This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h0823.PEL
DATE: 1/13/2022
HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: HB 823 Florida Postsecondary Student Assistance Grant Program
SPONSOR(S): Tuck
TIED BILLS: None IDEN./SIM. BILLS: SB 1284
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Post-Secondary Education & Lifelong Learning
Subcommittee
Wolff Kiner
2) Higher Education Appropriations Subcommittee
3) Education & Employment Committee
SUMMARY ANALYSIS
The bill authorizes additional postsecondary institutions to participate in the Florida Postsecondary Student
Assistance Grant Program (FSAG Postsecondary) if they are a competency-based nonprofit virtual
postsecondary institution that is accredited by a member of the Council of Regional Accrediting Commissions
and is created by the governors of several states.
The bill authorizes a full-time degree seeking student who is accepted at the competency-based nonprofit
virtual postsecondary institution to be eligible to receive an FSAG Postsecondary grant.
The bill does not appear to have a fiscal impact. See Fiscal Comments.
The bill provides an effective date of July 1, 2021.
STORAGE NAME: h0823.PEL PAGE: 2
DATE: 1/13/2022
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Present Situation
Florida Student Assistance Grant Program
The Florida Student Assistance Grant (FSAG) Program, created in 1972, is Florida’s largest need-
based grant program.
1
The FSAG Program consists of four student financial aid programs:
FSAG Public;
2
FSAG Public Postsecondary Career Education;
3
FSAG Private;
4
and
FSAG Postsecondary.
5
The FSAG Program is available to degree- and certificate-seeking undergraduate Florida residents who
demonstrate substantial financial need and are enrolled in participating postsecondary institutions.
6
A FSAG award, in combination with other financial aid, may not exceed a student’s demonstrated
financial need.
7
Financial need is determined by the institutional cost of attendance, less the Expected
Family Contribution (EFC)
8
as determined by the Free Application for Federal Student Aid (FAFSA),
less aid from other sources such as federal grants, state grants and institutional aid (not including
loans).
9
The program is administered by participating institutions in accordance with state board rule.
10
The FSAG Program provides state student assistance grants to students who meet general eligibility
requirements
11
and qualifications specific to each program.
12
Florida Postsecondary Student Assistance Grant Program
The Florida Postsecondary Student Assistance Grant Program (FSAG Postsecondary) is available to
students who attend eligible independent institutions
13
that meet the following criteria:
1
Florida Department of Education, Office of Student Financial Assistance, Annual Report to the Commissioner 2019-20, at 11,
available at https://www.floridastudentfinancialaidsg.org/pdf/annualreportcurrent.pdf.; see also Florida Department of Education,
Office of Student Financial Assistance, Florida Student Assistance Grant Fact Sheet (2021-22) available at,
https://www.floridastudentfinancialaidsg.org/PDF/factsheets/FSAG.pdf.
2
Section 1009.50, F.S.
3
Section 1009.505, F.S.
4
Section 1009.51, F.S.
5
Section 1009.52, F.S.
6
Sections 1009.50, 1009.505, 1009.51, and 1009.52, F.S.
7
Florida Department of Education, Office of Student Financial Assistance, Annual Report to the Commissioner 2019-20, at 11,
available at https://www.floridastudentfinancialaidsg.org/pdf/annualreportcurrent.pdf.
8
Expected Family Contribution (EFC) is calculated according to a formula established by law which considers a student’s family size,
number of family members who will attend college or career school during the year, the family’s taxed and untaxed income, assets,
and benefits, such as unemployment for Social Security. U.S. Department of Education, Federal Student Aid, How Aid is Calculated,
https://studentaid.gov/complete-aid-process/how-calculated (last visited Jan. 11, 2022).
9
Id.
10
Sections 1009.50(5), 1009.505(5), 1009.51(5), and 1009.52(6), F.S.; Postsecondary educational administrative responsibilities for
state student aid and tuition assistance programs are outlined in rule 6A-20.002, F.A.C.
11
Section 1009.40, F.S.
12
Sections 1009.50, 1009.505, 1009.51, and 1009.52, F.S.
13
Section 1009.52(2)(a) and (b), F.S. STORAGE NAME: h0823.PEL PAGE: 3
DATE: 1/13/2022
A private nursing diploma school which is approved by the Florida Board of Nursing, is located
in Florida, and administers the Pell Grant;
14
or
An independent college or university located in Florida, which is licensed by the Commission for
Independent Education (CIE), offers degrees, administers the Pell Grant and does not
participate in the FSAG Private grant;
15
or
An aviation maintenance school that is located in this state, certified by the Federal Aviation
Administration, and licensed by the CIE.
16
A FSAG Postsecondary grant is only awarded to full-time degree seeking students (enrolled in a
minimum of 12 credit hours per term, or the equivalent)
17
who meet general requirements for student
eligibility,
18
and attend an eligible institution.
19
The student must have been accepted at the eligible
institution.
