SB10 By Senator Whatley RFD Finance and Taxation Education Rd 1 04-FEB-20

SYNOPSIS: Existing law provides educational tuition reimbursement for qualified active members of the Alabama National Guard.

This bill would extend tuition reimbursement for dually or concurrently enrolled high school/college students.

This bill would set the cap for private college tuition reimbursement at the rate of the public institution with the highest tuition and instructional fee rates.

This bill would make clear that the Alabama National Guard Education Assistance Program will only pay for the first degree obtained and that short certificates, long certificates, and associate degrees are considered "stackable undergraduate credentials" which may be used to obtain a baccalaureate degree, thus the first degree obtained would be a baccalaureate degree.

This bill would also clarify existing law so that institutions of higher education may clearly and consistently provide Alabama National Guard Service members with the ability to maximize their education benefits.

A BILL TO BE ENTITLED AN ACT

Relating to educational benefits for qualified active members of the Alabama National Guard; to amend Sections 31-10-2, 31-10-3, and 31-10-4.1 of the Code of Alabama 1975, to limit the amount of private tuition reimbursed to eligible guard member to the highest tuition of any public institution in the state; to clarify the law relating to stackable undergraduate credentials; and to repeal Sections 31-10-20 through 31-10-25, Code of Alabama 1975.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:Section 1. Sections 31-10-2, 31-10-3, and 31-10-4.1 of the Code of Alabama 1975, are amended to read as follows:

§31-10-2.

"The following words used in this chapter shall have the meanings as set forth by this section:

"(1) ALABAMA NATIONAL GUARD. Federally recognized units of the Alabama National Guard.

"(2) ACTIVE MEMBER. A member of a federally recognized unit of the Alabama National Guard meeting the minimum requirements for satisfactory membership as defined in the Department of the Army and Department of the Air Force regulations.

"(3) TUITION. The per semester cost of instruction and mandatory instructional fees, as reported to the Alabama Commission on Higher Education by state-supported institutions of higher education and appearing on the commission's tuition plus required fees report, to the student not to exceed the average cost of tuition per semester of a state-supported Alabama four year institution for classes or courses that count towards the individual's degree or certificate plan as designed and approved by the college or institution attended for the individual's declared program of study. Payments for students attending private institutions of higher education shall not exceed the rates of the state-supported public institution with the highest tuition and instructional fee rates. Differential tuition or instructional fees that are specific to any major are not included.

§31-10-3.

"Subject to the annual appropriation to the Alabama National Guard Educational Assistance Program (ANGEAP) in the annual Education Trust Fund Appropriation Act, provided such annual appropriations shall not exceed $10,000,000 ten million dollars ($10,000,000), the Alabama Commission on Higher Education (ACHE) is hereby authorized to pay or reimburse the qualifying tuition for any active member of the Alabama National Guard who is a student dually or concurrently enrolled in high school and college or is enrolled in a program leading to the a short certificate or long certificate, or associate, baccalaureate, masters, or doctorate degree in an accredited institution of higher learning, community or technical college within the State of Alabama. Such payments or reimbursements shall be made timely at the end of each academic quarter or semester for all tuition reimbursements, and shall be made on the basis of certified invoices submitted by such institution or school to the Alabama Commission on Higher Education ACHE, and shall be supported by names of the students receiving such benefits, together with the amounts claimed for each student. To be eligible for such benefits, the individual, at the time of his or her enrollment must be an active member of the Alabama National Guard in good standing and an active member of a federally recognized unit of the Alabama National Guard. The member must be at least 17 years of age and must be a resident of the State of Alabama. The tuition reimbursement authorized under this article chapter may be used for undergraduate or graduate studies. In no event will any individual be eligible to receive more than 100 percent of qualified tuition when combined with similar federal veterans' educational benefits available to members of the National Guard. In no event will payments under the ANGEAP amount to more than 100 percent of qualified tuition and fees. All applicants for tuition reimbursement shall complete a Free Application for Student Financial Aid (FAFSA). No person shall be eligible for tuition reimbursement for more than 12 years after the date of the first tuition payment to him or her under this article chapter. For degrees above the baccalaureate, only 10 percent of the total funds of the benefit program are to be utilized. The Alabama Commission on Higher Education shall set up minimum standards for performance that must be met in order to maintain eligibility for the continuation of the receipt of tuition reimbursements under this article that will ensure a member will maintain at least a 2.0 cumulative grade point average. In the event that requests for tuition reimbursements provided for in this chapter from the institutions for educational benefits in any fiscal year exceed the appropriated amount, then the reimbursements will shall be prorated equally among the institutions on a percentage basis of the total invoices received by ACHE and paid accordingly. Such reimbursement shall be made promptly at the end of each academic quarter or semester for all certified invoices.

