LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                            February 19, 2001
  
  
          TO:  Honorable Frank Madla, Chair, Senate Committee on
               Intergovernmental Relations
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB516  by Madla (Relating to creating the rural physician
               relief program.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB516, 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.                                                             *
**************************************************************************
  
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 Revenue Gain/(Loss)    Probable Savings/(Cost) from   *
* Year       from New General Revenue     New General Revenue Dedicated   *
*                   Dedicated                                             *
*  2002                          $182,250                      $(182,250) *
*  2003                           243,000                       (243,000) *
*  2004                           243,000                       (243,000) *
*  2005                           243,000                       (243,000) *
*  2006                           243,000                       (243,000) *
***************************************************************************
  
Fiscal Analysis
  
The bill would require the Center for Rural Health Initiatives (CRHI) to
create a program to provide affordable relief that would enable rural
physicians practicing in certain medical fields to take time away from
their practice.  The bill would require the CRHI to charge a fee that
rural physicians participating in the program would pay for the relief
service. The fees collected would be deposited into a special account in
the general revenue fund to be appropriated only to the CRHI for
administration of the program. The bill would also allow the CRHI to
solicit and accept gifts, grants, donations, and contributions to
support the rural physician relief program. The CRHI would also be
required to recruit physicians to participate in the program as relief
physicians. Additionally, under provisions of the bill, a seven-member
rural physician relief advisory committee would be created to assist the
CRHI in administering the program. The Act would take effect September
1, 2001.
  
  
Methodology
  
The CRHI estimates that 81 practitioners are eligible to  participate in
the relief service program. The agency also estimates that a
practitioner would utilize 40 hours of relief services per year at a $75
per hour rate. It is assumed that three months start-up would be
required in the first year; therefore, the estimated program cost and
amount of fees collected would be $182,250 in FY 2002 and $243,000 in
fiscal years 2003-2006.  It is assumed that the CRHI would absorb any
administrative costs incurred in implementing the provisions of the bill
within its existing resources. The General Appropriations Act would have
to authorize the reimbursement of travel and related expenses for
members of the advisory committee.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   50A   Center for Rural Health Initiatives
LBB Staff:         JK, DB, RM