House File 2095 - Introduced HOUSE FILE 2095 BY BYRNES , J. TAYLOR , MASCHER , HALL , and WINCKLER A BILL FOR An Act eliminating the grants for students attending for-profit 1 accredited private institutions under the tuition grant 2 program affecting the eligibility of such institutions 3 to participate in other student and teacher assistance 4 programs. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 5675YH (4) 84 kh/rj

H.F. 2095 Section 1. Section 261.9, subsection 1, paragraph b, Code 1 Supplement 2011, is amended to read as follows: 2 b. Is accredited by the north central association of 3 colleges and secondary schools accrediting agency based on 4 their requirements, is exempt from taxation under section 5 501(c)(3) of the Internal Revenue Code, and annually provides a 6 matching aggregate amount of institutional financial aid equal 7 to at least seventy-five percent of the amount received in a 8 fiscal year by the institution’s students for Iowa tuition 9 grant assistance under this chapter . Commencing with the 10 fiscal year beginning July 1, 2006, the matching aggregate 11 amount of institutional financial aid shall increase by the 12 percentage of increase each fiscal year of funds appropriated 13 for Iowa tuition grants under section 261.25, subsection 1 , to 14 a maximum match of one hundred percent. The institution shall 15 file annual reports with the commission prior to receipt of 16 tuition grant moneys under this chapter . An institution whose 17 income is not exempt from taxation under section 501(c) of 18 the Internal Revenue Code and whose students were eligible to 19 receive Iowa tuition grant money in the fiscal year beginning 20 July 1, 2003, shall meet the match requirements of this 21 paragraph no later than June 30, 2005. 22 Sec. 2. Section 261.25, subsections 2 and 5, Code Supplement 23 2011, are amended by striking the subsections. 24 EXPLANATION 25 This bill eliminates the standing appropriation of $4 26 million from the general fund of the state for tuition 27 grants for students attending for-profit accredited private 28 postsecondary institutions, and eliminates, from a provision 29 that defines “accredited private institution” for purposes of 30 the tuition grant program, a requirement that a for-profit 31 accredited private institution meet the tuition grant match 32 requirements applicable to nonprofit institutions. 33 The definition of “accredited private institution”, which 34 under the bill no longer includes for-profit accredited 35 -1- LSB 5675YH (4) 84 kh/rj 1/ 2

H.F. 2095 private institutions, is also used for purposes of the 1 rules and procedures adopted by the state board of education 2 or the college student aid commission for the approval of 3 para-educator preparation programs offered by postsecondary 4 institutions, waivers to grant temporary relief from state 5 student assistance programs requirements in response to a 6 national emergency, textbook notice requirements, chiropractic 7 forgivable loans, the work-study program, the national guard 8 educational assistance program, minority academic grants for 9 academic success, the teacher shortage forgivable loan program, 10 and the senior year plus program. 11 -2- LSB 5675YH (4) 84 kh/rj 2/ 2