98RS SB21

SB21

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SB 21/FN (BR 381) - T. Shaughnessy, L. Casebier, D. Karem, K. Nelson

     AN ACT relating to postsecondary education funding and making an appropriation.
     Create a new section of KRS Chapter 164, relating to postsecondary education funding to establish legislative intent and a set goals; create a new section of KRS Chapter to define terms; create a new section of KRS Chapter 164 to establish a Commonwealth merit scholarship trust fund with the purpose to provide Commonwealth merit scholarships to eligible Kentucky students, supplement general fund appropriations for college access program grants and tuition assistance program grants, and provide room, board, and textbooks if sufficient funding is available; provide for allocation of moneys from the fund for the Commonwealth merit scholarships and assistance and tuition grants; create a new section of KRS Chapter 164 to establish the maximum amounts of the Commonwealth scholarships; create a new section of KRS Chapter 164 to provide provisions for how eligible students who qualify for the Commonwealth merit scholarships receive the scholarships; create a new section of KRS Chapter 164 to provided administrative provisions for the verification of enrollment eligible students and the disbursement of Commonwealth merit scholarship funds to participating institutions; create a new section of KRS Chapter 164 to establish the investment fund for academic excellence to provide moneys for the research challenge trust fund, the regional university excellence trust fund, the technology initiative trust fund, and the postsecondary workforce development trust fund to match dollar for dollar other financial support provided by the Commonwealth; amend KRS 154A.130 to credit net lottery revenues between the general fund, the Commonwealth merit scholarship trust fund, and the investment fund for academic excellence; amend KRS 164.7535 and 164.785 to conform.

