LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 4, 2001
  
  
          TO:  Honorable Patricia Gray, Chair, House Committee on Public
               Health
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB2007  by Naishtat (Relating to indoor air quality in
               newly constructed or renovated public school buildings.),
               As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  HB2007, As Introduced:  negative impact of $(178,244) 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                            $(92,743)  *
          *       2003                             (85,501)  *
          *       2004                             (85,501)  *
          *       2005                             (85,501)  *
          *       2006                             (85,501)  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
***************************************************************************
*Fiscal    Probable Savings/(Cost) from     Change in Number of State     *
* Year         General Revenue Fund           Employees from FY 2001      *
*                      0001                                               *
*  2002                         $(92,743)                             1.5 *
*  2003                          (85,501)                             2.0 *
*  2004                          (85,501)                             2.0 *
*  2005                          (85,501)                             2.0 *
*  2006                          (85,501)                             2.0 *
***************************************************************************
  
Fiscal Analysis
  
The Board of Health would be required to adopt rules according to the
provisions of the bill, including voluntary guidelines for indoor air
quality in public schools, and guidelines for ventilation and indoor air
pollution control systems.

The bill would require the Department of Health (TDH) to conduct a
statewide education program regarding the importance of and ways to
improve indoor air quality in public schools.  TDH would establish by
rule criteria and checklists for assessing the indoor air quality of
public schools, and specify certain requirements regarding the
assessments including the consideration of potential health effects and
costs, certification of individuals to perform indoor air quality
assessments, and a certification fee of $50 for issuance or renewal of a
certificate.

School districts would be required to assess the indoor air quality of
each public school in their district by September 1, 2003.
  
  
Methodology
  
A three month start up period is assumed.

TDH estimated two additional FTEs would be needed to cover duties due to
implementation of the bill.  TDH estimated other operating expenses,
such as office furnishings, telephones, and office supplies, would total
$12,266 in FY 2002.  Operating expenses would total $1,798 in each year
thereafter.  TDH estimated one time costs in FY 2002 for printing and
mailing 5,000 copies of the voluntary guidelines for indoor air quality
in public schools would total $10,000.  It is estimated equipment costs,
including the purchase of two personal computers and a laser printer for
the additional FTEs, would total $6,500 in FY 2002 only.
  
  
Local Government Impact
  
According to the Texas Education Agency (TEA), one school district has
implemented a district-wide indoor air quality monitoring program. This
school district's estimate of costs include $15,000 per year for tests
when air quality problems were suspect ($150 per test x 100 tests),
approximately $750 for training, and salary and benefits for .25 FTE
related to the program.  TEA estimated the statewide cost to implement
the provisions of the bill could be $6,506,250, based on a total of 1,041
school districts with costs of $6,250 for each school district.  This
amount includes $4000 in salary for .10 FTE for a professional employee
involved in an indoor air quality program, $750 for indoor air quality
training, and $1,500 for testing expenses, based on 10 facilities @ $150
per test.

According to TEA, approximately 370 facility projects were provided
assistance from funding by the State Instructional Facilities Allotment
appropriated by the 76th Legislature. TEA indicated some private indoor
air quality firms estimate the cost of assessment required in the bill
could total $2,700 per facility.  TEA estimated local costs for
assessment could total $999,000, based on 370 facilities x $2,700 per
assessment.
  
  
Source Agencies:   501   Texas Department of Health, 701   Texas
                   Education Agency
LBB Staff:         JK, HD, RM