LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION

March 11, 2013

TO:	Honorable Jimmie Don Aycock, Chair, House Committee On Public Education
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB290 by King, Phil (Relating to school district selection of assessment instruments in place of state-administered assessment instruments.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB290, As Introduced: a negative impact of ($2,760,928) through the biennium ending August 31, 2015.

The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

General Revenue-Related Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2014	($2,396,464)
2015	($364,464)
2016	($364,464)
2017	($364,464)
2018	($364,464)

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings/(Cost) from General Revenue Fund 1
2014	($2,396,464)
2015	($364,464)
2016	($364,464)
2017	($364,464)
2018	($364,464)

Fiscal Year	Change in Number of State Employees from FY 2013
2014	5.0
2015	5.0
2016	5.0
2017	5.0
2018	5.0

Fiscal Analysis

The bill would authorize school districts to adopt a criterion-referenced or norm-referenced assessment instrument approved by the Texas Education Agency (TEA) to be administered in place of the assessment instrument adopted by TEA and administered by the State Board of Education.

Methodology

TEA estimates that four new FTEs would be required to handle the additional processing of the norm-referenced assessment results for inclusion in the state accountability system. The salary related to these positions would total $256,254 per fiscal year, with related benefits costs of $76,210 per fiscal year, and other operating expenses of $64,000 in fiscal year 2014 and $32,000 in subsequent years.

TEA also estimates an additional $2.0 million would be required in fiscal year 2014 to conduct the necessary equivalency studies of the five norm-referenced assessment instruments currently available on the state-approved list for grades 3-8 for the State of Texas Assessments of Academic Readiness (STAAR).

This analysis assumes that TEA would continue to pay the cost of the assessments administered in place of the STAAR assessment.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

701 Central Education Agency

LBB Staff:

UP, JBi, JSc, AH