The Health and Human Services Executive Commissioner on behalf of the Department of State Health Services (department) proposes amendments to §§229.631 - 229.644, concerning the regulation of cosmetic salvage establishments and brokers.

The amendments are necessary to comply with Government Code, Chapter 2054, Subchapter K, which requires the department to participate in an electronic system for occupational licensing transactions (Texas Online); House Bill 2292, 78th Legislative Session, 2003, §2.42, added Health and Safety Code, §12.0111, which requires the department to charge a fee sufficient to cover the cost of administering and enforcing the licensing program, and Health and Safety Code, §12.0112, which requires that the term for licenses issued or renewed after January 1, 2005 will be two years. Amendments to §§229.631 - 229.644 reorganize and/or provide clarification to the rules. Amendments were made to §§229.635 - 229.636 to reflect changes in the duration of licenses and the amount of fees collected by the department for the licenses, and the fee collected for use of Texas Online to issue a license.

Susan E. Tennyson, Section Director, Environmental and Consumer Safety Section, has determined that for each calendar year of the first five years the sections are in effect, there will be no fiscal implications to the state as a result of enforcing or administering the sections as proposed. Since there are no cosmetic-only salvage establishments or brokers licensed in Texas, any cosmetic salvage conducted in Texas is incidental to food salvage, and food salvage establishments and brokers are licensed under Subchapter AA of this title. There will be no effect on local government.

Ms. Tennyson has also determined that for each year of the first five years the sections are in effect, the public health benefit anticipated as a result of enforcing or administering the sections is to ensure the safety of cosmetic products that could be handled by salvage establishments and brokers. There are no anticipated economic costs to small businesses, micro-businesses, and persons required to maintain a salvage establishment or broker license since none are licensed. The fee for the license will increase from $400 per year to $1,200 every two years. There will be no impact on local employment.

Comments on the proposal may be submitted to Brad O'Donnell, Food and Drug Branch, Environmental and Consumer Safety Section, Department of State Health Services, 1100 West 49th Street, Austin, TX 78756, (512) 719-0237. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The proposed amendments are authorized by Health and Safety Code, §12.0111, which requires the department to charge fees for issuing or renewing a license; §12.0112, which requires the term of each license issued to be two years; and Government Code §531.055 and Health and Safety Code §1001.075, which authorize the executive commissioner of the Health and Human Services Commission to adopt rules reasonably necessary for the department to administer its regulatory and administrative functions.

The proposed amendments affect the Health and Safety Code, Chapters 12, 432, and 1001; and Government Code, Chapter 531.