LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 76th Regular Session
May 14, 1999
TO: Honorable J.E. "Buster" Brown, Chair, Senate Committee on
Natural Resources
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB 1171 by Chisum (relating to regulation of radioactive
materials and other sources of radiation), Committee
Report 2nd House, Substituted
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB1171, Committee Report 2nd House, Substituted: negative impact *
* of $(56,000) through the biennium ending August 31, 2001. *
* *
* The bill would make no appropriation but could provide the legal *
* basis for an appropriation of funds to implement the provisions of *
* the bill. *
**************************************************************************
General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2000 $(28,000) *
* 2001 (28,000) *
* 2002 (28,000) *
* 2003 (28,000) *
* 2004 (28,000) *
****************************************************
All Funds, Five-Year Impact:
***********************************************************************
*Fiscal Probable Probable Probable Probable Change in *
* Year Savings/ Revenue Savings/ Revenue Number of *
* (Cost) from Gain/(Loss) (Cost) from Gain/(Loss) State *
* General from Hazardous from Employees *
* Revenue General and Solid Hazardous from FY 1999 *
* Fund Revenue Waste Fees and Solid *
* 0001 Fund Account/ Waste Fees *
* 0001 GR- Account/ *
* Dedicated GR- *
* 0549 Dedicated *
* 0549 *
* 2000 $(464,955) $436,955 $2,690,154 4.0 *
* $(2,690,154) *
* 2001 (437,235) 409,235 (2,690,154) 2,690,154 5.0 *
* 2002 (357,609) 329,609 (2,690,154) 2,690,154 5.0 *
* 2003 (313,605) 285,605 (2,690,154) 2,690,154 5.0 *
* 2004 (313,605) 285,605 (2,690,154) 2,690,154 5.0 *
***********************************************************************
*****************************************************
* Fiscal Year Probable Revenue Gain/(Loss) from *
* Radiation/Perpetual Care Security *
* Trust Account *
* 880 *
* 2000 $28,000 *
* 2001 28,000 *
* 2002 28,000 *
* 2003 28,000 *
* 2004 28,000 *
*****************************************************
Fiscal Analysis
The bill would abolish the Texas Low-Level Radioactive Waste Disposal
Authority (TLLRWDA) effective September 1, 1999 by amending its Sunset
date from September 1, 2001 to September 1, 1999. The bill would also
repeal Chapter 402 governing the TLLRWDA.
The bill would establish provisions for the regulation of radioactive
waste, allow a private entity to apply to the Texas Natural Resource
Conservation Commission (TNRCC) for a license to dispose of low level
radioactive waste, and allow a private entity to apply to the Texas
Department of Health (TDH) for a license for an assured isolation
facility for low level radioactive waste, eliminate payments to the host
county, and eliminate the transfer of funds to the Compact Commission.
The bill would also require that reports of low-level radioactive waste
stored or disposed of in the state be made available by either the TNRCC
or TDH to legislators and through the Internet. The bill would update
the Texas Radiation Control Act to conform with similar federal and
state laws and allow TDH to use administrative penalties to dispose of
abandoned radioactive sources.
Methodology
The TLLRWDA would be sunset effective September 1, 1999, becoming subject
to the sunset provision that allows agencies up to a year to shut down
its operations upon being abolished. Shutdown costs for TLLRWDA are
estimated to be about $500,000. House Bill 1 (General Appropriations
Act) includes about $500,000 each year in shutdown costs, however,
funding would be needed only for the first year.
The TDH anticipates that one private entity will be applying for a
license to operate one assured isolation site. The TDH anticipates its
costs to be primarily from salaries and wages (4.0 FTEs and $146,304 in
fiscal year 2000; 5.0 FTEs and $166,848 in fiscal year 2001) and
professional services, including engineering, geology, ecology, and
socioeconomic evaluations ($150,000 in Fiscal Year 2000 and $58,000 in
fiscal year 2001).
The TNRCC anticipates that two private entities will be applying for
licenses to operate waste disposal sites. According to the TNRCC, it
would cost $1,345,077 per year per entity for four years to process a
license application. This cost could increase if other entities would
apply for an application to dispose of low level radioactive waste.
According to the TNRCC, all professional services associated with the
license process, including engineering, legal, and all scientific,
hydrology, socio-economic and other necessary studies would be
outsourced.
According to the TDH, the administrative penalties (estimated to be
$28,000 per year) authorized in Chapter 401 would be deposited into the
Radiation and Perpetual Care Fund and used to mitigate radiation
contamination and disposal of impounded sources for the protection of
public health and safety.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 501 Department of Health, 526 Low-Level
Radioactive Waste Disposal Authority, 582 Natural
Resource Conservation Commission
LBB Staff: JK, DE, MF, TT, NS