SB175ENROLLED Page 0 6YXW3Z-2 By Senators Orr, Albritton, Livingston, Butler, Allen, Waggoner, Roberts, Jones RFD: Conference Committee on SB175 First Read: 05-Apr-23 2023 Regular Session 1 2 3 4 5 6 SB175 EnrolledSB175 Enrolled Page 1 Enrolled, An Act, To establish the ReEngage Alabama Grant Program; to provide grant award payments to eligible adult learners; to provide eligibility standards, and to provide for administration by the Alabama Commission on Higher Education; relating to grants for short-term credentials; to establish the Alabama Short-Term Credential Scholarship Program to provide grants to Alabama residents to help them earn short-term credentials; to determine eligible recipients; to establish procedures for administering the program; to set forth the process by which the program will be funded; and to repeal the Alabama Apprenticeship Tax Credit Act commencing with Section 40-18-422, Code of Alabama 1975. BE IT ENACTED BY THE LEGISLATURE OF ALABAMA: Section 1. This article shall be known and may be cited as the ReEngage Alabama Grant Program. Section 2. The purpose of the ReEngage Alabama Grant Program is to do all of the following: (1) Increase the number of Alabama adults with college degrees. (2) Encourage adults who have earned some college credit hours to return to college, enroll, and complete a college degree program that is connected with workforce development needs and aligned with Alabama's high demand occupations list. (3) Provide financial assistance to adult learners of the state for postsecondary education in the state. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SB175 EnrolledSB175 Enrolled Page 2 Section 3. For the purposes of this article the following terms have the following meanings: (1) ACADEMIC TERM. A portion of an academic year, such as a quarter or semester, during which an institution of higher education holds classes including, but not limited to, Fall, Winter, Spring, or Summer semesters. (2) ADULT LEARNER. An individual who is 25 years of age or older and returning to college. (3) ALABAMA RESIDENT. An individual who has been classified as an in-state resident by an authorized institution, who has established residency within this state for at least a 12-month period prior to the beginning of the term for which financial assistance is requested, and who is in this state for other than a temporary purpose. (4) APPROVED INSTITUTION. A state-supported institution of higher education or a private nonprofit institution of higher education that satisfies all of the following: a. Is accredited by the Southern Association of Colleges and Schools Commission on Colleges, or the Council on Occupational Education. b. Is eligible to receive Title IV federal student aid program funds. c. Maintains its primary headquarters in Alabama. (5) AUTHORIZED INSTITUTION. An approved institution that files a signed agreement with the commission to comply with all rules and procedures of the ReEngage Alabama Grant Program as provided by the commission. (6) COMMISSION. The Alabama Commission on Higher 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 SB175 EnrolledSB175 Enrolled Page 3 Education. (7) CONTINUOUS ENROLLMENT. When an adult learner is making academic progress toward degree completion without a stop-out in enrollment of more than one consecutive semester or quarter, such as Fall/Winter to Spring, Spring to Summer/Fall, or Summer to Fall. (8) ELIGIBLE PROGRAM. A nonsectarian, secular educational program that is aligned with Alabama's high demand workforce needs adopted by the Alabama Committee on Credentialing and Career Pathways. (9) ELIGIBLE STUDENT. An individual who completed the Free Application for Federal Student Aid (FAFSA), who is in pursuit of his or her first associate or baccalaureate degree, who satisfies the criteria set out in this act, and who is found to be eligible by rules adopted by the commission. (10) GRANT. A financial award by the State of Alabama to defray the cost of tuition and mandatory fees to an eligible adult learner who is currently enrolled in an authorized institution. (11) PROGRAM. The ReEngage Alabama Grant Program created by this act. (12) YEAR. An academic year that shall be divided into Fall, Winter, Spring, and Summer terms. The term does not mean calendar or fiscal year. Section 4. (a) The program shall be administered by the commission, which may adopt any rules necessary for the administration of the program. (b) The commission shall adopt standards for awarding 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 SB175 EnrolledSB175 Enrolled Page 4 grant payments to an eligible adult learner who satisfies all of the following: (1) Is a citizen or a lawful permanent resident of the United States. (2) Is a resident of Alabama. (3) Has not attended a postsecondary education institution for at least two years prior to their current enrollment. Section 5. To be eligible for the grant award, an applicant shall satisfy all of the following: (1) Be classified as an undergraduate student with the completion of at least 36 credit hours for an associate degree or at least 72 credit hours for a baccalaureate degree of a college degree program that is connected with workforce development needs and aligned with Alabama's high demand occupations list adopted by the Alabama Committee on Credentialing and Career Pathways. (2) Show proof of residency. (3) Have good academic standing as defined by the institution. (4) Has been accepted to or is enrolled as a full-time or part-time student in an eligible program in an authorized institution leading to an associate or baccalaureate degree and has not attended a postsecondary education institution at least two years prior. (5) Satisfies continuing eligibility each term by enrolling in six hours or more per term continuously as established by the commission. 