LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 24, 2001
TO: Honorable Patricia Gray, Chair, House Committee on Public
Health
FROM: John Keel, Director, Legislative Budget Board
IN RE: SB812 by Carona (Relating to establishing a
demonstration project to expand access to women's health
care services.), As Engrossed
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* SB812, As Engrossed: positive impact of $1,715,741 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 $(924,000) *
* 2003 2,639,741 *
* 2004 24,909,020 *
* 2005 47,849,329 *
* 2006 56,647,963 *
****************************************************
All Funds, Five-Year Impact:
***********************************************************************
*Fiscal Probable Probable Probable Probable Change in *
* Year Savings/ Savings/ Savings/ Savings/ Number of *
* (Cost) from (Cost) from (Cost) from (Cost) from State *
* GR Match GR Match Federal Federal Employees *
* for for Funds - Funds - from FY 2001 *
* Medicaid Medicaid Federal Federal *
* 0758 0758 0555 0555 *
* 2002 $(924,000) $0 $(924,000) $0 0.0 *
* 2003 (3,001,350) 5,641,091 8,489,899 12.0 *
* (25,333,143) *
* 2004 (6,837,233) 31,746,253 47,758,513 15.0 *
* (59,436,334) *
* 2005 (6,827,276) 54,676,605 82,254,537 3.0 *
* (61,025,731) *
* 2006 (8,359,585) 65,007,548 97,796,228 1.0 *
* (75,096,344) *
***********************************************************************
Technology Impact
Automation for the Department of Human Services (DHS) to create a new
type program is assumed at 16,800 hours at $110, resulting in a cost of
$1,848,000. Expenses would be shared equally by the state and the
federal government.
Fiscal Analysis
The bill would increase the income eligibility cap for medical assistance
(Medicaid) to 185 percent of the federal poverty level for preventative
health and family planning services for women. It is assumed
implementation would require waiver approval by the federal government.
Automation changes would occur in FY 2002, with waiver clients being
served beginning in FY 2003.
Methodology
1. It is assumed the average monthly number of recipients served by the
Department of Health's (TDH) Medicaid program would increase by 170,328
in FY 2003, 401,888 in FY 2004, 414,108 in FY 2005, and 509,908 in FY
2006 for new waiver clients. The average monthly cost per client is
assumed to be $163.60. The federal share is assumed to be 90% in all
years.
2. TDH assumes births would be averted due to clients receiving waiver
services. The number of births averted would total 1,378 in FY 2003,
7,753 in FY 2004, 13,353 in FY 2005, and 15,876 in FY 2006. The annual
savings assumed per averted birth totals $10,254.71, resulting in an
annual savings totaling $14,130,990 in FY 2003, $79,504,767 in FY 2004,
$136,931,142 in FY 2005, and $162,803,776 in FY 2006. The federal share
is assumed to be 60.08% in FY 2003, and 60.07% in subsequent years.
3. It is assumed additional eligibility workers at DHS will be required,
totaling 12 in FY 2003, 15 in FY 2003, and declining in subsequent
years. The annual cost per worker (salary, operating expenses and
benefits) is assumed to total $34,979.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 324 Texas Department of Human Services, 501 Texas
Department of Health
LBB Staff: JK, HD, PP