(2:14) Dr. Raymund Paredes, commissioner of higher education, testified about the
availability of stimulus funding for higher education. He outlined the funds that
would become available as a result of the passage of the America Recovery and Reinvestment
Act. Out of $53.6 billion to be used for state fiscal stabilization, $48.5 billion
would be allocated by the governor. From the $48.5 billion, $3.97 billion will be
used for education. He referred to a report entitled, "Funding for Higher Education
in the America Recovery and Reinvestment Act." Paredes offered the board's recommendations:
two-thirds (of the $3.97 billion) should go to public education; the remaining third
($1.325 billion), should go to Higher Ed. Of this $1.325 billion, 50% should be used
to modernize and renovate institutions, and the other half would mitigate the need
to raise tuitions and fees. An increase of Pell Grant funding and its impact was discussed.
Representative Castro asked about improving retention rates at community colleges
and noted that 60% of community college students need some amount of remedial education.
Paredes mentioned additional funding for grants (that might become available) as well
as a "pot of money" for improving K-12 (that would become available later).