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        PRIOR PRINTER'S NOS. 1007, 1082               PRINTER'S NO. 1111

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 900 Session of 1999


        INTRODUCED BY TOMLINSON, THOMPSON, TILGHMAN, HELFRICK, WAGNER,
           COSTA, O'PAKE, CONTI, STOUT, DENT, EARLL, WHITE, MELLOW,
           LOEPER, MUSTO, GERLACH, CORMAN AND HART, MAY 3, 1999

        AS AMENDED ON THIRD CONSIDERATION, MAY 11, 1999

                                     AN ACT

     1  Providing for scholarships for persons entering into the field
     2     of science and technology.

     3     The General Assembly of the Commonwealth of Pennsylvania
     4  hereby enacts as follows:
     5  Section 1.  Short title.
     6     This act shall be known and may be cited as the New Economy
     7  Technology Scholarship Act.
     8  Section 2.  Purpose.
     9     The purpose of this act is to provide an incentive to
    10  Pennsylvania students to pursue higher education and training in
    11  science and technology fields which are essential to economic
    12  development in this Commonwealth. Further, the act is intended
    13  to create a sustained pool of highly trained technology workers
    14  which will improve this Commonwealth's ability to attract and
    15  retain business.
    16  Section 3. Definitions.
    17     The following words and phrases when used in this act shall

