House File 2425 - Introduced
HOUSE FILE
BY CHAMBERS
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to postsecondary scholarship and tuition grant
2 assistance.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 5601YH 82
5 kh/rj/5
PAG LIN
1 1 Section 1. Section 260C.14, Code 2007, is amended by
1 2 adding the following new subsection:
1 3 NEW SUBSECTION. 22. Dedicate, if the amount received from
1 4 the state general fund state financial aid for all community
1 5 colleges for the fiscal year is an increase over the previous
1 6 fiscal year, the amount of increase, up to two million
1 7 dollars, for purposes of awarding scholarships and tuition
1 8 grants to individuals enrolled in the community college. The
1 9 department of education shall determine the amount each
1 10 community college shall dedicate to the awarding of
1 11 scholarships and tuition grants pursuant to this subsection.
1 12 Sec. 2. Section 261.20, Code 2007, is amended by adding
1 13 the following new subsection:
1 14 NEW SUBSECTION. 5. The Iowa student loan liquidity
1 15 corporation, as a condition of its authority to issue
1 16 qualified student loan bonds under chapter 7C, and to issue
1 17 bonds, notes, or other obligations pursuant to section 261.38,
1 18 shall submit an amount equivalent to the amounts used to award
1 19 scholarships and tuition grants by community colleges pursuant
1 20 to section 260C.14, subsection 22, and by the institutions of
1 21 higher education under the board of regents pursuant to
1 22 section 262.9, subsection 32, to the college student aid
1 23 commission for deposit in the scholarship and tuition grant
1 24 reserve fund, which amount shall be awarded to students
1 25 attending community colleges, institutions of higher education
1 26 under the control of the board of regents, and accredited
1 27 private institutions. Of the moneys deposited pursuant to
1 28 this subsection for use in awarding scholarships and tuition
1 29 grants, thirty=seven and six=tenths percent shall be reserved
1 30 for students attending regents universities, twenty=five and
1 31 nine=tenths percent shall be reserved for students attending
1 32 community colleges, and thirty=six and five=tenths percent
1 33 shall be reserved for students attending accredited private
1 34 institutions. Notwithstanding subsection 3, moneys deposited
1 35 in the fund pursuant to this subsection shall not be
2 1 transferred, used, obligated, appropriated, or otherwise
2 2 encumbered except as provided in subsection 2.
2 3 Sec. 3. Section 262.9, Code Supplement 2007, is amended by
2 4 adding the following new subsection:
2 5 NEW SUBSECTION. 32. Direct the institutions of higher
2 6 education under the board to dedicate, if the amount
2 7 appropriated for all of the institutions for general
2 8 university purposes for the fiscal year is an increase over
2 9 the previous fiscal year, the amount of increase, up to five
2 10 million dollars, for purposes of awarding scholarships and
2 11 tuition grants to individuals enrolled in the institution.
2 12 The board shall determine the amount each institution shall
2 13 dedicate to the awarding of scholarships and tuition grants
2 14 pursuant to this subsection.
2 15 EXPLANATION
2 16 This bill requires the community colleges and regents
2 17 universities respectively to dedicate up to $2 million for all
2 18 community colleges and $5 million for all regents
2 19 universities, for purposes of awarding scholarships and
2 20 tuition grants to individuals enrolled in the community
2 21 colleges and regents universities if the amount of state aid
2 22 received is an increase over the previous fiscal year.
2 23 The Iowa student loan liquidity corporation is required, as
2 24 a condition of its authority to issue qualified student loan
2 25 bonds, to submit an amount equivalent to the amounts the
2 26 community colleges and regents universities are directed to
2 27 use for awarding scholarships and tuition grants to the
2 28 college student aid commission for deposit in the scholarship
2 29 and tuition grant reserve fund. Of the moneys submitted by
2 30 the corporation and deposited in the fund for awarding
2 31 scholarships and tuition grants, 37.6 percent is reserved for
2 32 students attending regents universities, 25.9 percent is
2 33 reserved for students attending community colleges, and 36.5
2 34 percent is reserved for students attending accredited private
2 35 institutions.
3 1 LSB 5601YH 82
3 2 kh/rj/5.1