LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              March 20, 2001
  
  
          TO:  Honorable Mike Moncrief, Chair, Senate Committee on
               Health & Human Services
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB1166  by Madla (Relating to the authority of certain
               advanced practice nurses and physicians assistants to
               prescribe drugs.), Committee Report 1st House,
               Substituted
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB1166, Committee Report 1st 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.                                                             *
**************************************************************************
  
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              $(46,652)              $46,652                  1.0 *
*  2003               (23,052)               23,052                  1.0 *
*  2004               (23,052)               23,052                  1.0 *
*  2005               (23,052)               23,052                  1.0 *
*  2006               (23,052)               23,052                  1.0 *
**************************************************************************
  
Technology Impact
  
The agency estimates consultant costs of $13,600 in the first year.
  
  
Fiscal Analysis
  
The bill would amend the Occupations Code to provide that a physician's
authority to delegate the carrying out or signing of a prescription drug
order is limited to a certain number of physician assistants or advanced
practice nurses or their full-time equivalents at the physician's primary
practice site or at an alternate practice site.  The bill would provide
authorization, conditions, and limitations for a physician to delegate
the carrying out or signing of prescription drug orders.  The bill would
establish guidelines and limitations for the Board of Medical Examiners
(BME) to follow in granting delegation requirement waivers and would
require the BME to establish procedures for granting waivers.  The bill
would create a waiver advisory committee and would establish the duties
and responsibilities of the committee.  The bill would also require the
BME to make committee appointments.  The advisory committee and the BME's
requirements for waiving delegation requirements would expire as of
September 1, 2005, under the provisions of the bill.

The bill would require the BME to submit a report to the Legislature no
later than December 1, 2004 detailing the number of waiver applications
received and granted.

The bill would take effect immediately upon receiving the necessary
two-thirds vote in both chambers.  Otherwise, the bill would take effect
September 1, 2001.
  
  
Methodology
  
The BME estimates $13,600 would be required to upgrade and expand a
database for tracking, monitoring, and verifying specific information
relating to the delegation of carrying out or signing prescription drug
orders to physician assistants or advanced practice nurses by physicians.
The BME reports processing approximately 10,000 delegation authority
transactions each year with three FTEs and estimates that 3,000 new
transactions would be realized in implementing the provisions of the
bill.  It is estimated that one additional FTE would be required to
verify, process, and enter the additional delegation transaction
information into the database.

It is assumed the BME would adjust fees to offset any cost associated
with the implementation of the bill.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   503   Texas State Board of Medical Examiners, 507
                   Board of Nurse Examiners
LBB Staff:         JK, HD, MW