     1  have the meanings given to them in this section unless the
     2  context clearly indicates otherwise:
     3     "Agency."  The Pennsylvania Higher Education Assistance
     4  Agency (PHEAA).
     5     "Approved course of study."  A program or curriculum offered
     6  by a postsecondary educational institution that provides
     7  instruction in science, technology and related fields and has
     8  been approved by the Department of Education in consultation
     9  with the Pennsylvania Human Resources Investment Council.
    10     "Approved educational institution."  A postsecondary
    11  educational institution located in this Commonwealth that is
    12  authorized to provide approved courses of study and grant
    13  degrees, and has been approved by the Pennsylvania Higher
    14  Education Assistance Agency as an institution in which students
    15  may enroll to participate in the New Economy Technology
    16  Scholarship Program.
    17     "Department."  The Department of Education of the
    18  Commonwealth.
    19     "Incumbent worker."  A person who has been a resident of this
    20  Commonwealth for one year and who has been employed full-time in
    21  this Commonwealth for a period of one year while pursuing an
    22  associate degree or its equivalent.
    23     "Program."  The New Economy Technology Scholarship Program
    24  established under section 4.
    25     "Student."  An individual domiciled in this Commonwealth who
    26  attends or is about to attend a secondary school or
    27  postsecondary educational institution located in this
    28  Commonwealth.
    29     "Work requirement."  Postgraduate, full-time employment with
    30  an employer located in this Commonwealth in an occupation
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     1  related to an approved course of study required under section 4.
     2  The term does not include a paid student internship, a paid
     3  fellowship, volunteer service or employment before graduation.
     4  Section 4.  New Economy Technology Scholarship Program.
     5     (a)  Establishment of program.--There is hereby established
     6  the New Economy Technology Scholarship Program within the
     7  agency, to consist of the SciTech Scholarship and the GI Bill
     8  for the New Economy.
     9     (b)  Issuance of grants.--The agency may provide scholarship
    10  grants to an eligible student who is a resident of this
    11  Commonwealth upon confirmation from an approved educational
    12  institution that the student is enrolled in an approved course
    13  of study. Scholarship grants shall only be for the amount set
    14  forth in sections 5(a) and 6(a) and shall only be used for
    15  tuition and mandatory fees.
    16     (c)  The department, in cooperation with the Pennsylvania
    17  Human Resources Investment Council, shall establish a list of
    18  approved courses of study for the program.
    19     (d)  Other funding.--Prior to making a grant under this act,
    20  the agency shall first apply Federal Pell Grant and State grants
    21  available to tuition and mandatory fees related to an
    22  undergraduate program prior to determining the amount of the
    23  scholarship grant.
    24     (e)  Eligibility.--To receive a scholarship grant under this
    25  section, a student shall meet all of the following requirements:
    26         (1)  Graduation from a high school in this Commonwealth,
    27     or earned general educational development (GED) diploma or
    28     the equivalent thereof.
    29         (2)  Maintenance of domicile in Pennsylvania during the
    30     term of the scholarship grants.
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     1         (3)  Compliance with any conditions placed on the
     2     scholarship grant by the agency or by the department in
     3     consultation with the Pennsylvania Human Resources Investment
     4     Council.
     5         (4)  Maintenance of a grade point average of 3.0 or
     6     higher, on a scale of 4.0, or its equivalent, beginning with
     7     the first semester of the freshman year and through the term
     8     of the scholarship or in the last year of high school if the
     9     student is applying under section 5 or 6.
    10         (5)  Enter into a written agreement with the agency to:
    11             (i)  Satisfy all degree, diploma or certificate
    12         requirements and other requirements under this act.
    13             (ii)  Commence employment in this Commonwealth within
    14         one year after completion of an approved undergraduate
    15         degree or certificate program for a period of one year
    16         for each academic year the student received a scholarship
    17         grant under this act unless the agency determines that
    18         there are extenuating circumstances.
    19             (iii)  Reimburse the Commonwealth all amounts
    20         received under this act and interest thereon, as
    21         determined by the agency, if the student fails to comply
    22         with subparagraphs (i) and (ii).
    23     (f)  Application.--A student shall apply to the agency for a
    24  scholarship grant as prescribed by the agency, to include the
    25  provision of all information and documentation required by the
    26  agency. The application of a student under 18 years of age shall
    27  include the signature of a parent or guardian. The application
    28  shall include a verified statement of grade point average from
    29  the appropriate educational institution.
    30     (g)  Work requirement.--The work requirement under subsection
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     1  (e)(5)(ii) shall begin after the receipt of bachelor's or
     2  associate's degree or other appropriate certificate from an
     3  approved educational institution.
     4     (h)  Termination.--If a student terminates enrollment in the
     5  approved educational institution during the academic year or
     6  prior to completion of the approved course of study, the
     7  approved education institution shall notify the agency in
     8  writing and shall return all unused portions of the scholarship
     9  grant. Returned amounts shall be used to fund other scholarship
    10  grants under this act.
    11     (i)  Transfer.--A scholarship under this act is only
    12  transferrable to another educational institution if approved by
    13  the agency.
    14     (j)  Limitation.--Grants awarded under the program shall be
    15  limited to funds appropriated for that purpose. First priority
    16  for awarding grants shall be given to renewal applicants.
    17  Thereafter, grants shall be awarded on a first-come, first-
    18  served basis.
    19  Section 5.  SciTech Scholarships.
    20     (a)  Amount of grants.--The agency shall award a SciTech
    21  Scholarship in the amount of $3,000 per academic year, or a
    22  lesser amount following application of Federal and State grants
    23  under section 4(d) to a student enrolled full time in an
    24  approved educational institution pursuing a bachelor's degree.
    25  The student shall take at least 12 semester hours, or its
    26  equivalent, in an approved course of study.
    27     (b)  Term of grant.--A grant shall be awarded beginning no
    28  earlier than the second academic year of enrollment in an
    29  approved educational institution. The grant shall be for a
    30  maximum of three academic years or for up to four academic years
    19990S0900B1111                  - 5 -

