LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 76th Regular Session
May 21, 1999
TO: Honorable Patricia Gray, Chair, House Committee on Public
Health
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB1889 by Nelson (Relating to the regulation of pharmacy
technicians, the reinstatement of certain licenses
related to the practice of pharmacy, and the reporting
of professional liability claims regarding the practice
of pharmacy.), As Engrossed
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB1889, As Engrossed: 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. *
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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 Probable Revenue Change in Number of *
* Year Savings/(Cost) from Gain/(Loss) from State Employees from *
* Pharmacy Board Pharmacy Board FY 1999 *
* Operating Account/ Operating Account/ *
* GR-Dedicated GR-Dedicated *
* 0523 0523 *
* 2000 $(437,963) $437,963 4.0 *
* 2001 (414,431) 414,431 4.0 *
* 2002 (801,969) 801,969 13.0 *
* 2003 (1,269,210) 1,269,210 23.0 *
* 2004 (1,217,010) 1,217,010 23.0 *
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Technology Impact
The bill would require information technology equipment costs of $30,000
in the first year.
Fiscal Analysis
The bill would amend the Texas Pharmacy Act to allow the Board of
Pharmacy to require pharmacy technicians to register with the board and
would allow the board to adopt fees necessary to cover the cost of
registering pharmacy technicians. The bill would require information to
be provided to the board regarding either complaints filed in court, or
claim letters submitted, against pharmacists, pharmacy technicians, or
pharmacy license holders within specific periods of time. The bill would
also specify that the board would review information relating to a
pharmacist, pharmacy technician, or pharmacy license holder as if a
complaint had been filed against the licensee, or license holder, if
three professional liability claims would be reported within a five year
period. The bill would require the board to adopt rules necessary to
implement the provisions of the bill.
Although the bill would take effect September 1, 1999, the section
requiring the board to establish rules relating to pharmacy technician
requirements would take effect January 1, 2001, and the section
regarding registration of pharmacy technicians would take effect on
September 1, 2001.
Methodology
The Board of Pharmacy estimates that an additional 4 FTEs in fiscal years
2000-01 would be required to process the professional liability claims.
The board estimates that approximately 6,000 professional liability
claims would be received in fiscal year 2000 and that the number of
claims would increase by five percent each following year. The board
estimates that the number of complaints would increase by 10 each year in
fiscal years 2000-01 as a result of the professional liability claims
and that the complaints would increase to 50 each year beginning in
fiscal year 2002.
In addition, the board estimates that an additional 9 FTEs in fiscal year
2002 and an additional 10 FTEs in fiscal year 2003 would be required to
implement the registration and regulation of pharmacy technicians. The
board estimates that 40,000 pharmacy technician registrations would be
issued in fiscal year 2002 in addition to the estimated 25,845 licenses
issued for pharmacists and pharmacies and that the number of pharmacy
technicians would increase by one percent each following year. The
board also estimates that an additional 2,500 complaints would be
received in fiscal year 2002 as a result of regulating pharmacy
technicians and that the number of complaints would increase by one
percent each following year. It is assumed that the board would
increase current licensing fees and would establish pharmacy technician
registration fees as necessary to cover the increased costs.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies:
LBB Staff: JK, TP, RT, MW