LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATURE 1st CALLED SESSION - 2003

July 7, 2003

TO:	Honorable Dennis Bonnen, Chair, House Committee on Environmental Regulation
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB21 by Chisum (Relating to efficiency in certain procedures and hearings of the Texas Commission on Environmental Quality.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB21, As Introduced: an impact of $0 through the biennium ending August 31, 2005.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2004	$0
2005	$0
2006	$0
2007	$0
2008	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings from CLEAN AIR ACCOUNT 151	Probable Savings from WATER RESOURCE MANAGEMENT 153	Probable Savings from HAZARDOUS/WASTE FEE ACCT 549	Probable Savings from HAZARDOUS/WASTE REMED ACC 550
2004	$262,827	$229,978	$275,509	$81,686
2005	$262,827	$229,978	$275,509	$81,686
2006	$262,827	$229,978	$275,509	$81,686
2007	$262,827	$229,978	$275,509	$81,686
2008	$262,827	$229,978	$275,509	$81,686

Fiscal Year	Change in Number of State Employees from FY 2003
2004	(17.0)
2005	(17.0)
2006	(17.0)
2007	(17.0)
2008	(17.0)

Fiscal Analysis

The bill would allow the Texas Commission on Environmental Quality (TCEQ) to issue general permits to authorize a regulated activity for a category of entities, rather than issue individual permits for each operation. The TCEQ would be authorized to assess a fee for authorization to use general permits.  

The bill also would provide for nonadjudicative hearings and modify procedures for public participation and contested case hearings.

Methodology

No significant change in TCEQ revenue streams is anticipated as a result of the bill's creation of general permits, since it is expected that any loss in revenues from individual permits would be offset by revenues collected from general permits.

Changes to requirements for public participation and the bill's provisions regarding nonadjudicative hearings are expected to result in cost savings to the TCEQ, since fewer public meetings would be required. This would result in reduced agency expenses for salaries, travel and public notification. Total estimated savings are expected to be $850,000 per year, and these savings are expected to be spread over four General Revenue-Dedicated accounts, as shown in the table above. In addition, upon passage of the bill, it is expected that the TCEQ would require 17 fewer FTEs.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

582 Commission on Environmental Quality

LBB Staff:

JK, CL, MS, TL