SRC-CDH, HRD S.B. 515 75(R)    BILL ANALYSIS


Senate Research CenterS.B. 515
By: Moncrief
Finance
3-10-97
As Filed


DIGEST 

Currently, the North Texas Regional Library System, comprising 66 public
libraries in 20 northwest Texas counties, is an independent nonprofit
corporation which contracts with the Texas State Library and Archives
Commission (commission) to provide services in that region.  Prior to
1993, the Library Systems Act required regional library systems to
maintain cash reserves equal to 25 percent of their proposed annual
contract.  However, in 1993, the commission voted to replace this cash
reserve requirement with the present system which identifies and minimizes
risks to both state and federal funds, and establishes appropriate
indemnification.  This bill would require all funds in excess of five
percent of annual system operation grant general revenue funds unexpended
by a regional library system to be refunded to the commission.  
  
PURPOSE

As proposed, S.B. 515 requires all funds in excess of five percent of
annual system operation grant general revenue funds unexpended by a
regional library system to be refunded to the Texas State Library and
Archives Commission. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 441.131, Government Code, by adding Section (c),
as follows: 

(c)  Requires all funds in excess of five percent of annual system
operation grant general revenue funds unexpended by a regional library
system at the end of the second quarter following the fiscal year in which
they were granted to be refunded to the Texas State Library and Archives
Commission with the quarterly financial status report. 

SECTION 2. Effective date: September 1, 1997.

SECTION 3. Emergency clause.