LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 76th Regular Session
March 31, 1999
TO: Honorable Irma Rangel, Chair, House Committee on Higher
Education
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB2803 by George (Relating to a state initiative
encouraging the development of research in biotechnology
and biogenetics), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB2803, As Introduced: negative impact of $(20,328,000) 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. *
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General Revenue-Related Funds, Five-Year Impact:
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* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2000 $(20,212,000) *
* 2001 (116,000) *
* 2002 (20,196,000) *
* 2003 (116,000) *
* 2004 (20,196,000) *
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All Funds, Five-Year Impact:
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*Fiscal Probable Revenue Gain/(Loss) Change in Number of State *
* Year from General Revenue Fund Employees from FY 1999 *
* 0001 *
* 2000 $(20,212,000) 2.0 *
* 2001 (116,000) 2.0 *
* 2002 (20,196,000) 2.0 *
* 2003 (116,000) 2.0 *
* 2004 (20,196,000) 2.0 *
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Technology Impact
None
Fiscal Analysis
The bill establishes an initiative (Initiative) administered by the
Coordinating Board (Board) to support biotechnology and biogenetic
research at public medical and dental institutions. The Initiative
would be funded by appropriations and by gifts, grants and donations.
Awards of funds available through the Initiative would be made by
competitive, peer review of a nine-member advisory committee.
Methodology
The Board has assumed that the Initiative would be administered in the
same manner as the Advanced Research and Technology Programs and funded
by general revenue. Biennial appropriations would be funded in the first
year with unexpended balance authority in the second year.
The Board has estimated that $20 million would be appropriated to meet
the demand of previous funding requests and awards for this type of
research. The Board estimates this funding would support approximately
55 research projects each year at $180,000 per award.
The Board also estimates administrative costs of $212,000 in 2000 and
$116,000 in 2001. In subsequent years, the costs are estimated to be
$196,000 and $116,000. The totals include two additional full-time
staff and the cost of hiring project reviewers in even-numbered years.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies:
LBB Staff: JK, CT, LD, CF