15-1642. Financial aid trust fund; aid to
students with verifiable financial need; endowment
A. The Arizona board of regents may establish a financial aid trust fund for the
purposes of providing immediate aid to students with verifiable financial need, including
students who are underrepresented in the population of university students or who by
virtue of their special circumstances present unique needs for financial aid, and
creating an endowment for future financial aid. Subject to the limitations provided in
subsection B, paragraph 3, the board may assess a surcharge upon registration fees paid
by students for deposit in the fund.
B. The board shall adopt rules to govern the financial aid trust fund, including
the following:
1. Twenty-five per cent of the monies received each year shall be placed in the
trust fund as a permanent endowment. The remaining monies received shall be used for
immediate aid for students with verifiable financial need. At least fifty per cent of
the immediate aid monies shall be used for grant aid.
2. The immediate aid monies shall be distributed to the universities on a pro rata
basis based on relative student contributions to the fund.
3. The surcharge on student registration shall not exceed one per cent of the
registration fee for students taking more than six credit surcharge hours. The surcharge
hours for students taking fewer than seven credit hours shall equal one-half the
surcharge assessed students taking more than six credit hours.
C. Each dollar raised pursuant to the surcharge on student registration shall be
matched by two dollars appropriated by the legislature.
D. The board shall report every three years to the legislature on the status of the
financial aid trust fund. The report shall include the use to which the monies have been
put and the impact of such use.
E. Fund monies shall only be used in university assistance programs approved by the
board and such monies shall be in addition to, and not in replacement of, existing state
or institutional financial aid monies. Assistance may be provided to full-time or
part-time students. Monies appropriated by this state shall not be used to provide
assistance to students who are not residents of this state.
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