20
A student applying for a FSAG Postsecondary grant must apply for the Pell Grant, and any
federal aid provided is considered when assessing financial resources available to the student.
21
The total FSAG Postsecondary grant a student receives must be for the amount of demonstrated
unmet need for tuition and fees and may not exceed the maximum annual award amount specified in
the General Appropriations Act (GAA).
22
For fiscal year (FY) 2021-2022, the GAA established a
maximum award amount of $3,260 to any student from the FSAG Postsecondary.
23
A student is not
eligible for a FSAG Postsecondary grant if demonstrated unmet need is less than $200.
24
Priority of
grant money may be given to students who are within one semester of completing a degree or
certificate program and an institution is prohibited from awarding a grant to a student whose EFC
exceeds one and one-half times the maximum Pell Grant-eligible family contribution.
25
To maintain eligibility in the FSAG Postsecondary grant, a student must have earned a minimum
institutional cumulative grade point average (GPA) of 2.0 on a 4.0 scale for 12 credit hours for each
term the award was received.
26
A student is eligible to receive a FSAG Postsecondary grant for nine
semesters or 14 quarters of full-time enrollment.
27
A student receiving a FSAG Postsecondary grant to
attend an eligible aviation maintenance school is eligible for an award of up to 110 percent of the
number of clock hours required to complete the program in which the student is enrolled.
28
FSAG Postsecondary Reporting and Distribution Requirements
14
Section 1009.52(2)(a)1., F.S.; see also Florida Department of Education, Office of Student Financial Assistance, 2021-22
Institutional Eligibility Program Requirements for Participation in State Scholarship & Grant Programs, at 2, available at
https://www.floridastudentfinancialaidsg.org/pdf/Institution_Eligibility_Requirements.pdf.
15
Section 1009.52(2)(a)2., F.S.
16
Section 1009.52(2)(b), F.S.
17
Florida Department of Education, Office of Student Financial Assistance, Florida Student Assistance Grant Fact Sheet (2021-22), at
2, available at, https://www.floridastudentfinancialaidsg.org/PDF/factsheets/FSAG.pdf.
18
Section 1009.40, F.S. see also 6A-20.033(1), F.A.C.
19
Section 1009.52(2)(a) and (b), F.S.
20
Id.
21
Section 1009.52(2)(d), F.S.
22
Section 1009.52(2), F.S.
23
Specific Appropriations 6 and 72, s. 2, ch. 2021-36, L.O.F.
24
Section 1009.52(2), F.S.
25
Section 1009.52(2)(c), F.S. An institution may not impose additional criteria to determine a student’s eligibility to receive a grant
award.
26
Section 1009.40(1)(b)1., F.S.
27
Section 1009.52(2)(c), F.S.
28
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DATE: 1/13/2022
Each participating institution determines an applicant’s eligibility and award amount,
29
and reports to
the Department of Education (DOE) the students who are eligible for the FSAG Postsecondary for each
academic term, including necessary demographic and eligibility date for such students.
30
The funds appropriated for the FSAG Postsecondary must be distributed to eligible institutions in
accordance with a formula approved by the State Board of Education (SBE).
31
The formula must
consider at least the prior year’s distribution of funds and the number of eligible applicants who did not
receive awards.
32
The formula must account for changes in the number of eligible students across all
student assistance grant programs.
33
Institutions must comply with disbursement and remittance
requirements specified in law.
34
Each institution that receives money through the FSAG Postsecondary must prepare a biennial report,
which includes a financial audit of the institution’s administration of the program and a complete
account of moneys for the program, submitted to the DOE by March 1 every other year.
35
The DOE
may conduct its own annual or biennial audit of an institution’s administration of the program and its
allocated funds in lieu of the required biennial report and financial audit report.
36
The DOE may
suspend or revoke an institution’s eligibility to receive future moneys for the program or request a
refund of any moneys overpaid to the institution for the program if the department finds
noncompliance.
37
In 2020-2021, the FSAG Postsecondary grant disbursed $5.8 million dollars to 4,990 students.
38
The
average student award amount was $1,172.16.
39
Duties of Institutions Receiving State Funds for Tuition Assistance Programs
In 2021, the Legislature established additional requirements for postsecondary educational institutions
that receive state funds for state financial aid and tuition assistance programs.
40
The new requirements
include, but are not limited to, the following:
41
Maintenance of complete, accurate, and auditable records documenting the institution’s
administration of state financial aid and tuition assistance funds.
Verification of student eligibility with the DOE each academic term.
Timely completion of reporting requirements implemented by the DOE and the Legislature.
Retention of records for the later of 5 year or until the completion of an audit (including the
resolution of any audit exceptions).
The DOE is required to adopt rules implementing this section and are permitted to adopt higher
standards than those in statute.
42
Institutions that fail to comply with statute must be place on
probationary status and may be suspended or revoked if they fail to provide required audits, fail to
resolve audit findings, or fail to timely provide required reports.
