LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 4, 2001
  
  
          TO:  Honorable Mike Moncrief, Chair, Senate Committee on
               Health & Human Services
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB1469  by Moncrief (Relating to creating a pilot
               treatment program for certain adults on community
               supervision.), As Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  SB1469, As Introduced:  negative impact of $(402,500) 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                           $(402,500)  *
          *       2003                                    0  *
          *       2004                                    0  *
          *       2005                                    0  *
          *       2006                                    0  *
          ****************************************************
  
All Funds, Five-Year Impact:
  
         *****************************************************
         * Fiscal Year      Probable Savings/(Cost) from      *
         *                      General Revenue Fund          *
         *                              0001                  *
         *      2002                               $(402,500) *
         *      2003                                        0 *
         *      2004                                        0 *
         *      2005                                        0 *
         *      2006                                        0 *
         *****************************************************
  
Fiscal Analysis
  
The bill would propose the development of a pilot Assertive Community
Treatment (ACT) team in Tarrant County to serve adults (18 years and
older) with severe mental illness who are currently on community
supervision through the legal system.  ACT is an integrated effort to
provide intensive community-based care to high users of the system who
have remained unresponsive to previous therapies.  These are persons who
have severe and persistent mental illness with a history of multiple
hospitalizations and involvement with the criminal justice system,
homeless shelters and /or community residential placements.  Individuals
eligible for ACT must also meet case management criteria for the most
intensive level of service.

The Department of Mental Health and Mental Retardation (MHMR) would be
required to submit a report on the effectiveness of the pilot by January
15, 2003.   The bill would be effective September 1, 2001.
  
  
Methodology
  
The annual average number of persons served estimated by Tarrant County
is 35.  The average annual cost per person is estimated to be $11,500.
There is the additional probability that federal Medicaid funds could be
available to address the costs at the Federal Medical Assistance
Percentage rate for ACT services that qualify.

MHMR assumes the pilot would be for one year only.
  
  
Local Government Impact
  
The fiscal impact to local government would be the costs of research
prior to implementation of the pilot as well as costs of post-pilot
evaluation required by the bill.  These costs are estimated to be
$25,000 for FY 2002 only.
  
  
Source Agencies:   655   TX Dept. of Mental Health & Mental Retardation
LBB Staff:         JK, HD, KF, MB