LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                            February 17, 2001
  
  
          TO:  Honorable David Sibley, Chair, Senate Committee on
               Business & Commerce
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB244  by Shapleigh (Relating to the regulation of
               telemarketing; providing penalties.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB244, 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 Revenue    Change in Number of  *
* Year    Savings/(Cost) from   Gain/(Loss) from   State Employees from  *
*        General Revenue Fund General Revenue Fund        FY 2001        *
*                0001                 0001                               *
*  2002              $(82,679)              $82,679                  2.0 *
*  2003              (134,676)              134,676                  4.0 *
*  2004              (134,676)              134,676                  4.0 *
*  2005              (134,676)              134,676                  4.0 *
*  2006              (134,676)              134,676                  4.0 *
**************************************************************************
  
Technology Impact
  
No significant technology impact is anticipated.
  
  
Fiscal Analysis
  
The bill would amend Section 1, Title 4 of the Business and Commerce Code
by adding Chapter 43.  It  would require the Public Utility Commission
(PUC) to develop and adopt rules to establish and maintain a "no-call
list" of persons in the state not wanting to receive telemarketing phone
calls.  The bill would establish enforcement authority for the PUC and
would authorize the Office of the Attorney General to investigate
violations and take civil actions against violators in court.
Individuals requesting to be placed on the no-call list would pay a fee
not to exceed $3.  Placement on the no-call list would be for three-year
periods, after which people would need to renew the request and again pay
the fee.  The bill would also allow for entities or persons to purchase
the no-call list from the PUC for a fee not to exceed $75 per issuance.

The bill would take effect on January 1, 2002.
  
  
Methodology
  
It is estimated that approximately 1% (200,000) of the total Texas
population of 20,000,000 would request listing each year. This estimate
of a participation rate of 1% is based on the assumption that a large
number of renewals would offset a smaller number of initial requests.  It
is estimated that 5,000 requests to obtain a copy of the no-call list
would be received in fiscal year 2002 and 10,000 requests in each
subsequent year.  The PUC estimates the increased workload from
implementing the bill would require 2 FTEs in 2002 and 4 FTEs in
subsequent years. The PUC would incur costs of $82,679 in the first year
and $134,676 for each subsequent year.

It is assumed the agency would set fees in an amount to offset any costs
associated with implementation of the bill.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   475   Office of Public Utility Counsel, 473   Public
                   Utility Commission of Texas, 313   Department of
                   Information Resources, 302   Office of the Attorney
                   General, 304   Comptroller of Public Accounts
LBB Staff:         JK, JO, RT, KM