LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 86TH LEGISLATIVE REGULAR SESSION
 
April 5, 2019

TO:
Honorable Brian Birdwell, Chair, Senate Committee on Natural Resources & Economic Development
 
FROM:
John McGeady, Assistant Director     Sarah Keyton, Assistant Director
Legislative Budget Board
 
IN RE:
SB531 by Birdwell (Relating to sources of funding for the Texas emissions reduction plan.), Committee Report 1st House, Substituted



Estimated Two-year Net Impact to General Revenue Related Funds for SB531, Committee Report 1st House, Substituted: an impact of $0 through the biennium ending August 31, 2021; however, there would be an increase of $537,821,000 in General Revenue-Dedicated Texas Emissions Reduction Plan No. 5071 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 $0
2021 $0
2022 $0
2023 $0
2024 $0




Fiscal Year Probable Revenue Gain/(Loss) from
State Highway Fund
6 		Probable Revenue Gain/(Loss) from
Texas Emissions Reduction Plan
5071
2020 ($150,826,000) $265,295,000
2021 ($152,334,000) $272,526,000
2022 $0 $0
2023 $0 $0
2024 $0 $0

Fiscal Analysis

The bill would extend the sources of funding for the Texas Emissions Reduction Plan (TERP Fund), which are set to expire on August 31, 2019 under current law. The bill would amend the Tax Code to extend fee and surcharge revenues deposited to the credit of General Revenue-Dedicated Texas Emissions Reduction Plan Account No. 5071 (TERP Fund) until August 31, 2021.

The bill would amend the Transportation Code to continue the deposit to the credit of the TERP Fund from the State Highway Fund until August 31, 2021 in an amount equal to the amount deposited to the credit of the Texas Mobility Fund from Vehicle Title Fees.

The bill would take effect August 30, 2019.

Methodology

Amounts reflected in the table above are based on revenue estimates provided by the Comptroller of Public Accounts for TERP Fund fees and surcharges and on Vehicle Title Fee revenue amounts deposited to the credit of the Texas Mobility Fund as reported in the Comptroller of Public Accounts Biennial Revenue Estimate.

Local Government Impact

No significant fiscal implication to units of local government is anticipated. The bill would require local and other governmental entities to continue paying the TERP fees relating to heavy-duty motor vehicle sales and use fees when purchasing or leasing heavy-duty vehicles and equipment.


Source Agencies:
304 Comptroller of Public Accounts, 582 Commission on Environmental Quality, 601 Department of Transportation
LBB Staff:
WP, SZ, MW, GDz, TG, LCO