SB 21 - AMENDMENTS


     SCS - Create various new sections of KRS Chapter 164 to establish the Commonwealth Merit Scholarship Trust Fund, provide that the council shall commit to each eligible student enrolling in a Kentucky high school as a freshman after July 1, 1997, a sophomore after July 1, 1998, a junior after July 1, 1999, or a senior after July 1, 2000, in which the eligible student attains a grade point average between 2.5 and 4.0 for each academic year as follows: GPA Amount GPA Amount 2.50 $125.00 3.30 $325.00 2.60 $150.00 3.40 $350.00 2.70 $175.00 3.50 $375.00 2.75 $187.50 3.60 $400.00 2.80 $200.00 3.70 $425.00 2.90 $225.00 3.75 $437.50 3.00 $250.00 3.80 $450.00 3.10 $275.00 3.90 $475.00 3.20 $300.00 4.00 $500.00 3.25 $312.50; provide that the council shall commit to each eligible student upon graduation from high school, and achieving a score of at least 15 on the ACT a supplemental award based on the eligible student's highest ACT score attained by the year of graduation from high school as follows: ACT Score Amount ACT Score Amount 15 $36 22 $286 16 $71 23 $321 17 $107 24 $357 18 $143 25 $393 19 $179 26 $428 20 $214 27 $464 21 $250 28 and above $500; provide the council shall review the base amount of the Commonwealth merit scholarship and the supplemental award beginning in fiscal year 1998-1999 and may promulgate administrative regulations to make adjustments after considering the availability of funds; provide that the maximum Commonwealth merit scholarship and the supplemental award is for eight (8) academic terms in an undergraduate or other post secondary program of study at a participating institution for a four (4) year program and ten (10) academic terms for a five (5) year program; provide that the Commonwealth merit scholarship or supplemental award shall terminate upon the sooner of the expiration of five (5) years following the student’s graduation from high school or the successful completion of a four (4) year undergraduate or other post secondary course of study or six (6) years for a five (5) year program; provide that an eligible student must have a 2.5 grade point average at the end of the first award period to retain the maximum award amount; provide that an eligible student for subsequent award periods must have a cumulative grade point average of 3.0 or greater to retain the maximum award amount; provide that any eligible student who maintains a cumulative grade point average of less than 3.0 but greater than 2.5 at the completion of any award period shall receive a reduction in the maximum award amount equal to fifty percent (50%) of the maximum award amount for the next award period; provide that any eligible student who maintains a cumulative grade point average of less than 2.5 at the completion of any award period shall lose his or her award for the next award period; provide that any student who loses eligibility through failure to maintain the required cumulative grade point average may regain eligibility in a subsequent award period upon reestablishing at least a 2.5 cumulative grade point average as certified by the participating institution; provide that the expiration of a student's eligibility shall be extended by the authority upon a determination that the student was unable to enroll for or complete an academic period due to any of specified circumstances; provide that not later than August 1, 1998 and each June 30 thereafter, each Kentucky high school shall submit to the Kentucky Department of Education which shall transmit to the authority, a list of all eligible students for that academic year having obtained in any academic year of high school study at least a 2.5 grade point average; provide that the authority shall notify each eligible student of his or her Commonwealth merit scholarship award earned each academic year; provide that the authority shall make available a comprehensive list of eligible high school graduates to the participating institutions; provide that each participating institution shall submit to the authority a report of all eligible students enrolled for that academic period; provide that the Commonwealth merit scholarship and supplemental award shall be disbursed by the authority directly to each eligible student attending a participating institution during the academic period within thirty (30) days after receiving a satisfactory report; provide that the availability of the Commonwealth merit scholarship and supplemental award shall be considered in determining an eligible student's need for other need-based grant or scholarship administered by the authority; provide that the Commonwealth merit scholarship and supplemental award shall not be awarded to any eligible student who is in default on any obligation to the authority under any program administered by the authority; provide that the net lottery revenues from the sale of lottery tickets shall be credited to the Commonwealth merit scholarship trust fund as follows: One million dollars ($1,000,000) in fiscal year 1999-2000; Two million dollars ($2,000,000) in fiscal year 2000-2001; Thirty percent (30%) of net lottery revenues in fiscal year 2001-2002; Thirty-five percent (35%) of net lottery revenues in fiscal year 2001-2002; Thirty-seven and one half percent (37.5%) of net lottery revenues in fiscal year 2002-2003; Forty percent (40%) of net lottery revenues in fiscal year 2003-2004; Forty-two and one half of one percent (42.5%) of net lottery revenues in fiscal year 2004-2005; and Forty-five percent (45%) of net lottery proceeds in fiscal year 2005-2006 and each fiscal year thereafter; provide that the net lottery revenues from the sale of lottery tickets shall be credited to the College Access Program and the Kentucky Tuition Grants Program, as follows: Thirteen million dollars ($13,000,000) in fiscal year 1998-1999; Eighteen million dollars ($18,000,000) in fiscal year 1999-2000; Thirty-five percent (35%) of net lottery revenues in fiscal year 2000-2001 and 2001-2002; Thirty-seven and one half percent (37.5%) of net lottery revenues in fiscal year 2002-2003; Forty percent (40%) of net lottery revenues in fiscal year 2003-2004; Forty-two and one half of one percent (42.5%) of net lottery revenues in fiscal year 2004-2005; and Forty-five percent (45%) of net lottery proceeds in fiscal year 2005-2006 and each fiscal year thereafter; provide that the net lottery revenues from the sale of lottery tickets shall be credited to the Collaborative Center for Literacy Development as follows: Five million ($5,000,000) in fiscal year 1999-2000; and Up to ten percent (10%) of net lottery revenues in fiscal year 2001-2002, and each fiscal year thereafter; establish the Patton Scholars program to annually award 100 scholarships to Kentucky's most outstanding students to pursue postsecondary education opportunities in this state; provide that the funding shall come from money in the Commonwealth Merit Scholarship Trust fund; provide that the scholarships shall include support for tuition, books, fees, room, and board with the maximum award equal to the cost as determined by the authority of attending the most expensive comparable public institution, but no award shall exceed the student's actual total cost of attendance; establish the Patton Scholars Commission to provide polices and procedures for administration of the Patton Scholars program.
     SFA (1, E. Scorsone) - Delete the provisions of the committee substitute; create a Commonwealth Scholarship Program to annually provide 110 of Kentucky's most outstanding students full scholarships, including tuition, books, fees, room and board, with 50 scholarships awarded to students to attend four-year institutions and 60 scholarships awarded to students to attend community and technical colleges; establish the eligibility criteria; establish a Commonwealth Scholarship Commission, appointed by the Governor, made up of admissions officers from public and private postsecondary education institutions and charged with selecting the scholarship recipients; provide that the net lottery revenues from the sale of lottery tickets are to be credited to the Commonwealth Merit Scholarship Trust Fund to support the scholarship program, to the College Access Program and the Kentucky Tuition Grants Program, to support family resource and youth services programs in 1999-2000; phase in a state match for school districts offering a full-day kindergarten program; and provide $5 million for the collaborative Center for Literacy Development in 2000-2001 and up to 10% of the lottery proceeds thereafter.
     SFA (2/Title, E. Scorsone) - Make title amendment.
     SFA (3, D. Karem) - Change of commission and scholar program to honor the late Senator Jeff Green.
     SFA (4, T. Shaughnessy) - Amend to credit 20% of net lottery revenues to the Commonwealth Merit Scholarship Trust Fund in fiscal year 2000-2001 and fiscal year 2001-2002 and 30% in fiscal year 2002-2003 and fiscal year 2003-2004.
     SFA (5, D. Nunnelley) - Name the Commonwealth merit scholarship trust fund the Wallace G. Wilkinson Commonwealth Merit Scholarship Trust Fund.
     SFA (6, D. Nunnelley) - Amend to provide Commonwealth Merit Scholarship awards for eligible students with a GPA of 2.1 or greater.
     SFA (7, D. Williams) - Prohibit lottery advertising, including information that the revenues are used to fund certain state programs.
     HCS/FN - Retain provisions of GA copy of the bill with the following changes: delete the Jeff Green Scholars program that creates full scholarships for the best students in the state and replace by designating eligible students who attend Murray State University as "Jeff Green Scholars"; change ACT maximum award amount for students graduating high school before June 30, 1999 to $300, revise allocation of lottery proceeds so that $3 million per year is credited to the literacy program; and that upon full implementation 55% of the proceeds will be used for needs based scholarships, and 45% for merit scholarships; create a new Section of KRS Chapter 156 to establish a literacy development grant development program fund; create a new Section of KRS Chapter 156 to establish a Literacy Development Grant Steering Committee to oversee the grant fund; create a new Section of KRS Chapter 164 to require the Higher Education Assistance Authority to increase award amounts if funding is available.
     HFA (1, S. Cave) - Prohibit an officer or employee of the lottery corporation, lottery retailer, or any supplier of goods and services to the corporation, to engage in any activity to promote the sale of lottery tickets by advertising, marketing, publishing, or by written communication, that net lottery revenues are credited to the various scholarship grant fund programs.
     HCA (1, H. Moberly) - Provide that a student that attains a 28 on the ACT and maintains a 4.0 during all four years of high school is designated as a Jeff Green Scholar.
     HFA (2, S. Cave) - Make title amendment.
     HCA (2/Title, H. Moberly) - Make title amendment.
     HFA (3, S. Cave) - Amend KRS 18A.115 to include employees of the Kentucky Higher Education Assistance Authority with those who are exempt from the provisions of KRS Chapter 18A; amend KRS 164A.080 to increase the bonding authority of the Kentucky Higher Education Student Loan Corporation to $950,000,000 from $553,000,000; amend KRS 164.746 to allow the Kentucky Higher Education Assistance Authority board to set the salaries of the employees subject to funds available; and allow the authority to have sole authority and discretion, subject only to federal requirements, over the receipt, control and expenditure of funds of the federal insured student loan program; require the authority to file an annual audited financial report with the Governor and the Legislative Research Commission.
     HFA (4, M. Treesh) - Delete the lottery as a funding source from the provisions of the bill.
     CCR - Report that the conference committee could not agree and request a free conference committee.
     FCCR (Majority Report) - Adopt the provisions of the House Committee Substitute, with the following changes: adopt HCA1 and HCA2/Title; delete provisions creating the literacy development grant program fund and the Literacy Development Grant Steering Committee; change the allocation of lottery proceeds for literacy initiatives to include $1,200,000 to the Collaborative Center for Literacy Development in fiscal year 1999-2000 and each fiscal year thereafter and $1,800,000 to the early reading incentive fund in fiscal year 1999-2000 and each fiscal year thereafter.

