LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
February 2, 1997
TO: Honorable Bill Ratliff, Chair IN RE: Senate Bill No. 297
Committee on Finance By: Ratliff/et al.
Senate
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-As Introduced
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 allotment 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 six 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 0
1999 66,800,000
2000 0
2001 66,800,000
2002 0
Net Impact on General Revenue Related Funds:
The probable fiscal implication to General Revenue related funds during each
of the first six 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 ,RR ,DD ,DH