LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 9, 2001
  
  
          TO:  Honorable Ron Wilson, Chair, House Committee on Licensing
               & Administrative Procedures
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB1706  by Farrar (Relating to the regulation of
               architecture, landscape architecture, and interior design
               by the Texas Board of Architectural Examiners.), As
               Introduced
  
**************************************************************************
*  Estimated Two-year Net Impact to General Revenue Related Funds for    *
*  HB1706, As Introduced:  negative impact of $(200,000) through the     *
*  biennium ending August 31, 2003.                                      *
*                                                                        *
*  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                *
          *       2002                           $(100,000)  *
          *       2003                            (100,000)  *
          *       2004                            (100,000)  *
          *       2005                            (100,000)  *
          *       2006                            (100,000)  *
          ****************************************************
  
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 General  Employees    *
*          Revenue     General     General     Revenue   from FY 2001  *
*            Fund      Revenue     Revenue    Dedicated                *
*            0001     Dedicated      Fund                              *
*                                    0001                              *
*  2002     $(57,500)    $100,000   $(42,500)  $(100,000)         1.5  *
*  2003      (57,500)     100,000    (42,500)   (100,000)         1.5  *
*  2004      (57,500)     100,000    (42,500)   (100,000)         1.5  *
*  2005      (57,500)     100,000    (42,500)   (100,000)         1.5  *
*  2006      (57,500)     100,000    (42,500)   (100,000)         1.5  *
***********************************************************************
  
Technology Impact
  
The estimated technology costs for the bill would be $11,885 for two
computers and related software at the Board of Architectural Examiners.
  
  
Fiscal Analysis
  
The bill would create a special Architect Scholarship Account within the
General Revenue fund. Ten dollars of each architect license renewal fee
would be deposited in the account.  Appropriations from the fund would be
restricted to the Board of Architectural Examiners for scholarships and
administrative costs.  Interest earned and unexpended balances would
remain in the account.  The bill would allow the Board of Architectural
Examiners to contract with the Texas Higher Education Coordinating Board
or a private entity to administer the scholarship program.

The bill would also authorize the Board of Architectural Examiners to
prescribe fees for an inactive status for architects, interior designers,
and landscape architects.

The bill would take effect September 1, 2001.
  
  
Methodology
  
The agency estimates the scholarship fee would generate revenue of
approximately $100,000 per year and that administrative costs from the
account would be at least 15% of total amount collected each year.
Additionally, the Board of Architectural Examiners estimates a need for
1.5 FTEs to monitor, maintain, and provide accounting and registration
services for the program at an estimated cost of $57,500 per year.

It is assumed the agency would offset any revenue gains and costs
associated with the implementation of the bill by adjusting its fees.
  
  
Local Government Impact
  
No fiscal implication to units of local government is anticipated.
  
  
Source Agencies:   459   Texas Board of Architectural Examiners, 781
                   Texas Higher Education Coordinating Board, 452
                   Texas Department of Licensing and Regulation, 304
                   Comptroller of Public Accounts
LBB Staff:         JK, JO, RT