Honorable Suzanna Gratia Hupp, Chair, House Committee on Human Services
FROM:
John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:
SB23 by Zaffirini (Relating to subsidized child-care services and early childhood care and education program coordination.), As Engrossed
Estimated Two-year Net Impact to General Revenue Related Funds for SB23, As Engrossed: a negative impact of ($2,000,000) through the biennium ending August 31, 2007.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2006
($1,000,000)
2007
($1,000,000)
2008
($1,000,000)
2009
($1,000,000)
2010
($1,000,000)
Fiscal Year
Probable Savings/(Cost) from GENERAL REVENUE FUND 1
2006
($1,000,000)
2007
($1,000,000)
2008
($1,000,000)
2009
($1,000,000)
2010
($1,000,000)
Fiscal Analysis
The bill would amend §29.155, Education Code pertaining to the prekindergarten grant program to require that a portion of the appropriation for that program be set aside for the purpose of coordinating early childhood care and education programs and developing and disseminating instructional and school readiness materials to such programs.
The bill would add §29.1561, Education Code to require the commissioner of education to establish a program to award financial incentives to providers of early childhood care and education who provide coordinated services with prekindergarten and Head Start programs.
The bill would amend §29.160, Education Code to expand the authorization for coordinated demonstration programs from one or more programs to three or more programs.
The bill would take effect September 1, 2005.
Methodology
The bill would authorize the commissioner of education to establish a program to award financial incentives to providers of early childhood care and education who provide coordinated services with prekindergarten and Head Start programs. Because there is no statutory authority for the use of Foundation School Program or prekindergarten grant funds for the purpose of establishing the required incentive program, it is assumed that a separately appropriated amount would be required to implement this provision. An annual amount of $1.0 million has been proposed for similar incentive programs related to cooperative administrative services arrangements. It is assumed for the purpose of this estimate that a similar funding level would meet the intent of this proposed legislation.
The bill would change the authorization for demonstration programs of coordinated service arrangements to include government-funded early education services. No significant fiscal impact to the state is anticipated in association with this provision of the bill.
No significant fiscal impact to the state is anticipated in association with the provisions of the bill directing the State Center for Early Childhood Development to develop a school readiness certification system.
Local Government Impact
No significant local fiscal impact is anticipated.