LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  March 4, 1997
         
         
      TO: Honorable Teel Bivins, Chair            IN RE:  Senate Bill No. 537
          Committee on Education                              By: Ogden
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on SB537 ( Relating 
to contracts with and compensation of administrators of public 
institutions of higher education.) this office has detemined 
the following:
         
         Biennial Net Impact to General Revenue Funds by SB537-As Introduced
         
No significant fiscal implication to the State is anticipated.
         

         
 
Similar annual fiscal implications would continue as long as 
the provisions of the bill are in effect.

The bill would 
provide restrictions on contracts between governing boards of 
institutions of higher education and administrators of those 
institutions.  The bill would limit settlements for contracts 
that have been terminated and potentially result in savings 
to such institutions.  However, any fiscal impact would be realized 
by institutions of higher education and would not have an impact 
to the state based on the current method of funding institutions 
of higher education.
          
No significant fiscal implication to units of local government 
is anticipated.  Any settlement and resulting fiscal impact 
would be realized by a community college district and would 
not have an impact to the state based on the current method 
of funding community colleges.
          
   Source:            Agencies:   781   Higher Education Coordinating Board
                                         
                      LBB Staff:   JK ,LP ,LD