LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
March 3, 1997
TO: Honorable Rodney Ellis, Chair IN RE: Senate Bill No. 181
Committee on Jurisprudence By: Shapiro
Senate
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB181 ( Relating
to expediting certain suits to terminate parental rights and
the conservatorship of a child by the Department of Protective
and Regulatory Services.) this office has detemined the following:
Biennial Net Impact to General Revenue Funds by SB181-As Introduced
Implementing the provisions of the bill would result in a
net positive impact of $15,910,060 to General Revenue Related
Funds through the biennium ending August 31, 1999.
The bill would amend various provisions of the Family Code relating
to termination of the parent-child relationship due to child
abuse or neglect.
Fiscal Analysis
The bill would amend Chapter 161 of the Family Code to require
the court to expedite and give precedence to parental rights
termination suits over all other civil suits when there is an
allegation that a child's health or welfare has been affected
by severe abuse, neglect, alcohol abuse, or drug abuse. The
proposed amendment would apply to all termination cases pending
in the courts on or after September 1, 1997. It is assumed
that implementation of this provision would have no significant
fiscal impact because current law already requires the court
to give precedence to parental rights termination suits over
other civil cases when termination would make a child eligible
for adoption, and because the Department of Protective and Regulatory
Services already considers severe abuse, neglect, and substance
abuse when determining whether a child has been abused or neglected.
The
bill would also amend Section 263.303 of the Family Code to
require the Department of Protective and Regulatory Services
to recommend to the court one of two alternatives after a child
has been in the department's managing conservatorship for one
year. These include returning the child to the child's parents
and dismissing the suit, or terminating parental rights and
retaining conservatorship. This provision would apply to all
cases in which the Department of Protective and Regulatory Services
has been appointed conservator of a child before or after September
1, 1997. The bill would also require the court to select between
the two alternatives when issuing an order on a parental rights
termination case on or after September 1, 1998. It is assumed
that implementation of these provisions would significantly
increase the workload of the department's child protective services
program and legal staff. The workload increase would be heaviest
in fiscal year 1998, when the department would begin moving
a backlog of foster children who have been in conservatorship
for 12 or more months through the court system with a recommendation
to return the child to the child's family and dismiss the suit,
or to terminate parental rights and retain conservatorship
It
is also assumed that the cost of the additional workload would
be more than offset by a savings in foster care payments because
the bill would cause children to leave the system more quickly,
due to reunification with their family or termination of parental
rights and eventual adoption by another family. The foster
care savings has been adjusted for an increase in the cost of
adoption subsidy payments for children who are adopted.
Methodolgy
The department reports that a backlog of 3,553 foster children
in the department's managing conservatorship at the end of fiscal
year 1997 would be encompassed by the bill's provision that
requires the department to recommend reunification or termination
at the next status hearing. The department also projects that
an average of 160 additional foster children would be covered
by the provisions of the bill in each of the following fiscal
years. About one-third of these children would become eligible
for adoption due to termination of parental rights.
The department
estimates that implementation of the bill's provisions would
require additional staff to handle the additional workload of
the child protective services program and legal staff. This
cost would be more than offset by a savings in foster care payments
because children would leave the system more quickly.
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 ($6,211,718) $6,530,554 ($4,516,418) $3,401,701 239.0
1998 (2,387,597) 17,978,821 (1,775,716) 8,780,261 95.0
2000 (2,487,846) 19,980,030 (1,836,145) 9,751,589 97.0
2001 (2,695,629) 22,337,790 (1,994,441) 10,895,036 103.0
2002 (2,789,963) 24,825,998 (2,070,914) 12,101,915 105.0
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 $318,836
1999 15,591,224
2000 17,492,184
2001 19,642,161
2002 22,036,035
Similar annual fiscal implications would continue as long
as the provisions of the bill are in effect.
Implementation of the bill's provisions would result in a
significant additional cost for local government because many
counties provide legal representation in parental rights termination
cases. The department estimates that the additional workload
would require local governments to hire 148 attorneys at a cost
of $7 million statewide. This cost would occur in fiscal year
1998, when most of the work to reduce the backlog of foster
children would be undertaken.
Source: Agencies: 530 Department of Protective and Regulatory Services
LBB Staff: JK ,BB ,NM