FISCAL NOTE

Date Requested: January 10, 2018
Time Requested: 02:32 PM
Agency: Higher Education Policy Commission
CBD Number: Version: Bill Number: Resolution Number:
1215 Introduced SB66
CBD Subject: Education (Higher), Military and Veterans


FUND(S):

0589,0596

Sources of Revenue:

General Fund

Legislation creates:

Increases Existing Expenses



Fiscal Note Summary


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


    Senate Bill 66, if enacted, would provide certain members of the Reserve and Armed Forces with in-state resident tuition rates. Active members of a Reserve unit in West Virginia who are not West Virginia residents, as well as current members of the United States Armed Forces who reside in West Virginia, would be granted resident status for tuition rate assessment purposes. The cost associated with this legislation is approximately $5.6 million if 100 percent of the estimated eligible Reserve members enroll in West Virginia public institutions.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2018
Increase/Decrease
(use"-")
2019
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 5,600,000 5,600,000
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 5,600,000 5,600,000
2. Estimated Total Revenues 0 0 0


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


    Approximately 2,000 Reserve members serve in West Virginia. It is estimated that approximately 30 percent are not residents of the State. The additional cost per Reserve member is about $9,300. This amount is determined by subtracting the average four-year resident tuition rate ($7,200) from the average four-year non-resident tuition rate ($16,500).
    
    The percentage of eligible members who may enroll at West Virginia public higher education institutions is unknown. It is estimated that 100 percent of eligible members may enroll. The estimated costs at the following enrollment percentage levels are:
    
    100% $5,580,000
     75% $4,185,000
     50% $2,790,000
     25% $1,395,000
    
    Higher Education Policy Commission Series 25 permits Armed Forces members to be considered residents for tuition and fee assessment purposes if they are stationed in West Virginia or if they resided in West Virginia at the time of entering service. The language in Senate Bill 66 does not appear to extend resident treatment for active duty Armed Forces members beyond what is currently permitted; consequently, no additional costs are associated with the Armed Forces provisions of the legislation.
    



Memorandum


    



    Person submitting Fiscal Note: Ed Magee
    Email Address: edward.magee@wvhepc.edu