UNOFFICIAL COPY 22 RS BR 274 Page 1 of 9 XXXX Jacketed AN ACT relating to dual credit scholarships. 1 Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2 Section 1. KRS 164.786 is amended to read as follows: 3 (1) For purposes of this section: 4 (a) "Academic term" means the fall or spring academic semester; 5 (b) "Academic year" means July 1 through June 30 of each year; 6 (c) "Approved dual credit course" means a dual credit course developed in 7 accordance with KRS 164.098 and shall include general education courses 8 and career and technical education courses within a career pathway approved 9 by the Kentucky Department of Education that leads to an industry-recognized 10 credential; 11 (d) "Authority" means the Kentucky Higher Education Assistance Authority; 12 (e) "Dual credit" has the same meaning as in KRS 158.007; 13 (f) "Dual credit tuition rate ceiling" means one-half (1/2)[one-third (1/3)] of the 14 per credit hour tuition amount charged by the Kentucky Community and 15 Technical College System for in-state students; 16 (g) "Eligible high school student" means a student who: 17 1. Is a Kentucky resident; 18 2. Is enrolled in a Kentucky high school[ as a senior or junior]; 19 3. Has completed a thirty (30) minute college success counseling session; 20 and 21 4. Is enrolled, or accepted for enrollment, in an approved dual credit course 22 at a participating institution; and 23 (h) "Participating institution" means a postsecondary institution that: 24 1. Has an agreement with the authority for the administration of the Dual 25 Credit Scholarship Program; 26 2. Charges no more than the dual credit tuition rate ceiling per credit hour, 27 UNOFFICIAL COPY 22 RS BR 274 Page 2 of 9 XXXX Jacketed including any additional fees, for any dual credit course it offers to any 1 Kentucky public or nonpublic high school student; 2 3. Does not charge any tuition or fees to an eligible high school student for 3 an approved dual credit course beyond what is paid by the Dual Credit 4 Scholarship Program[ when the course is not successfully completed]; 5 and 6 4. Is a: 7 a. Kentucky Community and Technical College System institution; 8 b. Four (4) year Kentucky public college or university; or 9 c. Four (4) year private college or university that is accredited by the 10 Southern Association of Colleges and Schools and whose main 11 campus is located in Kentucky[; and 12 (i) "Successfully completed" means a student receiving both secondary and 13 postsecondary credit upon completion of an approved dual credit course]. 14 (2) To promote dual credit coursework opportunities at no cost to eligible Kentucky 15 high school students, the General Assembly hereby establishes the Dual Credit 16 Scholarship Program. 17 (3) In consultation with the Council on Postsecondary Education, the Kentucky 18 Department of Education, and the Education and Workforce Development 19 Cabinet, the authority shall administer the Dual Credit Scholarship Program and 20 shall promulgate administrative regulations in accordance with KRS Chapter 13A 21 as may be needed for the administration of the program. 22 (4) (a) Each high school shall apply to the authority for dual credit scholarship funds 23 for each eligible high school student. 24 (b) The authority may award a dual credit scholarship to an eligible high school 25 student for an academic term to the extent funds are available for that purpose, 26 except that priority for awarding a scholarship shall be given in 27 UNOFFICIAL COPY 22 RS BR 274 Page 3 of 9 XXXX Jacketed order[awarded] to an eligible high school senior,[ prior to awarding an 1 eligible high school] junior, sophomore, and freshman. 2 (c) An eligible high school student may receive a dual credit scholarship for 3 enrollment in a maximum of ten (10) approved dual credit courses as 4 follows: 5 1. Two (2) career and technical education[successfully completed] dual 6 credit courses per academic year during the freshman and sophomore 7 years; and 8 2. Three (3) general education or career and technical education dual 9 credit courses, in any combination, per academic year during the 10 junior and senior years. 11 (d) The dual credit scholarship award amount shall be equal to the amount 12 charged by a participating institution, not to exceed the dual credit tuition rate 13 ceiling for each dual credit hour[, except the scholarship amount shall be 14 reduced by fifty percent (50%) if the dual credit course is not successfully 15 completed by the student]. 16 (e) Dual credit scholarship funds shall not be used for remedial or developmental 17 coursework. 18 (5) Each participating institution shall submit information each academic term to the 19 authority required for the administration of the scholarship as determined by the 20 authority. 