LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 21, 2009 TO: Honorable Frank Corte Jr., Chair, House Committee on Defense & Veterans' Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB4121 by Alonzo (Relating to establishing veterans resource centers at certain institutions of higher education.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB4121, As Introduced: a negative impact of ($2,083,068) through the biennium ending August 31, 2011.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
April 21, 2009
TO: Honorable Frank Corte Jr., Chair, House Committee on Defense & Veterans' Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB4121 by Alonzo (Relating to establishing veterans resource centers at certain institutions of higher education.), As Introduced
TO: Honorable Frank Corte Jr., Chair, House Committee on Defense & Veterans' Affairs
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB4121 by Alonzo (Relating to establishing veterans resource centers at certain institutions of higher education.), As Introduced
Honorable Frank Corte Jr., Chair, House Committee on Defense & Veterans' Affairs
Honorable Frank Corte Jr., Chair, House Committee on Defense & Veterans' Affairs
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB4121 by Alonzo (Relating to establishing veterans resource centers at certain institutions of higher education.), As Introduced
HB4121 by Alonzo (Relating to establishing veterans resource centers at certain institutions of higher education.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB4121, As Introduced: a negative impact of ($2,083,068) through the biennium ending August 31, 2011.
Estimated Two-year Net Impact to General Revenue Related Funds for HB4121, As Introduced: a negative impact of ($2,083,068) through the biennium ending August 31, 2011.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2010 ($1,050,934) 2011 ($1,032,134) 2012 ($1,032,134) 2013 ($1,032,134) 2014 ($1,032,134)
2010 ($1,050,934)
2011 ($1,032,134)
2012 ($1,032,134)
2013 ($1,032,134)
2014 ($1,032,134)
All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Change in Number of State Employees from FY 2009 2010 ($1,050,934) 18.0 2011 ($1,032,134) 18.0 2012 ($1,032,134) 18.0 2013 ($1,032,134) 18.0 2014 ($1,032,134) 18.0
Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Change in Number of State Employees from FY 2009 2010 ($1,050,934) 18.0 2011 ($1,032,134) 18.0 2012 ($1,032,134) 18.0 2013 ($1,032,134) 18.0 2014 ($1,032,134) 18.0
2010 ($1,050,934) 18.0
2011 ($1,032,134) 18.0
2012 ($1,032,134) 18.0
2013 ($1,032,134) 18.0
2014 ($1,032,134) 18.0
Fiscal Analysis
The bill would amend the Government Code and establish 15 veterans resource centers at various institutions of higher education to provide a centralized place for veterans to find assistance and information. Institutions of higher education would bear the cost of office space, office equipment, computers, and internet access for Veterans Commission staff located at the various institutions of higher education.
Methodology
The Veterans Commission indicates that it will need 18 new FTEs to operate the veterans resource center program at a cost of $873,784 in salaries and wages in fiscal year 2010 and the remaining fiscal years out of the General Revenue Fund. In addition, $89,150 out of the General Revenue fund will be needed each fiscal year for other operating expenses for items such as publications, posters, and pamphlets to advertise the program to the veteran community. Furthermore, travel expenses of $69,200 out of the General Revenue Fund will be needed each fiscal year for travel related expenses. A one-time cost of $18,800 in fiscal year 2010 out of the General Revenue Fund will be needed for cell phones, desks, and other office equipment for three of the new FTEs mentioned above that will be located at the Veterans Commission headquarters to oversee the program. The Higher Education Coordinating Board has indicated that the establishment of the new veterans' resource centers will increase enrollment at higher education institutions resulting in increased tuition and fee revenue for the institutions. They assumed that the centers would be fully operational beginning in fiscal year 2011 and estimated an additional 3,188 veterans and their family members will enroll in a public institution of higher education resulting in additional tuition and fee revenue of approximately $9.6 million per year beginning in fiscal year 2011.
The Veterans Commission indicates that it will need 18 new FTEs to operate the veterans resource center program at a cost of $873,784 in salaries and wages in fiscal year 2010 and the remaining fiscal years out of the General Revenue Fund. In addition, $89,150 out of the General Revenue fund will be needed each fiscal year for other operating expenses for items such as publications, posters, and pamphlets to advertise the program to the veteran community. Furthermore, travel expenses of $69,200 out of the General Revenue Fund will be needed each fiscal year for travel related expenses. A one-time cost of $18,800 in fiscal year 2010 out of the General Revenue Fund will be needed for cell phones, desks, and other office equipment for three of the new FTEs mentioned above that will be located at the Veterans Commission headquarters to oversee the program.
The Higher Education Coordinating Board has indicated that the establishment of the new veterans' resource centers will increase enrollment at higher education institutions resulting in increased tuition and fee revenue for the institutions. They assumed that the centers would be fully operational beginning in fiscal year 2011 and estimated an additional 3,188 veterans and their family members will enroll in a public institution of higher education resulting in additional tuition and fee revenue of approximately $9.6 million per year beginning in fiscal year 2011.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 403 Veterans Commission, 710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration, 758 Texas State University System, 768 Texas Tech University System Administration, 769 University of North Texas System Administration, 781 Higher Education Coordinating Board, 783 University of Houston System Administration
403 Veterans Commission, 710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration, 758 Texas State University System, 768 Texas Tech University System Administration, 769 University of North Texas System Administration, 781 Higher Education Coordinating Board, 783 University of Houston System Administration
LBB Staff: JOB, KK, RT, GO, JM
JOB, KK, RT, GO, JM