According to the Legislative Budget Board (LBB), the fiscal implications of HB 4464 are expected to be minimal. The bill will not result in a significant fiscal impact on the state. Although the legislation modifies eligibility for workers’ compensation insurance by removing coverage for nongovernmental members of Texas Task Force 1, the Intrastate Fire Mutual Aid System, and Regional Incident Management Teams, the financial effects of this exclusion are assumed to be negligible.
The bill may result in some cost savings for the state by narrowing the pool of individuals eligible for workers' compensation coverage. However, these savings are projected to be insignificant, suggesting that the number of nongovernmental personnel previously covered was relatively small or that associated claims costs were low. Furthermore, the legislation does not introduce new benefits or expand existing coverage in ways that would increase state expenditures.
For local governments, the impact is similarly minor. The legislation clarifies that only employees of political subdivisions are eligible for coverage when activated for emergency response duties, aligning liability strictly with the employing governmental entity. This clarification does not impose new costs or administrative burdens on local governments and is not anticipated to result in material fiscal consequences.
In summary, HB 4464 is designed to create clearer boundaries around government liability for emergency responders without creating substantial financial shifts. Both state and local entities are expected to absorb the bill’s changes with no significant budgetary impact.
HB 4464 aims to clarify and limit workers’ compensation insurance coverage for certain emergency response team members in Texas. Specifically, it defines that only government-employed members of Texas Task Force 1, the Intrastate Fire Mutual Aid System (IFMAS), and Regional Incident Management Teams (RIMT) are eligible for such coverage when activated for state service. This clarification ensures that these individuals are considered within the scope of their regular employment during deployments, thereby aligning with existing labor code definitions.
The bill also repeals outdated provisions that previously extended workers' compensation benefits to certain nongovernmental responders. By doing so, it delineates the boundaries of state liability, ensuring that only public employees are covered under state-sponsored workers' compensation insurance. This move is consistent with principles of limited government and fiscal responsibility, as it prevents the extension of state benefits to individuals outside the public employment sphere.
According to the Legislative Budget Board's fiscal note, HB 4464 is not anticipated to have a significant fiscal impact on the state or local governments. Any potential savings from the exclusion of nongovernmental personnel from coverage are considered negligible. This assessment suggests that the bill's financial implications are minimal, reinforcing its alignment with prudent fiscal management.
In summary, HB 4464 provides necessary clarification regarding workers' compensation coverage for emergency response team members, ensuring that only government-employed individuals are eligible. This aligns with principles of limited government and fiscal responsibility, and the bill is not expected to have significant fiscal implications. Therefore, Texas Policy Research recommends that lawmakers vote YES on HB 4464.