Honorable Joseph Pickett, Chair, House Committee on Transportation
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB2905 by Davis, Sarah (Relating to the issuance of Texas Medical Center specialty license plates.), Committee Report 1st House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for HB2905, Committee Report 1st House, Substituted: a positive impact of $3,000 through the biennium ending August 31, 2017.
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
2016
$1,500
2017
$1,500
2018
$1,500
2019
$1,500
2020
$1,500
Fiscal Year
Probable Revenue Gain from General Revenue Fund 1
Probable Revenue Gain from License Plate Trust Fund 802
Probable Revenue Gain from Counties
2016
$1,500
$4,400
$100
2017
$1,500
$4,400
$100
2018
$1,500
$4,400
$100
2019
$1,500
$4,400
$100
2020
$1,500
$4,400
$100
Fiscal Analysis
The bill would amend the Transportation Code to require the Department of Motor Vehicles (DMV) to issue Texas Medical Center specialty license plates. The bill would specify that the fee for the new specialty license plate, after deduction of DMV administrative costs, is to be deposited to the credit of an account in the license plate trust fund created by the Comptroller. The bill would authorize money deposited to the account to be used only by the Comptroller to provide grants to benefit the Texas Medical Center and member institutions.
The bill would take effect on September 1, 2015.
Methodology
Based on the information and analysis provided by the DMV, this analysis assumes 200 of the new specialty license plates would be issued each year at a fee of $30 each of which $7.50 would be deposited to the General Revenue Fund for DMV administrative expenses; $0.50 would be retained by the counties; and $22 would be deposited to an account in the License Plate Trust Fund in the in the treasury and may be appropriated to the Comptroller to provide grants.
Based on the analysis of DMV and the Comptroller's office, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources.
This legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either with or outside of the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies:
304 Comptroller of Public Accounts, 302 Office of the Attorney General, 608 Department of Motor Vehicles