LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session May 5, 1999 TO: Honorable Jane Nelson, Chair, Senate Committee on Health Services FROM: John Keel, Director, Legislative Budget Board IN RE: HB1748 by Van de Putte (relating to the long-range plan for the Texas Center for Infectious Disease and the provision of tuberculosis and communicable infectious disease health care and laboratory services), Committee Report 2nd House, Substituted ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * HB1748, Committee Report 2nd House, Substituted: negative impact * * of $(27,400,000) through the biennium ending August 31, 2001. * * * * The bill would make no appropriation but could provide the legal * * basis for an appropriation of funds to implement the provisions of * * the bill. * * * * The bill states that the Department of Health is required to * * implement the Act only if the legislature appropriates money * * specifically for that purpose. * ************************************************************************** General Revenue-Related Funds, Five-Year Impact: **************************************************** * Fiscal Year Probable Net Positive/(Negative) * * Impact to General Revenue Related * * Funds * * 2000 $(26,400,000) * * 2001 (1,000,000) * * 2002 (1,000,000) * * 2003 (1,000,000) * * 2004 (1,000,000) * **************************************************** All Funds, Five-Year Impact: ***************************************************** * Fiscal Year Probable Savings/(Cost) from * * General Revenue Fund * * 0001 * * 2000 $(26,400,000) * * 2001 (1,000,000) * * 2002 (1,000,000) * * 2003 (1,000,000) * * 2004 (1,000,000) * ***************************************************** Fiscal Analysis The bill would require the Board of Health to contract for the renovation of existing physical facilities, including the mycobacterial-mycology research laboratory, or contract for the construction of new physical facilities, including the mycobacterial-mycology research laboratory, for the Texas Center for Infectious Disease. The Board of Health would be allowed to contract with the board of Regents of the University of Texas System or any other public or private health care entity to provide tuberculosis health care services and communicable infectious disease health care services. The bill would require the Texas Board of Health to contract with the board of regents of the University of Texas System for the coordination of medical management of tuberculosis throughout the state by the University of Texas Health Science Center at Tyler. The bill would authorize persons whose positions are eliminated due to program transfers and contracts required by provisions in the bill certain enhanced retirement benefits, under certain circumstances. Methodology The Department of Health assumes that construction of new physical facilities would be the option pursued at a cost of $25.4 million in General Revenue, including the mycobacterial-mycology laboratory. Continuing additional increased operating costs are assumed to total $1,000,000 in General Revenue in fiscal year 2000 and in subsequent fiscal years. According to the Employees Retirement System (ERS), the bill would allow ERS to remain actuarially sound based on the current contribution rates for the next biennium. Therefore, no additional state contributions for retirement would be necessary. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: 501 Department of Health LBB Staff: JK, TP, KF