LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION May 1, 2015 TO: Honorable Myra Crownover, Chair, House Committee on Public Health FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3651 by Coleman (Relating to the manufacture, sale, distribution, possession, and use of drugs not approved by the United States Food and Drug Administration and the false representation that a substance is a drug approved by the United States Food and Drug Administration or intended for the prevention or treatment of diseases in humans; creating criminal offenses.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill would amend Chapter 431 of the Health and Safety Code to make it an offense to manufacture, sell, distribute, possess with intent to deliver, or use (or possess for use) a drug not approved by the U.S. Food and Drug Administration (FDA); exceptions are provided. In addition, the bill would make it an offense to make certain false claims about a substance to someone who intends to purchase or distribute the substance. The Department of State Health Services and Department of Public Safety indicate that the provisions of the bill could be implemented within existing resources. This analysis assumes the bill's provisions would not result in a significant impact on state correctional populations, programs, or workloads. Local Government Impact A Class A misdemeanor is punishable by a fine of not more than $4,000, confinement in jail for a term not to exceed one year, or both. Costs associated with enforcement, prosecution, and confinement could likely be absorbed with existing resources. Revenue from fines imposed and collected is not anticipated to have a significant fiscal impact. Source Agencies:405 Department of Public Safety, 537 State Health Services, Department of LBB Staff: UP, ADe, NB, WP, VJC, ESi, KVe LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION May 1, 2015 TO: Honorable Myra Crownover, Chair, House Committee on Public Health FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3651 by Coleman (Relating to the manufacture, sale, distribution, possession, and use of drugs not approved by the United States Food and Drug Administration and the false representation that a substance is a drug approved by the United States Food and Drug Administration or intended for the prevention or treatment of diseases in humans; creating criminal offenses.), Committee Report 1st House, Substituted TO: Honorable Myra Crownover, Chair, House Committee on Public Health FROM: Ursula Parks, Director, Legislative Budget Board IN RE: HB3651 by Coleman (Relating to the manufacture, sale, distribution, possession, and use of drugs not approved by the United States Food and Drug Administration and the false representation that a substance is a drug approved by the United States Food and Drug Administration or intended for the prevention or treatment of diseases in humans; creating criminal offenses.), Committee Report 1st House, Substituted Honorable Myra Crownover, Chair, House Committee on Public Health Honorable Myra Crownover, Chair, House Committee on Public Health Ursula Parks, Director, Legislative Budget Board Ursula Parks, Director, Legislative Budget Board HB3651 by Coleman (Relating to the manufacture, sale, distribution, possession, and use of drugs not approved by the United States Food and Drug Administration and the false representation that a substance is a drug approved by the United States Food and Drug Administration or intended for the prevention or treatment of diseases in humans; creating criminal offenses.), Committee Report 1st House, Substituted HB3651 by Coleman (Relating to the manufacture, sale, distribution, possession, and use of drugs not approved by the United States Food and Drug Administration and the false representation that a substance is a drug approved by the United States Food and Drug Administration or intended for the prevention or treatment of diseases in humans; creating criminal offenses.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. The bill would amend Chapter 431 of the Health and Safety Code to make it an offense to manufacture, sell, distribute, possess with intent to deliver, or use (or possess for use) a drug not approved by the U.S. Food and Drug Administration (FDA); exceptions are provided. In addition, the bill would make it an offense to make certain false claims about a substance to someone who intends to purchase or distribute the substance. The Department of State Health Services and Department of Public Safety indicate that the provisions of the bill could be implemented within existing resources. This analysis assumes the bill's provisions would not result in a significant impact on state correctional populations, programs, or workloads. Local Government Impact A Class A misdemeanor is punishable by a fine of not more than $4,000, confinement in jail for a term not to exceed one year, or both. Costs associated with enforcement, prosecution, and confinement could likely be absorbed with existing resources. Revenue from fines imposed and collected is not anticipated to have a significant fiscal impact. Source Agencies: 405 Department of Public Safety, 537 State Health Services, Department of 405 Department of Public Safety, 537 State Health Services, Department of LBB Staff: UP, ADe, NB, WP, VJC, ESi, KVe UP, ADe, NB, WP, VJC, ESi, KVe