LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session March 15, 1999 TO: Honorable Irma Rangel, Chair, House Committee on Higher Education FROM: John Keel, Director, Legislative Budget Board IN RE: HB2591 by Rangel (Relating to skills assessment and placement testing of undergraduate students entering public institutions of higher education), As Introduced ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * HB2591, As Introduced: positive impact of $4,836,762 through the * * biennium ending August 31, 2001. * * * * The bill would make no appropriation but could provide the legal * * basis for an appropriation of funds to implement the provisions of * * the bill. * ************************************************************************** General Revenue-Related Funds, Five-Year Impact: **************************************************** * Fiscal Year Probable Net Positive/(Negative) * * Impact to General Revenue Related * * Funds * * 2000 $2,418,381 * * 2001 2,418,381 * * 2002 2,418,381 * * 2003 2,418,381 * * 2004 2,418,381 * **************************************************** All Funds, Five-Year Impact: ***************************************************** * Fiscal Year Probable Savings/(Cost) from * * General Revenue Fund * * 0001 * * 2000 $2,418,381 * * 2001 2,418,381 * * 2002 2,418,381 * * 2003 2,418,381 * * 2004 2,418,381 * ***************************************************** Fiscal Analysis The bill would exempt four categories of students from taking the Texas Academic Skills Program (TASP) test: certificate-seeking students, students not seeking a degree or certificate, students over the age of 30, and students who are on active duty in the military. Methodology The Texas Higher Education Coordinating Board provide an estimate of state revenue savings for each category to be exempted by the law: Certificate students (5,433 individuals) = $226,350 Students not seeking a degree or certificate (13,095 individuals) = $554,850 30 and Older (25,000 individuals) = $1,147,656. Military students (10,500 individuals) = $489,525. Total potential savings = $2,418,381 Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: LBB Staff: JK, CT, DB