SB3397 103RD GENERAL ASSEMBLY

LRB103 38539 RJT 68675 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB3397

Introduced 2/8/2024, by Sen. Celina Villanueva

SYNOPSIS AS INTRODUCED:

110 ILCS 947/10
110 ILCS 947/35

Amends the Higher Education Student Assistance Act. Removes a for-profit educational organization from the definition of "institution of higher learning", "qualified institution", and "institution". Provides that an applicant is eligible for a Monetary Award Program grant, including renewals of such grant, if the applicant, among other requirements, is not attending a for-profit institution of higher education. Removes a provision allowing Monetary Award Program grants to be made to applicants enrolled at qualified for-profit institutions. Makes conforming changes. Effective July 1, 2025.

A BILL FOR

AN ACT concerning education.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Higher Education Student Assistance Act is amended by changing Sections 10 and 35 as follows:

(110 ILCS 947/10)

Sec. 10. Definitions. In this Act, and except to the extent that any of the following words or phrases is specifically qualified by its context:

"Commission" means the Illinois Student Assistance Commission created by this Act.

"Enrollment" means the establishment and maintenance of an individual's status as a student in an institution of higher learning, regardless of the terms used at the institution to describe that status.

"Approved high school" means any public high school located in this State; and any high school, located in this State or elsewhere (whether designated as a high school, secondary school, academy, preparatory school, or otherwise) which in the judgment of the State Superintendent of Education provides a course of instruction at the secondary level and maintains standards of instruction substantially equivalent to those of the public high schools located in this State.

"Institution of higher learning", "qualified institution", or "institution" means an educational organization located in this State which

(1) provides at least an organized 2 year program of collegiate grade in the liberal arts or sciences, or both, directly applicable toward the attainment of a baccalaureate degree or a program in health education directly applicable toward the attainment of a certificate, diploma, or an associate degree;

(2) either is

(A) operated by this State, or

(B) operated publicly or privately, not for profit, or

(C) (blank); operated for profit, provided such for profit organization

(i) offers degree programs which have been approved by the Board of Higher Education for a minimum of 3 years under the Academic Degree Act, and

(ii) enrolls a majority of its students in such degree programs, and

(iii) maintains an accredited status with the Commission on Institutions of Higher Education of the North Central Association of Colleges and Schools;

(3) in the judgment of the Commission meets standards substantially equivalent to those of comparable institutions operated by this State; and

(4) if so required by the Commission, uses the State as its primary guarantor of student loans made under the federal Higher Education Act of 1965. For otherwise eligible educational organizations which provide academic programs for incarcerated students, the terms "institution of higher learning", "qualified institutions", and "institution" shall specifically exclude academic programs for incarcerated students.

"Academic year" means a 12 month period of time, normally but not exclusively, from September 1 of any year through August 31 of the ensuing year.

"Full-time student" means any undergraduate student enrolled in 12 or more semester or quarter hours of credit courses in any given semester or quarter or in the equivalent number of units of registration as determined by the Commission.

"Part-time student" means any undergraduate student, other than a full-time student, enrolled in 6 or more semester or quarter hours of credit courses in any given semester or quarter or in the equivalent number of units of registration as determined by the Commission. Beginning with fiscal year 1999, the Commission may, on a program by program basis, expand this definition of "part-time student" to include students who enroll in less than 6 semester or quarter hours of credit courses in any given semester or quarter.

"Public university" means any public 4-year university in this State.

"Public university campus" means any campus under the governance or supervision of a public university.

(Source: P.A. 100-587, eff. 6-4-18; 100-1015, eff. 8-21-18.)

(110 ILCS 947/35)

Sec. 35. Monetary award program.

(a) The Commission shall, each year, receive and consider applications for grant assistance under this Section. Subject to a separate appropriation for such purposes, an applicant is eligible for a grant under this Section when the Commission finds that the applicant:

(1) is a resident of this State and a citizen or permanent resident of the United States;

(2) is enrolled or has been accepted for enrollment in a qualified institution for the purpose of obtaining a degree, certificate, or other credential offered by the institution, as applicable; and

(3) in the absence of grant assistance, will be deterred by financial considerations from completing an educational program at the qualified institution of his or her choice ; and .

(4) is not attending a for-profit institution of higher education.

(b) The Commission shall award renewals only upon the student's application and upon the Commission's finding that the applicant:

(1) has remained a student in good standing;

(2) remains a resident of this State; and

(3) is in a financial situation that continues to warrant assistance ; and .

