*ES0089.1* February 17, 2022 ENGROSSED SENATE BILL No. 89 _____ DIGEST OF SB 89 (Updated February 16, 2022 1:45 pm - DI 116) Citations Affected: IC 21-12; IC 21-13. Synopsis: Higher education scholarships. Provides that the commission's annual schedule of awards must provide award amounts on the basis of a federal needs calculation. Amends language concerning teacher stipends to teacher scholarships. Provides that the total amount of scholarships or other financial aid received by an individual may not exceed certain total expenses. Effective: July 1, 2022. Rogers, Kruse, Raatz, Leising (HOUSE SPONSORS — DAVIS, TESHKA, BEHNING) January 4, 2022, read first time and referred to Committee on Education and Career Development. January 27, 2022, reported favorably — Do Pass. January 31, 2022, read second time, ordered engrossed. Engrossed. February 1, 2022, read third time, passed. Yeas 49, nays 0. HOUSE ACTION February 7, 2022, read first time and referred to Committee on Education. February 17, 2022, reported — Do Pass. ES 89—LS 6298/DI 143 February 17, 2022 Second Regular Session of the 122nd General Assembly (2022) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2021 Regular Session of the General Assembly. ENGROSSED SENATE BILL No. 89 A BILL FOR AN ACT to amend the Indiana Code concerning higher education. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 21-12-1.7-3, AS AMENDED BY P.L.10-2019, 2 SECTION 91, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 3 JULY 1, 2022]: Sec. 3. (a) This section applies to an academic year 4 beginning after August 31, 2014. The commission shall publish 5 annually a schedule of award amounts for the higher education award 6 and freedom of choice grant issued under this article. The schedule 7 must provide award amounts on the basis of the recipient's expected 8 family contribution. federal needs calculation. The expected family 9 contribution federal needs calculation shall be derived from 10 information submitted on the recipient's financial aid application form. 11 The commission shall determine award amounts separately for: 12 (1) recipients attending approved public state educational 13 institutions (except Ivy Tech Community College); 14 (2) Ivy Tech Community College; 15 (3) recipients attending a nonprofit college or university listed in 16 IC 21-7-13-6(a)(1)(C); and 17 (4) recipients attending approved postsecondary credit bearing ES 89—LS 6298/DI 143 2 1 proprietary institutions. 2 (b) This subsection applies to an academic year beginning after 3 August 31, 2017. The schedule of award amounts published under 4 subsection (a) must offer a larger award to first time and prior 5 recipients who successfully completed: 6 (1) at least thirty (30) credit hours or the equivalent during the last 7 academic year in which the student received state financial aid; 8 or 9 (2) at least thirty (30) credit hours or the equivalent during the last 10 academic year in which the student was enrolled in a 11 postsecondary educational institution. 12 (c) In determining eligibility under subsection (b), the commission 13 shall apply all the following types of credits regardless of whether the 14 credits were completed during the last academic year described in 15 subsection (b)(1) or (b)(2): 16 (1) Credits earned from dual credit, advanced placement, 17 Cambridge International, and international baccalaureate courses. 18 (2) College credits earned during high school. 19 (3) Credits earned exceeding thirty (30) credit hours during a 20 previous academic year in which a student received state financial 21 aid. 22 (d) The schedule of award amounts shall set forth an amount for 23 recipients described in subsection (a)(1) that is equal to fifty percent 24 (50%) of the amount for recipients described in subsection (a)(3). 25 SECTION 2. IC 21-12-6-10.3, AS AMENDED BY P.L.178-2018, 26 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 27 JULY 1, 2022]: Sec. 10.3. (a) This section applies to a student who 28 qualifies for a scholarship under section 6 or 7 of this chapter, if the 29 student initially enrolls in the program after June 30, 2011. Applicants 30 who are enrolled in the program before July 1, 2011, will not have an 31 income or financial resources test applied to them under this section 32 when they subsequently apply for a scholarship or apply to renew a 33 scholarship. 34 (b) A scholarship applicant shall be awarded the following amount 35 as adjusted under subsections (c) and (d): 36 (1) If the scholarship applicant attends an approved postsecondary 37 educational institution that is a state educational institution, the 38 full educational costs that the scholarship applicant would 39 otherwise be required to pay at the eligible institution. 40 (2) If the scholarship applicant attends an approved postsecondary 41 educational institution that is private, the greater of the: 42 (A) average of the educational costs of all state educational ES 89—LS 6298/DI 143 3 1 institutions, not including Ivy Tech Community College; or 2 (B) amount the applicant is eligible to receive under 3 IC 21-12-4. 