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: HB2284 by Kitchen (Relating to consideration of assets
and resources for purposes of determining eligibility of
certain low-income Medicare beneficiaries for
Medicaid.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB2284, As Introduced: negative impact of $(43,066,460) 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 $(14,520,461) *
* 2003 (28,545,999) *
* 2004 (38,925,677) *
* 2005 (49,072,877) *
* 2006 (58,064,474) *
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All Funds, Five-Year Impact:
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*Fiscal Probable Savings/(Cost) from GR Probable Savings/(Cost) from *
* Year Match for Medicaid Federal Funds - Federal *
* 0758 0555 *
* 2002 $(14,520,461) $(21,963,110) *
* 2003 (28,545,999) (42,962,015) *
* 2004 (38,925,677) (58,559,114) *
* 2005 (49,072,877) (73,824,386) *
* 2006 (58,064,474) (87,351,189) *
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Fiscal Analysis
The bill would require the Department of Human Services (DHS) to
disregard the assets and resources of certain persons (qualified
Medicare beneficiary, specified low-income Medicare beneficiary,
qualified disabled and working individual, and other qualified
individuals) when determining a person's eligibility for medical
assistance (Medicaid) cost-sharing payments.
Methodology
It is assumed the average number of recipient months per month served by
the Department of Health (TDH) would increase by 13,577 in FY 2002,
26,611 in FY 2003, 36,278 in FY 2004, 45,735 in FY 2005, and 54,115 in FY
2006. It is assumed the average monthly cost per recipient would total
$223.93, the estimated cost level for FY 2001 (Cost and utilization
levels are assumed to remain unchanged). The federal share of client
services expenditures would total 60.20% in FY 2002, 60.08% in FY 2003,
and 60.07% in each subsequent year.
The fiscal impact to DHS, which determines Medicaid eligibility, is
assumed to be not significant. The reduced time required to work an
application--due to the elimination of assets and resources
review--would offset the increase in the number of eligible
applications.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 529 Health and Human Services Commission, 501
Texas Department of Health, 324 Texas Department of
Human Services
LBB Staff: JK, HD, PP