LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 17, 2001
TO: Honorable Patricia Gray, Chair, House Committee on Public
Health
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB768 by Madla (Relating to the regulation of the
practice of pharmacy and the dispensing of certain
drugs.), Committee Report 2nd House, Substituted
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB768, Committee Report 2nd House, Substituted: an 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. *
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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:
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*Fiscal Probable Probable Revenue Change in Number of *
* Year Savings/(Cost) from Gain/(Loss) from State Employees from *
* Pharmacy Board Pharmacy Board FY 2001 *
* Operating Account/ Operating Account/ *
* GR-Dedicated GR-Dedicated *
* 0523 0523 *
* 2002 $(125,216) $125,216 1.0 *
* 2003 (81,039) 81,039 1.0 *
* 2004 (81,039) 81,039 1.0 *
* 2005 (81,039) 81,039 1.0 *
* 2006 (81,039) 81,039 1.0 *
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Technology Impact
The agency would have to modify its' data processing system to
accommodate the data generated by the bill. It is anticipated that
approximately $21,000 will be required for the analysis, design, coding,
testing and implementation of these changes to the agency's computer
system.
Fiscal Analysis
The bill would require the Board of Pharmacy (TSBP) to adopt rules
regarding the placement of an emergency drug kit in nursing homes.
The bill would take effect September 1, 2001.
Methodology
The Pharmacy Board assumes about 1,100 facilities would use an automated
pharmacy system requiring regulation and inspection by TSBP. Initial
startup costs of $125,216 includes an estimated 270 hours for initial
data entry and implementation of the provisions of the bill.
In fiscal year 2002, the agency estimates additional costs of $125,216
associated with operating costs and the need for one FTE to conduct
biennial inspections of the remote facilities with costs of $81,039 in
each subsequent year.
It is assumed the agency would adjust fees to offset any costs associated
with the implementation of the bill.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 515 Texas State Board of Pharmacy
LBB Staff: JK, HD, RT, ER