LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 27, 1997
         
         
      TO: Honorable Ron Wilson, Chair            IN RE:  House Bill No. 37, Committee Report 1st House, Substituted
          Committee on Licensing & Administrative Procedures                              By: Goolsby
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB37 ( Relating 
to the regulation of plastering contractors; providing penalties.) 
this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB37-Committee Report 1st House, Substituted
         
Implementing the provisions of the bill would result in a net 
positive impact of $245,916 to General Revenue Related Funds 
through the biennium ending August 31, 1999.
         
The bill would make no appropriation but could provide the legal 
basis for an appropriation of funds to implement the provisions 
of the bill.
         
 
Fiscal Analysis
 
This bill requires the Texas Department of Licensing and Regulation 
(TDLR) to register plastering contractors and those persons 
who bid on or accept prime contracts to do the referenced work. 
 The bill also establishes a six-member Plastering Contractors 
Advisory Board.
 
Methodolgy
 
Costs are based on the agency's assumption that there are 1,000 
plastering contractors and 300 spray fireproofers.  Each contractor 
is assessed a $200 registration/renewal fee.  Costs also include 
salaries for three additional FTEs including a Supervising Inspector, 
an Admin. Tech. IV for advisory board support, and an Admin. 
Tech. I for license processing.  This bill allows for the agency 
to adopt fees.  The agency anticipates collecting sufficient 
revenue to offset costs related to this bill.
The probable fiscal implications of implementing the provisions 
of the bill during each of the first five years following passage 
is estimated as follows:
 
Five Year Impact:
 
Fiscal Year Probable           Probable Revenue   
            Savings/(Cost)     Gain/(Loss) from                                                           
            from General       General Revenue                                                            
            Revenue Fund       Fund                                                                       
            0001               0001                                                                        
       1998        ($137,042)          $260,000                                                      
       1998         (137,042)           260,000                                                      
       2000         (126,542)           247,000                                                      
       2001         (126,542)           247,000                                                      
       2002         (126,542)           247,000                                                      
 
 
         Net Impact on General Revenue Related Funds:
 
The probable fiscal implication to General Revenue related funds 
during each of the first five years is estimated as follows:
 
              Fiscal Year      Probable Net Postive/(Negative)
                               General Revenue Related Funds
                                             Funds
               1998             $122,958
               1999              122,958
               2000              120,458
               2001              120,458
               2002              120,458
 
Similar annual fiscal implications would continue as long as 
the provisions of the bill are in effect.
          
   Source:            Agencies:   
                                         
                      LBB Staff:   JK ,TH