LEGISLATIVE BUDGET BOARD
                                  Austin, Texas


                       FISCAL NOTE, 76th Regular Session

                                  April 21, 1999

	TO: Honorable Patricia Gray, Chair, House Committee on Public Health

	FROM: John Keel, Director, Legislative Budget Board

	IN RE: HB2393 by Maxey (Relating to authorizing harm reduction programs to reduce the risk
		of HIV infection, AIDS, hepatitis B, and hepatitis C.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would make no appropriation but could provide the legal basis for an appropriation of
funds to implement the provisions of the bill.

It is assumed that the Department of Health could obtain federal funds to underwrite the
study. If federal funds are not obtained then it is assumed that the department could fund
a less comprehensive study within existing resources.

Local Government Impact

Local health authorities opting to establish harm reduction programs could experience
costs associated with the following activities: providing needles and syringes free of
charge; offering education on the transmission of certain diseases; assisting program
participants in obtaining drug treatment and other health services; and providing materials
to promote safe health-related practices. These costs would depend on the amount of
supplies a local health authority would require, the amount of staff time that would be
necessary to distribute supplies and provide services, and whether employee training
would be required. In some cases, a portion of the costs could be recovered using federal
or private grant proceeds.

Several local governments were contacted to estimate the cost of establishing a harm
reduction program. Denton County, Montgomery County and Tarrant County all report
that there would be no significant fiscal impact. The City of San Antonio reports that a
locally-run program could cost the metropolitan health authority $150,898 per year,
including staffing costs and the cost of supplies and equipment.

Source Agencies: 501 Department of Health

LBB Staff: JK, TP, TL, RM