LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

May 13, 2009

TO:	Honorable Dan Branch, Chair, House Committee on Higher Education
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	SB1800 by Zaffirini (relating to methhods for increasing student success and degree completion at public institutions of higher education.), Committee Report 2nd House, Substituted

Estimated Two-year Net Impact to General Revenue Related Funds for SB1800, Committee Report 2nd House, Substituted: a negative impact of ($99,600) through the biennium ending August 31, 2011.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2010	($99,600)
2011	$0
2012	$0
2013	$0
2014	$0

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings/(Cost) from General Revenue Fund 1
2010	($99,600)
2011	$0
2012	$0
2013	$0
2014	$0

Fiscal Analysis

The bill would require the Higher Education Coordinating Board to establish a method for assessing the quality and effectiveness of academic advising services available to students at each institution of higher education. The method of assessment established would include the use of student surveys and would identify objective, quantifiable measures for determining the quality and effectiveness of academic advising services at an institution of higher education. This provision would expire on October 1, 2010.

The bill would also require the Higher Education Coordinating Board to establish and direct a committee of representatives from two-year and four-year institutions of higher education and degree-granting career schools to study and make recommendations regarding the transferability of courses in the core curriculum between degree-granting career schools or colleges and institutions of higher education. The Board would report the recommendations to the chair of each standing committee of the legislature with primary jurisdiction over higher education. This provision would expire on September 1, 2011.

Methodology

The Higher Education Coordinating Board has indicated that the academic advising assessment provision would require hiring an outside consulting firm with expertise in this area. They have estimated that a team of four consultants working 40 hours a week with the standard consultant pay rate of $35 per hour would cost $5,600 per week. Assuming it would take 16 weeks to complete the project, the estimaated labor cost would $89,600. They have also estimated an additional $10,000 would be needed for travel and incident expenses resulting in a total general revenue cost of $99,600 in fiscal year 2010.

The Higher Education Coordinating Board has indicated that the second provision of the bill dealing with the course transfer study could be absorbed within existing resources

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

781 Higher Education Coordinating Board

LBB Staff:

JOB, KK, RT, GO