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Committee allows detached career centers to use leftover CTE funds for maintenance and operations

Senate Education Committee · March 22, 2021
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Summary

The committee passed HB 1501, permitting certain detached secondary career-technical education centers to apply leftover Division of Career and Technical Education funds toward management, maintenance and operations. Sponsors and local college officials said centers have unique costs; some senators urged safeguards to preserve funds for equipment and instruction.

Senators advanced House Bill 1501 to allow certain stand-alone career-technical education centers to use excess aid funding from the Division of Career and Technical Education for management, maintenance and operation costs.

Sponsor Kim Hammersay said the bill targets centers that are not physically attached to a host school or postsecondary campus. "There are 3 centers that are not physically attached, to locations associated with the school to my knowledge and what this would do is allow that ... they would be able to use the money for the management, maintenance, and operation of the center," he said, citing Saline County as an example.

Senator English and others expressed concern that diverting center aid could reduce resources earmarked for teacher salaries and equipment. Hammersay offered to amend the bill to make the option available to all centers if that would allay equity concerns. Postsecondary and system representatives (ASU and Arkansas Tech) described local tax measures and shared contributions as the "skin in the game" for initial construction and said detached centers face recurring costs such as custodial services and utilities that on-campus centers can offset.

The committee moved the bill by voice vote after additional technical discussion and requests to confirm membership and oversight details.

Next steps: HB 1501 will proceed for additional legislative steps. Sponsors said implementation would rely on existing tiered funding formulas and steering-committee oversight.