LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION

March 11, 2015

TO:	Honorable Joseph Pickett, Chair, House Committee on Transportation
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB393 by McClendon (Relating to the registration fee for motor vehicles with a gross weight of 6,000 pounds or less.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB393, As Introduced: an impact of $0 through the biennium ending August 31, 2017.

However, the bill would result in a revenue increase of $312,928,000 for the biennium to Fund 6.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2016	$0
2017	$0
2018	$0
2019	$0
2020	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue Gain/(Loss) from State Highway Fund 6
2016	$113,497,000
2017	$199,431,000
2018	$204,417,000
2019	$209,527,000
2020	$214,766,000

Fiscal Analysis

The bill would amend Section 502.252 of the Transportation Code to increase the registration fee for a motor vehicle weighing 6,000 pounds or less from $50.75 to $60.75.
 
The bill would take effect January 1, 2016.

Methodology

The Comptroller of Public Accounts used fiscal 2016 data provided by the Texas Department of Motor Vehicles on the estimated number of motor vehicles affected by the bill as the initial basis of the fiscal impact estimate.  Adjustments were made in fiscal 2016 for the effective date of the change in fee rate.  Estimates for future years were projected from motor vehicle registration revenue growth in the 2016-17 Biennial Revenue Estimate.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

UP, AG, SD