4 (3) If the scholarship applicant attends an approved postsecondary 5 educational institution that is a postsecondary credit bearing 6 proprietary educational institution, the lesser of the educational 7 costs that the scholarship applicant would otherwise be required 8 to pay at the postsecondary credit bearing proprietary educational 9 institution or the educational costs of Ivy Tech Community 10 College. 11 (c) The amount of an award under subsection (b) shall be reduced 12 by: 13 (1) for an amount awarded before September 1, 2014: 14 (A) the amount of the Frank O'Bannon grant awarded to the 15 scholarship applicant; plus 16 (B) an additional amount based on the expected family 17 contribution, federal needs calculation, if necessary, as 18 determined by the commission, to provide scholarships within 19 the available appropriation; or 20 (2) for an amount awarded after August 31, 2014, the amount 21 based on the expected family contribution, federal needs 22 calculation, if necessary, as determined by the commission, to 23 provide scholarships within the available appropriation. 24 (d) The total of all tuition scholarships awarded under this section 25 in a state fiscal year may not exceed the amount available for 26 distribution from the fund for scholarships under this chapter. If the 27 total amount to be distributed from the fund in a state fiscal year 28 exceeds the amount available for distribution, the amount to be 29 distributed to each eligible applicant shall be proportionately reduced 30 so that the total reductions equal the amount of the excess based on the 31 relative financial need of each eligible applicant. 32 SECTION 3. IC 21-12-13-2, AS AMENDED BY P.L.63-2021, 33 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 34 JULY 1, 2022]: Sec. 2. (a) This section applies to the following 35 scholarship, stipend, and fee remission statutes: 36 (1) IC 21-12-3. 37 (2) IC 21-12-4. 38 (3) IC 21-12-6. 39 (4) IC 21-13-2. 40 (5) IC 21-13-7. 41 (6) IC 21-13-8. 42 (7) IC 21-13-4. ES 89—LS 6298/DI 143 4 1 (8) IC 21-14-5. 2 (9) IC 21-12-16. 3 (b) Except as provided in subsection (c), and except for a stipend 4 scholarship granted under IC 21-13-8 to an individual described in 5 IC 21-13-8-1(b)(2)(B), a grant or reduction in tuition or fees, including 6 all renewals and extensions, under any of the laws listed in subsection 7 (a) may not exceed the number of terms that constitutes: 8 (1) except as provided in subdivision (2), four (4) undergraduate 9 academic years, as determined by the commission; or 10 (2) for purposes of IC 21-13-4, six (6) academic years as 11 determined by the commission; 12 and must be used within eight (8) years after the date the individual 13 first applies and becomes eligible for benefits under the applicable law. 14 (c) The commission may, subject to the availability of funds, extend 15 eligibility under subsection (b) for a recipient who used a grant or 16 reduction in tuition or fees under any of the statutes listed in subsection 17 (a) at a postsecondary educational institution that closed. The extension 18 of eligibility may not exceed the number of terms used by the recipient 19 at the postsecondary educational institution that closed. 20 SECTION 4. IC 21-13-7-1, AS AMENDED BY P.L.92-2020, 21 SECTION 104, IS AMENDED TO READ AS FOLLOWS 22 [EFFECTIVE JULY 1, 2022]: Sec. 1. An individual may apply for a 23 stipend scholarship under this chapter if the individual: 24 (1) is a student who is enrolled in a course of study at an eligible 25 institution that would enable the student, upon graduation, to teach in a state accredited school accredited under IC 20-31-4.126 27 in Indiana in: 28 (A) special education; or 29 (B) a high-need field; 30 (2) will participate in student teaching as part of the student's 31 degree requirements; 32 (3) has earned a cumulative grade point average upon entering 33 student teaching that: 34 (A) is required by an eligible institution for admission to the 35 eligible institution's school of education; or 36 (B) is at least a 2.0 on a 4.0 grading scale or its equivalent as 37 determined by the eligible institution, if the eligible 38 institution's school of education does not require a certain 39 minimum cumulative grade point average; 40 (4) agrees, in writing, to apply for a teaching position at an 41 accredited school in Indiana following the student's certification 42 as a teacher, and, if hired, to teach for at least three (3) years; and ES 89—LS 6298/DI 143 5 1 (5) meets any other minimum criteria established by the 2 commission. 3 SECTION 5. IC 21-13-7-2, AS AMENDED BY P.L.148-2016, 4 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 5 JULY 1, 2022]: Sec. 2. (a) A student who has applied for the stipend 6 scholarship under section 1 of this chapter and has been approved by 7 the commission may request payment of the stipend after 8 demonstrating that the student will engage in student teaching during 9 the upcoming academic term. 10 (b) The stipend may not exceed four thousand dollars ($4,000). 