LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

May 24, 2007

TO:	Honorable Tom Craddick, Speaker of the House, House of Representatives
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB2285 by Chisum (Relating to the renewal period for a license or registration related to radioactive materials and other sources of radiation issued by the Department of State Health Services.), As Passed 2nd House

Estimated Two-year Net Impact to General Revenue Related Funds for HB2285, As Passed 2nd House: a negative impact of ($10,000) through the biennium ending August 31, 2009.

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
2008	($10,000)
2009	$0
2010	$0
2011	$0
2012	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings/(Cost) from GENERAL REVENUE FUND 1	Probable Revenue Gain from GENERAL REVENUE FUND 1	Probable Revenue (Loss) from GENERAL REVENUE FUND 1
2008	($10,000)	$11,691	($11,691)
2009	$0	$3,486	($3,486)
2010	$0	$11,691	($11,691)
2011	$0	$3,486	($3,486)
2012	$0	$11,691	($11,691)

Fiscal Analysis

The bill would amend the Health and Safety Code to exempt licenses or registrations under Chapter 401 from: 1) the license fees requirements in Chapter 12 and 2) the two-year terms required for a license issued by the Department of State Health Services (DSHS).

The bill also deletes references to an annual fee in Section 401.301(c) and (d).

The bill would prohibit DSHS from assessing fees on a local law enforcement agency for the licensing and registration of X-ray machines that are used to screen packages or other objects the agency suspects may contain an explosive or other item that would pose a danger to the public health and safety.

The change in law made by this Act to Section 401.301, Health and Safety Code, would apply to the licensing and registration of an X-ray machine on or after the effective date of this Act.

The bill would take effect September 1, 2007.

Methodology

Although the bill allows the licenses and registrations under Chapter 401, Health and Safety Code, to have terms longer than two years, DSHS reports that fees sufficient to cover the direct and indirect costs of the program would still be collected under Chapter 401.301 every two years.  Thus, DSHS estimates that there would not be a change in the fee amounts, but that there would be a cost of $10,000 for database modifications.

Additionally, DSHS estimates that the exemption for local law enforcement agencies for the licensing and registration of X-ray machines would result in the loss of revenue of $11,691 in FY08, $3,486 in FY09, $11,691 in FY10, $3,486 in FY11, and $11,691 in FY12.  To cover the loss, DSHS reports that the department would increase fees for other types of registered facilities. 

Technology

DSHS estimates that the technology impact would be $10,000 in FY08.

Local Government Impact

According to DSHS, under the provisions of the bill, local law enforcement agencies would no longer be assessed a fee for possession of x-ray equipment used for screening purposes.

Source Agencies:

304 Comptroller of Public Accounts, 537 State Health Services, Department of

LBB Staff:

JOB, CL, PP, SJ