LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session February 25, 1997 TO: Honorable Warren Chisum, Chair IN RE: House Bill No. 1426 Committee on Environmental Regulation By: Chisum House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB1426 ( Relating to the regulation of radioactive materials and other sources of radiation and to the disposal of radioactive waste.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB1426-As Introduced Implementing the provisions of the bill would result in a net negative impact of $(196,000) 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 The bill would amend provisions in Chapters 401 and 402 of the Texas Health and Safety Code relating to the regulation of radioactive materials and the disposal of radioactive waste. The bill would re-create the Radiation and Perpetual Care Fund Account, and require that the Health Department (TDH) and the Texas Natural Resource Conservation Commission (TNRCC) deposit money and security they receive under Chapter 401, Health and Safety Code, including administrative penalties collected under Sections 401.384-401.390, but excluding certain license and registration fees and nuclear reactor and fixed nuclear facility fees collected by the TDH. The current statutory minimum for late payment of license fees would also be removed. Money and security in the fund may be administered by TDH only for specific purposes. Currently, TDH collects fees which fund the Texas Low Level Radioactive Waste Disposal Authority (the Authority). The bill would provide that the Authority collect its own fees; no additional savings or costs were identified as a result of this change. Methodolgy Administrative penalties currently collected by TDH are deposited into the general revenue fund. The bill would direct that these penalties be deposited into the Radiation and Perpetual Care Fund. Currently, there is a statutory minimum late fee that TDH must charge entities that are late in paying their license fees; the bill would remove this minimum, allowing TDH to charge a lower late fee. TDH estimates that the amount of funds collected and deposited into the general revenue fund for late fee penalties would decrease by approximately $70,000 per year. The estimated yearly average for administrative penalty collections would be approximately $28,000, based on examination of prior violations and penalties assessed. This amount would be deposited into the (re-created) Radiation and Perpetual Care Fund instead of the general revenue fund. 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 Revenue Probable Revenue Change in Number Gain/(Loss) from Gain/(Loss) from of State General Revenue Radiation and Employees from Fund Perpetual Care FY 1997 Acct 0001 0476 1998 ($98,000) $28,000 0.0 1998 (98,000) 28,000 0.0 2000 (98,000) 28,000 0.0 2001 (98,000) 28,000 0.0 2002 (98,000) 28,000 0.0 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 ($98,000) 1999 (98,000) 2000 (98,000) 2001 (98,000) 2002 (98,000) 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: Agencies: 526 Low-Level Radioactive Waste Disposal Authority 501 Department of Health 582 Natural Resources Conservation Commission LBB Staff: JK ,BB ,JH