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Board Report #02-9

2001-03 Biennial Budget Update

 

Dear Board Member,

I am pleased to share with you the Higher Educational Aids Board (HEAB) 2001-03 Biennial Budget Governor McCallum signed into law August 30, 2001. Thank you for your time and effort in providing recommendations and feedback that contributed to this budget. I also thank those Board members who were able to meet with legislators to discuss the various HEAB budget related issues. I believe this was very valuable work.

I have attached a spreadsheet that describes funding levels for the various programs. Total program funding for the 01-03 biennial period has increased by $6,893,100 moving from $64,315,300 to $66,400,000 in 01-02 and $69,213,700 in 02-03. The funding increase touches existing programs as well as establishes a new Nursing Student Loan Program. Non funding related changes are as follows:

  1. Requires HEAB to report annually the effectiveness of the Minority Undergraduate Retention Grant Program.
  2. Eliminates the maximum award statutory language under the Wisconsin Tuition Grant Program.
  3. Requires HEAB to develop a plan for implementing a forgivable loan program for farmers who graduate from University of Wisconsin institutions or Wisconsin Technical Colleges.
  4. Prohibits students from receiving State assistance if they have not registered (if required) with the Selective Service System.

Again, I thank you for your work and encourage you to recognize our Wisconsin Legislators and Governor McCallum for supporting Higher Education in Wisconsin. If you have questions or would like more information about the 2001-03 Biennial Budget, please feel free to contact me via phone at (608)264.6181 or via email at jane.hojan-clark@heab.state.wi.us. Please also visit HEAB's website at http://heab.state.wi.us for more information.

Sincerely,

Jane Hojan-Clark
Executive Secretary

 

STATE OF WISCONSIN
HIGHER EDUCATIONAL AIDS BOARD
2001-2003 BIENNIAL BUDGET

PROGRAMS 2000-01
BUDGET
FINAL BUDGET
SIGNED BY
GOVERNOR
2001-02
% OF
INCREASE
FROM 00-01
FINAL BUDGET
SIGNED BY
GOVERNOR
2002-03
% OF
INCREASE
FROM 01-02
Tuition Grant
Wisconsin Higher Education Grant-WTC
Wisconsin Higher Education Grant-UW
Talent Incentive Grant
Wisconsin Higher Education Grant-Tribal
21,038,600
13,201,900
18,900,300
4,503,800
400,000
21,564,600
13,631,000
19,750,800
4,503,800
400,000
2.5
3.25
4.5
0.0
0.0
22,103,700
14,074,000
20,639,600
4,503,800
404,000
2.5
3.25
4.5
0.0
1.0
Indian Student Assistance
Minority Undergraduate Grant
Minority Teacher Loan
Dental Education Contract
Academic Excellence Scholarship*
Handicapped Grant
779,800
693,100
240,000
1,167,000
2,917,000
123,800
779,800
724,300
250,800
1,342,100
2,979,000
123,800
0.0
4.5
4.5
15.0
1.0
0.0
787,600
756,900
262,100
1,692,200
3,041,000
123,800
1.0
4.5
4.5
26.0
2.0
0.0
Teacher Education Loan
Loan for Teachers of the Visually Impaired
MN-WI Reciprocity**
250,000
100,000
0.0
250,000
100,000
0.0
0.0
0.0
0.0
275,000
100,000
0.0
10.0
0.0
0.0
New Nursing Student Loan Program 0.0 0 0.0 450,000 100.0
TOTAL 64,315,300 66,400,000 3.2 69,213,700 4.1

* Fund increased to reflect a reestimate of the amount required to fully fund the program in the 2001-03 biennium.
** Funding is only necessary when a liability payment is due (which currently is not being projected).

