LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

Revision 1

March 25, 2003

TO:	Honorable Jim Keffer, Chair, House Committee on Economic Development
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB509 by Woolley (Relating to the reporting of wages and payment of contributions by certain employers of domestic service workers.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB509, As Introduced: an impact of $0 through the biennium ending August 31, 2005.

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
2004	$0
2005	$0
2006	$0
2007	$0
2008	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue Gain/(Loss) from UNEMPL COMP SP ADM ACCT 165
2004	($209,113)
2005	($209,113)
2006	($209,113)
2007	($209,113)
2008	($209,113)

Fiscal Analysis

The bill would amend Section 201.027 of the Labor Code by exempting payment of penalty and interest on reports filed by employers of domestic workers that make a good faith effort to report.  The bill would also exempt these employers from service charges levied during the course of a payroll audit.

If enacted by a vote of two-thirds of all the members of each house, the bill would become effective immediately. Otherwise, the bill would take effect September 1, 2003.

Methodology

The Texas Workforce Commission assumes the bill would impact all 16,623 employers of domestic workers in the state.  The estimated cost reflects the amount of penalties and interest collected from employers of domestic workers in FY 2002.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	320 Texas Workforce Commission
LBB Staff:	JK, JRO, RT, JC