LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION May 13, 2013 TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: Ursula Parks, Director, Legislative Budget Board IN RE:SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), As Engrossed No significant fiscal implication to the State is anticipated. The bill would amend the Insurance Code relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder. Based on information provided by the Texas Department of Insurance (TDI), it is assumed that any costs associated with the implementation of this bill would be absorbed within existing staff and resources. Also, based on information provided by TDI, this analysis assumes that implementation of the bill would result in an increase in Health Maintenance Organizations and health insurers filing riders or amendments to policies, certificates, and evidences of coverage and a one-time revenue gain ($34,750 in fiscal year 2014) in General Revenue-Dedicated Texas Department of Insurance Fund 36 from filing fees. Since General Revenue-Dedicated Texas Department of Insurance Fund 36 is a self-leveling account, this analysis also assumes that any additional revenue resulting from the implementation of the bill would accumulate in account fund balances and that the department would adjust the assessment of the maintenance tax or other fees accordingly in the following year. Local Government Impact According to the Teacher Retirement System, the provisions of the bill could result in a cost of $21.3 million in fiscal year 2014 and $23.0 million in fiscal year 2015 for the TRS-ActiveCare program, a health insurance plan available to school districts and charter schools which is managed by TRS and funded through premiums paid locally. Increased plan costs would be passed along through increased premiums to be borne by school districts or beneficiaries. The level of increase would vary by plan choice within TRS Active Care. Source Agencies:323 Teacher Retirement System, 454 Department of Insurance LBB Staff: UP, AG, ER, JW, SD, LXH, JSc LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION May 13, 2013 TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: Ursula Parks, Director, Legislative Budget Board IN RE:SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), As Engrossed TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: Ursula Parks, Director, Legislative Budget Board IN RE: SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), As Engrossed Honorable John T. Smithee, Chair, House Committee on Insurance Honorable John T. Smithee, Chair, House Committee on Insurance Ursula Parks, Director, Legislative Budget Board Ursula Parks, Director, Legislative Budget Board SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), As Engrossed SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), As Engrossed No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. The bill would amend the Insurance Code relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder. Based on information provided by the Texas Department of Insurance (TDI), it is assumed that any costs associated with the implementation of this bill would be absorbed within existing staff and resources. Also, based on information provided by TDI, this analysis assumes that implementation of the bill would result in an increase in Health Maintenance Organizations and health insurers filing riders or amendments to policies, certificates, and evidences of coverage and a one-time revenue gain ($34,750 in fiscal year 2014) in General Revenue-Dedicated Texas Department of Insurance Fund 36 from filing fees. Since General Revenue-Dedicated Texas Department of Insurance Fund 36 is a self-leveling account, this analysis also assumes that any additional revenue resulting from the implementation of the bill would accumulate in account fund balances and that the department would adjust the assessment of the maintenance tax or other fees accordingly in the following year. The bill would amend the Insurance Code relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder. Based on information provided by the Texas Department of Insurance (TDI), it is assumed that any costs associated with the implementation of this bill would be absorbed within existing staff and resources. Also, based on information provided by TDI, this analysis assumes that implementation of the bill would result in an increase in Health Maintenance Organizations and health insurers filing riders or amendments to policies, certificates, and evidences of coverage and a one-time revenue gain ($34,750 in fiscal year 2014) in General Revenue-Dedicated Texas Department of Insurance Fund 36 from filing fees. Since General Revenue-Dedicated Texas Department of Insurance Fund 36 is a self-leveling account, this analysis also assumes that any additional revenue resulting from the implementation of the bill would accumulate in account fund balances and that the department would adjust the assessment of the maintenance tax or other fees accordingly in the following year. Local Government Impact According to the Teacher Retirement System, the provisions of the bill could result in a cost of $21.3 million in fiscal year 2014 and $23.0 million in fiscal year 2015 for the TRS-ActiveCare program, a health insurance plan available to school districts and charter schools which is managed by TRS and funded through premiums paid locally. Increased plan costs would be passed along through increased premiums to be borne by school districts or beneficiaries. The level of increase would vary by plan choice within TRS Active Care. Source Agencies: 323 Teacher Retirement System, 454 Department of Insurance 323 Teacher Retirement System, 454 Department of Insurance LBB Staff: UP, AG, ER, JW, SD, LXH, JSc UP, AG, ER, JW, SD, LXH, JSc