LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          April 18, 1995



 TO:     Honorable Irma Rangel, Chair           IN RE:  House Bill No. 2507
         Committee on Higher Education                  By: Swinford
         House of Representatives
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on House Bill No.
2507 (Relating to the transfer of the Amarillo campus of the
Texas State Technical College System to Amarillo College) 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 authorize the board of regents of the Texas State
Technical College System (TSTC) to enter into an agreement with
the board of trustees of Amarillo College by September 1, 1997 to
transfer the governance, operation, management, and control of
Texas State Technical College - Amarillo to Amarillo College. 
The bill would require TSTC to contract for the removal,
disposal, and abatement of hazardous wastes at the Amarillo
campus and would authorize the transfer of real property to
Amarillo College upon the completion of the removal of the
hazardous wastes.  The bill would require that bonds issued by
TSTC for constructing, improving, renovating, enlarging, or
equipping infrastructure at TSTC - Amarillo would remain the
obligation of TSTC.

Because physical plant funding is generally not appropriated to
community colleges, there is a potential savings to the State
from the physical plant funding for the TSTC-Amarillo facility
that would be transferred to the Amarillo Community College
District.  Assuming continuation of the policy of the State not
providing funding for community/junior college physical plant,    




the savings to the State and resulting costs to the community 
college district are shown below.

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 Savings    Probable Cost Out 
          Year       to  General         of  Amarillo   
                  Revenue Fund 001    Community College 
                                        District Local  
                                            Funds       
                                                        
          1996                    $0                  $0
          1997                     0                   0
                                                        
          1998               960,000             960,000
                                                        
          1999               960,000             960,000
          2000               960,000             960,000
                                                        
                                                        
                                                        
       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