HB 679 - SB 920 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly March 15, 2025 Fiscal Analyst: Natalie Dusek | Email: natalie.dusek@capitol.tn.gov | Phone: 615-741-2564 HB 679 - SB 920 SUMMARY OF BILL: Increases, from $1,000 to $2,500, the maximum amount of compensation paid to a health care provider for a forensic medical examination related to a sexually- oriented crime. Applies to claims performed on or after July 1, 2025. Requires the Tennessee Bureau of Investigation (TBI) to perform DNA analysis on a sexual assault evidence collection kit within 120 days of the TBI’s receipt of the kit from a law enforcement agency. Requires, if the TBI is unable to perform the analysis within 120 days, the TBI to flag the kit in the electronic tracking system and provide the submitting agency with a written explanation for the delay in analysis. Requires any kit that is flagged in the system to be analyzed within a reasonable time thereafter. Applies to sexual assault evidence collection kits received by the TBI on or after July 1, 2025. FISCAL IMPACT: STATE GOVERNMENT EXPENDITURES General Fund Criminal Injuries Compensation Fund FY25-26 $515,200 $873,100 FY26-27 & Subsequent Years >$432,400 >$873,100 Total Positions Required: 5 FEDERAL GOVERNMENT EXPENDITURES FY25-26 $714,400 FY26-27 & Subsequent Years >$714,400 Assumptions: Criminal Injuries Compensation Fund • Pursuant to Tenn. Code Ann. § 29-13-118(b)(1), a victim of a sexually-oriented crime is entitled to forensic medical examinations at no charge to the victim. All claims for such examinations are eligible for payment from the Criminal Injuries Compensation Fund (Fund) in the State Treasury. • Pursuant to Tenn. Code Ann. § 29-13-118(d), the maximum amount of compensation paid to health care providers for forensic examination claims is $1,000. The proposed legislation HB 679 - SB 920 2 increases the amount to $2,500, for a total increase in the amount of compensation per claim of $1,500 ($2,500 proposed - $1,000 current). • Based on information provided by the Department of the Treasury (Treasury), over the last five fiscal years, the average number of claims reimbursed was 2,546 claims; the average amount paid per claim was $884. • The claim amounts submitted for reimbursement by health care providers can vary significantly – from as little as $210 to over $10,000 per claim. • According to Treasury, increasing the maximum amount reimbursed for claims by $1,500 will result in an increase in the average reimbursement rate by approximately $542 per claim in FY25-26. • Passage of the proposed legislation is therefore assumed to result in an average claim award of $1,426 ($884 current average + $542 estimated increase) in FY25-26. • Over the last five years, the total number of claims has increased year over year by approximately four percent. The total number of claims reimbursed in FY23-24 was 2,708 claims. This trend is assumed to remain consistent. • It is therefore assumed that the number of claims reimbursed in FY25-26 will be 2,929 claims as follows: o 2,708 claims + (2,708 claims x 4%) = 2,816 claims in FY24-25; o 2,816 claims + (2,816 claims x 4%) = 2,929 claims in FY25-26. • The total expenditures from the Fund at the current rate would be $2,589,236 (2,929 claims x $884 current average) in FY25-26. • The total expenditures from the Fund under the new proposed limit is estimated to be $4,176,754 (2,929 claims x $1,426 estimated new average award) in FY25-26. • The total increase in expenditures to the Fund is therefore estimated to be $1,587,518 ($4,176,754 - $2,589,236) in FY25-26. • According to Treasury, eligible expenditures from the Fund are reimbursed by the federal government through Victims of Crime Act (VOCA) grants at an average rate of approximately 45 percent of total expenditures. • Therefore, the total increase in expenditures from the Fund is estimated to be $873,135 ($1,587,518 x 55%) in FY25-26. • The total increase in federal expenditures in VOCA grants to the Treasury is estimated to be $714,383 ($1,587,518 x 45%) in FY25-26. • Assuming the number of claims and the costs of medical care continues to increase, the state and federal expenditures are estimated to exceed these amounts in FY26-27 and subsequent years. • As of June 30, 2024, the balance of the Fund was $7,377,802. Tennessee Bureau of Investigation • In order to meet the required 120 turnaround time for sexual assault evidence kits, the TBI asserts that it will require five additional Forensic Scientist positions. • The increase in expenditures associated with the salary and benefits for these positions is estimated to be $432,441 as follows: HB 679 - SB 920 3 Title Salary Benefits Positions Total Forensic Scientists $67,656 $18,832 5 $432,441 • The TBI estimates one-time equipment, setup, and training costs of $82,800 for the positions in FY25-26. • The total increase in expenditures to the TBI is estimated to be $515,241 ($432,441 salary + $82,800 onboarding) in FY25-26. • It is assumed the positions will require recurring expenditures; however, the precise amount is not known. • The increase in expenditures to the TBI is therefore estimated to exceed $432,441 in FY26-27 and subsequent years. • The TBI can accommodate the other requirements in the legislation within existing resources. CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director