LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION March 10, 2009 TO: Honorable Edmund Kuempel, Chair, House Committee on Licensing & Administrative Procedures FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB70 by Guillen (Relating to the issuance of an occupational license to certain applicants with criminal convictions.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB70, As Introduced: an impact of $0 through the biennium ending August 31, 2011. This 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 2010 $0 2011 $0 2012 $0 2013 $0 2014 $0 All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Probable Revenue Gain fromGeneral Revenue Fund1 Change in Number of State Employees from FY 2009 2010 ($52,146) $52,146 0.5 2011 ($26,146) $26,146 0.5 2012 ($26,146) $26,146 0.5 2013 ($26,146) $26,146 0.5 2014 ($26,146) $26,146 0.5 Fiscal Analysis The bill would amend the Occupations Code to allow various regulatory agencies to provide licenses or temporary licenses to applicants who have felony and misdemeanor convictions that are older than five years. The bill would take effect immediately upon receiving a two-thirds vote of all members elected to each house, as provided by Section 39, Article III, Texas Constitution. If the bill does not receive the vote necessary for immediate effect, the bill would take effect September 1, 2009. Methodology Based on the analysis of the Board of Professional Engineers, the Board of Architectural Examiners, the Executive Council of Physical Therapy & Occupational Therapy Examiners, the Real Estate Commission, the Board of Professional Geoscientists, the Board of Public Accountancy, the Board of Podiatric Medical Examiners, the Board of Plumbing Examiners, the Department of Licensing and Regulation, and the Board of Tax Professional Examiners, these agencies would be able to implement the provisions of the bill using existing agency resources. The Board of Chiropractic Examiners estimates that the agency would need 0.5 additional FTEs to implement the database changes and to monitor ongoing criminal records for provisional license holders. The Board of Professional Land Surveyors estimates implementing the provisions of the bill would require modifying database for the provisional license status. This analysis assumes that any increased costs to agencies which are required to generate sufficient revenue to cover their costs of operation would be offset by an increase in fee generated revenue. Technology The Board of Chiropractic Examiners estimates there would be a cost of $18,000 in 2010 for modifying its database to implement the provisions of the bill. The Board of Professional Land Surveyors estimates technology costs for database modification would be $4,000 in 2010. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies:329 Real Estate Commission, 337 Board of Tax Professional Examiners, 452 Department of Licensing and Regulation, 456 Board of Plumbing Examiners, 457 Board of Public Accountancy, 459 Board of Architectural Examiners, 460 Board of Professional Engineers, 464 Board of Professional Land Surveying, 481 Board of Professional Geoscientists, 508 Board of Chiropractic Examiners, 512 Board of Podiatric Medical Examiners, 533 Executive Council of Physical Therapy & Occupational Therapy Examiners LBB Staff: JOB, JRO, MW, ES LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION March 10, 2009 TO: Honorable Edmund Kuempel, Chair, House Committee on Licensing & Administrative Procedures FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB70 by Guillen (Relating to the issuance of an occupational license to certain applicants with criminal convictions.), As Introduced TO: Honorable Edmund Kuempel, Chair, House Committee on Licensing & Administrative Procedures FROM: John S. O'Brien, Director, Legislative Budget Board IN RE: HB70 by Guillen (Relating to the issuance of an occupational license to certain applicants with criminal convictions.), As Introduced Honorable Edmund Kuempel, Chair, House Committee on Licensing & Administrative Procedures Honorable Edmund Kuempel, Chair, House Committee on Licensing & Administrative Procedures John S. O'Brien, Director, Legislative Budget Board John S. O'Brien, Director, Legislative Budget Board HB70 by Guillen (Relating to the issuance of an occupational license to certain applicants with criminal convictions.), As Introduced HB70 by Guillen (Relating to the issuance of an occupational license to certain applicants with criminal convictions.