LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6522 NOTE PREPARED: Dec 18, 2021
BILL NUMBER: HB 1076 BILL AMENDED:
SUBJECT: Reservist Tuition Supplement Program.
FIRST AUTHOR: Rep. Heaton BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State
XDEDICATED
FEDERAL
Summary of Legislation: The bill establishes the Reservist Tuition Supplement Program and Reservist
Tuition Supplement Program Fund. It requires the Commission for Higher Education to administer the
program and fund. It also provides that money in the fund is continually appropriated.
Effective Date: July 1, 2022.
Explanation of State Expenditures: Summary - This bill creates a new dedicated fund and a new program
to be administered by the CHE. If utilization rates and per-recipient expenditures for this program are similar
to those of the National Guard Tuition Supplemental Grant, this program would require up to $1.2 M
annually to be fully funded.
These requirements represent an additional workload and expenditures for the CHE outside of the
Commission’s routine administrative functions, and existing staffing and resource levels, if currently being
used to capacity, may be insufficient for full implementation. The additional funds and resources required
could be supplied through existing staff and resources currently being used in another program or with new
appropriations. Ultimately, the source of funds and resources required to satisfy the requirements of this bill
will depend on legislative and administrative actions.
Additional Information - This program will apply to members of the Indiana Guard as well as the reserve
components of federal services, but reservists will be the primary beneficiaries of its creation. As of June
2021 there were 12,645 members of the Indiana National Guard and 547 of them utilized the National Guard
Tuition Supplemental Grant in FY 2019, receiving an average of $5,323 per year with a total program cost
of $2.9 M. At the same time, there were 5,156 members of the Army, Navy, Air Force, Marine Corps and
HB 1076 1 Coast Guard Reserve permanently assigned in Indiana. Assuming a similar rate of utilization and average
cost per participant for the Reservist Tuition Supplement Program created by this bill, approximately 220
reservists would receive the benefit annually.
An annual appropriation of approximately $1.2 M may be required to cover program (tuition) costs if the rate
of participation by reservists is similar to Guard member participation in the National Guard Tuition
Supplemental Grant. However, actual expenditures could be lower due to constraints on the degree programs
in which an applicant may enroll and the fact that this program does not cover routine fees. These factors also
make it unlikely that a member of the Guard would choose to utilize the new program rather than the existing
grant program, but a member of the Guard who has exhausted eligibility for the National Guard Tuition
Supplemental Grant might subsequently apply for and receive funds through the Reservist Tuition
Supplement Program.
Recipients of the Reservist Tuition Supplement Program would be eligible to receive a scholarship equal to
the full cost of undergraduate tuition for up to four years. Scholarships could be used at a State Educational
Institution to earn an associate’s degree or bachelor’s degree in science, technology, engineering, math, or
teaching. The scholarship amount would be decreased if the individual receives other financial assistance
for educational costs.
Explanation of State Revenues:
Explanation of Local Expenditures:
Explanation of Local Revenues:
State Agencies Affected: Commission for Higher Education.
Local Agencies Affected:
Information Sources: Defense Manpower Data Center Personnel Location Report (June 2021).
https://dwp.dmdc.osd.mil/dwp/app/dod-data-reports/workforce-reports
Commission for Higher Education. 2019 State Financial Aid Summary.
https://www.in.gov/che/data-and-research/reports-and-analyses/
Fiscal Analyst: Camille Tesch, 317-232-5293.
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