HOUSE BILL 309
51st legislature - STATE OF NEW MEXICO - first session, 2013
INTRODUCED BY
James P. White
FOR THE LEGISLATIVE FINANCE COMMITTEE
AN ACT
RELATING TO HIGHER EDUCATION; MAKING CHANGES TO THE LEGISLATIVE LOTTERY SCHOLARSHIP PROGRAM TO EXTEND ITS FINANCIAL SOLVENCY; CHANGING THE VALUE OF AWARDS; PROVIDING FOR ADDITIONAL AWARDS IN CERTAIN CIRCUMSTANCES; REQUIRING A MINIMUM BALANCE IN THE LOTTERY TUITION FUND; AMENDING, REPEALING AND ENACTING SECTIONS OF THE NMSA 1978.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 6-24-23 NMSA 1978 (being Laws 1995, Chapter 155, Section 23, as amended) is amended to read:
"6-24-23. LOTTERY TUITION FUND CREATED--PURPOSE.--
A. The "lottery tuition fund" is created in the state treasury. The fund shall be administered by the [commission on] higher education department. Earnings from investment of the fund shall accrue to the credit of the fund. Any balance in the fund at the end of any fiscal year shall remain in the fund for appropriation by the legislature as provided in this section.
B. Money in the lottery tuition fund is appropriated to the [commission on] higher education department for distribution to New Mexico's public post-secondary educational institutions to provide tuition assistance for New Mexico resident undergraduates as provided by law; provided that the fund shall maintain a balance of ten million dollars ($10,000,000)."
SECTION 2. Section 21-1-4.3 NMSA 1978 (being Laws 1996, Chapter 71, Section 3, as amended) is amended to read:
"21-1-4.3. LEGISLATIVE LOTTERY SCHOLARSHIPS
AUTHORIZED--CERTAIN EDUCATIONAL INSTITUTIONS.--
A. To the extent that funds are made available by the legislature from the lottery tuition fund, and as provided in Section 21-1-4.4 NMSA 1978, the boards of regents of New Mexico state university, New Mexico institute of mining and technology, eastern New Mexico university, western New Mexico university, the university of New Mexico, New Mexico highlands university and northern New Mexico college shall award legislative lottery scholarships for tuition for qualified resident students attending their respective institutions and branches of those institutions.
B. Except as otherwise authorized in this section, the legislative lottery scholarships authorized in this section shall apply only to full-time resident students who, immediately upon completion of a high school curriculum at a public or accredited private New Mexico high school or upon receiving a graduate equivalent diploma, are accepted for entrance to and attend one of the state educational institutions set forth in this section or one of the branches of those institutions. Except as otherwise provided in Subsection E of this section, each legislative lottery scholarship shall be awarded for up to [four] eight consecutive [years] semesters beginning the second semester of the recipient's first year of enrollment if the recipient has maintained residency in New Mexico and maintained a grade point average of 2.5 or higher on a 4.0 scale during the first semester of full-time enrollment.
C. The legislative lottery scholarships authorized in this section shall also apply to full-time resident students who, immediately upon completion of a high school curriculum at a public or accredited private New Mexico high school or upon receiving a graduate equivalent diploma, attend a two-year public post-secondary educational institution in New Mexico and who, upon the completion of that curriculum or at the end of two years, whichever is sooner, transfer to one of the [post-secondary] state educational institutions set forth in this section. Except as otherwise provided in Subsection E of this section, those students shall be eligible for a legislative lottery scholarship for [two] four consecutive [years] semesters if they maintain residency in New Mexico, maintain a grade point average of 2.5 or higher on a 4.0 scale and attend the institution full time during the regular academic year.
D. The legislative lottery scholarships authorized in this section shall also apply to full-time resident students who:
(1) within one hundred twenty days of completion of a high school curriculum at a public or accredited private New Mexico high school, or of receiving a graduate equivalent diploma, begin service in the United States armed forces; and
(2) within one year of completion of honorable service or medical discharge from the service, attend one of the state educational institutions set forth in this section.
