SENATE COMMITTEE ON FINANCE 
                Interim Subcommittee on Tobacco Settlement Proceeds 
                               Thursday, May 18, 2000 
                                     1:00 p.m. 
                           Capitol Extension, Room E1.036 
         Pursuant to a notice posted in accordance with Senate Rule  
         11.18, a public hearing of the Senate Committee on Finance was  
         held on Thursday, May 18, 2000, in the Capitol Extension, Room  
         E1.036, at Austin, Texas. 
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Royce West, Chair               Senator Mike Moncrief 
         Senator Robert Duncan                   Senator Steve Ogden 
         Senator Troy Fraser                      
         The chair called the meeting to order at 1:15 p.m.  There being  
         a quorum present, the following business was transacted:   
         The chair made opening remarks and proceeded with the hearing as  
         Invited Testimony 
         Lee Dixon, representing the National Conference of State  
         Legislatures provided an overview of other states' use of  
         tobacco settlement proceeds. 
         Public Testimony 
         Glen Gardner and Bill McLemore, representing the Texas Coalition  
         of State Veterans Organizations provided testimony on the  
         possible use of tobacco proceeds for veterans' nursing homes. 
         Other individuals registering but not testifying included: 
              James R. Adams, representing the Texas Veterans Commission; 
              Leonardo Barraza, representing the Texas Veterans Affairs; 
              John Brieden, III, representing the American Legion; 
              Jim Duncan, representing the Texas Veterans Commission; 
              Stonell Greene, representing the Veterans of Dallas County; 
              Jesse Moss, M.D., representing the Lone Star Medical  
              Roger D. Walker, Sr., representing the Veterans County  
              Service Officers Association of Texas. 
         John O'Brien, representing the Legislative Budget Board,  
         answered questions of the committee regarding tobacco  
         allocations for recurring services and expected revenues for the  
         next biennium. 
         There being no further business, at 2:20 p.m. Senator Duncan  
         moved that the Committee stand recessed subject to the call of  
         the chair.  Without objection, it was so ordered.   
         Senator Royce West, Chair 
         Patricia Hicks, Clerk