LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
March 5, 2001
TO: Honorable Elliott Naishtat, Chair, House Committee on
Human Services
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB1418 by Jones, Jesse (Relating to certain employees of
nursing homes and related institutions.), As Introduced
**************************************************************************
* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB1418, As Introduced: positive impact of $0 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. *
**************************************************************************
General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $0 *
* 2003 0 *
* 2004 (164,711) *
* 2005 (164,711) *
* 2006 (164,711) *
****************************************************
All Funds, Five-Year Impact:
***************************************************************************
*Fiscal Probable Savings/(Cost) from GR Probable Savings/(Cost) from *
* Year Match for Medicaid Federal Funds - Federal *
* 0758 0555 *
* 2002 $0 $0 *
* 2003 0 0 *
* 2004 (164,711) (247,789) *
* 2005 (164,711) (247,789) *
* 2006 (164,711) (247,789) *
***************************************************************************
Fiscal Analysis
The bill would allow institutions licensed under Chapter 242, Health and
Safety Code, to develop a drug testing policy and to test employees with
direct contact with residents for drug use.
Methodology
If institutions licensed under Chapter 242, Health and Safety Code,
develop a drug testing policy for its employees, there is a potential
under the reimbursement methodology that the Department of Human Services
(DHS) would be required to reimburse the institutions for the drug
tests, although the impact would most likely not be identified in the
cost report reimbursement rate development process during the 2002-03
biennium.
The estimated cost of a drug test is $25 per test. DHS states that there
are approximately 33,000 nurse aides in nursing facilities. If fifty
percent of the nurse aides worked in nursing facilities that elected to
require one drug test per year, the total annual All Funds cost would be
$412,500. The cost to General Revenue would be approximately $164,711
per year.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 324 Texas Department of Human Services, 501 Texas
Department of Health
LBB Staff: JK, HD, KF, ML