LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                           May 4, 1995



 TO:     Honorable Bill Sims, Chair             IN RE: Committee Substitute
         Committee on Natural Resources                        for Senate
         Senate                                 Bill No. 977
         Austin, Texas                                  By: Sims









FROM: John Keel, Director

In response to your request for a Fiscal Note on Senate Bill No.
977 (Relating to the beneficial land application of biosolids.)
this office has determined the following:

The bill would authorize several changes to the Texas Natural
Resource Conservation Commission's (TNRCC) biosolids (i.e.,
sludge) regulation program including: authorizing the TNRCC to
hold hearings on applications on request; deleting sign posting
requirements at sludge application sites; reducing the spacing
and frequency requirements for sampling at sludge application
sites; precluding the regulation of sludge that falls below
certain thresholds for pathogens and metals; and exempting small
facilities from reporting requirements.

The exemption of small facilities from reporting requirements
will result in a revenue loss from the Municipal Solid Waste
Fund.

While the bill could result in cost savings to both the TNRCC and
units of local government, these savings 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 Revenue 
             Year      Loss from     
                    Municipal Solid  
                       Waste Fund    
                                     
          1996               $150,000
          1997                150,000
                                     
          1998                150,000
                                     
          1999                150,000
          2000                150,000
                                     
                                     
                                     
       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:   Railroad Commission, Department of Health, Department
of Agriculture,
                         Natural Resource Conservation Commission
          LBB Staff: JK, JB, DF