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UMBC Study Finds Economic Benefit to DREAM Act

Community colleges and four-year universities could lose revenue and might have to reduce the number of classes offered or increase tuition.

Voter approval of a bill granting in-state tuition to some illegal immigrants could have economic benefits totalling $66 million annually, according to a study released this week.

The study, released by the , also found that costs to community colleges and four-year universities may not be fully covered by state subsidies. The shortfall could result in either an increase in tuition or the reduction of classes offered.

Authors wrote that the study highlights "that by increasing educational attainment, the DREAM Act will increase lifetime earnings of beneficiaries, as well as tax revenues." [A copy of the study is attached to this article.]

Marylanders will be asked to vote on the bill on Nov. 6.

As passed by the General Assembly in 2011, the law would offer in-state tuition to illegal immigrants under certain conditions including:

  • Attended a public or nonpublic high school in Maryland for at least three years beginning in the 2005-2006 school year.
  • Graduated from high school or received a GED in Maryland no earlier than the 2007-2008 school year.
  • Can provide documentation that the student or student's parent or legal guardian filed a state income tax return for at least three years while the student was in high school.
  • Registers for community college within four years of high school graduation
  • Begins attending community college no earlier than the 2010 fall semester.
  • Files an application to become a permanent resident within 30 days of becoming eligible to do so.

As many as 185 additional students who would have not graduated from high school annually will graduate as a result of the DREAM Act, according to the study.

About 435 students will attend community college as a result of the law, according to the study.

If approved by voters, students can attend community colleges in Maryland at the in-state rate and possibly at the in-county rate if they live within the same county as the college. The difference between in-county and the higher out-of-state tuition rates can run as much as $7,000 annually per student per semester.

Students who graduate from community college are eligible for the in-state tuition rate at Maryland's public universities. The difference in tuition runs an average of $10,000 higher for an out-of-state student compared to a Maryland resident, according to a Maryland Department of Legislative Services review.

The study says that total state, local and federal bill of $7.4 million annually is offset by $32 million in net benefits.

The so-called "crowding out effect," an area of concern cited by opponents , was not addressed by the study.

Community colleges have an open admission standard and must accept any student who meets the minimum qualifications.

The authors wrote that they believed "the DREAM Act will not have a negative impact on the number of citizens admitted as freshman to four-year universities(if anything, it will open up space)."

The study estimates that only 102 students annually will transfer to four-year universities. More than 117,000 students were enrolled in state universities in Maryland in 2012.

The study does cite concerns about "reductions in tuition paid by those who take advantage of the DREAM Act will result in lost revenue to Maryland community colleges and universities. However, this lost revenue will not directly translate into an increase in state or county government spending [subsidies]."

The result could be that universities raise tuition or reduce the number of classes or other services offered to students though the authors wrote that they believe the lost tuition revenue will be "relatively small."

The costs of the act could also increase if the law "makes Maryland a more attractive destination for undocumented immigrants and their families," according to the report.

