LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

April 28, 2009

TO:	Honorable Jane Nelson, Chair, Senate Committee on Health & Human Services
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	SB1722 by Uresti (Relating to creating an account to promote continuing education for certain child care providers.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for SB1722, As Introduced: a negative impact of ($3,650,000) through the biennium ending August 31, 2011.

The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2010	($1,825,000)
2011	($1,825,000)
2012	($1,825,000)
2013	($1,825,000)
2014	($1,825,000)

All Funds, Five-Year Impact:

Fiscal Year	Probable Revenue (Loss) from General Revenue Fund 1	Probable Revenue Gain from New GR-Dedicated Early Child Care Development	Probable (Cost) from New GR-Dedicated Early Child Care Development	Change in Number of State Employees from FY 2009
2010	($1,825,000)	$1,825,000	($233,695)	3.0
2011	($1,825,000)	$1,825,000	($225,197)	3.0
2012	($1,825,000)	$1,825,000	($225,197)	3.0
2013	($1,825,000)	$1,825,000	($225,197)	3.0
2014	($1,825,000)	$1,825,000	($225,197)	3.0

Fiscal Analysis

The bill would amend Chapter 42, Human Resources Code, by amending the section that requires child-care services fees authorized by the chapter to be deposited into General Revenue. The bill would create a General Revenue-Dedicated account (Early Child Care Development) for these fees, which would be apppropriated only to the Department of Family and Protective Services for the purpose of supporting continuing education initiatives for providers of infant and toddler child care. The bill would also authorize the use of the account for reasonable administrative expenses under Chapter 42. The bill would take effect immediately if it received a two-thirds majority vote in each house. Otherwise, it would take effect September 1, 2009.

Methodology

According to the Comptroller of Public Accounts' data files, there would be a $1,825,000 loss in fee revenue allocated to General Revenue and a gain in the same amount to the new General Revenue-Dedicated account.

The Department of Family and Protective Services estimates that the total cost to implement the provisions of the bill would be $233,695 in All Funds in fiscal year 2010 and $225,197 for each fiscal year thereafter. Three full-time equivalents (FTEs) would be needed; FTE costs would total $153,668 in All Funds per fiscal year for 2010-2014, including $34,157 in associated employee benefits.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

304 Comptroller of Public Accounts, 530 Family and Protective Services, Department of

LBB Staff:

JOB, CL, VJC, MB