FIRSTREGULARSESSION HOUSEBILLNO.265 103RDGENERALASSEMBLY INTRODUCEDBYREPRESENTATIVESHIELDS. 0758H.01I DANARADEMANMILLER,ChiefClerk ANACT Torepealsections173.1102,173.1103,and173.1105,RSMo,andtoenactinlieuthereof threenewsectionsrelatingtopostsecondaryeducationfinancialassistanceawards. BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows: SectionA.Sections173.1102,173.1103,and173.1105,RSMo,arerepealedandthree 2newsectionsenactedinlieuthereof,tobeknownassections173.1102,173.1103,and 3173.1105,toreadasfollows: 173.1102.1.Asusedinsections173.1101to173.1107,unlessthecontextrequires 2otherwise,thefollowingtermsmean: 3 (1)"Academicyear",theperiodfromJulyfirstofanyyearthroughJunethirtiethof 4thefollowingyear; 5 (2)"Approvedprivateinstitution",anonprofitinstitution,dedicatedtoeducational 6purposes,locatedinMissouriwhich: 7 (a)Isoperatedprivatelyunderthecontrolofanindependentboardandnotdirectly 8controlledoradministeredbyanypublicagencyorpoliticalsubdivision; 9 (b)Providesapostsecondarycourseofinstructionatleastsixmonthsinlength 10leadingtoordirectlycreditabletowardacertificateordegree; 11 (c)MeetsthestandardsforaccreditationasdeterminedbyeithertheHigherLearning 12CommissionorbyotheraccreditingbodiesrecognizedbytheUnitedStatesDepartmentof 13Educationorbyutilizingaccreditationstandardsapplicabletonondegree-grantinginstitutions 14asestablishedbythecoordinatingboardforhighereducation; 15 (d)Doesnotdiscriminateinthehiringofadministrators,facultyandstafforinthe 16admissionofstudentsonthebasisofrace,color,religion,sex,ornationaloriginandisin EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 17compliancewiththeFederalCivilRightsActsof1964and1968andexecutiveordersissued 18pursuantthereto.Sexdiscriminationasusedhereinshallnotapplytoadmissionpracticesof 19institutionsofferingtheenrollmentlimitedtoonesex; 20 (e)Permitsfacultymemberstoselecttextbookswithoutinfluenceorpressurebyany 21religiousorsectariansource; 22 (3)"Approvedpublicinstitution",aneducationalinstitutionlocatedinMissouri 23which: 24 (a)Isdirectlycontrolledoradministeredbyapublicagencyorpoliticalsubdivision; 25 (b)Receivesappropriationsdirectlyorindirectlyfromthegeneralassemblyfor 26operatingexpenses; 27 (c)Providesapostsecondarycourseofinstructionatleastsixmonthsinlength 28leadingtoordirectlycreditabletowardadegreeorcertificate; 29 (d)MeetsthestandardsforaccreditationasdeterminedbyeithertheHigherLearning 30Commission,orifapubliccommunitycollegecreatedundertheprovisionsofsections 31178.370to178.400meetsthestandardsestablishedbythecoordinatingboardforhigher 32educationforsuchpubliccommunitycolleges,orbyotheraccreditingbodiesrecognizedby 33theUnitedStatesDepartmentofEducationorbyutilizingaccreditationstandardsapplicable 34totheinstitutionasestablishedbythecoordinatingboardforhighereducation; 35 (e)Doesnotdiscriminateinthehiringofadministrators,facultyandstafforinthe 36admissionofstudentsonthebasisofrace,color,religion,sex,ornationaloriginandis 37otherwiseincompliancewiththeFederalCivilRightsActsof1964and1968andexecutive 38ordersissuedpursuantthereto; 39 (f)Permitsfacultymemberstoselecttextbookswithoutinfluenceorpressurebyany 40religiousorsectariansource; 41 (4)"Approvedvirtualinstitution",aneducationalinstitutionthatmeetsallofthe 42followingrequirements: 43 (a)Isrecognizedasaqualifyinginstitutionbygubernatorialexecutiveorder,unless 44suchorderisrescinded; 45 (b)Isrecognizedasaqualifyinginstitutionthroughamemorandumofunderstanding 46betweenthestateofMissouriandtheapprovedvirtualinstitution; 47 (c)IsaccreditedbyaregionalaccreditingagencyrecognizedbytheUnitedStates 48DepartmentofEducation; 49 (d)Hasestablishedandcontinuouslymaintainsaphysicalcampusorlocationof 50operationwithinthestateofMissouri; 51 (e)Maintainsatleasttwenty-fivefull-timeMissouriemployees,atleastone-halfof 52whichshallbefacultyoradministratorsengagedinoperations; HB265 2 53 (f)EnrollsatleastonethousandMissouriresidentsasdegree-orcertificate-seeking 