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 SB175 EnrolledSB175 Enrolled Page 5 Section 6. (a) The program shall be used to provide grant award payments for eligible adult learners up to the maximum award amount of three thousand dollars ($3,000) for universities and one thousand five hundred dollars ($1,500) for community colleges per academic semester for a full-time student. Proportional awards shall be given for students taking six to 11 hours and students enrolled in less common academic terms, such as quarters, Summer terms, and intersessions. (b) Each grant shall be renewable for the number of terms normally required by the institution for the course of study in which the adult learner is enrolled as long as the student is continuously enrolled until the student receives an associate degree or a baccalaureate degree. The commission shall grant a renewal upon verification that the student remains an eligible student. (c) Grant award payments shall be distributed directly to the approved institution on behalf of the student during the applicable year. (d) The requirements of this act are contingent upon available funding for the program. (e) The commission shall determine the necessary procedures for awarding grant award payments if the number of eligible applicants and recipients exceeds available funding. (f) Any funds appropriated to the program shall be nonreverting. (g) A percentage of the grant program's appropriations may be expended for the operation and maintenance of the 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 SB175 EnrolledSB175 Enrolled Page 6 program. (h) Each authorized institution that enrolls an adult learner who is eligible for the tuition and mandatory fees benefits provided by this program shall take necessary action to ensure that the student is aware of all other benefits that he or she may be entitled to under any other federal and state educational benefits, and any student grant or scholarship. In order to receive the benefits provided by this program, the student shall take the necessary steps to utilize all of the above benefits. Section 7. (a) The commission shall provide an annual report to the Chair of the House Ways and Means Education Committee and the Chair of the Senate Finance and Taxation Education Committee to account for the use of funds and the effectiveness of the grant program established under this article. (b) The commission shall consult with the Alabama Commission on the Evaluation of Services to develop performance metrics and other measures of success to include in the annual report required pursuant to subsection (a). During the 2027 Fiscal Year, the program shall undergo an evaluation by the Alabama Commission on the Evaluation of Services to determine whether the program is impacting the determined measures of success. Section 8. This article shall be known and may be cited as the Alabama Short-Term Credential Scholarship Program. Section 9. The following words used in this article have the following meanings. 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 SB175 EnrolledSB175 Enrolled Page 7 (1) ELIGIBLE STUDENT. An Alabama resident who is registered for or intends to register to take a short-term credential program at an institution within the Alabama Community College System. (2) GRANT. A payment made to an institution within the Alabama Community College System to be applied toward an eligible student's qualifying educational expenses for a short-term credential program. (3) QUALIFYING EDUCATIONAL EXPENSES. Tuition, fees, books, materials, and supplies required for or on behalf of an eligible student by the Alabama Community College System institution for participation in a short-term credential program. (4) SHORT-TERM CREDENTIAL PROGRAM. A program at an Alabama Community College System institution that can be completed in two semesters or less and that will lead to in-demand career opportunities in the region in which the community college where the course is taken is located. In developing the short-term credential program, each community college shall work with local businesses and regional workforce councils and consult the regional and statewide lists of in-demand occupations to determine the in-demand careers and applicable curriculum. Section 10. (a) There is hereby established a short-term credential program that will provide grants to help pay for qualifying educational