OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sHB-6901
AN ACT CONCERNING A STUDENT LOAN REIMBURSEMENT
PROGRAM.
As Amended by House "A" (LCO 8915)
House Calendar No.: 502
Senate Calendar No.: 588
Primary Analyst: SB 6/2/23
Contributing Analyst(s):
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 24 $ FY 25 $
Higher Ed., Off. GF - Cost Significant Significant
Higher Ed., Off. GF - Cost Up to 140,000 92,250
State Comptroller - Fringe
Benefits
1
GF - Cost 38,538 39,501
Department of Revenue Services GF - Cost None Up to 75,000
Note: GF=General Fund
Municipal Impact: None
Explanation
The bill results in a cost to the Office of Higher Education, the State
Comptroller (Fringe Benefits) and the Department of Revenue Services,
associated with establishing a student loan reimbursement program for
certain individuals employed in Connecticut.
Section 1 results in a significant annual cost to the Office of Higher
Education (OHE) beginning in FY 24 associated with a student loan
reimbursement program for certain Connecticut residents. OHE does
not currently have the funds available to operate this program. The
scope of the costs is dependent upon the number and amount of
1
The fringe benefit costs for most state employees are budgeted centrally in accounts
administered by the Comptroller. The estimated active employee fringe benefit cost
associated with most personnel changes is 42.82% of payroll in FY 24. 2023HB-06901-R01-FN.DOCX Page 2 of 2
reimbursements awarded annually. Each participant in the grant
program is eligible to receive up to $5,000 annually and no more than
$20,000, over four years of participation in the program.
OHE would require one full-time program administrator in FY 24
and beyond, resulting in annual salary expenses of approximately
$90,000 in FY 24 and $92,250 in FY 25 and corresponding fringe benefit
costs of approximately $38,538 in FY 24 and $39,501 in FY 25.
Additionally, OHE would require up to $50,000 in FY 24, associated
with software and information technology upgrades.
Section 2 results in a one-time cost of up to $75,000 in FY 25 for
programming updates to the CTax tax administration system and
myconneCT online portal, and for form development associated with
the student loan reimbursement program established in Section 1 of the
bill.
House "A" strikes the underlying bill as its associated fiscal impact
and replaces it with the fiscal impact described above.
The Out Years
The annualized ongoing fiscal impact identified above would
continue into the future subject to inflation and the number of grant
awards administered.
The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely
for the purposes of information, summarization and explanation and does not represent the intent of the General
Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of
informational sources, including the analyst’s professional knowledge. Whenever applicable, agency data is
consulted as part of the analysis, however final products do not necessarily reflect an assessment from any
specific department.