54students; 55 (g)MaintainsagoverningbodyoradvisoryboardbasedinMissouriwithoversightof 56Missourioperations; 57 (h)Isorganizedasanonprofitinstitution;and 58 (i)Utilizesanexclusivelycompetency-basededucationmodel; 59 (5)"Coordinatingboard",thecoordinatingboardforhighereducation; 60 (6)["Expectedfamilycontribution",theamountofmoneyastudentandfamily 61shouldpaytowardthecostofpostsecondaryeducationascalculatedbytheUnitedStates 62DepartmentofEducationandreportedonthestudentaidreportortheinstitutionalstudent 63informationrecord; 64 (7)]"Financialassistance",anamountofmoneypaidbythestateofMissouritoa 65qualifiedapplicantundersections173.1101to173.1107; 66 [(8)](7)"Full-timestudent",anindividualwhoisenrolledinandiscarryinga 67sufficientnumberofcredithoursortheirequivalentatanapprovedprivate,public,orvirtual 68institutiontosecurethedegreeorcertificatetowardwhichheorsheisworkinginnomore 69thanthenumberofsemestersortheirequivalentnormallyrequiredbythatinstitutioninthe 70programinwhichtheindividualisenrolled.Thisdefinitionshallbeconstruedasthe 71successortosubdivision(7)ofsection173.205forpurposesofeligibilityrequirementsof 72otherfinancialassistanceprogramsthatrefertosection173.205; 73 (8)"Studentaidindex",theamountofmoneyastudentandfamilyshouldpay 74towardthecostofpostsecondaryeducationascalculatedbytheUnitedStates 75DepartmentofEducationandreportedonthestudentaidreportortheinstitutional 76studentinformationrecord. 77 2.Thefailureofanapprovedvirtualinstitutiontocontinuouslymaintainallofthe 78requirementsinparagraphs(a)to(i)ofsubdivision(4)ofsubsection1ofthissectionshall 79precludesuchinstitution'sstudentsorapplicantsfrombeingeligibleforassistanceunder 80sections173.1104and173.1105. 173.1103.1.Thecoordinatingboardshallbetheadministrativeagencyforthe 2implementationoftheprogramestablishedbysections173.1101to173.1107.The 3coordinatingboardshallpromulgatereasonablerulesandregulationsfortheexerciseofits 4functionsandtheeffectuationofthepurposesofsections173.1101to173.1107.Itshall 5prescribetheformandthetimeandmethodoffilingapplicationsandsupervisethe 6processingthereof.Thecoordinatingboardshalldeterminethecriteriaforeligibilityof 7applicantsandshallevaluateeachapplicant's[expectedfamilycontribution] studentaid 8index. Itshallselectqualifiedrecipientstoreceivefinancialassistance,makesuchawardsof HB265 3 9financialassistancetoqualifiedrecipients,anddeterminethemannerandmethodofpayment 10totherecipient. 11 2.Thecoordinatingboardshalldetermineeligibilityforrenewedassistanceonthe 12basisofannualapplicationsandannualevaluationsof[expectedfamilycontribution] student 13aidindex. Inawardingrenewalgrants,thecoordinatingboardmayincreaseordecreasethe 14amountoffinancialassistancetoanapplicantifsuchactioniswarrantedbyachangeinthe 15financialconditionoftheapplicant,theapplicant'sspouseorparents,ortheavailabilityof 16fundsforthatyear.Asaconditiontoconsiderationforinitialorrenewedassistance,the 17coordinatingboardmayrequiretheapplicant,theapplicant'sspouseandparentstoexecute 18formsofconsentauthorizingthedirectorofrevenueofMissouritocomparefinancial 19informationsubmittedbytheapplicantwiththeMissouriindividualincometaxreturnsofthe 20applicant,theapplicant'sspouseandparentsforthetaxableyearimmediatelyprecedingthe 21yearforwhichapplicationismade,andtoreportanydiscrepanciestothecoordinatingboard. 22 3.Thereisherebycreatedinthestatetreasurythe"AccessMissouriFinancial 23AssistanceFund".Thestatetreasurershallbecustodianofthefundandmayapprove 24disbursementsfromthefundinaccordancewithsections30.170and30.180.Upon 25appropriation,moneyinthefundshallbeusedsolelytoprovidefinancialassistanceto 26qualifiedapplicantsasprovidedbysections173.1101to173.1107.Notwithstandingthe 27provisionsofsection33.080tothecontrary,anymoneysremaininginthefundattheendof 28thebienniumshallnotreverttothecreditofthegeneralrevenuefund.Thestatetreasurer 29shallinvestmoneysinthefundinthesamemannerasotherfundsareinvested.Anyinterest 30andmoneysearnedonsuchinvestmentsshallbecreditedtothefund. 