LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 77th Regular Session
April 28, 2001
TO: Honorable Jim Solis, Chair, House Committee on Economic
Development
FROM: John Keel, Director, Legislative Budget Board
IN RE: HB3300 by Solis, Jim (Relating to the adoption of the
21st Century Technology College and Careers Act.),
Committee Report 1st House, Substituted
**************************************************************************
* Estimated Two-year Net Impact to General Revenue Related Funds for *
* HB3300, Committee Report 1st House, Substituted: negative impact *
* of $(7,174,000) 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 $0 *
* 2003 (7,174,000) *
* 2004 (7,174,000) *
* 2005 (7,174,000) *
* 2006 (7,174,000) *
****************************************************
All Funds, Five-Year Impact:
*****************************************************
* Fiscal Year Probable Savings/(Cost) from *
* General Revenue Fund *
* 0001 *
* 2002 $0 *
* 2003 (7,174,000) *
* 2004 (7,174,000) *
* 2005 (7,174,000) *
* 2006 (7,174,000) *
*****************************************************
Fiscal Analysis
The bill would add Chapter 315 to Title 4 of the Labor Code. The new
chapter would establish the 21st Century Technology College and Careers
Grant Program to be administered by the Texas Workforce Commission (TWC).
Under the bill, TWC would establish the grant program to provide awards
to the 27 partnerships around the state to promote voluntary educational
improvement and workforce development opportunities for high school and
college students.
If enacted, the bill would take effect September 1, 2002.
Methodology
The fiscal impact of the bill is estimated by TWC to be approximately
$7.2 million and 4.5 FTEs in fiscal year 2003. TWC estimates that
$6,650,000 per year would be used to fund grant awards to the 27
partnerships around the state. Each partnership would receive a base
award of $100,000 per year and a distribution of any additional award
funding based on the amount of matching funds contributed by the
partnerships for the program and an allocation formula that would be
developed by TWC .
The remaining $524,000 of the estimated costs would fund administration
at the agency. For the estimate of 4.5 FTEs to administer and monitor
the program, there would be a $273,236 cost for salaries and benefits.
These 4.5 FTEs would include one Manager III for program management at
an annual salary of $63,000, one Program Specialist III for grants
management at an annual salary of $40,000, one Administrative Technician
III for administrative support at an annual salary of $35,000, and 1.5
Auditor Vs for grants monitoring at a combined annual salary of $75,000.
TWC also estimates $12,424 annually for staff travel to the partnership
areas for monitoring and assistance and $38,340 annually for indirect
administration at the agency. Other estimated costs include contract
services for technical assistance to the partnership areas at a cost of
$100,000 annually and for outreach services to publicize the program
across the state at a cost of $100,000 annually.
Local Government Impact
No significant fiscal implication to units of local government is
anticipated.
Source Agencies: 320 Texas Workforce Commission
LBB Staff: JK, JO, RT, HL