Analysis of Segal AmeriCorps Education Awards in the State of Maine between 1996-2016

Abstract

The present report provides an analysis of trends in the redemption of Segal AmeriCorps Education Awards at Maine institutions from 1996-2016. Segal Awards are post-service grants that can be used to offset higher education expenses. This report can be broken down into four main sections, after the methodology section. The first section describes general trends in Segal Award use from 1996-2016, including what institution that money was used at and to what expense that money was directed toward. Given the current climate of the global economy, special care was given when analyzing data before, during, and after the 2001/2002 and 2008/2009 economic recessions; any trends are discussed. The second section considers a hypothetical scenario: “what would be the expense to public institutions if Segal Award recipients, who completed their service in Maine, qualified for in-state tuition?”. Some recommendations are given based on these data and projections. The third section considers a different hypothetical scenario: “what would be Maine’s fiscal impact if Segal Awards were not counted as taxable income?”. This question is based on the proposed “Segal AmeriCorps Education Award Tax Relief Act of 2019” and is reformulated to try to pose the same question to Maine in regard to waiving personal income tax at the state level; recommendations are given based on these data and projections. Section four closes the analysis by briefly discussing limitations to this research and proposes some follow-up analyses that would better contextualize the two hypothetical situations that were explored.