LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION

May 3, 2005

TO:	Honorable Royce West, Chair, Senate Committee on S/C on Higher Education
FROM:	John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:	HB495 by Miller (Relating to the student enrollment required for the operation of Texas A&M University--Central Texas as an independent general academic teaching institution.), As Engrossed

The costs associated with implementation of the bill would depend on the institution reaching the threshold of 1,000 full time student equivalents.

The bill would amend Section 87.861(d), Education Code to lower the threshold for Texas A&M University – Tarleton State University System Center--Central Texas in Killeen to become a free-standing general academic teaching institution from 2,500 to 1,000 full-time students.  

Additional costs to the state would include $750,000 per year for the small institution supplement awarded to institutions with fewer than 5,000 students. Additional costs associated with the general academic institution formula funding would depend on the number of students enrolled and associated infrastructure needs. General Revenue formula funding for each full time student equivalent over the 1,000 threshold would be $4,509 per semester.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

781 Higher Education Coordinating Board

LBB Staff:

JOB, CT, RT, SSh