     (Prefiled by the sponsor(s).)

     Jan 6-introduced in Senate; to Education (S)
     Mar 4-reported favorably, 1st reading, to Calendar with Committee Substitute
     Mar 5-floor amendments (1) and (3) filed to Committee Substitute, floor amendment (2-title) filed; 2nd reading, to Rules
     Mar 6-posted for passage in the Regular Orders of the Day for March 9, 1998; floor amendments (4) (5) and (6) filed to Committee Substitute
     Mar 9-floor amendment (7) filed to Committee Substitute; 3rd reading; floor amendment (1) ruled not germane; floor amendment (6) defeated; passed, 28-6-2 with Committee Substitute and floor amendments (3) (4) and (5)
     Mar 10-received in House
     Mar 11-to Education (H)
     Mar 13-posted in committee
     Mar 16-reassigned to Appropriations and Revenue (H); posting waived
     Mar 20-reported favorably, 1st reading, to Calendar with Committee Substitute, and committee amendments (1) and (2-title); floor amendments (1) (2) and (3) filed to Committee Substitute
     Mar 23-2nd reading, to Rules; floor amendment (4) filed to Committee Substitute; posted for passage in the Regular Orders of the Day for March 24, 1998
     Mar 25-3rd reading,; floor amendments (1) and (4) defeated; passed 93-3 with Committee Substitute and committee amendments (1) and (2-title)
     Mar 26-received in Senate
     Mar 27-posted for passage for concurrence in House amendments on March 31, 1998
     Mar 31-Senate refused to concur in House Committee Substitute and committee amendments (1) and (2-title); received in House; posted for passage for receding from House amendments; House refused to recede from Committee Substitute and committee amendments (1) and (2-title); Conference Committee appointed in House and Senate; Conference Committee report filed in House and Senate; Conference Committee report adopted in House and Senate; Free Conference Committee appointed in House
     Apr 1-Free Conference Committee appointed in Senate; Free Conference Committee report filed in House and Senate; Senate adopted Free Conference Committee report; passed 32-3; House adopted Free Conference Committee report; passed 91-1
     Apr 2-enrolled, signed by each presiding officer, delivered to Governor
     Apr 14-signed by Governor


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