LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              April 26, 1999
  
  
          TO:  Honorable Patricia Gray, Chair, House Committee on Public
               Health
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB846  by Carona (Relating to certain fees and penalties
               applicable to the regulation of barbers.), As Engrossed
  
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*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB846, As Engrossed:  positive impact of $59,673 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                              $21,041  *
          *       2001                               38,632  *
          *       2002                               38,632  *
          *       2003                               38,632  *
          *       2004                               38,632  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
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*Fiscal    Probable Revenue Gain/(Loss)    Probable Savings/(Cost) from   *
* Year      from General Revenue Fund          General Revenue Fund       *
*                      0001                            0001               *
*  2000                           $39,041                       $(18,000) *
*  2001                            56,632                        (18,000) *
*  2002                            56,632                        (18,000) *
*  2003                            56,632                        (18,000) *
*  2004                            56,632                        (18,000) *
***************************************************************************
  
Fiscal Analysis
  
The bill would allow the Board of Barber Examiners to raise the
examination fee up to $50 and to assess administrative fines up to
$1,000 for violations effective September 1, 1999.  An increase in the
examination fee would generate almost $48,000 in revenue during the
biennium.  The Board would also generate about $48,000 in revenue during
the biennium from administrative fines assessed, and there would be
costs of $36,000 for fine cases referred to the State Office of
Administrative Hearings.
  
  
Methodology
  
The Board of Barber Examiners estimates that the examination fee would be
raised to $35, which is the actual cost of administering the
examination, and it would administer approximately 924 examinations in
2000 and 990 in 2001.  Presently, the Board charges $10 for the
examination.

For the assessment of administrative fines, the Board estimates that
there will be 200 violations per year.  The Board believes it would
collect the fines from 100 of those violations and refer the remaining
100 violations to the State Office of Administrative Hearings (SOAH).
Based upon the Cosmetology Commission's experience assessing
administrative fines up to $1,000 in 1998-99, it is assumed that the
Board would have a similar experience assessing administrative fines.
At the Cosmetology Commission the average amount of the fines assessed is
$159.41 for a one year period.

For the 100 cases referred to SOAH each year, the estimated cost to the
Board would be $18,000.  SOAH reports that it spends an average of two
hours per administrative fine case for the Cosmetology Commission, which
is similar to the Board, and has costs of $90 per hour.
  
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.  However, the impact on an individual local court will
depend upon the number of violations referred in its jurisdiction and
the amount of fines collected.
  
  
Source Agencies:   304   Comptroller of Public Accounts, 360   State
                   Office of Administrative Hearings, 502   Board of
                   Barber Examiners, 302   Office Of The Attorney
                   General
LBB Staff:         JK, TP, SD, RT, HL