LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          March 20, 1995



 TO:     Honorable Irma Rangel, Chair           IN RE:  House Bill No. 2066
         Committee on Higher Education                  By: Harris, Jack
         House of Representatives
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on House Bill No.
2066 (Relating to enrollment in courses and programs at the
University of Houston-Clear Lake and the University of Houston-
Victoria) this office has determined the following:

The bill would make no appropriation but could provide the legal
basis for an appropriation of funds to implement the provisions
of the bill.

The bill would allow the University of Houston - Clear Lake and
the University of Houston - Victoria to enroll students who have
completed 30 hours of course work at another institution to
enroll if they are concurrently enrolled at another public or
private institution of higher education.

It is assumed that 150 full time equivalent students would take
courses at UH-Clear Lake and UH-Victoria instead of a community
college under the provisions of the bill.  The cost to the state
of funding a full time equivalent student at a general academic
teaching institution is about $2,400 more than the cost to the
state of funding a full time equivalent student at a community
college.  These increased costs would be realized beginning with
the next formula funding cycle in fiscal year 1998.  In addition,
there would be a cost savings to the community college districts
of approximated $1,300 per full time equivalent student beginning
in fiscal year 1996.

The probable fiscal implication of implementing the provisions of
the bill during each of the first  five years following passage    




is estimated as follows:
 


          Fiscal  Probable Cost out    Probable Savings 
          Year     of the General     to Local Community
                  Revenue Fund No.    College Districts 
                         001                            
                                                        
          1996                    $0            $195,000
          1997                     0             195,000
                                                        
          1998               360,000             195,000
                                                        
          1999               360,000             195,000
          2000               360,000             195,000
                                                        
                                                        
                                                        




Similar annual fiscal implications would continue as long as the
provisions of the bill are in effect.


Source:   Higher Education Coordinating Board
          LBB Staff: JK, LS, WRR