173.1105.1.Anapplicantwhoisanundergraduatepostsecondarystudentatan 2approvedprivate,public,orvirtualinstitutionandwhomeetstheothereligibilitycriteriashall 3beeligibleforfinancialassistance,withaminimumandmaximumawardamountasfollows: 4 (1)Foracademicyears2010-11,2011-12,2012-13,and2013-14: 5 (a)Onethousanddollarsmaximumandthreehundreddollarsminimumforstudents 6attendinginstitutionsclassifiedaspartofthepublictwo-yearsector; 7 (b)Twothousandonehundredfiftydollarsmaximumandonethousanddollars 8minimumforstudentsattendinginstitutionsclassifiedaspartofthepublicfour-yearsector, 9includingStateTechnicalCollegeofMissouri;and 10 (c)Fourthousandsixhundreddollarsmaximumandtwothousanddollarsminimum 11forstudentsattendingapprovedprivateinstitutions; 12 (2)Forthe2014-15academicyear[andsubsequentyears] throughthe2024-25 13academicyear: HB265 4 14 (a)Onethousandthreehundreddollarsmaximumandthreehundreddollars 15minimumforstudentsattendinginstitutionsclassifiedaspartofthepublictwo-yearsector; 16and 17 (b)Twothousandeighthundredfiftydollarsmaximumandonethousandfive 18hundreddollarsminimumforstudentsattendinginstitutionsclassifiedaspartofthepublic 19four-yearsector,includingStateTechnicalCollegeofMissouri,approvedprivateinstitutions, 20orapprovedvirtualinstitutions; and 21 (3)Forthe2025-26academicyearandallsubsequentacademicyears: 22 (a)Onethousandsevenhundreddollarsmaximumandfivehundreddollars 23minimumforstudentsattendinginstitutionsclassifiedaspartofthepublictwo-year 24sector;and 25 (b)Threethousandfivehundreddollarsmaximumandonethousandseven 26hundredfiftydollarsminimumforstudentsattendinginstitutionsclassifiedaspartof 27thepublicfour-yearsector,includingStateTechnicalCollegeofMissouri,approved 28privateinstitutions,orapprovedvirtualinstitutions. 29 2.Allstudentswith[anexpectedfamilycontribution] astudentaidindexoftwelve 30thousanddollarsorlessshallreceiveatleasttheminimumawardamountforhisorher 31institution.Maximumawardamountsforaneligiblestudentwith[anexpectedfamily 32contribution] astudentaidindexaboveseventhousanddollarsshallbereducedbyten 33percentofthemaximum[expectedfamilycontribution] studentaidindexforhisorher 34incrementgroup.Anyawardamountshallbereducedbytheamountofastudent'spayment 35fromtheA+schoolsprogramoranysuccessorprogramtoit.Forpurposesofthissubsection, 36theterm"incrementgroup"shallmeanagrouporganizedby[expectedfamilycontribution] 37studentaidindexinfivehundreddollarincrementsintowhichalleligiblestudentsshallbe 38placed. 39 3.Ifappropriatedfundsareinsufficienttofundtheprogramasdescribed,the 40maximumawardshallbereducedacrossallsectorsbythepercentageoftheshortfall.If 41appropriatedfundsexceedtheamountnecessarytofundtheprogram,theadditionalfunds 42shallbeusedtoincreasethenumberofrecipientsbyeitherextendingthedeadlineforfiling 43anapplicationorraisingthecutoffforthe[expectedfamilycontribution] studentaidindex 44ratherthanbyincreasingthesizeoftheaward, asdeterminedbythedepartment. 45 4.Everythreeyears,beginningwiththe2025-26academicyear[2009-10], theaward 46amountmaybeadjustedtoincreasenomorethantheConsumerPriceIndexforAllUrban 47Consumers(CPI-U),1982-1984=100,notseasonallyadjusted,asdefinedandofficially 48recordedbytheUnitedStatesDepartmentofLabor,oritssuccessoragency,fortheprevious 49academicyear.Thecoordinatingboardshallprepareareportpriortothelegislativesession 50foruseofthegeneralassemblyandthegovernorindeterminingbudgetrequestswhichshall HB265 5 51includetheamountoffundsnecessarytomaintainfullfundingoftheprogrambasedonthe 52baselineestablishedfortheprogramupontheeffectivedateofsections173.1101to173.1107. 53Anyincreaseintheawardamountshallnotbecomeeffectiveunlessanincreaseintheamount 54ofmoneyappropriatedtotheprogramnecessarytocovertheincreaseinawardamountis 55passedbythegeneralassembly. ✔ HB265 6