E. Students who have received a legislative lottery scholarship for five or fewer semesters by the fall semester of 2013 shall be allowed no more than seven semesters total toward a bachelor's degree and shall be required to take fifteen credit hours per semester to be considered a full-time student and to maintain eligibility for the scholarship. All other requirements of the scholarship also must be met to maintain eligibility.
[E.] F. The higher education department shall prepare guidelines setting forth explicit student continuing eligibility criteria and guidelines for administration of the legislative lottery scholarship program. Guidelines shall be distributed to the board of regents of each institution to enable a uniform availability of the resident student legislative lottery scholarships. New guidelines conforming with Subsection E of this section shall be distributed early enough to inform students affected by the new requirements. Guidelines shall be provided every year.
[F.] G. For purposes of the legislative lottery scholarship program as it applies to students with disabilities who may require special accommodations, the higher education department, in consultation with the student and the office at the institution that serves students with disabilities, shall review both the definition of "full time" and the maximum number of consecutive semesters of eligibility and adjust either or both as deemed reasonable and appropriate, based on the student's disability needs. In no case, however, shall "full time" mean fewer than six credit hours per semester, and in no case shall eligibility extend beyond fourteen consecutive semesters."
SECTION 3. Section 21-1-4.4 NMSA 1978 (being Laws 1996, Chapter 71, Section 4) is repealed and a new Section 21-1-4.4 NMSA 1978 is enacted to read:
"21-1-4.4. [NEW MATERIAL] TUITION SCHOLARSHIPS--USE OF LOTTERY TUITION FUND--AWARDS.--
A. Prior to June 1 of each year, the higher education department shall determine the amount of money available for tuition scholarships at public post-secondary educational institutions based on the amount appropriated by the legislature from the lottery tuition fund and on the projected enrollment at all public post-secondary educational institutions.
B. In accordance with Subsection A of this section, beginning with the 2013-2014 academic year, basic legislative lottery scholarships shall be provided per semester for a qualified student attending a state educational institution as follows:
(1) up to two thousand four hundred dollars ($2,400) for students at the research institutions; and
(2) up to one thousand four hundred dollars ($1,400) for students at the comprehensive institutions.
C. Each year, after the scholarships provided for in Subsection B of this section are awarded, and after junior year and graduating semester awards are awarded when they become available, if more than ten million dollars ($10,000,000) remains in the fund, the department shall use the excess to provide supplemental tuition scholarships to those students who received scholarships provided in Subsection B of this section. The provisions of Subsection D of this section apply to supplemental tuition scholarships.
D. All other state scholarships and grants-in-aid, except loans, given to a student shall be subtracted from the cost of tuition before a legislative lottery scholarship is awarded, and a legislative lottery scholarship award shall not exceed the cost of tuition for the semester.
E. Beginning with the fall semester of 2014, in addition to the legislative lottery scholarship provided for in Subsection B of this section, a student who has completed four semesters and enters the student's junior year and who demonstrates financial need as provided by rule of the higher education department may receive an additional scholarship award from the lottery tuition fund that shall be up to one thousand dollars ($1,000) for juniors at the research institutions and up to six hundred dollars ($600) for juniors at the comprehensive institutions; provided that the amount of the award shall be determined so that the total of all legislative lottery scholarship awards and all other tuition-related grants-in-aid received by the student for that year does not exceed the cost of attendance. The additional award shall be known as the "junior year award" and shall be paid in the same manner as the legislative lottery scholarship.
F. Beginning with the spring semester of 2015, in addition to the legislative lottery scholarship and the junior year award, a student who is entering the last semester of the student's senior year at a state educational institution, which shall not be later than the student's eighth semester, and who demonstrates financial need may receive an additional scholarship award from the lottery tuition fund that shall be up to one thousand dollars ($1,000) for seniors at the research institutions and up to six hundred dollars ($600) for seniors at the comprehensive institutions; provided that the amount of the award shall be determined so that the total of all legislative lottery scholarship awards and all other tuition-related grants-in-aid received by the student for that year does not exceed the cost of attendance; and provided further that the student graduates at the end of the semester. The additional award shall be known as the "graduating semester award" and shall be paid in the same manner as the legislative lottery scholarship.
