Honorable Dan Huberty, Chair, House Committee on Public Education
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
HB3820 by Sherman, Sr. (Relating to requiring school districts to administer college readiness assessment instruments to certain students at state cost.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB3820, As Introduced: a negative impact of ($14,537,756) 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
($7,268,878)
2021
($7,268,878)
2022
($7,268,878)
2023
($7,268,878)
2024
($7,268,878)
Fiscal Year
Probable Savings/(Cost) from General Revenue Fund 1
2020
($7,268,878)
2021
($7,268,878)
2022
($7,268,878)
2023
($7,268,878)
2024
($7,268,878)
Fiscal Analysis
The bill would require school districts to administer the SAT or ACT to students who completed Algebra I or English I and II and who took related end-of-course assessments before enrolling in high school at state cost.
Methodology
In the 2017-18 school year, 110,465 students took Algebra I prior to ninth grade and no students took both English I and English II prior to ninth grade. The current fee for the SAT is $64.50 and the fee for the ACT is $67. TEA estimates that 50% of students will take each test and the cost to the state to pay for administration of SAT or ACT would be approximately $7.3 million annually (55,232 students * $64.50 =$3,568,334 and 55,232 students * $67=$3,700,544 for a total of $7,268,878).
Technology
The bill is not expected to result in any technology impact.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.