HOUSE EDUCATION COMMITTEE SUBSTITUTE FOR
HOUSE BILL 426
53rd legislature - STATE OF NEW MEXICO - first session, 2017
AN ACT
RELATING TO THE LOTTERY SCHOLARSHIP; CHANGING THE SET AND PROPORTIONAL SCHOLARSHIP AMOUNTS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 21-21N-2 NMSA 1978 (being Laws 2014, Chapter 80, Section 2, as amended) is amended to read:
"21-21N-2. DEFINITIONS.--As used in the Legislative Lottery Tuition Scholarship Act:
A. "community college" means a branch community college of a four-year state educational institution, a two-year state educational institution or a community college or technical and vocational institute established pursuant to Chapter 21, Article 13 or 16 NMSA 1978, respectively;
B. "comprehensive institution" means eastern New Mexico university, western New Mexico university, New Mexico highlands university or northern New Mexico college;
C. "department" means the higher education department;
D. "full time" means fifteen or more credit hours each semester of the regular academic year in state educational institutions and twelve or more credit hours each semester of the regular academic year in community colleges [or for legacy students in any program semester];
E. "fund" means the lottery tuition fund;
F. "legacy student" means a full-time resident student who has received for [three] one or more program semesters by the end of fiscal year [2014] 2017 the legislative lottery scholarship awarded pursuant to the [former] provisions of [Sections 21-1-4.3, 21-13-10 and 21-16-10.1 NMSA 1978 prior to the enactment of] the Legislative Lottery Tuition Scholarship Act;
G. "program semesters" means those semesters for which a legacy or qualified student may receive a tuition scholarship and excludes the first semester of attendance at a public post-secondary educational institution;
H. "public post-secondary educational institution" means a four-year state educational institution or a community college;
I. "qualified student" means a full-time student who graduated from a public or accredited private New Mexico high school or who received a high school equivalency credential while maintaining residency in New Mexico and who:
(1) either:
(a) immediately upon graduation or receipt of a credential was accepted for entrance to and attended a public post-secondary educational institution; or
(b) within one hundred twenty days of completion of a high school curriculum or receipt of a high school equivalency credential began service in the United States armed forces and within one year of completion of honorable service or medical discharge from the service, attended a public post-secondary educational institution; and
(2) successfully completed the first semester at a public post-secondary educational institution with a grade point average of 2.5 or higher on a 4.0 scale during the first semester of full-time enrollment;
J. "research institution" means the university of New Mexico, New Mexico state university or New Mexico institute of mining and technology;
K. "state educational institution" means an institution of higher education enumerated in Article 12, Section 11 of the constitution of New Mexico; and
L. "tuition scholarship" means the scholarship that provides tuition assistance per program semester for a qualified student or legacy student attending a public post-secondary educational institution."
SECTION 2. Section 21-21N-3 NMSA 1978 (being Laws 2014, Chapter 80, Section 3, as amended) is amended to read:
"21-21N-3. TUITION SCHOLARSHIPS AUTHORIZED--QUALIFIED STUDENTS.--
A. To the extent that funds are made available by the legislature from the fund, the boards of regents or governing bodies of public post-secondary educational institutions shall award tuition scholarships in department-approved amounts to qualified students and legacy students attending their respective public post-secondary educational institutions.
B. Beginning in fiscal year [2015] 2018:
(1) a legacy student is eligible to receive a tuition scholarship until the total number of program semesters for which the legislative lottery scholarship is received pursuant to [the former provisions of Sections 21-1-4.3, 21-13-10 and 21-16-10.1 NMSA 1978 or] the Legislative Lottery Tuition Scholarship Act reaches [eight] seven; provided that the legacy student maintains residency in New Mexico, maintains a grade point average of 2.5 or higher on a 4.0 scale and completes [twelve or more credit hours per program semester and]:
(a) for a student attending a four-year public post-secondary educational institution, fifteen or more credit hours per program semester; and
(b) for a student attending a two-year public post-secondary educational institution, twelve or more credit hours per program semester; and
(2) a qualified student who is not a legacy student is eligible to receive the tuition scholarship for a maximum of seven program semesters and in an amount determined pursuant to the provisions of Section 21-21N-4 NMSA 1978.
