SB 195

84(R) - 2015
Senate Health & Human Services
Senate Health & Human Services
Health & Human Services
Licensing & Administrative Procedures

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral


Charles Schwertner

Bill Caption

Relating to prescriptions for certain controlled substances, access to information about those prescriptions, and the duties of prescribers and other entities registered with the Federal Drug Enforcement Administration; authorizing fees.

Fiscal Notes

Estimated Two-year Net Impact to General Revenue Related Funds for SB195, Committee Report 2nd House, Substituted: an impact of $0 through the biennium ending August 31, 2017. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

To implement the provisions of the bill, the Texas State Board of Pharmacy (TSBP) estimates the need for $383,000 each fiscal year and an increase to the full-time equivalent (FTE) cap by 7.0 FTEs. 

Note: This legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either with or outside of the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature.

No fiscal implication to units of local government is anticipated.

Bill Analysis

The legislation would amend the Government Code, Health and Safety Code, and Occupations Code.

The bill would transfer the authority of administering the Texas Prescription Program (TPP) from the Department of Public Safety (DPS) to the Texas State Board of Pharmacy (TSBP).

Current law requires a person to register with the Texas Department of Public Safety (DPS). If the bill is adopted, it would require a person to register with the Federal Drug Enforcement Administration (FDEA), rather than the DPS, in order to manufacture, distribute, analyze, dispense, or conduct research with a controlled substance. An FDEA registrant who handles controlled substances must maintain records in compliance with federal law.

The bill also states TSBP may enter into an interoperability agreement with one or more states or an association of states authorizing the board to access prescription monitoring information maintained or collected by other states or an association.

TSBP is currently required to establish fees necessary to cover the costs associated with the implementation of Subtitle C (Substance Abuse Regulation and Crimes) of the Health and Safety Code. The bill would mandate each agency that licenses individuals or entities authorized to prescribe or dispense controlled substances under Chapter 481, Health and Safety Code, and has access to TPP, to increase the occupational license, permit, or registration fee of the license holders or use available excess revenue in an amount sufficient to operate that program as specified by TSBP. The generated fee revenue will be transferred to TSBP so the board can maintain the Texas Prescription Program.

Vote Recommendation Notes

5/21/15 update:

This bill is substantively the same as when we reported on it in its original chamber. We continue to remain neutral on SB 195. The second chamber sponsor is Representative Crownover.

Original chamber recommendation below:

The primary objective of this legislation is to transfer jurisdiction of the Texas Prescription Program (TPP) responsibilities from the Department of Public Safety (DPS) to the Texas State Board of Pharmacy (TSBP). Whenever a bill transfers responsibilities from one entity to another, we always want to verify in our analysis that the bill does not expand the size, scope, or cost of government.

DPS is a government agency that receives state funding. TSBP, however, is a self-funded state health regulatory agency that receives no tax dollars from the general revenue fund. TSBP's main source of revenue is through occupational licensing fees. Requiring participating agencies in the TPP - specifically the Texas Medical Board, Board of Nursing, Texas State Board of Dental Examiners, Board of Veterinary Medical Examiners, Optometry Board, and Board of Podiatric Medical Examiners - to increase licensing fees is designed to offset any increase in costs associated with administering the program.

There are two conflicting arguments attempting to support and endanger limited government. Transferring the TPP operational responsibilities out of DPS will cost the state less money. On the other hand, the mandated increase in occupational licensing fees will increase regulatory compliance costs for licensees.

Due to these conflicting arguments regarding limited government, we remain neutral on SB 195.