(4) is not attending a for-profit institution of higher education.

(c) All grants shall be applicable only to tuition and necessary fee costs. The Commission shall determine the grant amount for each student, which shall not exceed the smallest of the following amounts:

(1) subject to appropriation, $5,468 for fiscal year 2009, $5,968 for fiscal year 2010, $6,468 for fiscal year 2011 and each fiscal year thereafter through fiscal year 2022, $8,508 for fiscal year 2023, and $10,896 for fiscal year 2024 and each fiscal year thereafter, or such lesser amount as the Commission finds to be available, during an academic year;

(2) the amount which equals 2 semesters or 3 quarters tuition and other necessary fees required generally by the institution of all full-time undergraduate students; or

(3) such amount as the Commission finds to be appropriate in view of the applicant's financial resources.

Subject to appropriation, the maximum grant amount for students not subject to subdivision (1) of this subsection (c) must be increased by the same percentage as any increase made by law to the maximum grant amount under subdivision (1) of this subsection (c).

"Tuition and other necessary fees" as used in this Section include the customary charge for instruction and use of facilities in general, and the additional fixed fees charged for specified purposes, which are required generally of nongrant recipients for each academic period for which the grant applicant actually enrolls, but do not include fees payable only once or breakage fees and other contingent deposits which are refundable in whole or in part. The Commission may prescribe, by rule not inconsistent with this Section, detailed provisions concerning the computation of tuition and other necessary fees.

(d) No applicant, including those presently receiving scholarship assistance under this Act, is eligible for monetary award program consideration under this Act after receiving a baccalaureate degree or the equivalent of 135 semester credit hours of award payments.

(d-5) In this subsection (d-5), "renewing applicant" means a student attending an institution of higher learning who received a Monetary Award Program grant during the prior academic year. Beginning with the processing of applications for the 2020-2021 academic year, the Commission shall annually publish a priority deadline date for renewing applicants. Subject to appropriation, a renewing applicant who files by the published priority deadline date shall receive a grant if he or she continues to meet the eligibility requirements under this Section. A renewing applicant's failure to apply by the priority deadline date established under this subsection (d-5) shall not disqualify him or her from receiving a grant if sufficient funding is available to provide awards after that date.

(e) The Commission, in determining the number of grants to be offered, shall take into consideration past experience with the rate of grant funds unclaimed by recipients. The Commission shall notify applicants that grant assistance is contingent upon the availability of appropriated funds.

(e-5) The General Assembly finds and declares that it is an important purpose of the Monetary Award Program to facilitate access to college both for students who pursue postsecondary education immediately following high school and for those who pursue postsecondary education later in life, particularly Illinoisans who are dislocated workers with financial need and who are seeking to improve their economic position through education. For the 2015-2016 and 2016-2017 academic years, the Commission shall give additional and specific consideration to the needs of dislocated workers with the intent of allowing applicants who are dislocated workers an opportunity to secure financial assistance even if applying later than the general pool of applicants. The Commission's consideration shall include, in determining the number of grants to be offered, an estimate of the resources needed to serve dislocated workers who apply after the Commission initially suspends award announcements for the upcoming regular academic year, but prior to the beginning of that academic year. For the purposes of this subsection (e-5), a dislocated worker is defined as in the federal Workforce Innovation and Opportunity Act.

(f) (Blank).

(g) (Blank). The Commission shall determine the eligibility of and make grants to applicants enrolled at qualified for-profit institutions in accordance with the criteria set forth in this Section. The eligibility of applicants enrolled at such for-profit institutions shall be limited as follows:

(1) Beginning with the academic year 1997, only to eligible first-time freshmen and first-time transfer students who have attained an associate degree.

(2) Beginning with the academic year 1998, only to eligible freshmen students, transfer students who have attained an associate degree, and students who receive a grant under paragraph (1) for the academic year 1997 and whose grants are being renewed for the academic year 1998.

(3) Beginning with the academic year 1999, to all eligible students.

(h) The Commission may award a grant to an eligible applicant enrolled at an Illinois public institution of higher learning in a program that will culminate in the award of an occupational or career and technical certificate as that term is defined in 23 Ill. Adm. Code 1501.301.

(i) The Commission may adopt rules to implement this Section.

(Source: P.A. 102-699, eff. 4-19-22; 103-8, eff. 6-7-23.)

Section 99. Effective date. This Act takes effect July 1, 2025.