LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session April 30, 2001 TO: Honorable Elliott Naishtat, Chair, House Committee on Human Services FROM: John Keel, Director, Legislative Budget Board IN RE: SB1238 by Moncrief (Relating to the creation of a voluntary child-care registry for certain child-care providers.), Committee Report 2nd House, Substituted ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB1238, Committee Report 2nd House, Substituted: positive impact * * of $1,448 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 $6,389 * * 2003 (4,941) * * 2004 (4,941) * * 2005 (4,941) * * 2006 (4,941) * **************************************************** All Funds, Five-Year Impact: *********************************************************************** *Fiscal Probable Probable Probable Probable Change in * * Year Revenue Savings/ Savings/ Savings/ Number of * * Gain/(Loss) (Cost) from (Cost) from (Cost) from State * * from General GR Match Federal Employees * * General Revenue for Funds - from FY 2001 * * Revenue Fund Medicaid Federal * * Fund 0001 0758 0555 * * 0001 * * 2002 $293,865 $(286,005) $(1,471) $(5,744) 2.0 * * 2003 299,145 (302,375) (1,711) (6,713) 2.0 * * 2004 299,145 (302,375) (1,711) (6,713) 2.0 * * 2005 299,145 (302,375) (1,711) (6,713) 2.0 * * 2006 299,145 (302,375) (1,711) (6,713) 2.0 * *********************************************************************** Fiscal Analysis The bill would require the Department of Protective and Regulatory Services (PRS) to establish and maintain a voluntary registry of child-care providers that includes baby-sitters, nannies and au pairs. It would require PRS to complete a background and criminal history check on each applicant using information gathered from department records of reported abuse and neglect, the central registry of reported cases of child abuse or neglect established under Section 261.002 of the Family Code, the Department of Public Safety (DPS) under Section 411.114 of the Government Code and the Federal Bureau of Investigation (FBI) or other criminal justice agency under Section 411.087 of the Government Code. It would also require PRS by rule to require each applicant to pay a fee in an amount not to exceed the administrative costs the department incurs in conducting the background and criminal history check. This fee would be retained by PRS for the purpose of administering the child-care registry. The bill would require PRS to accept or deny the registration of a child-care provider no later than 60 days after the application is received except where delayed by the response time of the FBI or in the case of a pending investigation. It would require PRS to deny an application under certain circumstances and authorize the department to make provisions governing the right of appeal by an applicant from the denial of the application. It would require PRS to revoke the registration of a child-care provider under certain circumstances and to continually update the registry to reflect criminal convictions and substantiated child abuse information. Each registration would remain valid until revoked or surrendered. Methodology PRS estimates 5,343 persons would apply for registration in FY 2002, and it is estimated that an average of 5,439 persons would apply for registration each year thereafter. It is assumed each applicant would pay a fee of $55 to cover the administrative costs the department incurs in conducting the background and criminal history check. The revenue generated from this fee would be deposited into General Revenue Fund 001 utilized by the department for the purpose of administering the child-care registry. It is assumed PRS would obtain state and federal criminal history records information from DPS via interagency contract. It is estimated two additional FTEs would be required to implement the provisions of the bill including but not limited to conducting the required background and criminal history checks, approving or denying applications, revoking registrations, providing for the appeals process and continually updating information in the registry. The method-of-finance for the staff-related costs would be General Revenue funds and federal Medicaid funds. It is assumed PRS would charge an administrative fee of $16 to cover these costs which would be in addition to $39 in fees that would be sent to DPS via interagency contract. If TANF federal funds were available, they could be used in place of $64,436 in General Revenue funds for FY 2002 and $75,916 in General Revenue funds for each subsequent year. It is assumed DPS could handle the increased volume of fingerprint cards with no significant fiscal impact. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 530 Department of Protective and Regulatory Services LBB Staff: JK, HD, KF, NM