MINUTES 
          
                           SENATE COMMITTEE ON FINANCE 
                  Interim Subcommittee on Article III Agencies 
                             Tuesday, March 24, 1998 
                                    2:00 p.m. 
                         Capitol Extension, Room E1.036 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Senate Interim Finance  
         Subcommittee on Article III Agencies was held on Tuesday,  
         March 24, 1998 in the Capitol Extension, Room E1.036, at  
         Austin, Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Mike Moncrief, Chair            None 
         Senator J.E. Brown 
         Senator Judith Zaffirini 
                                                  
                                      ***** 
          
         Chairman Moncrief called the meeting to order at 2:00 pm.  The  
         following business was transacted.   
         The following members arrived after the roll was called:   
         None. 
          
         The Chair called on Pat Keith, Carol Noble and Bronte Jones of  
         the State Auditor's Office to provide testimony on issues  
         relating to  recent audits conducted at Lamar  
         University-Beaumont and Sul Ross State University. 
          
         The Chair called on witnesses to respond to issues raised by  
         the Lamar University-Beaumont and Sul Ross State University  
         audit reports.  Witnesses appeared as follows: 
          
              Lamar Urbanovsky, representing the Texas State University  
              System, responded to issues raised by the Lamar  
              University - Beaumont audit report. 
          
              Craig H. Vittitoe, representing the Texas State  
              University System, responded to issues raised by the  
              Lamar University - Beaumont audit report. 
          
              R. Vic Morgan, representing Sul Ross State University,  
              responded to issues raised by the Sul Ross State  
              University audit report. 
          
         Committee members and representatives from the Texas State  
         University System and Sul Ross State University agreed that  
  
         both universities would submit, at a minimum, quarterly  
         progress reports on efforts to address audit issues to the  
         State Auditor's Office.  Committee members also requested that  
         the Texas State University System and Lamar  
         University-Beaumont submit a specific plan and timetable for  
         addressing audit issues by May 31, 1998. 
          
         There being no further business, at 3:15 p.m., Senator  
         Moncrief announced that the Committee would stand recessed  
         until 9:00 a.m., March 25, 1998.  Without objection, it was so  
         ordered.   
          
         _________________________ 
         Senator Mike Moncrief, Chair 
          
         _________________________ 
         Patricia Hicks, Clerk