LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  April 29, 1997
         
         
      TO: Honorable Judith Zaffirini, Chair            IN RE:  House Bill No. 2123, As Engrossed
          Committee on Health & Human Services                              By: Maxey
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB2123 ( Relating 
to the prevention and detection of fraud in certain programs 
administered by the Texas Department of Human Services.) this 
office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB2123-As Engrossed
         
No significant fiscal implication to the State is anticipated.
         
The bill would make no appropriation, but could provide the 
legal basis for making an appropriation.

The bill would implement 
Texas Performance Review recommendation FR 13 in Disturbing 
the Peace.  The bill, according to the Comptroller's Office, 
would generate additional state and local sales tax revenue, 
and savings to the state by preventing Lone Star card fraud 
and by recouping funds from inactive accounts.  However, the 
Comptroller's Office could not estimate the potential gain or 
savings.  Similarly, the Department of Human Services could 
not estimate savings that might be realized through heightened 
fraud prevention efforts or through earlier recoupment of unused 
financial assistance benefits.  Currently, the department closes 
accounts that have been inactive for the preceding 24 months.
         
 
          
No significant fiscal implication to units of local government 
is anticipated.
          
   Source:            Agencies:   304   Comptroller of Public Accounts
                                         324   Department of Human Services
                      LBB Staff:   JK ,BB ,PP