LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session April 30, 1995 TO: Honorable Warren Chisum, Chair IN RE: Committee Substitute Committee on Environmental Regulation for House House of Representatives Bill No. 2479 Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on House Bill No. 2479 (Relating to the consolidation of herbicide, pesticide, and agricultural workplace chemical laws under the jurisdiction of the Department of Agriculture.) this office has determined the following: The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. The bill would consolidate provisions relating to the regulation of herbicides, pesticides, and the use of agricultural workplace chemicals under the jurisdiction of the Department of Agriculture, with rulemaking and coordination provided by the Agriculture Resources Protection Authority. The bill would amend registration requirements for pesticides and pesticide dealers through the implementation of a biennial, rather than annual, registration program which would also double the maximum fee for registration. The bill would amend record keeping requirements for commercial, non-commercial, and private applicators, and pesticide dealers. The bill would delete the exemption of licensing fees for governmental entity non-commercial applicators, and transfer the responsibility for licensing pesticide applicators involved in health-related pest control from the Department of Health to the Structural Pest Control Board. The bill would repeal provisions relating to herbicide regulation and the Agricultural Hazard Communication Act. The Department of Agriculture would realize additional costs due to programming changes required for the transition from an annual to a biennial licensing system, educating the regulated community about new record keeping requirements, and monitoring compliance. These costs would be offset by lower costs to administer the program due to the transition from an annual to a biennial licensing process and an increase in fees due to the loss of exemption of government non-commercial applicator licensing fees. The Structural Pest Control Board would realize additional costs due to an increase of an estimated 450 additional licensees. The costs would be offset by fees collected by the agency. There would be no loss of revenue to the Health Department and minimal cost savings due to the transfer of licensing responsibilities. There would be additional costs to units of local government as they would be required to pay licensing fees for noncommercial applicators. These costs to local governments and the corresponding revenue gain to the State from licensing fees cannot be determined. The probable fiscal implication of implementing the provisions of the bill during each of the first five years following passage is estimated as follows: Fiscal Probable Cost Out Probable Revenue Probable Cost Out Year of General Gain to the of GR Revenue Fund 001 General Revenue Consolidated - Fund 001 Structural Pest Control Fund 424 1996 $135,000 $135,000 $29,700 1997 5,995 5,995 29,700 1998 9,991 9,991 29,700 1999 9,991 9,991 29,700 2000 9,991 9,991 29,700 Fiscal Probable Revenue Change in Year Gain to GR Number of State Consolidated - Employees from Structural Pest FY 1995 Control Fund 424 1996 $29,700 .0 1997 29,700 (.8) 1998 29,700 (.8) 1999 29,700 (.8) 2000 29,700 (.8) Similar annual fiscal implications would continue as long as the provisions of the bill are in effect. The fiscal implication to units of local government cannot be determined. Source: Department of Agriculture, Structural Pest Control Board, Natural Resources Conservation Commission LBB Staff: JK, JH, DF