This is the preview version of the Wisconsin State Legislature site.
Please see http://docs.legis.wisconsin.gov for the production version.
LRBs0094/1
JAM:cdc&emw
2023 - 2024 LEGISLATURE
SENATE SUBSTITUTE AMENDMENT 1,
TO SENATE BILL 95
August 22, 2023 - Offered by Senator Cabral-Guevara.
SB95-SSA1,1,2 1An Act to create 36.28, 38.25 and 39.55 of the statutes; relating to: permissible
2financial aid reductions in higher education.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB95-SSA1,1 3Section 1 . 36.28 of the statutes is created to read:
SB95-SSA1,1,5 436.28 Financial aid reduction restrictions. (1) Definitions. In this
5section:
SB95-SSA1,1,66 (a) “Cost of attendance” has the meaning given in 20 USC 1087ll.
SB95-SSA1,1,127 (b) “Expected family contribution” means the amount determined in
8accordance with 20 USC 1087nn, except that, upon implementation of section 702
9of the FAFSA Simplification Act, Title VII of Division FF of P.L. 116-260, as affected
10by section 102 of the FAFSA Simplification Act Technical Corrections Act, Division
11R of P.L. 117-103, “expected family contribution” shall be determined consistently
12with requirements for determining the student aid index under 20 USC ch. 28.
SB95-SSA1,2,2
1(c) “Financial need” means a student's cost of attendance minus the student's
2expected family contribution.
SB95-SSA1,2,43 (d) “Gift aid” means all financial aid that is not a loan or work-study program,
4including grants, scholarships, tuition waivers, and third-party payments.
SB95-SSA1,2,65 (e) “Institutional gift aid” means gift aid that is funded by the system, the
6board, or an institution.
SB95-SSA1,2,127 (f) “Private scholarship” means a scholarship of $5,000 or less awarded by a
8Wisconsin-based company, private foundation, nonprofit organization, or service
9group. “Private scholarship” does not include an award funded by a private
10organization that is affiliated with the system, the board, or an institution and that
11requests that the system, the board, or an institution provide assistance in selecting
12recipients.
SB95-SSA1,2,1313 (g) “Wisconsin-based company” means any of the following:
SB95-SSA1,2,1414 1. An entity that has its primary place of business located in this state.
SB95-SSA1,2,1715 2. A local or state branch of an entity that has its primary place of business
16located in the United States if the local or state branch of the entity has its primary
17place of business located in this state.
SB95-SSA1,2,20 18(2) Financial aid reduction restrictions. (a) An institution may reduce a
19student's institutional gift aid offer as a result of a private scholarship award only
20as described in one or more of the following manners:
SB95-SSA1,3,221 1. Subject to par. (b), if a student's total gift aid from all sources exceeds the
22student's financial need, an institution may reduce the student's institutional gift aid
23until the student's total gift aid no longer exceeds the student's financial need. Before
24an institution may reduce the student's institutional gift aid offer in accordance with
25this subdivision, the institution shall alert the student that the student may request

1the institution to reassess the student's cost of attendance figure, and the institution
2shall reassess the student's cost of attendance figure if requested by the student.
SB95-SSA1,3,73 2. In addition to the reduction authorized under subd. 1., an institution may
4further reduce a student's institutional gift aid if the institution receives approval
5from the company, private foundation, nonprofit organization, or service group that
6awarded the private scholarship that triggered the reduction authorized under subd.
71.
SB95-SSA1,3,108 3. An institution may reduce a student athlete's institutional gift aid in order
9to comply with a governing national intercollegiate athletic association's individual
10or team financial aid restrictions.
SB95-SSA1,3,2411 (b) If the award of a private scholarship causes a student's total aid from all
12sources to exceed the student's financial need, an institution may reduce the
13student's institutional gift aid until the student's total aid no longer exceeds the
14student's financial need if, before reducing the institutional gift aid, the institution
15first attempts to correct for the excess by reducing the portion of the student's total
16aid associated with a loan or a work-study program or, if applicable and to the extent
17permitted by the federal department of education, replacing some or all of the
18student's expected family contribution amount with an amount associated with a
19loan or work-study program. If, after this attempt, the student's total aid still
20exceeds the student's financial need, before the institution may reduce the student's
21institutional gift aid, the institution shall alert the student that the student may
22request the institution to reassess the student's cost of attendance figure, and the
23institution shall reassess the student's cost of attendance figure if requested by the
24student.
SB95-SSA1,4,8
1(c) If a student has received a private scholarship that has been awarded to the
2student in a manner that constrains how the institution may apply the private
3scholarship amount to the student's cost of attendance, the institution shall make a
4sincere attempt to contact the private scholarship award provider and ask for the
5private scholarship to be rescinded and re-awarded to the student in a way that does
6not constrain how the institution applies the private scholarship to the student's cost
7of attendance. The provider of the private scholarship is not required to comply with
8the institution's request.
SB95-SSA1,4,109 (d) This subsection shall be implemented to the maximum extent that federal
10law permits.
SB95-SSA1,2 11Section 2 . 38.25 of the statutes is created to read:
SB95-SSA1,4,13 1238.25 Financial aid reduction restrictions. (1) Definitions. In this
13section:
SB95-SSA1,4,1414 (a) “Cost of attendance” has the meaning given in 20 USC 1087ll.
SB95-SSA1,4,2015 (b) “Expected family contribution” means the amount determined in
16accordance with 20 USC 1087nn, except that, upon implementation of section 702
17of the FAFSA Simplification Act, Title VII of Division FF of P.L. 116-260, as affected
18by section 102 of the FAFSA Simplification Act Technical Corrections Act, Division
19R of P.L. 117-103, “expected family contribution” shall be determined consistently
20with requirements for determining the student aid index under 20 USC ch. 28.