§31-10-4.1.

"(a) Beginning October 1, 2016, any member of the Alabama National Guard enrolled in a program leading to a certificate, or an associate or bachelor's degree at an accredited public institution of higher education, technical college, or community college within the State of Alabama may apply for a tuition reimbursement benefit as provided for in this section if the applicant under this chapter meets the following requirements:

"(1) The individual is 17 years of age or over.

"(2) The individual is a member of the Alabama National Guard in good standing throughout the period or semester for which that individual receives education benefits as indicated by continued satisfactory participation in the Alabama National Guard as required by all applicable laws and regulations of the Department of the Army, the Department of the Air Force, and the Alabama National Guard, and there is no unfavorable administrative action pending against him or her.

"(3) An applicant for tuition reimbursement under this chapter shall complete a Free Application for Student Financial Aid, except for students dually or concurrently enrolled in high school and college.

"(b) Any member of the Alabama National Guard receiving educational benefits under this section and the educational institutions they attend must comply with the standards of Satisfactory Academic Progress (SAP) as required for Title IV benefits under the Higher Education Act and as defined by that education institution provided the member must maintain at least a cumulative 2.0 grade point average, or the letter equivalent. Those students who would no longer be eligible to receive Title IV benefits due to a failure to meet SAP standards shall no longer be eligible to receive benefits under this section.

"(c) To the extent permitted by law, prior to applying any benefits provided for under this section, institutional certifying officials and financial aid officials shall first apply other federal, state, institutional, and third party scholarships and grants awarded to the member for that academic period for payment of required educational expenses during an academic period, but only for classes or courses that count towards the individual's degree or certificate plan as designed and approved by the college or institution attended for the individual's declared program of study. the benefits provided for under this section shall be applied in a manner to maximize all of the member's educational assistance benefits.

"(d) No public institution of higher education in this state shall impose a nonresident tuition rate or differential out-of-state resident fee on an Alabama National Guard member in good standing and who meets the requirements of subsection (a).

"(e) All requirements under subsections (a) and (b) shall be met as a condition of obtaining any education assistance benefits under this chapter and continued eligibility for this exemption.

"(f) The Alabama Commission on Higher Education shall be responsible for administering the overall policies, guidance, implementation, and proper utilization of the scholarship under this section.

"(g) The tuition scholarship under this chapter shall be claimed for no more than a total of 120 academic hours or until the receipt of the first degree for which the scholarship is used, whichever comes first. The tuition benefits provided by this chapter shall only pay for the first degree obtained after approval for benefits under this chapter. For the purposes of this chapter, short certificates, long certificates, and associate degrees are considered stackable undergraduate credentials which may be used to obtain a baccalaureate degree; thus, the first degree obtained while enrolled in short certificate or long certificate programs would be a baccalaureate degree.

"(h) Any member of the Alabama National Guard who fails to remain in good standing or is terminated from further service in the Alabama National Guard shall no longer be eligible for exemption benefits under this section and any benefits received by the member for the period, semester, or term in which he or she becomes ineligible shall be repaid by the member to the exempting institution.

"(i) Any member who is expelled or dismissed by an institution of higher learning that provides scholarship benefits under this section to that member shall no longer be eligible for scholarship benefits under this section and shall repay all benefits received under this section to the institution.

"(j) Any member who is disqualified from serving in the Alabama National Guard due solely to medical reasons with a Veterans Administration (VA) disability rating of 40 percent or greater shall be exempt from repaying any benefits received under this section.

"(k) Any participating member of the Alabama National Guard Educational Assistance Program (ANGEAP) shall sign a promissory note or like document with provisions for the collection and recoupment of benefits in the event that the member is disqualified or otherwise becomes ineligible to continue to receive benefits under this section."

Section 2. Specifically Article 2, commencing with Section 31-10-20, of Chapter 10, Title 31, Code of Alabama 1975, relating to supplemental educational assistance benefits for qualified active members of the National Guard, is repealed.

Section 3. This act shall become effective on the last day of the month of its passage and approval by the Governor, or its otherwise becoming law.

Education

National Guard

Commission on Higher Education

Tuition

Code Repealed

Code Amended