LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION March 18, 2009 TO: Honorable Mark Strama, Chair, House Committee on Technology, Economic Development & Workforce FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB516 by Strama (relating to the establishment and funding of a green job skills training program. ), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for HB516, Committee Report 1st House, Substituted: a negative impact of ($10,000,000) through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
March 18, 2009
TO: Honorable Mark Strama, Chair, House Committee on Technology, Economic Development & Workforce FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB516 by Strama (relating to the establishment and funding of a green job skills training program. ), Committee Report 1st House, Substituted
TO: Honorable Mark Strama, Chair, House Committee on Technology, Economic Development & Workforce
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB516 by Strama (relating to the establishment and funding of a green job skills training program. ), Committee Report 1st House, Substituted
Honorable Mark Strama, Chair, House Committee on Technology, Economic Development & Workforce
Honorable Mark Strama, Chair, House Committee on Technology, Economic Development & Workforce
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB516 by Strama (relating to the establishment and funding of a green job skills training program. ), Committee Report 1st House, Substituted
HB516 by Strama (relating to the establishment and funding of a green job skills training program. ), Committee Report 1st House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for HB516, Committee Report 1st House, Substituted: a negative impact of ($10,000,000) through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Estimated Two-year Net Impact to General Revenue Related Funds for HB516, Committee Report 1st House, Substituted: a negative impact of ($10,000,000) through the biennium ending August 31, 2011.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2010 ($5,000,000) 2011 ($5,000,000) 2012 ($5,000,000) 2013 ($5,000,000) 2014 ($5,000,000)
2010 ($5,000,000)
2011 ($5,000,000)
2012 ($5,000,000)
2013 ($5,000,000)
2014 ($5,000,000)
All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 2010 ($5,000,000) 2011 ($5,000,000) 2012 ($5,000,000) 2013 ($5,000,000) 2014 ($5,000,000)
Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 2010 ($5,000,000) 2011 ($5,000,000) 2012 ($5,000,000) 2013 ($5,000,000) 2014 ($5,000,000)
2010 ($5,000,000)
2011 ($5,000,000)
2012 ($5,000,000)
2013 ($5,000,000)
2014 ($5,000,000)
Fiscal Year Change in Number of State Employees from FY 2009 2010 3.0 2011 3.0 2012 3.0 2013 3.0 2014 3.0 Fiscal Analysis The bill would amend the Government Code relating to the establishment and funding of a green job skills training program to be administered by the Texas Workforce Commission (TWC). The bill creates the Texas Green Job Skills Development Fund which is an account in the General Revenue Fund. The bill states that the account is composed of legislative appropriations, money received from the Texas Enterprise Fund, gifts, grants, donations, matching funds and other money required by law to be deposited in the account. The bill lists the grant program requirements and requires the agency to establish the grant program through which the commission may award grants for the implementation, expansion and operating of green job skills training programs. The bill states that implementation of the program is contingent on legislative appropriations to fund the program. The bill would take effect immediately upon receiving a two-thirds majority vote in each house. If the bill does not receive a two-thirds vote in each house, the bill would take effect September 1, 2009. Methodology The bill requires that TWC establish a green jobs skills training program, provided that funding is appropriated, but does not specify the size of the program that is contemplated. TWC assumes an initial program size in the range of $5 million each fiscal year ($25 million over a five year period) and three additional FTEs would be required each fiscal year (3 Program Specialists in Salary Group B11 at $57,000 each year) to implement the provisions of this bill. TWC estimates costs for salaries at $171,000 each fiscal year, totaling $855,000 for the five year period. TWC also estimates benefits at $48,855 each year totaling $244,275 for the five-year period TWC estimates other operating expenses for personal computers, modular workstations and chairs, installation of data cable, installation of phone lines, utilities, phone service, maintenance and supplies are estimated at $26,328 for FY 2010 and $6,105 for each year thereafter totaling $50,748 for the five-year period. The agency estimates indirect and administrative support costs of $34,200 each year totaling $171,000 for the five-year period.According to the analysis provided by the Comptroller, this legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either within or outside of the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature. Technology No fiscal implication to technology is anticipated. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:301 Office of the Governor, 304 Comptroller of Public Accounts, 320 Texas Workforce Commission LBB Staff: JOB, NV, JRO, MW
Fiscal Year Change in Number of State Employees from FY 2009 2010 3.0 2011 3.0 2012 3.0 2013 3.0 2014 3.0
2010 3.0
2011 3.0
2012 3.0
2013 3.0
2014 3.0
Fiscal Analysis
The bill would amend the Government Code relating to the establishment and funding of a green job skills training program to be administered by the Texas Workforce Commission (TWC). The bill creates the Texas Green Job Skills Development Fund which is an account in the General Revenue Fund. The bill states that the account is composed of legislative appropriations, money received from the Texas Enterprise Fund, gifts, grants, donations, matching funds and other money required by law to be deposited in the account. The bill lists the grant program requirements and requires the agency to establish the grant program through which the commission may award grants for the implementation, expansion and operating of green job skills training programs. The bill states that implementation of the program is contingent on legislative appropriations to fund the program. The bill would take effect immediately upon receiving a two-thirds majority vote in each house. If the bill does not receive a two-thirds vote in each house, the bill would take effect September 1, 2009.
