11/17/08  Arkansas to End Fiscal Year with $53 Million Scholarship Surplus


Some state lawmakers are asking why the Arkansas scholarship fund is running a surplus.

The state Department of Higher Education expects to end the current fiscal year with almost $53 million in unspent financial aid to carry forward into next year. This comes while lawmakers prepare to develop legislation for a voter-approved lottery to support college scholarships.

Legislators say they want to make sure the new revenue does more than just build up the Higher Education Department's surplus. Democratic Representative Barry Hyde of North Little Rock says he's concerned the department is not addressing the scholarship needs of students, and wonders why money so much money is left in the fund. Democratic Representative Betty Pickett of Conway says students may not be aware of all the financial aid programs available.

Department Director Jim Purcell, who started the job in January, says the agency is stepping up efforts to publicize financial aid programs. Purcell says he also wants the Legislature to loosen eligibility requirements for need-based scholarships.