102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5311

 

Introduced 1/31/2022, by Rep. Joyce Mason

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Scholarship Displacement Act. Defines "cost of attendance", "expected family contribution", "financial need", "institutional financial aid", and "private scholarships". Provides that the Act applies on and after the 2022-2023 school year. Provides that a public institution of higher education may reduce a student's institutional financial aid as a result of the awarding of private scholarships to the student: if a student's total financial aid from all sources exceeds the student's financial need until the student's total financial aid no longer exceeds the student's financial need; if the institution receives approval from the organization that awarded the private scholarship that caused the reduction authorized by the provisions; and in order to comply with the individual or team financial aid restrictions of any athletic association, conference, or other group or organization with authority over intercollegiate athletics. Effective immediately.


LRB102 25431 CMG 34717 b

 

 

A BILL FOR

 

HB5311LRB102 25431 CMG 34717 b

1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Scholarship Displacement Act.
 
6    Section 5. Definitions. As used in this Act:
7    "Cost of attendance" means cost of attendance as defined
8in 20 U.S.C. 1087ll.
9    "Expected family contribution" means expected family
10contribution as determined pursuant to 20 U.S.C. 1087nn.
11    "Financial need" means cost of attendance minus expected
12family contribution.
13    "Institutional financial aid" means need-based and
14merit-based grants, scholarships, tuition waivers, and all
15other forms of financial assistance provided by a public
16institution of higher education that are not loans or
17work-study programs.
18    "Private scholarships" means scholarships awarded by
19businesses, private foundations, nonprofit organizations, and
20service groups. "Private scholarships" does not include awards
21funded by a private organization that is affiliated with a
22public institution of higher education and requests the
23institution's assistance in selecting the recipients of

 

 

HB5311- 2 -LRB102 25431 CMG 34717 b

1scholarships.
 
2    Section 10. Scholarship displacement.
3    (a) This Act applies on and after the 2022-2023 school
4year.
5    (b) A public institution of higher education may reduce a
6student's institutional financial aid as a result of the
7awarding of private scholarships to the student only under the
8circumstances enumerated in the following subsections of this
9Section.
10    (c) A public institution of higher education may reduce
11the student's institutional financial aid if a student's total
12financial aid from all sources exceeds the student's financial
13need until the student's total financial aid no longer exceeds
14the student's financial need.
15    (d) A public institution of higher education may reduce a
16student's institutional financial aid if the institution
17receives approval from the organization that awarded the
18private scholarship that caused the reduction authorized
19pursuant to subsection (c) of this Section.
20    (e) A public institution of higher education may reduce a
21student athlete's institutional financial aid in order to
22comply with the individual or team financial aid restrictions
23of any athletic association, conference, or other group or
24organization with authority over intercollegiate athletics
25including, but not limited to, the National Collegiate

 

 

HB5311- 3 -LRB102 25431 CMG 34717 b

1Athletic Association.
 
2    Section 99. Effective date. This Act takes effect upon
3becoming law.