| 122nd MAINE LEGISLATURE | |||||||||
| LD 57 | LR 0475(01) | ||||||||
| An Act To Provide Free Tuition to Students Achieving Learning Results Standards | |||||||||
| Fiscal Note for Original Bill | |||||||||
| Sponsor: Rep. Fischer of Presque Isle | |||||||||
| Committee: Education and Cultural Affairs | |||||||||
| Fiscal Note Required: Yes | |||||||||
| Fiscal Note | |||||||||
| Projections | Projections | ||||||||
| 2005-06 | 2006-07 | 2007-08 | 2008-09 | ||||||
| Net Cost (Savings) | |||||||||
| General Fund | $105,200 | $20,000 | $20,000 | $20,000 | |||||
| Appropriations/Allocations | |||||||||
| General Fund | $105,200 | $20,000 | $20,000 | $20,000 | |||||
| Fiscal Detail and Notes | |||||||||
| The Finance Authority of Maine will require General Fund appropriations of $105,200 in fiscal year 2005-06 and $20,000 in fiscal year 2006-07. The costs in fiscal year 2005-06 include $85,200 in one-time expenses related to establishing the program, rulemaking, preparation of notices and related mailings and programming costs. The Authority estimates the on-going costs associated with administering the program to be $20,000 per year beginning in fiscal year 2005-06. | |||||||||
| Although the actual revenue loss to the postsecondary educational institutions as a result of the tuition waiver can not be determined at this time, the following estimates are based on the assumption that this legislation was in effect for the 2004-2005 school year. The ability of each of these higher education institutions to absorb these costs without additional General Fund appropriations, increasing tuitions and/or fees for other students, or impacting other existing programs and services can not be determined at this time. | |||||||||
| The estimated loss of revenue to Maine Maritime Academy would have been approximately $1,043,000, based on the following assumptions: 175 of the 264 first year students (66%) were Maine residents; all 175 students satisfied the criteria to be eligible for the tuition waiver; and the in-state tuition cost was $5,960 for the school year. | |||||||||
| The revenue loss to the University of Maine System would have been approximately $14,835,380 based on the following assumptions: 3,240 full-time and 355 part-time first year students enrolled at the 7 campuses systemwide in the fall of 2004 were Maine residents; all of these students were deemed eligible for the tuition waiver; they registered for courses totaling approximately 47,713 credit hours, and the cost per credit hour ranged from $132 to $170 depending on what campus the student was enrolled at. | |||||||||
| The revenue loss to the Maine Community College System is projected to be $6,126,000 based on the following assumptions: 2,730 first year students enrolled at the Maine Community College System; all students satisfied the eligibility criteria for the tuition waiver; each of these students would earn approximately 33 credits during their first year and the in-state tuition cost was $66 per credit hour. | |||||||||