Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
HB1243 by Ashby (relating to the allocation of certain revenue from mixed beverage gross receipts and sales taxes.), Committee Report 2nd House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for HB1243, Committee Report 2nd House, Substituted: a negative impact of ($24,011,000) through the biennium ending August 31, 2021.
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
2020
($11,716,000)
2021
($12,295,000)
2022
($12,894,000)
2023
($13,519,000)
2024
($14,159,000)
Fiscal Year
Probable Revenue Gain/(Loss) from General Revenue Fund 1
Probable Revenue Gain/(Loss) from Drug Court 5174
2020
($11,716,000)
$11,716,000
2021
($12,295,000)
$12,295,000
2022
($12,894,000)
$12,894,000
2023
($13,519,000)
$13,519,000
2024
($14,159,000)
$14,159,000
Fiscal Analysis
The bill would amend Section 183.053 of the Tax Code regarding mixed beverage tax clearance.
The bill would require the Comptroller to deposit one percent of all mixed beverage tax collections received to the credit of GR Account 5174-Drug Court in the General Revenue Fund or any successor account of which the balance is dedicated to specialty court programs. Currently, that revenue is deposited to the unrestricted portion of the General Revenue Fund 0001.
Methodology
The analysis was based on the 2020-21 Biennial Revenue Estimate.
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 in, 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 fiscal implication to units of local government is anticipated.