LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session March 25, 1997 TO: Honorable Irma Rangel, Chair IN RE: House Bill No. 1384 Committee on Higher Education By: Telford House Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on HB1384 ( Relating to the tuition charged to certain nonresident students registered at certain upper-level public institutions of higher education.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by HB1384-As Introduced FN Revision 1 No significant fiscal implication to the State is anticipated. 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 allow residents of bordering states to enroll in public upper level institutions in adjacent Texas counties and pay the Texas resident tuition rate. Texas A&M - Texarkana is the only institution that would meet this requirement. Fiscal Analysis Eligible students currently enrolled at TAMU-Texarkana who do not already qualify for existing nonresident tuition waivers would no longer be required to pay the out-of-state tuition rate of $246 per semester credit hour but would pay only the resident tuition rate of $34. Methodology It is assumed that additional students from Arkansas would take courses at TAMU-Texarkana if this exemption were available. This estimate assumes that an additional 34 students would enroll in 1998. The formula funding average rate per hour is $145. The estimated cost to general revenue for these additional students is $118,500 in 1998. Similar annual fiscal implications would continue as long as the provisions of the bill are in effect. No fiscal implication to units of local government is anticipated. Source: Agencies: 781 Higher Education Coordinating Board LBB Staff: JK ,LP ,LD