LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
February 21, 2001
TO: Honorable Patricia Gray, Chair, House Committee on Public
Health
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB1251 by Menendez (Relating to fire-resistant
mattresses and upholstered furniture; providing a civil
penalty.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB1251, As Introduced: positive impact of $162 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. *
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General Revenue-Related Funds, Five-Year Net Impact:
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* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $0 *
* 2003 162 *
* 2004 9,493 *
* 2005 9,493 *
* 2006 9,493 *
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All Funds, Five-Year Impact:
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*Fiscal Probable (Cost) from Probable Revenue Change in Number of *
* Year General Revenue Fund Gain from General State Employees from *
* 0001 Revenue Fund FY 2001 *
* 0001 *
* 2002 $0 $0 0.0 *
* 2003 (74,838) 75,000 1.0 *
* 2004 (90,507) 100,000 1.5 *
* 2005 (90,507) 100,000 1.5 *
* 2006 (90,507) 100,000 1.5 *
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Technology Impact
1 Personnel Computer, 1 Notebook Computer, 1 Printer and Software
Fiscal Analysis
The bill prohibits the sale of mattresses and upholstered furniture that
are not fire-resistant and requires that mattresses and upholstered
furniture for sale are labeled as fire resistant, unless exempted as
outlined in the bill. The bill would require the Board of Health to adopt
rules, not later than November 1, 2001, in accordance with the
provisions of the bill and to adopt, in consultation with the fire
marshal, minimum standards for fire-resistant products. At the request
of the Board of Health, the Office of the Attorney General would be
required to bring an action to recover a civil penalty.
The bill is effective September 1, 2001 and applies to mattresses and
upholstered furniture offered for sale on or after September 1, 2002.
Methodology
It is assumed that only 1 FTE would be required in FY 2003 to allow for
start-up, and 1.5 FTEs would be required each year for FYs 2004-06. Total
estimated cost in salary and benefits for the 2002-03 biennium is
$42,317. It is assumed that travel cost would include 300 inspections
each year at a cost of $12.50 each (300 X $12.50 = $3,750), except in
fiscal year 2003 when it is assumed that only 200 inspections would be
conducted at a total estimated cost of $2,500. It is also assumed that
the cost of travel associated with training one FTE would be $500 in
fiscal year 2003 only. Estimated total cost of equipment, including the
purchase of 1 personal computer, 1 notebook computer, 1 printer, and
associated software would $6,900, in fiscal year 2003 only. The total
estimated cost for the 2002-03 biennium would be $74,838.
The Department of Health (TDH) estimates that 20% of the annual
inspections would identify labeling violations. It is assumed that 60
labeling violations would be identified each year. TDH estimates 24
upholstered furniture samples would be tested each year for compliance
with fire-resistant standards of which five would be found in violation.
It is assumed that the average amount recovered in civil penalty per
case would be $12,500. TDH estimates eight civil penalty cases would be
referred to the Office of the Attorney General each year for FYs
2004-2006 for which $100,000 would be collected in civil penalties. It
is assumed that only six civil penalty cases would be referred in fiscal
year 2003 and $75,000 would be collected in civil penalties. The total
estimated amount of civil penalties recovered in the 2002-03 biennium
would be $75,000.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 302 Office of the Attorney General, 501 Texas
Department of Health
LBB Staff: JK, HD, RM, DB