LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          March 22, 1995



 TO:     Honorable Ken Armbrister, Chair        IN RE:  Senate BillNo. 366,
         Committee on State Affairs                            as amended
         Senate                                         By: Armbrister
         Austin, Texas







FROM: John Keel, Director

In response to your request for a Fiscal Note on       Senate
Bill No. 366 (relating to the continuation and functions of the
Texas State Library and Archives Commission, including the
commission's involvement with the management of governmental
records) this office has determined the following:

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

The Texas State Library and Archives Commission is subject to the
provisions of the Texas Sunset Act, and unless continued in
existence by the Legislature, will be abolished effective
September 1, 1995.

The bill would continue the Texas State Library and Archives
Commission and make several changes to its enabling statute. 
Some of the more significant changes include:  establishing a
cost recovery procedure for the storage of records at the State
Records Center; requiring TSL to develop an index of state agency
electronic publications and provide access to those publications
available in an electronic format; reducing the size and
modifying the composition and duties of the Local Government
Records Committee; authorizing TSL to create a state-funded grant
program to meet the information needs of Texans and local
libraries that cannot be adequately addressed by other programs;
and requiring the Council on Competitive Government to review
TSL's commercially available microfilming, records storage and
records destruction services to determine if the services should    




be competitively procured.
 
The amount set forth for the administration of this agency in the
General Appropriation Bill, as introduced, (FY96 = $18,387,076  
; FY97 = $18,438,148) would be contingent upon passage of House
Bill No. 1122 or similar legislation.  The appropriations would
be financed from the General Revenue Fund 001, the Federal Public
Library Service Fund No. 118, appropriated receipts and
interagency contracts and would provide for approximately 206
employees.

This bill contains several provisions that could have a fiscal
implication to the state associated with their implementation.

The bill authorizes TSL to create a state-funded grant program
that targets local library needs. Because the bill authorizes but
does not require the establishment of a grant program, and it
does not provide additional funding of this program, no
additional fiscal implications are anticipated.

The bill requires the Council on Competitive Government to review
TSL's commercially available microfilming and records storage
services to determine if the services should be competitively
procured.  Savings could result from the Council's review if any
of these services are contracted out to the private sector,
however the amount of these savings cannot be estimated.

The bill also requires TSL to establish a cost recovery procedure
for the storage of records at the State Records Center.  This
change will require the transfer of an estimated $37,000 from
dedicated funds and dedicated accounts in the General Revenue
Fund to the unrestricted portion of the Fund.  This provision
would have no additional fiscal implication to the state.

Another provision in the bill with a potential fiscal impact
relates to developing an index of all state publications
available in an electronic format and making the index available
in an electronic format.  TSL is also required to provide on-line
access to state publications that can be accessed on-line. 
Because TSL can establish on-line access with the assistance of
other state agencies that have existing electronic networks, any
cost of implementing this provision is expected to be
insignificant.

The bill reduces the size and modifies the duties of the Local
Government Records Committee.  This provision would result in a
savings to the state, however the exact amount is not expected to
be significant.

The bill would authorize local governments to adopt record
retention schedules developed by TSL, rather than developing
their own schedules.  This provision could result in a savings to
local governments who choose to use TSL's retention schedule
rather than developing their own, but any savings cannot be    




determined.
 

No significant fiscal implication to the State or units of local
government is anticipated.


Source:   Sunset Advisory Commission, Office of the Governor,
Library and Archives Commission
          LBB Staff: JK, CG, DF