LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 15, 2025 TO: Honorable Giovanni Capriglione, Chair, House Committee on Delivery of Government Efficiency FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB4751 by Capriglione (Relating to the establishment and administration of the Texas Quantum Initiative.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB4751, As Introduced: a negative impact of ($3,457,794) through the biennium ending August 31, 2027. There would be an additional indeterminate cost related to the grant program authorized by the bill which would be dependent on the number of grant applications and appropriations made for this purpose. 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 toGeneral Revenue Related Funds2026($1,767,707)2027($1,690,087)2028($1,716,171)2029($1,690,086)2030($1,716,172)All Funds, Five-Year Impact: Fiscal Year Probable Savings/(Cost) fromGeneral Revenue Fund1 Change in Number of State Employees from FY 20252026($1,767,707)7.52027($1,690,087)7.52028($1,716,171)7.52029($1,690,086)7.52030($1,716,172)7.5 Fiscal AnalysisThe bill would amend the Government Code to establish the Texas Quantum Initiative. The Initiative would be administratively attached to the Office of the Governor (OOG). The OOG would provide staff and facilities to support the Initiative. The Initiative would be governed by an executive committee composed of seven members: three appointed by the Governor, two appointed by the Lieutenant Governor, and two appointed by the Speaker of the House of Representatives. The executive committee would hire an executive director. The executive committee would submit a strategic plan annually to the Governor, Lieutenant Governor, and Speaker of the House of Representatives and submit a biennial report not later than December 1 of each even-numbered year to the Governor and the Legislative Budget Board (LBB). The bill would also create the Quantum University and Business Innovation for Texas Fund as a dedicated account within the General Revenue Fund. The fund would consist of gifts, grant, or donations to the fund, and money from any other source designated by the Legislature. Money in the fund would be used to provide matching funding to state entities, including institutions of higher education, for quantum manufacturing and design projects. The fund could also be used to pay for certain staff support services. The bill would direct the executive committee to request approval from the LBB to use money in the fund. A request would be considered approved on the 30th day after receipt by the LBB, unless expressly denied. Note: 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 in, with, or outside 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.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION
April 15, 2025
TO: Honorable Giovanni Capriglione, Chair, House Committee on Delivery of Government Efficiency FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB4751 by Capriglione (Relating to the establishment and administration of the Texas Quantum Initiative.), As Introduced
TO: Honorable Giovanni Capriglione, Chair, House Committee on Delivery of Government Efficiency
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB4751 by Capriglione (Relating to the establishment and administration of the Texas Quantum Initiative.), As Introduced
Honorable Giovanni Capriglione, Chair, House Committee on Delivery of Government Efficiency
Honorable Giovanni Capriglione, Chair, House Committee on Delivery of Government Efficiency
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB4751 by Capriglione (Relating to the establishment and administration of the Texas Quantum Initiative.), As Introduced
HB4751 by Capriglione (Relating to the establishment and administration of the Texas Quantum Initiative.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB4751, As Introduced: a negative impact of ($3,457,794) through the biennium ending August 31, 2027. There would be an additional indeterminate cost related to the grant program authorized by the bill which would be dependent on the number of grant applications and appropriations made for this purpose. 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 HB4751, As Introduced: a negative impact of ($3,457,794) through the biennium ending August 31, 2027. There would be an additional indeterminate cost related to the grant program authorized by the bill which would be dependent on the number of grant applications and appropriations made for this purpose. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
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:
2026 ($1,767,707)
2027 ($1,690,087)
2028 ($1,716,171)
2029 ($1,690,086)
2030 ($1,716,172)
All Funds, Five-Year Impact:
2026 ($1,767,707) 7.5
2027 ($1,690,087) 7.5
2028 ($1,716,171) 7.5
2029 ($1,690,086) 7.5
2030 ($1,716,172) 7.5
Fiscal Analysis
The bill would amend the Government Code to establish the Texas Quantum Initiative. The Initiative would be administratively attached to the Office of the Governor (OOG). The OOG would provide staff and facilities to support the Initiative. The Initiative would be governed by an executive committee composed of seven members: three appointed by the Governor, two appointed by the Lieutenant Governor, and two appointed by the Speaker of the House of Representatives. The executive committee would hire an executive director. The executive committee would submit a strategic plan annually to the Governor, Lieutenant Governor, and Speaker of the House of Representatives and submit a biennial report not later than December 1 of each even-numbered year to the Governor and the Legislative Budget Board (LBB). The bill would also create the Quantum University and Business Innovation for Texas Fund as a dedicated account within the General Revenue Fund. The fund would consist of gifts, grant, or donations to the fund, and money from any other source designated by the Legislature. Money in the fund would be used to provide matching funding to state entities, including institutions of higher education, for quantum manufacturing and design projects. The fund could also be used to pay for certain staff support services. The bill would direct the executive committee to request approval from the LBB to use money in the fund. A request would be considered approved on the 30th day after receipt by the LBB, unless expressly denied. Note: 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 in, with, or outside 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 would also create the Quantum University and Business Innovation for Texas Fund as a dedicated account within the General Revenue Fund. The fund would consist of gifts, grant, or donations to the fund, and money from any other source designated by the Legislature. Money in the fund would be used to provide matching funding to state entities, including institutions of higher education, for quantum manufacturing and design projects. The fund could also be used to pay for certain staff support services. The bill would direct the executive committee to request approval from the LBB to use money in the fund. A request would be considered approved on the 30th day after receipt by the LBB, unless expressly denied.
Methodology
It is anticipated the OOG would need an additional 7.5 FTEs to support the Texas Quantum Initiative. The following positions would be needed: 2 Research Specialist IV, 1 Financial Analyst III, 1 Compliance Analyst III, 1 General Counsel III, 1 Director VII, 1 Project Manager IV, 0.5 Programmer III. The total estimate for FTE-related costs, including travel, professional services, and other operating costs, is anticipated to be $3,457,792 for the 2026-27 biennium.There would be an additional indeterminate cost related to the grant program which would be dependent on the number of grant applications and appropriations made for this purpose.
There would be an additional indeterminate cost related to the grant program which would be dependent on the number of grant applications and appropriations made for this purpose.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 300 Trusteed Programs Within the Office of the Governor, 304 Comptroller of Public Accounts
300 Trusteed Programs Within the Office of the Governor, 304 Comptroller of Public Accounts
LBB Staff: b > td > JMc, RStu, LCO, KCu, NV
JMc, RStu, LCO, KCu, NV