Bill Text: PA HB2386 | 2011-2012 | Regular Session | Introduced

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Bill Title: Establishing a Statewide academic scholarship program to be known as the Reliable Educational Assistance for College Hopefuls Scholarship for Business and Entrepreneurship; and providing for the powers and duties of the Pennsylvania Higher Education Assistance Agency.

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Introduced - Dead) 2012-05-16 - Referred to EDUCATION [HB2386 Detail]

Download: Pennsylvania-2011-HB2386-Introduced.html

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PRINTER'S NO. 3546
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2386 Session of2012
INTRODUCED BY PAYTON, FABRIZIO, PARKER AND THOMAS, MAY 16, 2012
REFERRED TO COMMITTEE ON EDUCATION, MAY 16, 2012
AN ACT
Establishing a Statewide academic scholarship program to be
known as the Reliable Educational Assistance for College
Hopefuls Scholarship for Business and Entrepreneurship; and
providing for the powers and duties of the Pennsylvania
Higher Education Assistance Agency.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Reliable
Educational Assistance for College Hopefuls Scholarship for
Business and Entrepreneurship Act.
Section 2. Purpose.
The purpose of this act is to reward educational excellence
and provide an incentive to Pennsylvania students to pursue
higher education with an emphasis on business and
entrepreneurship within this Commonwealth.
Section 3. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Agency." The Pennsylvania Higher Education Assistance
Agency.
"Approved course of study." A program or curriculum offered
at a college or university within this Commonwealth that
provides instruction in business administration, management
studies or related fields and has been approved by the
Department of Education.
"Department." The Department of Education of the
Commonwealth.
"Fund." The REACH Scholarship Fund for Business and
Entrepreneurship established under section 6.
"Grade point average." The numbered grade average calculated
using a 4.0 scale.
"Private institution of higher education." An institution of
higher education located in this Commonwealth that provides an
organized four-year program of undergraduate instruction toward
a baccalaureate degree and that is not a State-owned institution
or State-related institution.
"REACH Scholarship for Business and Entrepreneurship." The
Reliable Educational Assistance for College Hopefuls Scholarship
for Business and Entrepreneurship established under section 4.
"State-owned institution." An institution that is part of
the State System of Higher Education pursuant to Article XX-A of
the act of March 10, 1949 (P.L.30, No.14), known as the Public
School Code of 1949.
"State-related institution." Any of the following: The
Pennsylvania State University, the University of Pittsburgh,
Temple University and Lincoln University and their branch
campuses.
"Student." A school-age resident of this Commonwealth who
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attends or is about to attend a State-owned institution, State-
related institution or private institution of higher education
located in this Commonwealth and who is enrolled, or plans to
enroll, in an approved course of study.
Section 4. REACH Scholarship for Business and Entrepreneurship.
(a) Establishment.--The REACH Scholarship for Business and
Entrepreneurship is established within the agency.
(b) Issuance of scholarships.--
(1) The agency shall provide scholarships, which may be
referred to as REACH Scholarships for Business and
Entrepreneurship, to all students who meet the requirements
of subsection (d) or (f). The scholarships may be issued to a
student only upon confirmation from the State-owned
institution, State-related institution or private institution
of higher education to which the student has enrolled full
time.
(2) The scholarships shall be available for four years
or upon completion of a baccalaureate degree, whichever
occurs earlier.
(3) The scholarships shall only be used for tuition and
mandatory fees.
(4) The scholarships shall be awarded solely on the
basis of merit and without regard to need.
(5) The scholarships shall only be awarded to students
who are high school seniors during or after the school year
in which this section takes effect.
(6) The department shall establish a list of approved
courses of study for the program.
(c) Calculation of award.--
(1) Each eligible student who will attend or attends a
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State-owned institution and enrolls in an approved course of
study shall receive a full-tuition scholarship.
(2) Each eligible student who will attend or attends a
State-related institution or private institution of higher
education and enrolls in an approved course of study shall
receive the lesser of a full-tuition scholarship or a
scholarship equal to the average tuition at the State-owned
institutions as calculated annually by the agency.
(d) Eligibility.--To receive a scholarship under this
section, a student must meet all of the following requirements:
(1) Pennsylvania residency for at least three years
prior to application for the REACH Scholarship for Business
and Entrepreneurship.
(2) Pennsylvania residency during the term of the
scholarship.
(3) Cumulative high school grade point average of 3.0 or
higher for the sophomore, junior and senior years of high
school. If the student does not graduate from high school or
completes a home study program meeting the requirements of
section 1327.1 of the act of March 10, 1949 (P.L.30, No.14),
known as the Public School Code of 1949, the agency shall
determine the eligibility of the student.
(4) Graduation in the top ten percentile of the
graduating class. If the student does not graduate from high
school or completes a home study program meeting the
requirements of section 1327.1 of the Public School Code of
1949, the agency shall determine the eligibility of the
student.
(5) Cumulative high school attendance of at least 90%
for the sophomore, junior and senior years of high school
