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