FISCAL NOTE
Date Requested: March 12, 2021
Time Requested: 09:15 AM |
| Agency: |
Higher Education Policy Commission |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2345 |
Comm. Sub. |
SB335 |
|
|---|
| CBD Subject: |
Education (Higher) |
|---|
|
FUND(S):
0589
Sources of Revenue:
General Fund
Legislation creates:
Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Senate Bill 335, if enacted, would make Promise scholarships available to students who wish to pursue a vocational certificate or degree in a community and technical college education program.
The first-year implementation cost is expected to be $1.7 million. Upon full implementation, the total annual cost is estimated to be $3.4 million.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2021
Increase/Decrease
(use"-") |
2022
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
1,700,000 |
3,400,000 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
1,700,000 |
3,400,000 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The estimated cost includes Promise funding provided to students enrolling full-time in certificate or associate degree programs at public state community colleges under the proposed qualifying criteria.
The total number of students to receive funding include:
-Students who enrolled as full-time students during the 2019-2020 academic year
and met the two proposed qualifying criteria:
o ACT composite score of 18 or higher (or SAT composite score of 970 or
higher). SAT score of 970 is considered to be the equivalent of ACT composite
score of 18.
o High school GPA of 2.5 or higher.
-The following additional potential recipients were included:
o Approximately 10% of the students who enrolled as part-time students in 2019-
2020 and met both criteria.
o Students who currently enrolled as full-time students and met the ACT/SAT
criterion, but for whom high school information was not available.
-Students were high school/home school graduates for 2018 or 2019 and enrolled in
2019-2020 academic year as first-time full-time freshmen at a community and
technical college.
- Students were West Virginia residents.
- Students were pursuing a certificate or an associate degree.
- Students currently receiving Promise are excluded from the total estimate.
- Students currently receiving WV Invests grant are included in the total
estimate.
- First year to second year retention rate is estimated at 60%. This estimate was
based on historic fall-to-fall retention of students enrolling in community and
technical colleges and meeting the qualifying criteria.
Carry Forward Award
- The carry forward award was estimated at a total of $1,264. The total was based
on two years in which the students have received lower than the maximum award:
$4,750 (max Promise award) minus $4,118 (average CTC tuition) = $632 carry
forward per year. The students would receive this carry forward award during
their ninth semester of eligibility.
- It was assumed that the current PROMISE recipients pursing a bachelor’s degree
after an associate degree will be eligible for the carry forward award. The
total number of those students is estimated at 60 recipients per year based on
the number of students who enrolled in a bachelor’s degree after receiving
Promise for 4 semesters as an associate degree seeking student.
- For the students enrolled in a community and technical college under the newly
proposed eligibility, it was estimates that 40% of those receiving Promise for 4
semesters as an associate degree seeking students would transfer and pursue a
bachelor’s degree and be eligible for the carry forward award.
The average award is estimated at the average tuition cost for community and technical college for 2019-2020 academic year ($4,118).
Memorandum
Person submitting Fiscal Note: Ed Magee
Email Address: edward.magee@wvhepc.edu