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                                                       PRINTER'S NO. 758

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 690 Session of 1989


        INTRODUCED BY COWELL, COLAFELLA, MILLER, HERMAN, LESCOVITZ,
           E. Z. TAYLOR, TIGUE, KOSINSKI, BATTISTO, FOX, COY, LINTON,
           DALEY, STAIRS, EVANS, LANGTRY, ITKIN, NOYE, CAWLEY, JOHNSON,
           PRESTON, J. L. WRIGHT, VROON, FEE, PRESSMANN, CAPPABIANCA,
           PISTELLA, LETTERMAN, MAINE, ROBINSON, MAIALE, D. W. SNYDER,
           MARKOSEK, VAN HORNE, SEMMEL, NAHILL, JOSEPHS, REBER, HALUSKA,
           TANGRETTI, TRELLO, CARLSON, HERSHEY, PETRARCA, DeLUCA,
           SAURMAN, FLICK, MICHLOVIC, JAROLIN, OLIVER, STEIGHNER,
           McHALE, MORRIS, MELIO, CORRIGAN, HARPER, STUBAN, GEIST,
           BELARDI, LEVDANSKY, STABACK, CIVERA, THOMAS, COLAIZZO,
           GRUPPO, OLASZ, BOWLEY, BELFANTI, BUSH, BUNT, RAYMOND,
           McVERRY, LASHINGER, HUGHES, KUKOVICH, MERRY, DOMBROWSKI AND
           SALOOM, MARCH 7, 1989

        REFERRED TO COMMITTEE ON EDUCATION, MARCH 7, 1989

                                     AN ACT

     1  Providing State-funded grants for qualified students of
     2     Pennsylvania who need financial assistance to attend
     3     postsecondary institutions of higher learning on a part-time
     4     enrollment basis; providing for the administration of this
     5     act; and making an appropriation.

     6     The General Assembly of the Commonwealth of Pennsylvania
     7  hereby enacts as follows:
     8  Section 1.  Short title.
     9     This act shall be known and may be cited as the Part-Time
    10  Student Grant Act.
    11  Section 2.  Purpose.
    12     Part-time enrollments and part-time students' financial needs
    13  are steadily increasing each year. Today nearly one of every
    14  four undergraduates and one of every two graduate students in

     1  Pennsylvania's postsecondary institutions are enrolled on a
     2  part-time basis. Enrollments are growing as many Pennsylvanians
     3  find it necessary to seek further education and training after
     4  experiencing unemployment and job displacement as our economy's
     5  basis shifts from heavy industry to services and high
     6  technology. Increasing numbers of women are enrolling on a part-
     7  time basis as more employment opportunities become available to
     8  women and, in many cases, as it becomes necessary for women to
     9  work to augment a spouse's income or to support children as
    10  single parents. Additionally, attendance on a part-time basis
    11  represents one method of coping with the rising college costs
    12  and diminishing access to financial aid to meet those costs that
    13  all students have experienced during the 1980's. While part-time
    14  students represent over 30% of all enrolled students, they have
    15  access to less than 8% of all available financial aid, primarily
    16  because of the demand for financial aid by full-time students.
    17  The General Assembly believes the Commonwealth can no longer
    18  overlook the part-time students' needs or the potential benefits
    19  that will accrue to Pennsylvania from attendance and completion
    20  of educational programs by such students. Therefore, the purpose
    21  of this act is to establish a publicly funded program of grant
    22  assistance to help students pay for their costs of attending
    23  postsecondary educational institutions on a part-time basis.
    24  Section 3.  Definitions.
    25     The following words and phrases when used in this act shall
    26  have the meanings given to them in this section unless the
    27  context clearly indicates otherwise:
    28     "Agency."  The Pennsylvania Higher Education Assistance
    29  Agency (PHEAA).
    30     "Approved high school."  Any public or private secondary
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     1  school, whether designated as a high school, academy,
     2  preparatory school, or otherwise, located in this Commonwealth
     3  or elsewhere, which, in the judgment of the Department of
     4  Education, provides a course of instruction at the secondary
     5  level and maintains standards of instruction substantially
     6  equivalent to those of the public high schools located in this
     7  Commonwealth.
     8     "Approved institution of higher learning."  An institution
     9  approved by the agency for participation under this act.
    10     "Approved program."  Any program of study approved by the
    11  agency for participation under this act.
    12     "Board."  The board of directors of the agency.
    13     "Financial need."  The need of the student as calculated by,
    14  or at the direction of, the agency according to standards and
    15  tests of financial need approved by the agency.
    16     "Full time."  The equivalent of 12 semester credits a
    17  semester at an institution using credits or 24 clock hours of
    18  instruction a week at an institution using clock hours.
    19     "Full-time student."  A student enrolled full time.
    20     "Grant."  A part-time student grant.
    21     "Guardian."  Any person or persons other than a parent with
    22  whom a minor child has lived and been in the continuous direct
    23  care and control of for a period not less than two years for
    24  purposes of domicile.
    25     "Half time."  The equivalent of six semester credits a
    26  semester at an institution using credits or 12 clock hours of
    27  instruction a week at an institution using clock hours.
    28     "Part-time student."  An eligible applicant under this act.
    29     "Part-time student grant."  A grant to an eligible applicant
    30  under this act.
    19890H0690B0758                  - 3 -

