LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 21, 1997
         
         
      TO: Honorable Hugo Berlanga, Chair            IN RE:  House Bill No. 226, Committee Report 1st House, Substituted
          Committee on Public Health                              By: Hirschi
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB226 ( Relating 
to laws regulating the distribution and dispensation of Schedule 
II controlled substances.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB226-Committee Report 1st House, Substituted
         
Implementing the provisions of the bill would result in no significant 
impact to General Revenue Related Funds through the biennium 
ending August 13, 1999.
         

Fiscal Analysis

The bill would eliminate the use of triplicate 
forms for prescription of Schedule II controlled substances. 
 It would eliminate the Department of Public Safety's requirement 
to print, process, and mail triplicate prescription forms.

The 
bill would also mandate a conversion from manual data entry 
of the information regarding these prescriptions to electronic 
data transfer of the same information.  It would require pharmacies 
to submit the required information in an electronic format to 
a central repository managed by the Department of Public Safety.

The 
bill would allow the Department of Public Safety to contract 
with a vendor to serve as the central repository or purchase 
the necessary equipment to create the central repository within 
the department.

Methodology

It was estimated that the 
cost of implementing and operating the electronic repository 
would be offset by the elimination of twenty-three positions 
related to data preparation and entry within the Department 
of Public Safety.  Positions unrelated to data entry were estimated 
to remain at current levels.

It was estimated that the elimination 
of the triplicate prescription forms would be fiscally neutral, 
since the Department historically has been authorized to charge 
a fee sufficient to cover the cost of printing, processing, 
and storing the forms.
         
 
          
No fiscal implication to units of local government is anticipated.
          
   Source:            Agencies:   405   Department of Public Safety
                                         503   Board of Medical Examiners
                                         504   State Board of Dental Examiners
                                         515   Board of Pharmacy
                                         512   Texas State Board of Podiatric Medical Examiners
                                         578   Board of Veterinary Medical Examiners
                                         
                      LBB Staff:   JK ,BB