COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. NO.: 3595-01

BILL NO.: SB 790

SUBJECT: Education, Higher: Libraries

TYPE: Original

DATE: January 31, 2000




FISCAL SUMMARY



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
General Revenue $0 $0 $0
Total Estimated

Net Effect on All

State Funds

$0 $0 $0



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Federal $0 $0 $0
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Local Government $0 $0 $0

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 4 pages.



FISCAL ANALYSIS



ASSUMPTION



Officials from the Coordinating Board For Higher Education (CBHE) assume there would technically be a significant fiscal impact to the CBHE as two large operations would be transferred to the Board's responsibility. It is assumed that the resources currently used by the Secretary of State's office would be transferred into the CBHE's budget resulting in no net fiscal impact to the state.



Officials from the Secretary of State's Office assume approximately 56 FTE and expenses and equipment would be transferred from the libraries to the Coordinating Board For Higher Education (CBHE). These costs would be transferred from General Revenue and Federal Funds. The SOS assumes funds passing from the SOS to local libraries would continue to do so under the CBHE. Approximately $8,978,326, of which $1,500,000 is federal aid to libraries; $2,843,341 is state aid for public libraries; $786,426 is for public library automation; $2,950,000 is for the REAL Project; $69,450 is for literacy; and $829,109 is for library networking, goes to local libraries. The SOS also assumes equipment currently used for the libraries would be under the control of the CBHE. Therefore, equipment values are not included in the fiscal impact. The SOS officials stated it is unknown if the transfer of the libraries would mean a move out of the Kirkpatrick Information Center. The State Library and Wolfner Library currently occupy 50,099 square feet in the Kirkpatrick Information Center. For purposes of the fiscal note, the Oversight Division assumes the location of the libraries would not change.



FISCAL IMPACT - State Government FY 2001

(10 Mo.)

FY 2002 FY 2003
GENERAL REVENUE FUND
Savings-Secretary of State's Office-SOS
Personal Services $964,798 $1,186,703 $1,216,370
Fringe Benefits $296,675 $364,911 $374,034
Expense and Equipment $558,683 $690,532 $711,248
Local Library Assistance $6,231,938 $7,702,676 $7,933,756
Total Savings-SOS $8,052,094 $9,944,822 $10,235,408
Cost-Coordinating Board For Higher Education (CBHE)
Personal Services ($964,798) ($1,186,703) ($1,216,370)
Fringe Benefits ($296,675) ($364,911) ($374,034)
Expense and Equipment ($558,683) ($690,532) ($711,248)
Local Library Assistance ($6,231,938) ($7,702,676) ($7,933,756)
Total Costs-CBHE ($8,052,094) ($9,944,822) ($10,235,408)
ESTIMATED NET EFFECT ON
GENERAL REVENUE FUND $0 $0 $0
FEDERAL FUNDS
Savings-Secretary of State's Office-SOS
Personal Services $398,562 $490,231 $502,486
Fringe Benefits $122,558 $150,746 $154,514
Expense and Equipment $189,645 $234,401 $241,434
Aid to Libraries $1,250,000 $1,500,000 $1,500,000
Total Savings-SOS $1,960,765 $2,375,378 $2,398,434
Cost-Coordinating Board For Higher Education (CBHE)
Personal Services ($398,562) ($490,231) ($502,486)
Fringe Benefits ($122,558) ($150,746) ($154,514)
Expense and Equipment ($189,645) ($234,401) ($241,434)
Aid to Libraries ($1,250,000) ($1,500,000) ($1,500,000)
Total Cost-CBHE ($1,960,765) ($2,375,378) ($2,398,434)
ESTIMATED NET EFFECT ON
FEDERAL FUNDS $0 $0 $0



FISCAL IMPACT - Local Government FY 2001

(10 Mo.)

FY 2002 FY 2003
$0 $0 $0

FISCAL IMPACT - Small Business



No direct fiscal impact to small businesses would be expected as a result of this proposal.



DESCRIPTION



The proposal would transfer the control of the State Library and Wolfner Library from the Secretary of State's Office to the Coordinating Board For Higher Education.



This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.



SOURCES OF INFORMATION



Secretary of State's Office

Coordinating Board For Higher Education







Jeanne Jarrett, CPA

Director

January 31, 2000