LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              March 28, 1999
  
  
          TO:  Honorable J.E. "Buster" Brown, Chair, Senate Committee on
               Natural Resources
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB766 by Brown, J. E. "Buster" (Relating to the issuance
               of certain permits for the emission of air
               contaminants.), As Introduced
  
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*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB766, As Introduced:  positive impact of $0 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                                   $0  *
          *       2001                                    0  *
          *       2002                                    0  *
          *       2003                                    0  *
          *       2004                                    0  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
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*Fiscal    Probable Savings/(Cost) from     Change in Number of State     *
* Year   Clean Air Account/ GR-Dedicated      Employees from FY 1999      *
*                      0151                                               *
*  2000                        $(234,919)                             4.0 *
*  2001                         (201,719)                             4.0 *
*  2002                                 0                             0.0 *
*  2003                                 0                             0.0 *
*  2004                                 0                             0.0 *
***************************************************************************
  
Technology Impact
  
There would be technology impact associated with the purchase of personal
computers for the four FTEs.
  
  
Fiscal Analysis
  
The bill would provide authority to the Texas Natural Resource
Conservation Commission (TNRCC) to adopt rules to set de minimis levels
of air contaminants, below which no air quality preconstruction
authorization would be necessary.  The bill would establish procedures
for the TNRCC to issue standard permits outside the rulemaking process.
A permit by rule would be authorized when the TNRCC finds that certain
types of facilities would not make a significant contribution to air
contaminants.

The bill would create a voluntary emission reduction permit process for
unpermitted, grandfathered facilities with a September 1, 2001 permit
application deadline.  The bill would authorize the TNRCC to issue
multiple plant permits for multiple existing facilities owned or
operated by the same person.
  
  
Methodology
  
The TNRCC estimates that 30 unpermitted, grandfathered facilities would
seek the new voluntary emission reduction permit created by the bill
before the permit application deadline of September 1, 2001.  The TNRCC
estimates having to process an additional 150 permit amendments for the
multiple plant permit created by the bill.  The TNRCC assumes that the
workload associated with implementing these provisions of the bill would
require four additional FTEs at a cost of $234,919 in fiscal year 2000
and $201,719 in fiscal year 2001.  The TNRCC assumes that the authority
to issue a multiple plant permit would expire along with the authority to
issue voluntary emission reduction permits at the end of the 2000-01
biennium.

The TNRCC estimates no significant impact for implementing other
provisions in the bill.
  
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   
LBB Staff:         JK, DE, NS