the classroom supply reimbursement program established under Section 21.414, Education Code.

The bill would take effect immediately upon receiving a vote of two-thirds of all members elected to each house or otherwise on September 1, 2007


Methodology

Based on the analysis of TxDOT, it is assumed approximately 2,000 sets of the new specialty plates would be issued for a fee of $30, each: $0.50 of the fee would be retained by the counties; $7.50 deposited to the State Highway Fund for the recovery of TxDOT's administrative costs; and $22 would be deposited to the credit of TEA (General Revenue Fund) to fund the classroom supply reimbursement program. It is assumed any costs associated with the implementation, manufacturing, and issuance of plates by TxDOT could be absorbed within existing resources.

Based on the analysis of TEA, it is assumed the provisions of the bill would not result in a significant impact to the agency's operations.

Based on information provided by the Comptroller of Public Accounts, the bill would create a dedicated revenue source that would be subject to funds consolidation review by the Eightieth Legislature.


Local Government Impact

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


Source Agencies:
601 Department of Transportation, 701 Central Education Agency, 304 Comptroller of Public Accounts
LBB Staff:
JOB, TG, KJG, MW