LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

May 24, 2007

TO:	Honorable Tom Craddick, Speaker of the House, House of Representatives
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB2702 by Truitt (Relating to the exemption from tuition and fees at a public institution of higher education for adopted students.), As Passed 2nd House

No significant fiscal implication to the State is anticipated.

The bill would amend Section 162.304, Family Code, to require the Department of Family and Protective Services (DFPS) to pay $150 per month for health benefits coverage for children under age 18 who are adopted from the agency's conservatorship and not eligible for Medicaid if the adoptive family's income is less than 300 percent of the federal poverty level.  It would be effective on September 1, 2007.DFPS estimates the health benefits subsidy cost would be $0.2 million for fiscal year 2008, $0.5 million for fiscal year 2009, $0.9 million for fiscal year 2010, $1.2 million for fiscal year 2011, and $1.6 million for fiscal year 2012.  General Revenue Funds would be used to finance the program.  These costs are expected to be absorbed within the agency's existing budget.

The bill also relates to the exemption from tuition and fees at a public institution of higher education for adopted students. There would be no impact to the State.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

530 Family and Protective Services, Department of, 781 Higher Education Coordinating Board, 720 The University of Texas System Administration

LBB Staff:

JOB, MN, RT, GO