TO: | Honorable Frank Corte, Jr., Chair, House Committee on Defense Affairs & State-Federal Relations |
FROM: | John S. O'Brien, Deputy Director, Legislative Budget Board |
IN RE: | HB1010 by Corte (Relating to the eligibility of children of certain military personnel to receive Texas B-On-time loans.), As Introduced |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2006 | ($53,850) |
2007 | ($91,545) |
2008 | ($117,213) |
2009 | ($139,579) |
2010 | ($152,700) |
Fiscal Year | Probable (Cost) from GENERAL REVENUE FUND 1 |
---|---|
2006 | ($53,850) |
2007 | ($91,545) |
2008 | ($117,213) |
2009 | ($139,579) |
2010 | ($152,700) |
The Higher Education Coordinating Board (HECB), based on information provided by the Department of Defense Education Activity Agency, estimates there are 3,000 students graduating from Department of Defense (DoD) schools worldwide. One-half of one percent of Texas high school graduates will use the B-On-Time program. HECB estimates that 15 DoD graduating students will be eligible for B-On-Time loans in the first year.
The retention rates for the Texas Grant would be used to determine the number of eligible students each year. Those rates are 100 percent for freshmen, 70 percent for sophomores, 65 percent for juniors, 89 percent for seniors, and 68 percent for fifth year seniors. HECB assumes that 15 new students will be added to the program each year. The loan amount is estimated to be $3,590 each year.
Based on these assumptions, the costs will be $53,850 in fiscal year 2006, $93,340 in fiscal year 2007, $117,213 for fiscal year 2008, $139,579 for fiscal year 2009, and $152,700 for fiscal year 2010.
Source Agencies: | 781 Higher Education Coordinating Board
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LBB Staff: | JOB, KJG, RT, GO
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