CHAPTER 3. HIGHER EDUCATION AWARDS
IC 21-12-3
Chapter 3. Higher Education Awards
IC 21-12-3-1
Eligibility for awards
Sec. 1. (a) An applicant is eligible for a first year higher educationaward under this chapter if the student meets the followingrequirements:
(1) The applicant is a resident of Indiana, as defined by thecommission.
(2) The applicant:
(A) has successfully completed the program of instruction atan approved secondary school;
(B) has been granted a:
(i) high school equivalency certificate before July 1, 1995;or
(ii) state of Indiana general educational development(GED) diploma under IC 20-20-6 or IC 20-10.1-12.1(before its repeal); or
(C) is a student in good standing at an approved secondaryschool and is engaged in a program that in due course will becompleted by the end of the current academic year.
(3) The financial resources reasonably available to theapplicant, as defined by the commission, are such that, in theabsence of a higher education award under this chapter, theapplicant would be deterred from completing the applicant'seducation at the approved postsecondary educational institutionthat the applicant has selected and that has accepted theapplicant. In determining the financial resources reasonablyavailable to an applicant to whom IC 21-11-7 applies, thecommission must consider the financial resources of theapplicant's legal parent.
(4) The applicant will use the award initially at that approvedpostsecondary educational institution.
(5) If the student is already enrolled in an approvedpostsecondary educational institution, the applicant must be afull-time student and be making satisfactory progress, asdetermined by the commission, toward a first baccalaureatedegree.
(6) The student declares, in writing, a specific educationalobjective or course of study and enrolls in:
(A) courses that apply toward the requirements forcompletion of that objective or course of study; or
(B) courses designed to help the student develop the basicskills that the student needs to successfully achieve thatobjective or continue in that course of study.
(b) This subsection applies to an individual who:
(1) meets the requirements set forth in subsection (a); and
(2) before the date that eligibility is determined by thecommission, has been placed by or with the consent of the
department of child services, by a court order, or by a licensedchild placing agency in:
(A) a foster family home;
(B) the home of a relative or other unlicensed caretaker;
(C) a child caring institution; or
(D) a group home.
The commission shall consider an individual to whom this subsectionapplies as a full-need student under the commission's rules whendetermining the eligibility of the individual to receive financial aidadministered by the commission under this chapter.
As added by P.L.2-2007, SEC.253. Amended by P.L.168-2007,SEC.6.
IC 21-12-3-2
Limitation on eligibility
Sec. 2. A higher education award recipient is not eligible forassistance after the recipient has received an award for a total ofeight (8) semesters or twelve (12) quarters of postsecondaryeducation.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-3
Eligibility for awards
Sec. 3. To maintain eligibility a student is not required to:
(1) attend an approved postsecondary educational institution; or
(2) receive an award;
in consecutive semesters or quarters.
As added by P.L.2-2007, SEC.253. Amended by P.L.125-2008,SEC.1.
IC 21-12-3-4
Eligibility for awards; satisfactory progress
Sec. 4. A student who:
(1) participates in:
(A) a nursing diploma program that is accredited by theIndiana state board of nursing and operated by a hospital;
(B) a technical certificate or associate degree program at IvyTech Community College; or
(C) an associate degree program at a postsecondaryproprietary educational institution that qualifies as anapproved postsecondary educational institution; and
(2) meets the requirements in sections 1 and 2 of this chapterfor a first year higher education award except the requirementof satisfactory progress toward a first baccalaureate degree;
is eligible to receive a state higher education award under thischapter. However, the student must make satisfactory progresstoward obtaining the diploma, technical certificate, or associatedegree to remain eligible for the award.
As added by P.L.2-2007, SEC.253. Amended by P.L.125-2008,SEC.2.
IC 21-12-3-5
Maximum grant
Sec. 5. (a) This section applies to the maximum grant that may beoffered to an eligible student for an associate degree program at apostsecondary proprietary educational institution that qualifies as anapproved postsecondary educational institution.
(b) The maximum amount of a grant that may be offered to aneligible student in a program at a postsecondary proprietaryeducational institution is equal to the maximum amount of an awardthe student could receive under this chapter if the student wereenrolled at Ivy Tech Community College.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-6
Financial resources available to student
Sec. 6. In determining the financial resources available to astudent for a higher education award, the commission may notconsider principal or interest, including an original issue discountthat qualifies as interest excludable from gross income for federalincome tax purposes, on a bond that is:
(1) issued by a:
(A) public body corporate and politic of the state; or
(B) state educational institution;
designated by the governor as a college savings bond andpurchased after December 31, 1989; or
(2) a United States savings bond purchased after December 31,1989, if the interest is claimed as exempt from federal taxationunder Section 135 of the Internal Revenue Code.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-7
Publication of rules
Sec. 7. The commission shall publish and make available to everyapplicant all its rules governing the awarding and denial of highereducation awards. The rules must state specifically the conditionsunder which an award once issued may be withdrawn or reduced.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-8
Issuance of first year awards; priorities
Sec. 8. For each academic year, first year higher education awardsshall be issued to as many qualified persons as the current biennialappropriation allows. Applicants who are least able to provide fundsfor the cost of education shall be given priority in the awarding ofhigher education award funds.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-9
Renewal of awards
Sec. 9. A higher education award for a student in a program
leading to a baccalaureate degree may be renewed for a total of three(3) academic years following the academic year of the first award oruntil an earlier time as the student receives a degree normallyobtained in four (4) academic years. A higher education award for astudent in a program leading to a technical certificate or an associatedegree may be renewed for the number of academic years normallyrequired to obtain a certificate or degree in the student's program.The commission may grant a renewal only upon application and onlyupon its finding that:
(1) the applicant has successfully completed the work of apreceding year;
(2) the applicant remains domiciled in Indiana;
(3) the recipient's financial situation continues to warrant anaward, based on the financial requirements set forth in section1(3) of this chapter; and
(4) the applicant is eligible under section 2 of this chapter.
