[Oasfaa] Update on SB 820 impact - OKPromise Changes

[Fair, Bryce]

Below I have added some updated information to the e-mail I sent earlier this week about possible changes to the OKPromise program in SB 820.  We have done some preliminary analysis on the possible impact of increasing the high school GPA to 2.75 and implementing a 2.75 college retention GPA (see the first two bullet points below).  We also have a cost estimate on providing homeschool eligibility (third bullet point).

Our office has been informed that the bill may be considered on the House floor this coming Monday, April 23.

Also, at the end of this e-mail is the text of an editorial in today's Daily Oklahoman related to the bill.

Please let me know if you have questions.
Bryce Fair

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On Monday, April 16, the House Education Committee passed SB 820 out of committee.  As passed by the committee, the bill would make several significant changes to the Oklahoma's Promise-OHLAP program.  Previously, the bill had only dealt with creating a dedicated funding source for the program, not changing the requirements of the program.  The text of the new version can be found at http://webserver1.lsb.state.ok.us/2007-08bills/HB/SB820_HFLR.RTF. 
The new version of the bill includes the following changes: 
*	Increasing the minimum high school GPA requirement for the program from 2.5 to 2.75.   A review of the 2006 high school graduates qualifying for Oklahoma's Promise shows that about 700 of the 5,640 qualifiers, or 12%, would have been eliminated if the high school GPA requirement had been 2.75.
*	Requiring a minimum college GPA of 2.75 to retain the award.   A preliminary review of the 2005-06 recipients of the OKPromise award indicates that roughly 40% of the 12,000 recipients would have been impacted by the requirement for a 2.75 college GPA if it had been in place at the time.
*	Providing eligibility for homeschool students.  Our estimates are that possibly 26 homeschool students might qualify the first year of eligibility, increasing to possibly 300 by 2013-14.  The estimated costs are about $69,000 the first year and possibly $1 million by 2013-14.
*	Requiring that college students in the program comply with institution codes of conduct and refrain from substance abuse and commission of crimes and delinquent acts.  
*	Requiring that any participant in the program be a U.S. citizen or lawfully present in the U.S.
The news story about the bill in the Daily Oklahoman on Tuesday, April 17, implied that the ACT requirement in the bill would apply to all students in the program; that is not the case. The 22 ACT requirement in the bill applies only to students attending non-accredited schools or homeschool students, not to students in public schools or accredited private schools. 
We are continuing to further analyze the possible impact of these proposed changes and hope any changes will be studied carefully by the Legislature before final decisions are made. We will continue to monitor the bill closely and provide updates as necessary.
Bryce Fair
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Steady stream: Permanent funding source may be near
Oklahoman Editorial
April 20, 2007

The last few years, we've had high hopes the state's popular scholarship program would get a permanent funding source. Finally, that wish may come true. 
Lawmakers are considering a bill that would make the Oklahoma Higher Learning Access Program, also known as OHLAP or Oklahoma's Promise, a top funding priority. The scholarships, which provide free tuition at state schools for qualifying students, would be funded first and then lawmakers would divvy up the rest of the state budget. That proposal could change as it makes its way through the legislative process. Still, there's little doubt that permanent funding is critical to the program's survival. 
Roughly 15,000 students are receiving OHLAP scholarships this school year, up from about 2,000 only five years ago. More than 17,000 students could be eligible next school year. The tremendous growth comes at a cost. In the next few years, the program's cost could reach beyond $50 million, according to estimates from higher education officials, 
One concern we have about the bill is its plan to raise the academic requirements by increasing the grade point average needed to receive and keep the scholarship. We're for high standards, but are concerned many deserving students will be left behind or may choose to take less challenging courses in high school and college. 
Higher education officials are crunching the numbers, but such changes could impact hundreds and possibly thousands of potential recipients. The goal should be to widen access to higher education, not further restrict it. OHLAP students are already outperforming their peers in college so there's no overwhelming concern that too many underachievers are sneaking through. We're also concerned about language that would ban illegal immigrants from the program. 
A guaranteed funding source is absolutely necessary. But lawmakers should think twice before fixing a program that isn't broken.
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Bryce Fair 
Assoc. Vice Chancellor for Scholarships & Grants 
Oklahoma State Regents for Higher Education 
Phone:  (405) 225-9162 
Fax:  (405) 225-9230 
E-mail:  bfair at osrhe.edu 

Mailing Address: 
P.O. Box 108850 
Oklahoma City, OK  73101-8850 

Street Address: 
655 Research Parkway, Suite 200 
Oklahoma City, OK  73104