LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session March 20, 1995 TO: Honorable Hugo Berlanga, Chair IN RE: House Bill No. 299 Committee on Public Health By: Hochberg House of Representatives Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on House Bill No. 299 (Relating to assessment of administrative penalties for violations of rules or statutes applicable to personal care facilities.) this office has determined the following: The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. The bill amends chapter 247 of the Health and Safety Code by establishing provisions for the assessment of administrative penalties resulting from the violation of rules or statutes applicable to personal care facilities. The department utilized the following assumptions in determining the fiscal impact of this bill: * twenty percent (20%) of the licensed personal care facilities will have a penalty assessed * of that twenty percent, fifty percent (50%) will appeal the penalty * of the facilities that appeal, fifty percent (50%) will win their appeal. Calculations of estimated personal care facilities beyond FY 97 are based on a 10% increase per year. The average penalty assessed is estimated to be $500 and the gain to general revenue is based on the number of facilities assessed penalties. The probable fiscal implication of implementing the provisions of the bill during each of the first five years following passage is estimated as follows: Fiscal Probable Cost Out Probable Cost Out Probable Cost Out Year of General of General Revenue of - Federal Funds Revenue Fund 001 Match For Medicaid 555 1996 $28,915 $59,329 $163,845 1997 28,053 57,560 158,960 1998 29,969 61,492 169,821 1999 31,886 65,425 180,680 2000 34,350 70,481 194,643 Fiscal Probable Savings Change in Year from General Number of State Revenue Fund 001 Employees from FY 1995 1996 $50,000 2.0 1997 52,500 2.0 1998 58,000 2.0 1999 63,500 2.0 2000 70,000 2.0 Similar annual fiscal implications would continue as long as the provisions of the bill are in effect. No fiscal implication to units of local government is anticipated. Source: Legislative Budget Board LBB Staff: JK, MU, DF