Scholarship program may need $6M next year

THE government may find it difficult to raise the $6 million that will be needed by the scholarship program next year, the administration said.

The number of CNMI students receiving government assistance has been increasing steadily since 1998.

“As our population grows, the demands on the scholarship system we now have grow too…. And the cost of the program follows right along. From…$2.4 million in 1999 to a projected cost of $6 million in the coming year,” Gov. Juan N. Babauta said.

There were 450 scholarship recipients in 1998. This figure increased to 527 in 1999 and 627 in 2000. Last fall, 671 students availed of the government’s financial assistance.

In his budget proposal submitted to the Legislature this month, Babauta increased appropriations for the scholarship program by 18 percent or an additional $680,000.

But even then, Babauta said, “it’s still less than we know we’ll need.”

The governor said one of the toughest challenges facing him is to find scholarship funds for Northern Marianas College students even as the projected government revenues have dropped from $206 million to $193 million.

During fiscal year 2001, the government spent $4 million in scholarships and grants, or $250,000 more than what was spent in the previous year.

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