LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
March 26, 1997
TO: Honorable Paul Sadler, Chair IN RE: House Bill No. 2051
Committee on Public Education By: Garcia
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB2051 ( Relating
to the use of state-administered assessment instruments for
public school students of limited English proficiency.) this
office has detemined the following:
Biennial Net Impact to General Revenue Funds by HB2051-As Introduced
Implementing the provisions of the bill would result in a net
positive impact of $1,369,996 to General Revenue Related Funds
through the biennium ending August 31, 1999.
Fiscal Analysis
The bill would require the development and implementation of
a reading proficiency test for evaluating the progress of limited
English proficiency (LEP) students who are instructed in English
because of a shortage of teachers with teaching certificates
appropriate for bilingual education instruction.
Methodolgy
It is estimated that development of an reading proficiency test
would increase testing contracts by $1.5 million annually.
Administrative
costs at the Texas Education Agency are estimated at approximately
$212,494 annually for four (4) additional FTEs required to
develop and maintain the reading proficiency program. Total
costs for these FTEs, include salaries, benefits (calculated
at 25.52% of base salary), travel and operating expenses.
Both
testing and administrative costs would be funded through a set-aside
of Foundation School Program payments to districts.
Based
on statutory funding for the costs of preparing and administering
state student assessment instruments through the set-aside out
of the Compensatory Education Allotment (Section 39.031, Education
Code) the costs associated with a reading proficiency test
would have no impact on total state costs. The reduction in
Foundation Payments to districts would decrease Guaranteed Yield
payments to districts by about 40% of the decrease in the Foundation
School Program at an estimated savings to the state of $684,998
annually.
The probable fiscal implications of implementing the provisions
of the bill during each of the first five years following passage
is estimated as follows:
Five Year Impact:
Fiscal Year Probable Change in Number
Savings/(Cost) of State
from Foundation Employees from
School Fund FY 1997
0193
1998 $684,998 4.0
1998 684,998 4.0
2000 684,998 4.0
2001 684,998 4.0
2002 684,998 4.0
Net Impact on General Revenue Related Funds:
The probable fiscal implication to General Revenue related funds
during each of the first five years is estimated as follows:
Fiscal Year Probable Net Postive/(Negative)
General Revenue Related Funds
Funds
1998 $684,998
1999 684,998
2000 684,998
2001 684,998
2002 684,998
Similar annual fiscal implications would continue as long as
the provisions of the bill are in effect.
No significant fiscal implication to units of local government
is anticipated.
Local school districts would realize a
reduction in Compensatory Education payments from the state.
The amount of the reduction will vary on a district basis depending
on local district wealth and the size of the districts' allotment
for Compensatory Education.
Source: Agencies: 701 Texas Education Agency - Administration
LBB Staff: JK ,DH ,TH