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unless the agency determines there are extenuating
circumstances, including, but not limited to, approved
medical or personal leave of absence. If the student does not
graduate from high school but completes a home study program
meeting the requirements of section 1327.1 of the Public
School Code of 1949, the agency shall determine the
eligibility of the student.
(6) Satisfactory disciplinary record or conduct record
for the sophomore, junior and senior years of high school. If
the student does not meet this requirement but meets or
exceeds all other requirements under this subsection, the
agency shall determine eligibility of the student.
(7) Satisfactory academic progress toward completion of
an approved course of study at a State-owned institution,
State-related institution or private institution of higher
education as provided under subsection (f).
(8) Entrance into a written agreement with the agency to
maintain Pennsylvania residency for four years after
completion of an undergraduate degree. The student shall
reimburse the Commonwealth all amounts received under this
act and interest thereon, at a rate equal to the average
Stafford loan through the term of the scholarship, if the
student fails to comply with the terms of the written
agreement.
(9) Apply for the Free Application for Federal Student
Aid each year during the term of the scholarship.
(10) Complete at least 100 hours of community service
each academic year of high school. The community service must
be documented by a supervisor and approved by the agency.
(e) Contents of application.--The application of a student
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who seeks a scholarship as prescribed by the agency must
include:
(1) All information and documentation required by the
agency.
(2) If the student is under 18 years of age, the
signature of a parent or guardian.
(3) A verified statement of grade point average,
attendance and disciplinary record or conduct record from the
appropriate educational institution.
(f) Maintenance of scholarship.--
(1) Except as provided under paragraph (2), a student
must maintain a grade point average of 3.0 or higher during
each semester at a State-owned institution, State-related
institution or private institution of higher education
through the term of the scholarship, unless the agency
determines that there are extenuating circumstances,
including, but not limited to, approved medical or personal
leave of absence.
(2) In the event that a student receives a grade point
average below 3.0 during the first or second semester of the
freshmen or first year at a State-owned institution, State-
related institution or private institution of higher
education, the agency shall place the student on scholarship
probation.
(3) A student must complete 40 hours of community
service during each 12-month period during the term of the
scholarship, which community service must be verified by the
agency.
(g) Scholarship termination and transfer.--
(1) If a student who has received a scholarship
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terminates enrollment in the educational institution to which
the student has enrolled full time during the academic year,
or enrolls in a program of study that is not an approved
course of study, the educational institution shall notify the
agency in writing and shall return all unused portions of the
scholarship.
(2) Returned amounts shall be deposited in the REACH
Scholarship Fund for Business and Entrepreneurship.
(3) A student may transfer a scholarship from one State-
owned institution, State-related institution or private
institution of higher education to another, provided that the
student continues enrollment in an approved course of study.
(h) Limitation.--A scholarship shall be paid only from the
REACH Scholarship Fund for Business and Entrepreneurship.
Section 5. Administration.
(a) Verification.--The agency shall monitor and verify a
student's compliance with all the requirements under this act.
(b) Enforcement.--The agency shall enforce repayment of all
scholarships for a student who does not comply with the
provisions of this act, to include use of all lawful collection
procedures and the use of private collection agencies.
(c) Exclusion from taxation.--No scholarship received by a
student may be considered taxable income for purposes of Article
III of the act of March 4, 1971 (P.L.6, No.2), known as the Tax
Reform Code of 1971.
(d) Financial assistance.--No scholarship received by a
student may be considered financial assistance or appropriations
to the approved education institution.
(e) Regulations.--The agency shall adopt regulations and
procedures necessary to carry out the purposes of this act.
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Section 6. REACH Scholarship Fund for Business and
Entrepreneurship.
(a) Establishment.--The REACH Scholarship Fund for Business
and Entrepreneurship is established as a separate fund in the
State Treasury.
(b) Administration.--The fund shall be administered by the
agency.
(c) Use of fund.--The purpose of the fund shall be to
provide full tuition scholarships or equivalent scholarships to
students who have been determined eligible in accordance with
this act.
(d) Funding source.--
(1) Donations and contributions from all public and
private sources, including the Federal Government, and any
appropriations or transfers authorized by the General
Assembly may be deposited in the fund.
(2) All interest earned by the fund and all refunds and
repayments shall be credited to the fund.
(e) Limit on scholarships.--The agency shall not award more
than $25,000,000 in scholarships under this act.
Section 7. Report to General Assembly.
On or before April 1 following the effective date of this
section, and in each succeeding year in which REACH Scholarships
for Business and Entrepreneurship are awarded, the agency shall
provide a report to the General Assembly regarding the
implementation and administration of this act.
Section 8. Effective date.
This act shall take effect July 1, 2011, or immediately,
whichever is later.
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