LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                             February 6, 2001
  
  
          TO:  Honorable Paul Sadler, Chair, House Committee on Teacher
               Health Insurance, Select
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB575  by Green (Relating to the creation and operation
               of a statewide risk pool to provide health benefits
               coverage to active employees of school districts.), As
               Introduced
  
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*  No significant fiscal implication to the State is anticipated.        *
*                                                                        *
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The bill creates a school district health benefits risk pool to
administer a health benefits program for active school district
employees.  Premium rates would be set by the board of directors of the
pool, with costs shared between the districts and employees.  No state
contribution is required.  It is anticipated that any additional duties
for the Texas Commissioner of Insurance and the Texas Department of
Insurance can be absorbed within existing resources.
  
Local Government Impact
  
As an initial contribution to the pool, each school district would
contribute an assessment as determined by the pool's board.  The
aggregate assessment would be the amount necessary to meet the pool's
initial expenses, and would be determined by the pool's board of
directors.
  
  
Source Agencies:   454   Texas Department of Insurance, 701   Texas
                   Education Agency, 304   Comptroller of Public Accounts
LBB Staff:         JK, CT, SC, DE