amdactivist October 14, 2012 at 11:32 PM
this is for the obama supporters the first one is an obama add against romney.. the 2nd link is the response from 500 ohio coalminers that said obama lied.. Again!! Obama said 4 years ago that "lies win elections".. He was caught again!! When will his supporters wake up and listen to other good no nonsense reporters.. Here is a link for a 32 sec. Ad Obama put out http://www.youtube.com/watch?v=-GBGIFdahSo And here is the link that tells the truth about the ad. http://www.youtube.com/watch?v=SzU3oZLV8Hw&feature=share
Neal Baker October 14, 2012 at 11:45 PM
Every person that benefits from the dream act is a democrat, this being a true blue democratic state, the dream act will pass. That means the citizens of EVERY county but Prince Georges, Montgomery and Baltimore city will be voting against it and we will all be paying for it. What part of "illegal" don't you understand?
Neal Baker October 14, 2012 at 11:50 PM
The President doesn't have any failed policies? You have been sniffing Rachel Madow's undies a bit much there Steve-O. How about his "Green" energy investments? Solyndra goes bankrupt after Barry gives them millions and the Volt battery maker lays off hundreds. http://www.theblaze.com/stories/how-many-chevy-volt-batteries-will-150-million-make-hint-less-than-one/ http://www.foxnews.com/politics/2012/10/11/another-bankrupt-solar-firm-facing-scrutiny-from-lawmakers-investigators/ Ignore the facts, drink the kool aid.
amdactivist October 15, 2012 at 12:07 AM
Neal. You forgot to mention a few hundred other obama failures.. His latest cost more deaths. This idiot in charge cost more lives then any president. BTW he has outdone Bush's faults 3-1.. The ambassadors that were tortured, raped and brutally murdered is all on obama and instead of responding he goes on letterman and the view. There were 230 threats and attacks at the embassy and in the passed 5 months 2 bombings.. They begged for more security and obama said no. He also cut back on our troops defense and now we losing too many of our soldiers. His only agenda is to seize, control and destroy and he's made good on his threats..Let the pathetic illiterate obama supporting fools fend for themselves with their food stamps and welfare checks living in poverty and filth.. Their families will hate them for it..
amdactivist October 15, 2012 at 12:37 AM
it seems like the black guys don't wanna vote for the black guy.. Why aren't you voting for romney? Cause your a racist? Colin Powell for Romney http://newsbusters.org/blogs/noel-sheppard/2012/08/10/colin-powell-gives-romney-good-grades-he-demonstrated-he-can-particip Allen West for Romney http://www.politico.com/news/stories/1012/82117.html Artur Davis For Romney http://www.cbn.com/cbnnews/politics/2012/August/Fmr-Obama-Supporter-Artur-Davis-Stumps-for-Romney-/ Condoleza rice is for Romney .. I guess you missed the best speech of the night .. http://www.foxnews.com/opinion/2012/07/13/condoleezza-rice-as-romney-running-mate-would-be-2012-game-changer/ Actress Stacy Dash was subjected to abuse by the black community for her stance on romney.. Thats racism at its best. YOu see steve. Most people move on with their lives and learn to love one another in a mutual mannerly way not go back in time to slavery and ownership. Get over it.. its gone.. People like you thrive on misery. We're all God's children.. Not racist. Of course there are a few idiots still harp on it but we have good and bath in all races.. Which course you heading.. Stop looking at people's color but look into their goals, achievements and remember that none of us can control who we look like or who we are. Are you aware that many of us have both black and white blood in our system? tp://www.masslive.com/politics/index.ssf/2012/10/do_black_people_support_obama.html
1ke October 15, 2012 at 12:38 AM
Amd, you are not the gold standard of literacy. Drama Queen.
1ke October 15, 2012 at 12:43 AM
And old pistol packing JD1. . . I agree with you, buddy. Don't shoot or give me a sidewalk sandwich. Watch it, Steve. And Karl. No Karl, not the lumpen proletariat! Make 'em back up off of me!
Christopher Kidwell October 15, 2012 at 12:49 AM
Notice that you didn't take issue with what I said, Joe, you just attacked the teller once again. Typical conservative playbook there: when you cannot argue with the statements, attack the stater.
Christopher Kidwell October 15, 2012 at 12:50 AM
No, SS isn't being underfunded. The only thing SS is funded with is SS taxes. If they are 'underfunded', that means that either SS taxes are too low OR the cap on SS taxed income is too low, as I stated. I'm betting that it's a combination of both.
Christopher Kidwell October 15, 2012 at 12:52 AM
Sorry, but I am voting yes to bring some fairness to this. If you are not willing to pay people wages that they can pay their own way to college, then I have no problem with the state doing it's part to get them to college if they wish to go.
Christopher Kidwell October 15, 2012 at 12:53 AM
Bullshit. They do audits on dependents, especially if you claim more than 5 for a family. There is no way that they are claiming 'dependents they don't have' in the slightest. More like they are claiming all their children and you are butthurt because they know how to use the system as it was meant to be used.
Christopher Kidwell October 15, 2012 at 12:54 AM
Joe, Steve's statement about the cat food is true. When we had Republicans in office, we had seniors having to do that. Now, with Democrat-passed social support programs in place, they don't have to do that anymore.
Christopher Kidwell October 15, 2012 at 12:56 AM
Neal Baker, there is a difference between a failed policy and one failed company. The former does not equate to the latter. Obama's investments in solar energy and green energy didn't just 'disappear' like the Rethuglicans wish you to think they did. Solyndra's technology is still out there AND if the Chinese had been playing the game fairly, Solyndra would still be in business. But what did China do? Sold their solar panels and other things at a loss to drive American companies out of business so that they could corner the market and jack up prices.
