State of Illinois
91st General Assembly
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Public Act 91-0250

SB463 Enrolled                                 LRB9101866NTsb

    AN ACT to amend the Higher Education  Student  Assistance
Act by changing Sections 10 and 35.

    Be  it  enacted  by  the People of the State of Illinois,
represented in the General Assembly:

    Section 5.  The Higher Education Student  Assistance  Act
is amended by changing Sections 10 and 35 as follows:

    (110 ILCS 947/10)
    Sec.  10.  Definitions.  In  this  Act, and except to the
extent  that  any  of  the  following  words  or  phrases  is
specifically qualified by its context:
    "Commission"  means  the  Illinois   Student   Assistance
Commission created by this Act.
    "Enrollment"  means  the establishment and maintenance of
an individual's status as a  student  in  an  institution  of
higher   learning,  regardless  of  the  terms  used  at  the
institution to describe that status.
    "Approved high  school"  means  any  public  high  school
located  in  this State; and any high school, located in this
State or elsewhere (whether  designated  as  a  high  school,
secondary  school, academy, preparatory school, or otherwise)
which  in  the  judgment  of  the  State  Superintendent   of
Education  provides  a course of instruction at the secondary
level and maintains standards  of  instruction  substantially
equivalent  to  those  of  the public high schools located in
this State.
    "Institution    of    higher    learning",     "qualified
institution",   or   "institution"   means   an   educational
organization located in this State which
         (1)  provides  at  least an organized 2 year program
    of collegiate grade in the liberal arts or  sciences,  or
    both,  directly  applicable  toward  the  attainment of a
    baccalaureate degree or a  program  in  health  education
    directly   applicable   toward   the   attainment   of  a
    certificate, diploma, or an associate degree;
         (2)  either is
              (A)  operated by this State, or
              (B)  operated publicly or  privately,  not  for
         profit, or
              (C)  operated  for  profit,  provided  such for
         profit organization
                   (i)  offers  degree  programs  which  have
              been approved by the Board of Higher  Education
              for  a  minimum  of  3 years under the Academic
              Degree Act, and
                   (ii)  enrolls a majority of  its  students
              in such degree programs, and
                   (iii)  maintains an accredited status with
              the   Commission   on  Institutions  of  Higher
              Education of the North Central  Association  of
              Colleges and Schools;
         (3)  in   the   judgment  of  the  Commission  meets
    standards substantially equivalent to those of comparable
    institutions operated by this State; and
         (4)  if so required  by  the  Commission,  uses  the
    State  as  its  primary  guarantor  of student loans made
    under the federal Higher Education Act of 1965.
For  otherwise  eligible  educational   organizations   which
provide  academic  programs  for  incarcerated  students, the
terms   "institution   of   higher   learning",    "qualified
institutions",  and  "institution" shall specifically exclude
academic programs for incarcerated students.
    "Academic Year" means a 12 month period of time, normally
but not exclusively, from September 1  of  any  year  through
August 31 of the ensuing year.
    "Full-time   student"  means  any  undergraduate  student
enrolled in 12 or more semester or quarter  hours  of  credit
courses in any given semester or quarter or in the equivalent
number   of  units  of  registration  as  determined  by  the
Commission.
    "Part-time  student"  means  any  undergraduate  student,
other than  a  full-time  student,  enrolled  in  6  or  more
semester  or  quarter  hours  of  credit courses in any given
semester or quarter or in the equivalent number of  units  of
registration as determined by the Commission.  Beginning with
fiscal year 1999, the Commission may, on a program by program
basis,  expand  this  definition  of  "part-time  student" to
include students who  enroll  in  less  than  6  semester  or
quarter  hours  of  credit  courses  in any given semester or
quarter.
(Source: P.A. 90-122, eff. 7-17-97.)

