LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
March 20, 2001
TO: Honorable Irma Rangel, Chair, House Committee on Higher
Education
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB2344 by Oliveira (Relating to the number of entering
freshmen that may enroll at The University of Texas at
Brownsville.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB2344, As Introduced: positive impact of $0 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. *
* *
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General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $0 *
* 2003 0 *
* 2004 (700,477) *
* 2005 (700,477) *
* 2006 (700,477) *
****************************************************
All Funds, Five-Year Impact:
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*Fiscal Probable Savings/(Cost) from Probable Revenue Gain/(Loss) *
* Year General Revenue Fund from Estimated Other *
* 0001 Educational and General Income *
* Account/ GR-Dedicated *
* 0770 *
* 2002 $0 $121,002 *
* 2003 0 361,103 *
* 2004 (700,477) 601,198 *
* 2005 (700,477) 841,293 *
* 2006 (700,477) 841,293 *
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Technology Impact
N/A
Fiscal Analysis
The bill eliminates the current provision limiting enrollment at The
University of Texas at Brownsville to 900 lower division students. There
would be a revenue gain to the state as a result of increased tuition
paid by the additional students enrolled at The University of Texas at
Brownsville. However, there would also be a cost to the state beginning
in fiscal year 2004, because of increased enrollment that would paid
from increased general revenue appropriations.
Methodology
The Texas Higher Education Coordinating Board (THECB) estimates
approximately one percent of the current enrollment at Texas Southmost
College students would transfer to The University of Texas at
Brownsville. In addition, 230 students would attend The University of
Texas at Brownsville, who would have not otherwise attended.
There would be no additional General Revenue Cost for the 2002-03
biennium because formula funding is based on current enrollment.
Beginning in fiscal year 2004, annual costs include $25,427 (those costs
resulting from the student at Southmost transferring to The University of
Texas at Brownsville) plus annual costs of $675,050 for 230 new
students, previously not attending college or university who now enter
The University of Texas at Brownsville.
The University of Texas System estimates that the additional tuition
revenue for The University of Texas at Brownsville would be $482,105 for
the 2002-03 biennium
Local Government Impact
It is estimated that the local taxing district would realize
approximately $66,176 in savings beginning in fiscal year 2004.
Source Agencies: 720 The University of Texas System, 781 Texas
Higher Education Coordinating Board
LBB Staff: JK, CT, DB, DC