LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 86TH LEGISLATIVE REGULAR SESSION
 
March 28, 2019

TO:
Honorable Dan Flynn, Chair, House Committee on Defense & Veterans' Affairs
 
FROM:
John McGeady, Assistant Director     Sarah Keyton, Assistant Director
Legislative Budget Board
 
IN RE:
HB2588 by Phelan (Relating to the award of grants by the Texas Workforce Commission to facilitate the participation of certain veterans and military personnel in apprenticeship training programs.), As Introduced



Estimated Two-year Net Impact to General Revenue Related Funds for HB2588, As Introduced: a negative impact of ($600,000) through the biennium ending August 31, 2021.

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
2020 ($300,000)
2021 ($300,000)
2022 ($300,000)
2023 ($300,000)
2024 ($300,000)




Fiscal Year Probable (Cost) from
General Revenue Fund
1
2020 ($300,000)
2021 ($300,000)
2022 ($300,000)
2023 ($300,000)
2024 ($300,000)

Fiscal Analysis

The bill would amend the Labor Code relating to the award of grants by the Texas Workforce Commission (TWC) to facilitate the participation of certain veterans and military personnel in apprenticeship training programs.
 
The bill would require TWC to develop and administer a grant program to nonprofit organizations to recruit or assist veterans or active-duty military service members who are transitioning into civilian employment to participate in an apprenticeship training program. The bill would require TWC to adopt rules for the administration of the provisions of the bill.
 
The bill would take effect on September 1, 2019.

Methodology

Based on information provided by TWC, it is estimated that implementing the provisions of the bill would result in a cost of $300,000 each fiscal year from General Revenue Funds. TWC assumes that there are three major military installations/cities in Texas and each area would receive one grant of approximately $100,000 each fiscal year. Each grant would fund at least one staffing position and associated administrative costs, including general business costs, marketing materials, and travel costs, to recruit or assist veterans or active-duty military service members to participate in an apprenticeship training program.

Local Government Impact

No fiscal implication to units of local government is anticipated.


Source Agencies:
320 Texas Workforce Commission
LBB Staff:
WP, SLE, SGr, CP