Honorable Chris Turner, Chair, House Committee on Higher Education
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
HB2980 by Howard (Relating to the creation of an incentive program to fund innovative solutions for clinical education of graduate nurses.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB2980, As Introduced: a negative impact of ($5,099,643) through the biennium ending August 31, 2021.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2020
($2,565,040)
2021
($2,534,603)
2022
($2,534,603)
2023
($2,534,603)
2024
($2,534,603)
Fiscal Year
Probable Savings/(Cost) from General Revenue Fund 1
2020
($2,565,040)
2021
($2,534,603)
2022
($2,534,603)
2023
($2,534,603)
2024
($2,534,603)
Fiscal Year
Change in Number of State Employees from FY 2019
2020
0.8
2021
0.5
2022
0.5
2023
0.5
2024
0.5
Fiscal Analysis
The bill would create an incentive program to fund innovative solutions for clinical education of graduate nurses. The program would be administered by the Higher Education Coordinating Board (Board). Under provisions of the bill, the program would be supported by funds appropriated for the purpose of the program and funds returned to the Board from the Professional Nursing Shortage Reduction Program.
Methodology
For purposes of this fiscal note, it is assumed that the Legislature would appropriate funding for the program. The Higher Education Coordinating Board (Board) estimates that ten grants would be awarded each biennium with an award amount of $500,000. The Board based this estimate on the funding cycle for a similar program, the Minority Health Research and Education Grant Program, which supports allied health discipline's efforts to expand clinical sites into communities with health disparities. This analysis assumes that five grants would be awarded in each year of the biennium.
The Higher Education Coordinating Board indicates that 0.5 FTE program director and 0.25 FTE administrative assistant would be needed to administer the program at an additional cost for salaries and benefits of $48,498 in fiscal year 2020. Technology and other costs associated with the program are estimated at $16,542 in fiscal year 2020. Administrative and other costs would decrease in subsequent years once the program is established.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.