TO: | Honorable Richard Pena Raymond, Chair, House Committee on Human Services |
FROM: | John S O'Brien, Director, Legislative Budget Board |
IN RE: | HB2819 by King, Susan (Relating to the operation and efficiency of the eligibility determination process for supplemental nutrition assistance program benefits.), As Introduced |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2012 | ($6,326,934) |
2013 | ($5,714,637) |
2014 | ($5,757,715) |
2015 | ($5,876,762) |
2016 | ($5,932,221) |
Fiscal Year | Probable (Cost) from GR Match Food Stamp Adm 8014 |
Probable (Cost) from Federal Funds 555 |
---|---|---|
2012 | ($6,326,934) | ($6,326,934) |
2013 | ($5,714,637) | ($5,714,637) |
2014 | ($5,757,715) | ($5,757,715) |
2015 | ($5,876,762) | ($5,876,762) |
2016 | ($5,932,221) | ($5,932,221) |
Fiscal Year | Change in Number of State Employees from FY 2011 |
---|---|
2012 | 184.4 |
2013 | 197.2 |
2014 | 200.4 |
2015 | 204.6 |
2016 | 206.8 |
HHSC has implemented, or is currently implementing, many of the requirements of the bill. This analysis assumes that changes currently underway can be accomplished within existing agency resources.
For purposes of this analysis, it is assumed that the Texas Integrated Eligibility Redesign System (TIERS) could replace the System for Application Verification, Eligibility, Referral and Reporting (SAVERR) reports required by the bill, as the roll-out of TIERS is close to completion, and HHSC will be phasing out SAVERR.
While the bill directs HHSC to pursue supplemental federal funding to the extent possible, this analysis assumes the current SNAP administration matching rate of 50 percent. It is unknown what supplemental federal funding would be available, if any.
Based on HHSC analysis, the provision requiring eligibility determination workers to contact applicants by phone in advance of interviews would necessitate an increase in full-time equivalents (FTEs) due to increased staff time for accomplishing this task. Based on HHSC current SNAP caseloads and an estimated two interview actions per year, HHSC would require an additional 184.4 FTEs in fiscal year 2012, 197.2 FTEs in fiscal year 2013, 200.4 FTEs in fiscal year 2014, 204.6 FTEs in fiscal year 2015, and 206.8 FTEs in fiscal year 2016.
Total All Funds costs for increasing staffing for eligibility determination is estimated to be $12,653,868 in fiscal year 2012, $11,429,274 in fiscal year 2013, $11,515,430 in fiscal year 2014, $11,753,524 in fiscal year 2015, and $11,864,442 in fiscal year 2016. These estimates include salaries, overhead costs, travel, basic supplies, technology costs, and employee benefits.
Based on HHSC analysis, there would be increased mailing costs of approximately $500,000 per fiscal year for an estimated 20% of applicants who could not otherwise be reached by phone.
The total technology net costs included above are estimated to be $1,034,005 in fiscal year 2012, $416,765 in fiscal year 2013, $407,271 in fiscal year 2014, $417,541 in fiscal year 2015 and $418,268 in fiscal year 2016. Included are FTE-related costs for seat management, basic data storage services under the contract for data center services, and a one-time cost of $357,000 in fiscal year 2012 for system modifications to the Texas Integrated Eligibility Redesign System (TIERS).
Source Agencies: | 529 Health and Human Services Commission
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LBB Staff: | JOB, CL, MB, ES, VJC
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