LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
74th Regular Session
May 10, 1995
TO: Honorable Judith Zaffirini, Chair IN RE: House BillNo. 1345,
Committee on Health & Human Services as engrossed
Senate By: Hamric
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on House Bill No.
1345 (Relating to tests for human immunodeficiency virus
infection of pregnant women or on delivery of a child.) this
office has determined the following:
The bill would require physicians attending pregnant women during
gestation or at delivery to test the woman for HIV infection.
The Texas Department of Health would be required to design,
prepare, and provide to health care providers materials to inform
patients about incidence, mode of transmission, and treatments
available for certain sexually transmitted diseases.
Recent scientific research has determined that treatment of an
HIV positive pregnant woman with zidovudine, also known as AZT,
reduces the probability of transmission of the virus to the fetus
by two-thirds. Savings noted below represent public sector costs
avoided through the prevention of transmission of the virus. It
is assumed that it would cost a total of $100,000 per year to
treat an HIV-infected infant. It is assumed that approximately
30 infant lives could be saved per year through early detection
and treatment with AZT.
Costs noted below include costs to test approximately fifty
percent of the pregnant women in the state for the HIV virus,
including follow-up tests when a first positive result occurs.
Costs also include treatment with AZT and related laboratory
work, as well as treatment for the infants for whom transmission
of the virus is not prevented through treatment of the mother.
Estimates were based upon Medicaid billing rates for the
estimated number of Medicaid-eligible women.
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 Savings
Year of General of Federal Funds to General
Revenue Fund 001 555 Revenue Fund 001
1996 $1,697,225 $2,238,136 $1,808,000
1997 1,756,904 2,282,855 1,864,560
1998 1,838,400 2,405,756 1,940,880
1999 1,943,576 2,404,977 2,017,200
2000 2,031,090 2,536,574 2,155,360
Fiscal Probable Savings
Year to Federal Funds
555
1996 $2,492,000
1997 2,535,440
1998 2,659,120
1999 2,782,800
2000 2,844,640
Similar annual fiscal implications would continue as long as the
provisions of the bill are in effect.
The fiscal implication to units of local government cannot be
determined.
Source: Legislative Budget Board, Texas Department of Health
LBB Staff: JK, KF, DF