43
Council of Regional Accrediting Commissions
29
Florida Department of Education, Office of Student Financial Assistance, Florida Student Assistance Grant Fact Sheet (2021-22), at
4, available at, https://www.floridastudentfinancialaidsg.org/PDF/factsheets/FSAG.pdf.
30
Section 1009.52(2)(f), F.S.
31
Section 1009.52(4)(a), F.S.
32
Id.
33
Id.
34
Id. at (4)(d).
35
Id. at (4)(e).
36
Id.
37
Id.
38
Florida Department of Education, Office of Student Financial Assistance, End-of-Year Report 2020-21 Florida Student Assistance
Grant Postsecondary, at 1, available at https://www.floridastudentfinancialaidsg.org/PDF/PSI/FSAGPO_2020_2021.pdf.
39
Id.
40
Chapter 2021-232, L.O.F.
41
Section 1009.46(1), F.S.
42
Section 1009.46(2), F.S.
43
Section 1009.46(3), F.S. STORAGE NAME: h0823.PEL PAGE: 5
DATE: 1/13/2022
The Council of Regional Accrediting Commissions (C-RAC) represents the seven organizations
responsible for the accreditation
44
of approximately 3,000 of the nation’s colleges and universities:
Accrediting Commission for Community and Junior Colleges;
Higher Learning Commission;
Middle States Commission on Higher Education;
New England Commission of Higher Education;
Northwest Commission on Colleges and Universities;
Southern Association of Colleges and Schools Commission on Colleges (SACSCOC); and
Western Association of Schools and Colleges (WASC) Senior College and University
Commission.
45
As of 2017, C-RAC members help assure quality at 2,866 Title IV institutions in 3,524 locations across
the United States.
46
Florida Members
SACSCOC accredits 74 Florida public and private colleges and universities,
47
including 12 universities
that make up the State University System of Florida, 28 institutions in the Florida College System, and
34 private colleges and universities.
Effect of Proposed Changes
The bill authorizes additional institutions to participate in the Florida Postsecondary Student Assistance
Grant Program (FSAG Postsecondary) if they are a competency-based nonprofit virtual postsecondary
institution that is accredited by a member of the Council of Regional Accrediting Commissions and is
created by the governors of several states.
The bill requires FSAG Postsecondary grants awarded by such eligible institutions to be made only to
full-time degree seeking students accepted at the competency-based, nonprofit virtual institution.
Allowing students who have been accepted at a competency-based nonprofit virtual postsecondary
institution to receive a FSAG Postsecondary grant may allow additional students to receive the grant.
B. SECTION DIRECTORY:
Section 1. Amends s. 1009.52, F.S.; revising the eligibility requirements for Florida postsecondary
student assistance grants.
Section 2. Provides an effective date of July 1, 2022.
44
Defined as “a process of external review used by the higher education community to assure quality and spur ongoing improvement.”
Council of Regional Accrediting Commissions, Accreditation 101, https://www.c-rac.org/accreditation-101 (last visited Jan. 11,
2022). Accrediting commissions are private, nonprofit organizations comprised of college and university members, with commissions
and visiting teams made up of volunteers. Id. The U.S. Department of Education lists four primary functions of accreditation:
1. Assess the quality of academic programs at institutions of higher education.
2. Create a culture of continuous improvement of academic quality at colleges and universities and stimulate a general raising
of standards among educational institutions.
3. Involve faculty and staff comprehensively in institutional evaluation and planning.
4. Establish criteria for professional certification and licensure and for upgrading courses offering such preparation.
U.S. Department of Education, Accreditation in the United States (Feb. 4, 2021), available at
https://www2.ed.gov/admins/finaid/accred/accreditation_pg2.html#U.S.
45
Council of Regional Accrediting Commissions, Who We Are, https://www.c-rac.org/copy-of-about-us (last visited Jan. 11, 2022).
46
Council of Regional Accrediting Commissions, Quick Facts, https://www.c-rac.org/quick-facts (last visited Jan. 11, 2022).
47
Southern Association of Colleges and Schools Commission on Colleges, SACSCOC Accredited and Candidate List (July 2021),
available at https://sacscoc.org/app/uploads/2019/11/Institutionswebmemlist.pdf. STORAGE NAME: h0823.PEL PAGE: 6
DATE: 1/13/2022
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
None.
2. Expenditures:
None.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
None.
2. Expenditures:
None.
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
The bill may provide a cost savings to eligible students enrolled in postsecondary education institutions
now authorized to participate in the Florida Postsecondary Student Assistance Grant Program.
D. FISCAL COMMENTS:
Expanding eligibility for the Florida Postsecondary Student Assistance Grant Program may affect how
funds are allocated across the several Florida student assistance grants,
48
including decreased
availability of funds for institutions already eligible for grants.
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision:
None. This bill does not appear to affect county or municipal governments.
2. Other:
None.
B. RULE-MAKING AUTHORITY:
None.
C. DRAFTING ISSUES OR OTHER COMMENTS:
None.
IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES
Not applicable.
48
Section 1009.52(4)(a) and (b), F.S.