LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 10, 2001
TO: Honorable Paul Sadler, Chair, House Committee on Public
Education
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB2565 by Dunnam (Relating to the funding under the
foundation school program of certain special
instructional arrangements for students with
disabilities.), As Introduced
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* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB2565, As Introduced: negative impact of $(17,400,000) 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. *
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General Revenue-Related Funds, Five-Year Impact:
****************************************************
* Fiscal Year Probable Net Positive/(Negative) *
* Impact to General Revenue Related *
* Funds *
* 2002 $(8,700,000) *
* 2003 (8,700,000) *
* 2004 (8,700,000) *
* 2005 (8,700,000) *
* 2006 (8,700,000) *
****************************************************
All Funds, Five-Year Impact:
*****************************************************
* Fiscal Year Probable Savings/(Cost) from *
* Foundation School Fund *
* 0193 *
* 2002 $(8,700,000) *
* 2003 (8,700,000) *
* 2004 (8,700,000) *
* 2005 (8,700,000) *
* 2006 (8,700,000) *
*****************************************************
Fiscal Analysis
The bill removes the requirement that in order to receive the special
education funding weight of 4.0, education services be provided on a
local school district campus rather than at a residential care and
treatment facility. The bill provides the funding weight of 4.0 for all
students with disabilities residing in care and treatment facilities
whose parents are not residents of the district regardless of where
services are provided. (Under current law, students receiving
educational services in the residential facility receive a "Hospital
Class" funding weight of 3.0.)
Methodology
The number of students in this instructional arrangement can vary
considerably from year to year, but given the high weight they are
relatively costly to the Foundation School Program. The Texas Education
Agency estimates that the net impact of this shift would be $8.7 million
each year.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Certain school districts educating students who are not residents of the
district would experience an increase in funding for certain special
education students.
Source Agencies: 701 Texas Education Agency
LBB Staff: JK, CT, PF, UP