LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

April 9, 2003

TO:	Honorable Florence Shapiro, Chair, Senate Committee on Education
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	SB845 by Barrientos (Relating to a comprehensive analysis of certain legislation addressing public school dropouts.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for SB845, As Introduced: a negative impact of ($103,004) 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	($103,004)
2005	$0
2006	$0
2007	$0
2008	$0

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	($103,004)	0.5
2005	$0	0.0
2006	$0	0.0
2007	$0	0.0
2008	$0	0.0

Fiscal Analysis

The bill would require that not later than December 1, 2004, the Texas Education Agency (TEA) shall prepare and deliver to the Governor and the Legislature a report containing a comprehensive analysis of the effectiveness of all state legislation that became law on or after January 1, 1989, related to public school students, who leave school without obtaining a high school diploma or a high school equivalency certificate.

The bill would create an administrative cost for TEA.  Although the agency has previously compiled a history of dropout-related legislation and programs dating to 1989, no comprehensive analysis of the effectiveness of the legislation has been completed.  Analysis to isolate the effects of state legislative efforts to reduce dropouts from federal or local efforts would be required.    

Methodology

TEA estimates that the requirements of the bill could be accomplished with an additional 0.5 FTE and $28,004 in supporting salary and administrative resources for 2004, along with a one-time expenditure of $75,000 in contracted services. 

Technology

No fiscal implication to the agency's technology costs is expected.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	701 Central Education Agency
LBB Staff:	JK, CT, UP, JGM