MINUTES 
          
                           SENATE COMMITTEE ON FINANCE 
                  Subcommittee on Articles II and VIII Agencies 
                            Friday, November 7, 1997 
                                    9:30 a.m. 
                         Capitol Extension, Room E1.036 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Senate Interim Finance  
         Subcommittee on Articles II and VIII Agencies was held on  
         Friday, November 7, 1997 in the Capitol Extension, Room  
         E1.036, at Austin, Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Jane Nelson, Chair              Senator Royce West 
         Senator Carlos Truan 
          
                                      ***** 
          
         Senator Nelson called the meeting to order at 9:40 a.m.  The  
         following business was transacted.   
          
         The following members arrived after the roll was called:   
         none. 
          
         The Chair made opening remarks on the committee's charges,  
         explained the purpose of the meeting,  and announced that  
         designated staff would be allowed to participate in committee  
         discussions in the absence of members. 
          
         The Chair laid out the proposed rules for the Senate Interim  
         Finance Subcommittee on Articles II and VIII Agencies and  
         called for revisions.  There being none, Senator Truan moved  
         their approval.  There being no objection, the rules were  
         adopted by unanimous consent. 
          
         The Chair called invited panelists to brief committee members  
         on the budget process and subcommittee resources.  The  
         following panelists presented testimony as follows: 
          
              Anita Zinnecker, representing the Legislative Budget  
              Board, provided an overview of the legislative budget  
              process and answered questions of the committee. 
          
              John O'Brien, representing the Legislative Budget Board,  
              provided an overview of line item strategies and answered  
              questions of the committee. 
          
              Sam Martin, representing the Legislative Budget Board,  
              provided an overview on performance measures and answered  
              questions of the committee. 
          
              Rick Travis, representing the Legislative Budget Board,  
              provided an overview on full-time equivalent (FTE) caps  
              and answered questions of the committee. 
          
              Larry Alwin, State Auditor, provided an overview on   
              State Auditor reports and agency accountability, and  
              answered questions of the committee. 
          
              Andrea Claire, representing the State Auditor's Office,  
              provided an overview on performance measures  
              certification and answered questions of the committee. 
          
              Kelli Dan, representing the State Auditor's Office,  
              provided an overview on FTE Trends and answered questions  
              of the committee. 
          
              Joey Longley, representing the Sunset Commission,  
              provided an overview of the Sunset Review process and  
              answered questions of the committee. 
          
         The Chair called representatives from various Article VIII  
         agencies to answer questions of the committee regarding the  
         committee charges.  Invited witnesses appeared as follows: 
          
              K. Michael Conaway, representing the Texas State Board of  
              Public Accountancy, provided oral testimony. 
          
              Jerry A. Davis, representing the Texas State Board of  
              Public Accountancy, provided oral testimony. 
          
              Jimmie L. Mason, representing the Texas State Board of  
              Public Accountancy, provided oral testimony. 
          
              William Treacy, representing the Texas State Board of  
              Public Accountancy, provided oral and written testimony. 
          
              Alan Hermanson, representing the Texas State Board of  
              Public Accountancy, provided written testimony only. 
          
              John O. Greer, representing the Texas Board of  
              Architectural Examiners, provided oral testimony. 
          
              Cathy Hendricks, representing the Texas Board of  
              Architectural Examiners, provided oral and written  
              testimony. 
          
              Charles Clay Mills, representing the State Board of  
              Barber Examiners, provided oral and written testimony. 
          
              Charles E. Williams, representing the State Board of  
              Barber Examiners, provided oral and written testimony. 
          
              Dr. Oliver R. Smith, Jr., representing the Texas Board of  
              Chiropractic Examiners, provided oral testimony. 
          
              Freddy Wolff, representing the Texas Board of  
              Chiropractic Examiners, provided oral testimony. 
          
              Delores L. Alspaugh, representing the Texas Cosmetology  
              Commission, provided oral testimony. 
          
              Penny Black, representing the Texas Cosmetology  
              Commission, provided oral testimony. 
          
              Commer J. Cottrell, representing the Texas Cosmetology  
              Commission, provided oral testimony. 
          
              Garold "Gary" Base, representing the Texas Credit Union  
              Department, provided oral testimony. 
          
              Harold E. Feeney, representing the Texas Credit Union  
              Department, provided oral testimony. 
          
              Lynette Pool-Harris, representing the Texas Credit Union  
              Department, provided oral testimony. 
          
              Douglas, A. Beran, representing the State Board of Dental  
              Examiners, provided oral testimony. 
          
              Carol McPherson, representing the State Board of Dental  
              Examiners provided oral testimony. 
          
         The Chair laid out the following proposed subcommittee  
         schedule: 
          
              January 20-21, 1998:  Two-day hearing to take testimony  
              from remaining regulatory agencies. 
          
              February 18-19, 1998:  Two-day hearing to take testimony  
              from health and human services agencies. 
          
              March 31, 1998:  One-day hearing to consider and adopt  
              subcommittee recommendations. 
          
              June 1, 1998:  Submit final subcommittee report to  
              Finance Committee. 
          
         The Chair announced that committee members had been contacted  
         regarding the proposed schedule and had no objections. 
          
         There being no further business, at 3:50 p.m., Senator Nelson  
         announced that the Senate Interim Finance Subcommittee on  
         Articles II and VIII Agencies would stand recessed subject to  
         the call of the Chair.  Without objection, it was so ordered. 
  
         ________________________ 
         Senator Jane Nelson, Chair 
          
         ________________________ 
         Patricia Hicks, Clerk