LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

March 20, 2007

TO:	Honorable Joe Deshotel, Chair, House Committee on Economic Development
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB2865 by Swinford (Relating to eligibility for certain unemployment compensation benefits.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would amend the Labor Code relating to eligibility for certain unemployment compensation
benefits.  

According to the Texas Workforce Commission (TWC), there would be a reduction in benefit outlays which would result in a savings to the Unemployment Insurance Trust Fund, which is not in the state treasury.  TWC estimates a savings of $46,487,520 in FY2008, $48,566,964 in FY2009, $53,184,636 in FY2010, $54,571,902 in FY2011, and $57,265,872 in FY2012, totaling $260,076,894 over the five-year period from 2008-2012.

Based on the analysis of the Texas Workforce Commission, it is assumed that duties and responsibilities associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.

This bill would take effect September 1, 2007.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

320 Texas Workforce Commission

LBB Staff:

JOB, JRO, MW, NV