 

2001 Wisconsin Act 16 2001 Senate Bill 55
STATUTE AGENCY AND PURPOSE SOURCE TYPE 2001-02 2002-03
20.235 Higher educational aids board
(1) STUDENT SUPPORT ACTIVITIES
(b) Tuition grants GPR B 21,564,600 22,103,700
(cg) Nursing student loans GPR A -0- -0-
(cm) Nursing student loan program GPR A -0- 450,000
(cr) Minority teacher loans GPR A 250,800 262,100
(cu) Teacher education loan program GPR A 250,000 275,000
(cx) Loan pgm for teachers & orient &
mobility instructors of vis imp pupils
GPR A 100,000 100,000
(d) Dental education contract GPR A 1,342,100 1,517,100
(e) Minnesota-Wisconsin student
reciprocity agreement
GPR S -0- -0-
(fc) Independent student grants program GPR B -0- -0-
(fd) Talent incentive grants GPR B 4,503,800 4,503,800
(fe) Wisconsin higher education grants;
University of Wisconsin system students
GPR B 19,750,800 20,639,600
(ff) Wisconsin higher education grants;
technical college students
GPR B 13,631,000 14,074,000
(fg) Minority undergraduate retention
grants program
GPR B 724,300 756,900
(fj) Handicapped student grants GPR B 123,800 123,800
(fy) Academic excellence higher education
scholarship program
GPR S 2,917,000 2,917,000
(g) Student loans PR A -0- -0-
(gg) Nursing student loan repayments PR C -0- -0-
(gm) Indian student assistance; contributions PR C -0- -0-
(i) Gifts and grants PR C -0- -0-
(k) Indian student assistance PR-S B 779,800 787,600
(km) Wisconsin higher education grants;
tribal college students
PR-S B 400,000 404,000
(no) Federal aid; aids to individuals and
organizations
PR-F C 875,800 875,800
(1) PROGRAM TOTALS
GENERAL PURPOSE REVENUES 65,158,200 67,723,000
PROGRAM REVENUE
      FEDERAL
      OTHER
      SERVICE
2,055,600
(875,800)
(-0-)
(1,179,800)
2,067,400
(875,800)
(-0-)
(1,191,600)
TOTAL-ALL SOURCES 67,213,800 69,790,400
(2) ADMINISTRATION
(aa) General program operations GPR A 802,200 802,200
(bb) Student loan interest, loans sold or
conveyed
GPR S -0- -0-
(bc) Write-off of uncollectible student loans GPR A -0- -0-
(bd) Purchase of defective student loans GPR S -0- -0-
(ga) Student interest payments PR C 1,000 1,000
(gb) Student interest payments, loans sold
or conveyed
PR C -0- -0-
(ia) Student loans; collection and
administration
PR C -0- -0-
(ja) Write-off of defaulted student loans PR A -0- -0-
(n) Federal aid; state operations PR-F C -0- -0-
(qa) Student loan revenue obligation
repayment
SEG C -0- -0-
(qb) Wisconsin health education loan
revenue obligation repayment
SEG C 76,200 76,200
(2) PROGRAM TOTALS
GENERAL PURPOSE REVENUES 802,200 802,200
PROGRAM REVENUE
      FEDERAL
      OTHER
1,000
(-0-)
(1,000)
1,000
(-0-)
(1,000)
SEGREGATED FUNDS
      OTHER
76,200
(76,200)
76,200
(76,200)
TOTAL-ALL SOURCES 879,400 879,400
20.235 DEPARTMENT TOTALS
GENERAL PURPOSE REVENUES 65,960,400 68,525,200
PROGRAM REVENUE
      FEDERAL
      OTHER
      SERVICE
2,056,600
(875,800)
(1,000)
(1,179,800)
2,068,400
(875,800)
(1,000)
(1,191,600)
SEGREGATED FUNDS
      OTHER
76,200
(76,200)
76,200
(76,200)
TOTAL-ALL SOURCES 68,093,200 70,669,800

 

2001 Wisconsin Act 16           2001 Senate Bill 55

 

SECTION 481. 20.235 (intro.) of the statutes is amended to read:
20.235 Higher educational aids board. (intro.) There is appropriated to the department of education higher educational aids board for the following programs:

SECTION 481e. 20.235 (1) (cm) of the statutes is created to read:
20.235 (1) (cm) Nursing student loan program. The amounts in the schedule for the nursing student loan program under s. 39.393.

SECTION 481m. 20.235 (1) (d) of the statutes is amended to read:
20.235 (1) (d) Dental education contract. The amounts in the schedule for support of those Wisconsin residents enrolled as full-time students in the pursuit of a doctor of dental surgery (D.D.S.) degree. An amount of $11,330 in the 1993-94 fiscal year and $11,670 in the 1994-95 fiscal year and annually thereafter shall be disbursed under s. 39.46 for each Wisconsin resident enrolled as a full-time student. The maximum number of Wisconsin residents to be funded under this appropriation is 100 160 in the 1993-94 2001-02 fiscal year and thereafter.

