SB 0103 - Fiscal Note

Fiscal Note - SB 0103 - Regulates radiologic personnel

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 0059-01

BILL NO. SB 103

SUBJECT: Licenses - Professional: Health Care Professionals

TYPE: Original

DATE: February 19, 1999

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FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED	FY 2000	FY 2001	FY 2002
Ionizing Radiation Technology	$478,800	($242,577)	$175,013
PR Fees	($130,342)	$130,342	$0
Total Estimated Net Effect on All State Funds	$348,458	($112,235)	$175,013

ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED	FY 2000	FY 2001	FY 2002
None
Total Estimated Net Effect on All Federal Funds	$0	$0	$0

ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED	FY 2000	FY 2001	FY 2002
Local Government	$0	$0	$0

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 6 pages.

FISCAL ANALYSIS

ASSUMPTION

Officials from the Department of Economic Development (DED)-Division of Professional Registration (DPR) assume the proposed legislation would result in the potential for 6,384 licensees. This is based on the number of Missouri members eligible for licensure listed on the registry of the American Registry of Radiologic Technology.

The projected revenue reflects a $75 fee for all categories of licensure. The fees have been set at a level sufficient to produce revenue to fund the estimated expenditures. In addition, a 3% growth rate has been estimated. It is assumed that a biennial renewal would be established.

It is assumed the Ionizing Radiation Technology Fund would reimburse the PR Fees Fund for all expenses paid by the PR Fees Fund.

DPR is requesting an additional 3.5 FTE to carry out duties generated by this proposal. The additional employees would include a .5 Principal Assistant (.5 FTE at $44,080 per year) to serve as senior executive officer of the board, a .5 Licensure Technician II (.5 FTE at $21,948 per year) to provide technical support directly to the Principal Assistant and the Board and to be responsible for processing applications for licensure, as well as respond to any inquiries relating to the licensure law or rules and regulations, a .5 Clerk IV (.5 FTE at $24,216 per year) to provide support for the Division's Technical Support Services to prepare board meeting materials, arrange and attend all board meetings, process continuing education for license renewal, etc., a .25 Account Clerk II (.25 FTE at $21,108 per year) to provide support for the Division's Central Accounting Section to process payroll, expense accounts, warrant requests, etc., a .25 Clerk Typist II (.25 FTE at $18,204 per year) to provide support for the Division's Central Cash Receiving Room to process renewals, deposit all funds received and to scan all mail received and a 1.5 Investigator II (1.5 FTE at $35,364 per year) to provide support to the Division's Central Investigative Unit. Since it is assumed there would not be any investigations the first year, personal service costs for the Investigator II position would not occur until FY 02.

In a similar previous proposal, DPR requested a different number of FTE. However, DPR has changed their methodology from prior years in determining FTE requests for new boards.

It is assumed the Board would meet four times per year for two days each. Associated travel costs (mileage, lodging and meals) would be $12,101 per year. It is assumed the Board would meet only two times in FY 00.

DPR has based postage and printing costs on the actual FY 98 usage for a board of similar size and has estimated costs in FY 00 to be $39,389 and $22,000 in subsequent years. Additional costs would be incurred the first year for statute and rule mailings to applicants and for first year start up printing of rules and applications. Office and communication expenses and equipment are based on estimated existing costs within the Division.

ASSUMPTION (continued)

Based on FY 98 complaints for an agency of similar size, DPR officials assume there would be 262 complaints filed each year, with an estimate of 30% of the complaints requiring investigation, resulting in 79 investigations. It is estimated that an average investigation would require approximately 30 hours of field work and would be handled by in-house staff and board members. However, if it would be necessary to contract with outside professional experts, additional funding for expense and equipment would be needed. Travel costs to conduct the investigations are estimated at $20,145 annually. However, it is assumed the complaints and investigations would not start until FY 02.

It is assumed that existing staff would design, program, and implement a computer licensure program. However, if costs are higher than anticipated, further monies would be required.

Also, it is assumed the Board would utilize a nationally standardized examination. However, if the Board should elect to develop its own examination, costs for such an examination range from $10,000 to $50,000.

