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House Bill 1327

Florida House of Representatives - 1997 HB 1327 By Representative Gay 1 A bill to be entitled 2 An act relating to postsecondary education; 3 creating s. 240.4027, F.S.; establishing the 4 Florida Supplemental Student Grant and Loan 5 Program; providing for administration and 6 rules; providing for student eligibility; 7 providing for amount of awards; providing for 8 student charges to fund the program; providing 9 for deposit and investment of funds; 10 authorizing refund of student charges; 11 requiring the adoption of loan repayment 12 schedules; providing an effective date. 13 14 Be It Enacted by the Legislature of the State of Florida: 15 16 Section 1. Section 240.4027, Florida Statutes, is 17 created to read: 18 240.4027 Florida Supplemental Student Grant and Loan 19 Program.-- 20 (1) There is established the Florida Supplemental 21 Student Grant and Loan Program to be administered by the 22 Department of Education in accordance with rules of the State 23 Board of Education. 24 (2)(a) Student grants or loans through the program may 25 be made to students who meet the general requirements for 26 student eligibility as provided in s. 240.404, except as 27 otherwise provided in this section. Such grants or loans 28 shall be awarded annually on a need basis in the amount of 29 $500 per student. A recipient of a grant or award must have 30 been accepted at a state university or community college. 31 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1327 540-166-97 1 (b) A student applying for a grant or loan shall be 2 required to apply for the Pell Grant. The Pell Grant 3 entitlement must be considered by the department when 4 conducting an assessment of the financial resources available 5 to each student. 6 (c) The criteria and procedure for establishing 7 standards of eligibility shall be determined by the 8 department. The department is directed to establish a rating 9 system upon which to base the approval of grants or loans, and 10 such system shall include a certification of acceptability by 11 the state university or community college of the applicant's 12 choice and the use of a nationally recognized system of need 13 analysis. Priority in the distribution of grant or loan 14 moneys shall be given to students with the lowest total family 15 resources, as determined pursuant to this subsection, taking 16 into consideration the receipt of Pell Grants and student 17 contributions to educational costs. 18 (3) Funding for the program is derived through the 19 following charges per semester, or equivalent charges per 20 quarter, to each student attending a state university or 21 community college: 22 (a) Twenty-five dollars for a student taking at least 23 12 credit hours per semester, or the equivalent quarter hours. 24 (b) Fifteen dollars for a student taking 7 to 11 25 credit hours per semester, or the equivalent quarter hours. 26 (c) Ten dollars for a student taking 1 to 5 credit 27 hours per semester, or the equivalent quarter hours. 28 29 These funds shall be deposited in the State Student Financial 30 Assistance Trust Fund and shall be invested to obtain the 31 highest maximum yield while guaranteeing safety of the 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1327 540-166-97 1 principal. The moneys derived from investing the student 2 charges shall constitute the funding basis for the grants or 3 loans. Notwithstanding the provisions of s. 216.301 and 4 pursuant to s. 216.351, any balance in the trust fund at the 5 end of any fiscal year that has been allocated to the Florida 6 Supplemental Student Grant and Loan Program shall remain 7 therein and shall be available for carrying out the purposes 8 of this section. 9 (4) Upon graduation, a student may apply for a refund 10 of the total amount of charges he or she has paid pursuant to 11 this section and payment of a minimum amount of interest 12 earnings established by the Department of Education. If a 13 student is a nondegree seeking student, he or she must certify 14 completion of attendance at the state university or community 15 college in order to obtain a refund and interest earnings 16 payment. 17 (5) The Department of Education shall adopt loan 18 repayment schedules and applicable interest rates for students 19 receiving loans under this program. 20 Section 2. This act shall take effect July 1, 1997. 21 22 ***************************************** 23 HOUSE SUMMARY 24 Establishes the Florida Supplemental Student Grant and 25 Loan Program to provide annual grants or loans to students attending state universities or community 26 colleges. Provides for awards based on need. Establishes funding for the program through investment of 27 student charges and authorizes refund of charges upon graduation. 28 29 30 31 3