2024 House Bill 5829

Higher education: financial aid; state competitive scholarships; eliminate.

A bill to amend 1964 PA 208, entitled “An act to grant scholarships to students enrolled in postsecondary education institutions; and to provide for the administration of the scholarship program,” by amending sections 2, 3, 4, 5, 5a, 6, 7, 8, 9, and 10 (MCL 390.972, 390.973, 390.974, 390.975, 390.975a, 390.976, 390.977, 390.978, 390.979, and 390.980), sections 3 and 4 as amended by 2021 PA 40, section 5 as amended by 1986 PA 270, sections 6, 8, and 9 as amended by 1980 PA 500, and section 7 as amended by 2004 PA 181.

AI Analysis – Experimental

The bill aims to enhance the scholarship program by revising sections 2 through 10 of the existing law, with notable changes to sections amended in 2021, 1986, 1980, and 2004. The Department of Lifelong Education, Advancement, and Potential is tasked with administering the scholarship program, including conducting competitive examinations and considering scholastic achievement for awarding scholarships. The department will establish examination scores based on available funding and may issue certificates of recognition to scholarship recipients.

The bill stipulates that applicants must meet specific residency and educational criteria to be eligible for first-year scholarships, and it sets a timeframe for scholarship utilization. Notably, students enrolling in postsecondary institutions for the first time after September 30, 2023, are ineligible for state competitive scholarships. The legislation mandates that a minimum number of scholarships be awarded per legislative district, with the remainder distributed statewide. Scholarships can be renewed annually, with a maximum duration of ten semesters for undergraduate education and six semesters for graduate education, contingent on continued eligibility and compliance with departmental rules.

Funding for the scholarships is tied to the amount appropriated annually, with the department authorized to adjust scholarship amounts based on financial resources and available funds. The bill also allows for the awarding of honorary scholarship certificates to applicants who meet eligibility criteria but do not demonstrate financial need. Scholarships are awarded based on merit and financial need, without discrimination based on race, sex, religion, color, or national origin.

The department is responsible for promulgating rules for the administration of the scholarship program, including the conduct of examinations, awarding of scholarships, and defining eligible postsecondary institutions. Additionally, the department may accept gifts, grants, and donations to support the scholarship program and is required to report annually on these contributions to the governor and legislature. The bill emphasizes the importance of timely reporting and certification by scholarship recipients and institutions to ensure proper administration and disbursement of funds.

Introduced in the House

June 25, 2024

Introduced by Rep. Samantha Steckloff (D-19)

Referred to the Committee on Higher Education

Nov. 13, 2024

Reported with substitute H-1