Date Requested: February 02, 2015
Time Requested: 02:37 PM
Agency: Higher Education Policy Commission
CBD Number: Version: Bill Number: Resolution Number:
2547 Introduced HB2528
CBD Subject: Education (Higher)


FUND(S):

0596

Sources of Revenue:

General Fund

Legislation creates:

A New Program



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    House Bill 2528, if enacted, would allow any resident of West Virginia who has been employed as a coal miner for ten years or more, and has been laid off from the industry for three or more years in the last ten year period to be eligible to receive a scholarship for tuition and fees at any accredited community and technical college in the state to be retrained in another skill or profession. It is estimated that the cost of this legislation would be approximately $4.5 million during the first two years after passage and about $450,000 per year in subsequent years.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2015
Increase/Decrease
(use"-")
2016
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 4,500,000 4,500,000
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 4,500,000 4,500,000
2. Estimated Total Revenues 0 0 0


Explanation of above estimates (including long-range effect):


    According to Workforce West Virginia, 16,686 employees have been separated from the coal industry since January 2015.Of this group, 5,291 were separated for 36 continuous months or more. It is estimated that 25% or 1,323 of these individuals would take advantage of the provisions of this bill. The average annual tuition rate for the Community and Technical College System is $3,401. The estimated 1,323 individuals who would enroll in community and technical college programs costing $3,401 per year would result in total tuition charges of about $4.5 million. To provide education for the accumulated backlog of individuals from the previous 10 years, it is estimated that $4.5 million would be required for the first two years. In subsequent years it is estimated that about 132 individuals would take advantage of the programs per year. This amount multiplied by the $3,401 tuition rate would total about $450,000.



Memorandum


    Tuition assistance is also available through other sources, including state and federal financial aid programs. WorkForce West Virginia applied for and was awarded an Industry-Wide Mass Layoff National Emergency Grant (NEG) for dislocated coal miners and displaced homemakers. This NEG was designed to assist the dislocated coal miners and displaced homemakers of the mining industry who met eligibility requirements to receive training tuition and supportive services to allow reentry into the workforce in a non-related coal mining profession. Through the State of WV's Sole Source Procurement Process, United Mine Worker of America Career Center in Beckley, WV was selected as the Project Operator. As of today, 471 eligible participants have received services through the WV Statewide Coal Mining NEG. On April 24, 2014 a modification to extend the grant to June 30, 2014, add additional funding, and serve 500 additional dislocated coal miners and displaced homemakers was approved by USDOL.
    
    



    Person submitting Fiscal Note: Ed Magee
    Email Address: emagee@hepc.wvnet.edu