Commission Agenda Item No. 2
Presenter:
Ann Bright
Action
Nonresident Disabled Veteran Super-Combo Sunset Date
Recommended Adoption of Proposed Rules
May 26, 2016
I. Executive Summary: Staff will seek adoption of a rule amendment to eliminate the August 31, 2016 expiration date on the no charge Nonresident Disabled Veteran Super-Combo License.
II. Discussion: In November of 2013 the Texas Parks and Wildlife (TPW) Commission approved the adoption of a rule amendment to allow a non-resident disabled veteran to obtain a super combination hunting and "all water" fishing license package at no charge. This license package (often referred to as a Super-Combo License), consists of a resident hunting license, a migratory game bird stamp, an upland game bird stamp, an archery stamp, a resident fishing license, a freshwater fish stamp, and a saltwater sportfishing stamp with a red drum tag. The amendment also provided that for purposes of obtaining this license, a nonresident disabled veteran was considered a resident.
The amendment as approved in November 2013, contained an August 31, 2016 expiration (“sunset date”). The TPW Commission directed Texas Parks and Wildlife Department staff to encourage other states to promulgate reciprocal license privileges for Texas residents prior to the sunset date. Although such privileges were explored, due to differences among the states regarding hunting and fishing license structure, authority to set fees and fiscal realities, a reciprocal arrangement is not feasible. Notwithstanding the lack of reciprocity, staff recommends that the sunset date be eliminated to enable the department to continue to allow nonresident disabled veterans to obtain the super-combo license package at no charge.
III. Recommendation: Staff recommends that the TPW Commission adopt the following motion:
The Texas Parks and Wildlife Commission adopts amendments to 31 Tex. Admin. Code §53.3 concerning Combination Hunting and Fishing License Packages, with changes as necessary to the proposed text as published in the April 22, 2016, issue of the Texas Register at 41 Tex.Reg. 2851).
Commission Agenda Item No. 2
Exhibit A
SUPER COMBINATION LICENSE FEES
WAIVER OF FEE FOR NONRESIDENT DISABLED VETERANS
PROPOSAL PREAMBLE
1. Introduction.
The Texas Parks and Wildlife Department proposes an amendment to §53.3, concerning Combination Hunting and Fishing License Packages. Under Parks and Wildlife Code, §42.012, the Texas Parks and Wildlife Commission (commission) is required to waive the hunting license fee for a qualified disabled veteran, defined as “a veteran with a service connected disability, as defined by the Veteran’s Administration, consisting of the loss of the use of a lower extremity or of a disability rating of 50 percent or more and who is receiving compensation from the United States for the disability.” Under Parks and Wildlife Code, §46.004, the commission is required to waive fishing license fees for a qualified disabled veteran as defined by Parks and Wildlife Code, §42.012. Under Parks and Wildlife Code, §50.001, the commission is required to establish fees for combination hunting and fishing licenses.
In November of 2013 the department adopted an amendment to §53.3 to designate nonresident disabled veterans as Texas residents for purposes of allowing them to obtain a super combination hunting and "all water" fishing package (or “super-combo,” consisting of a resident hunting license, a migratory game bird stamp, an upland game bird stamp, an archery stamp, a resident fishing license, a freshwater fish stamp, and a saltwater sportfishing stamp with a red drum tag) at no charge. As adopted (38 TexReg 9371), the amendment contained an August 31, 2016 sunset date. Staff was directed to encourage other states to promulgate reciprocal license privileges for Texas residents prior to the sunset date. Although such privileges were explored, due to differences among the states regarding hunting and fishing license structure, authority to set fees and fiscal realities, a reciprocal arrangement is not feasible. Notwithstanding the lack of reciprocity, the department has determined that it is appropriate to continue to allow nonresident disabled veterans to obtain the super-combo license package at no charge.
2. Fiscal Note.
Justin Halvorsen, Revenue Director, has determined that for each of the first five years that the rule as proposed is in effect, there will be fiscal implications to state or local governments as a result of enforcing or administering the rule, consisting of the cost to the department of issuing the license and the theoretical lost revenue resulting from no-cost super-combo license packages issued to nonresidents who otherwise would have had to purchase the necessary nonresident licenses and stamps.
Department data indicate that since 2013, an average of 2,680 nonresident disabled veteran super-combo license packages have been issued each license year (September 1 – August 31). Assuming this average is representative of future issuance trends, the department estimates that for each of the first five years that the amendment as proposed is in effect, there will be an issuance cost to the department of approximately $1,796 (rounded up to the nearest whole dollar). This figure was derived by multiplying the average number of nonresident disabled veteran super-combo license packages issued (2,680) by the $.67 transaction fee incurred by the department each time a license is issued via the department’s electronic point-of-sale system.
