| TO: | Honorable Tom Craddick, Speaker of the House, House of Representatives |
| FROM: | John S. O'Brien, Director, Legislative Budget Board |
| IN RE: | HB3154 by Laubenberg (Relating to the creation of a review committee to study the provision of indigent health care through county and regional health care services. ), As Passed 2nd House |
| Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
|---|---|
| 2008 | ($55,557) |
| 2009 | $183,991 |
| 2010 | $33,991 |
| 2011 | $33,991 |
| 2012 | $33,991 |
| Fiscal Year | Probable (Cost) from GENERAL REVENUE FUND 1 |
Probable Revenue Gain from GENERAL REVENUE FUND 1 |
|---|---|---|
| 2008 | ($1,105,557) | $1,050,000 |
| 2009 | ($716,009) | $900,000 |
| 2010 | ($716,009) | $750,000 |
| 2011 | ($716,009) | $750,000 |
| 2012 | ($716,009) | $750,000 |
| Fiscal Year | Change in Number of State Employees from FY 2007 |
|---|---|
| 2008 | 16.0 |
| 2009 | 9.5 |
| 2010 | 9.5 |
| 2011 | 9.5 |
| 2012 | 9.5 |
The bill would require independent emergency medical care facilities to be licensed by the Department of State Health Services (DSHS) by December 1, 2008.
Facilities would be charged a licensing fee biennially, as set by the Executive Commissioner of the Health and Human Services Commission (HHSC). The bill would establish an independent emergency medical care facility licensing fund in the state treasury for fees, which could be appropriated to DSHS only to administer and enforce the provisions of the bill. It is assumed the fees would be deposited in the General Revenue Fund.
The bill provides for criminal, civil, and administrative penalties. It is assumed the penalties would not have a significant revenue impact. The Office of the Attorney General indicates any additional work related to injuctive, declaratory judgment, or judicial review proceedings could be absorbed with current resources.
The bill would require the Executive Commissioner of HHSC to adopt rules by September 1, 2008 to implement the provisions of the bill. It is assumed any costs related to adopting rules could be absorbed by HHSC.
The bill would also create the regional health care system review committee in public health region three to conduct public hearings regarding, and to study the implications of, implementing regional health care service to address indigent health care in the region. The committee's composition and duties are defined in the bill. The initial meeting of the committee must occur before September 30, 2007, and the committee would be required to issue a report on indigent health care by September 1, 2008, summarizing hearings and studies conducted by the committee, legislation proposed by the committee, and any other findings or recommendations of the committee. A copy of the report must be submitted to the governor, the lieutenant governor, and the speaker of the house of representatives by not later than December 1, 2008. The committee would be allowed to accept gifts, grants, technical support, or any other resources from any source to carry out the functions of the committee.
For fiscal year 2008, DSHS estimates costs of $963,718 in General Revenue primarily for 16 Full-Time-Equivalent (FTE) positions, including 10 nurses, 4 architects, 1 program specialist, and 1 administrative assistant. Costs are included for salaries, benefits, travel, and other administrative expenses. For fiscal years 2009-2012, DSHS estimates costs of $708,980 in General Revenue primarily for 9.5 FTEs, including 6 nurses, 1.5 architects, 1 program specialist, and 1 administrative assistant. DSHS indicates more FTEs are needed in fiscal year 2008, because facilities will be licensed in six months in fiscal year 2008, assuming 6 months for rules to be adopted and for other start-up activities. Estimates also include $3,500 in fiscal years 2009-2012 for the cost of referring one case to the State Office of Administrative Hearings.
DSHS estimates a General Revenue gain of $1,050,000 in fiscal year 2008, $900,000 in fiscal year 2009, and $750,000 in fiscal years 2010-2012. DSHS estimates 300 facilities would require licenses under the bill. Beginning in fiscal year 2009, DSHS assumes 150 facilities would receive two-year licenses per fiscal year at a fee of $6,000 in fiscal year 2009 and $5,000 in fiscal years 2010-2012. In fiscal year 2008, 200 facilities would be licensed; 50 would receive one-year licenses at a fee of $3,000 and 150 would receive two-year licenses at a fee of $6,000. DSHS would issue some one-year licenses in fiscal year 2008 in order to stagger licenses in subsequent fiscal years and to meet the timelines in the bill.
| Source Agencies: | 360 State Office of Administrative Hearings, 302 Office of the Attorney General, 529 Health and Human Services Commission, 537 State Health Services, Department of, 304 Comptroller of Public Accounts
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| LBB Staff: | JOB, CL, DB, PP, SSt
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