The fiscal implications of SB 1145 indicate that while there will be no direct impact on General Revenue-related funds through the biennium ending August 31, 2027, the bill will necessitate the establishment of a new permitting program under the Texas Commission on Environmental Quality (TCEQ). This transition from the Railroad Commission of Texas (RRC) to TCEQ will require 13 new full-time equivalent (FTE) positions to manage permit applications, conduct investigations, ensure compliance, and support enforcement-related activities. The anticipated costs for this program include an annual expenditure of approximately $1.1 million for salaries and wages, along with additional administrative, operational, and capital costs. TCEQ will also incur expenses related to laboratory accreditation, with an estimated cost of $95,452 in fiscal year 2026, declining slightly in subsequent years. To offset these costs, revenue is expected from permit fees and environmental testing laboratory accreditation, with projected revenue gains starting at $25,000 in 2027 and increasing to $162,500 by 2030. Additionally, the environmental testing accreditation program is expected to generate $464,000 annually.
The bill does not impose significant financial burdens on local governments.