According to the Legislative Budget Board (LBB), HB 2488 is not expected to have a significant fiscal impact on the State of Texas. The bill authorizes the Division of Workers’ Compensation to conduct certain contested case hearings remotely via videoconference, either upon a showing of good cause or through mutual agreement of the parties. The bill also directs the commissioner of workers’ compensation to adopt the necessary rules for implementation.

The analysis assumes that any administrative costs related to implementing and managing the remote hearing process, such as technology infrastructure, training, or rulemaking, can be absorbed within the existing resources of the Department of Insurance, which oversees the Division of Workers’ Compensation. No new appropriations or staffing increases are anticipated.

Additionally, the bill is not expected to have a significant fiscal implication for local governments. Since contested case hearings in the workers’ compensation system are a function of the state’s administrative apparatus, cities, counties, and other local entities would not bear operational or compliance costs as a result of this legislation.

HB 2488 is a targeted modernization measure that enhances efficiency and access within the Texas workers’ compensation system. It authorizes the Division of Workers’ Compensation (DWC) to conduct contested case hearings via videoconference, but only when there is a mutual agreement of the parties involved or when the division determines that good cause exists. This builds on the proven success of virtual proceedings conducted during the COVID-19 pandemic and extends similar flexibility to a broader range of cases going forward​.

The bill upholds key liberty principles, particularly individual liberty and personal responsibility, by removing unnecessary logistical barriers for injured workers, employers, and witnesses who might otherwise face challenges attending in-person hearings. It allows for the use of modern technology without compromising fairness, as in-person hearings remain fully available if needed. It also reinforces the concept of limited government by improving existing administrative functions rather than expanding them.

Importantly, HB 2488 does not grow the size or scope of government. It does not establish new programs, agencies, or roles. It maintains the current framework of the Division of Workers’ Compensation and simply introduces an optional, more flexible method of hearing conduct. Additionally, the bill does not create any new tax burden for Texans. The Legislative Budget Board has stated that any costs associated with implementing the change can be absorbed using existing resources.

From a regulatory perspective, the bill has minimal impact. It grants rulemaking authority to the commissioner of workers' compensation solely for the purpose of implementation and procedural clarity. It imposes no new regulatory mandates on individuals or businesses, and in fact may ease burdens by reducing the need for travel, scheduling conflicts, and time away from work or family.

In light of these factors—modernization without government expansion, improved accessibility without taxpayer burden, and minimal regulatory impact—HB 2488 clearly aligns with the principles of individual liberty, personal responsibility, and limited government. As such, Texas Policy Research recommends that lawmakers vote YES on HB 2488.

• Individual Liberty: The bill enhances individual liberty by giving workers and employers more flexibility in how they access the workers’ compensation system. By allowing contested case hearings to be conducted via videoconference—either upon mutual agreement or for good cause—the bill empowers participants to choose the hearing format that best suits their circumstances. This particularly benefits individuals in rural areas, those with limited mobility, or anyone facing logistical or financial barriers to attending in person. It removes unnecessary state-imposed hurdles without restricting existing rights or access to in-person proceedings.
• Personal Responsibility: The bill promotes personal responsibility by making it easier for individuals to actively participate in the resolution of their disputes. When the system is more accessible, parties are more likely to engage meaningfully, show up, and take ownership of their roles in the process. The bill allows claimants and employers to fulfill their legal responsibilities without the added burden of travel or excessive time commitments, helping them meet obligations in a more manageable way.
• Free Enterprise: While the bill primarily addresses a procedural aspect of administrative hearings, it indirectly supports free enterprise by reducing costs and disruptions for employers engaged in the workers’ compensation process. Employers will be better able to participate in hearings without pulling staff away from business operations for extended periods. This operational flexibility is particularly helpful for small businesses and independent contractors who may otherwise struggle to absorb the time and resource costs of attending in-person proceedings.
• Private Property Rights: The bill does not implicate or alter private property rights. It focuses solely on the procedures by which contested case hearings are conducted and does not affect the underlying rights, claims, or liabilities of any party with respect to property.
• Limited Government: The bill reinforces the principle of limited government. It does not expand the power or reach of the state; rather, it optimizes an existing process within the current administrative framework. The rulemaking authority granted is procedural and narrow in scope, and the bill imposes no mandates—remote hearings are entirely optional unless good cause is shown. This limited and judicious use of state authority exemplifies responsible governance within constitutional boundaries.