LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 76th Regular Session
February 12, 1999
TO: Honorable Jane Nelson, Chair, Senate Committee on Health
Services
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB61 by Madla (Relating to regulation of certain body
piercing facilities), As Introduced
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* Two-year Net Impact to General Revenue Related Funds for SB61, As *
* Introduced: positive impact of $56,016 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. *
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General Revenue-Related Funds, Five-Year Impact:
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* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2000 $33,590 *
* 2001 22,426 *
* 2002 22,426 *
* 2003 22,426 *
* 2004 22,426 *
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All Funds, Five-Year Impact:
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*Fiscal Probable Probable Revenue Change in Number of *
* Year Savings/(Cost) from Gain/(Loss) from New State Employees from *
* General Revenue Fund - General Revenue FY 1999 *
* 0001 Related *
* 2000 $(166,410) $200,000 3.0 *
* 2001 (177,574) 200,000 4.0 *
* 2002 (177,574) 200,000 4.0 *
* 2003 (177,574) 200,000 4.0 *
* 2004 (177,574) 200,000 4.0 *
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Technology Impact
Four personal computers ($2,000 X 4) and one notebook computer ($2,200)
would be purchased in the first year to implement the program. It is
assumed that these purchases will be year 2000 compliant.
Fiscal Analysis
The bill would require a body piercing studio to be licensed by the
Department of Health and assign the responsibility for the regulation of
body piercing to the Department of Health.
It is assumed that four FTEs (one program supervisor at $41,016 per year,
one investigator at $31,788, one licensing position and one support
staff each at $21,852) would be employed to operate this function within
the Department of Health for an annual total of $116,508 in salaries
when fully operational. An annual total of $61,066 for travel, rent,
benefits and other operating costs is also assumed. Fees would be
collected upon the issuance of a license to a studio, and deposited into
the State Treasury. Year one would be a start up year, with set up
expenditures such as computers, office supplies and inspection
equipment. Costs would be phased in, nine of twelve months are assumed
at $166,410. Costs are anticipated to be $177,574 for each subsequent
year.
Methodology
The Department of Health has determined that there are approximately 500
body piercing studios statewide that would require a license and
inspection. It is estimated that approximately 400 body piercing studios
are located within a tattoo studio leaving 100 body piercing only
studios.
According to the Department of Health, a fee of $375 would be assessed to
the 400 studios located inside of tattoo parlors. This fee would
generate $150,000 each year. The additional studios not located in
tattoo parlors would be assessed $500, generating additional annual
revenue of $50,000. All revenue would be deposited into the State
Treasury.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 503 Bd Medical Examiners, 501 Department Of
Health, 304 Comptroller Of Pub Accts
LBB Staff: JK, TP, ER