21 (6) Beginning August 1, 2017, and each year thereafter, the authority shall provide a 22 report to the secretary of the Education and Workforce Development Cabinet, the 23 president of the Council on Postsecondary Education, and the commissioner of the 24 Kentucky Department of Education to include: 25 (a) The number of students, by local school district and in total, served by the 26 Dual Credit Scholarship Program; and 27 UNOFFICIAL COPY 22 RS BR 274 Page 4 of 9 XXXX Jacketed (b) The number of general education and career and technical education dual 1 credits earned by students by high school and in total. 2 (7) By May 31, 2019, and each year thereafter, the Kentucky Center for[ Education and 3 Workforce] Statistics, in collaboration with the authority, shall publish data on the 4 Dual Credit Scholarship Program's academic and workforce outcomes. The center 5 shall annually provide a report on the data to the Interim Joint Committee on 6 Education. 7 (8) (a) The Dual Credit Scholarship Program trust fund is hereby created as a trust 8 fund in the State Treasury to be administered by the Kentucky Higher 9 Education Assistance Authority for the purpose of providing scholarships 10 described in this section. 11 (b) The trust fund shall consist of state general fund appropriations, gifts and 12 grants from public and private sources, and federal funds. All moneys 13 included in the fund shall be appropriated for the purposes set forth in this 14 section. 15 (c) Any unallotted[unalloted] or unencumbered balances in the trust fund shall be 16 invested as provided in KRS 42.500(9). Income earned from the investments 17 shall be credited to the trust fund. 18 (d) Notwithstanding KRS 45.229, any fund balance at the close of the fiscal year 19 shall not lapse but shall be carried forward to the next fiscal year and 20 continuously appropriated only for the purposes specified in this section. 21 Section 2. KRS 164.787 is amended to read as follows: 22 (1) The General Assembly hereby establishes the Work Ready Kentucky Scholarship 23 Program to ensure that all Kentuckians who have not yet earned a postsecondary 24 degree have affordable access to an industry-recognized certificate, diploma, or 25 associate of applied science degree. 26 (2) For purposes of this section: 27 UNOFFICIAL COPY 22 RS BR 274 Page 5 of 9 XXXX Jacketed (a) "Academic term" means a fall, spring, or summer academic term or other time 1 period specified in an administrative regulation promulgated by the authority; 2 (b) "Academic year" means July 1 through June 30 of each year; 3 (c) ["Approved dual credit course" means a dual credit course developed in 4 accordance with KRS 164.098 that is a career and technical education course 5 within a career pathway approved by the Kentucky Department of Education 6 that leads to an industry-recognized credential; 7 (d) "Dual credit tuition rate ceiling" means the same as defined in 164.786; 8 (e) ]"Eligible institution" means an institution defined in KRS 164.001 that: 9 1. Actively participates in the federal Pell Grant program; 10 2. Executes a contract with the authority on terms the authority deems 11 necessary or appropriate for the administration of its programs; and 12 3. [Charges no more than the dual credit tuition rate ceiling per credit hour, 13 including any additional fees, for any dual credit course it offers to any 14 Kentucky public or nonpublic high school student; and 15 4. ]Is a: 16 a. Kentucky Community and Technical College System institution; 17 b. Kentucky public university; or 18 c. College, university, or vocational-technical school that is 19 accredited by a recognized regional or national accrediting body 20 and licensed to operate at a site in Kentucky; 21 (d)[(f)] "Eligible program of study" means a program approved by the authority 22 that leads to an industry-recognized certificate, diploma, or associate of 23 applied science degree in one (1) of Kentucky's top five (5) high-demand 24 workforce sectors identified by the Kentucky Workforce Innovation Board 25 and the Education and Workforce Development Cabinet; 26 (e)[(g)] "Fees" means mandatory fees charged by an eligible institution for 27 UNOFFICIAL COPY 22 RS BR 274 Page 6 of 9 XXXX Jacketed enrollment in a course, including but not limited to online course fees, lab 1 fees, and administrative fees. "Fees" does not include tools, books, or other 2 instructional materials that may be required for a course; and 3 (f)[(h)] "Tuition" means the in-state tuition charged to all students as a condition 4 of enrollment in an eligible institution. 5 (3) In consultation with the Education and Workforce Development Cabinet[, the 6 Kentucky Department of Education,] and the Council on Postsecondary Education, 7 the Kentucky Higher Education Assistance Authority shall administer the Work 8 Ready Kentucky Scholarship Program and promulgate administrative regulations in 9 accordance with KRS Chapter 13A as may be needed for the administration of the 10 scholarship. 11 (4) [An eligible high school student shall: 12 (a) Be a Kentucky resident; 13 (b) Be enrolled in a Kentucky high school; 14 (c) Be enrolled, or accepted for enrollment, in an approved dual credit course at 15 an eligible institution; and 16 (d) Complete and submit a Work Ready Kentucky Scholarship dual credit 17 application to the authority. 