LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION April 11, 2023 TO: Honorable Ken King, Chair, House Committee on Licensing & Administrative Procedures FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB3579 by Bumgarner (relating to the issuance of an emergency order by the Texas Department of Licensing and Regulation against a massage establishment.), Committee Report 1st House, Substituted The fiscal implications of the bill cannot be determined due to the uncertain nature of the increase in cases as a result of the lower evidentiary standard required for the Texas Department of Licensing and Regulation to issue an emergency order to halt operation under the bill's provisions. The bill would require the Texas Department of Licensing and Regulation (TDLR) to issue an emergency order to halt the operation of a massage establishment if TDLR learns that a law enforcement agency is investigating the establishment for a human trafficking offense or if TDLR has reasonable cause that a human trafficking offense is being committed at the establishment. These emergency suspension orders would require a hearing to be conducted by the State Office of Administrative Hearings (SOAH) within 10 days of the TDLR order. This analysis assumes that, under the bill's provisions, there would be an increase in the number of emergency suspension cases that would trigger a SOAH hearing due to a lowered "reasonable cause" threshold; however, the number of additional emergency orders issued and associated SOAH hearings cannot be estimated. According to SOAH and TDLR, if the number of emergency orders and associated SOAH cases is significant then both agencies would need additional full-time equivalent positions to support this increased caseload. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 360 State Office of Administrative Hearings, 452 Department of Licensing and Regulation LBB Staff: b > td > JMc, SZ, BFa, GDZ, CMA
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION
April 11, 2023
TO: Honorable Ken King, Chair, House Committee on Licensing & Administrative Procedures FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB3579 by Bumgarner (relating to the issuance of an emergency order by the Texas Department of Licensing and Regulation against a massage establishment.), Committee Report 1st House, Substituted
TO: Honorable Ken King, Chair, House Committee on Licensing & Administrative Procedures
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB3579 by Bumgarner (relating to the issuance of an emergency order by the Texas Department of Licensing and Regulation against a massage establishment.), Committee Report 1st House, Substituted
Honorable Ken King, Chair, House Committee on Licensing & Administrative Procedures
Honorable Ken King, Chair, House Committee on Licensing & Administrative Procedures
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB3579 by Bumgarner (relating to the issuance of an emergency order by the Texas Department of Licensing and Regulation against a massage establishment.), Committee Report 1st House, Substituted
HB3579 by Bumgarner (relating to the issuance of an emergency order by the Texas Department of Licensing and Regulation against a massage establishment.), Committee Report 1st House, Substituted
The fiscal implications of the bill cannot be determined due to the uncertain nature of the increase in cases as a result of the lower evidentiary standard required for the Texas Department of Licensing and Regulation to issue an emergency order to halt operation under the bill's provisions.
The fiscal implications of the bill cannot be determined due to the uncertain nature of the increase in cases as a result of the lower evidentiary standard required for the Texas Department of Licensing and Regulation to issue an emergency order to halt operation under the bill's provisions.
The bill would require the Texas Department of Licensing and Regulation (TDLR) to issue an emergency order to halt the operation of a massage establishment if TDLR learns that a law enforcement agency is investigating the establishment for a human trafficking offense or if TDLR has reasonable cause that a human trafficking offense is being committed at the establishment. These emergency suspension orders would require a hearing to be conducted by the State Office of Administrative Hearings (SOAH) within 10 days of the TDLR order. This analysis assumes that, under the bill's provisions, there would be an increase in the number of emergency suspension cases that would trigger a SOAH hearing due to a lowered "reasonable cause" threshold; however, the number of additional emergency orders issued and associated SOAH hearings cannot be estimated. According to SOAH and TDLR, if the number of emergency orders and associated SOAH cases is significant then both agencies would need additional full-time equivalent positions to support this increased caseload.
This analysis assumes that, under the bill's provisions, there would be an increase in the number of emergency suspension cases that would trigger a SOAH hearing due to a lowered "reasonable cause" threshold; however, the number of additional emergency orders issued and associated SOAH hearings cannot be estimated.
According to SOAH and TDLR, if the number of emergency orders and associated SOAH cases is significant then both agencies would need additional full-time equivalent positions to support this increased caseload.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 360 State Office of Administrative Hearings, 452 Department of Licensing and Regulation
360 State Office of Administrative Hearings, 452 Department of Licensing and Regulation
LBB Staff: b > td > JMc, SZ, BFa, GDZ, CMA
JMc, SZ, BFa, GDZ, CMA