LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session April 9, 2001 TO: Honorable David Sibley, Chair, Senate Committee on Business & Commerce FROM: John Keel, Director, Legislative Budget Board IN RE: SB1045 by Moncrief (Relating to the hazardous substances law; providing penalties.), As Introduced ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB1045, As Introduced: positive impact of $13,194 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 $10,998 * * 2003 2,196 * * 2004 2,196 * * 2005 2,196 * * 2006 2,196 * **************************************************** All Funds, Five-Year Impact: ************************************************************************** *Fiscal Probable Probable Change in Number of * * Year Savings/(Cost) from Savings/(Cost) from State Employees from * * General Revenue Fund General Revenue Fund FY 2001 * * 0001 0001 * * 2002 $(79,002) $90,000 1.1 * * 2003 (87,804) 90,000 1.5 * * 2004 (87,804) 90,000 1.5 * * 2005 (87,804) 90,000 1.5 * * 2006 (87,804) 90,000 1.5 * ************************************************************************** Technology Impact 1 computer and 1 printer Fiscal Analysis The bill would require the Board of Health by rule to establish flammability standards for certain articles, such as children's clothing. The bill would require the Department of Health to obtain samples of these articles and determine the flammability of the articles. The bill would also require the Board of Health by rule to require labeling of certain materials, such as toys, games and hazardous art materials, consistent with the Federal Hazardous Substances Act; and to require the packaging of hazardous substances, consistent with federal special packaging regulations. The bill would require a person who manufactures, imports or repacks a hazardous substance that is distributed in the state to file a registration statement with the Department of Health, and would require the payment of a fee prescribed by the Board of Health for each initial registration statement and each annual registration statement filed. The bill would require that the registration fee recover not more than TDH costs to administer, monitor compliance, enforce and conduct testing as required by the provisions of the bill. Noncompliance with certain sections of the bill would be a Class A misdemeanor. The bill would also allow the Commissioner of Health to request the Attorney General or a district, county or city attorney of the county or municipality to institute a civil action in the case of a violation and allow each to recover from the violator reasonable expenses incurred in obtaining an injunctive relief. Methodology According to the Department of Health, an additional 1.5 FTEs would be needed to implement the provisions of the bill. TDH assumes a 3 month start-up period. TDH estimates that salary and benefits would total $47,607 in FY 2002 and $63,476 in FY 2003-06. TDH estimates other costs would include $11,250 in FY 2002 and $12,000 in FY 2003-06 for contracted services for flammability testing. TDH estimates it would incur other costs for rent, travel, other operating expenses and equipment, including 1 personal computer and 1 printer. TDH estimates total cost for the FY 2002-03 biennium would be $166,806. TDH estimates that 600 manufacturers would file the required registration statement annually. TDH assumed a filing fee of $150 per initial registration statement or renewal and estimates fees collected in FY 2002-06 would total $90,000, each year. Local Government Impact No significant 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, JO, RM