It is assumed the Office of the Attorney General (AGO) would provide approximately 60 hours of assistance per year with rules, opinions and meetings. Based on an hourly cost of $58.04, the annual total would be $3,482. Also, it is estimated that 25% of the investigations (20 cases) would be forwarded to the AGO for further action. Based on a cost of $5,400 per case, the annual cost would be $108,000. However, it is assumed there would not be any cases until FY 02.

Officials from the Office of the Secretary of State (SOS) assume the proposed legislation would require the printing of additional pages in the Missouri Register and the Code of State Regulations and have estimated a publishing and distribution cost of $3,025 for the first year of implementation. Additionally, future costs are unknown and depends upon the frequency and length of rules filed, amended, rescinded or withdrawn.

While this bill alone would not require SOS to acquire additional staff, SOS assumes the

cumulative effect of additional Register and Code publishing duties could, at some point, require

additional staff. However, Oversight assumes SOS could increase fees to cover any additional

costs, per Section 536.033, RSMo and therefore, has not included associated costs in the fiscal impact specifications below.

In a similar previous proposal, officials from the Office of the Attorney General (AGO) assumed the proposed legislation would result in the need for a .25 Assistant Attorney General I (.25 FTE at $30,000 per year) with associated expense and equipment to represent the Board in cases before the Administrative Hearing Commission for an approximate annual cost of $15,000. However, Oversight assumes DPR has included such costs in the Other Costs portion of the fiscal impact specifications below.

ASSUMPTION (continued)

Oversight also notes that the DPR budget contains monies to reimburse the AGO for its services and assumes the DPR would increase its request for these monies if necessary.

Officials from the Department of Revenue (DOR), Office of the State Treasurer (STO), Office of Administration - Administrative Hearing Commission (AHC), Department of Health (DOH), Department of Labor and Industrial Relations (DOL) and the Office of State Courts Administrator (CTS) assume the proposed legislation would have either minimal or no fiscal impact on their agencies.

FISCAL IMPACT - State Government						FY 2000	FY 2001	FY 2002
IONIZING RADIATION
TECHNOLOGY FUND
Income-Division of Professional Registration (DPR)
Licensure Fees/Renewals	$478,800	$7,200	$507,975
Costs-DPR
Transfer to PR Fees Fund	0	(249,777)	($332,962)
ESTIMATED NET EFFECT TO
IONIZING RADIATION
TECHNOLOGY FUND	$478,800	($242,577)	$175,013
PR FEES FUND
Income-Division of Professional Registration (DPR)
Transfer from Ionizing Radiation
Technology Fund	$0	$249,777	$332,962
Costs-DPR
Personal Service (3.5 FTE)	($46,936)	($57,732)	($116,301)
Fringe Benefits	(14,344)	(17,643)	(35,542)
Board Member Per Diem	(1,800)	(3,600)	(3,600)
Expense and Equipment	(63,780)	(36,978)	(59,460)
Other Costs/AGO Costs	(3,482)	(3,482)	(118,059)
Total Costs - DPR	($130,342)	($119,435)	($332,962)
ESTIMATED NET EFFECT TO
PR FEES FUND	($130,342)	$130,342	$0
FISCAL IMPACT - Local Government	FY 2000	FY 2001	FY 2002
	(10 Mo.)
	$0	$0	$0
FISCAL IMPACT - Small Business
This proposal would be expected to have a direct fiscal impact on small businesses.

DESCRIPTION

This proposal would establish within the Division of Professional Registration the Board of Ionizing Radiation Technology and the Ionizing Radiation Technology Fund to license and regulate the use of ionizing radiation on human beings. The proposal would contain provisions pertaining to the composition of the Board, compensation of members, nomination and appointment procedures, terms of members, and meetings of the Board. The Board would be required to establish standards for licensure, promulgate rules for the operation of the Board, establish accreditation of schools and courses for radiation technology, and establish the appropriate continuing education for license renewal.

This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.

This proposal would affect Total State Revenues.

SOURCES OF INFORMATION

Department of Economic Development - Division of Professional Registration

Office of the Secretary of State

Office of the Attorney General

Department of Revenue

Office of the State Treasurer

Office of Administration - Administrative Hearing Commission

Department of Health

Department of Labor and Industrial Relations

Office of State Courts Administrator

Jeanne Jarrett, CPA

Director

February 19, 1999