C. Except as otherwise provided in this section, a tuition scholarship may be awarded to a qualified student who:
(1) maintains residency in New Mexico;
(2) maintains a grade point average of 2.5 or higher on a 4.0 scale; and
(3) completes:
(a) for a student attending a four-year public post-secondary educational institution, fifteen or more credit hours per program semester; and
(b) for a student attending a two-year public post-secondary educational institution, twelve or more credit hours per program semester.
D. For students with disabilities who may require accommodations, the department, in consultation with the student and the office at the public post-secondary educational institution that serves students with disabilities, shall review both the definition of "full time" and the maximum number of consecutive program 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 program semesters."
SECTION 3. Section 21-21N-4 NMSA 1978 (being Laws 2014, Chapter 80, Section 4, as amended) is amended to read:
"21-21N-4. TUITION SCHOLARSHIP AMOUNT--FUND.--[A.] Prior to June 1 of each year, based on the amount appropriated by the legislature from the fund and on the projected enrollment at all public post-secondary educational institutions, the department shall:
[(1)] A. determine the total amount of money available for all tuition scholarships for qualified students;
[(2)] B. determine the uniform percentage by which to calculate tuition scholarships for [qualified] legacy students attending any public post-secondary educational institution; and
[(3)] C. notify all public post-secondary educational institutions of the determinations made pursuant to [Paragraphs (1) and (2) of this subsection] Subsections A and B of this section.
[B. In determining distribution and award amounts for the tuition scholarship program, the department shall:
(1) maintain the minimum fund balance pursuant to Section 21-21N-5 NMSA 1978;
(2) distribute to all public post-secondary educational institutions an amount not to exceed the remaining balance in the fund; and
(3) subject to the provisions of Paragraphs (1) and (2) of this subsection, distribute to each public post-secondary educational institution an amount based on:
(a) the projected enrollment at each four-year public post-secondary educational institution of qualified students in their first through seventh program semesters, including qualified students in their fourth through seventh program semesters who transferred from community colleges;
(b) the projected enrollment at each community college of qualified students in their first through third program semesters; and
(c) a uniform percentage of the average of in-state tuition costs charged by: 1) research institutions for each research institution; 2) comprehensive institutions for each comprehensive institution; and 3) community colleges for each community college, except that the uniform percentage for a two-year state educational institution shall be based on the uniform percentage for community colleges.]"
SECTION 4. A new section of the Legislative Lottery Tuition Scholarship Act is enacted to read:
"[NEW MATERIAL] DISTRIBUTION.--In determining distribution and award amounts for the tuition scholarship program, the department shall:
A. maintain the minimum fund balance pursuant to Section 21-21N-5 NMSA 1978;
B. distribute to all public post-secondary educational institutions an amount not to exceed the remaining balance in the fund;
C. subject to the provisions of Subsections A and B of this section, distribute to each public post-secondary educational institution an amount based on:
(1) the projected enrollment at each four-year public post-secondary educational institution of qualified students in their first through seventh program semesters, including qualified students in their fourth through seventh program semesters who transferred from community colleges;
(2) the projected enrollment at each community college of qualified students in their first through third program semesters; and
(3) for:
(a) legacy students, a uniform percentage of the average of in-state tuition costs charged by: 1) research institutions for each research institution; 2) comprehensive institutions for each comprehensive institution; and 3) community colleges for each community college, except that the uniform percentage for a two-year state educational institution shall be based on the uniform percentage for community colleges; and
(b) qualified students, an award for each scholarship recipient distributed in amounts not to exceed: 1) three thousand dollars ($3,000) per scholarship per program semester for a student enrolled at a research institution; 2) two thousand dollars ($2,000) per scholarship per program semester for a student enrolled at a comprehensive institution; and 3) one thousand dollars ($1,000) per scholarship per program semester for a student enrolled at a community college; and
D. if the amount calculated in Section 21-21N-4 NMSA 1978 is less than the amount calculated in Subparagraphs (a) and (b) of Paragraph (3) of Subsection C of this section, reduce the amounts in a manner that maintains the distribution in the same proportions as provided in Subparagraph (a) of Paragraph (3) of Subsection C of this section for legacy students and Subparagraph (b) of Paragraph (3) of Subsection C of this section for qualified students.
E. Notwithstanding provisions of the Legislative Lottery Tuition Scholarship Act to the contrary, an award for a legacy student issued pursuant to the Legislative Lottery Tuition Scholarship Act shall not be less than an award for a qualified student issued pursuant to the Legislative Lottery Tuition Scholarship Act who attends the same public post-secondary educational institution."
SECTION 5. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2017.
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