LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
March 14, 2001
TO: Honorable Jim Solis, Chair, House Committee on Economic
Development
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB2213 by Deshotel (Relating to the adoption of an
alternative base period for computation of unemployment
compensation benefits.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB2213, 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. *
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General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $0 *
* 2003 0 *
* 2004 0 *
* 2005 0 *
* 2006 0 *
****************************************************
All Funds, Five-Year Impact:
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*Fiscal Probable Savings/(Cost) from Probable Savings/(Cost) from *
* Year Unemployment Compensation Workforce Commission Federal *
* Benefit Account Account - Federal *
* 0937 5026 *
* 2002 $(28,225,632) $(39,041) *
* 2003 (28,225,632) (39,041) *
* 2004 (28,225,632) (39,041) *
* 2005 (28,225,632) (39,041) *
* 2006 (28,225,632) (39,041) *
***************************************************************************
Fiscal Analysis
The bill would amend Section 201.011 of the Labor Code establishing a
definition for an alternate base period for an individual who does not
have sufficient benefit wage credits to receive unemployment insurance
benefits under the definition of a base period or alternate base period
for medical reasons. Based on the LBB's interpretation of the intent of
the bill, it would take effect on September 1, 2001.
Methodology
The estimated fiscal impact of the bill would be approximately $56.5
million of the Unemployment Compensation Account 0937 for benefit
payments and $78,028 of Workforce Commission Federal Funds Account 5026
(unemployment insurance funds provided by the federal government to the
state for administration) for administration of the alternate base
period in the 2002-03 biennium. The Texas Workforce Commission (TWC)
analyzed fiscal year 2000 claims and determined that 13,116 additional
persons would have qualified for unemployment insurance benefits under
the alternate base period that would be established by the bill. The
average maximum benefit amount was $2,152.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 320 Texas Workforce Commission
LBB Staff: JK, JO, RT, HL