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Estimated Two-year Net Impact to General Revenue Related Funds for SB202, Committee Report 1st House, Substituted: a negative impact of ($8,337,834) through the biennium ending August 31, 2017.
There would be a net revenue loss to the state for two reasons: (1) the programs at DSHS currently raise more revenue than what is required at the Texas Department of Licensing and Regulation (TDLR) and the Texas Medical Board (TMB), and (2) there would be a reduction in fee revenue from programs whose oversight is discontinued.
No fiscal implication to units of local government is anticipated.
This bill is substantively the same as when we reported on it in its original chamber. We continue to support SB 202. The second chamber sponsor is Representative Price.
Original chamber analysis
The bill would partially implement the Sunset Advisory Commission recommendations concerning the Department of State Health Services (DSHS). If enacted, the bill would eliminate burdensome regulatory functions. SB 202 is divided into four articles, instead of 12, like its House companion bill HB 2510.
Article 1 - Regulatory Programs Transferred to the Texas Department of Licensing and Regulation
The bill would transfer the following 13 regulatory programs, in two phases, from DSHS to the Texas Department of Licensing and Regulation (TDLR): athletic trainers, dieticians, fitters and dispensers of hearing instruments, midwives, orthotists and prosthetists, dyslexia therapists and practitioners, speech-language pathologists and audiologists, code enforcement officers, laser hair removal, massage therapists, mold assessors and remediators, offender education providers and sanitatians. The bill would also reconstitute current independent boards existing for each program at DSHS as advisory committees at TDLR, and adapt basic administrative processes to TDLR's current operational model.
Article 2 - Regulatory Programs Transferred to the Texas Medical Board
The bill would transfer four regulatory programs (respiratory care practitioners, medical radiologic technologists, medical physicists, and perfusionists) from DSHS to the Texas Medical Board (TMB), create associated advisory committees and boards, and require fingerprint-based background checks. The bill would require TMB and DSHS to adopt a transition plan which would be required to provide for the transfer of functions to be completed as soon as practicable after September 1, 2015.
Article 3 - Deregulation of Certain Activities and Occupations
The bill would discontinue the following eight regulatory programs currently under DSHS purview: bottled and vended water, contact lens dispensers, opticians, personal emergency response systems, bedding, indoor air quality in state buildings, rendering, and tanning bed facilities. The bill would remove DSHS' licensing and permit regulations that are currently required to execute the aforementioned activities and occupations.
Article 4 - Effective Date
This Act would take effect September 1, 2015, except for the transfer of six regulatory programs to TDLR, which would be effective September 1, 2017.