According to the Legislative Budget Board (LBB), SB 801 is expected to have no significant fiscal impact on the state. It is anticipated that any administrative or implementation costs associated with the bill can be absorbed by state agencies using existing resources. This includes the cost of developing verification processes for homeless status and adopting rules through the Health and Human Services Commission as required under the bill.
However, the fiscal implications for local governments are more uncertain. Local entities, particularly county clerks and local registrars who issue birth records, may experience a negative fiscal impact due to the mandated waiver of fees for homeless individuals. Since these entities often rely on such fees as a source of revenue to offset operational costs, the removal of these fees may result in unreimbursed expenditures. The Legislative Budget Board notes that the exact local fiscal impact cannot be determined at this time, as it would depend on the volume of requests and local implementation practices.
In summary, while the bill appears fiscally neutral at the state level, it may impose modest but indeterminate costs on local government offices responsible for vital records issuance.
SB 801 proposes that a certified copy of a birth certificate be provided free of charge to individuals who are verified as homeless. It directs the Health and Human Services Commission (HHSC) to adopt rules to verify homeless status and outlines that individuals would not be required to provide a physical address. The bill aims to assist homeless individuals in accessing essential identification documents that are often necessary for employment, healthcare, housing, and social services.
While the bill is well-intentioned and addresses a real barrier for a vulnerable population, it represents an incremental expansion of government services by selectively waiving statutory fees based on personal circumstance. The policy introduces preferential treatment, setting a precedent for carving out exemptions for one group, which undermines the principle of equal application of laws and fees. Fee waivers based on class-based distinctions—even for noble purposes—erode the fairness and consistency of public administration. If the cost of a birth certificate is considered a barrier for some, the proper course may be to reevaluate the fee for all Texans, not just a subset.
Additionally, while the fiscal note indicates no significant cost to the state, local governments that administer these records may experience reduced revenue, and the bill authorizes additional rulemaking and verification infrastructure within HHSC. These factors, while modest, add administrative complexity and slightly broaden the regulatory role of the state. For those who believe government services should remain narrow, evenly applied, and fiscally neutral, this bill crosses a line, however small, that should be guarded carefully.
For these reasons, Texas Policy Research recommends that lawmakers vote NO on SB 801.