| TO: | Honorable John Davis, Chair, House Committee on Economic & Small Business Development |
| FROM: | John S O'Brien, Director, Legislative Budget Board |
| IN RE: | HB1432 by Strama (Relating to the creation, operation, and funding of the Texas Sustainable Youth Program.), As Introduced |
| Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
|---|---|
| 2012 | ($2,000,000) |
| 2013 | ($2,000,000) |
| 2014 | ($2,000,000) |
| 2015 | ($2,000,000) |
| 2016 | ($2,000,000) |
| Fiscal Year | Probable (Cost) from General Revenue Fund 1 |
Change in Number of State Employees from FY 2011 |
|---|---|---|
| 2012 | ($2,000,000) | 1.0 |
| 2013 | ($2,000,000) | 1.0 |
| 2014 | ($2,000,000) | 1.0 |
| 2015 | ($2,000,000) | 1.0 |
| 2016 | ($2,000,000) | 1.0 |
The bill would amend the Labor Code relating to the creation, operation, and funding of the Texas Sustainable Youth Program.
The bill would create a new grant program requiring complete program management including creation of rules, purpose, participant eligibility, grant requirements and guidelines, eligible entities, monitoring, data collection and reporting. The bill would require the Texas Workforce Commission (TWC) to establish the program with funding from legislative appropriations and other available money, including funds from federal agencies, funds identified by TWC, the Texas Youth Commission, the Texas Juvenile Probation Commission, the Texas Department of Criminal Justice, the Texas Education Agency, or other state agencies. Under provisions of the bill, TWC may solicit and accept gifts, grants, and other donations for operation of the program. The bill would prohibit the commission from providing more than 75 percent of the money for a project.
This bill would take effect September 1, 2011.
Information provided by TWC was used for the purpose of this analysis. Based on the analysis of TWC, it is assumed that a Texas Sustainable Youth Program would be established at a cost of $2.0 million each year, totaling $10.0 million for the five-year period. This analysis assumes the method of financing for this program would require General Revenue funds to implement the provisions of the bill.
This analysis assumes that grants would be made available through a request for proposals (RFP) process that would be developed by TWC to encompass requirements for eligible entities to include in a grant application. For the purposes of this analysis it is assumed that the total number of grants would range from five to twenty each year, assuming approximately $1.9 million in available grant funding.
Based on information provided by TWC, it is assumed that 1 Contract Specialist III plus operating expenses would be required to administer the program. For fiscal year 2012, TWC estimates: $58,000 (Salaries/Wages) + $16,159 (Benefits) + $10,200 (Travel) + $8,461 (Other Operating Expenses) + 11,600 (Administrative/Support Costs) = $104,420. For fiscal years 2013-2016, TWC estimates: $58,000 (Salaries/Wages) + $16,159 (Benefits) + $10,200 (Travel) + $1,730 (Other Operating Expenses) + 11,600 (Administrative/Support Costs) = $97,689.
Based on the analysis submitted by the Texas Juvenile Probation Commission, Texas Youth Commission, Department of Criminal Justice and the Central Education Agency, it is assumed duties and responsibilities associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.
| Source Agencies: | 304 Comptroller of Public Accounts, 320 Texas Workforce Commission, 665 Juvenile Probation Commission, 694 Youth Commission, 696 Department of Criminal Justice, 701 Central Education Agency
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| LBB Staff: | JOB, AG, MW, NV
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