LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION March 30, 2025 TO: Honorable Gary VanDeaver, Chair, House Committee on Public Health FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1803 by Harless (Relating to the Dentist and Dental Hygienist Compact; authorizing fees.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB1803, As Introduced: an impact of $0 through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. Pursuant to Occupations Code, Section 254.004, the Texas State Board of Dental Examiners is required to generate sufficient revenues to cover the cost of agency appropriations and the other direct and indirect costs appropriated to other state agencies. This estimate assumes that the agency would adopt fees as the bill would authorize to cover the costs of implementing the bill's provisions if funds are appropriated for this purpose. General Revenue-Related Funds, Five- Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact toGeneral Revenue Related Funds2026$02027$02028$02029$02030$0All 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 20252026($415,274)$415,2745.02027($380,209)$380,2095.02028($380,209)$380,2095.02029($380,209)$380,2095.02030($380,209)$380,2095.0 Fiscal AnalysisThe bill would amend the Occupations Code to establish the duties and responsibilities required of the Texas State Board of Dental Examiners (TSBDE) in order to enact the Dentist and Dental Hygienist Compact, which includes the interstate Compact Commission and an Executive Board to oversee administration of the compact. The bill would authorize compact member states to grant the privilege to practice to a licensee holding a valid unencumbered license in another member state. The bill would allow member states to assess a fee for granting the privilege to practice. The bill would authorize the Compact Commission to collect an annual assessment from each member state to cover the cost of its operations. This bill would take effect on September 1, 2025. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION March 30, 2025 TO: Honorable Gary VanDeaver, Chair, House Committee on Public Health FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1803 by Harless (Relating to the Dentist and Dental Hygienist Compact; authorizing fees.), As Introduced TO: Honorable Gary VanDeaver, Chair, House Committee on Public Health FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB1803 by Harless (Relating to the Dentist and Dental Hygienist Compact; authorizing fees.), As Introduced Honorable Gary VanDeaver, Chair, House Committee on Public Health Honorable Gary VanDeaver, Chair, House Committee on Public Health Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board HB1803 by Harless (Relating to the Dentist and Dental Hygienist Compact; authorizing fees.), As Introduced HB1803 by Harless (Relating to the Dentist and Dental Hygienist Compact; authorizing fees.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB1803, As Introduced: an impact of $0 through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. Pursuant to Occupations Code, Section 254.004, the Texas State Board of Dental Examiners is required to generate sufficient revenues to cover the cost of agency appropriations and the other direct and indirect costs appropriated to other state agencies. This estimate assumes that the agency would adopt fees as the bill would authorize to cover the costs of implementing the bill's provisions if funds are appropriated for this purpose. Estimated Two-year Net Impact to General Revenue Related Funds for HB1803, As Introduced: an impact of $0 through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. Pursuant to Occupations Code, Section 254.004, the Texas State Board of Dental Examiners is required to generate sufficient revenues to cover the cost of agency appropriations and the other direct and indirect costs appropriated to other state agencies. This estimate assumes that the agency would adopt fees as the bill would authorize to cover the costs of implementing the bill's provisions if funds are appropriated for this purpose. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. Pursuant to Occupations Code, Section 254.004, the Texas State Board of Dental Examiners is required to generate sufficient revenues to cover the cost of agency appropriations and the other direct and indirect costs appropriated to other state agencies. This estimate assumes that the agency would adopt fees as the bill would authorize to cover the costs of implementing the bill's provisions if funds are appropriated for this purpose. General Revenue-Related Funds, Five- Year Impact: 2026 $0 2027 $0 2028 $0 2029 $0 2030 $0 All Funds, Five-Year Impact: 2026 ($415,274) $415,274 5.0 2027 ($380,209) $380,209 5.0 2028 ($380,209) $380,209 5.0 2029 ($380,209) $380,209 5.0 2030 ($380,209) $380,209 5.0 Fiscal Analysis The bill would amend the Occupations Code to establish the duties and responsibilities required of the Texas State Board of Dental Examiners (TSBDE) in order to enact the Dentist and Dental Hygienist Compact, which includes the interstate Compact Commission and an Executive Board to oversee administration of the compact. The bill would authorize compact member states to grant the privilege to practice to a licensee holding a valid unencumbered license in another member state. The bill would allow member states to assess a fee for granting the privilege to practice. The bill would authorize the Compact Commission to collect an annual assessment from each member state to cover the cost of its operations. This bill would take effect on September 1, 2025. This bill would take effect on September 1, 2025. Methodology According to analysis by TSBDE, the agency would require 5.0 additional FTEs to implement the provisions of the bill. The agency would require 3.0 additional License and Permit Specialist II FTEs, with annual salaries of $46,000 and benefits of $13,763, to process applications related to the compact. To investigate and process the additional complaints TSBDE expects with the increase in the number of licensees, the agency would require: 1.0 Investigator IV FTE with an annual salary of $58,000, benefits of $17,354, and a travel budget of $5,000; and 1.0 additional Attorney III FTE with an annual salary of $92,800 and benefits of $27,766. The bill would authorize the Compact Commission to collect an annual assessment from each member state. The amount of the assessment is unknown and is not included in the cost estimate, though this analysis assumes that fees adopted by the agency would offset the cost of the annual assessment. The bill would authorize the Compact Commission to collect an annual assessment from each member state. The amount of the assessment is unknown and is not included in the cost estimate, though this analysis assumes that fees adopted by the agency would offset the cost of the annual assessment. Technology According to TSBDE, updates to the agency's regulatory database would be required to account for the additional type of application and to track the applications within the compact. This would result in one-time costs of $17,565 in fiscal year 2026. The agency would also require computer equipment for each of the additional FTEs, resulting in one-time costs of $17,500 in fiscal year 2026. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts, 504 Texas State Board of Dental Examiners 304 Comptroller of Public Accounts, 504 Texas State Board of Dental Examiners LBB Staff: b > td > JMc, NPe, GDZ, DPE JMc, NPe, GDZ, DPE