This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0392 - AG's Welfare Fraud Hotline to Accept Complaints of Suspected Fraud & Abuse in Health Insurance & Health Care Deli

L.R. NO.  1560-01
BILL NO.  SB 392
SUBJECT:  Attorney General Fraud Hotline
TYPE:     Original
DATE:     February 21, 1997


                              FISCAL SUMMARY

                    ESTIMATED NET EFFECT ON STATE FUNDS

FUND AFFECTED              FY 1998             FY 1999           FY 2000
None

Total Estimated
Net Effect on All
State Funds                     $0                  $0                $0


                   ESTIMATED NET EFFECT ON FEDERAL FUNDS

FUND AFFECTED              FY 1998             FY 1999           FY 2000
None

Total Estimated
Net Effect on All
Federal Funds                   $0                  $0                $0


                    ESTIMATED NET EFFECT ON LOCAL FUNDS

FUND AFFECTED              FY 1998             FY 1999           FY 2000
Local Government                $0                  $0                $0


                              FISCAL ANALYSIS

ASSUMPTION

Officials from the Office of the Attorney General, the Office of State Courts
Administrator, the Department of Insurance, the Department of Mental Health,
the Department of Health, and the Department of Social Services -- Division
of Budget and Finance and the Division of Legal Services assume the proposed
legislation would have no fiscal impact on their agencies.

Officials from the Department of Social Services -- Division of Medical
Services (DOS- DMS) assume the proposal could result in an increase in the
number of non-fraud referrals made to their office by the Office of the
Attorney General.  Therefore, DOS- DMS assumes the possibility exists that
additional staff could be needed to complete the follow-up on non-fraud case
referrals.

Based on the response from the Office of the Attorney General, Oversight
assumes there would be little to no fiscal impact on DOS-DMS.


FISCAL IMPACT - State Government     FY 1998   FY 1999   FY 2000
                                    (10 Mo.)

                                          $0        $0        $0


FISCAL IMPACT - Local Government     FY 1998   FY 1999   FY 2000
                                    (10 Mo.)

                                          $0        $0        $0


FISCAL IMPACT - Small Business

No direct fiscal impact to small businesses would be expected as a result of
this proposal.


DESCRIPTION

The Attorney General currently maintains a toll-free number which can be used
to report welfare fraud.  The proposal would allow the reporting of fraud and
abuse in health insurance and  health care delivery using the same number.

This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental
space.


SOURCES OF INFORMATION

Office of the Attorney General
Office of State Courts Administrator
Department of Insurance
Department of Mental Health
Department of Health
Department of Social Services -- Division of Budget and Finance; Division of
    Legal Services; Division of Medical Services