LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  May 13, 1997
         
         
      TO: Honorable Judith Zaffirini, Chair            IN RE:  House Bill No. 3106, As Engrossed
          Committee on Health & Human Services                              By: Craddick
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB3106 ( Relating 
to the regulation of the practice of physical therapy; providing 
administrative penalties.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB3106-As Engrossed
         
Implementing the provisions of the bill would result in a net 
positive impact of $5,078 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 Article 4512e to remove a restriction against 
reimbursing physical therapy board members for meals and lodging. 
  The bill would amend Article 4512e by allowing the board to 
impose administrative penalties against persons licensed or 
regulated under the Act, and against facilities registered under 
the Act.  The bill would require the board to adopt rules that 
establish procedures for assessing an administrative penalty 
and that provide for notice and a hearing for the license holder 
or facility made subject to a penalty.   
 
Methodolgy
 
Currently the board is not allowed to reimburse for meals and 
lodging.  The board currently only holds one day meetings.  
The agency assumes that with the authority to reimburse board 
members for meals and lodging, the board and its committees 
will hold 4 two day meetings and members would have to come 
to Austin less frequently, saving on travel costs.  Estimated 
savings to general revenue is based on  the difference between 
what the board is currently paying for travel ($4,319 per year), 
and what it would pay for travel, lodging and meals by meeting 
four times per year for two days ($3,780), for a net savings 
of $539.  This assumes that all members will attend all meetings 
and would file all travel vouchers, so actual savings may be 
higher.

Based on an average of ten violations per year and 
on an administrative penalty amount of $200 each, the agency 
estimates a gain to general revenue of $2,000 per year from 
administrative penalties. It is assumed that administrative 
penalties would be deposited to general revenue. 

Total fiscal 
impact of the bill is estimated at $2,539 per year in additional 
savings and/or revenue. 
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              $539            $2,000                                                      
       1998               539             2,000                                                      
       2000               539             2,000                                                      
       2001               539             2,000                                                      
       2002               539             2,000                                                      
 
 
         Net Impact on General Revenue Related Funds:
 

 
              Fiscal Year      Probable Net Postive/(Negative)
                               General Revenue Related Funds
                                             Funds
               1998               $2,539
               1999                2,539
               2000                2,539
               2001                2,539
               2002                2,539
 
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:   533   Executive Council of Physical and Occupational Therapy Examiners
                                         
                      LBB Staff:   JK ,BB ,MM