LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION
 
April 15, 2013

TO:
Honorable Larry Phillips, Chair, House Committee on Transportation
 
FROM:
Ursula Parks, Director, Legislative Budget Board
 
IN RE:
HB3677 by Farney (Relating to the issuance of Foundation School Program license plates.), As Introduced



Estimated Two-year Net Impact to General Revenue Related Funds for HB3677, As Introduced: a positive impact of $19,800 through the biennium ending August 31, 2015.

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
2014 $6,600
2015 $13,200
2016 $19,800
2017 $26,400
2018 $33,000




Fiscal Year Probable Revenue Gain/(Loss) from
Foundation School Fund
193 		Probable Revenue Gain/(Loss) from
State Highway Fund
6
2014 $6,600 $2,250
2015 $13,200 $4,500
2016 $19,800 $6,750
2017 $26,400 $9,000
2018 $33,000 $11,250

Fiscal Analysis

The bill would amend Subchapter G, Chapter 504, of the Transportation Code to require the Department of Motor Vehicles (DMV), in consultation with the Texas Education Agency, to design and issue new specialty license plates to benefit the Foundation School Program. The bill specifies that fees from the plates remaining after the deduction of the DMV's administrative expenses would be deposited to the credit of the Foundation School Fund.

The bill would take effect September 1, 2013.


Methodology

Based on the information and analysis provided by the DMV, it is assumed approximately 300 sets of the new specialty license plates would be issued in fiscal year 2014 for an annual 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 the DMV's administrative costs; and $22 would be deposited to the credit of the Foundation School Fund. It is assumed that the number of plate sets issued would increase by 300 in each fiscal year thereafter. Based on the information provided by the DMV, it is assumed any costs associated with implementing the provisions of the bill could be absorbed within existing resources.

Local Government Impact

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


Source Agencies:
304 Comptroller of Public Accounts, 608 Department of Motor Vehicles
LBB Staff:
UP, AG, MW, TG, ED