TO:	Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:	Jerry McGinty, Director, Legislative Budget Board
IN RE:	SB1827 by Huffman (relating to the creation of the opioid abatement account and to a statewide opioid settlement agreement.), Committee Report 1st House, Substituted

This bill would amend the Government Code by adding Section 403.1044 regarding the Opioid Abatement Account.

The bill would create the Opioid Abatement Account as a dedicated account in the General Revenue Fund composed of money received from an action by the state against an opioid manufacturer, distributor, or another person in the opioid industry relating to a violation of state or federal law on the manufacture, marketing, distribution or sale of opioids. Other deposits to the account include legislative appropriations, gifts and grants. Funds obtained in a future settlement and deposited into the account cannot be estimated at this time.

Money in the account could be appropriated only to a state agency for the abatement of opioid-related harms, with certain restrictions.

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 in, 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.

The bill would take effect September 1, 2021.

Local Government Impact

No fiscal implication to units of local government is anticipated.