NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.

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(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates/Conflicts with/Companion to/Relates to

SOURCES OF INFORMATION

State Department of Public Education (SDE)

Commission on Higher Education (CHE)

LFC Files

SUMMARY

Synopsis of Bill

This bill appropriates $150.0 to SDE for expansion of the Adult Basic Education (ABE) programs and services in rural areas of the state.

Significant Issues

The State Department of Education conducted a study in 1997 that identified approximately 3,500 eligible adults unable to participate in ABE programs because services are not available in rural areas where they reside.

SDE reports that there are currently 28 administrative entities that operate ABE programs at 279 instructional sites throughout the state. The administrative entities include nineteen state supported two-year colleges, four community based organizations, two local education agencies, Department of Corrections, and two post-secondary Bureau of Indian Affairs schools. Of the 28 administrative sites in operation, 6 were funded in the last three years to meet the growing need. The six new sites added are: Alamo Navajo; Eastern New Mexico University - Ruidoso, University of New Mexico - Taos, Dine College - Shiprock, Tepeyac consortium-Gallup, and the Gathering Place - Thoreau.

These funds would cover the cost to create new instructional centers to serve eligible students in rural isolated areas.

FISCAL IMPLICATIONS

House Bill 362 appropriates $150.0 to SDE from the general fund for expenditure in fiscal year 2001 to expand the Adult Basic Education programs in rural areas. Any unexpended or unencumbered balances remaining at the end of fiscal year 2001 shall revert to the general fund.

ADMINISTRATIVE IMPLICATIONS

The State Department of Education currently administers the Adult Basic Education program with 1.10 full-time employees, funded from the federal Adult Literacy Grant. The department also receives approximately $13.0 from indirect costs to administer to program. Federal funding also supports an additional ABE position housed at Santa Fe Community College to assist with the administration and monitoring of the statewide programs.

The State Department Of Education indicates that this legislation would provide for the continuation of an on-going project currently administered by the department.

RELATES/DUPLICATION

Included in House Appropriations and Finance Committee Substitute for HB2 et. al. was $5,000.0 for Adult Basic Education programs, a $300.0 increase over FY00.

CTF/prr