SECTION 483. 20.235 (1) (k) of the statutes is amended to read:
20.235 (1) (k) Indian student assistance. Biennially, the amounts in the schedule to carry out the purposes of s. 39.38. All moneys transferred from the appropriation account under s. 20.505 (8) (hm) 4i. shall be credited to this appropriation account. Notwithstanding s. 20.001 (3) (b), the unencumbered balance on June 30 of each odd-numbered year shall revert to the appropriation account under s. 20.505 (8) (hm).

SECTION 484. 20.235 (1) (km) of the statutes is amended to read:
20.235 (1) (km) Wisconsin higher education grants; tribal college students. Biennially, the amounts in the schedule for the Wisconsin higher education grant program under s. 39.435 for tribal college students, except for grants awarded under s. 39.435 (2) or (5). All moneys transferred from the appropriation account under s. 20.505 (8) (hm) 10. shall be credited to this appropriation account. Notwithstanding s. 20.001 (3) (b), the unencumbered balance on June 30 of each odd-numbered year shall revert to the appropriation account under s. 20.505 (8) (hm).

SECTION 1359m. 36.27 (2) (b) 3. of the statutes is created to read:
36.27 (2) (b) 3. Nonresident persons who served in active duty in the U.S. armed forces for at least 10 years, who were honorably discharged from such service within 4 years before registering at an institution, and who filed state income tax returns for at least 8 of the last 10 years of active duty in the U.S. armed forces, and their spouses and children are entitled to the exemption under par. (a).

SECTION 1380g. 39.28 (6) of the statutes is created to read:
39.28 (6) The board may not provide any state financial assistance under this subchapter to any person during the period that the person is required to register with the selective service system under 50 USC, Appendix, sections 451 to 473 if the person has not so registered.

SECTION 1380m. 39.30 (3m) (a) of the statutes is amended to read:
39.30 (3m) (a) No grant awarded under this section may exceed $1,150 per semester or a prorated amount in the case of a quarter or trimester institution, or $2,300 per academic year The board shall establish the maximum amount of a grant awarded under this subsection. The board may not establish a maximum amount that exceeds the maximum amount in the previous academic year unless the board determines, to the best of its ability, that in doing so the board will award grants under this para-graph in the current academic year to at least as many stu-dents as the board awarded grants to under this paragraph in the previous academic year. Grants under this section may not be less than $250 during any one academic year.

SECTION 1380t. 39.393 of the statutes is created to read:
39.393 Nursing student loan program.
(1)
The board shall establish a loan program to defray the cost of tuition, fees, and expenses for persons enrolled in any of the following:
(a) A program in this state that confers an associate degree in nursing.
(b) A program in this state that confers a bachelor's degree in nursing.
(c) A program in this state that confers a 2nd degree that will make the person eligible to sit for examination under s. 441.04 or 441.10.
(d) A program in this state that confers a diploma in nursing.
(2) Beginning in the 2002-03 fiscal year, the board shall make loans under this section from the appropriation under s. 20.235 (1) (cm). The maximum amount of loan for a person during any fiscal year is $3,000. The maximum that a person may receive under this section is $15,000. The board shall ensure that the terms of the loan do not require a loan recipient to repay the loan while the recipient is enrolled in a program under sub. (1).
(3) After the recipient of a loan under sub. (1) has completed the program described in sub. (1), the board shall forgive 25% of the loan's principal and interest after the first full year and 25% of the loan's principal and interest after the 2nd full year that the recipient has been employed full time in this state as a nurse. The board may forgive loans on a prorated basis for persons who are employed less than full time.
(4) The board shall promulgate rules to implement and administer this section.

SECTION 1383. 39.44 (5) of the statutes is created to read:
39.44 (5) By November 1, 2001, and annually thereafter, the board shall report to the department of administration on the effectiveness of the program under this section.

SECTION 9124. Nonstatutory provisions; higher educational aids board.
(1x) REPORT ON LOAN FORGIVENESS PROGRAM. The higher educational aids board shall develop a program to forgive loans of students who graduate from the University of Wisconsin System or from the technical college system and farm for a period of 5 consecutive years. The board shall submit a report summarizing the program to the governor, and to the legislature in the manner provided under section 13.172 (2) of the statutes, by March 1, 2002.

 

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