Honorable Tracy O. King, Chair, House Committee on Agriculture & Livestock
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB3983 by González, Mary (Relating to the Global Agricultural Initiative Institute program administered by the Department of Agriculture.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB3983, As Introduced: a negative impact of ($2,000,000) through the biennium ending August 31, 2017.
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
2016
($1,000,000)
2017
($1,000,000)
2018
($1,000,000)
2019
($1,000,000)
2020
($1,000,000)
Fiscal Year
Probable Savings/(Cost) from General Revenue Fund 1
Probable Revenue Gain from New General Revenue Dedicated - Global Agricultural Initiative Institute Account
Probable Savings/(Cost) from New General Revenue Dedicated - Global Agricultural Initiative Institute Account
2016
($1,000,000)
$1,000,000
($1,000,000)
2017
($1,000,000)
$1,000,000
($1,000,000)
2018
($1,000,000)
$1,000,000
($1,000,000)
2019
($1,000,000)
$1,000,000
($1,000,000)
2020
($1,000,000)
$1,000,000
($1,000,000)
Fiscal Analysis
The bill would amend the Agriculture Code to create the Global Agricultural Initiative Institute. The bill would create a 10 member Global Agricultural Initiative Institute Council that would include the Commissioner of the Texas Department of Agriculture (TDA) and 9 appointed members, including three from an institution of higher education. The bill would direct TDA to provide the council with administrative services, and TDA would be authorized to create the Global Agricultural Initiative program to make grants for purposes of the program.
The bill would create the Global Agricultural Initiative Institute Account in the General Revenue Fund to receive legislative appropriations, gifts, grants, and donations. Money in the account could only be appropriated to TDA for purposes of the program. Earnings from money in the account would be credited to the account. Unappropriated balances in the account could not be used for budget certification purposes.
This legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either with or outside of the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature.
The bill would take effect September 1, 2015.
Methodology
TDA indicates that it can provide administrative services to the new council and administer and monitor a new grant program disbursing $1 million annually within the agency's existing resources.
Amounts in this fiscal note reflect grant awards of $1 million each fiscal year in a General Revenue appropriation to the new Global Agricultural Initiative Institute Account. Should the program become self-supporting in future years, there would no longer be a need for General Revenue transfers to support a grant program.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies:
304 Comptroller of Public Accounts, 551 Department of Agriculture, 720 The University of Texas System Administration