LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          March 21, 1995



 TO:     Honorable Senator Bill Sims, Chair     IN RE:  Senate Bill No. 226
         Committee on Natural Resources                 By: Cain
         Senate
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on Senate Bill No.
226 (Relating to exempting certain property owners from certain
requirements relating to abandoned or inactive pits.; Relating to
exempting certain property owners from certain requirements
relating to abandoned or inactive pits.) this office has
determined the following:

The bill would add Section 133.055, Natural Resources Code, to
establish an exemption to the requirement that persons
responsible for an inactive or abandoned quarry or pit construct
a barrier and obtain a safety certificate.  The section would
exempt persons from the requirements if they became owners of an
existing pit prior to August 26, 1991, the pit was inactive when
purchased or acquired, has not been active since, and was not
created by that person.

The amendment would  have an impact on the Railroad Commission's
strategic plan (Strategy 08-02-01, outcome and output measures)
and would result in a revenue loss to the General Revenue Fund-
Consolidated, Quarries and Pits Receipts, No. 043 . The number of
regulated quarries and pits would be significantly reduced, since
inactive/abandoned pits purchased or otherwise obtained prior to
August 26, 1991, would be exempted from safety certification. 
The agency would deal mainly with transfers of active pits and
any new pits that might apply for certification.  The number of
FTEs involved in regulating abandoned quarries and pits would be
reduced from 1.01 to .01 in FYs 1996 and 1997.

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 Revenue   Probable Savings      Change in    
             Year    Loss from  GR         from  GR       Number of State 
                     Consolidated -     Consolidated -     Employees from 
                    Texas Aggregate    Texas Aggregate        FY 1995     
                       Quarry 043         Quarry 043                      
                                                                          
          1996                $39,000            $39,000             (1.0)
          1997                 39,000             39,000             (1.0)
                                                                          
          1998                 19,500             19,500              (.5)
                                                                          
          1999                  9,500              9,500              (.2)
          2000                  4,500              4,500              (.1)
                                                                          
                                                                          
                                                                          
       Similar annual fiscal implications would continue as long as the
provisions of the bill are in effect.

No fiscal implication to units of local government is
anticipated.




Source:   Railroad Commission
          LBB Staff: JK, KW, DF