LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: HB 27 HLS 202ES 55
Bill Text Version: ORIGINAL
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.: REVISED
Date: October 5, 2020 6:27 PM Author: ZERINGUE
Dept./Agy.: State Agencies
Subject: Suspension of fees Analyst: Rebecca Robinson
FEES/LICENSES/PERMITS OR DECREASE SG RV See Note Page 1 of 2
Provides relative to fees charged to businesses by state agencies during a state of emergency (Items #2, 3, 32, and 35)
Proposed legislation exempts businesses located within a designated emergency area of any fee, including licensing fees,
occupational fees, certification fees, or permitting fees, payable to any state agency. The fee exemption shall extend until
one year after the termination of the state of emergency. The Joint Legislative Committee of the Budget (JLCB) may further
extend the exemption. JLCB may also create an exception to the exemption or allow an extension of the due date for a
certain fee upon a showing by the agency that such fee is necessary to fund the agency’s operations.
Effective upon signature of the Governor.
EXPENDITURES 2020-21 2021-22 2022-23 2023-24 2024-25 5 -YEAR TOTAL
State Gen. Fd. INCREASE INCREASE SEE BELOW SEE BELOW SEE BELOW
Agy. Self-Gen. DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Ded./Other DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Federal Funds DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Local Funds $0 $0 $0 $0 $0 $0
Annual Total
REVENUES 2020-21 2021-22 2022-23 2023-24 2024-25 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Ded./Other DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Federal Funds DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Local Funds DECREASE DECREASE SEE BELOW SEE BELOW SEE BELOW
Annual Total
EXPENDITURE EXPLANATION
There will be an indeterminable decrease in the expenditures of certain state agencies as a result of the fee waivers. These
fees are classified as self-generated revenues and/or are deposited into statutorily dedicated funds and are budgeted by
agencies across state government to fund annual operating expenses, including oversight and administration of these
impacted businesses. For some agencies these revenue sources constitute the majority of their operating budget, and they
receive no state general fund support. For other agencies the percentage of their budget supported by these revenues is
much smaller. Therefore, any reductions will have varying impacts on state agencies.
Note: Some agencies reported that IT costs may increase as a result of adjusting their computer processes and systems due
to declared emergencies and exemptions. However, it is unlikely that these IT costs would be larger than the loss of self-
generated revenue from the fee waivers, resulting in a net decrease in expenditures.
In order to maintain existing operations, agencies would require an appropriation from the state general fund or an alternate
means of finance.
REVENUE EXPLANATION
There will be a significant decrease in the revenue of multiple state agencies as a result of the wavier of certain fees. The
impact could range from no impact to the elimination of all fee revenue ordinarily collected and not subject to a specific
exemption by JLCB. In addition, some agencies may lose federal funds without sufficient revenues to match grants.
Note: Some agencies already have processes in place to take into account declared states of emergencies and adjust their
billing collections, offer payment plans, and often waive late fees for businesses located within the area of the declared
emergency.
There are 21 executive branch departments that impose fees which may be impacted by this proposed legislation. The
following is a sampling of the responses received by the LFO.
Department of Public Safety: $81.5 M (Gaming $79 M, of which $26 M is for gaming enforcement, and the remainder to
support other LSP programs; Office of the Fire Marshal $1.1 M, or 5% of total appropriation; Liquified Petroleum Gas
Commission $1.1 M, or 100% of total appropriation)
[CONTINUED ON PAGE 2]
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
Christopher A. Keaton
x 13.5.2 >= $500,000 Annual Tax or Fee 6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Legislative Fiscal Officer
 LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: HB 27 HLS 202ES 55
Bill Text Version: ORIGINAL
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.: REVISED
Date: October 5, 2020 6:27 PM Author: ZERINGUE
Dept./Agy.: State Agencies
Subject: Suspension of fees Analyst: Rebecca Robinson
CONTINUED EXPLANATION from page one: Page 2 of 2
REVENUE EXPLANATION CONTINUED FROM PAGE ONE
Department of Environmental Quality: $77 M, or approximately 56% of total appropriation
Department of Natural Resources: $27 M, or approximately 54% of total appropriation
Department of Agriculture & Forestry: $22 M (Agricultural Environmental Services $12.1 M or 92% of total appropriation;
Agriculture Consumer Services $5.1 M or 60% of total appropriation)
Department of Health & Hospitals: $10.6 M (includes inspection fees for hospitals at $2.1 M and retail food inspections at
$5.3 M)
Department of Insurance: $9.2 M in fees from resident insurance companies, or 25% of the total fee collection from
insurance companies doing business in LA
Public Service Commission: $9.2 M, or 100% of total appropriation
Alcohol & Tobacco Control: $7.1 M, or 100% of total appropriation
Department of Wildlife & Fisheries: $5.3 M; failure to collect fees would cease operations for the Seafood Promotion &
Marketing Account, the Shrimp Marketing & Promotion Account, and the Crab Promotional Account; would also eliminate all
programs related to alligators
Note: LDWF already anticipates requesting a significant increase in SGF in FY 22 due to the low balance of the
Conservation Fund; this fee waiver will further decrease the balance of the fund by $3.2 M
Department of Education: The department did not provide complete information by the time of this writing.
Louisiana Racing Commission: $479,008, or 100% of total appropriation
Secretary of State: $13.5 M in filing fees for corporations, LLCs, etc., and Uniform Commercial Code (UCC) filings (not
including another $6.4 M in original business filing fees)
Note: There will be a decrease in revenues to local Clerks of Courts’ offices to the extent that this legislation
allows waivers of UCC filing fees. UCC filings are initially filed with the Secretary of State’s office and are then
forwarded on to a Clerk of Court’s office for filing in a particular parish.
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
Christopher A. Keaton
x 13.5.2 >= $500,000 Annual Tax or Fee 6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Legislative Fiscal Officer