HB 625 - SB 662 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly February 17, 2025 Fiscal Analyst: Chris Higgins | Email: chris.higgins@capitol.tn.gov | Phone: 615-741-2564 HB 625 - SB 662 SUMMARY OF BILL: Creates a rebuttable presumption that a person with mental illness or serious emotional disturbance meets the standard for emergency detention and examination if the person was charged with certain offenses and ordered by the criminal, circuit, or general sessions court to undergo an evaluation to determine whether the person is incompetent to stand trial or the person's mental capacity at the time of the commission of the crime. Applies to any offense for which the defendant, if convicted, would be required to serve at least 85 percent of the sentence imposed before becoming eligible for release from incarceration. FISCAL IMPACT: STATE GOVERNMENT EXPENDITURES General Fund FY26-27 & Subsequent Years >$797,900 Assumptions: • Pursuant to Tenn. Code Ann. § 33-7-301(a), when a defendant charged with a criminal offense is believed to be incompetent to stand trial or there is a question about the defendant's mental capacity at the time of the commission of the crime the judge may order the defendant to be evaluated on an outpatient basis. If the outpatient evaluator concludes that further evaluation and treatment are needed, the court may order the defendant hospitalized for further evaluation and treatment for competence to stand trial. • The proposed legislation would require individuals charged with specific offenses to undergo an evaluation for emergency involuntary admission to inpatient treatment at a hospital or mental treatment resource, in addition to the court-ordered evaluation. • According to the Forensic and Juvenile Court Services Annual Report for the period July 1, 2023 – June 30, 2024 (FY24) produced by the Department of Mental Health and Substance Abuse Services (DMHSAS), in FY23-24 there were 2,579 orders for outpatient forensic evaluations to determine a person's capacity to stand trial. • Based on information provided by DMHSAS, a minimum of 1,228 of the 2,579 forensic outpatient evaluations were for persons charged with a qualifying offense under the proposed legislation. • There were 363 individuals evaluated with a qualifying charge who were referred for further inpatient evaluation and, therefore, would not require an additional evaluation. • Pursuant to Tenn. Code Ann. § 33-6-401, if, and only if, a person has a mental illness or serious emotional disturbance and the person poses an imminent substantial likelihood of HB 625 - SB 662 2 serious harm because of the mental illness or serious emotional disturbance, then the person may be detained to obtain examination for certification of need (CON) for emergency care and treatment. • The proposed legislation will result in at least 865 (1,228 - 363) additional certificate of need (CON) evaluations for emergency treatment. • According to DMHSAS, the average cost for a CON evaluation is $550. • The increase in state expenditures is estimated to exceed $475,750 (865 x $550) in FY25-26 and subsequent years. • According to DMHSAS, the average cost for commitment at a regional mental health institution (RMHI) is $32,212 ($1,210.96 per day x 26.6 days) per person. • It is unknown how many new commitments will result from the additional evaluations, since these individuals are already undergoing mental health evaluations, and some individuals may also be able to rebut the presumption of meeting the standard for emergency detention and examination. • For purposes of the analysis it is assumed that at least 10 evaluations will result in emergency commitments, resulting in an additional increase in expenditures that exceeds $322,120 ($32,212 x 10) in FY25-26 and subsequent years. • The total increase in state expenditures will exceed $797,870 ($475,750 + $322,120) in FY25-26 and subsequent years. CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director