18 (5) ]An eligible workforce student shall: 19 (a) Be a citizen or permanent resident of the United States; 20 (b) Be a Kentucky resident as determined by the eligible institution in accordance 21 with criteria established by the Council on Postsecondary Education for the 22 purposes of admission and tuition assessment; 23 (c) Have earned a high school diploma or a High School Equivalency Diploma or 24 be enrolled in a High School Equivalency Diploma program; 25 (d) Not have earned an associate's degree or higher level postsecondary degree; 26 (e) Complete the Free Application for Federal Student Aid for the academic year 27 UNOFFICIAL COPY 22 RS BR 274 Page 7 of 9 XXXX Jacketed in which the scholarship is awarded; 1 (f) Complete and submit a Work Ready Kentucky Scholarship application to the 2 authority; 3 (g) Enroll in an eligible program of study at an eligible institution; 4 (h) Not be enrolled in an ineligible degree program, such as a bachelor or 5 unapproved associate program, at any postsecondary institution; 6 (i) Following the first academic term scholarship funds are received, achieve and 7 maintain satisfactory academic progress as determined by the eligible 8 institution; and 9 (j) Not be in default on any program under Title IV of the federal act or any 10 obligation to the authority under any program administered by the authority 11 under KRS 164.740 to 164.7891 or 164.7894, except that ineligibility for this 12 reason may be waived by the authority for cause. 13 (5)[(6)] (a) Beginning with the 2019-2020 academic year, the authority shall award 14 a Work Ready Kentucky Scholarship each academic term to any person who 15 meets the requirements of this section to the extent funds are available for that 16 purpose. 17 (b) The scholarship amount awarded to an eligible workforce student for an 18 academic term shall be the amount remaining after subtracting the student's 19 federal and state grants and scholarships from the maximum scholarship 20 amount. The maximum scholarship amount shall be the per credit hour in-21 state tuition rate at the Kentucky Community and Technical College System 22 multiplied by the number of credit hours in which the student is enrolled and 23 the fees charged to the student. The authority shall promulgate an 24 administrative regulation in accordance with KRS Chapter 13A to specify the 25 maximum amount to be awarded for fees, except that for the 2019-2020 26 academic year the amount awarded for fees shall not exceed four hundred 27 UNOFFICIAL COPY 22 RS BR 274 Page 8 of 9 XXXX Jacketed dollars ($400).[ 1 (c) The scholarship award for an eligible high school student shall be limited to 2 two (2) approved dual credit courses per academic year. The scholarship 3 amount awarded shall be equal to the amount charged by an eligible 4 institution for an approved dual credit course, in accordance with subsection 5 (2)(e)3. of this section.] 6 (6)[(7)] An eligible workforce student's eligibility for the scholarship shall terminate 7 upon the earlier of: 8 (a) Receiving the scholarship for four (4) academic terms; 9 (b) Receiving the scholarship for a total of sixty (60) credit hours; or 10 (c) Obtaining an associate's degree. 11 (7)[(8)] The authority shall annually provide a report on the Work Ready Kentucky 12 Scholarship Program, prepared in collaboration with the Kentucky Center[Office] 13 for[ Education and Workforce] Statistics, to the secretary of the Education and 14 Workforce Development Cabinet that includes, by academic term, academic year, 15 institution, and workforce sector, the number of: 16 (a) Students served by the scholarship and the total amount disbursed; and 17 (b) Credits, certificates, diplomas, and associate of applied science degrees earned 18 by students receiving the scholarship. 19 (8)[(9)] The authority shall report Work Ready Kentucky Scholarship program data to 20 the Kentucky Center[Office] for[ Education and Workforce] Statistics for analysis 21 of the program's success in meeting the goal of increasing skilled workforce 22 participation rates. 23 (9)[(10)] (a) The Work Ready Kentucky Scholarship fund is hereby created as a trust 24 fund in the State Treasury to be administered by the authority for the purpose 25 of providing scholarships as described in this section. 26 (b) The trust fund shall consist of state general fund appropriations, gifts and 27 UNOFFICIAL COPY 22 RS BR 274 Page 9 of 9 XXXX Jacketed grants from public and private sources, and federal funds. All moneys 1 included in the fund shall be appropriated for the purposes set forth in this 2 section. 3 (c) Any unallotted or unencumbered balances in the trust fund shall be invested as 4 provided in KRS 42.500(9). Income earned from the investments shall be 5 credited to the trust fund. 6 (d) Notwithstanding KRS 45.229, any fund balance at the close of the fiscal year 7 shall not lapse but shall be carried forward to the next fiscal year and 8 continuously appropriated only for the purposes specified in this section. 9