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB70, As Introduced: an impact of $0 through the biennium ending August 31, 2011. Estimated Two-year Net Impact to General Revenue Related Funds for HB70, As Introduced: an impact of $0 through the biennium ending August 31, 2011. This 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 2010 $0 2011 $0 2012 $0 2013 $0 2014 $0 2010 $0 2011 $0 2012 $0 2013 $0 2014 $0 All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Probable Revenue Gain fromGeneral Revenue Fund1 Change in Number of State Employees from FY 2009 2010 ($52,146) $52,146 0.5 2011 ($26,146) $26,146 0.5 2012 ($26,146) $26,146 0.5 2013 ($26,146) $26,146 0.5 2014 ($26,146) $26,146 0.5 Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Probable Revenue Gain fromGeneral Revenue Fund1 Change in Number of State Employees from FY 2009 2010 ($52,146) $52,146 0.5 2011 ($26,146) $26,146 0.5 2012 ($26,146) $26,146 0.5 2013 ($26,146) $26,146 0.5 2014 ($26,146) $26,146 0.5 2010 ($52,146) $52,146 0.5 2011 ($26,146) $26,146 0.5 2012 ($26,146) $26,146 0.5 2013 ($26,146) $26,146 0.5 2014 ($26,146) $26,146 0.5 Fiscal Analysis The bill would amend the Occupations Code to allow various regulatory agencies to provide licenses or temporary licenses to applicants who have felony and misdemeanor convictions that are older than five years. The bill would take effect immediately upon receiving a two-thirds vote of all members elected to each house, as provided by Section 39, Article III, Texas Constitution. If the bill does not receive the vote necessary for immediate effect, the bill would take effect September 1, 2009. The bill would amend the Occupations Code to allow various regulatory agencies to provide licenses or temporary licenses to applicants who have felony and misdemeanor convictions that are older than five years. The bill would take effect immediately upon receiving a two-thirds vote of all members elected to each house, as provided by Section 39, Article III, Texas Constitution. If the bill does not receive the vote necessary for immediate effect, the bill would take effect September 1, 2009. Methodology Based on the analysis of the Board of Professional Engineers, the Board of Architectural Examiners, the Executive Council of Physical Therapy & Occupational Therapy Examiners, the Real Estate Commission, the Board of Professional Geoscientists, the Board of Public Accountancy, the Board of Podiatric Medical Examiners, the Board of Plumbing Examiners, the Department of Licensing and Regulation, and the Board of Tax Professional Examiners, these agencies would be able to implement the provisions of the bill using existing agency resources. The Board of Chiropractic Examiners estimates that the agency would need 0.5 additional FTEs to implement the database changes and to monitor ongoing criminal records for provisional license holders. The Board of Professional Land Surveyors estimates implementing the provisions of the bill would require modifying database for the provisional license status. This analysis assumes that any increased costs to agencies which are required to generate sufficient revenue to cover their costs of operation would be offset by an increase in fee generated revenue. Based on the analysis of the Board of Professional Engineers, the Board of Architectural Examiners, the Executive Council of Physical Therapy & Occupational Therapy Examiners, the Real Estate Commission, the Board of Professional Geoscientists, the Board of Public Accountancy, the Board of Podiatric Medical Examiners, the Board of Plumbing Examiners, the Department of Licensing and Regulation, and the Board of Tax Professional Examiners, these agencies would be able to implement the provisions of the bill using existing agency resources. The Board of Chiropractic Examiners estimates that the agency would need 0.5 additional FTEs to implement the database changes and to monitor ongoing criminal records for provisional license holders. The Board of Professional Land Surveyors estimates implementing the provisions of the bill would require modifying database for the provisional license status. This analysis assumes that any increased costs to agencies which are required to generate sufficient revenue to cover their costs of operation would be offset by an increase in fee generated revenue. Technology The Board of Chiropractic Examiners estimates there would be a cost of $18,000 in 2010 for modifying its database to implement the provisions of the bill. The Board of Professional Land Surveyors estimates technology costs for database modification would be $4,000 in 2010. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 329 Real Estate Commission, 337 Board of Tax Professional Examiners, 452 Department of Licensing and Regulation, 456 Board of Plumbing Examiners, 457 Board of Public Accountancy, 459 Board of Architectural Examiners, 460 Board of Professional Engineers, 464 Board of Professional Land Surveying, 481 Board of Professional Geoscientists, 508 Board of Chiropractic Examiners, 512 Board of Podiatric Medical Examiners, 533 Executive Council of Physical Therapy & Occupational Therapy Examiners 329 Real Estate Commission, 337 Board of Tax Professional Examiners, 452 Department of Licensing and Regulation, 456 Board of Plumbing Examiners, 457 Board of Public Accountancy, 459 Board of Architectural Examiners, 460 Board of Professional Engineers, 464 Board of Professional Land Surveying, 481 Board of Professional Geoscientists, 508 Board of Chiropractic Examiners, 512 Board of Podiatric Medical Examiners, 533 Executive Council of Physical Therapy & Occupational Therapy Examiners LBB Staff: JOB, JRO, MW, ES JOB, JRO, MW, ES