LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

April 24, 2007

TO:	Honorable Helen Giddings, Chair, House Committee on Business & Industry
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB3823 by Delisi (Relating to eligibility for workers' compensation death benefits based on a compensable injury.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB3823, As Introduced: an impact of $0 through the biennium ending August 31, 2009.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2008	$0
2009	$0
2010	$0
2011	$0
2012	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue (Loss) from SUBSEQUENT INJURY FUND 5101
2008	($1,983,600)
2009	($2,035,800)
2010	($2,105,400)
2011	($2,157,600)
2012	($2,209,800)

Fiscal Analysis

The bill would amend the Labor Code to add surviving parents to the list of beneficiaries eligible for death benefits in workers' compensation cases.  The bill would reduce the amount of death benefits paid into the Subsequent Injury Fund from 364 weeks to 260 weeks in no‑beneficiary fatal injury cases where a surviving parent receives death benefits. 

The bill would take effect September 1, 2007.

Methodology

Based on the analysis of the Texas Department of Insurance (TDI), it is assumed the bill would reduce the revenue to the Subsequent Injury Fund by approximately 29 percent each year.  It is assumed a majority of claimants would have surviving parents.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

454 Department of Insurance

LBB Staff:

JOB, JRO, MW, SK