LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  April 8, 1997
         
         
      TO: Honorable Steve Holzheauser, Chair            IN RE:  House Bill No. 3162
          Committee on Energy Resources                              By: Brimer
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB3162 ( Relating 
to the payment of a fee by commercial users to the Railroad 
Commission of Texas for the purchase of oil and gas data maintained 
in digital formats.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB3162-As Introduced
         

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 allow the Railroad Commission to charge fees 
to digitize data, and develop, administer, enhance, disseminate, 
and sustain access to digital data which would be used by commercial 
oil and gas users.  The bill would provide that from these fees, 
the commission would pay the costs of developing and providing 
the digital data.  The bill would also define a commercial user.
 
Methodolgy
 
According to the Railroad Commission, there would be costs associated 
with computer hardware maintenance, software maintenance, and 
staff support.  Computer hardware maintenance and telecommunications 
services are estimated at $120,000 the first year and $264,000 
each year thereafter.  The commission estimates that five FTEs 
would be required the first year, 6.5 the next, and seven the 
following years. 
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        ($352,481)          $352,481               5.0                                    
       1998         (517,833)           517,833               6.5                                    
       2000         (568,509)           568,509               7.0                                    
       2001         (579,509)           579,509               7.0                                    
       2002         (489,509)           489,509               7.0                                    
 


 
         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                   $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:   455   Railroad Commission
                                         304   Comptroller of Public Accounts
                                         
                      LBB Staff:   JK ,BB ,JH