G. For the purposes of this section:
(1) "comprehensive institution" means eastern New Mexico university, western New Mexico university, New Mexico highlands university or northern New Mexico college;
(2) "cost of attendance" means tuition, fees, textbooks and other educational materials but does not include room and board expenses;
(3) "demonstrates financial need" means the student has:
(a) completed the free application for federal student aid; and
(b) an unmet need after all other grant aid has been awarded; and
(4) "research institution" means the university of New Mexico, New Mexico state university or New Mexico institute of mining and technology."
SECTION 4. A new section of Chapter 21, Article 1 NMSA 1978 is enacted to read:
"[NEW MATERIAL] HIGHER EDUCATION ANNUAL LEGISLATIVE LOTTERY REPORT.--The higher education department shall report annually to the governor and the legislature on the status of the lottery tuition fund, student participation in the legislative lottery scholarship program, distribution of scholarships and junior year awards and graduating semester awards by institution and any other information that the department deems necessary."
SECTION 5. Section 21-13-10 NMSA 1978 (being Laws 1963, Chapter 17, Section 9, as amended) is amended to read:
"21-13-10. BOARD DUTIES.--
A. It is the duty of the community college board to determine financial and educational policies of the community college. The community college board shall provide for the management of the community college and execution of these policies by selecting a competent president for the community college, and, upon the president's recommendation, the board shall employ other administrative personnel, instructional staff or other personnel as may be needed for the operation, maintenance and administration of the community college.
B. The community college board shall have the power to fix tuition and fee rates for resident and nonresident students of the community college district, to accept gifts, to accept federal aid, to purchase, hold, sell and rent property and equipment and to promote the general welfare of the institution for the best interest of educational service to the people of the community college district.
C. To the extent that funds are made available by the legislature from the lottery tuition fund, the community college board shall award legislative lottery scholarships for qualified resident students attending their respective institutions.
D. The legislative lottery scholarships authorized in this section shall apply only to full-time resident students who, immediately upon completion of a high school curriculum at a public or accredited private New Mexico high school or upon receiving a graduate equivalent diploma, are accepted for entrance to and attend a community college. Each legislative lottery scholarship shall be awarded for up to [two] three consecutive [years] semesters, beginning the second semester of the recipient's first year of enrollment, [provided that] if the recipient has maintained residency in New Mexico and maintained a grade point average of 2.5 or higher on a 4.0 scale during the first semester of full-time enrollment, with renewal of an additional four semesters upon transfer to a state four-year educational institution.
E. Students who have received a legislative lottery scholarship for two or fewer semesters by the fall semester of 2014 shall be allowed no more than three semesters total of legislative lottery scholarship to complete the coursework necessary to receive an associate degree or transfer to a four-year state educational institution and no more than seven semesters total toward a bachelor's degree, and they shall be required to take fifteen credit hours per semester to maintain eligibility for the scholarship. All other requirements of the scholarship also must be met to maintain eligibility.
F. Beginning with the spring semester of 2014, in addition to the legislative lottery scholarship, a student who is entering the last semester of a terminal degree or certificate program, which shall not be later than the student's fourth semester, and who demonstrates financial need may receive an additional scholarship award from the lottery tuition fund that shall be up to six hundred dollars ($600) if the student graduates from the degree or certificate program; provided that the amount of the award shall be determined so that the total of all legislative lottery scholarship awards and all other state tuition-related grants-in-aid received by the student for that year does not exceed the cost of attendance. The additional award shall be known as the "graduating semester award" and shall be paid in the same manner as the legislative lottery scholarship. A student who receives a graduating semester award at a community college may also be eligible for a junior year award at a state four-year educational institution if the student otherwise qualifies for a legislative lottery scholarship. For the purposes of this subsection:
(1) "cost of attendance" means tuition, fees, textbooks and other educational materials but does not include room and board expenses; and
(2) "demonstrates financial need" means the student has:
(a) completed the free application for federal student aid; and
(b) an unmet need after all other grant aid has been awarded.
[E.] G. The higher education department shall prepare guidelines setting forth explicit student continuing eligibility criteria and guidelines for administration of the legislative lottery scholarship program. Guidelines shall be distributed to community college boards to enable a uniform availability of the resident student lottery tuition scholarships. New guidelines conforming with Subsection E of this section shall be distributed early enough to inform students affected by the new requirements. Guidelines shall be provided every year.
