LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 74th Regular Session February 20, 1995 TO: Honorable Harvey Hilderbran, Chair IN RE: House Bill No. 1062 Committee on Human Services By: Raymond et al. House of Representatives Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on House Bill No. 1062 (Relating to the establishment of a pilot program to develop electronic benefits transfer systems that permit the use of food stamps in farmers markets.; Relating to the establishment of a pilot program to develop electronic benefits transfer systems that permit the use of food stamps in farmers markets.) 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 would require the Department of Human Services (DHS) to establish an electronic benefits transfer (EBT) pilot program for farmers markets. DHS would need to ensure that EBT technology can be used at each farmers market that currently accepts or is interested in accepting food stamps in each county included in the program. Each farmer who currently accepts food stamps at a farmers market in a county included in the program would be guaranteed access to EBT technology. DHS would be required to select two or more counties in which to establish the pilot program. In addition, the bill would create an interagency task force to advise and assist DHS in developing the EBT program for farmers markets and in selecting two or more counties in which to establish the program. The bill also requires DHS to submit a report to the Governor and the 75th Legislature concerning the effectiveness of the pilot program, requires that task force members be appointed no later than September 1, 1995, and requires DHS to establish the pilot programs no later than January 1, 1996. The requirements of this bill would expire September 1, 1997. 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 Change in Year of General Federal Funds 555 Number of State Revenue Fund 001 Employees from FY 1995 1996 $51,600 $50,000 .0 1997 51,600 50,000 .0 1998 1999 2000 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: Comptroller of Public Accounts, Department of Human Services, Department of Agriculture LBB Staff: JK, MU, DF