LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 18, 2001
TO: Honorable Elliott Naishtat, Chair, House Committee on
Human Services
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB297 by West, Royce (Relating to providing supplemental
financial assistance to certain grandparents.), As
Engrossed
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB297, As Engrossed: negative impact of $(1,538,000) 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 $(1,330,000) *
* 2003 (208,000) *
* 2004 (210,000) *
* 2005 (198,000) *
* 2006 (192,000) *
****************************************************
All Funds, Five-Year Impact:
*****************************************************
* Fiscal Year Probable Savings/(Cost) from *
* General Revenue Fund *
* 0001 *
* 2002 $(1,330,000) *
* 2003 (208,000) *
* 2004 (210,000) *
* 2005 (198,000) *
* 2006 (192,000) *
*****************************************************
Given the limited availability of TANF federal funds, for the purposes of
this fiscal note, General Revenue is assumed as the method of financing.
Should additional TANF federal funds become available, the General
Revenue costs assumed above could be financed with TANF federal funds.
Fiscal Analysis
The bill would amend Section 31.0041(a), Human Resources Code by reducing
the age requirement to 45, from 50, for a person eligible for
supplemental financial assistance for support of a dependent child. In
addition, the bill adjusts the family income necessary to qualify to 200
percent of the federal poverty level, from 100 percent of poverty.
Effective date of the bill is September 1, 2001 and would apply only to
Temporary Assistance for Needy Families (TANF) cases qualified for
supplemental financial assistance.
Methodology
The Department of Human Services (DHS) estimated the age distribution of
TANF grandparent cases by using a sampling of TANF cases and applications
for April through June 2000. The ratio of 0.21 grandparents aged 45
through 49 to grandparents aged 50 or more (the current age of
eligibility) was used by the department to estimate the number of
grandparents 45 through 49 years old.
The total payments estimated by the department for both the change in
grandparent age of eligibility and increase in Federal Poverty Income
Limit (FPIL) was not a direct sum of the payments estimated for each of
the two factors. The direct sum of the payments for the two factors was
reduced by approximately 6.4 percent to account for (unduplicated)
grandparents who are both 45 to 49 years old and have and income above
100 percent FPIL.
Based on payments at 100 percent FPIL per month (July through December
2000 actuals, then projected through FY 2006), the department estimated
1,538 payments for the 2002-03 biennium. Costs per payment are fixed at
$1000.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 530 Department of Protective and Regulatory
Services, 340 Texas Department on Aging, 324
Texas Department of Human Services
LBB Staff: JK, HD, ML