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SPONSOR: |
HBIC |
DATE TYPED: |
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HB |
CS/1005/HFl #1 |
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SHORT TITLE: |
Tourism Revenue Enterprise Fund |
SB |
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ANALYST: |
Collard |
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APPROPRIATION
|
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
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FY03 |
FY04 |
FY03 |
FY04 |
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|
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NFI |
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See
Narrative |
|
|
(Parenthesis
( ) Indicate Expenditure Decreases)
REVENUE
|
Estimated Revenue |
Subsequent Years Impact |
Recurring or
Non-Rec |
Fund Affected |
|
|
FY03 |
FY04 |
|
|
|
|
|
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See
Narrative |
Recurring |
Tourism
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(Parenthesis ( ) Indicate Revenue Decreases)
Responses
Received From
Tourism
Department
SUMMARY
Synopsis
of HFl Amendment #1
The first House Floor Amendment to House Bill
1005 makes a technical adjustment to delete “MAKING AN APPROPRIATION” from the
bill.
Synopsis
of Original Bill
House Bill 1005
creates the “tourism enterprise fund” to be maintained by the state treasurer
and administered by the Tourism Department.
The fund will consist of sales of souvenirs and sundries at visitors’
centers, web-site related sales, television special program rights, gifts,
grants, fees, penalties, bequests, money appropriated to the fund by the
legislature, or any other source of money.
The department may use the fund to carry out the duties of the
department through a voucher signed by the Secretary of Tourism and upon
warrant drawn by the Secretary of Finance and Administration.
FISCAL IMPLICATIONS
While there is no
appropriation associated with this bill, the Tourism Department anticipates an
increase in the budget with the use of this fund. The department currently has no way of estimating
fund revenues, as this money is not currently collected. The money in the tourism enterprise fund shall
not revert to the general fund at the end of any fiscal year.
Possible Continuing Appropriations
This bill creates a
new fund and, through language, provides for possible appropriations. The LFC supports a self-generating fund, but
objects to possible continuing appropriations, as earmarking reduces the
ability of the legislature to establish spending priorities.
ADMINISTRATIVE IMPLICATIONS
The Tourism Department
indicates the fund will help the department operate with its partners in
promotion and advertising. The
department notes the bill and the fund could increase access to the department
web site and increase sales of links and other programming. The department anticipates administering the
fund with existing staff and infrastructure.
TECHNICAL ISSUES
It should be noted that on page 1, lines 25 and page 2, line 1, the money
will be appropriated from the tourism enterprise fund to the Tourism Department
“for the purpose of carrying out the duties of the department.” It is unclear if the fund is intended to be
used for other costs, such as advertising and promotion, or if personal
services and employee benefits can be paid with fund dollars.
It should also be noted on page 1, line 13, the bill states, “MAKING AN
APPROPRIATION,” when the bill does not appropriate any money to the tourism
enterprise fund.
KBC/yr