LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

April 23, 2003

TO:	Honorable Jane Nelson, Chair, Senate Committee on Health & Human Services
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	SB1498 by Madla (Relating to the licensing and regulation of home and community support services agencies.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for SB1498, As Introduced: an impact of $0 through the biennium ending August 31, 2005.

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 Savings from HOME HEALTH SERVICES ACCT 5018	Probable Revenue (Loss) from HOME HEALTH SERVICES ACCT 5018	Change in Number of State Employees from FY 2003
2004	$227,500	($227,500)	(4.0)
2005	$227,500	($227,500)	(4.0)
2006	$227,500	($227,500)	(4.0)
2007	$227,500	($227,500)	(4.0)
2008	$227,500	($227,500)	(4.0)

Fiscal Analysis

The bill would amend the Health and Safety Code relating to the licensing and regulation of home and community support services agencies.  The bill would amend the definitions of certified agency and personal care services. The bill would amend the memorandum of understanding between the Board of Nurse Examiners and Department of Human Services and would modify investigations of abuse, neglect, or exploitation.   The bill would exempt from licensure Home and Community-based Services providers, which are overseen by the Department of Mental Health and Mental Retardation.

The bill would become effective September 1, 2003. 

 

 

Under the provisions of the bill, a loss of fee revenue is anticipated at the Department of Human Services from not licensing parent home and community-support services agencies (HCSSA) and branches. It is anticipated that the expenditures for associated staffing would be reduced by a similar amount, to reflect the loss of revenue.

Methodology

The cost estimate assumes that the loss of fee revenue at the Department of Human Services from not licensing 240 parent home and community-support services agencies (HCSSA) and 20 branches would total $227,500 per year (each license costs $875).  The associated reduction in full time equivalents is assumed to be 2 Nurse IV, 1 Program Manager, and 1 Administrative Tech (total of 4.0 FTEs).  The reduction in revenue would be allocated as appropriate to provide for the staffing reduction. 

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	324 Department of Human Services, 501 Department of Health, 529 Health and Human Services Commission, 655 Department of Mental Health and Mental Retardation
LBB Staff:	JK, EB, MB, KG