LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                           May 1, 1995



 TO:     Honorable Warren Chisum, Chair         IN RE:  Senate Bill No.
         Committee on Environmental Regulation  1126,
         House of Representatives                              as amended
         Austin, Texas                                  By: Nixon, et al.  
                                                        









FROM: John Keel, Director

In response to your request for a Fiscal Note on Senate Bill No.
1126 (relating  to the modification of an existing facility under
the Texas Clean Air Act) this office has determined the
following:

The bill would amend the Texas Clean Air Act to modify the
definition of "modification of existing facility" and change the
basis for agency review of modifications and changes to
stationary air emission sources.

The bill would eliminate the need for some of the permit reviews
currently performed by Texas Natural Resource Conservation
Commission (TNRCC) New Source Review program staff. Because
application fees are commensurate with program costs, a reduction
in revenue is equivalent to a reduction in TNRCC expenses.

Local units of government holding permits subject to the bill
would be affected in the same manner as any permit holder.

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 Savings   Probable Loss to       Change in    
             Year   to Clean Air Fund   the Clean Air Fund  Number of State 
                           151                 151           Employees from 
                                                                FY 1995     
                                                                            
          1996                $270,000            $270,000             (4.0)
          1997                 270,000             270,000             (4.0)
                                                                            
          1998                 270,000             270,000             (4.0)
                                                                            
          1999                 270,000             270,000             (4.0)
          2000                 270,000             270,000             (4.0)
                                                                            
                                                                            
                                                                            
       Similar 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:   Natural Resource Conservation Commission
          LBB Staff: JK, JB, DF