LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6441 NOTE PREPARED: Mar 25, 2021
BILL NUMBER: SB 93 BILL AMENDED: Feb 11, 2021
SUBJECT: Tuition Charges for Veterans.
FIRST AUTHOR: Sen. Boots BILL STATUS: Enrolled
FIRST SPONSOR: Rep. Gutwein
FUNDS AFFECTED: X GENERAL IMPACT: State
DEDICATED
FEDERAL
Summary of Legislation: The bill provides that a qualified nonresident veteran who enrolls in a State
Educational Institution not later than three years after the date of the qualified nonresident veteran's discharge
or separation from the armed forces of the United States or the Indiana National Guard is eligible to pay the
resident tuition rate at a State Educational Institution. It establishes requirements for eligibility.
Effective Date: July 1, 2021.
Explanation of State Expenditures: State Educational Institutions (SEIs): State operating support for
Indiana’s state higher educational institutions is composed of base funding and performance funding. Under
the current higher education budget formula, the inclusion of additional resident students could affect higher
education appropriations in future bienniums if enrollment levels increase. The impact is probably minor and
would depend on the higher education formula used in the future. [SEIs receive state funding through
General Fund appropriations.]
Additional Information - Veteran students from out of state who move to Indiana to attend college are already
paying in-state tuition rates. Current Indiana law allows out-of-state veterans, their spouses, and dependents
to receive in-state tuition at SEIs if they enroll within one year of separating from military service. It also
requires them to show proof of residency by applying for an Indiana driver’s license, state ID card, or
registering their car in Indiana within a year of registering at the SEI. This bill allows certain veterans who
live in a state that borders Indiana to receive in-state tuition at SEIs if they enroll within three years of
separating from service, without the requirement that the student live in Indiana or show proof of Indiana
residency.
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Federal law requires in-state tuition rates for many veterans receiving federal veterans education benefits
such as the Post 9/11 GI Bill, Montgomery GI Bill, and the Vocational Rehabilitation Program. To be eligible
for in-state tuition at public colleges or universities, veterans must enroll within the first three years of
separation from military service. Veterans are eligible for in-state tuition regardless of their formal state of
residency; however, these veterans must live in the state where their college is located in order to be eligible
for in-state tuition under the federal law.
Explanation of State Revenues: State Educational Institutions: The bill could reduce the amount of tuition
paid to SEIs. This would be mitigated to the extent that the lower resident tuition rate could increase
enrollment for future qualified nonresident veteran students. The difference between in-state and out-of-state
tuition at SEIs ranged from $4,161 to $25,565 for the 2019-2020 academic year.
Explanation of Local Expenditures:
Explanation of Local Revenues:
State Agencies Affected: State Educational Institutions.
Local Agencies Affected:
Information Sources: IC 21-14-12.2-4; U.S. Department of Veterans Affairs,
https://www.benefits.va.gov/gibill/post911_gibill.asp;
https://www.benefits.va.gov/gibill/post911_residentraterequirements.asp;
National Center for Education Statistics, Integrated Postsecondary Education Data System (IPEDS).
Fiscal Analyst: Camille Tesch, 317-232-5293.
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