LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 76th Regular Session
April 8, 1999
TO: Honorable Florence Shapiro, Chair, Senate Committee on
State Affairs
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB1533 by Carona (Relating to the hazardous substances
law; providing penalties.), As Introduced
**************************************************************************
* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB1533, As Introduced: negative impact of $(358,000) 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 $(179,000) *
* 2001 (179,000) *
* 2002 (179,000) *
* 2003 (179,000) *
* 2004 (179,000) *
****************************************************
All Funds, Five-Year Impact:
***************************************************************************
*Fiscal Probable Probable Probable Change in *
* Year Revenue Revenue Savings/(Cost) Number of State *
* Gain/(Loss) Gain/(Loss) from New - GR Employees from *
* from General from New - GR Dedicated FY 1999 *
* Revenue Fund Dedicated *
* 0001 *
* 2000 $(179,000) $241,731 $(62,731) 1.0 *
* 2001 (179,000) 248,000 (69,000) 1.0 *
* 2002 (179,000) 248,000 (69,000) 1.0 *
* 2003 (179,000) 248,000 (69,000) 1.0 *
* 2004 (179,000) 248,000 (69,000) 1.0 *
***************************************************************************
Fiscal Analysis
The bill would grant additional authority in the regulation of hazardous
substances to the Board of Health and Department of Health. The bill
would mandate the labeling of certain hazardous toys, games, and art
materials to comply with board rules, federal law, and federal
regulations.
The bill would require the board to set the amount of registration fees
in an amount to recover the department's administrative costs. Fee
revenue would be deposited into a new General Revenue-Dedicated Account.
The department could impose administrative penalties for violations, and
the Attorney General could bring action to recover all monies due the
department from violators.
Methodology
The revenue loss to General Revenue shown in the table above is revenue
associated with regulation of hazardous substances currently being
deposited into the General Revenue Fund, which the bill would require to
be deposited into the General Revenue-Dedicated Account.
The revenue gain to the General Revenue Dedicated Account is the revenue
formerly deposited into the General Revenue Fund. In addition, the
Department of Health estimates that an additional 500 toy manufacturers
would be required to register and pay a fee under the provisions of this
bill. According to the department, this would generate $62,731 in
revenue in fiscal year 2000 and $69,000 per fiscal year in subsequent
years.
The Department of Health estimates that regulation of the additional
manufacturers and products could be accomplished with one additional
Full-Time Equivalent position and associated costs, including
professional services costs for product compliance testing at a private
testing facility. New costs to implement the provisions of the bill are
reflected in the column indicating probable cost to the new General
Revenue-Dedicated Account.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies:
LBB Staff: JK, SD, KF