    (110 ILCS 947/35)
    Sec. 35. Monetary award program.
    (a)  The  Commission  shall,  each  year,   receive   and
consider   applications   for  grant  assistance  under  this
Section.   Subject  to  a  separate  appropriation  for  such
purposes, an applicant is eligible for  a  grant  under  this
Section when the Commission finds that the applicant:
         (1)  is  a  resident  of this State and a citizen or
    permanent resident of the United States; and
         (2)  in the absence of  grant  assistance,  will  be
    deterred  by  financial considerations from completing an
    educational program at the qualified institution  of  his
    or her choice.
    (b)  The  Commission  shall  award renewals only upon the
student's application and upon the Commission's finding  that
the applicant:
         (1)  has remained a student in good standing;
         (2)  remains a resident of this State; and
         (3)  is  in  a financial situation that continues to
    warrant assistance.
    (c)  All grants shall be applicable only to  tuition  and
necessary  fee  costs  for  2  semesters  or 3 quarters in an
academic year.  Requests for summer term assistance  will  be
made  separately  and  shall  be  considered on an individual
basis according to Commission policy.  Subject to a  separate
appropriation  for  this  purpose  beginning with fiscal year
2000,  Each student who is awarded a grant under this Section
and is enrolled in summer school classes  shall  be  eligible
for  a  summer  school grant.  The summer school grant amount
shall not exceed the lesser of  50  percent  of  the  maximum
annual  grant amount authorized by this Section or the actual
cost of tuition and fees at  the  institution  at  which  the
student  is  enrolled  at least part-time half-time.  For the
regular academic year, the  Commission  shall  determine  the
grant  amount for each full-time and part-time student, which
shall be the smallest of the following amounts:
         (1)  $4,320  for  2  semesters  or  3  quarters   of
    full-time   undergraduate  enrollment  or  $2,160  for  2
    semesters  or  3  quarters  of  part-time   undergraduate
    enrollment, or such lesser amount as the Commission finds
    to be available; or
         (2)  the  amount  which  equals the 2 semesters or 3
    quarters  tuition  and  other  necessary  fees   required
    generally   by   the   institution   of   all   full-time
    undergraduate  students,  or  in  the  case  of part-time
    students an amount of tuition and fees for 2 semesters or
    3 quarters which shall not exceed one-half the amount  of
    tuition and necessary fees generally charged to full-time
    undergraduate students by the institution; or
         (3)  such  amount  as  the  Commission  finds  to be
    appropriate  in  view  of   the   applicant's   financial
    resources.
"Tuition  and  other  necessary fees" as used in this Section
include the customary  charge  for  instruction  and  use  of
facilities  in general, and the additional fixed fees charged
for specified  purposes,  which  are  required  generally  of
nongrant  recipients  for  each academic period for which the
grant applicant actually enrolls, but  do  not  include  fees
payable  only  once  or  breakage  fees  and other contingent
deposits which are refundable  in  whole  or  in  part.   The
Commission  may prescribe, by rule not inconsistent with this
Section, detailed provisions concerning  the  computation  of
tuition and other necessary fees.
    (d)  No  applicant,  including  those presently receiving
scholarship  assistance  under  this  Act,  is  eligible  for
monetary award program consideration  under  this  Act  after
receiving  a  baccalaureate  degree  or  the equivalent of 10
semesters or 15 quarters of award payments.   The  Commission
shall  determine when award payments for part-time enrollment
or interim or summer terms shall  be  counted  as  a  partial
semester or quarter of payment.
    (e)  The  Commission, in determining the number of grants
to be offered, shall take into consideration past  experience
with  the  rate  of grant funds unclaimed by recipients.  The
Commission shall notify applicants that grant  assistance  is
contingent upon the availability of appropriated funds.
    (f)  The   Commission   may  request  appropriations  for
deposit into the Monetary Award Program Reserve Fund.  Monies
deposited into the Monetary Award Program Reserve Fund may be
expended exclusively for one purpose: to make Monetary  Award
Program  grants  to eligible students.  Amounts on deposit in
the Monetary Award Program Reserve Fund may not exceed 2%  of
the current annual State appropriation for the Monetary Award
Program.
    The purpose of the Monetary Award Program Reserve Fund is
to enable the Commission each year to assure as many students
as possible of their eligibility for a Monetary Award Program
grant  and to do so before commencement of the academic year.
Moneys deposited in this Reserve Fund are intended to enhance
the Commission's management of the  Monetary  Award  Program,
minimizing   the   necessity,  magnitude,  and  frequency  of
adjusting award amounts and ensuring that the annual Monetary
Award Program appropriation can be fully utilized.
    (g)  The Commission shall determine  the  eligibility  of
and   make   grants   to  applicants  enrolled  at  qualified
for-profit institutions in accordance with the  criteria  set
forth   in  this  Section.   The  eligibility  of  applicants
enrolled at such for-profit institutions shall be limited  as
follows:
         (1)  Beginning  with the academic year 1997, only to
    eligible  first-time  freshmen  and  first-time  transfer
    students who have attained an associate degree.
         (2)  Beginning with the academic year 1998, only  to
    eligible  freshmen  students,  transfer students who have
    attained an associate degree, and students who receive  a
    grant  under paragraph (1) for the academic year 1997 and
    whose grants are being  renewed  for  the  academic  year
    1998.
         (3)  Beginning  with  the academic year 1999, to all
    eligible students.
(Source: P.A. 89-163, eff.  7-19-95;  89-330,  eff.  8-17-95;
89-512,  eff.  7-11-96;  89-626,  eff.  8-9-96;  90-122, eff.
7-17-97; 90-647, eff. 7-24-98; 90-769, eff. 8-14-98;  revised
9-16-98.)

    Section  99.  Effective date.  This Act takes effect upon
becoming law.

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