Editorial: Preserve the Millennium Scholarships

Monday, Aug. 23, 2004 | 8:52 a.m.

Four years ago the state of Nevada launched its Millennium Scholarship program, which offered high school graduates with at least a B average the chance to fund much of their college educations at in-state schools. It gave students eight years in which to apply for as much as $10,000. Funded with the state's share of a national settlement with tobacco companies, the program was an immediate success. Freshman enrollment at UNLV jumped 19 percent in fall 2000, for example. Today, records show 22,427 students have used the program to attend at least one semester.

Records also show a problem -- the state is spending more money on the program than is available from the tobacco settlement. State Treasurer Brian Krolicki predicted in 1999 that for the years 2002 through 2004, the program would require $43 million. In actuality, $67 million will have been spent by the end of this year during that time period.

Foreseeing a financial problem, the 2003 Legislature tightened eligibility requirements. Students now have a six-year period of eligibility from the time they start college, instead of the eight years. And by 2006 high school graduates will need a 3.25 average to qualify, rather than the 3.0 that was originally required. Additionally, students will have to maintain a 2.6 average in college to remain eligible, as opposed to 2.0 when the scholarship program began.

Krolicki is now advising the Board of Regents and the Legislature that these changes were not enough and that more will be needed to save the program. We believe the Millennium Scholarship program is well worth saving and in pretty much the same format as it began. Krolicki is suggesting that the scholarships should stop funding summer-school courses, a change that sounds reasonable. But he is also suggesting ending eligibility for any student who drops out of school, and for those taking fewer than 12 credits. This would be too harsh, as there are valid reasons for dropping out of school for awhile, and many working people earn degrees by taking a few courses at a time.

Regent Doug Hill is suggesting transforming Millennium Scholarships into a program based on financial need, which is too radical a departure from the original concept. More to our liking is Krolicki's idea of the state issuing bonds, with the proceeds augmenting the tobacco money. He is also suggesting dedicating a portion of the state's unclaimed property fund, which amounts to about $20 million a year, to the scholarship program.

The 2005 Legislature will have to decide the final formula for saving the program. It should settle on a formula that preserves the program as it was originally envisioned, as an incentive for all of Nevada's students to achieve good grades and be able to go on to college.