LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
February 18, 2001
TO: Honorable Elliott Naishtat, Chair, House Committee on
Human Services
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB477 by Naishtat (Relating to the establishment of an
interagency plan for coordinating case management
services for certain recipients of financial
assistance.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB477, As Introduced: negative impact of $(2,200,022) through the *
* biennium ending August 31, 2003. *
* *
* The bill would make no appropriation but could provide the legal *
* basis for an appropriation of funds to implement the provisions of *
* the bill. *
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General Revenue-Related Funds, Five-Year Net Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $(1,234,349) *
* 2003 (965,673) *
* 2004 (937,560) *
* 2005 (872,350) *
* 2006 (849,825) *
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All Funds, Five-Year Impact:
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*Fiscal Probable Probable Probable Change in *
* Year Savings/(Cost) Savings/(Cost) Savings/(Cost) Number of State *
* from General from GR Match from Federal Employees from *
* Revenue Fund for Medicaid Funds - Federal FY 2001 *
* 0001 0758 0555 *
* 2002 $(860,234) $(374,115) $(851,622) 28.0 *
* 2003 (667,924) (297,749) (573,144) 43.0 *
* 2004 (648,479) (289,081) (543,876) 44.0 *
* 2005 (603,376) (268,974) (498,158) 41.0 *
* 2006 (587,796) (262,029) (481,185) 40.0 *
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Given the limited availability of TANF federal funds, for the purposes of
this fiscal note, General Revenue is assumed as the Method of Financing.
Should additional TANF federal funding be available, $259,572 in FY2002
and $200,749 in FY2003 in General Revenue costs assumed above could be
financed with TANF federal funding.
Fiscal Analysis
The bill would require the Department of Human Service (DHS) and the
Texas Workforce Commission (TWC) to develop an interagency plan to
identify and coordinate services for Temporary Assistance for Needy
Families (TANF) recipients with high barriers to employment. The bill
requires DHS and TWC to develop an Memorandum of Understanding that must
be approved by Health and Human Services Commission. Establishment of
guidelines for a coordinated interagency case management plan that would
assist with identification of and coordination of services to hard to
serve TANF recipients would be required. If a workforce development area
has not established a local workforce development board, local DHS and
TWC offices would be required to implement the coordinated case
management plan. The bill requires implementation occur no later than
January 1, 2002.
Methodology
DHS indicated that identification of the hard-to-serve population would
be required and an assessment of TANF caretakers would need to occur to
identify those with significant barriers to employment. The cost of the
personal needs assessment was based on an assumption that DHS staff
would conduct the needs assessment to identify TANF recipients with
barriers, determine resources, and make referrals. The agency assumed
that barrier identification would occur at complete review. In addition,
DHS assumed that 50 percent of the cases with a complete review will
require a personal needs assessment and that five percent of the cases
assessed/referred would become employed and leave the rolls an average
of three months earlier than if the assessment/referral was not
conducted.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 529 Health and Human Services Commission, 324
Texas Department of Human Services, 320 Texas
Workforce Commission
LBB Staff: JK, HD, ML