LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 8, 2025 TO: Honorable Sam Harless, Chair, House Committee on Corrections FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB4120 by Howard (Relating to allowing certain inmates to apply for benefits under certain public benefits programs to be provided at the time of discharge or release.), As Introduced The fiscal implications of the bill cannot be determined due to the unknown impact on caseloads for public benefit programs. The bill would require the Health and Human Services Commission (HHSC), in collaboration with the Texas Department of Criminal Justice (TDCJ), to assess certain inmates for eligibility for a public benefits program before discharge or release. The bill defines a public benefits program to include Medicaid, the Children's Health Insurance Program (CHIP), the Healthy Texas Women program, the Family Planning Program, Temporary Assistance for Needy Families (TANF), the Supplemental Nutrition Assistance Program (SNAP), and the Special Supplemental Nutrition Program for Women, Infants and Children (WIC). The bill would take effect September 1, 2025.This analysis assumes that there could be a significant increase to caseloads for public benefit programs due to new enrollments under the provisions of the bill; however, the impact on caseloads and the fiscal impact due to increased client services costs cannot be determined due to the lack of data necessary to estimate the number of inmates who would more readily enroll in a public benefits program, and for which programs they may be eligible. HHSC assumes that, based on data provided by TDCJ, a maximum of 43,701 inmates could be released annually who may apply for public assistance pursuant to the bill. For illustrative purposes, the average monthly cost expected for an adult Medicaid recipient in fiscal year 2026 ranges from a minimum of $387.86 for the Other Adults eligibility group to a maximum of $1,640.77 for the Disability-Related eligibility group.Additionally, HHSC assumes that updates to the Texas Integrated Eligibility Redesign System (TIERS) would be necessary to implement the provisions of the bill. This analysis assumes that HHSC would require $1,384,750 from All Funds, including $707,337 from the General Revenue Fund, in fiscal year 2026 for one-time technology costs for this purpose.It is assumed that any costs to TDCJ associated with the bill could be absorbed using existing resources. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 529 Health and Human Services Commission, 696 Department of Criminal Justice LBB Staff: b > td > JMc, MGol, ER, ESch
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION
April 8, 2025
TO: Honorable Sam Harless, Chair, House Committee on Corrections FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB4120 by Howard (Relating to allowing certain inmates to apply for benefits under certain public benefits programs to be provided at the time of discharge or release.), As Introduced
TO: Honorable Sam Harless, Chair, House Committee on Corrections
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB4120 by Howard (Relating to allowing certain inmates to apply for benefits under certain public benefits programs to be provided at the time of discharge or release.), As Introduced
Honorable Sam Harless, Chair, House Committee on Corrections
Honorable Sam Harless, Chair, House Committee on Corrections
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB4120 by Howard (Relating to allowing certain inmates to apply for benefits under certain public benefits programs to be provided at the time of discharge or release.), As Introduced
HB4120 by Howard (Relating to allowing certain inmates to apply for benefits under certain public benefits programs to be provided at the time of discharge or release.), As Introduced
The fiscal implications of the bill cannot be determined due to the unknown impact on caseloads for public benefit programs.
The fiscal implications of the bill cannot be determined due to the unknown impact on caseloads for public benefit programs.
The bill would require the Health and Human Services Commission (HHSC), in collaboration with the Texas Department of Criminal Justice (TDCJ), to assess certain inmates for eligibility for a public benefits program before discharge or release. The bill defines a public benefits program to include Medicaid, the Children's Health Insurance Program (CHIP), the Healthy Texas Women program, the Family Planning Program, Temporary Assistance for Needy Families (TANF), the Supplemental Nutrition Assistance Program (SNAP), and the Special Supplemental Nutrition Program for Women, Infants and Children (WIC). The bill would take effect September 1, 2025.This analysis assumes that there could be a significant increase to caseloads for public benefit programs due to new enrollments under the provisions of the bill; however, the impact on caseloads and the fiscal impact due to increased client services costs cannot be determined due to the lack of data necessary to estimate the number of inmates who would more readily enroll in a public benefits program, and for which programs they may be eligible. HHSC assumes that, based on data provided by TDCJ, a maximum of 43,701 inmates could be released annually who may apply for public assistance pursuant to the bill. For illustrative purposes, the average monthly cost expected for an adult Medicaid recipient in fiscal year 2026 ranges from a minimum of $387.86 for the Other Adults eligibility group to a maximum of $1,640.77 for the Disability-Related eligibility group.Additionally, HHSC assumes that updates to the Texas Integrated Eligibility Redesign System (TIERS) would be necessary to implement the provisions of the bill. This analysis assumes that HHSC would require $1,384,750 from All Funds, including $707,337 from the General Revenue Fund, in fiscal year 2026 for one-time technology costs for this purpose.It is assumed that any costs to TDCJ associated with the bill could be absorbed using existing resources.
The bill would require the Health and Human Services Commission (HHSC), in collaboration with the Texas Department of Criminal Justice (TDCJ), to assess certain inmates for eligibility for a public benefits program before discharge or release. The bill defines a public benefits program to include Medicaid, the Children's Health Insurance Program (CHIP), the Healthy Texas Women program, the Family Planning Program, Temporary Assistance for Needy Families (TANF), the Supplemental Nutrition Assistance Program (SNAP), and the Special Supplemental Nutrition Program for Women, Infants and Children (WIC). The bill would take effect September 1, 2025.
This analysis assumes that there could be a significant increase to caseloads for public benefit programs due to new enrollments under the provisions of the bill; however, the impact on caseloads and the fiscal impact due to increased client services costs cannot be determined due to the lack of data necessary to estimate the number of inmates who would more readily enroll in a public benefits program, and for which programs they may be eligible. HHSC assumes that, based on data provided by TDCJ, a maximum of 43,701 inmates could be released annually who may apply for public assistance pursuant to the bill. For illustrative purposes, the average monthly cost expected for an adult Medicaid recipient in fiscal year 2026 ranges from a minimum of $387.86 for the Other Adults eligibility group to a maximum of $1,640.77 for the Disability-Related eligibility group.
Additionally, HHSC assumes that updates to the Texas Integrated Eligibility Redesign System (TIERS) would be necessary to implement the provisions of the bill. This analysis assumes that HHSC would require $1,384,750 from All Funds, including $707,337 from the General Revenue Fund, in fiscal year 2026 for one-time technology costs for this purpose.
It is assumed that any costs to TDCJ associated with the bill could be absorbed using existing resources.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 529 Health and Human Services Commission, 696 Department of Criminal Justice
529 Health and Human Services Commission, 696 Department of Criminal Justice
LBB Staff: b > td > JMc, MGol, ER, ESch
JMc, MGol, ER, ESch