LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
March 26, 2001
TO: Honorable Bob Turner, Chair, House Committee on Public
Safety
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB2618 by Gray (Relating to the funding and operation of
certain emergency management and disaster relief
programs.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB2618, As Introduced: negative impact of $(26,492,967) 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 $(13,354,110) *
* 2003 (13,138,857) *
* 2004 (13,138,857) *
* 2005 (13,138,857) *
* 2006 (13,183,563) *
****************************************************
All Funds, Five-Year Impact:
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*Fiscal Probable Probable Probable Change in *
* Year Savings/(Cost) Revenue Savings/(Cost) Number of State *
* from General Gain/(Loss) from Disaster Employees from *
* Revenue Fund from Disaster Management Fund FY 2001 *
* 0001 Management Fund in the Texas *
* in the Texas Treasury *
* Treasury Safekeeping *
* Safekeeping Trust Company *
* Trust Company *
* 2002 $(13,354,110) $13,354,110 $(13,354,110) 16.0 *
* 2003 (13,138,857) 13,138,857 (13,138,857) 16.0 *
* 2004 (13,138,857) 13,138,857 (13,138,857) 16.0 *
* 2005 (13,138,857) 13,138,857 (13,138,857) 16.0 *
* 2006 (13,183,563) 13,183,563 (13,183,563) 16.0 *
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Technology Impact
Technology impact would be limited to microcomputers, related equipment
and software.
Fiscal Analysis
The bill would establish a Disaster Management Fund to provide disaster
assistance to victims and political subdivisions when there is no
Presidential disaster declaration or a Presidential declaration does not
address certain categories of assistance. The Disaster Management Fund
would be a trust fund in the Texas Treasury Safekeeping Trust Company.
The fund would consist only of any money appropriated to the fund. The
fund would also be used to pay the administrative expenses of the
Emergency Management Service (EMS) within the Department of Public Safety
for expenses related to emergency management training for state agencies
and political subdivisions, expenses incurred in implementation of
statewide mutual aid assistance, and expenses for implementation of a
statewide notification system.
The bill would take effect immediately if it receives a vote of
two-thirds of all the members elected to each house, otherwise it would
take effect September 1, 2001.
Methodology
The fiscal note table assumes that the fund would be appropriated a
sufficient balance to fund the estimated disaster expenses.
EMS estimates that the implementation of the bill would have the
following costs to the state:
a) debris removal, repair or replacement of highways or streets, and
water control structures would cost the state $6,525,785 annually, b)
assistance to individuals and households would cost $1,419,431 annually,
c) post-disaster mitigation would cost $1,589,043 annually, d) the state
and local government training program authorized would cost $2,078,000
annually, and e) the implementation of a statewide notification system
would cost $800,000 annually.
EMS estimates that the bill would require 16 additional staff in the
Division of Emergency Management of the Department of Public Safety to
administer the funds and provide the aid and training specified. Two
Program Administrators, one Planner, one Emergency Technician, two
Administrative Technicians I, two Accounting Clerks IV, one Auditor, and
two Administrative Technicians II would be responsible for the
administrative responsibilities of the bill. Five Program Specialists II
would be stationed in the field and provide mutual aid assistance and
emergency management training.
It is estimated that the annual salary expense for the new employees
would be $365,444 with associated benefits of $103,347. Ongoing costs
related to travel, rent and operational expenses would cost $257,807
annually. Computers for the new personnel would result in a one-time
cost of $44,706 in fiscal year 2002. Equipment costs would occur twice,
first in fiscal year 2002 when the cost would be $170,547, and again in
fiscal year 2006 to replace aging equipment when the cost would be
$44,706.
Local Government Impact
The bill would authorize reimbursements to local jurisdictions for
eligible damages due to disasters not declared by the President of where
a Presidential declaration does not cover certain areas of assistance.
Source Agencies: 324 Texas Department of Human Services, 405 Texas
Department of Public Safety, 301 Office of the
Governor, 304 Comptroller of Public Accounts
LBB Staff: JK, DB, JC, ZS, DG