LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION

March 8, 2005

TO:	Honorable Frank Corte, Jr., Chair, House Committee on Defense Affairs & State-Federal Relations
FROM:	John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:	HB303 by McClendon (Relating to electronically monitoring certain veterans' and dependents' tuition exemptions.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB303, As Introduced: a negative impact of ($46,000) through the biennium ending August 31, 2007.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2006	($36,000)
2007	($10,000)
2008	($10,000)
2009	($10,000)
2010	($10,000)

All Funds, Five-Year Impact:

Fiscal Year	Probable (Cost) from GENERAL REVENUE FUND 1
2006	($36,000)
2007	($10,000)
2008	($10,000)
2009	($10,000)
2010	($10,000)

Fiscal Analysis

The bill would amend Section 54.203 of the Education Code to require all institutions of higher education to report electronically to the Texas Veterans Commission certain information for persons receiving veterans' tuition exemptions. The bill also would amend Subchapter C, Chapter 434 of the Government Code by adding Section 434.107, which would require the Veterans Commission to develop the system for electronic reporting.

The bill would take effect immediately if it receives a vote of two-thirds of all the members
elected to each house; otherwise, the bill would take effect September 1, 2005.

Methodology

Estimated costs include contracting, programming, and recurring maintenance expenses. The estimate assumes the bill would take effect September 1, 2005. If the bill were to become effective immediately, the same costs are anticipated but the costs for implementing the electronic system would be incurred in fiscal year 2005.

Technology

All estimated costs are associated with the implementation and ongoing operations of the electronic system.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

403 Veterans Commission, 710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration, 758 Board of Regents, Texas State University System Central Office, 768 Texas Tech University System Administration, 769 University of North Texas System Administration, 781 Higher Education Coordinating Board, 783 University of Houston System Administration

LBB Staff:

JOB, KJG, NR