LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session February 23, 1999 TO: Honorable Chris Harris, Chair, Senate Committee on Administration FROM: John Keel, Director, Legislative Budget Board IN RE: SB494 by Harris (relating to the operations, powers, and duties of the State Preservation Board), As Introduced ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB494, As Introduced: negative impact of $(14,420,766) 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 $(6,789,411) * * 2001 (7,631,355) * * 2002 (8,202,929) * * 2003 (8,130,929) * * 2004 (8,130,929) * **************************************************** All Funds, Five-Year Impact: *********************************************************************** *Fiscal Probable Probable Probable Probable Change in * * Year Savings/ Revenue Revenue Savings/ Number of * * (Cost) from Gain/(Loss) Gain/(Loss) (Cost) from State * * General from New - from New - Capitol Employees * * Revenue GR GR Fund - from FY 1999 * * Fund Dedicated Dedicated Outside * * 0001 -Capitol -Capitol Treasury * * Renewal Renewal * * 2000 $2,657,454 $10,500 49.0 * * $(6,789,411) $(2,657,454) * * 2001 (7,631,355) 2,657,454 (2,657,454) 100,500 104.0 * * 2002 (8,202,929) 2,657,454 (2,657,454) 360,500 104.0 * * 2003 (8,130,929) 2,657,454 (2,657,454) 360,500 104.0 * * 2004 (8,130,929) 2,657,454 (2,657,454) 360,500 104.0 * *********************************************************************** ***************************************************** * Fiscal Year Probable Savings/(Cost) from * * Capitol Fund - Outside Treasury * * 2000 $(10,000) * * 2001 (100,000) * * 2002 (360,000) * * 2003 (360,000) * * 2004 (360,000) * ***************************************************** Technology Impact Operating the State History Museum would create substantial technological impact. Four technical FTEs would be needed at a cost of $215,000 for the biennium. Additional costs include exhibits using "high-tech" special effects, a technologically advanced ticketing system, and a point-of-sale system for the gift shop. Fiscal Analysis The bill would establish a new, General Revenue-dedicated account, the Capitol Renewal Fund, to be used by the State Preservation Board (the Board) to maintain and preserve the Capitol and the 1857 General Land Office building. The bill would also grant the Board authority to maintain and restore the historic Woodlawn property (Pease Mansion), extend its authority to operate the State History Museum and authorize it to provide tours of the Capitol and other buildings under its jurisdiction. The Board could earn revenue and spend funds from the Capitol Fund, a fund held outside the treasury and not subject to legislative appropriation. The fund would include revenues from various pay station telephones, fees derived from renting the Pease Mansion, expenditures for agency publications, and revenue from transportation services. Methodology All cost estimates assume that the Board initiates or continues all programs during fiscal year 2000. Annual costs to the Capitol Renewal Fund include equipment replacement in the Capitol and are estimated to be $2,657,454 from the General Revenue Fund. It is anticipated that annual revenue to the fund will consist of a transfer from the General Revenue Fund. The cost to open and operate the State History Museum was based on a business plan prepared for the museum by a consultant. Costs to General Revenue are estimated to be $386,482 and 15 FTEs and $4,128,426 and 63 FTEs in fiscal years 2000 and 2001, respectively. Restoration and maintenance costs for the Pease Mansion were estimated by consulting with preservationists; ongoing maintenance costs were based on schedules prepared by the agency's facilities personnel. The cost is estimated at $3,320,000 in fiscal year 2000 and $420,000 in fiscal year 2001. The cost for providing tours of the Capitol was based on the operating budget for the Capitol Information and Tour Guide Service, currently operated by the Senate, and estimated to be $423,475 and 30 FTEs annually. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies: LBB Staff: JK, BB, NS