Honorable Dan Huberty, Chair, House Committee on Public Education
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB883 by King, Ken (Relating to funding for career and technology programs in public schools.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB883, As Introduced: a negative impact of ($950,200,000) through the biennium ending August 31, 2019.
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
2018
($463,500,000)
2019
($486,700,000)
2020
($514,000,000)
2021
($542,300,000)
2022
($574,900,000)
Fiscal Year
Probable Savings/(Cost) from Foundation School Fund 193
2018
($463,500,000)
2019
($486,700,000)
2020
($514,000,000)
2021
($542,300,000)
2022
($574,900,000)
Fiscal Analysis
The bill would amend Section 42.154(a), Education Code to increase the weight for the Foundation School Program (FSP) career and technology education allotment from 1.35 to 1.60. The bill would take effect September 1, 2017.
Methodology
The bill would significantly increase state cost for the FSP. The affected allotment generates entitlement for school districts and charter schools through Tier 1 in lieu of regular program funding, and the weighted average daily attendance (WADA) calculated using the Tier 1 allotment generates additional entitlement under Tier 2. Current law entitlement in both portions of the FSP attributable to the existing 1.35 weight is projected to provide about $750 million each year of the 2018-2019 biennium above the entitlement that would otherwise have been earned by attendance in unweighted courses. A model of the proposed weight increase to 1.60 indicates estimated additional state cost of $463.5 million in FY18 and $486.7 million in FY19, increasing to $574.9 million in FY22.
Local Government Impact
School districts would receive additional state aid and/or retain local revenue that would otherwise be recaptured.