LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  April 17, 1997
         
         
      TO: Honorable Barry Telford, Chair            IN RE:  House Bill No. 978, Committee Report 1st House, Substituted
          Committee on Pensions and Investments                              By: Hupp
          House
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB978 ( relating 
to the eligibility of certain higher education employees to 
participate in group programs under the Texas Employees Uniform 
Group Insurance Benefits Act) this office has detemined the 
following:
         
         Biennial Net Impact to General Revenue Funds by HB978-Committee Report 1st House, Substituted
         
No fiscal implication to the State is anticipated.
         

         
 
          
The bill would amend the Uniform Group Insurance Benefits Act 
to specify that public community/junior college employees who 
are employed outside of Texas are not eligible to participate 
in the Uniform Group Insurance Program.  Approximately 250 employees 
are currently employed outside of Texas by Central Texas College. 
 These positions are funded with federal contracts.  The average 
contribution for health insurance coverage is $2,740 per year 
per employee.  Based on these figures, the school would save 
$685,000 in local funds a year under this bill.
          
   Source:            Agencies:   327   Employees Retirement System
                                         
                      LBB Staff:   JK ,PE ,SC