LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  January 30, 1997
         
         
      TO: Honorable Kenneth Armbrister, Chair            IN RE:  Senate Bill No. 159
          Committee on State Affairs                              By: Haywood
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
         In response to your request for a Fiscal Note on SB159 ( Relating to
permitting county law enforcement authorities to receive reduced airline
fares while engaged in certain official duties.) this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by SB159-As Introduced
         
             Implementing the provisions of the bill would result in a net negative
impact of $(88,928) to General Revenue Related Funds through the biennium
ending August 31, 1999.
         
         The bill would make no appropriation but could provide the legal basis
for an appropriation of funds to implement the provisions of the bill.
         
 
Fiscal Analysis
 
The bill would allow a county sheriff or deputy sheriff who is transporting a
state prisoner under a felony warrant to participate in the General Services
Commission's contracts for travel services, enabling these officials and their
prisoners to receive discounted airline fares.
 
Methodolgy
 
Estimates are based on the General Services Commission's (GSC) determination
that extending travel contract eligibility to county sheriffs and deputy sheriffs
would significantly increase GSC's travel management workload.
The GSC  notes that use of the state's discounted airline fares by county sheriffs
and deputy sheriffs may lead to airline fare increases under the state's travel
contracts.  This is based on the assumption that higher demand for discounted
airfares would lead airlines to reduce the amount of the discount offered under
the state travel contracts in an attempt to recover lost revenue.
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 General       Employees from                                                             
            Revenue Fund       FY 1997                                                                    
            0001                                                                                           
       1998         ($50,964)               1.0                                                      
       1998          (37,964)               1.0                                                      
       2000          (37,964)               1.0                                                      
       2001          (37,964)               1.0                                                      
       2002          (37,964)               1.0                                                      
 
         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            ($50,964)
               1999             (37,964)
               2000             (37,964)
               2001             (37,964)
               2002             (37,964)
 
Similar annual fiscal implications would continue as long as the provisions of
the bill are in effect.
          
             The GSC notes that use of the state's discounted airline fares by
county sheriffs and deputy sheriffs would result in a potential savings of
$8,750 per county or $750,000 statewide.  Actual savings would vary depending
on each county's airline travel volume.  County administrative costs associated
with processing travel accounts could reduce these savings.
          
   Source:            Agencies:   303   General Services Commission
                                         
                      LBB Staff:   JK ,JD ,RN