LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  April 2, 1997
         
         
      TO: Honorable David Sibley, Chair            IN RE:  Senate Bill No. 70, Committee Report 1st House, Substituted
          Committee on Economic Development                              By: Haywood
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on SB70 ( Relating 
to the eligibility of substitute teachers for unemployment compensation 
benefits.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by SB70-Committee Report 1st House, Substituted
         
No fiscal implication to the State is anticipated.
         

         
 
          
The fiscal implication to units of local government are as follows:

The 
bill modifies the Labor Code to exclude substitute teachers 
from eligibility to receive unemployment benefits if they are 
notified in writing that the position is temporary.   With this 
change, local school districts should see a decrease in their 
potential unemployment benefits liabilities.  

A sample of 
large school districts (over 60,000 students)  indicates that 
this change would save each district approximately $20,000 to 
$25,000 annually.  Similar benefits would accrue to any school 
district that makes use of substitute teachers.

The effect 
of this legislation depends upon the passage of related federal 
legislation.  Without federal legislation, this bill has no 
impact to units of local government.
          
   Source:            Agencies:   
                                         
                      LBB Staff:   JK ,TH