LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
March 19, 1997
TO: Honorable Carlos F. Truan, Chair IN RE: Senate Bill No. 814
Committee on International Relations, Trade & Technology By: Truan
Senate
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB814 ( Relating
to the establishment of a video teleconferencing pilot program
to assist certain businesses in establishing international trade
relationships.) this office has detemined the following:
Biennial Net Impact to General Revenue Funds by SB814-As Introduced
Implementing the provisions of the bill would result in a net
negative impact of $(143,500) 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 require the Texas Department of Commerce, in
conjunction with the General Services Commission and small development
centers affiliated with institutions of higher education to
develop a video teleconferencing pilot program. The pilot would
be designed to ensure small businesses with limited resources
could explore international trade possibilities without incurring
the expense of traveling abroad. The department would be required
to charge a fee for this service which may not be more than
the amount necessary to cover the cost of administering and
implementing the pilot program.
This bill would require
the department to establish the pilot program in three counties
with a population of 590,000 or more with at least one along
the border. The bill would required the pilot program be established
by January 1, 1998 and that a report on the effectiveness of
the pilot program be provided to the governor and legislature
on January 15, 1999 and 2001. The pilot program would expire
September 1, 2001.
This bill would take effect September
1, 1997.
Methodolgy
The cost of the pilot program is based on subcontracting the
majority of the work out and administering the contract. The
pilot program would cost include the cost of marketing the program
in domestically and abroad, establishing and staffing three
Texas teleconferencing sites and two international teleconferencing
sites, the cost of technical teleconferencing services and
the cost of an evaluation of the program.
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 Probable Revenue
Savings/(Cost) Gain/(Loss) from
from General General Revenue
Revenue Fund Fund
0001 0001
1998 ($100,000) $15,750
1998 (75,000) 15,750
2000
2001
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
1998 ($84,250)
1999 (59,250)
2000 0
2001 0
2002 0
Similar annual fiscal implications would continue as long as
the provisions of the bill are in effect.
No fiscal implication to units of local government is anticipated.
Source: Agencies: 303 General Services Commission
465 Department of Commerce
LBB Staff: JK ,TH ,CG