[F.] H. For purposes of the legislative lottery scholarship program as it applies to students with disabilities who may require special accommodations, the higher education department, in consultation with the student and the office at the community college that serves students with disabilities, shall review both the definition of "full time" and the maximum number of consecutive semesters of eligibility and adjust either or both as deemed reasonable and appropriate, based on the student's disability needs. In no case, however, shall "full time" mean fewer than six credit hours per semester, and in no case shall eligibility extend beyond fourteen consecutive semesters."
SECTION 6. Section 21-16-10.1 NMSA 1978 (being Laws 1996, Chapter 71, Section 6, as amended) is amended to read:
"21-16-10.1. LEGISLATIVE LOTTERY SCHOLARSHIPS AUTHORIZED.--
A. To the extent that funds are made available by the legislature from the lottery tuition fund, the board of a technical and vocational institute shall award legislative lottery scholarships for qualified resident students attending a technical and vocational institute.
B. Except as otherwise provided in Subsection C of this section, the legislative lottery scholarships authorized in this section shall apply only to full-time resident students who, immediately upon completion of a high school curriculum at a public or accredited private New Mexico high school or upon receiving a graduate equivalent diploma, are accepted for entrance to and attend a technical and vocational institute. Each legislative lottery scholarship shall be awarded for up to two consecutive years beginning the second semester of the recipient's first year of enrollment [provided that] if the recipient has maintained residency in New Mexico and maintained a grade point average of 2.5 or higher on a 4.0 scale during the first semester of full-time enrollment with renewal of an additional two years upon transfer to a state four-year educational institution.
C. Students who have received a legislative lottery scholarship for two or fewer semesters by the fall semester of 2014 shall be allowed no more than three semesters of legislative lottery scholarship to complete the coursework necessary to receive an associate degree or transfer to a four-year state educational institution and no more than seven semesters total toward a bachelor's degree, and they shall be required to take fifteen hours of credit per semester to maintain eligibility for the scholarship. All other requirements of the scholarship also must be met to maintain eligibility.
D. Beginning with the spring semester of 2014, in addition to the legislative lottery scholarship, a student who is entering the last semester of a terminal degree or certificate program, which shall not be later than the student's fourth semester, and who demonstrates financial need may receive an additional scholarship award from the lottery tuition fund that shall be up to six hundred dollars ($600) if the student graduates from the degree or certificate program; provided that the amount of the award shall be determined so that the total of all legislative lottery scholarship awards and all other state tuition-related grants-in-aid received by the student for that year does not exceed the cost of attendance. The additional award shall be known as the "graduating semester award" and shall be paid in the same manner as the legislative lottery scholarship. A student who receives a graduating semester award at a technical and vocational institute may also be eligible for a junior year award at a state four-year educational institution if the student otherwise qualifies for a legislative lottery scholarship.
E. For the purposes of this subsection:
(1) "cost of attendance" means tuition, fees, textbooks and other educational materials but does not include room and board expenses; and
(2) "demonstrates financial need" means the student has:
(a) completed the free application for federal student aid; and
(b) an unmet need after all other grant aid has been awarded.
[C.] F. The higher education department shall prepare guidelines setting forth explicit student continuing eligibility criteria and guidelines for administration of the legislative lottery scholarship program. Guidelines shall be distributed to the boards of technical and vocational institutes to enable a uniform availability of the resident student legislative lottery scholarships. New guidelines conforming with Subsection C of this section shall be distributed early enough to inform students affected by the new requirements. Guidelines shall be provided every year.
[D.] G. For purposes of the legislative lottery scholarship program as it applies to students with disabilities who may require special accommodations, the higher education department, in consultation with the student and the office at the technical and vocational institute that serves students with disabilities, shall review both the definition of "full time" and the maximum number of consecutive semesters of eligibility and adjust either or both as deemed reasonable and appropriate, based on the student's disability needs. In no case, however, shall "full time" mean fewer than six credit hours per semester, and in no case shall eligibility extend beyond fourteen consecutive semesters."
SECTION 7. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2013.
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