LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
May 12, 1997
TO: Honorable Hugo Berlanga, Chair IN RE: Senate Bill No. 1163, Committee Report 2nd House, as amended
Committee on Public Health By: Zaffirini
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB1163 ( Relating
to information and training about Medicaid managed care.) this
office has detemined the following:
Biennial Net Impact to General Revenue Funds by SB1163-Committee Report 2nd House, as amended
Implementing the provisions of the bill would result in a net
negative impact of $(1,000,000) 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 require the Department of Health, subject to
the availability of funds, to implement a pilot project for
not less than two years which would test the effectiveness and
cost of peer outreach and health education for Medicaid clients
in managed care plans. The focus of the pilot would be:
1) to inform Medicaid recipients about the effective use of
health care resources;
2) to encourage recipients to seek
health care regularly, including prenatal care, medical and
dental check-ups, and follow-up care;
3) to follow provider
instructions relating to their health; and
4) to keep health
care appointments and follow up on missed appointments.
Methodolgy
It is assumed that the pilot would last two years and would
be contracted through a competitive bid process after a location
is determined by the Department of Health. It is assumed that
the approximately 50 contracted community workers would work
with the clients to implement the provisions of the bill.
It
is assumed that the project would be financed by both state
and federal Medicaid dollars and that the Department of Health
could implement the provisions of the bill without adding additional
staff.
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
Savings/(Cost) Savings/(Cost)
from General from Federal Funds
Revenue Fund
0001 0555
1998 ($500,000) ($500,000)
1998 (500,000) (500,000)
2000
2001
2002
Net Impact on General Revenue Related Funds:
Fiscal Year Probable Net Postive/(Negative)
General Revenue Related Funds
Funds
1998 ($500,000)
1999 (500,000)
2000 0
2001 0
2002 0
No fiscal implication to units of local government is anticipated.
Source: Agencies:
501 Department of Health
LBB Staff: JK ,BB