LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              March 19, 2001
  
  
          TO:  Honorable Warren Chisum, Chair, House Committee on
               Environmental Regulation
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB38  by McClendon (Relating to the Texas Natural
               Resource Conservation Commission's consideration of
               cumulative risks in certain administrative
               proceedings.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  HB38, As Introduced:  positive impact of $0 through the biennium      *
*  ending August 31, 2003.                                               *
*                                                                        *
*  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                *
          *       2002                                   $0  *
          *       2003                                    0  *
          *       2004                                    0  *
          *       2005                                    0  *
          *       2006                                    0  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
**************************************************************************
*Fiscal        Probable             Probable        Change in Number of  *
* Year    Savings/(Cost) from  Savings/(Cost) from State Employees from  *
*         Clean Air Account/    Waste Management          FY 2001        *
*            GR-Dedicated           Account/                             *
*                0151             GR-Dedicated                           *
*                                     0549                               *
*  2002             $(766,535)            $(94,740)                 12.0 *
*  2003              (672,552)             (83,124)                 12.0 *
*  2004              (672,552)             (83,124)                 12.0 *
*  2005              (672,552)             (83,124)                 12.0 *
*  2006              (672,552)             (83,124)                 12.0 *
**************************************************************************
  
Technology Impact
  
The cost of personal computers ($45,600) for the 12 full-time positions
is anticipated to be required to implement the provisions of this
legislation.
  
  
Fiscal Analysis
  
The bill would require Texas Natural Resource Conservation Commission
(TNRCC) to develop policies that evaluate cumulative risks when
reviewing applications for siting, expansion or operation of facilities
in areas where multiple permitted facilities already exist.  The bill
would require the TNRCC to protect the public from cumulative risks,
particularly in low-income or minority communities and in communities
where permitted facilities are concentrated, and to give priority to
monitoring and enforcement in areas in which permitted facilities are
concentrated.
  
  
Methodology
  
The TNRCC anticipates that the bill would require evaluation of a broad
range of potential chemical interactions, nuisance conditions, other
permitted facilities, and unplanned releases, in addition to normal
discharges and emissions.  It is expected that three (3) toxicologists,
one (1) planner, six (6) engineers and two (2) program specialists are
needed for rule development, permitting, toxicological analyses and
modeling to determine the presence of pollutants.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   582   Texas Natural Resource Conservation Commission,
                   116   Sunset Advisory Commission
LBB Staff:         JK, CL, ZS, DB