Higher Education Services Corporation
The budget enacted by the Legislature made the following changes to the Executive Budget (analysis as of May 22, 2002):
· Increases the overall state operations appropriation by $2.495 million.
· Increases Fringe benefit costs and Indirect costs by $2.495 million in the Administration program/HESC Insurance premiums Account. These costs were previously paid for out of the General State Charges.
· Eliminated General Fund appropriations to the corporation (a decrease of $11,309,000). Money is appropriated in the first instance from the General Fund to the Administration program. It is then offset by a negative maintenance undistributed appropriation. Finally, the money that supports the program will come from the Miscellaneous Special Revenue Fund – Insurance Premium Payments account in the Administration program which now funds the entire Administration and Grants and Scholarship programs. This fund supported $49,458,000 of HESC expenses in the executive Budget and now will fund $63,262,000 of HESC expenses an increase of $13,804,000. It is unclear where this new money for this fund is coming from.
· There is no net change to HESC state operations funding as a result of all of these accounting machinations.
· Creates the Volunteer Recruitment Scholarship program for volunteer organizations in an Aid to Localities appropriation. The HESC is required to set up this program that will be used to provide scholarships to members of volunteer ambulance and fire companies. The program is funded at $2 million, scholarships can be up to up to $3,400 a year, and could be used at any public or independent degree granting college in New York.
The Executive Budget recommends (analysis as of January 28, 2002):
· An FTE of 825 positions, which represents no change in positions from the Governor’s revised 3/31/02 FTE estimate. This new estimate is 5 FTEs lower than last year’s Executive Budget that estimated the 3/31/02 FTE level of 830. The revisions occurred in the Administration program General Fund position count (-3) and the Grants and Scholarships program General Fund position count (-2).
· An increase of $1.3 million (50.6 percent) in the General Fund nonpersonal service appropriation in the Administration program, all of which is for contractual services. It is not clear how this new money will be used.
· An increase of $4.8 million (35.2 percent) in the Special Revenue-Other nonpersonal service appropriation in the Administration program. The Executive Budget does not state how this new money will be used.
· A new Special Revenue-Other Maintenance Undistributed appropriation ($10 million) in the Administration program. This is for services and expenses associated with implementing a comprehensive student financial aid delivery system.
· An increase of $100,000 (11.5 percent) in the General Fund nonpersonal services appropriation in the Grants & Scholarships program, all of which is for contractual services. It is not clear how this new money will be used.
· An increase of $532,000 (10.6 percent) in the Special Revenue-Federal GEAR-UP Account. The Executive Budge does not state how this new money will be used.
|
Higher Education Services Corporation |
|||||
|
Program Details-State Operations |
|||||
|
|
Enacted |
Proposed |
Enacted |
Change in |
Percent |
|
Program |
2001-02 Budget |
2002-03 Budget |
2002-03 Budget |
Appropriation |
Change |
|
All Funds |
$98,262,000 |
$116,805,000 |
$119,300,001 |
$21,038,001 |
21.4% |
|
General Fund |
$9,593,000 |
$11,309,000 |
$0 |
($9,593,000) |
-100.0% |
|
Special Revenue-Other |
$83,669,000 |
$99,964,000 |
$113,768,000 |
$30,099,000 |
36.0% |
|
Special Revenue-Federal |
$5,000,000 |
$5,532,000 |
$5,532,001 |
$532,001 |
10.6% |
|
|
|
|
|
|
|
|
Administration |
$39,428,000 |
$56,429,000 |
$63,762,000 |
$24,334,000 |
61.7% |
|
Personal Service |
$2,383,000 |
$2,522,000 |
$2,522,000 |
$139,000 |
5.8% |
|
Nonpersonal Service |
$2,623,000 |
$3,949,000 |
$3,949,000 |
$1,326,000 |
50.6% |
|
Mainenance Undistributed |
$0 |
$0 |
($6,471,000) |
($6,471,000) |
100.0% |
|
Special Revenue-Other |
$34,422,000 |
$49,958,000 |
$63,762,000 |
$29,340,000 |
85.2% |
|
HESC-Insurance Premium Payments Acct. |
$33,922,000 |
$49,458,000 |
$63,262,000 |
|
|
|
Personal Service |
$9,748,000 |
$10,410,000 |
$16,799,000 |
$7,051,000 |
72.3% |
|
Nonpersonal Services |
$13,704,000 |
$18,533,000 |
$23,453,000 |
$9,749,000 |
71.1% |
|
Fringe Benefits |
$8,555,000 |
$8,600,000 |
$10,820,000 |
$2,265,000 |
26.5% |
|
Indirect Costs |
$1,915,000 |
$1,915,000 |
$2,190,000 |
|
|
|
Maintenance Undistributed |
$0 |
$10,000,000 |
$10,000,000 |
$10,000,000 |
100.0% |
|
State Student Financial Aid Audit Acct. |
$500,000 |
$500,000 |
$500,000 |
$0 |
0.0% |
|
|
|
|
|
|
|
|
Grants & Scholarship |
$4,587,000 |
$4,838,000 |
$0 |
($4,587,000) |
-100.0% |
|
Personal Service |
$3,716,000 |
$3,867,000 |
$3,867,000 |
$151,000 |
4.1% |
|
Nonpersonal Service |
$871,000 |
$971,000 |
$971,000 |
$100,000 |
11.5% |
|
Mainenance Undistributed |
$0 |
$0 |
($4,838,000) |
($4,838,000) |
100.0% |
|
|
|
|
|
$0 |
-100.0% |
|
Guaranteed Loan |
$54,247,000 |
$55,538,000 |
$55,538,001 |
$1,291,001 |
2.4% |
|
Special Revenue-Federal GEAR-UP Acct. |
$5,000,000 |
$5,532,000 |
$5,532,001 |
$532,001 |
10.6% |
|
Special Revenue-Other HESC-Insurance Premium Payments Acct. |
$49,247,000 |
$50,006,000 |
$50,006,000 |
$759,000 |
1.5% |
|
Personal Service |
$18,447,000 |
$19,206,000 |
$19,206,000 |
$759,000 |
4.1% |
|
Nonpersonal Service |
$30,800,000 |
$30,800,000 |
$30,800,000 |
$0 |
0.0% |