LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
February 17, 1997
TO: Honorable Paul Sadler, Chair IN RE: Senate Bill No. 297,
Committee on Public Education By: Ratliff
House
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB297 ( relating
to the technology allotment under the foundation school program)
this office has detemined the following:
Biennial Net Impact to General Revenue Funds by SB297-
Implementing the provisions of the bill would result in a net
positive impact of $164,100,000 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
This bill would change the statutory authorization for increases
in the technology allotment. It would repeal Texas Education
Code 31.021(c), and create an authorization to establish, through
appropriation, an allotment higher than $30 per student.
This
legislation would take effect immediately if it receives two-thirds
majority vote in both Houses, and affect the 1996-97 school
year. If it does not receive the required vote to be effective
immediately, it would affect the 1997-98 school year.
Methodolgy
Current law authorizes an increase in the technology allotment
under certain circumstances. Section 31.021 (c), provides for
a transfer from the Available School Fund to the Textbook Fund
when funds available for per capita distribution exceed the
amount available for the 1995-96 school year. This transfer
increases the amount available for appropriation for the purposes
of the technology allotment established by Section 31.021 (b).
It is estimated that this provision would authorize a transfer
of $97.3 million for the 1996-97 school year, however, these
funds are not appropriated.
For subsequent years, the calculation
of the amount of possible impact depends on the amounts appropriated
for textbooks in each fiscal year. Based on the 1998-99 Biennial
Revenue Estimate of the Comptroller of Public Accounts, there
would be no increase in funds available for the technology allotment
in 1997-98, because the entire appropriation for textbooks is
appropriated in the first year of the biennium.
The amounts
available for appropriation for the technology allotment for
1998-99 would increase by approximately $66.8 million, based
on the current revenue estimate of $1,116,784,000 available
for per capita distribution. Subsequent years are assumed to
follow the same pattern. There are no revenue forecasts for
the last three years of the five year time period of this fiscal
note. For fiscal note purposes, revenues are assumed to remain
constant at the 1998-99 level, and that textbook spending fluctuates
as expected for the next biennium.
This fiscal note assumes
immediate effect of the bill.
The probable fiscal implications of implementing the provisions
of the bill during each of the first five years following passage
is estimated as follows:
Six Year Impact:
Fiscal Year Probable
Savings/(Cost)
from Available
School Fund
0002
1997 $97,300,000
1997
1999 66,800,000
2000
2001 66,800,000
2002
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
1997 $97,300,000
1998 0
1999 66,800,000
2000 0
2001 66,800,000
2002 0
Similar annual fiscal implications would continue as long as
the provisions of the bill are in effect.
This bill may result in fiscal implication to units of local
government.
To the extent that the technology allotment changes
as a result of this bill, districts may incur reductions or
increases in revenues.
Source: Agencies: 701 Texas Education Agency - Administration
LBB Staff: JK ,DH ,DD