11 (c) The commission shall pay the stipend directly to the student. 12 SECTION 6. IC 21-13-7-3, AS ADDED BY P.L.205-2013, 13 SECTION 328, IS AMENDED TO READ AS FOLLOWS 14 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The amount of a stipend 15 awarded under this chapter may not be reduced because the student 16 receives other scholarships or forms of financial aid. 17 (b) Except as otherwise permitted by law and except as provided 18 in subsection (c), the amount of any other state financial aid received 19 by a student may not be reduced because the student receives a stipend 20 scholarship under this chapter. 21 (c) A student may concurrently receive a stipend under this chapter 22 and a stipend under IC 21-13-8. The total amount of scholarships or 23 other financial aid a student receives may not exceed the total 24 amount of expenses to attend the accredited postsecondary 25 educational institution, including tuition, room, board, and other 26 fees. 27 SECTION 7. IC 21-13-8-1, AS AMENDED BY P.L.92-2020, 28 SECTION 105, IS AMENDED TO READ AS FOLLOWS 29 [EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The Earline S. Rogers student 30 teaching stipend scholarship for minority students is established. 31 (b) An individual may apply for a stipend scholarship under this 32 chapter if the individual: 33 (1) is a minority student enrolled in an eligible institution; 34 (2) will participate in: 35 (A) student teaching as part of the student's degree 36 requirements; or 37 (B) a school administration internship as part of the student's 38 graduate degree program; 39 (3) has earned a cumulative grade point average: 40 (A) upon entering student teaching that: 41 (i) is required by an eligible institution for admission to the 42 eligible institution's school of education; or ES 89—LS 6298/DI 143 6 1 (ii) is at least a 2.0 on a 4.0 grading scale or its equivalent as 2 determined by the eligible institution, if the eligible 3 institution's school of education does not require a certain 4 minimum cumulative grade point average; or 5 (B) upon beginning a school administration internship that is 6 at least 3.0 on a 4.0 scale, or its equivalent as determined by 7 the eligible institution; 8 (4) agrees, in writing, in the case of an individual entering student 9 teaching, to apply for a teaching position at a state accredited school accredited under IC 20-31-4.110 in Indiana following the 11 student's certification as a teacher, and, if hired, to teach for at 12 least three (3) years; and 13 (5) meets any other minimum criteria established by the 14 commission. 15 SECTION 8. IC 21-13-8-2, AS AMENDED BY P.L.159-2016, 16 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 17 JULY 1, 2022]: Sec. 2. (a) A student who has applied for the stipend 18 scholarship under section 1 of this chapter and has been approved by 19 the commission may request payment of the stipend after 20 demonstrating that the student will engage in student teaching or a 21 school administration internship during the upcoming academic term. 22 The commission shall give priority to student teaching applicants when 23 selecting applicants. 24 (b) The stipend may not exceed four thousand dollars ($4,000). 25 (c) The commission shall pay the stipend directly to the student. 26 SECTION 9. IC 21-13-8-3, AS ADDED BY P.L.205-2013, 27 SECTION 329, IS AMENDED TO READ AS FOLLOWS 28 [EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The amount of a stipend 29 scholarship awarded under this chapter may not be reduced because 30 the student receives other scholarships or forms of financial aid. 31 (b) Except as otherwise permitted by law and except as provided 32 in subsection (c), the amount of any other state financial aid received 33 by a student may not be reduced because the student receives a stipend 34 scholarship under this chapter. 35 (c) A student may concurrently receive a stipend under this chapter 36 and a stipend under IC 21-13-7. The total amount of scholarships or 37 other financial aid a student receives may not exceed the total 38 amount of expenses to attend the accredited postsecondary 39 educational institution, including tuition, room, board, and other 40 fees. ES 89—LS 6298/DI 143 7 COMMITTEE REPORT Madam President: The Senate Committee on Education and Career Development, to which was referred Senate Bill No. 89, has had the same under consideration and begs leave to report the same back to the Senate with the recommendation that said bill DO PASS. (Reference is to SB 89 as introduced.) RAATZ, Chairperson Committee Vote: Yeas 13, Nays 0 _____ COMMITTEE REPORT Mr. Speaker: Your Committee on Education, to which was referred Senate Bill 89, has had the same under consideration and begs leave to report the same back to the House with the recommendation that said bill do pass. (Reference is to SB 89 as printed January 28, 2022.) BEHNING Committee Vote: Yeas 13, Nays 0 ES 89—LS 6298/DI 143