     1  Section 4.  State Part-Time Student Grant Program.
     2     (a)  Creation and administration.--The Part-Time Student
     3  Grant Program is hereby created and is to be administered by the
     4  agency.
     5     (b)  Powers of agency.--The agency shall prepare and
     6  supervise the issuance of public information concerning the
     7  provisions of the Part-Time Student Grant Program and prescribe
     8  the form and regulate the submission of applications; calculate
     9  the financial need and determine the eligibility of applicants;
    10  select qualified recipients; award appropriate grants; and
    11  determine eligibility for renewal of grants. The agency is
    12  authorized to make all necessary and proper regulations,
    13  consistent with this act, for the efficient exercise and
    14  implementation of the foregoing functions and other activities
    15  under this act. The agency is authorized to conduct
    16  investigations to determine whether applications or income tax
    17  and other data submitted to the agency contain
    18  misrepresentations or false statements made for the purpose of
    19  cheating or defrauding. The agency is also authorized to conduct
    20  necessary research and report to the General Assembly and the
    21  Governor on the continuing need for assistance to part-time
    22  students and on the effectiveness of this act.
    23  Section 5.  Eligibility.
    24     (a)  Qualifications.--Any student is eligible for
    25  consideration for a part-time student grant providing:
    26         (1)  The student meets the domicile requirements as
    27     follows:
    28             (i)  A student who is under 18 years of age at the
    29         time the student makes application for an award or to
    30         renew an award must have a supporting parent or guardian
    19890H0690B0758                  - 4 -

     1         who has been a bona fide domiciliary of this Commonwealth
     2         for at least 12 months immediately preceding the date of
     3         application for a grant or to renew a grant.
     4             (ii)  A student who is 18 years of age or older must
     5         have been a bona fide domiciliary of this Commonwealth
     6         for a period of at least 12 months prior to the time this
     7         student makes application for a grant or to renew a
     8         grant.
     9             (iii)  Any period of time during which a person is
    10         enrolled as a student in an educational institution may
    11         not be counted as a part of the 12 months' domicile
    12         herein required when the student came into this
    13         Commonwealth or remained in the Commonwealth for the
    14         purpose of attending a school or college as determined by
    15         the agency.
    16             (iv)  The agency shall make the final decision in all
    17         matters pertaining to domicile and guardianship.
    18             (v)  In view of the fact that Pennsylvania
    19         domiciliaries attending approved institutions of higher
    20         learning located outside of Pennsylvania may exercise
    21         their right of franchise by absentee ballot, a student
    22         who registers to vote in a state other than this
    23         Commonwealth shall be deemed to have abandoned domicile
    24         in Pennsylvania and shall be ineligible for consideration
    25         for a State grant or renewal thereof or any further
    26         payments thereon. At such time as the student again
    27         registers to vote in this Commonwealth, further
    28         eligibility insofar as voter registration is concerned
    29         shall be restored.
    30         (2)  The student is a graduate of, or is attending, an
    19890H0690B0758                  - 5 -

     1     approved high school or is a recipient of a Commonwealth
     2     secondary school diploma.
     3         (3)  The student is enrolled or will be enrolled as a
     4     part-time student at an institution of higher learning in an
     5     approved program.
     6         (4)  The student shall satisfactorily meet the
     7     qualifications of financial need, academic promise, academic
     8     achievement and such other standards as established by the
     9     agency.
    10         (5)  The part-time student grant recipient shall be free
    11     to attend any approved institution of higher learning of the
    12     student's choice and apply the scholarship toward the
    13     tuition, room, board, books and fees of any approved program.
    14     The institution is not required to accept the grant recipient
    15     for enrollment, but is free to exact compliance with its own
    16     admission requirements, standards and policies of admission.
    17         (6)  The student is enrolled, as set forth in section
    18     11(b)(1) or (2).
    19     (b)  Nondiscrimination.--The grants will be made without
    20  regard to the applicant's race, creed, color, sex, age, national
    21  origin or ancestry.
    22  Section 6.  Award value.
    23     All part-time student grant awards will be based on the
    24  applicant's financial need. The minimum grant award shall be
    25  $100 per academic year and the maximum grant shall not exceed
    26  the limitations established by the board so as to keep
    27  expenditures within the funds available from Federal, State or
    28  other sources for such purpose and appropriations shall be
    29  reenacted annually as provided for under the act of March 28,
    30  1974 (P.L.228, No.50), referred to as the Higher Education
    19890H0690B0758                  - 6 -

