| TO: | Honorable Harvey Hilderbran, Chair, House Committee on Ways & Means |
| FROM: | John S O'Brien, Director, Legislative Budget Board |
| IN RE: | HB257 by Hilderbran (relating to the presumed abandonment of certain unclaimed personal property.), Committee Report 1st House, Substituted |
| Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
|---|---|
| 2012 | $0 |
| 2013 | $78,000,000 |
| 2014 | $0 |
| 2015 | $0 |
| 2016 | $0 |
| Fiscal Year | Probable Revenue Gain/(Loss) from General Revenue Fund 1 |
|---|---|
| 2012 | $0 |
| 2013 | $78,000,000 |
| 2014 | $0 |
| 2015 | $0 |
| 2016 | $0 |
The bill would implement the recommendation in the report, "Reduce the Unclaimed Property Dormancy Period for Certain Property Types" in the Legislative Budget Board's Government Effectiveness and Efficiency Report, submitted to the Eighty-second Texas Legislature, 2011.
The bill would decrease the unclaimed property dormancy period for utility deposits from three years to one year; money orders from seven years to three years; and bank deposits, savings accounts, and matured certificates of deposits from five years to three years.
The bill would increase the allowable service, maintenance, or other charges assessed by money order issuers from $0.50 to $1 per month.
The bill would take effect September 1, 2011.
The Comptroller based its estimated gain on data gathered from its files for the three property types outlined in the bill. The agency's estimate reflects a one-time gain of $78 million in fiscal 2013.
The increase in service, maintenance, and other fees that could be assessed by money order issuers would not affect the projected revenue gain because the dormancy period decrease from seven years to three years would offset any potential losses.
| Source Agencies: | 304 Comptroller of Public Accounts
|
| LBB Staff: | JOB, KK, JI, RN
|