LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 9, 2001
  
  
          TO:  Honorable J.E. "Buster" Brown, Chair, Senate Committee on
               Natural Resources
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB1792  by Ogden (Relating to the Natural Gas Policy Act
               application fee.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB1792, 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 Revenue         Probable        Change in Number of  *
* Year     Gain/(Loss) from    Savings/(Cost) from State Employees from  *
*        General Revenue Fund General Revenue Fund        FY 2001        *
*                0001                 0001                               *
*  2002               $125,000           $(125,000)                  1.0 *
*  2003                125,000            (125,000)                  1.0 *
*  2004                125,000            (125,000)                  1.0 *
*  2005                125,000            (125,000)                  1.0 *
*  2006                125,000            (125,000)                  1.0 *
**************************************************************************
  
Fiscal Analysis
  
The bill would amend Section 81.0522 of the Natural Resources Code and
allow the Railroad Commission to increase the Natural Gas Policy Act
application fees in an amount necessary to cover the cost of the
commission's well category determination program but not to exceed $150.

  
  
Methodology
  
According to the Railroad Commission, the cost of administering the
Natural Gas Policy Act is $125,000 per year. It is assumed that one FTE
would be require to administer the program. Raising the application fee
to $150 would increase revenue in an amount estimated to be $125,000 per
year.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   455   Railroad Commission of Texas
LBB Staff:         JK, CL, SK