LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session February 26, 2001 TO: Honorable Elliott Naishtat, Chair, House Committee on Human Services FROM: John Keel, Director, Legislative Budget Board IN RE: HB1006 by Naishtat (Relating to certain exemptions from work or employment activity requirements under the temporary assistance for needy families program.), As Introduced ************************************************************************** * No significant fiscal implication to the State is anticipated. * ************************************************************************** This bill would continue the current exemptions from work requirements that exist under the State's welfare reform waiver, which expires at the end of February 2002. Federal law does not recognize these exemptions in calculating states' work participation rates. If states fail to meet federal participation rates, maintenance of effort for federal Temporary Assistance for Needy Families (TANF) funds must remain at 80% of historical spending levels, rather than 75%. The State could also be subject to fiscal penalties. The bill would require the Department of Human Services and the Texas Workforce Commission to provide outreach services, as appropriate, to persons exempt from work participation. In determining fiscal impact, it is assumed that the level of outreach currently provided to encourage voluntary participation in Choices services meets the requirements of the bill, or that additional outreach activities could be implemented within existing agency resources. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: 330 Texas Rehabilitation Commission, 517 Texas Commission on Alcohol and Drug Abuse, 324 Texas Department of Human Services, 320 Texas Workforce Commission LBB Staff: JK, HD, KE