The bill would amend the Government Code relating to the establishment and funding of a green job skills training program to be administered by the Texas Workforce Commission (TWC). The bill creates the Texas Green Job Skills Development Fund which is an account in the General Revenue Fund. The bill states that the account is composed of legislative appropriations, money received from the Texas Enterprise Fund, gifts, grants, donations, matching funds and other money required by law to be deposited in the account. The bill lists the grant program requirements and requires the agency to establish the grant program through which the commission may award grants for the implementation, expansion and operating of green job skills training programs. The bill states that implementation of the program is contingent on legislative appropriations to fund the program.
The bill would take effect immediately upon receiving a two-thirds majority vote in each house. If the bill does not receive a two-thirds vote in each house, the bill would take effect September 1, 2009.
Methodology
The bill requires that TWC establish a green jobs skills training program, provided that funding is appropriated, but does not specify the size of the program that is contemplated. TWC assumes an initial program size in the range of $5 million each fiscal year ($25 million over a five year period) and three additional FTEs would be required each fiscal year (3 Program Specialists in Salary Group B11 at $57,000 each year) to implement the provisions of this bill. TWC estimates costs for salaries at $171,000 each fiscal year, totaling $855,000 for the five year period. TWC also estimates benefits at $48,855 each year totaling $244,275 for the five-year period TWC estimates other operating expenses for personal computers, modular workstations and chairs, installation of data cable, installation of phone lines, utilities, phone service, maintenance and supplies are estimated at $26,328 for FY 2010 and $6,105 for each year thereafter totaling $50,748 for the five-year period. The agency estimates indirect and administrative support costs of $34,200 each year totaling $171,000 for the five-year period.According to the analysis provided by the Comptroller, this legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either within or outside of the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature.
The bill requires that TWC establish a green jobs skills training program, provided that funding is appropriated, but does not specify the size of the program that is contemplated. TWC assumes an initial program size in the range of $5 million each fiscal year ($25 million over a five year period) and three additional FTEs would be required each fiscal year (3 Program Specialists in Salary Group B11 at $57,000 each year) to implement the provisions of this bill. TWC estimates costs for salaries at $171,000 each fiscal year, totaling $855,000 for the five year period. TWC also estimates benefits at $48,855 each year totaling $244,275 for the five-year period
TWC estimates other operating expenses for personal computers, modular workstations and chairs, installation of data cable, installation of phone lines, utilities, phone service, maintenance and supplies are estimated at $26,328 for FY 2010 and $6,105 for each year thereafter totaling $50,748 for the five-year period. The agency estimates indirect and administrative support costs of $34,200 each year totaling $171,000 for the five-year period.According to the analysis provided by the Comptroller, this legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either within or outside of the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature.
Technology
No fiscal implication to technology is anticipated.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 301 Office of the Governor, 304 Comptroller of Public Accounts, 320 Texas Workforce Commission
301 Office of the Governor, 304 Comptroller of Public Accounts, 320 Texas Workforce Commission
LBB Staff: JOB, NV, JRO, MW
JOB, NV, JRO, MW