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F I S C A L I M P A C T R E P O R T

SPONSOR Picraux

02/23/05DATE

TYPED 02/23/05 HB 729

SHORT TITLE Home Modifications for Disabled Persons

SB

ANALYST Weber

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$3,000.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Division of Vocational Rehabilitation

No Response Received From

Governor’s Commission on Disability

SUMMARY

Synopsis of Bill

House Bill 729 appropriates $3.0 million from the general fund to the governor’s Commission on

Disability for the purpose of contracting for home modifications for persons with disabilities.

The modifications should emphasize access and egress and basic assistance with routine living

functions.

Significant Issues

The appropriation apparently supplements the existing GAP program that is designed to make

home modifications to allow disabled persons to continue living in their homes. Other than the

obvious benefit to the disabled person, the concept is to minimize the need for nursing or home

care services. In principal this will save money that would go to support these more expensive

services. Presently the GAP program has an appropriation of on $169 thousand meaning this

$3.0 million would represent an 17.7 percent increase in capacity.

House Bill 729 -- Page 2

FISCAL IMPLICATIONS

The appropriation of $3.0 million contained in this bill is a recurring expense to the general fund.

Any unexpended or unencumbered balance remaining at the end of FY06 shall revert to the gen-

eral.

ADMINISTRATIVE IMPLICATIONS

Such a substantial increase in funds and demand on services may overwhelm a small eight per-

son agency like the Governor’s Commission. The current GAP program serves only 50-60 per-

sons annually. Assuming the same cost per client, this appropriation would accommodate an in-

crease to almost 1,000 persons that would require extensive administrative capacity.

TECHNICAL ISSUES

Based on what is likely an extensive expansion of administrative capacity, consideration should

be given to allow part of the appropriation be used for personal services and other related costs.

POSSIBLE QUESTIONS

Should the appropriation be made to a larger agency such as Human Services that already has an

administrative infrastructure that could more easily absorb the expansion.

If so, should the governor’s Commission then function in an advisory capacity.

MW/lg