Honorable Larry Taylor, Chair, Senate Committee on Education
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
SB2188 by Taylor, Larry (Relating to the average daily attendance calculation for students over 18 years of age who are in an off home campus instructional arrangement.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for SB2188, As Introduced: a negative impact of ($7,015,666) 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
($3,473,102)
2019
($3,542,564)
2020
($3,613,415)
2021
($3,685,683)
2022
($3,759,397)
Fiscal Year
Probable Savings/(Cost) from Foundation School Fund 193
2018
($3,473,102)
2019
($3,542,564)
2020
($3,613,415)
2021
($3,685,683)
2022
($3,759,397)
Fiscal Analysis
The bill would amend the Education Code to recognize a student who is 18 years of age or older who has met graduation credit requirements and is in an off home campus instructional arrangement to be considered a full-time equivalent (FTE) if the student receives 20 hours of contact per week, and a part-time equivalent if the student receives 10 hours or more, but less than 20 hours per week.
The bill would apply beginning with the 2017-18 school year.
Methodology
The Texas Education Agency (TEA) indicates that in fiscal year 2017, there were a total of 2,852 students who were in an off-home campus instructional setting, including 1,155 who were between the ages of 18-21. TEA assumes the number of FTEs generated by those students at 6 hours of contact per day would be 703 FTEs. TEA indicates, that based on this population, 351 additional FTEs would be generated in fiscal year 2018 by implementing the provisions of the bill, and the agency assumes this would increase by 2 percent per year. TEA calculated the cost to the Foundation School Program of the additional FTEs and determined an additional cost of $3.5 million in each fiscal year of the 2018-19 biennium, rising to $3.8 million in fiscal year 2022. TEA indicated that the approximately 24 percent of the cost would be attributable to students 18 years of age, 31 percent of the cost would be attributable to students 19 years of age, 24 percent of the cost would be attributable to students 20 years of age, and 21 percent of the cost would be attributable to students 21 years of age.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.