State of Illinois
91st General Assembly
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Public Act 91-0747

SB1538 Enrolled                                LRB9111187NTks

    AN ACT to amend the Higher Education  Student  Assistance
Act by changing Section 35.

    Be  it  enacted  by  the People of the State of Illinois,
represented in the General Assembly:

    Section 5.  The Higher Education Student  Assistance  Act
is amended by changing Section 35 as follows:

    (110 ILCS 947/35)
    Sec. 35. Monetary award program.
    (a)  The   Commission   shall,  each  year,  receive  and
consider  applications  for  grant  assistance   under   this
Section.   Subject  to  a  separate  appropriation  for  such
purposes,  an  applicant  is  eligible for a grant under this
Section when the Commission finds that the applicant:
         (1)  is a resident of this State and  a  citizen  or
    permanent resident of the United States; and
         (2)  in  the  absence  of  grant assistance, will be
    deterred by financial considerations from  completing  an
    educational  program  at the qualified institution of his
    or her choice.
    (b)  The Commission shall award renewals  only  upon  the
student's  application and upon the Commission's finding that
the applicant:
         (1)  has remained a student in good standing;
         (2)  remains a resident of this State; and
         (3)  is in a financial situation that  continues  to
    warrant assistance.
    (c)  All  grants  shall be applicable only to tuition and
necessary fee costs for 2  semesters  or  3  quarters  in  an
academic  year.   Requests for summer term assistance will be
made separately and shall  be  considered  on  an  individual
basis  according  to Commission policy.   Each student who is
awarded a grant under this Section and is enrolled in  summer
school  classes  shall be eligible for a summer school grant.
The summer school grant amount shall not exceed the lesser of
50 percent of the maximum annual grant amount  authorized  by
this  Section  or  the actual cost of tuition and fees at the
institution  at  which  the  student  is  enrolled  at  least
part-time.  For the regular  academic  year,  the  Commission
shall  determine  the  grant  amount  for  each full-time and
part-time  student,  which  shall  be  the  smallest  of  the
following amounts:
         (1)  $4,740 $4,530 for 2 semesters or 3 quarters  of
    full-time undergraduate enrollment or $2,370 $2,265 for 2
    semesters   or  3  quarters  of  part-time  undergraduate
    enrollment, or such lesser amount as the Commission finds
    to be available; or
         (2)  the amount which equals the 2  semesters  or  3
    quarters   tuition  and  other  necessary  fees  required
    generally   by   the   institution   of   all   full-time
    undergraduate students,  or  in  the  case  of  part-time
    students an amount of tuition and fees for 2 semesters or
    3  quarters which shall not exceed one-half the amount of
    tuition and necessary fees generally charged to full-time
    undergraduate students by the institution; or
         (3)  such amount  as  the  Commission  finds  to  be
    appropriate   in   view   of  the  applicant's  financial
"Tuition and other necessary fees" as used  in  this  Section
include  the  customary  charge  for  instruction  and use of
facilities in general, and the additional fixed fees  charged
for  specified  purposes,  which  are  required  generally of
nongrant recipients for each academic period  for  which  the
grant  applicant  actually  enrolls,  but do not include fees
payable only once  or  breakage  fees  and  other  contingent
deposits  which  are  refundable  in  whole  or in part.  The
Commission may prescribe, by rule not inconsistent with  this
Section,  detailed  provisions  concerning the computation of
tuition and other necessary fees.
    (d)  No applicant, including  those  presently  receiving
scholarship  assistance  under  this  Act,  is  eligible  for
monetary  award  program  consideration  under this Act after
receiving a baccalaureate degree  or  the  equivalent  of  10
semesters  or  15 quarters of award payments.  The Commission
shall determine when award payments for part-time  enrollment
or  interim  or  summer  terms  shall be counted as a partial
semester or quarter of payment.
    (e)  The Commission, in determining the number of  grants
to  be offered, shall take into consideration past experience
with the rate of grant funds unclaimed  by  recipients.   The
Commission  shall  notify applicants that grant assistance is
contingent upon the availability of appropriated funds.
    (f)  The  Commission  may  request   appropriations   for
deposit into the Monetary Award Program Reserve Fund.  Monies
deposited into the Monetary Award Program Reserve Fund may be
expended  exclusively for one purpose: to make Monetary Award
Program grants to eligible students.  Amounts on  deposit  in
the  Monetary Award Program Reserve Fund may not exceed 2% of
the current annual State appropriation for the Monetary Award
    The purpose of the Monetary Award Program Reserve Fund is
to enable the Commission each year to assure as many students
as possible of their eligibility for a Monetary Award Program
grant and to do so before commencement of the academic  year.
Moneys deposited in this Reserve Fund are intended to enhance
the  Commission's  management  of the Monetary Award Program,
minimizing  the  necessity,  magnitude,  and   frequency   of
adjusting award amounts and ensuring that the annual Monetary
Award Program appropriation can be fully utilized.
    (g)  The  Commission  shall  determine the eligibility of
and  make  grants  to  applicants   enrolled   at   qualified
for-profit  institutions  in accordance with the criteria set
forth  in  this  Section.   The  eligibility  of   applicants
enrolled  at such for-profit institutions shall be limited as
         (1)  Beginning with the academic year 1997, only  to
    eligible  first-time  freshmen  and  first-time  transfer
    students who have attained an associate degree.
         (2)  Beginning  with the academic year 1998, only to
    eligible freshmen students, transfer  students  who  have
    attained  an associate degree, and students who receive a
    grant under paragraph (1) for the academic year 1997  and
    whose  grants  are  being  renewed  for the academic year
         (3)  Beginning with the academic year 1999,  to  all
    eligible students.
(Source:  P.A.  90-122,  eff.  7-17-97; 90-647, eff. 7-24-98;
90-769, eff. 8-14-98;  91-249,  eff.  7-22-99;  91-250,  eff.
7-22-99; 91-357, eff. 7-29-99; revised 8-27-99.)

    Section  99.  Effective  date.   This Act takes effect on
July 1, 2000.

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