Honorable John Carona, Chair, Senate Committee on Transportation & Homeland Security
FROM:
John S. O'Brien, Director, Legislative Budget Board
IN RE:
SB1032 by Uresti (Relating to the issuance of Insure Texas Kids specialty license plates.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for SB1032, As Introduced: a positive impact of $13,200 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
$6,600
2009
$6,600
2010
$6,600
2011
$6,600
2012
$6,600
Fiscal Year
Probable Revenue Gain from GENERAL REVENUE FUND 1
Probable Revenue Gain from STATE HIGHWAY FUND 6
2008
$6,600
$2,250
2009
$6,600
$2,250
2010
$6,600
$2,250
2011
$6,600
$2,250
2012
$6,600
$2,250
Fiscal Analysis
The bill would require the Texas Department of Transportation (TxDOT) to issue "Insure Texas Kids" specialty license plates. The bill would specify that the amount of the issuance fee remaining after the deduction of TxDOT's administrative expenses is to be deposited to the General Revenue Fund and may be appropriated only to the Health and Human Services Commission (HHSC) to fund outreach efforts for public and private health benefit plans available for children. The bill would take effect on September 1, 2007.
Methodology
Based on the analysis of TxDOT, it is assumed approximately 300 sets of the new specialty plates would be issued each year 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 General Revenue Fund, the expenditure of which would be subject to appropriations by the Legislature to HHSC. 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 HHSC, it is assumed the provisions of the bill would not result in a significant fiscal impact to the commission.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies:
529 Health and Human Services Commission, 601 Department of Transportation