Senate File 2289 - Introduced



                                       SENATE FILE       
                                       BY  COMMITTEE ON VETERANS
                                           AFFAIRS

                                       (SUCCESSOR TO SSB 3032)


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act concerning state educational assistance to children of
  2    deceased veterans and the war orphans educational assistance
  3    fund, and including an effective date and retroactive
  4    applicability provision.
  5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  6 TLSB 5384SV 82
  7 ec/rj/5

PAG LIN



  1  1    Section 1.  Section 35.8, Code 2007, is amended to read as
  1  2 follows:
  1  3    35.8  WAR ORPHANS EDUCATIONAL ASSISTANCE FUND.
  1  4    A war orphans educational assistance fund is created as a
  1  5 separate fund in the state treasury under the control of the
  1  6 department of veterans affairs.  Any money appropriated for
  1  7 the purpose of assisting in the education of orphaned children
  1  8 of veterans, as defined in section 35.1, or the education of a
  1  9 child as provided in section 35.9, subsection 2, shall be
  1 10 deposited in the war orphans educational assistance fund.
  1 11 Notwithstanding section 8.33, any unexpended or unencumbered
  1 12 moneys remaining in the fund at the end of the fiscal year
  1 13 shall not revert, but shall remain available for expenditure
  1 14 for purposes of this section in succeeding fiscal years.
  1 15    Sec. 2.  Section 35.9, subsection 2, Code 2007, is amended
  1 16 to read as follows:
  1 17    2.  a.  Upon application by a child who has lived in the
  1 18 state of Iowa for two years preceding application for state
  1 19 educational assistance, and who is the child of a person who
  1 20 died on or after September 11, 2001, during active federal
  1 21 military service while serving in the armed forces or during
  1 22 active federal military service in the Iowa national guard or
  1 23 other military component of the United States, and who at the
  1 24 time of entering into active military service had maintained
  1 25 the person's residence in the state for a period of at least
  1 26 six months immediately before entering into active military
  1 27 service, the department shall provide state educational
  1 28 assistance in the an amount of five thousand five hundred
  1 29 dollars per year no more than the highest resident
  1 30 undergraduate tuition rate established per year for an
  1 31 institution of higher learning under the control of the state
  1 32 board of regents less the amount of any state and federal
  1 33 education benefits, grants, or scholarships received by the
  1 34 child, or the amount of the child's established financial
  1 35 need, whichever is less, to defray the expenses of tuition,
  2  1 matriculation, laboratory and similar fees, books and
  2  2 supplies, board, lodging, and any other reasonably necessary
  2  3 expense for the child or children incident to attendance in
  2  4 this state at a community college established under chapter
  2  5 260C or at an institution of higher education governed by the
  2  6 state board of regents any postsecondary educational
  2  7 institution in this state.
  2  8    b.  A child eligible to receive state educational
  2  9 assistance under this subsection shall begin postsecondary
  2 10 education prior to reaching age twenty=six and shall not
  2 11 receive more than twenty=seven thousand five hundred dollars
  2 12 under this subsection an amount equal to five times the
  2 13 highest resident undergraduate tuition rate established per
  2 14 year for an institution of higher learning under the control
  2 15 of the state board of regents during the child's lifetime.
  2 16 Payments for state educational assistance for a child under
  2 17 this subsection shall be made to the applicable postsecondary
  2 18 educational institution.  The college student aid commission
  2 19 may, if requested, assist the department in administering this
  2 20 subsection.
  2 21    Sec. 3.  EFFECTIVE DATE AND RETROACTIVE APPLICABILITY.
  2 22 This Act, being deemed of immediate importance, takes effect
  2 23 upon enactment and is retroactively applicable to July 1,
  2 24 2007, and is applicable on and after that date.
  2 25                           EXPLANATION
  2 26    This bill concerns state educational assistance provided to
  2 27 children of persons who died in active military service on or
  2 28 after September 11, 2001, and the war orphans educational
  2 29 assistance fund.
  2 30    Code section 35.8, concerning the war orphans educational
  2 31 assistance fund, is amended to provide that moneys remaining
  2 32 in the fund at the close of a fiscal year shall not revert but
  2 33 shall remain available for the purposes of the fund.
  2 34    Code section 35.9, concerning educational assistance to
  2 35 children of persons who died on active duty on or after
  3  1 September 11, 2001, is also amended.
  3  2    The bill eliminates the requirement that the child seeking
  3  3 assistance lived in this state for two years preceding the
  3  4 application for assistance but adds a requirement that the
  3  5 deceased veteran resided in the state for a period of at least
  3  6 six months immediately before entering into active military
  3  7 service.
  3  8    The bill also provides that the state educational
  3  9 assistance can be used at any postsecondary institutions in
  3 10 the state and not just community colleges and board of regents
  3 11 institutions.  In addition, the child seeking assistance must
  3 12 begin postsecondary education prior to reaching age 26 and
  3 13 payments of educational assistance shall be made to the
  3 14 institution, not the child.
  3 15    The bill also provides that the maximum educational
  3 16 assistance to be awarded per year is an amount equal to the
  3 17 highest annual resident undergraduate tuition rate at a board
  3 18 of regents institution less any state and federal aid received
  3 19 by the child.  In addition, the bill caps the maximum amount
  3 20 to be awarded during a child's lifetime at five times the
  3 21 highest annual undergraduate tuition rate at a board of
  3 22 regents institution.  Current law limits the annual award to
  3 23 $5,500 and the amount awarded over a lifetime to a child to
  3 24 $27,500.
  3 25    The bill takes effect upon enactment and applies
  3 26 retroactively to July 1, 2007.
  3 27 LSB 5384SV 82
  3 28 ec/rj/5