LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION April 27, 2015 TO: Honorable Richard Peña Raymond, Chair, House Committee on Human Services FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB1268 by Frank (Relating to monetary assistance by the Department of Family and Protective Services provided to foster parents and relative or designated caregivers for day-care services.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for HB1268, Committee Report 1st House, Substituted: a negative impact of ($16,373,484) through the biennium ending August 31, 2017. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
April 27, 2015
TO: Honorable Richard Peña Raymond, Chair, House Committee on Human Services FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB1268 by Frank (Relating to monetary assistance by the Department of Family and Protective Services provided to foster parents and relative or designated caregivers for day-care services.), Committee Report 1st House, Substituted
TO: Honorable Richard Peña Raymond, Chair, House Committee on Human Services
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB1268 by Frank (Relating to monetary assistance by the Department of Family and Protective Services provided to foster parents and relative or designated caregivers for day-care services.), Committee Report 1st House, Substituted
Honorable Richard Peña Raymond, Chair, House Committee on Human Services
Honorable Richard Peña Raymond, Chair, House Committee on Human Services
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB1268 by Frank (Relating to monetary assistance by the Department of Family and Protective Services provided to foster parents and relative or designated caregivers for day-care services.), Committee Report 1st House, Substituted
HB1268 by Frank (Relating to monetary assistance by the Department of Family and Protective Services provided to foster parents and relative or designated caregivers for day-care services.), Committee Report 1st House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for HB1268, Committee Report 1st House, Substituted: a negative impact of ($16,373,484) through the biennium ending August 31, 2017. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Estimated Two-year Net Impact to General Revenue Related Funds for HB1268, Committee Report 1st House, Substituted: a negative impact of ($16,373,484) through the biennium ending August 31, 2017.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2016 ($8,069,667) 2017 ($8,303,817) 2018 ($8,303,817) 2019 ($8,303,817) 2020 ($8,303,817)
2016 ($8,069,667)
2017 ($8,303,817)
2018 ($8,303,817)
2019 ($8,303,817)
2020 ($8,303,817)
All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Probable Savings/(Cost) fromFederal Funds555 2016 ($8,069,667) ($2,484,244) 2017 ($8,303,817) ($2,563,961) 2018 ($8,303,817) ($2,563,961) 2019 ($8,303,817) ($2,563,961) 2020 ($8,303,817) ($2,563,961)
Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Probable Savings/(Cost) fromFederal Funds555 2016 ($8,069,667) ($2,484,244) 2017 ($8,303,817) ($2,563,961) 2018 ($8,303,817) ($2,563,961) 2019 ($8,303,817) ($2,563,961) 2020 ($8,303,817) ($2,563,961)
2016 ($8,069,667) ($2,484,244)
2017 ($8,303,817) ($2,563,961)
2018 ($8,303,817) ($2,563,961)
2019 ($8,303,817) ($2,563,961)
2020 ($8,303,817) ($2,563,961)
Fiscal Analysis
The bill would amend Chapter 264 of the Family Code relating to daycare for a foster child or a child in a relative or other designated caregiver placement. The bill would require the Department of Family and Protective Services (DFPS) to pay for daycare for qualifying children in those placements regardless of the number of hours the foster parent or relative caregiver works each week.
Methodology
Based on analysis provided by the DFPS, it is assumed there would be an increase need of $10.1 million in fiscal year 2016 and $10.4 million in fiscal year 2017 and each year thereafter to pay for increased in client services. On top of that amount, DFPS would pay a 5% administrative fee totaling $0.5 million in each fiscal year to the Texas Workforce Commission (TWC) to administer the program. Estimates for the cost of the increase in client services assume 13% of foster and relative and other designated caregiver parents are currently ineligible for daycare services based on their part-time work status. The calculations also assume that of those families that would become eligible for daycare, 61.3% are caring for children that are already in a regular child care arrangement that DFPS would then be obligated to pay for. There could potentially be cost savings from some families utilizing part time daycare, however that is not accounted for in these calculations.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: 530 Family and Protective Services, Department of
530 Family and Protective Services, Department of
LBB Staff: UP, NB, WP, SJ
UP, NB, WP, SJ