LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

April 16, 2003

TO:	Honorable Kenny Marchant, Chair, House Committee on State Affairs
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB425 by Christian (Relating to procedures to help ensure that certain state agency actions are consistent with the meaning and intent of applicable legislative enactments.), Committee Report 1st House, Substituted

Estimated Two-year Net Impact to General Revenue Related Funds for HB425, Committee Report 1st House, Substituted: a negative impact of ($2,288,128) through the biennium ending August 31, 2005.

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
2004	($1,144,064)
2005	($1,144,064)
2006	($1,144,064)
2007	($1,144,064)
2008	($1,144,064)

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings/(Cost) from GENERAL REVENUE FUND 1	Change in Number of State Employees from FY 2003
2004	($1,144,064)	13.0
2005	($1,144,064)	13.0
2006	($1,144,064)	13.0
2007	($1,144,064)	13.0
2008	($1,144,064)	13.0

Fiscal Analysis

The bill would authorize the Legislative Budget Board to issue a letter clarifying the intent of provisions in either the General Appropriations Act or other legislation affecting appropriations.  The bill would require state agencies to inform legislators of proposed agency rules.  The bill would authorize the chair of a standing committee of either legislative house to petition the presiding officer of the respective chamber to initiate an independent review of certain rules adopted or proposed by state agencies.  Such committee could recommend that the presiding officer petition the governor to suspend those agency rules under review.

Methodology

The governor's office indicates it will take an additional 13 full-time employees to analyze intent of legislation and review agency rules.  These costs are included in the above tables.

The bill could result in an increased workload for state agencies, however overall, it is believed that this fiscal impact would not be significant.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	301 Office of the Governor
LBB Staff:	JK, WP, RR, GO, MS