Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
SB2124 by Perry (relating to a pilot program for assisting certain recipients of public benefits to gain permanent self-sufficiency.), Committee Report 1st House, Substituted
The fiscal implications of the bill cannot be determined at this time but a cost would be anticipated in fiscal year 2019 forward. Insufficient information regarding the scope of the pilot program is available to determine the magnitude of the cost.
The bill would require the Health and Human Services Commission (HSSC), with the assistance of certain other entities including the Texas Workforce Commission and local workforce development boards, to develop and implement a pilot program to assist up to 100 eligible participants with gaining self-sufficiency. Participants would be required to receive wraparound case management services. The pilot program would be required to operate for at least 24 months but not more than 60 months and would include 16 additional months for planning, program design, data collection and data evaluation. Within 24 months of conclusion of the program, the bill would require HHSC to report to the legislature on the results of the program.
This analysis assumes that HHSC would promulgate program rules and implement necessary technology in fiscal year 2018 and the program would operate in fiscal years 2019 and forward. According to HHSC, there would be one-time technology costs to update the Texas Integrated Eligibility Redesign System (TIERS) and Eligibility Support Technology (EST) systems of $506,000 in fiscal year 2018.
The cost to operate the pilot program in fiscal years 2019 and forward cannot be determined but could be significant depending on how it is implemented. The provision of services would vary based on the scope of the pilot program, services provided, and length of time the program was in operation. Those factors would not be known until planning and development activities took place. It is likely there would also be a cost for additional staff to provide wraparound case management services.
The provisions of the bill would go into effect only if a specific appropriation for the implementation of the bill was provided in a general appropriations act of the Eighty-fifth Legislature.
Local Government Impact
The fiscal implications of the bill cannot be determined at this time. There could be costs to local workforce development boards depending on their level of involvement with developing and operating the pilot program.
Source Agencies:
320 Texas Workforce Commission, 529 Health and Human Services Commission