As noted above, to facilitate issuance of a super combination license to nonresident disabled veterans, the subsection proposed for continuation currently defines “resident” for purposes of obtaining a super-combo license to include a nonresident disabled veteran. If the provision expired and a nonresident disabled veteran was unable to acquire a super-combo license (which is available only to residents as defined by the Parks and Wildlife Code and Commission regulation), the nonresident disabled veteran would be required to obtain the appropriate nonresident license(s) and endorsement(s).
The department is unable to determine how many nonresident disabled veterans to whom super-combo license packages were issued would have purchased all of the individual licenses and endorsements that make up a super-combo license. However, the department believes that it is highly unlikely that persons who currently qualify for the nonresident disabled veteran super-combo license would seek to purchase all of the licenses and endorsements that make up the super-combo license if the no cost nonresident disabled veterans super-combo license expired. If the licenses and endorsements that make up a super-combo were sold individually to a nonresident, the total cost would be $404 consisting of a hunting license ($315 for nonresidents), “all water” fishing license ($68 for nonresidents), upland game bird stamp ($7), migratory game bird stamp ($7), and archery stamp ($7).
It is more likely that a nonresident would purchase the lowest cost license required to engage in the activity for which a license was required. Among the license types that such a person would more likely acquire are the following: nonresident freshwater fishing package ($58), a nonresident saltwater fishing package ($63), a nonresident all-water fishing package ($68), a nonresident one-day all-water fishing package ($16), a nonresident general hunting license ($315), a nonresident spring turkey license ($126), a nonresident special hunting license ($132), or a nonresident 5-day special hunting license ($48), and any required endorsements/stamps.
3. Public Benefit/Cost Note.
Mr. Halvorsen also has determined that for each of the first five years the rule as proposed is in effect:
(A) The public benefit anticipated as a result of enforcing or administering the rule as proposed will be the acknowledgment of the service and sacrifice of those who have become disabled while serving in the United States Armed Forces by allowing qualified nonresident disabled veterans to hunt and fish without having to purchase licenses or stamps.
(B) There will be no adverse economic effect on persons required to comply with the rule as proposed.
(C) Under the provisions of Government Code, Chapter 2006, a state agency must prepare an economic impact statement and a regulatory flexibility analysis for a rule that may have an adverse economic effect on small businesses and micro-businesses. As required by Government Code, §2006.002(g), the Office of the Attorney General has prepared guidelines to assist state agencies in determining a proposed rule’s potential adverse economic impact on small businesses. Those guidelines state that an agency need only consider a proposed rule’s “direct adverse economic impacts” to small businesses and micro-businesses to determine if any further analysis is required. For that purpose, the department considers “direct economic impact” to mean a requirement that would directly impose recordkeeping or reporting requirements; impose taxes or fees; result in lost sales or profits; adversely affect market competition; or require the purchase or modification of equipment or services.
The department has determined that there will be no adverse economic effects on small businesses or microbusinesses because the proposed rule will not directly affect small businesses or micro-businesses. Therefore, the department has not prepared the economic impact statement or regulatory flexibility analysis described in Government Code, Chapter 2006.
(D) The department has not drafted a local employment impact statement under the Administrative Procedures Act, §2001.022, as the agency has determined that the rule as proposed will not impact local economies.
(E) The department has determined that there will not be a taking of private real property, as defined by Government Code, Chapter 2007, as a result of the proposed rule.
4. Request for Public Comment.
Comments on the proposed rule may be submitted to Justin Halvorsen, Texas Parks and Wildlife Department 4200 Smith School Road, Austin, Texas, 78744; (512) 389-8551 (e-mail: justin.halvorsen@tpwd.texas.gov) or via the department website at http://tpwd.texas.gov/business/feedback/public_comment/.
5. Statutory Authority.
The amendment is proposed under the authority of Parks and Wildlife Code, §42.012, which requires the commission to waive the hunting license fee for a qualified disabled veteran §46.004, which requires the commission to waive fishing license fees for a qualified disabled veteran as defined by Parks and Wildlife Code, §42.012; and §50.001, which requires the commission to establish fees for combination hunting and fishing licenses.
The proposed amendment affects Parks and Wildlife Code, Chapters 42, 46, and 50.
6. Text
§53.3. Combination Hunting and Fishing License Packages
(a) Combination hunting and fishing license packages may be priced at an amount less than the sum of the license and stamp prices of the individual licenses and stamps included in the package.
(1) – (9) (No change.)
(10) Nonresident disabled veteran super combination hunting and "all water" fishing package — $0. Package consists of a resident hunting license, a migratory game bird stamp, an upland game bird stamp, an archery stamp, a resident fishing license, a freshwater fish stamp, and a saltwater sportfishing stamp with a red drum tag. For purposes of this paragraph, a nonresident disabled veteran is a resident for the purpose of obtaining a super combination hunting and "all water" fishing package. [This paragraph expires August 31, 2016].
(11) – (12) (No change.)
(b) (No change.)
This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency’s authority to adopt.
Issued in Austin, Texas, on