FISCAL NOTE
Date Requested: January 14, 2019
Time Requested: 03:37 PM |
| Agency: |
Higher Education Policy Commission |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1136 |
Introduced |
HB2377 |
|
|---|
| CBD Subject: |
Education (Higher) |
|---|
|
FUND(S):
0596
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 2377, 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 Cost associated with this legislation would be approximately $12.5 million
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2019
Increase/Decrease
(use"-") |
2020
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
12,492,016 |
12,492,016 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
12,492,016 |
12,492,016 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The estimated cost is the additional amount of funding necessary to cover the increased cost for the newly qualified scholars. PROMISE for Certificate and Associate Degree seekers estimated cost includes funding estimates for the following student populations:
(1) Students who:
o Are attending a public community college
o Have a composite ACT score of 18 or higher
o Have high school GPA of 2.5 or higher
o Does not qualify for the PROMISE under the current conditions
o Are pursuing a certificate or an associate degree part-time or full
-time
o Enrolled in a postsecondary education within two years of high school
graduation as first-time freshmen
o Have no other prior credential in the state
(2) Students meeting the qualifications under (1) and returning to a community and technical college with a cumulative college GPA of 2.2 or higher.
Other cost considerations include the following student populations. These reflect the possibility that if this funding becomes available a portion of students who are meeting most of the requirement but are attending a public four-year institutions choose to enroll in a community and technical college to qualify for the scholarship.
(3) Students who:
o Have a composite ACT score of 18 or higher
o Have high school GPA of 2.5 or higher
o Does not qualify for the PROMISE under the current conditions
o Are pursuing an associate degree part-time or full-time
o Enrolled in a postsecondary education within two years of high school
graduation as first-time freshmen
o Have no other prior credential in the state
o Attend a public four-year institution
(3a) Students from (3) who return to a postsecondary institutions with a cumulative college GPA of 2.2 or higher.
(4) Students who:
o Have a composite ACT score of 18 or higher
o Have high school GPA of 2.5 or higher
o Does not qualify for the PROMISE under the current conditions
o Are pursuing a bachelor degree part-time or full-time
o Enrolled in a postsecondary education within two years of high school
graduation as first-time freshmen
o Have no other prior credential in the state
o Attend a public four-year institution
(4a) Students from (3) who return to a postsecondary institutions with a cumulative college GPA of 2.2 or higher.
To account of the possibility that more students are likely to enroll in a community and technical college that would have otherwise attended a four-year institution, a portion of student population (3), (3a), (4), and (4a) are included in the cost estimates.
Other assumptions:
- The average number of students to qualify for one year was calculated
as the three-year average of latest data available
- Average cost per student as calculated as the average full-time
tuition for 2017 for community and technical college ($3,936)
- Cost of estimated per year with one new cohort and one returning cohort
- Award is available for two years (4 semesters)
- Annual administrative cost is estimated at a rate of $20,000 per 1,000
students
The $70,000 administrative cost is associated with ensuring students meet the eligibility and renewal requirements each year.
Memorandum
Person submitting Fiscal Note: Ed Magee
Email Address: Edward.magee@wvhepc.edu