FISCAL NOTE
Date Requested: January 13, 2022 Time Requested: 03:14 PM |
Agency: |
Higher Education Policy Commission |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
1226 |
Introduced |
HB4072 |
|
CBD Subject: |
Education (Higher) |
---|
|
FUND(S):
General
Sources of Revenue:
General Fund
Legislation creates:
Creates New Expense
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
House Bill 4072, if enacted, would increase the PROMISE Scholarship total award to $9,200 per academic year or to the full cost of tuition, whichever is smaller.
The annual cost of this legislation would be approximately $43.7 million, in addition to the $47.5 million currently appropriated for the PROMISE Scholarship Program.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2022 Increase/Decrease (use"-") |
2023 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) |
1. Estmated Total Cost |
0 |
43,700,000 |
43,700,000 |
Personal Services |
0 |
0 |
0 |
Current Expenses |
0 |
0 |
0 |
Repairs and Alterations |
0 |
0 |
0 |
Assets |
0 |
0 |
0 |
Other |
0 |
43,700,000 |
43,700,000 |
2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The cost estimates are best on the following assumptions:
- The current PROMISE recipients already in the higher education pipeline would be
eligible for the increased award.
- The cost for students attending public West Virginia Community and Technical
Colleges is estimated at the average associate degree in-state tuition for 2021-
2022 academic year.
- The cost for students attending four-year public institutions is estimated at
the 2021-2022 in-state tuition.
- The cost for students attending private colleges and universities is estimated
at $9,200. The in-state tuition at those institutions is higher than $9,200.
- The number of 1st, 2nd, 3rd, and 4th year recipients are based on a 3-year
average.
Memorandum
Because the cost of the proposed bill would increase proportionately with any future increases of in-state tuition, a second scenario estimating the total cost with 5% tuition increase is included. If the tuition at the institutions increases 5%, the total cost would be $45.8 million, in addition to the $47.5 million currently appropriated to fund the PROMISE Scholarship.
Person submitting Fiscal Note: Ed Magee
Email Address: edward.magee@wvhepc.edu