Friday, October 11, 1996

Lottery Scholarship Proposal Moves Forward

By PEGGY FIKAC
Associated Press

AUSTIN - A proposal to use lottery proceeds to fund college tuition, fees and books for all students who maintain a "B" average through 12th grade was added Thursday to the State Board of Education's list of legislative recommendations.

It is uncertain, however, whether the proposal will stay on the wish list the board will forward to the Legislature.

Six of the 15 Education Board members endorsed the scholarship proposal, five voted against it and four did not vote.

When the board takes a final vote, possibly Friday, approval by eight members will be required for recommendations to go to the Legislature.

"I'm very optimistic that we will get the support tomorrow," said Jose Garcia De Lara of San Antonio, who offered the proposal.

When the board first reviewed De Lara's idea last month, it was estimated that it would cost $900 million.

De Lara on Thursday called that an "off-the-wall" estimate.

He said the first-year cost would be $80 million, assuming 80,000 first-time college students each received $1,000 in assistance. Average expenses per student total about $2,000, he said, but existing financial aid would make up the difference.

Because De Lara envisions a four-year scholarship plan, his proposal would become increasingly expensive as students move through the college system.

The second-year cost would be an estimated $160 million, taking into account freshmen and sophomores, although De Lara said some students likely would drop out.

De Lara said he would like to establish a scholarship trust fund that could be started with part of $527 million in windfall lottery income identified by state officials, plus dedicating 6 cents to 10 cents per lottery ticket sale to the fund.

"It would bring the incentive to work hard and to stay in school. ... Children of poor people know that they cannot afford a higher education and that's not even part of the equation in their lives," he said.

De Lara said he speaks from experience: He wanted to become an architect, but couldn't afford college, so he worked for architectural firms and read books to teach himself.

He passed his state architectural exam in 1970 and became a registered architect.
"I'm a self-educated architect. Now I design colleges," he said.

Some voiced concern that De Lara's idea affects higher education, while the State Board of Education's focus is public elementary, middle and high schools.

"Our job is to have the children ready for higher education. I don't think our job is to be involved with higher education," said Christie, who voted against De Lara's plan.

De Lara said the two can't be separated.

"It will give the incentive to those children that are in (kindergarten) through (grade) 12 to stay in school, knowing that there is a doable dream out there that they can continue their education," De Lara said.

The state Legislature created a similar scholarship program in 1990, but it is not linked to the lottery and was not funded until last year, said Texas Higher Education Coordinating Board spokeswoman Teri Flack.

The Texas Tuition Assistance Grant Program is for lower- or middle-income families and makes up a gap left by other financial aid. With $150,000 a year in funding, 631 students received an average $570 each, she said.

State Sen. Rodney Ellis, D-Houston, is working on legislation to expand that program, said his aide, Rafe Bemporad. He said Ellis, who has spoken with De Lara and others about the idea, wants to add a requirement for community service and is looking at funding options starting with the lottery.

Voting for De Lara's plan were Alma Allen of Houston, Mary Helen Berlanga of Corpus Christi, Geraldine Miller of Dallas, Rene Nunez of El Paso, Rosie Sorrells of Dallas and De Lara.

Voting against were Christie, Carolyn Crawford of Beaumont, Will Davis of Austin, Diane Patrick of Arlington and Richard Watson of Gorman.

Donna Ballard of The Woodlands, Bob Offutt of San Antonio and Randy Stevenson of Tyler abstained, while Monte Hasie of Lubbock was out of the room during the vote.

The board's proposed legislative wish list also includes funding for a reading initiative; teacher salary increases; professional development; an extended school year; alternatives to summer school; and full-day prekindergarten. Those items total $1.4 billion over two years.

An earlier recommendation for state-funded health benefits for school district personnel was dropped from the list.