LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
May 13, 1997
TO: Honorable Judith Zaffirini, Chair IN RE: House Bill No. 2192, As Engrossed
Committee on Health & Human Services By: Rangel
Senate
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB2192 ( Relating
to the establishment of a physician recruitment program for
medically underserved areas.) this office has detemined the
following:
Biennial Net Impact to General Revenue Funds by HB2192-As Engrossed
Implementing the provisions of the bill would result in a net
negative impact of $(660,000) to General Revenue Related Funds
through the biennium ending August 31, 1999.
The bill would make no appropriation but could provide the legal
basis for an appropriation of funds to implement the provisions
of the bill.
Fiscal Analysis
The bill would create the Texas Health Services Corps program
for Medically Underserved Areas. The Center for Rural Health
Initiatives would be required to award stipends to physicians
for one-year periods to provide services in underserved areas.
The Center for Rural Health Initiatives would not spend more
than 10 percent of the amounts appropriated to administer the
provisions of the bill for administrative costs. To the extent
that grants, donations, or reimbursements are received, it is
possible that there could be some offsetting revenues for the
costs associated with the bill.
Methodolgy
It is estimated that approximately 20 physicians would participate
in the program per year. At a stipend amount of $15,000 per
year, the stipends would be approximately $300,000 per year.
It
is assumed that $30,000 per year would be used for administrative
costs at the Center for Rural Health Initiatives.
It is assumed
that the program would not begin until fiscal year 1998.
The probable fiscal implications of implementing the provisions
of the bill during each of the first five years following passage
is estimated as follows:
Five Year Impact:
Fiscal Year Probable
Savings/(Cost)
from General
Revenue Fund
0001
1998 ($330,000)
1998 (330,000)
2000 (330,000)
2001 (330,000)
2002 (330,000)
Net Impact on General Revenue Related Funds:
Fiscal Year Probable Net Postive/(Negative)
General Revenue Related Funds
Funds
1998 ($330,000)
1999 (330,000)
2000 (330,000)
2001 (330,000)
2002 (330,000)
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: Agencies: 501 Department of Health
LBB Staff: JK ,BB ,KF