Honorable Kelly Hancock, Chair, Senate Committee on Veteran Affairs
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB300 by Wilson (Relating to the Texas Armed Services Scholarship Program.), As Engrossed
Estimated Two-year Net Impact to General Revenue Related Funds for HB300, As Engrossed: a negative impact of ($6,070,630) through the biennium ending August 31, 2027.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five- Year Impact:
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2026
($3,035,315)
2027
($3,035,315)
2028
($3,035,315)
2029
($3,035,315)
2030
($3,035,315)
All Funds, Five-Year Impact:
Fiscal Year
Probable Savings/(Cost) from General Revenue Fund 1
2026
($3,035,315)
2027
($3,035,315)
2028
($3,035,315)
2029
($3,035,315)
2030
($3,035,315)
Fiscal Analysis
The bill would increase the award amount for the Texas Armed Service Scholarship Program from $15,000 to the greater of $30,000 or the average cost of attendance at all institutions of higher education as determined by the Higher Education Coordinating Board.
Methodology
Based on information provided by the Board, $3.0 million in additional funding per year would be needed to support the increase of the maximum scholarship for each year of the program. This projection was based on the assumption that the maximum 185 participants will be added to the program each year. The maximum scholarship amount used in the Board's funding projection was based on historical data to calculate the average scholarship that would occur based on the increase to $30,000, while taking into account the cost of attendance cap.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.