LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              March 29, 1999
  
  
          TO:  Honorable Teel Bivins, Chair, Senate Committee on
               Education
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB691  by Lucio (Relating to the financing and
               administration of a program for public library
               development), As Introduced
  
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*  No significant fiscal implication to the State is anticipated.        *
*                                                                        *
*  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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The bill would create (1) the Texas Public Library Endowment Fund as a
new trust fund outside the state treasury; and (2) the Texas Public
Library Fund, a new special fund in the state treasury outside the
general revenue fund.

Balances in these two new funds would not be significant over the next
five year period.  As a result, the State Library would not incur
significant additional costs associated with administering and monitoring
the Endowment fund or administering the Public Library Grant program.
According to the State Library, even assuming a $1 million balance in the
Texas Public Library Fund, the number of grants awarded at this level of
funding would not necessitate additional staff or other expenditures.

As the balances of the funds grow over time, the State Library could
incur more significant costs associated with administering/monitoring
the endowment and administering the grant program.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated within the next five years.  However, over time it is
expected that local governments would benefit  from the increased
availability of grant funding for library projects.
  
  
Source Agencies:   
LBB Staff:         JK, CT, JH