LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session May 8, 2001 TO: Honorable Mike Moncrief, Chair, Senate Committee on Health & Human Services FROM: John Keel, Director, Legislative Budget Board IN RE: HB1099 by Chisum (Relating to regulation of radioactive materials and other sources of radiation.), As Engrossed ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * HB1099, As Engrossed: negative impact of $(130,000) 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 $(65,000) * * 2003 (65,000) * * 2004 (65,000) * * 2005 (65,000) * * 2006 (65,000) * **************************************************** All Funds, Five-Year Impact: *************************************************************************** *Fiscal Probable Revenue Gain from Probable Revenue (Loss) from * * Year Re-Created General Revenue General Revenue Fund * * Account - Radiation and 0001 * * Perpetual Care Fund * * 2002 $208,000 $(65,000) * * 2003 208,000 (65,000) * * 2004 208,000 (65,000) * * 2005 208,000 (65,000) * * 2006 208,000 (65,000) * *************************************************************************** Fiscal Analysis The bill would allow the Texas Department of Health (TDH) to charge an additional 5 percent annually on specific licenses issued by the TDH and require TDH to deposit the fees to the credit of the radiation and perpetual care fund. The bill would require TDH to suspend assessment of the fee if the amount collected reaches $500,000 and reinstitute assessment if the balance of fee is reduced to $350,000 or less until the balance reaches $500,000. The bill would allow TDH to use money in the fund to pay for measures specified in the bill. The bill would also allow TDH to assess an administrative penalty against a person who causes, suffers, allows or permits a violation of the bill's provisions, a department rule or order, or a license or registration condition. The bill would require TDH to deposit administrative penalties collected to the credit of the radiation and perpetual care fund. Methodology The Department of Health estimates that the department would deposit $143,000 in fees in a recreated radiation and perpetual care fund in fiscal years 2002-2004. TDH's estimate is based on 5 percent of the current total annual fees billed for specific licenses which is $2,860,000. Further, TDH also estimates it would deposit $65,000 in amounts collected in administrative penalties to the credit of the radiation and perpetual care fund. These funds are currently deposited in the General Revenue Fund. According to the Comptroller of Public Accounts, the bill would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either with or outside of the Treasury, or create a dedicated revenue source. Legislative policy, implemented as Government Code 403.094, consolidated special funds (except those affected by constitutional, federal, or other restrictions) into the General Revenue Fund as of August 31, 1993, and eliminated all applicable statutory revenue dedications as of August 31, 1995. Each subsequent Legislature has reviewed bills that affect funds consolidation. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature. Local Government Impact Proposed changes to Section 401.301 (d) of the Health and Safety Code would require local governments holding a specific license to pay an additional five percent fee. According to the Texas Department of Health, there are currently twenty-seven local governments in Texas holding specific licenses that would be affected. The increased cost would be based on their annual specific license fee and would vary according to the type of specific license held. Costs to local government would be in direct proportion to revenue gain to the state. Source Agencies: 582 Texas Natural Resource Conservation Commission, 501 Texas Department of Health, 304 Comptroller of Public Accounts LBB Staff: JK, HD, CL, RM, DB