Christopher Kidwell October 15, 2012 at 12:58 AM
No, he hasn't. Need I remind that Obama has had 4 people killed in an unconfirmed terrorist attack while Bush had 5K+ killed in a CONFIRMED terrorist attack. Outdone Bush's faults 3-1? Only in a PCP-induced nightmare land that only exists in your insane mind.
amdactivist October 15, 2012 at 01:18 AM
chris.. your in lala land.. what about all the border patrol killed and the last 3 ambassadors thats hidden from obama media. What about fast and furious coverup from obama giving weapons to gangs at the border? also bush left obama a $1.1 trillion debt.. now $16 trillion.. Gas was $1.87 now almost $4.00 and up to $6.00 in california yet obama turned down the keystone pipeline. what about solyndra.. Billions to a company that goes bankrupt a couple months later. He is a never ending nightmare and dumb as S...!! http://thinkprogress.org/economy/2012/06/01/493849/obama-bush-jobs-record/?mobile=nc http://www.humanevents.com/2012/09/22/bush-tax-cuts-vs-obama-stimulus/ this is not the change we wanted.. and if you think we better off today then 4 years ago your a day late and dollar short of a membrane...
amdactivist October 15, 2012 at 01:27 AM
chris.. So you justify solyndra with what again? Why did obama who is the china queenie give a $5.7 billion bridge job to china? http://message.snopes.com/showthread.php?t=81550 Chris so me stats showing we better off with obama then romney or with Bush.. Are we better off today? Look where some of Md stimulus $$ went to stimulate the economy and tell me what happened to the omnibus bs that he promised no pork.. http://citypaper.com/news/following-the-money-1.1080499
amdactivist October 15, 2012 at 01:33 AM
chris did u say that seniors not eating cat food under obama thumb and that they did under democrat rule? Omg this is the funniest thing i've heard in a long time.. You and steve twins? You both think alike. or you both related to this one> .. http://www.youtube.com/watch?v=tpAOwJvTOio&feature=player_embedded
amdactivist October 15, 2012 at 01:36 AM
Steve you said your voting for Dream act and let the state pay for it.. Where does the state get the money?
JD1 October 15, 2012 at 02:21 AM
Got a few new ones - I've been feeling inadequate
Steve October 15, 2012 at 02:29 AM
The Border Patrol killed themselves in a friendly fire incident Grandma. "FAst and Pffft." was a Republican Witch Hunt that went nowhere.
Steve October 15, 2012 at 02:32 AM
It doesn't cost the state anything.
Christopher Kidwell October 15, 2012 at 04:32 AM
Agreed, Steve. Fast and Furious was a Republican Witch Hunt and a program first conceived while BUSH WAS IN OFFICE that was an extremely bad idea, but that I'm pretty sure Obama didn't know about until it was flashed across every TV station in America.
Christopher Kidwell October 15, 2012 at 04:33 AM
Big deal. It's a Chinese firm hiring people in America and building in America. My bet is that they are going to be watched like hawks to make sure that they build the bridges right.
Christopher Kidwell October 15, 2012 at 04:34 AM
They do not have to do that anymore, amdactivist. Judging by your punctuation and capitalization issues as well, I'm beginning to think that you are a troll.
1ke October 15, 2012 at 10:54 AM
Woke up and knew I had finally found the solution! JD1 and the Real Steve , I would vote for either one of you for President of the United States. "Surely, you jest!" you say. Nope. And here is why: 1. I am sick and tired of being represented by millionnaires and gazillionnaires. They just do not understand what my acquaintances, friends, and family have been through and look forward to. 2. Everybody who wins an election ultimately picks their advisors from among the same group of politically engaged academics, you know, EDUCATED EXPERTS anyway. Sorry Joe and amdactivist. 3. People who wind up being President get shaped, molded, maybe ruined by its demands. You don't believe it? Look at before and after pictures to see how the job tears older men up. Look ay Ronald Reagan. Shot, two operations, and Alzheimers:the Triple Crown. 4. Presidents hear the real story from everybody who really needs things. Responsible people try to do what's right and in the case of the President it always works out to be the greatest good for the greatest number. You are both responsible people who consistently say the same thing--hey, occasionally over and over--but being inconsistent is a serious danger signal 4. The crimes of everyday people are stupid and of no historic consequence. They are easily detected and easily punished. Give me a guy with no track record of crookedness. I read a lot, but you will not hear a lot from me. But if you need a campaign manager...
amdactivist October 15, 2012 at 11:01 AM
so Obama came into the white house with about $3million and he just purchased a $40 million hawaiian mansion cash is not one of dem rich guys? And you would support people that cares more about a person's punctuation then the state of our country? shame.
amdactivist October 15, 2012 at 11:03 AM
http://factcheck.org/2012/06/obamas-outsourcer-overreach/
1ke October 15, 2012 at 12:32 PM
Obama is a multimillionaire, a gazillionaire in the making. Obviously, fractious man. You make it sound like he brought the $40,000,000 in a suitcase. Drama, man, get up off it.
amdactivist October 15, 2012 at 12:43 PM
Obama went to the Wh with about $3 million or so. How does he pay cash for a mansion in hawaii? Although i think obama is our worst, he is not alone.. Others went in middle class and come out filthy rich. Guess who's $$? Ike.. what does DRAMA mean?
1ke October 15, 2012 at 01:12 PM
The notion that the man paid $40 million cash for a house is hard to entertain unless one is wrapped up in a drama. Is this really, you think, how rich people buy things? Get up off it.

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