LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION May 18, 2009 TO: Honorable David Dewhurst, Lieutenant Governor, Senate FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:SB2423 by Deuell (Relating to the transfer or sale of patient information or prescription drug history by discount health care programs. ), As Passed 2nd House No significant fiscal implication to the State is anticipated. The bill would amend the Health and Safety Code by expanding the definitions of a discount health care program and a discount care health care program operator. Enactment of certain provisions of the bill would be contingent on other legislation passing, transfering regulation of the discount health care program to the Texas Department of Insurance (TDI) from the Texas Department of Licensing and Regulation (TDLR). Based on the analysis of the Texas Department of Licensing and Regulation, it is assumed that if the program is not transfered, there would be a small annual revenue gain because the bill would result in additional registrations from certain discount health care card operators. Since the agency is required to cover its cost of operation, this analysis assumes that any increase in revenue will be offset by the agency readjusting fees. It is also assumed that any costs realized by TDLR from implementing the provisions of the bill could be absorbed within existing resources. If the regulation of the discount health care program is transfered to TDI, there would be a small annual revenue gain to General Revenue - Insurance Maintenance Tax. Since insurance maintenance tax is self-leveling, this analysis assumes all revenue generated would go toward fund balances or the maintenance tax would be set to recover a lower level of revenue the following year. It is also assumed that any costs realized by TDI from implementing the provisions of the bill could be absorbed within existing resources. Based on analysis provided by the Texas Department of Insurance, the bill will have no fiscal impact on the agency. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:452 Department of Licensing and Regulation, 454 Department of Insurance LBB Staff: JOB, CL, MW, CH
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
May 18, 2009
TO: Honorable David Dewhurst, Lieutenant Governor, Senate FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:SB2423 by Deuell (Relating to the transfer or sale of patient information or prescription drug history by discount health care programs. ), As Passed 2nd House
TO: Honorable David Dewhurst, Lieutenant Governor, Senate
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: SB2423 by Deuell (Relating to the transfer or sale of patient information or prescription drug history by discount health care programs. ), As Passed 2nd House
Honorable David Dewhurst, Lieutenant Governor, Senate
Honorable David Dewhurst, Lieutenant Governor, Senate
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
SB2423 by Deuell (Relating to the transfer or sale of patient information or prescription drug history by discount health care programs. ), As Passed 2nd House
SB2423 by Deuell (Relating to the transfer or sale of patient information or prescription drug history by discount health care programs. ), As Passed 2nd House
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Health and Safety Code by expanding the definitions of a discount health care program and a discount care health care program operator. Enactment of certain provisions of the bill would be contingent on other legislation passing, transfering regulation of the discount health care program to the Texas Department of Insurance (TDI) from the Texas Department of Licensing and Regulation (TDLR). Based on the analysis of the Texas Department of Licensing and Regulation, it is assumed that if the program is not transfered, there would be a small annual revenue gain because the bill would result in additional registrations from certain discount health care card operators. Since the agency is required to cover its cost of operation, this analysis assumes that any increase in revenue will be offset by the agency readjusting fees. It is also assumed that any costs realized by TDLR from implementing the provisions of the bill could be absorbed within existing resources. If the regulation of the discount health care program is transfered to TDI, there would be a small annual revenue gain to General Revenue - Insurance Maintenance Tax. Since insurance maintenance tax is self-leveling, this analysis assumes all revenue generated would go toward fund balances or the maintenance tax would be set to recover a lower level of revenue the following year. It is also assumed that any costs realized by TDI from implementing the provisions of the bill could be absorbed within existing resources. Based on analysis provided by the Texas Department of Insurance, the bill will have no fiscal impact on the agency.
The bill would amend the Health and Safety Code by expanding the definitions of a discount health care program and a discount care health care program operator. Enactment of certain provisions of the bill would be contingent on other legislation passing, transfering regulation of the discount health care program to the Texas Department of Insurance (TDI) from the Texas Department of Licensing and Regulation (TDLR).
Based on the analysis of the Texas Department of Licensing and Regulation, it is assumed that if the program is not transfered, there would be a small annual revenue gain because the bill would result in additional registrations from certain discount health care card operators. Since the agency is required to cover its cost of operation, this analysis assumes that any increase in revenue will be offset by the agency readjusting fees. It is also assumed that any costs realized by TDLR from implementing the provisions of the bill could be absorbed within existing resources.
If the regulation of the discount health care program is transfered to TDI, there would be a small annual revenue gain to General Revenue - Insurance Maintenance Tax. Since insurance maintenance tax is self-leveling, this analysis assumes all revenue generated would go toward fund balances or the maintenance tax would be set to recover a lower level of revenue the following year. It is also assumed that any costs realized by TDI from implementing the provisions of the bill could be absorbed within existing resources.
Based on analysis provided by the Texas Department of Insurance, the bill will have no fiscal impact on the agency.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 452 Department of Licensing and Regulation, 454 Department of Insurance
452 Department of Licensing and Regulation, 454 Department of Insurance
LBB Staff: JOB, CL, MW, CH
JOB, CL, MW, CH