SB95-SSA1,4,2221 (c) “Financial need” means a student's cost of attendance minus the student's
22expected family contribution.
SB95-SSA1,4,2423 (d) “Gift aid” means all financial aid that is not a loan or work-study program,
24including grants, scholarships, tuition waivers, and third-party payments.
SB95-SSA1,5,2
1(e) “Institutional gift aid” means gift aid that is funded by the board, a district
2board, or a technical college.
SB95-SSA1,5,83 (f) “Private scholarship” means a scholarship of $5,000 or less awarded by a
4Wisconsin-based company, private foundation, nonprofit organization, or service
5group. “Private scholarship” does not include an award funded by a private
6organization that is affiliated with the board, a district board, or a technical college
7and that requests that the board, a district board, or a technical college provide
8assistance in selecting recipients.
SB95-SSA1,5,99 (g) “Wisconsin-based company” means any of the following:
SB95-SSA1,5,1010 1. An entity that has its primary place of business located in this state.
SB95-SSA1,5,1311 2. A local or state branch of an entity that has its primary place of business
12located in the United States if the local or state branch of the entity has its primary
13place of business located in this state.
SB95-SSA1,5,16 14(2) Financial aid reduction restrictions. (a) A technical college may reduce
15a student's institutional gift aid offer as a result of a private scholarship award only
16as described in one or more of the following manners:
SB95-SSA1,5,2417 1. Subject to par. (b), if a student's total gift aid from all sources exceeds the
18student's financial need, a technical college may reduce the student's institutional
19gift aid until the student's total gift aid no longer exceeds the student's financial need.
20Before a technical college may reduce the student's institutional gift aid offer in
21accordance with this subdivision, the technical college shall alert the student that
22the student may request the technical college to reassess the student's cost of
23attendance figure, and the technical college shall reassess the student's cost of
24attendance figure if requested by the student.
SB95-SSA1,6,5
12. In addition to the reduction authorized under subd. 1., a technical college
2may further reduce a student's institutional gift aid if the technical college receives
3approval from the company, private foundation, nonprofit organization, or service
4group that awarded the private scholarship that triggered the reduction authorized
5under subd. 1.
SB95-SSA1,6,86 3. A technical college may reduce a student athlete's institutional gift aid in
7order to comply with a governing national intercollegiate athletic association's
8individual or team financial aid restrictions.
SB95-SSA1,6,229 (b) If the award of a private scholarship causes a student's total aid from all
10sources to exceed the student's financial need, a technical college may reduce the
11student's institutional gift aid until the student's total aid no longer exceeds the
12student's financial need if, before reducing the institutional gift aid, the technical
13college first attempts to correct for the excess by reducing the portion of the student's
14total aid associated with a loan or a work-study program or, if applicable and to the
15extent permitted by the federal department of education, replacing some or all of the
16student's expected family contribution amount with an amount associated with a
17loan or work-study program. If, after this attempt, the student's total aid still
18exceeds the student's financial need, before the technical college may reduce the
19student's institutional gift aid, the technical college shall alert the student that the
20student may request the technical college to reassess the student's cost of attendance
21figure, and the technical college shall reassess the student's cost of attendance figure
22if requested by the student.
SB95-SSA1,7,523 (c) If a student has received a private scholarship that has been awarded to the
24student in a manner that constrains how the technical college may apply the private
25scholarship amount to the student's cost of attendance, the technical college shall

1make a sincere attempt to contact the private scholarship award provider and ask
2for the private scholarship to be rescinded and re-awarded to the student in a way
3that does not constrain how the technical college applies the private scholarship to
4the student's cost of attendance. The provider of the private scholarship is not
5required to comply with the technical college's request.
SB95-SSA1,7,76 (d) This subsection shall be implemented to the maximum extent that federal
7law permits.
SB95-SSA1,3 8Section 3 . 39.55 of the statutes is created to read:
SB95-SSA1,7,10 939.55 Financial aid reduction restrictions. (1) Definitions. In this
10section:
SB95-SSA1,7,1111 (a) “Cost of attendance” has the meaning given in 20 USC 1087ll.
SB95-SSA1,7,1712 (b) “Expected family contribution” means the amount determined in
13accordance with 20 USC 1087nn, except that, upon implementation of section 702
14of the FAFSA Simplification Act, Title VII of Division FF of P.L. 116-260, as affected
15by section 102 of the FAFSA Simplification Act Technical Corrections Act, Division
16R of P.L. 117-103, “expected family contribution” shall be determined consistently
17with requirements for determining the student aid index under 20 USC ch. 28.
SB95-SSA1,7,2318 (c) “External scholarship” means a scholarship of $5,000 or less awarded by a
19Wisconsin-based company, private foundation, nonprofit organization, or service
20group. “External scholarship” does not include an award funded by an external
21organization that is affiliated with private higher education institution and that
22requests that the private higher education institution provide assistance in selecting
23recipients.
SB95-SSA1,7,2524 (d) “Financial need” means a student's cost of attendance minus the student's
25expected family contribution.
SB95-SSA1,8,2
1(e) “Gift aid” means all financial aid that is not a loan or work-study program,
2including grants, scholarships, tuition waivers, and third-party payments.
SB95-SSA1,8,43 (f) “Institutional gift aid” means gift aid that is funded by a private higher
4education institution.
SB95-SSA1,8,75 (g) “Private higher education institution” means a private, nonprofit
6institution of higher education that is a member of the Wisconsin Association of
7Independent Colleges and Universities.
SB95-SSA1,8,88 (h) “Wisconsin-based company” means any of the following:
SB95-SSA1,8,99 1. An entity that has its primary place of business located in this state.
Loading...
Loading...