S3724

An Act concerning student financial assistance, amending N.J.S.18A:71B-20, and supplementing chapter 71B of Title 18A of the New Jersey Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. N.J.S.18A:71B-20 is amended to read as follows:

18A:71B-20. a. A State tuition aid grant shall be awarded annually to each eligible, qualified full-time undergraduate student enrolled in a curriculum leading to a degree or certificate in an eligible institution, or in an institution of higher education in another state, provided that state permits its residents to utilize its state student financial assistance grants in New Jersey institutions of higher education through reciprocity agreements approved by the authority. In no event shall a State tuition aid grant be utilized at an out-of-State institution which is not licensed by that state and accredited by a regional accrediting association recognized by a national accrediting organization.

b. To each New Jersey resident enrolled as a full-time student, except as otherwise provided in subsection d. of this section, and meeting the other requirements for eligibility under this chapter, the State shall grant an amount as provided in N.J.S.18A:71B-21. A student shall not be eligible for a grant unless the application is in a form satisfactory to the authority. A student shall not be eligible for grants for more than four and one-half academic years, unless the recipient is enrolled in an undergraduate program regularly requiring five academic years for completion, in which case the authority shall permit five and one-half years of eligibility. Notwithstanding the foregoing provisions, a student receiving aid under the provisions of P.L.1968, c.142 (C.18A:71-28 et seq.) shall be entitled to a sixth year of eligibility. Notwithstanding the foregoing provisions, a county college student who transfers to a four- year institution, or any student who is required to pursue 18 or more credit hours in a remedial or developmental curriculum, as defined by regulations adopted by the authority, is entitled to an additional half year of eligibility. For the purpose of this article, a remedial curriculum shall include only noncredit courses in which a student is directed to enroll by the institution. Eligibility for tuition aid grants may be extended to part-time students through regulations developed by the authority if funds are separately appropriated for this purpose. A student shall not be eligible for grants unless the student maintains such minimum standards of academic performance as are required by the institution of enrollment. A student who is enrolled in a course leading to a degree in theology or divinity shall not be eligible for a tuition aid grant.

c. A person shall not be awarded a State tuition aid grant unless that person:

(1) satisfies the residency and other requirements provided in article 1 of this part;

(2) has applied for State tuition aid and has been determined by the authority to be eligible for the tuition aid;

(3) has demonstrated financial need for the tuition aid as determined by and in accordance with standards to be established by the authority; and

(4) maintains satisfactory academic progress in accordance with standards established by the authority.

d. Eligibility criteria for summer tuition aid grants awarded pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall conform to the requirements of this section and shall include the following additional eligibility criteria:

(1) the student is enrolled in six or more credit hours in the summer term;

(2) the courses for which the summer tuition aid grant is to be applied are in the same undergraduate program at the same institution in which the student was enrolled during the fall and spring semesters of the preceding academic year; and

(3) the courses for which the summer tuition aid grant is to be applied may be credited toward the student’s graduation or academic major requirements.

(cf: N.J.S.18A:71B-20)

2. (New section) a. The authority shall award summer tuition aid grants for eligible students pursuant to N.J.S.18A:71B-20. A summer tuition aid grant shall be applied toward the tuition costs outside of the academic year, as defined in N.J.S.18A:71B-4. The receipt of a summer tuition aid grant shall not: (1) reduce the amount of a tuition aid grant awarded to the student during the academic year; (2) be included when determining the student’s maximum tuition aid grant awards pursuant to subsection b. of this section; or (3) otherwise adversely affect the student’s eligibility for an award under this chapter.

b. A summer tuition aid grant shall be prorated against the full-time tuition aid grant awarded in the preceding semester as follows: an eligible student enrolled with six to eight credits shall receive one-half of the value of a full-time award, and an eligible student enrolled with nine to 11 credits shall receive three-quarters of a full-time award.

c. A student shall not be eligible for more than four summer tuition aid grants.

d. (1) Summer tuition aid grants awarded pursuant to this section shall be funded by a separate line item.

(2) The amount of funds appropriated for full-time tuition aid grants shall not be reduced or diverted to implement the provisions of this act.

(3) The amount of funds appropriated for part-time tuition aid grants shall not be reduced or diverted to implement the provisions of this act.

3. This act shall take effect immediately.

STATEMENT

Providing financial aid to students taking summer classes helps accelerate completion of college degrees. By enabling students to complete a degree sooner, this aid can lower the total cost of attendance and reduce student loan debt. Students are eligible for federal financial aid during summer terms through the Year-Round Pell grant program. This bill authorizes the Higher Education Student Assistance Authority to award State-funded summer tuition aid grants for eligible students, following the federal Year-Round Pell grant program model. The bill provides that a student’s receipt of a summer tuition aid grant will not: (1) reduce the amount of a tuition aid grant awarded to the student during the academic year; (2) be included when determining the student’s maximum tuition aid grant awards; or (3) otherwise adversely affect the student’s eligibility for other State student financial awards.

The bill provides that the eligibility criteria for summer tuition aid grants are required to conform to the eligibility requirements for tuition aid grants provided for study during the academic year, and will also require that:

· the student is enrolled in six or more credit hours in the summer term;

· the courses for which the summer tuition aid grant is to be applied are in the same undergraduate program at the same institution in which the student was enrolled during the fall and spring semesters of the preceding academic year; and

· the courses for which the summer tuition aid grant is to be applied may be credited towards the student’s graduation or academic major requirements.

The bill further provides that a summer tuition aid grant will be prorated against the full-time tuition aid grant awarded in the preceding semester as follows: an eligible student enrolled with six to eight credits will receive one-half of the value of a full-time award, and an eligible student enrolled with nine to 11 credits will receive three-quarters of a full-time award.

Finally, the bill provides that:

· a student will not be eligible for more than four summer tuition aid grants;

· summer tuition aid grants awarded pursuant to the bill will be funded by a separate line item;

· the amount of funds appropriated for full-time tuition aid grants will not be reduced or diverted to implement the bill’s provisions; and

· the amount of funds appropriated for part-time tuition aid grants will not be reduced or diverted to implement the bill’s provisions.