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.





F I S C A L I M P A C T R E P O R T





SPONSOR: Stapleton DATE TYPED: 2/19/99 HB 91/aHEC
SHORT TITLE: UNM Minority Engineering Program SB
ANALYST: Pacheco-Perez


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
 Recurring

or Non-Rec

 Fund

Affected

FY99 FY2000 FY99 FY2000
$ 300.0 Recurring GF

(Parenthesis ( ) Indicate Revenue Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



Commission on Higher Education (CHE)



SUMMARY



Synopsis of HEC Amendment



This amendment moves the appropriation from the minority engineering program to the College of Engineering/College of Arts and Sciences Minorities in Engineering, Mathematics and Science Program.



Synopsis of Bill



This bill appropriates $300.0 to the Board of Regents of the University of New Mexico for the purpose of funding minority engineering program at the College of Engineering. The program provides academic support services to minority undergraduates majoring in engineering, math and science (MEMS).



Significant Issues



According to the CHE, the program proposed in this bill provides a summer bridge program, study groups, scholarships and undergraduate research experiences designed to recruit and retain minority students into the fields of math, engineering and science. The program has been funded in the past by a Department of Defense grant and has served more than 1,500 students over four years.



The funding proposed in this bill ranked 5th of eleven special project requests made by UNM. The recruitment and retention aspects of the MEMS program are consistent with the students services function at UNM. The CHE has encouraged UNM to reallocate funds within its student services budget, supported by the student services formula, to integrate this program into the institution's budget.



FISCAL IMPLICATIONS



The appropriation of $300.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of FY00 shall revert to the general fund.



OTHER SUBSTANTIVE ISSUES



According to the CHE, the state higher education funding formula allows institutions to retain 100% of earned overhead on federal grants and contracts for the purpose of providing seed money and matching funds for projects such as that proposed in this bill.



APP/gm