FISCAL NOTE
FUND(S):
0589,4295
Sources of Revenue:
General Fund,Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
House Bill 2180, if approved, would allow the Higher Education Policy Commission rule-making authority to redeem or secure repayment of Promise Scholarship Funds from students who withdraw or drop classes after the end of the add/drop period.
According to HB 2180, If a student receiving Promise scholarship funds withdraws or drops a class after the end of the add/drop period, then the per credit hour cost of the course will be taken from the student’s promise award for the following term or semester. The bill language further states that if a student graduates or fails to return to school, then repayment shall be made directly to the Higher Education Policy Commission. Costs assoicated with the Promise Scholarship would be reduced approximately $360,000 if the legislation was enacted.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2011
Increase/Decrease
(use"-") |
2012
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
-360,320 |
-360,320 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
-360,320 |
-360,320 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
HEPC staff report that there are currently 9,224 students who are currently receiving Promise Scholarships, 8,167 of which are enrolled at West Virginia public institution’s. Of these students, there are currently 107 enrolled full-time whose credit hours are reported as being less than 12. Students do not pay for courses taken in excess of the 12 hour-full time load. The associated credit hours dropped for these 107 students are 1,126; therefore, the dollar amount that could be deemed for repayment by the Promise Scholarship recipients is estimated to be $180,160 per semester or $360,320 per academic year. This estimate is based on the average per credit hour tuition charge for a resident undergraduate student of $160 for FY 2011.
Memorandum
Person submitting Fiscal Note: Ed Magee
Email Address: emagee@hepc.wvnet.edu