LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  May 10, 1997
         
         
      TO: Honorable Toby Goodman, Chair            IN RE:  Senate Bill No. 181, Committee Report 2nd House, Substituted
          Committee on Juvenile Justice and Family Issues                              By: Shapiro
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on SB181 ( Relating 
to the parent-child relationship, suits affecting the parent-child 
relationship, and the protection of children.) this office has 
detemined the following:
         
         Biennial Net Impact to General Revenue Funds by SB181-Committee Report 2nd House, Substituted   FN Revision 1
         
Implementing the provisions of the bill would result in a net 
positive impact of $4,468,614 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 amend two chapters in the Family Code relating 
to the conservatorship of children by the Department of Protective 
and Regulatory Services (PRS).

The bill would require the 
court to dismiss a suit affecting the parent-child relationship 
on the first Monday after the first anniversary of the date 
the court rendered an order appointing PRS as temporary managing 
conservator, unless the court had already rendered a final order 
or granted an extension of up to 180 days.  The bill would also 
allow the court to retain jurisdiction over the child, and not 
dismiss the suit or render a final order for an additional 180 
days, under certain circumstances.  The effective date of the 
act would be January 1, 1998, and the provisions would apply 
to all suits commenced before, on, or after this date.  The 
court could establish a later dismissal date for suits involving 
children in PRS temporary managing conservatorship before January 
1, 1998.
 
Methodolgy
 
It is assumed that the provisions relating to permanency planning 
for children in PRS temporary managing conservatorship would 
significantly increase the workload of the department's child 
protective services program.  The workload increase would be 
heaviest in the first two fiscal years, when the department 
would implement new permanency planning procedures and begin 
moving about 3,500 foster children who have been in conservatorship 
for 12 or more months through the court system.  Additional 
child protective services staff would be needed to handle the 
new permanency planning requirements.  The cost estimate assumes 
a ratio of six clerks per child protective service worker.

The 
cost of the additional workload would be more than offset by 
a savings in foster care and other purchased service payments, 
because the provisions of the bill would cause some children 
to leave the system more quickly.  The cost estimate uses federal 
revenue from the Temporary Assistance for Needy Families (TANF) 
program.  In the event that TANF funds are unavailable for allocation, 
General Revenue may need to be substituted.

Estimated costs 
and savings have been revised to reflect updated information 
received from PRS  after the previous fiscal note was issued. 
 
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           Probable           Probable           Probable           Change in Number   
            Savings/(Cost)     Savings/(Cost)     Savings/(Cost)     Savings/(Cost)     of State          
            from General       from General       from Federal Funds from Federal Funds Employees from    
            Revenue Fund       Revenue Fund                                             FY 1997           
            0001               0001               0555               0555                                  
       1998      ($2,828,922)          $360,918      ($2,066,809)          $562,862              97.0
       1998       (5,579,392)        12,516,010       (4,067,016)         6,144,442             207.0
       2000       (2,757,152)        18,168,770       (2,031,160)         8,821,369              91.8
       2001       (1,980,998)        12,390,049       (1,476,951)         6,027,335              57.4
       2002       (2,050,479)        12,389,345       (1,535,426)         6,028,686              57.7
 
 
         Net Impact on General Revenue Related Funds:
 
The probable fiscal implication to General Revenue related funds 
during each of the first five years is estimated as follows:
 
              Fiscal Year      Probable Net Postive/(Negative)
                               General Revenue Related Funds
                                             Funds
               1998         ($2,468,004)
               1999            6,936,618
               2000           15,411,618
               2001           10,409,051
               2002           10,338,866
 
Similar annual fiscal implications would continue as long as 
the provisions of the bill are in effect.
          
No significant fiscal implication to units of local government 
is anticipated.
          
   Source:            Agencies:   530   Department of Protective and Regulatory Services
                                         
                      LBB Staff:   JK ,CB