LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              March 28, 2001
  
  
          TO:  Honorable Patricia Gray, Chair, House Committee on Public
               Health
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB2082  by Eiland (Relating to county expenditures for
               certain health care services.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  HB2082, As Introduced:  negative impact of $(79,478,352) 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                        $(39,739,176)  *
          *       2003                         (39,739,176)  *
          *       2004                         (39,739,176)  *
          *       2005                         (39,739,176)  *
          *       2006                         (39,739,176)  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
***************************************************************************
*Fiscal     Probable (Cost) to General       Probable Revenue Gain to     *
* Year             Revenue Fund                      Counties             *
*                      0001                                               *
*  2002                     $(39,739,176)                     $39,739,176 *
*  2003                      (39,739,176)                      39,739,176 *
*  2004                      (39,739,176)                      39,739,176 *
*  2005                      (39,739,176)                      39,739,176 *
*  2006                      (39,739,176)                      39,739,176 *
***************************************************************************
  
Fiscal Analysis
  
The bill would allow county expenditures for services provided by
federally qualified health centers (FQHCs) to be included in order for
counties to meet the threshold for participation in county indigent
health care program.

The bill would apply only to services delivered on or after January 1,
2002.

The bill would be effective September 1, 2001.
  
  
Methodology
  
It is assumed all county reimbursements to FQHCs will be rolled into the
county participation calculations.

It is assumed counties otherwise ineligible for participation in the
indigent care program due to the existence of a public hospital or
hospital district will remain ineligible for participation under this
bill.

It is assumed the average annual cost for an FQHC patient encounter is
$106.55 and the number of annual, non-Medicaid encounters in all eligible
counties is 414,403.

It is assumed the Department of Health would reimburse up to 90% of the
eligible FQHC encounters.
  
  
Local Government Impact
  
The figures in the table above reflect the projected gains to counties
participating in the county indigent health care program.
  
  
Source Agencies:   324   Texas Department of Human Services, 529
                   Health and Human Services Commission, 501   Texas
                   Department of Health
LBB Staff:         JK, HD, SW, PP