Finance Authority of Maine
Education Update
May 2012
In This Issue
Educators For Maine Program
State of Maine Grant Program
FAME Showcase Maine and Annual Meeting 2012
Legislative Update
Supplemental Budget
Bond Package
Education Bills
Upcoming Events

 

June 21, 2012

FAME Board of Directors Meeting

 

 

Payment Processing for 2011-2012 

 

The last day for colleges/universities to request payments or refunds for education financial aid programs is June 12, 2012; no payments will be processed after that date.  Please visit EPIC prior to June 12 to review and reconcile your accounts.

 

Educators For Maine Program

 

The Selection Committee met on Friday, May 18 to read applications for the EFM Program.  Twenty students were selected to receive the 2012-2013 award:  twelve high school students, six undergraduate students and two post-baccalaureate students.  Students will be receiving a letter signed by Governor LePage notifying them of their selection for participation in the program.  The status of selected students will be changed to awarded in EPIC the week of June 4.

 

State of Maine Grant Program 

 

As a reminder, the maximum EFC for the 2012-2013 academic year for SMGP is 5,000.  The award amounts are:

 

$1,000 for full-time students attending in-state public institutions
$1,250 for full-time students attending in-state private institutions


$500 for full-time students attending out-of-state public institutions
$1,000 for full-time students attending out-of-state private institutions


$500 for part-time students attending in-state public institutions
$625 for part-time students attending in-state private institutions


$250 for part-time student attending out-of-state public institutions
$500 for part-time students attending out-of-state private institutions

 

FAME Showcase Maine and Annual Meeting 2012 

 

Click here to add to this event your calendar.

 

Annual Meeting 2012 Save the date

Legislative Update 

 

The Second Session of the 125th Maine Legislature adjourned May 31.  Members spent their final hours debating and passing a supplemental human services budget, a bond package, as well as various bills left over from April.

 

Supplemental Budget 

 

The Legislature approved an amended version of L.D. 1746, Gov. LePage's $83 million supplemental human services budget.  The budget cuts MaineCare and other programs, provides for new tax cuts, and largely preserves the General Assistance program.  The budget also takes an additional $2 million from FAME's loan insurance reserves (bringing to $5 million the total cuts to the loan insurance reserves in recent budgets) but increases the statutory cap on the program from $35 million to $40 million.  It also includes language amending the Maine New Markets Tax Credit Program administered by FAME.

 

Bond Package 

 

Lawmakers voted to approve five bond bills that total $95.7 million. The bond proposals included $51 million for transportation infrastructure; $20 million for research and development; $7.92 million for water and sewer projects; $5 million for the Land for Maine's Future Program; and $11.3 million for higher education.  The higher education bond includes: 

  • $8 million for the University of Maine Animal Health Lab
  • $3 million for the Maine Community College System expansion
  • $500,000 for Maine Maritime Academy

Gov. LePage vetoed the research and development bond.  Although the Senate voted to override the veto, the House failed to muster the two-thirds votes required to do so, and the veto was sustained.  The four other bond questions will go before Maine voters in November.

 

Education Bills

 

The following is a summary of some key education-related bills:

 

LD 835-An Act to Strengthen Maine's Economy through Improvements to the Educational Opportunity Tax Credit:  As amended, this Opportunity Maine-related bill removes restrictions on the term of eligible loans and make the Educational Opportunity Tax Credit refundable, allowing a full reimbursement for education loan payments for college graduates who live and work in Maine.  The Taxation Committee included a new sunset of July 1, 2022 to require reconsideration of the program to determine whether it should be continued.  The new law now limits refundability of the tax credit to program participants who obtain an associate degree or bachelor's degree in science, technology, engineering or mathematics.  Allows an individual who is domiciled in Maine but who is deployed for military service to be eligible for the educational opportunity tax credit as long as all the other qualifications are met.  Status:  Enacted into law.

 

L.D. 1237-An Act to Prohibit Bullying in Schools:  A previous version of this bill was defeated at the end of last session due to concerns about cost and fears that it would restrict students' right to free speech.  The bill was carried over to the Second Session and amended to add First Amendment protections.  The amended bill defines bullying and cyberbullying and requires school districts to adopt policies and procedures to respond to complaints of bullying.  School districts also must report substantiated incidents of bullying to the Department of Education annually.  Status:  Enacted into law.

 

L.D. 1422-An Act to Prepare Maine People for the Future Economy:  Repeals time-based components of Maine's graduation requirements.  Starting in 2017, high schools will have to grant diplomas based not on course credits or years spent in school but on demonstrated proficiency on specific topics and skills.  The bill initially failed to obtain the two-thirds vote it required for passage as an unfunded mandate.  It was amended to allow the Department of Education to make small grants to schools to assist the transition, if money is available.  It is expected to cost the state $1.9 million next year.  Status:  Enacted into law.

