| TO: | Honorable Rene Oliveira, Chair, House Committee on Ways & Means |
| FROM: | John S. O'Brien, Director, Legislative Budget Board |
| IN RE: | HB2070 by Cohen (Relating to the fee based on admissions to certain sexually oriented businesses.), As Introduced |
| Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
|---|---|
| 2010 | $0 |
| 2011 | $0 |
| 2012 | $0 |
| 2013 | $0 |
| 2014 | $0 |
| Fiscal Year | Probable Revenue Gain/(Loss) from Sexual Assault Prog Acct 5010 |
|---|---|
| 2010 | ($3,200,000) |
| 2011 | ($3,200,000) |
| 2012 | ($3,200,000) |
| 2013 | ($3,200,000) |
| 2014 | ($3,200,000) |
The bill would amend Chapter 47 of the Business and Commerce code, regarding sexually oriented businesses. The bill would reduce to $3, from the current $5, the amount of the fee that is imposed on each customer for entry into a sexually oriented business. The bill would provide that all revenue from this fee, would be deposited in GR Account 5010 - Sexual Assault Program.
The bill would take effect immediately upon enactment, assuming that it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2009.
The impact is based on estimates from the 2010-11 Biennial Revenue Estimate, adjusted for the decrease in the amount of the fee proposed by this bill, and extended through fiscal 2014.
The existing $5 fee was challenged in state district court and ruled unconstitutional. The state is now appealing that decision. For the purposes of this analysis it is assumed current law will continue.
| Source Agencies: | 304 Comptroller of Public Accounts
|
| LBB Staff: | JOB, MN, SD
|