HB 208 TRADE EDUCATION ASSISTANCE ACT

Rep Rodney "Rod" D Montoya

Actions: [3] HEC/HAFC-HEC

Scheduled: Not Scheduled

 House Bill 208 (HB 208) enacts the Trade Education Assistance Act and creates the Trade Education Assistance Fund. HB 208 makes an appropriation. 

 House Bill 208 (HB 208) enacts the Trade Education Assistance Act (Act) and creates the Trade Education Assistance Fund (Fund). HB 208 makes an appropriation.

SECTION 1 creates the Act. 

SECTION 2 provides definitions as used in the Act.

SECTION 3 specifies stipends and eligibility.
A. An individual may be awarded a stipend pursuant to the Act if the individual:
(1) is a New Mexico resident;
(2) has earned at least a high school diploma or its equivalent at least two years prior to being awarded a stipend but has not earned a baccalaureate degree;
(3) is participating in a trade education program; 
(4) claims at least one dependent on the individual's federal or state income tax return and is not claimed as a dependent on another individual's federal or state income tax return; and 
(5) has complied with other rules promulgated by the department. 

B. Stipends shall be awarded for periods no longer than six months. Stipends may be renewed for not longer than a total of two years. 

C. A stipend may be terminated if a recipient fails to satisfactorily participate in a trade education program approved by the department. 

D. Stipends may be used by recipients for living expenses incurred while participating in a trade education program. 

E. Stipends shall not exceed $30,000 per calendar year. 

SECTION 4 details department duties, authority, and reporting
A. The department shall administer the Act and shall award stipends to individuals the department certifies as participating in a trade education program. 

B. The department shall promulgate rules. 

C. The department shall report by November 1 of each year to the Legislative Finance Committee and the Department of Finance and Administration as specified in this subsection.

SECTION 5 creates the Fund as a nonreverting fund in the state treasury, consisting of the usual funding sources and investments. The department shall administer the Fund, and money in the Fund is appropriated to the department to implement the provisions of the Act. Disbursements from the Fund shall be made by the usual requirements.

SECTION 6 makes an appropriation of $100,000,000 from the General Fund to the Fund for expenditure in Fiscal Year 2025 and subsequent fiscal years for the purpose of implementing the provisions of the Act. Any unexpended or unencumbered balance remaining at the end of a fiscal year shall not revert to the General Fund. 

SECTION 7 makes the effective date July 1, 2024.