Sen. Edward D. Maloney

Filed: 3/25/2011





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2    AMENDMENT NO. ______. Amend Senate Bill 1798, AS AMENDED,
3by replacing everything after the enacting clause with the
5    "Section 5. The Eastern Illinois University Law is amended
6by adding Section 10-92 as follows:
7    (110 ILCS 665/10-92 new)
8    (Section scheduled to be repealed on July 1, 2019)
9    Sec. 10-92. Tuition waiver limitation pilot program.
10    (a) The General Assembly makes all of the following
12        (1) Both access and affordability are important points
13    in the Illinois Public Agenda for College and Career
14    Success.
15        (2) This State is in the top quartile with respect to
16    the percentage of family income needed to pay for college.



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1        (3) Research suggests that as loan amounts increase,
2    versus grants-in-aid, the probability of college
3    attendance decreases.
4        (4) There is further research indicating socioeconomic
5    status may affect the willingness of students to use loans
6    to attend college.
7        (5) Strategic use of tuition waivers will decrease the
8    amount of loans that students must use to pay for tuition.
9        (6) A modest, individually tailored tuition waiver can
10    make the difference in choosing to attend college and would
11    enhance college access for low (up to 150% of the federal
12    poverty level) and middle income (151% to 300% of the
13    federal poverty level) families.
14        (7) Even if the federally calculated financial need for
15    college attendance is met, the federally determined
16    Expected Family Contribution can still be a daunting
17    amount.
18        (8) This State is the second largest exporter of
19    students in the country.
20        (9) Illinois students need to be kept in this State.
21    State universities in other states have adopted pricing and
22    incentives that make college expenses for residents of this
23    State less than in this State.
24        (10) A mechanism is needed to stop the outflow of
25    Illinois students to institutions in other states,
26    assisting in State efforts to maintain and educate a highly



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1    trained workforce.
2        (11) By being competitive on costs of attendance, this
3    State can bring out-of-state students to this State.
4        (12) The pilot program established under this Section
5    will allow Eastern Illinois University to compete for
6    highly qualified students who may reside in other states by
7    mitigating the effect of cost differences.
8        (13) Modest tuition waivers, individually targeted and
9    tailored, result in enhanced revenue for university
10    programs.
11        (14) By increasing Eastern Illinois University's
12    capacity to strategically use tuition waivers, the
13    University will be capable of creating enhanced tuition
14    revenue by increasing enrollment yields.
15        (15) The Board of Higher Education's current
16    institutional tuition waiver limitation is 3% of total
17    available undergraduate tuition revenue.
18    (b) The Board shall establish a pilot program to increase
19the Board of Higher Education's institutional tuition waiver
20limitation for the university over a 4-year period to increase
21access to college and make college more affordable for
22undergraduate students. Under the pilot program, the
23institutional tuition waiver limitation shall be increased by 2
24percentage points in the 2012-2013 academic year, 2 percentage
25points in the 2013-2014 academic year, 2 percentage points in
26the 2014-2015 academic year, and one percentage point in the



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12015-2016 academic year, resulting in an institutional tuition
2waiver limitation of 10% in the fourth year of the pilot
4    (c) The pilot program shall require that students who
5receive a tuition waiver under the pilot program be accepted to
6the university through normal admissions standards and
7processes. Individual tuition waivers granted under the pilot
8program must not exceed $2,500 per academic year. The pilot
9program shall provide a maximum of one waiver per academic year
10for a maximum of 4 years to each student in the pilot program
11who maintains satisfactory academic progress. The pilot
12program shall be terminated after the 2015-2016 academic year,
13with no new students receiving waivers. However,
14notwithstanding the Board of Higher Education's institutional
15tuition waiver limitation, existing students receiving waivers
16under the pilot program are eligible to maintain those waivers,
17with satisfactory academic progress, under the 4-year
18limitation, after the 2015-2016 academic year due to
19maintenance of effort within their 4-year window. Sunset dates
20for waiver support shall be based upon the first academic year
21in which a student receives a waiver. The sunset dates are as
22follows for each annual cohort of pilot program participants:
23        (1) Cohort 1: the beginning year is 2012-2013 and the
24    terminal year is 2015-2016.
25        (2) Cohort 2: the beginning year is 2013-2014 and the
26    terminal year is 2016-2017.



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1        (3) Cohort 3: the beginning year is 2014-2015 and the
2    terminal year is 2017-2018.
3        (4) Cohort 4: the beginning year is 2015-2016 and the
4    terminal year is 2018-2019.
5    (d) The Board shall annually report to the Board of Higher
6Education on the pilot program's impact on tuition revenue,
7enrollment goals, and increasing access and affordability on
8such dates as the Board of Higher Education shall determine.
9    (e) The Board of Higher Education may adopt any rules that
10are necessary to implement this Section.
11    (f) This Section is repealed on July 1, 2019.
12    Section 99. Effective date. This Act takes effect July 1,