LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 18, 2001
TO: Honorable Patricia Gray, Chair, House Committee on Public
Health
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB11 by Nelson (Relating to protecting the privacy of
medical records; providing penalties.), As Engrossed
**************************************************************************
* No significant fiscal implication to the State is anticipated. *
**************************************************************************
The bill would enact numerous provisions relative to the privacy of
medical records. (Many provisions are conceptually similar to mandated
provisions of the federal Health Insurance Portability and Accountability
Act (HIPAA) final rule.)
It is assumed that costs primarily include reprogramming of automation
systems which contain protected health information; however, such costs
would be insignificant. It is further assumed that TDH's responsibilities
with regard to rulemaking could be absorbed within existing resources.
It is also assumed that additional costs would be needed to implement
other provisions of HIPAA which are beyond the scope of the bill.
The bill would be effective September 1, 2001, but compliance would not
be required until September 1, 2003.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 302 Office of the Attorney General, 324 Texas
Department of Human Services, 453 Texas Workers'
Compensation Commission, 454 Texas Department of
Insurance, 529 Health and Human Services
Commission, 696 Texas Department of Criminal
Justice, 709 Texas A&M University System Health
Science Center, 739 Texas Tech University Health
Sciences Center, 763 UNT Health Science Center ,
655 TX Dept. of Mental Health & Mental Retardation
LBB Staff: JK, SD, JO, AJ