LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                          April 12, 1995



 TO:     Honorable Ken Armbrister, Chair        IN RE:  Senate BillNo. 368,
         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.
368 (Relating to the continuation and functions of the Equine
Research Account Advisory Committee.) 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 Equine Research Account Advisory Committee is subject to the
provisions of the Texas Sunset Act, and unless continued by the
74th Legislature, the Advisory Committee and the statute
establishing the equine research efforts will be abolished
September 1, 1995. 

The bill would continue the Advisory Committee and make several
changes to the enabling statute.  Some of the more significant
changes include prohibiting members of the Equine Research
Account Advisory Committee from participating in the proposal
review process if they have also submitted a research proposal
and adding the Executive Secretary of the Texas
Racing Commission to the Advisory Committee.

Currently, the statute does not authorize the account to be used
for administrative program costs.  Instead, the Texas
Agricultural Experiment Station (TAES) absorbs the costs within
its budget.  S. B. 368 would make 10 percent of the Equine
Research funds available to TAES for administrative costs. 
Equine Research Account Revenue totaled $149,903 for fiscal years    




 1992 through 1994, or about $50,000 per year.  The Advisory
Committee delayed disbursing any of the grant money until FY
1994.  In FY 1994 it disbursed $92,198.  In FY 1994, this 10
percent provision would have allowed the Advisory Committee to
reimburse TAES up to $9,198 for administrative costs.

The amount set forth for funding the Equine Research Account in
the General Appropriation Act, as introduced, (FY96 = $50,216 and
FY97 = $56,772) is included in the Texas Racing Commission's
appropriation and would be contingent upon passage of S.B. 368 or
similar legislation.  The appropriations would be financed from
the General Revenue Fund.  The bill
does not prevent funds in the Account from being consolidated
according to the Funds Consolidation Act.

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





Source:   Comptroller of Public Accounts, Texas Agricultural
Experiment Station
          LBB Staff: JK, LA, DF