LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION
 
April 16, 2013

TO:
Honorable Kel Seliger, Chair, Senate Committee on Higher Education
 
FROM:
Ursula Parks, Director, Legislative Budget Board
 
IN RE:
SB436 by Birdwell (Relating to administration of collegiate learning assessments to students at general academic teaching institutions.), As Introduced



Estimated Two-year Net Impact to General Revenue Related Funds for SB436, As Introduced: a negative impact of ($11,100,000) through the biennium ending August 31, 2015.



Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2014 ($5,550,000)
2015 ($5,550,000)
2016 ($5,550,000)
2017 ($5,550,000)
2018 ($5,550,000)




Fiscal Year Probable Savings/(Cost) from
General Revenue Fund
1
2014 ($5,550,000)
2015 ($5,550,000)
2016 ($5,550,000)
2017 ($5,550,000)
2018 ($5,550,000)

Fiscal Analysis

Under provisions of the bill, each general academic teaching institution would be required to administer a collegiate learning assessment to all entering freshmen and transfer students prior to their enrollment in courses, and to each student during the semester prior to graduation.  The bill also provides direction for deferments and excused absences, as well as consequences for failure to take the assessments, including withholding of transcripts and the inability to be readmitted before a mandatory waiting period.

Methodology

Based on information provided by the Higher Education Coordinating Board, it is estimated that 137,000 incoming students, including transfer students and approximately 85,000 graduating students would take the test at general academic teaching institutions beginning in fiscal year 2014. It is also assumed the cost of the test would be $25 per student, based on estimates provided by institutions of higher education and the Higher Education Coordinating Board. Based on these assumptions, the total general revenue costs would be approximately $5.6 million per year beginning in fiscal year 2014.

Local Government Impact

No fiscal implication to units of local government is anticipated.


Source Agencies:
720 The University of Texas System Administration, 758 Texas State University System, 768 Texas Tech University System Administration, 769 University of North Texas System Administration, 781 Higher Education Coordinating Board, 783 University of Houston System Administration
LBB Staff:
UP, KK, SK, GO