expenses for eligible students at any Alabama Community College System institution. (b) An eligible student may receive a grant of up to 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 SB175 EnrolledSB175 Enrolled Page 8 four thousand five hundred dollars ($4,500) that shall be paid to the Alabama Community College System institution where the eligible student enrolls in a short-term credential program and shall be applied toward the eligible student's qualifying educational expenses required to complete a credit or non-credit short-term credential program that provides training for in-demand careers in the relevant region. (c) One-half of the grant shall be paid to the Alabama Community College System institution within five days after the eligible student's first day of class in the short-term credential program, and the other one-half of the grant shall be paid within five days after the eligible student's completion of the short-term credential program. The second one-half of the grant shall not be paid if the eligible student does not complete the course, and in such a situation, the eligible student shall be responsible for paying the outstanding balance of any tuition or other fees owed to the Alabama Community College System institution at which the course was taken. If the eligible student does not complete the short-term credential program within one calendar year from the first day of the program's commencement, that individual must repay the State of Alabama the initial one-half of the grant that was paid to the Alabama Community College System institution on his or her behalf. (d) An eligible student who receives a grant under this article may not receive another grant until one calendar year after he or she completes the short-term credential program for which the prior grant was awarded. 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 SB175 EnrolledSB175 Enrolled Page 9 Section 11. The Alabama Community College System shall do all of the following: (1) Adopt any policies and procedures necessary to implement and administer this article. (2) Establish standards for participation and eligibility to receive a grant under this article. (3) Establish the process by which eligible students will apply for a grant. (4) Ensure that grants provided under this article are awarded in a manner that does not discriminate based on gender, race, or disability status of the applicant. (5) Ensure that all grant applicants are residents of the State of Alabama. (6) Ensure that all funding provided under this article is expended for the sole purpose of helping to pay the eligible student's qualifying educational expenses. Section 12. (a) There is created within the State Treasury a fund to be known as the Short-Term Credential Scholarship Fund, which is authorized to accept funds appropriated by the Legislature in the general appropriations act or other appropriations acts. (b) The grants provided under this article shall be effective on January 1, 2024, and shall continue through December 31, 2028, unless extended by an act of the Legislature. Section 13. (a) The Alabama Community College System shall provide an annual report to the Chair of the House Ways and Means Education Committee and the Chair of the Senate 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 SB175 EnrolledSB175 Enrolled Page 10 Finance and Taxation Education Committee to account for the use of funds and the effectiveness of the grant program established under this article. (b) The Alabama Community College System shall consult with the Alabama Commission on the Evaluation of Services to develop performance metrics and other measures of success to include in the annual report required pursuant to subsection (a). During the 2027 Fiscal Year, the program shall undergo an evaluation by the Alabama Commission on the Evaluation of Services to determine whether the program is impacting the determined measures of success. Section 14. The Apprenticeship Tax Credit, Chapter 18 of Title 40, commencing with Section 40-18-422, Code of Alabama 1975, is repealed effective December 31, 2024, unless extended by an act of the Legislature prior to that date for no more than five additional years. Section 15. This act shall become effective on the first day of the third month following its passage and approval by the Governor, or its otherwise becoming law. 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 SB175 EnrolledSB175 Enrolled Page 11 ________________________________________________ President and Presiding Officer of the Senate ________________________________________________ Speaker of the House of Representatives SB175 Senate 27-Apr-23 I hereby certify that the within Act originated in and passed the Senate. Senate 01-Jun-23 I hereby certify that the within Act originated in and passed the Senate, as amended by Conference Committee Report. Patrick Harris, Secretary. House of Representatives Amended and passed: 25-May-23 House of Representatives Passed 01-Jun-23, as amended by Conference Committee Report. By: Senator Orr 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 302 303 304 305 306 307