| TO: | Honorable Dennis Bonnen, Chair, House Committee on Environmental Regulation |
| FROM: | John S. O'Brien, Director, Legislative Budget Board |
| IN RE: | HB3050 by Martinez Fischer (Relating to monitoring and testing in connection with mercury emissions from coal-fired electric generating facilities.), As Introduced |
| Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
|---|---|
| 2008 | $0 |
| 2009 | $0 |
| 2010 | $0 |
| 2011 | $0 |
| 2012 | $0 |
| Fiscal Year | Probable Revenue Gain/(Loss) from CLEAN AIR ACCOUNT--New Subaccount 151 |
Probable Savings/(Cost) from CLEAN AIR ACCOUNT--New Subaccount 151 |
Change in Number of State Employees from FY 2007 |
|---|---|---|---|
| 2008 | $199,056 | ($199,056) | 1.0 |
| 2009 | $106,556 | ($106,556) | 1.0 |
| 2010 | $335,029 | ($335,029) | 3.0 |
| 2011 | $494,761 | ($494,761) | 4.0 |
| 2012 | $583,998 | ($583,998) | 5.0 |
The bill would require the Texas Commission on Environmental Quality (TCEQ) to monitor the wet deposition of mercury in any waterway in the vicinity of a coal-fired electric generating facility and publish an annual report on the results. The Department of State Health Services (DSHS) would be required to test for mercury contamination of the fish in the vicinity of each mercury deposition testing unit periodically. The bill would also require the TCEQ to impose a fee on coal-fired electric generating facility permit holders in an amount sufficient to recover the costs of the TCEQ and the DSHS. The legislation would require that rules must be jointly developed and adopted by the TCEQ and the DSHS
The bill would specify that the fee on coal-fired electric generating facility permit holders must be transferred on receipt to the credit of a sub-account of the General Revenue-Dedicated Clean Air Account No. 151, which is not to be commingled with any other fees or other money in the state treasury. The money may only be appropriated to the TCEQ and the DSHS and would be exempt from funds consolidations provisions in Government Code §403.095.
In fiscal years 2008 and 2009, the TCEQ would be required to set up a separate agency fund within the General Revenue-Dedicated Clean Air Account No. 151, develop rules, and identify potential monitoring sites. The TCEQ expects that no new FTEs would be required in those fiscal years.
In fiscal year 2010, the TCEQ would purchase sampling equipment, contract with the National Atmospheric Deposition Program/Mercury Deposition Network (NADP/MDN) to analyze samples from five sites, and deploy five sites. Two engineers would be needed to deploy sampling media and collect samples, and to ship and receive samples to and from the NADP/MDN contractor. This estimate assumes that the FTEs would be used in two different areas of the state. FTEs and related capital, equipment, and operating costs in fiscal year 2010 would total $227,470.
In fiscal year 2011, the TCEQ would need to purchase sampling equipment, contract with the National Atmospheric Deposition Program/Mercury Deposition Network (NADP/MDN) to analyze samples from an additional ten sites, and deploy ten additional sites. One additional engineer would be needed to deploy sampling media and collect samples and ship and receive samples to and from the NADP/MDN contractor. FTEs, related costs, capital and equipment, and operating costs would total $388,205 in fiscal year 2011.
One additional engineer would be needed in fiscal year 2012 as well to deploy sampling media and collect samples and ship and receive samples to and from NADP/MDN contractor for an additional 10 sites. Costs in fiscal year 2012 total an estimated $576,439.
The DSHS would be required to test for mercury in a sample of fish near mercury deposition units placed by the TCEQ in the vicinity of coal-fired electric generating facilities. The DSHS reports that there would be at least 19 water bodies affected by the testing, and that 285 samples will be needed in fiscal year 2008 and approximately 95 samples per fiscal year in subsequent years. In addition, staff time equal to one FTE, travel, and maintenance costs will be required, resulting in total costs to the DSHS of $199,056 in fiscal year 2008, $106,556 in fiscal year 2009, $107,559 in fiscal year 2010, $106,556 in fiscal year 2011, and $107,559 in fiscal year 2012.
This estimate assumes that all costs associated with implementation of the bill would be paid out of the new subaccount created by the bill within the General Revenue-Dedicated Clean Air Account No. 151, and that the TCEQ would assess fees to be deposited in that subaccount in an amount sufficient to cover expenses of both the TCEQ and the DSHS.
| Source Agencies: | 304 Comptroller of Public Accounts, 405 Department of Public Safety, 537 State Health Services, Department of, 582 Commission on Environmental Quality
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| LBB Staff: | JOB, WK, ZS, TL
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