LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session March 23, 1999 TO: Honorable Jane Nelson, Chair, Senate Committee on Health Services FROM: John Keel, Director, Legislative Budget Board IN RE: SB632 by Madla (Relating to the long-range plan for the Texas Center for Infectious Disease and the provision of tuberculosis and other health care and laboratory services.), As Introduced ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB632, As Introduced: negative impact of $(18,900,000) 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. * ************************************************************************** General Revenue-Related Funds, Five-Year Impact: **************************************************** * Fiscal Year Probable Net Positive/(Negative) * * Impact to General Revenue Related * * Funds * * 2000 $(18,900,000) * * 2001 0 * * 2002 0 * * 2003 0 * * 2004 0 * **************************************************** All Funds, Five-Year Impact: ***************************************************** * Fiscal Year Probable Savings/(Cost) from * * General Revenue Fund * * 0001 * * 2000 $(18,900,000) * * 2001 0 * * 2002 0 * * 2003 0 * * 2004 0 * ***************************************************** Fiscal Analysis The bill would require the Board of Health to contract for the renovation of physical facilities of the Texas Center for Infectious Disease, contract with the board of regents of the University of Texas System to provide all tuberculosis and other services provided at the Texas Center for Infectious Disease. The board of regents of the University of Texas System would be required to contract for the construction of physical facilities for a tuberculosis research laboratory at the University of Texas Health Science Center at San Antonio (UTHSCSA). 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 It is assumed that the transfer of Tuberculosis Research to the University of Texas Health Science Center at San Antonio would result in no new net costs or Full-Time Equivalent positions to the state. The resources to be transferred from the Department of Health to UTHSCSA are assumed to be $239,214 per fiscal year in General Revenue and $1,024,585 in Federal Funds and 18 Full-Time Equivalent positions. Costs to renovate physical facilities to provide tuberculosis and other health care services are assumed by the Department of Health to total $14.4 million in General Revenue in 2000. Costs to construct a new research lab are assumed by the University of Texas System to be $4.5 million in General Revenue in 2000. 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: LBB Staff: JK, TP, KF