LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 17, 2021 TO: Honorable Chris Turner, Chair, House Committee on Business & Industry FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB396 by Moody (relating to the eligibility of nurses for workers compensation benefits for coronavirus disease (COVID-19) and payment of those benefits.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for HB396, Committee Report 1st House, Substituted : an impact of $0 through the biennium ending August 31, 2023. 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 toGeneral Revenue Related Funds2022$02023$02024$02025$02026$0All Funds, Five-Year Impact: Fiscal Year Probable (Cost) fromInteragency Contracts7772022($564,408)2023$02024$02025$02026$0 Fiscal AnalysisThe bill would amend the Labor Code relating to the eligibility of nurses for workers' compensation benefits for coronavirus disease and payment of those benefits. The bill would require the State Office of Risk Management (SORM) to accept coronavirus workers' compensation claims from certain parties (nurses) in the state that were previously denied, if the party refiles the claim after the bill is in effect. LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 17, 2021 TO: Honorable Chris Turner, Chair, House Committee on Business & Industry FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB396 by Moody (relating to the eligibility of nurses for workers compensation benefits for coronavirus disease (COVID-19) and payment of those benefits.), Committee Report 1st House, Substituted TO: Honorable Chris Turner, Chair, House Committee on Business & Industry FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB396 by Moody (relating to the eligibility of nurses for workers compensation benefits for coronavirus disease (COVID-19) and payment of those benefits.), Committee Report 1st House, Substituted Honorable Chris Turner, Chair, House Committee on Business & Industry Honorable Chris Turner, Chair, House Committee on Business & Industry Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board HB396 by Moody (relating to the eligibility of nurses for workers compensation benefits for coronavirus disease (COVID-19) and payment of those benefits.), Committee Report 1st House, Substituted HB396 by Moody (relating to the eligibility of nurses for workers compensation benefits for coronavirus disease (COVID-19) and payment of those benefits.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for HB396, Committee Report 1st House, Substituted : an impact of $0 through the biennium ending August 31, 2023. 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 HB396, Committee Report 1st House, Substituted : an impact of $0 through the biennium ending August 31, 2023. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. 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: 2022 $0 2023 $0 2024 $0 2025 $0 2026 $0 All Funds, Five-Year Impact: 2022 ($564,408) 2023 $0 2024 $0 2025 $0 2026 $0 Fiscal Analysis The bill would amend the Labor Code relating to the eligibility of nurses for workers' compensation benefits for coronavirus disease and payment of those benefits. The bill would require the State Office of Risk Management (SORM) to accept coronavirus workers' compensation claims from certain parties (nurses) in the state that were previously denied, if the party refiles the claim after the bill is in effect. Methodology Based on information provided by SORM, the agency has received ten coronavirus claims to which the bill may apply. If all previously denied claims were refiled after the passage of the bill and each was deemed compensable, the agency estimates an impact of $0.6 million. This analysis does not take into account any potential new claims the agency may receive in the future. The costs would be paid out of interagency contracts paid from assessments charged to state agencies. According to SORM, SORM would need to increase assessments charged to state agencies in order to cover the costs. It is assumed that the payments to SORM may result in a significant cost to affected agencies, but the cost cannot be determined at this time. The costs would be paid out of interagency contracts paid from assessments charged to state agencies. According to SORM, SORM would need to increase assessments charged to state agencies in order to cover the costs. It is assumed that the payments to SORM may result in a significant cost to affected agencies, but the cost cannot be determined at this time. Technology There is no anticipated technology impact as a result of implementing this bill. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: b > td > 454 Department of Insurance, 479 State Office of Risk Management 454 Department of Insurance, 479 State Office of Risk Management LBB Staff: b > td > JMc, SZ, MB, MPUK JMc, SZ, MB, MPUK