House committee discusses changes to the New Mexico lottery scholarship program

Chris Roberts

Sunday, Feb. 6, 2000 | 9:39 a.m.

SANTA FE - Lawmakers explored ways to bolster the lottery scholarship program Saturday, including using all the state's lottery profits for college scholarships and denying money for a semester to students who take remedial classes.

Currently, 60 percent of state lottery profits are used for construction and renovation of school buildings. That leaves 40 percent for the scholarships, which now pay 100 percent of the tuition for New Mexico students who qualify.

However, so many students are taking advantage of the scholarships that the current formula for splitting the money won't fully fund the program after this year.

Rep. Joe Nestor Chavez, D-Albuquerque, presented a bill to the House Education Committee that would dedicate all the lottery profits for scholarships.

"I'm more into fixing this now so we don't have to come back next year," Chavez said, adding that about 9,000 students currently rely on the scholarships.

Another bill working its way through the Senate would change the split to 50-50. Many consider it a short-term fix that would allow the program to be revamped during next year's session.

Rep. Smokey Blanton, R-Las Cruces, said he is concerned that the scholarship program will put future Legislatures in a bind.

"Should we guarantee that everybody can have a college degree ... when we don't know what the future will hold?" Blanton asked.

State Schools Superintendent Michael Davis said he supports the lottery scholarship program, but is concerned about taking money away from school construction projects.

The way the state allocates money for building schools has been challenged in court, and the Legislature is considering a new financing scheme that would have to be voted on in a statewide election.

"I am very worried about taking (away the lottery money for construction) before the voters know what they're going to do," Davis said.

Without an extra infusion of money, the scholarship program is projected to have a $2.7 million shortfall next year. That, by law, would require the Commission on Higher Education to reduce scholarships to about 70 percent of tuition.

Chavez said "poor kids would suffer the most" if the amount is reduced.

The 50-50 solution sponsored by Sen. Michael Sanchez, D-Belen, would provide about another $2 million next year; the Legislature would have to come up with the rest to keep the scholarships at 100 percent.

Also discussed was a measure sponsored by Rep. Terry Marquardt, R-Alamogordo, that would deny scholarships to students who take remedial courses.

"We can't afford the lottery scholarship the way the legislation is written right now," Marquardt said. "With this bill we would be extending lottery scholarship dollars."

But Frank Renz, executive director of the New Mexico Association of Community Colleges, said that colleges reporting to the association say 49 percent to 95 percent of their students take remedial courses.

"That approach (in Marquardt's bill) could affect those who are most disadvantaged," Renz said.

Both bills considered by the House committee were tabled Saturday.

"We have to sift through this and come up with one bill that's going to make it all the way through" the Legislature, said Rep. Rick Miera, D-Albuquerque, the committee chairman.