Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
SB2220 by Bettencourt (Relating to fees collected by the Automobile Burglary and Theft Prevention Authority.), As Introduced
No fiscal implication to the State is anticipated for the two-year period ending August 31, 2021. However, it is assumed implementation of the bill would result in a two-year impact of approximately ($7,960,000) to the General Revenue Fund for the two-year period ending August 31, 2023 (2022-23 biennium).
The bill would amend Section 10, Article 4413(37), Revised Statutes, to require an amount equal to at least one-third of the fees collected under Section 10, subsection (b), to be appropriated to the Automobile Burglary and Theft Prevention Authority (ABTPA). The bill would take effect on September 1, 2019.
Information provided by the Comptroller's office indicates that fees collected under Section 10, Article 4413(37), Revised Statutes, (ABTPA Fee) are projected to be approximately $49.0 million in each fiscal year of the 2020-21 biennium with an estimated growth rate of 1.5 percent per fiscal year. The ABTPA fee is deposited to the General Revenue Fund.
The ABTPA is currently appropriated $25.7 million from General Revenue for the 2018-19 biennium. Because the effective date of the bill would occur after the conclusion of the Eighty-sixth Legislature, Regular Session, 2019, this analysis assumes General Revenue appropriations to the ABTPA will remain at $25.7 million for the fiscal biennium beginning September 1, 2019, and ending August 31, 2021 (2020-21 biennium). Based on the analysis provided by the Comptroller, it is assumed one-third of the ABTPA revenue for the 2022-23 biennium would equal $33.6 million. Therefore, it is assumed implementation of the bill would result in an increased cost to General Revenue of approximately $7.9 million for the two-year period ending August 31, 2023 (2022-23 biennium), with costs increasing by 1.5 percent in each subsequent fiscal biennium.
Note: Although this bill would not make an appropriation, it would establish the basis for an appropriation.
Note: 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
It is assumed implementation of the bill would result in an increase in the amount of ABTPA grant funds available to local law enforcement entities.
Source Agencies:
304 Comptroller of Public Accounts, 608 Department of Motor Vehicles