LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 30, 2001
  
  
          TO:  Honorable Ron Wilson, Chair, House Committee on Licensing
               & Administrative Procedures
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB1198  by Carona (Relating to inspection of elevators,
               escalators, moving sidewalks, and related equipment;
               providing an administrative penalty.), As Engrossed
  
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*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB1198, As Engrossed:  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:
  
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*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             $(150,912)             $150,912                  3.3 *
*  2003              (157,702)              157,702                  4.0 *
*  2004              (157,702)              157,702                  4.0 *
*  2005              (157,702)              157,702                  4.0 *
*  2006              (157,702)              157,702                  4.0 *
**************************************************************************
  
Technology Impact
  
Computers and software for the additional Full-time Equivalent Positions
(FTEs) in fiscal year 2002.
  
  
Fiscal Analysis
  
The bill would amend Chapter 754 of the Health and Safety Code relating
to the inspection of elevators, escalators, moving sidewalks, and related
equipment.  The provisions of the bill would require installation,
repair, or maintenance contractors of such equipment to register with
Texas Department of Licensing and Regulation (TDLR).  The bill would
allow TDLR to charge fees (subject to various limits) for the annual
registration of inspectors and contractors, for offering educational
courses to certify inspectors, and for the application of a certification
of compliance.

The bill would take effect  September 1, 2001.  Contractors would not
have to register with TDLR until January 1, 2002.
  
  
Methodology
  
TDLR estimates that it would need four additional FTEs.  Since
registration is not required until January 1, 2002, three FTEs would be
needed in fiscal year 2002.  The agency estimates needing an investigator
to investigate an estimated 250 complaints per fiscal year and a legal
assistant to prepare legal documents for the complaints.  These two
positions would only be required for two-thirds of the first year.  The
agency also anticipates needing two administrative technicians to review
and process up to 10,000 applications for certificates of compliance and
up to 500 delay requests.

It is assumed that the agency would adjust its fees to cover the cost of
implementing the bill.
  
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   452   Texas Department of Licensing and Regulation,
                   304   Comptroller of Public Accounts
LBB Staff:         JK, JO, RT, DE