LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION May 12, 2021 TO: Honorable Bryan Hughes, Chair, Senate Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB2064 by Leach (Relating to the amount of a hospital or physician lien on certain causes of action or claims.), As Engrossed No significant fiscal implication to the State is anticipated. The bill would amend the Property Code to provide that certain hospital liens are for the lesser of the amount of the hospital's charges for services provided to the injured individual during the first 100 days of the injured individual's hospitalization less the pro rata share of attorney's fees and expenses the injured individual incurred in pursuing the claim; 50 percent of all amounts recovered by the injured individual through a cause of action, judgment, or settlement less the pro rata share of attorney's fees and expenses the injured individual incurred in pursuing the claim; or the amount awarded by the trier of fact for the services provided to the injured individual by the hospital less the pro rata share of attorney's fees and expenses the injured individual incurred pursuing the claim.Current law provides that the lien is for the lesser of the amount of the hospital's charges for services provided to the injured individual during the first 100 days of the injured individual's hospitalization or 50 percent of all amounts recovered by the injured individual through a cause of action, judgment, or settlement.The bill would apply only to a lien for services provided to an injured individual on or after the bill's effective date. A lien for services provided before the effective date of the bill would be governed by the law in effect immediately before the bill's effective date, and that law is continued in effect for that purpose.Based on information provided by the Office of Court Administration, no significant fiscal impact to the state court system is anticipated as a result from implementing the provisions of the bill.The bill would take effect immediately upon receiving a two-thirds majority vote in both houses; otherwise, the bill would take effect September 1, 2021. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 212 Office of Court Admin LBB Staff: b > td > JMc, SMAT, SLE, BH, CMA, MW LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION May 12, 2021 TO: Honorable Bryan Hughes, Chair, Senate Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB2064 by Leach (Relating to the amount of a hospital or physician lien on certain causes of action or claims.), As Engrossed TO: Honorable Bryan Hughes, Chair, Senate Committee on State Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB2064 by Leach (Relating to the amount of a hospital or physician lien on certain causes of action or claims.), As Engrossed Honorable Bryan Hughes, Chair, Senate Committee on State Affairs Honorable Bryan Hughes, Chair, Senate Committee on State Affairs Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board HB2064 by Leach (Relating to the amount of a hospital or physician lien on certain causes of action or claims.), As Engrossed HB2064 by Leach (Relating to the amount of a hospital or physician lien on certain causes of action or claims.), 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 Property Code to provide that certain hospital liens are for the lesser of the amount of the hospital's charges for services provided to the injured individual during the first 100 days of the injured individual's hospitalization less the pro rata share of attorney's fees and expenses the injured individual incurred in pursuing the claim; 50 percent of all amounts recovered by the injured individual through a cause of action, judgment, or settlement less the pro rata share of attorney's fees and expenses the injured individual incurred in pursuing the claim; or the amount awarded by the trier of fact for the services provided to the injured individual by the hospital less the pro rata share of attorney's fees and expenses the injured individual incurred pursuing the claim.Current law provides that the lien is for the lesser of the amount of the hospital's charges for services provided to the injured individual during the first 100 days of the injured individual's hospitalization or 50 percent of all amounts recovered by the injured individual through a cause of action, judgment, or settlement.The bill would apply only to a lien for services provided to an injured individual on or after the bill's effective date. A lien for services provided before the effective date of the bill would be governed by the law in effect immediately before the bill's effective date, and that law is continued in effect for that purpose.Based on information provided by the Office of Court Administration, no significant fiscal impact to the state court system is anticipated as a result from implementing the provisions of the bill.The bill would take effect immediately upon receiving a two-thirds majority vote in both houses; otherwise, the bill would take effect September 1, 2021. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 212 Office of Court Admin 212 Office of Court Admin LBB Staff: b > td > JMc, SMAT, SLE, BH, CMA, MW JMc, SMAT, SLE, BH, CMA, MW