COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 1702-02
Bill No.: SB 465
Subject: Requires the Department of Mental Health to assess persons referred to them and provide residential treatment if needed.
Type: Original
Date: February 26, 2001
FISCAL SUMMARY
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| General Revenue | (Unknown) | (Unknown) | (Unknown) |
| Total Estimated
Net Effect on All State Funds * |
(Unknown) | (Unknown) | (Unknown) |
* Could exceed $100,000 in a fiscal year.
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Federal Funds | Unknown | Unknown | Unknown |
| Federal Funds | (Unknown) | (Unknown) | (Unknown) |
| Total Estimated
Net Effect on All Federal Funds* |
$0 | $0 | $0 |
* Revenues and expenditures unknown but net to $0.
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 3 pages.
ASSUMPTION
Official from the Office of State Courts Administrator and Department of Social Services stated the proposed legislation would not fiscally impact their organizations.
Officials from the Department of Mental Health (DMH) stated the DMH is unable to determine the number of referrals that could be made as a result of this legislation, and therefore, is unable to determine the fiscal impact. However, since the proposed legislation appears to be an entitlement for persons affected by any type of mental condition, developmental disability, or alcohol or drug abuse problem, the cost to provide residential treatment services could be very significant. Residential services would range in cost by division and targeted population. Using the scenario of 100 referrals at a per diem cost, below are examples of the DMH's costs to provide residential services (does not include the 60% FFP):
Division of MRDD
100 individuals x $60 per day x 365 days = $2,190,000
Division of ADA
100 individuals x $17 per day x 365 days = $620,500
Division of CPS
100 individuals x $23 per day (for adults) x 365 = $839,500
The Department of Mental Health currently pays for and provides residential services for court committed forensic clients.
| FISCAL IMPACT - State Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
| GENERAL REVENUE FUND * | (Unknown) Could exceed $100,000 | (Unknown) Could exceed $100,000 | (Unknown) Could exceed $100,000 |
| FEDERAL FUNDS | |||
| Income - Department of Mental Health | Unknown | Unknown | Unknown |
| Expenses - Department of Mental Health | (Unknown) | (Unknown) | (Unknown) |
| ESTIMATED NET EFFECT ON | |||
| FEDERAL FUNDS * | $0 | $0 | $0 |
| FISCAL IMPACT - Local Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
| $0 | $0 | $0 |
FISCAL IMPACT - Small Business
The proposed legislation could result in the DMH going to private providers for additional bed capacity, thereby having an unknown, positive, impact on small businesses.
DESCRIPTION
The proposed legislation provides that the Department of Social Services or the Courts may refer persons to the Department of Mental Health for assessment. If this assessment indicates that the person is affected by a mental disorder, mental illness, mental retardation, developmental disability, or alcohol or drug abuse, the Department of Mental Health cannot refuse to provide residential treatment services to the person.
This legislation is not federally mandated, would not duplicate any other program and would require additional capital improvements or rental space.
SOURCES OF INFORMATION
Office of State Courts Administrator
Department of Mental Health
Department of Social Services
Jeanne Jarrett, CPA
Director
February 26, 2001