     1  if the student is enrolled in an approved course of study that,
     2  according to the agency, requires five academic years to
     3  complete. In order to qualify for renewals beyond three years,
     4  the student must be in compliance with the requirements of
     5  section 4(e) and the agency must determine that the student is
     6  making satisfactory progress toward completing a degree.
     7     (c)  Internship.--A student who accepts a grant under this
     8  section shall complete a college-approved or university-approved
     9  internship or work experience in a science, technology or
    10  related field with an employer located in this Commonwealth
    11  prior to receiving a bachelor's degree. The student shall comply
    12  with any conditions placed upon the internship by the agency or
    13  by the department in consultation with the Pennsylvania Human
    14  Resources Investment Council. Proof of completion of the
    15  internship or work experience requirements must be submitted to
    16  the agency prior to graduation, unless otherwise authorized by
    17  the agency.
    18  Section 6.  GI Bill for the New Economy.
    19     (a)  Amounts of grants.--The agency shall award a GI Bill for
    20  the New Economy scholarship in the amount of $1,000 per academic
    21  year or a lesser amount following application of Federal or
    22  State grants under section 4(d) to a student enrolled full time
    23  in an approved educational institution pursuing an associate's
    24  degree or in a private licensed school that has an academic
    25  program approved by the agency. A student who is enrolled part
    26  time and is an incumbent worker pursuing an associate's degree
    27  or other specialized program approved by the agency is eligible
    28  for a grant of 20% of tuition and mandatory fees.
    29     (b)  Term of grant.--The grant shall be for a maximum of two
    30  academic years or for up to three academic years if the student
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     1  is enrolled in an approved course of study that, according to
     2  the agency, requires three academic years to complete. In order
     3  to qualify for a grant three times, the student must be in
     4  compliance with section 4(d) and the institution must determine
     5  that the student is making satisfactory progress toward
     6  completing an associate's degree or the requirements of the
     7  certificate program.
     8     (c)  Exception.--The agency may waive the one-year employment
     9  requirement for an incumbent worker for extenuating
    10  circumstances related to the student's employment within the
    11  last year.
    12  Section 7.  Eligibility.
    13     (a)  Minors.--A person under 18 years of age who otherwise
    14  qualifies for a scholarship grants under section 4 shall not be
    15  disqualified based upon age.
    16     (b)  Ineligibility.--The agency may deny a scholarship grant
    17  to a student who is convicted under section 8.2 of the act of
    18  January 25, 1966 (1965 P.L.1546, No.541), known as Providing
    19  Scholarships to Qualified Students.
    20     (c)  Fraud.--Any person who knowingly or intentionally
    21  procures, obtains or aids another to procure or obtain a grant
    22  under this act through fraudulent means shall be disqualified
    23  from participation in the program and shall be liable to the
    24  agency for an amount equal to three times the amount obtained.
    25  Section 8.  Administration.
    26     (a)  Verification.--The agency shall monitor and verify a
    27  student's fulfillment of all internship and work requirements
    28  under this act.
    29     (b)  Enforcement.--The agency shall enforce repayment of all
    30  scholarship grants for a student who does not comply with the
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     1  provisions of this act, to include use of all lawful collection
     2  procedures and the use of private collection agencies.
     3     (c)  Tax.--Scholarship grants received by a student from the
     4  program shall not be considered taxable income for purposes of
     5  Article III of the act of March 4, 1971 (P.L.6, No.2), known as
     6  the Tax Reform Code of 1971.
     7     (d)  Financial assistance.--Scholarship grants received by a
     8  student from the program shall not be considered financial
     9  assistance or appropriations to the approved educational
    10  institution.
    11     (e)  Customized job training.--No funds under this act shall
    12  be granted to a person enrolled in a customized job training
    13  partnership program or continuing education course from a
    14  postsecondary educational institution for which an employer is
    15  providing over 50% of the financial support, directly or
    16  indirectly, and for which the student is not being charged
    17  tuition or fees.
    18     (f)  Appeals.--The provisions of this act shall be subject to
    19  22 Pa. Code Ch. 121 (relating to student financial aid).
    20     (g)  Regulations.--The agency shall adopt regulations and
    21  procedures necessary to carry out the purposes of this act.
    22  Section 9.  Annual report.
    23     (a)  Development of report.--The agency shall publish a
    24  report by September 1, 2000, and every year thereafter. The
    25  report shall include information regarding the operation of the
    26  program to include:
    27         (1)  Total students receiving scholarship grants in both
    28     the SciTech Scholarship and the GI Bill for the New Economy
    29     programs.
    30         (2)  Total number of students who withdraw from the
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     1     program or internship or work requirements.
     2         (3)  The number of full-time and part-time students
     3     receiving scholarship grants attending four-year educational
     4     institutions, community colleges, independent two-year
     5     colleges, private licensed schools and certificate programs
     6     reported by institution and category of institution.
     7     (b)  Submission.--The annual report shall be submitted to the
     8  Governor, the department and the CHAIRMEN AND MINORITY CHAIRMEN   <--
     9  OF THE Appropriations and Education Committees of the Senate and
    10  the House of Representatives.
    11  Section 10.  Effective date.
    12     This act shall take effect July 1, 1999, or immediately,
    13  whichever is later.












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