     1  Assistance Continuation Law, relating to the forward funding of
     2  PHEAA for grants during any fiscal year.
     3  Section 7.  Qualifications for renewal of part-time grant.
     4     (a)  Qualifications.--Qualifications for renewal will include
     5  maintaining satisfactory academic standing, making normal
     6  progress toward completion of the program of study and continued
     7  eligibility as determined by the agency, including continuous
     8  Pennsylvania domicile. The part-time student grant may be
     9  renewed from academic year to academic year until the student
    10  has completed the approved program, but the total of the grants
    11  shall not exceed the full-time equivalent number and dollar
    12  value of grants to which the student would have been entitled
    13  had the program been completed on a full-time basis.
    14     (b)  Transfers.--In the event that a part-time grant
    15  recipient transfers from one institution to another, the grant
    16  shall be transferrable only with the approval of the agency and
    17  shall be based upon costs of the approved program at the new
    18  institution as approved by the agency.
    19     (c)  Use of unused funds.--The agency shall have the right to
    20  use any or all of the unused part-time grant funds for
    21  additional grants in any fiscal year and in any grant program
    22  administered by the agency.
    23     (d)  Payments.--Payments of part-time grants will be made by
    24  the agency in accordance with the rules and regulations
    25  established by the agency. Should the recipient terminate
    26  enrollment for any reason during the academic year, the unused
    27  portion of the grant shall be returned at the request of the
    28  agency by the institution according to the institution's
    29  approved policy for issuing refunds.
    30  Section 8.  Minors may receive grant.
    19890H0690B0758                  - 7 -

     1     Any person otherwise qualifying for any grant under this act
     2  shall not be disqualified by reason of the person being under 18
     3  years of age. For the purpose of applying for, receiving or
     4  making restitution of part-time grants, any person under 18
     5  years of age shall be deemed to have full legal capacity to act
     6  and shall have all the rights, powers, privileges and
     7  obligations of a person of full age with respect to such
     8  actions.
     9  Section 9.  Powers and duties of agency.
    10     In addition to the other powers and duties, the agency is
    11  authorized and empowered to exercise and perform any and all of
    12  the powers and duties granted to the agency under the laws of
    13  this Commonwealth to implement and carry out the provisions of
    14  this act.
    15  Section 10.  Civil penalty.
    16     A person who, by false pretense, knowingly and with intent to
    17  defraud, procures, obtains, attempts to obtain or aids or abets
    18  in obtaining or attempting to obtain, from or through the agency
    19  under this act, money or grants shall be liable to the agency
    20  for an amount equal to three times the amount obtained.
    21  Section 11.  Appropriations.
    22     (a)  Specific appropriation.--The sum of $20,000,000 is
    23  hereby specifically appropriated to the Pennsylvania Higher
    24  Education Assistance Agency and transferred at the request of
    25  the Pennsylvania Higher Education Assistance Agency to the
    26  Higher Education Assistance Fund for funding and administration
    27  of part-time student grants.
    28     (b)  Allocation of appropriation.--The appropriation in
    29  subsection (a) shall be allocated as follows:
    30         (1)  The sum of $13,000,000 is to be utilized for
    19890H0690B0758                  - 8 -

     1     eligible students enrolled less than full time but at least
     2     half time in an undergraduate program of study approved under
     3     the regulations promulgated under the act of January 25, 1966
     4     (1965 P.L.1546, No.541), entitled "An act providing
     5     scholarships and providing funds to secure Federal funds for
     6     qualified students of the Commonwealth of Pennsylvania who
     7     need financial assistance to attend postsecondary
     8     institutions of higher learning, making an appropriation, and
     9     providing for the administration of this act."
    10         (2)  The sum of $7,000,000 is to be utilized for eligible
    11     students enrolled at least half time in an undergraduate,
    12     nondegree program of study that is the equivalent of at least
    13     900 but less than 1,800 clock hours of instruction at an
    14     institution using clock hours or the equivalent of at least
    15     30 but less than 60 semester credits at institutions using
    16     credits.
    17     (c)  Construction.--This appropriation shall be in addition
    18  to and separate from any amount appropriated for State grants,
    19  made under the provisions of the act of January 25, 1966 (1965
    20  P.L.1546, No.541), for the 1989-1990 academic year.
    21     (d)  Separate account.--Appropriations for the purpose of
    22  part-time grants shall be placed in a separate account of the
    23  Higher Education Assistance Fund.
    24     (e)  Awards to full-time students.--If, in any year, the
    25  appropriation to fund State grants to full-time students, as
    26  provided for under the act of January 25, 1966 (1965 P.L.1546,
    27  No.541), does not equal or exceed the level of funds
    28  appropriated for State grants for full-time students for the
    29  previous fiscal year and there are funds appropriated
    30  specifically for State grants for part-time students, the
    19890H0690B0758                  - 9 -

     1  agency's board of directors shall determine if sufficient funds
     2  are available from part-time grants funding to permit awards to
     3  be made to full-time students under the act of January 25, 1966
     4  (1965 P.L.1546, No.541), and the board shall have the power to
     5  utilize such funds to make and administer grants to students
     6  enrolled on either a full-time or part-time basis.
     7  Section 12.  Severability.
     8     The provisions of this act are severable. If any provision of
     9  this act or its application to any person or circumstance is
    10  held invalid, the invalidity shall not affect other provisions
    11  or applications of this act which can be given effect without
    12  the invalid provision or application.
    13  Section 13.  Effective date.
    14     This act shall take effect July 1, 1989.











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