LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
April 14, 1997
TO: Honorable Ron Wilson, Chair IN RE: House Bill No. 2208
Committee on Licensing & Administrative Procedures By: Yarbrough
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB2208 ( Relating
to elevators, escalators, and related equipment.) this office
has detemined the following:
Biennial Net Impact to General Revenue Funds by HB2208-As Introduced
Implementing the provisions of the bill would result in a net
negative impact of $(14,746) 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 amends several sections of the Health and Safety Code
which include increasing the number of members on the elevator
advisory board from nine to 12 members and modifying standards
for elevator shafts and elevator machine rooms. The bill also
provides for the Department of Licensing and Regulation to conduct
elevator plan reviews for installation, modernization, or alteration.
The department would be authorized to collect fees for these
plan reviews. In addition, the department is authorized to
increase the registration fee for elevator inspectors from $15
to $25. Elevator inspectors would also be required to attend
annual seminars provided by the department. For emergency conditions,
the bill provides for an employee of the department the authorization
to disconnect power or to lockout an elevator if the employee
determines the elevator to be operating in a dangerous manner.
Methodolgy
The department estimates that 181 building reviews will be conducted
in the first year and increases of 20 percent in subsequent
years. These building plans contain an average of 2 elevator
banks or machine rooms per plan. According to the department,
each elevator bank or machine room requires an individual review.
As a result, the workload is estimated at 362 (181 x 2) in
the first year. Plan review fees would be set on the basis
of the number of elevator banks, escalators, and machinery rooms
per plan. These fees would be set to cover related costs.
The department would require a certified elevator inspector
to conduct emergency condition inspections as well as review
elevator plans. Seminar costs are estimated at one per year
and would require publication costs. Seminar costs would be
offset by a $25 seminar fee paid by inspectors.
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 Change in Number
Savings/(Cost) Gain/(Loss) from of State
from General General Revenue Employees from
Revenue Fund Fund FY 1997
0001 0001
1998 ($64,643) $47,190 1.0
1998 (53,123) 55,830 1.0
2000 (53,123) 66,270 1.0
2001 (53,123) 78,750 1.0
2002 (53,123) 93,750 1.0
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 ($17,453)
1999 2,707
2000 13,147
2001 25,627
2002 40,627
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: 452 Department of Licensing and Regulation
LBB Staff: JK ,TH ,RA