LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session May 27, 1997 TO: Honorable James E. "Pete" Laney IN RE: House Bill No. 2705, As Passed 2nd House Speaker of the House By: Chisum House of Representatives Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB2705 ( Relating to the program for the voluntary cleanup of contaminants.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB2705-As Passed 2nd House Implementing the provisions of the bill would result in a net impact of $0 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 certain portions of the Health and Safety Code relating to participation in the Voluntary Cleanup Program. Specifically, the bill would allow a person who purchased a site prior to September, 1, 1995 to seek release from liability from the cleanup of contamination under certain circumstances, and would allow the Texas Natural Resource Conservation Commission (TNRCC) to collect an application fee to recover oversight costs. Methodolgy The TNRCC would be required to review applications from persons seeking release from liability under the provisions of the bill, which would effectively establish a new certification process under the program. The agency anticipates the need for annual operating costs of approximately $220,000 and four FTEs, however these costs would be recovered through application fees. 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 Change in Number Gain/(Loss) from Savings/(Cost) of State Hazardous and from Hazardous Employees from Solid Waste and Solid Waste FY 1997 Remediation Fees Remediation Fees Account/ Account/ GR-Dedicated GR-Dedicated 0550 0550 1998 $248,729 ($248,729) 4.0 1998 221,729 (221,729) 4.0 2000 221,729 (221,729) 4.0 2001 221,729 (221,729) 4.0 2002 221,729 (221,729) 4.0 Net Impact on General Revenue Related Funds: Fiscal Year Probable Net Postive/(Negative) General Revenue Related Funds Funds 1998 $0 1999 0 2000 0 2001 0 2002 0 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: 582 Natural Resources Conservation Commission LBB Staff: JK ,BB ,MS