As added by P.L.2-2007, SEC.253. Amended by P.L.125-2008,SEC.3.
IC 21-12-3-10
Out of funds awards
Sec. 10. Out of funds available after commitments have been metunder sections 8 and 9 of this chapter, awards shall be issued topersons who have successfully completed at least one (1) but notmore than three (3) academic years in approved postsecondaryeducational institutions, if they meet the eligibility requirements of:
(1) sections 1 and 2 of this chapter; or
(2) sections 4 and 5 of this chapter.
The awards shall be handled on the same basis as renewals undersection 9 of this chapter.
As added by P.L.2-2007, SEC.253. Amended by P.L.125-2008,SEC.4.
IC 21-12-3-11
Higher education awards; conditions
Sec. 11. A higher education award issued under this section andsections 8, 9, and 10 of this chapter extends to all educational costsfor the academic year for which the award is made, but only to theextent of:
(1) current financial need (as measured under section 1(3) ofthis chapter); or
(2) the maximum fees regularly assessed to residentundergraduates at any state educational institution, asdetermined annually by the commission;
whichever is smaller.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-12
Applicants least able to provide funds for education; considerationof principal or interest on bonds; exemption Sec. 12. In determining which applicants are least able to providefunds for the cost of education under section 8 of this chapter, thecommission may not consider principal or interest, including anoriginal issue discount that qualifies as interest excludable fromgross income for federal income tax purposes, on a bond that is:
(1) issued by a:
(A) public body corporate and politic of the state; or
(B) state educational institution;
designated by the governor as a college savings bond andpurchased after December 31, 1989; or
(2) a United States savings bond purchased after December 31,1989, if the interest is claimed as exempt from federal taxationunder Section 135 of the Internal Revenue Code.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-13
Denial of assistance to award applicants
Sec. 13. The commission may deny assistance under this chapterto a higher education award applicant or recipient who is:
(1) convicted of a felony;
(2) sentenced to a term of imprisonment for that felony; and
(3) confined for that felony at a penal facility (as defined inIC 35-41-1-21).
As added by P.L.2-2007, SEC.253.
IC 21-12-3-14
Certification of applicants
Sec. 14. The commission shall certify to the auditor of state thename and address of every applicant to whom an award has beenissued. An award is effective during the academic year immediatelyfollowing its award, and records and accounts relating to it shall bekept accordingly.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-15
Enrollment
Sec. 15. An applicant to whom the commission has issued anaward may apply for enrollment as a student in any approvedpostsecondary educational institution. However, the institution is notrequired to accept the applicant for enrollment, and the institutionmay require compliance with its own admissions requirements. If theinstitution accepts the applicant, it shall give written notice to thecommission. The institution is entitled to the payments of tuition andother necessary fees and charges provided by the award that areincurred by the applicant. It shall provide facilities and instruction tothe applicant on the same terms as to other students.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-16
Effect of termination of student status Sec. 16. If during an academic period a student enrolled in aninstitution under an award under this chapter ceases for any reasonto be a student in good standing, the institution shall promptly givewritten notice to the commission as to the change of status and thereason for it. If under its current standards a fee or charge that hasbeen paid as part of an award under this chapter would otherwise berefunded by the institution to the student, it shall be remitted to theauditor of state.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-17
Second year awards
Sec. 17. A student to whom a renewal award has been issued mayeither re-enroll in the approved postsecondary educational institutionthat the student attended during the preceding year or enroll inanother approved postsecondary educational institution. In eitherevent, the approved postsecondary educational institution acceptingthe student shall notify the commission. The approved postsecondaryeducational institution is entitled to payment and is contractuallyobligated as provided for first year awards.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-18
Award account and records
Sec. 18. The commission shall administer the higher educationaward account and related records of each student who is attendingan approved postsecondary educational institution under an awardissued under this chapter. At each appropriate time, it shall certify tothe auditor of state, in the manner prescribed by law, the currentpayment to be made to the institution under the award. This shall bedone in accordance with an appropriate certificate of the approvedpostsecondary educational institution presented by the time thepayment is due under the rules of the approved postsecondaryeducational institution applicable to students generally, after thetuition and necessary fees have become fixed.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-19
Higher education award fund
Sec. 19. The auditor of state shall create a separate and segregatedhigher education award fund distinct from the freedom of choicegrant fund. Money may be exchanged or transferred between thesefunds as provided by section 21 of this chapter. All money disbursedfrom the higher education award fund shall be in accordance withthis chapter. Money remaining in the higher education award fund atthe end of any fiscal year does not revert to the state general fund butremains available to be used for making higher education awardsunder this chapter.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-20
Unspent scholarship money; use
Sec. 20. If at the end of a fiscal year part of the moneyappropriated for that year for the purposes of this chapter remainsunspent, it may be spent for those purposes during the next fiscalyear.
As added by P.L.2-2007, SEC.253.
IC 21-12-3-21
Transfer of funds after commitments met for academic year
Sec. 21. After the commitments for the higher education awardfund have been fully met for any academic year under this chapter,the commission may order the auditor of state to transfer to thefreedom of choice grant fund any money remaining in the highereducation award fund. The auditor of state shall make the transferordered by the commission with the approval of the budget directorand the governor.
As added by P.L.2-2007, SEC.253.