 

L.D. 1632-An Act to Amend Provisions Limiting the Return to Work after Retirement by Teachers, School Employees and State Employees:  A law that took effect last year limits the pay of public employees returning to work after retirement to 75 percent of their previous pay and prevents them from receiving health insurance.  Supporters of the original law believed that the restrictions would apply to superintendents only, but when the law passed last year, it actually applied to all state workers, superintendents and teachers.  Status:  Failed enactment.

 

LD 1781-An Act to Restructure the National Board Certification Program for Teachers:  Restructures the salary supplement incentive established for teachers who attain certification from the National Board for Professional Teaching Standards.  Provides that, in FY 2012-13, a salary supplement of $2,500 must be awarded to national board certified teachers; in FY 2013-14, a salary supplement of $2,750 is awarded to national board certified teachers; and in FY 2014-15 and succeeding years, a salary supplement of $3,000 is awarded to national board certified teachers.  The salary supplement must be funded through fees collected by the Department of Education for teacher recertification.  Also establishes an incentive to encourage teachers with at least three years of experience who agree to mentor another teacher through the national board certification process to apply for national board certification.  Beginning with FY 2012-13, the Department must establish a nonlapsing scholarship fund to encourage teachers to apply to and enroll in the certificate program of the National Board for Professional Teaching Standards.  Status:  Vetoed by Governor but the Legislature overrode the veto.  Will become law.

 

L.D. 1854-An Act to Expand Educational Opportunities for Maine Students:  Members of the Education and Cultural Affairs Committee turned the bill into a resolve that sets up a study committee and allows school districts to adopt mutual policies allowing students to transfer among those districts.  The original version of the bill would have allowed school districts to accept students from other districts, without requiring agreements between superintendents for individual students.  State funding would follow students to the district where they enrolled.  The stakeholder group established by the resolve will develop a public school choice model that addresses concerns raised about transportation, impact on rural schools and access for students from low-income families or those with disabilities.  Status:  Enacted into law.

 

L.D. 1858-An Act to Ensure Effective Teaching and School Leadership:  This bill, cited by Education Commissioner Bowen as the most important educational achievement of the legislative session, requires school districts to create comprehensive performance evaluations for teachers and principals.  Districts will be able to make personnel decisions based on the evaluations and the effectiveness ratings they produce.  The evaluations are required to incorporate student learning and growth data.  Also creates an alternative certification process for teachers and requires collection of data on teacher preparation programs.  Status:  Enacted into law.

 

L.D. 1865-An Act to Enhance Career and Technical Education:  Requires regional career and technical education centers, and the school districts they serve, to create calendars that have no more than five dissimilar days, a reduction from nine days.  The Maine Community College System, University of Maine System, and Maine Maritime Academy also will have to adopt a process to evaluate career and technical education programs to determine how much college credit to award based on a student's completion of a program.  Status: Enacted into law.

 

L.D. 1866-An Act to Remove Inequity in Student Access to Certain Schools:  The bill proposed repealing Maine's prohibition on public funding for religious schools, which has been in place since 1981.  Students living in communities with school choice would have been able to enroll in sectarian religious schools and have their home district pay a portion of the tuition, up to a state-defined maximum, as long as the religious school met certain standards.  Status:  Failed enactment.

 

LD 1899-An Act to Implement the Recommendations of the Joint Standing Committee on Education and Cultural Affairs After its Review of the Maine Health and Higher Educational Facilities Authority Pursuant to the State Government Evaluation Act:  Implements the recommendations of the Education and Cultural Affairs Committee resulting from its review of the program evaluation report submitted by the Maine Health and Higher Educational Facilities Authority.  Repeals the ability of the Authority to issue revenue bonds and other obligations and loan the proceeds to one or more student loan corporations for the purpose of issuing low-cost loans by student loan corporations to qualified students to assist the students in attending institutions for higher education and lowering the cost to the students or their parents of financing the students' educations.  The Authority has not used this authority since the mid-1980s, and this authority is no longer considered necessary by the committee.  Status:  Enacted into law.

 

L.D. 1908-An Act to Implement the Recommendations of the Stakeholder Group to Review the Maine State Grant Program:  Implements changes to the Maine State Grant Program, administered by FAME, as recommended by the stakeholder group of higher education policy makers, agencies, institutions, students and financial aid administrators in the state.  Modifies the program by eliminating reciprocity of the grant with other states; removes the statutory cap of 5 percent on grant awards to part-time students; removes the grant award differences between public and private institutions; permits FAME to establish by rule tiered award amounts; limits grant eligibility to ten semesters or the equivalent thereof; and allows FAME to address via rulemaking certain exceptions to award denials.  Also requires FAME to conduct a review of the Maine State Grant Program every ten years.  FAME is required to submit a written report of the findings of the review, including any proposed legislation, to the Education and Cultural Affairs Committee.  The first decennial review is due on or before January 1, 2021.  Status:  Enacted into law.

 

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