BILL ANALYSIS


                                                        S.B. 1418
                                                        By: Truan
                                                          Finance
                                                          4-28-95
                                       Committee Report (Amended)
BACKGROUND

During the 73rd Legislature, S.B. 1332 directed the Legislative
Budget Board to "examine methods to identify and quantify the
spending interrelationships between functional areas, agencies,
goals, objectives, and strategies."

In response to S.B. 1332, the board staff reviewed the concept of
spending interrelationships as it relates to Texas' efforts to
implement strategic planning and performance budgeting on a state
level, and after this review, the board concluded that investment
budgeting is the next logical step for Texas to take in the
evolutionary development of its Strategic Planning and Performance
Budgeting System.

PURPOSE

As proposed, S.B. 1418 requires the Governor's Office of Budget and
Planning and the Legislative Budget Board to develop, and recommend
to the legislature, state-level benchmarks with established short-term and long-term performance targets for use in certain matters.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 2056, Government Code, by adding Section
2056.012, to require the Governor's Office of Budget and Planning
and the Legislative Budget Board to develop, and recommend to the
legislature, stated-level benchmarks with established short-term
and long-term performance targets for use in the state strategic
planning process under Section 2056.009; and in analyzing
achievement for functional areas of state government.

SECTION 2. Emergency clause.
           Effective date:  90 days after adjournment.