Colorado Legislative Council Staff

STATE

FISCAL NOTE

No State General Fund Impact

Cash Fund Revenue Impact


Drafting Number:

Prime Sponsor(s):

LLS 98-124

Sen. Wattenberg

Rep. George

Date:

Bill Status:

Fiscal Analyst:

January 4, 1998

Senate Agriculture

Steve Tammeus (866-2756)

 


 


 


 


 

TITLE:            CONCERNING THE ASPEN LEAF ANNUAL PASS.


Summary of Legislation


STATE FISCAL IMPACT SUMMARY

FY 1998/99

FY 1999/2000

State Revenues

General Fund

Parks and Outdoor Recreation Cash Fund



$217,708



$327,339

State Expenditures

General Fund

Other Fund


 


 

FTE Position Change

None

None

Local Government Impact — None.

 

 

 

            This bill increases the senior citizen’s Aspen Leaf annual pass fee from $10 to an amount equal to 75 percent of the annual vehicle entrance fee set by the Board of Parks and Outdoor Recreation under the Department of Natural Resources. The bill increases the age required to obtain an Aspen Leaf annual pass from 62 to 65, however, any state resident who has attained the age of 62 by January 1, 1999, shall remain eligible. The bill eliminates free camping in state parks and recreation areas for senior citizens possessing Aspen Leaf annual passes.

 

            The provisions of the bill will affect state cash fund revenue. Therefore, the bill is assessed as having a state revenue fiscal impact. The bill will become effective January 1, 1999.

 

 

State Revenues

 

            Section 20 of Article X of the Colorado Constitution, limits the maximum annual percentage increase in state fiscal year spending. Once total state revenue from all sources that are not specifically excluded from fiscal year spending exceeds these limits for the fiscal year, the state constitution requires that the excess shall be refunded in the next fiscal year unless voters approve a revenue change as an offset. Based on the current Legislative Council economic forecast, it is projected that the state will be in a TABOR refund position during each of the next five fiscal years. Any increase in state revenue from changes in fees, fines, licenses, or other revenue sources will affect the amount of the state revenue to be refunded.

 

            Current law. Table 1 provides a summary of the actual and forecasted number of Aspen Leaf passes sold, or to be sold, to persons 62 or older based upon an annual senior citizen population growth of 5 percent. The table also provides a summary of the actual and forecasted total revenue to the Parks and Outdoor Recreation Cash Fund based upon a fee of $10 per pass.

 

Table 1 - Current Law, Actual/Forecasted Aspen Leaf Fee Annual Revenue

Fiscal Year

Passes Sold

Total Annual Revenue

Actual, FY 1996-97

15,743

$157,430

Forecasted, FY 1997-98

16,530

$165,300

Forecasted, FY 1998-99

17,356

$173,560

Forecasted, FY 1999-2000

18,224

$182,240

 

 

            Proposed law. Table 2 provides a summary of the estimated cash fund revenue per the provisions of this bill for FY 1998-99 and FY 1999-2000 based upon the following assumptions:

 

               the current annual vehicle entrance fee is $40; therefore, the Aspen Leaf pass fee will be increased from $10 to $30 (.75 x $40) effective January 1, 1999;

               80 percent of annual passes are sold between January 1 and June 30;

               20 percent of annual passes are sold between July 1 and December 31.

               past consumer behavior indicates a 15 percent reduction in pass sales for every $10 increase in price, therefore, an additional 30 percent reduction in sales is anticipated;

               the age increase will not affect the number of passes sold during FY 1998-99, but will reduce the number of passes sold during FY 1999-2000 by 9.4 percent;

               55 percent of those who will no longer be eligible for the Aspen Leaf pass during FY 1999-2000 will purchase an annual pass at $40 based upon past consumer behavior that indicates a 15 percent reduction in pass sales for every $10 increase in price (15% x 3).

 

Table 2 - Proposed Law, Aspen Leaf Pass Revenue

FY 1998-99

FY 1999-00

Forecasted Aspen Leaf passes to be sold @ current fee of $10 (full year)

17,356

18,224

Number of Aspen Leaf passes sold between January 1 and June 30 (80%)

13,885

NA

30 % reduction for price increase to $30

(4,166)

(5,467)

Number of Aspen Leaf passes to be sold at $30

9,719

12,757

Number of Aspen Leaf passes to be sold at current fee of $10 (20%)

3,471

0

Total number of Aspen Leaf passes to be sold

13,190

12,757

9.4 % reduction for age increase

0

(1,199)

Total number of Aspen Leaf passes to be sold

13,190

11,558

Total number of Annual passes to be sold to those who no longer qualify for an Aspen Leaf pass (55% x 1,199) due to the age increase

0

659

Revenue of new Aspen Leaf pass fee of $30

$291,570

$346,740

Revenue of current Aspen Leaf pass fee of $10

$34,710

$0

Revenue of Annual pass fee of $40

$0

$26,360

Total Annual Revenue

$326,280

$373,100

 

          Current law. Table 3 provides a summary of the actual and forecasted nightly camping fees waived for Aspen Leaf passholders based upon the current nightly camping fee of $7 and an annual senior citizen population growth of 5 percent.

 

Table 3 - Current law, actual and forecasted camping fee revenue waived

Fiscal Year

Nightly Fees Waived

Total Revenue Waived

Actual, FY 1996-97

16,842

$117,894

Forecasted, FY 1997-98

17,684

$123,788

Forecasted, FY 1998-99

18,568

$129,976

Forecasted, FY 1999-2000

19,497

$136,479

 

             Proposed law. The bill also eliminates free camping in state park and recreation areas for senior citizens possessing Aspen Leaf annual passes. The fiscal impact of this provision of the bill for FY 1998-99 and FY 1999-2000 is based upon the following assumptions:

               no reduction in senior citizen camping in spite of the elimination of the camping fee waiver;

               the camping fee waiver will be eliminated effective January 1, 1999; and

               50 percent of camping fees are collected January 1 to June 30.

 

            This provision of the bill will increase Parks and Outdoor Recreation Cash Fund revenue in the amount of $64,988 (half-year impact) for FY 1998-99 and $136,479 for FY 1999-2000.

 

 

 

 

 

 

 

 

            Summary. Table 4 provides a summary of the fiscal impact of the provisions of this bill.

 

Table 4 - Summary

FY 1998-99

FY 1999-2000

Proposed law, Aspen Leaf/Annual pass revenue

$326,280

$373,100

Proposed law, camping revenue

$64,988

$136,479

Proposed law, subtotal revenue

$391,268

$509,579

Current law, Aspen Leaf pass revenue

($173,560)

($182,240)

Total Revenue Increase

$217,708

$327,339

 

 

Spending Authority

 

            This fiscal note would imply that no additional appropriations are required during FY 1998-99 to implement the provisions of the bill.

 

 

Departments Contacted

 

            Natural Resources