[1] NOTE:  As provided in LFC policy, this report is intended only 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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F I S C A L   I M P A C T   R E P O R T

 

 

 

SPONSOR:

Taylor, JP

 

DATE TYPED:

02/04/02

 

HB

103

 

SHORT TITLE:

Student Teacher Scholarship Program

 

SB

 

 

 

ANALYST:

Fernandez

 

APPROPRIATION

 

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY02

FY03

FY02

FY03

 

 

 

$700.0

 

 

Recurring

General Fund

 

 

 

 

 

 

(Parenthesis ( ) Indicate Expenditure Decreases)

 

Duplicates/Relates to Appropriation in The General Appropriation Act                                           

 

Relates to HB109                                                                   

                                                                                                                                               

 

SOURCES OF INFORMATION

 

Commission on Higher Education (CHE)

State Department of Public Education (SDE)

 

SUMMARY

 

     Synopsis of Bill

 

House Bill appropriates $700.0 from the general fund to the Student Teacher Scholarship Fund for administration by the CHE for the purpose of establishing a student teacher scholarship program that encourages individuals to enter the teaching profession and to retain teachers in New Mexico.

 

     Significant Issues

 

The funds would be used to pay full tuition for scholarship recipients during the semesters in which they are student teaching provided that they teach in a public or state-board-of education approved private school setting for a period of one year after completion of student teaching.

 

According to CHE, this proposal is similar to the “Teacher Loan for Service” program already in place in that it requires recipients to agree to teach in New Mexico for one year.  The Teacher Loan for Service program provides for the forgiveness of student loans for students that agree to stay and teach in New Mexico for a specified period of time.  The Teacher Loan for Service program also contains a provision for penalties in case a student fails to provide the required service. 

 

FISCAL IMPLICATIONS

 

The appropriation of $700.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of a fiscal year shall not revert.

 

ADMINISTRATIVE IMPLICATIONS

 

The CHE is required to promulgate rules and regulations and to develop internal procedures.  CHE currently oversees 8 loan for service programs.  The bill does allow CHE to use three percent of the fund for administration of the program.

 

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP

 

Relates to HB109. which creates a Future Teachers Program to recruit high school students into teacher preparation programs.

 

TECHNICAL ISSUES

 

It is not necessary to create a special fund for this purpose.  The CHE has established one fund for all student financial aid programs in which funds flow in and out to various institutions.

 

OTHER SUBSTANTIVE ISSUES

 

New Mexico is currently facing a projected shortage of teachers.  This proposal is one way to increase the pool of prospective teachers into the profession.  CHE indicates that often students in teacher education programs must work full- or part-time while they are attending school to support themselves, families and pay for their education.

 

CTF/njw


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