Amendment SSA1-SB95

SB95-SSA1,2,17 2. A local or state branch of an entity that has its primary place of business located in the United States if the local or state branch of the entity has its primary place of business located in this state.

SB95-SSA1,2,20 (2) Financial aid reduction restrictions. (a) An institution may reduce a student's institutional gift aid offer as a result of a private scholarship award only as described in one or more of the following manners:

SB95-SSA1,3,2 1. Subject to par. (b), if a student's total gift aid from all sources exceeds the student's financial need, an institution may reduce the student's institutional gift aid until the student's total gift aid no longer exceeds the student's financial need. Before an institution may reduce the student's institutional gift aid offer in accordance with this subdivision, the institution shall alert the student that the student may request the institution to reassess the student's cost of attendance figure, and the institution shall reassess the student's cost of attendance figure if requested by the student.

SB95-SSA1,3,7 2. In addition to the reduction authorized under subd. 1., an institution may further reduce a student's institutional gift aid if the institution receives approval from the company, private foundation, nonprofit organization, or service group that awarded the private scholarship that triggered the reduction authorized under subd. 1.

SB95-SSA1,3,10 3. An institution may reduce a student athlete's institutional gift aid in order to comply with a governing national intercollegiate athletic association's individual or team financial aid restrictions.

SB95-SSA1,3,24 (b) If the award of a private scholarship causes a student's total aid from all sources to exceed the student's financial need, an institution may reduce the student's institutional gift aid until the student's total aid no longer exceeds the student's financial need if, before reducing the institutional gift aid, the institution first attempts to correct for the excess by reducing the portion of the student's total aid associated with a loan or a work-study program or, if applicable and to the extent permitted by the federal department of education, replacing some or all of the student's expected family contribution amount with an amount associated with a loan or work-study program. If, after this attempt, the student's total aid still exceeds the student's financial need, before the institution may reduce the student's institutional gift aid, the institution shall alert the student that the student may request the institution to reassess the student's cost of attendance figure, and the institution shall reassess the student's cost of attendance figure if requested by the student.

SB95-SSA1,4,8 (c) If a student has received a private scholarship that has been awarded to the student in a manner that constrains how the institution may apply the private scholarship amount to the student's cost of attendance, the institution shall make a sincere attempt to contact the private scholarship award provider and ask for the private scholarship to be rescinded and re-awarded to the student in a way that does not constrain how the institution applies the private scholarship to the student's cost of attendance. The provider of the private scholarship is not required to comply with the institution's request.

SB95-SSA1,4,10 (d) This subsection shall be implemented to the maximum extent that federal law permits.

SB95-SSA1,2 Section 2 . 38.25 of the statutes is created to read:

SB95-SSA1,4,13 38.25 Financial aid reduction restrictions. (1) Definitions. In this section:

SB95-SSA1,4,14 (a) “Cost of attendance” has the meaning given in 20 USC 1087ll.

SB95-SSA1,4,20 (b) “Expected family contribution” means the amount determined in accordance with 20 USC 1087nn, except that, upon implementation of section 702 of the FAFSA Simplification Act, Title VII of Division FF of P.L. 116-260, as affected by section 102 of the FAFSA Simplification Act Technical Corrections Act, Division R of P.L. 117-103, “expected family contribution” shall be determined consistently with requirements for determining the student aid index under 20 USC ch. 28.

SB95-SSA1,4,22 (c) “Financial need” means a student's cost of attendance minus the student's expected family contribution.

SB95-SSA1,4,24 (d) “Gift aid” means all financial aid that is not a loan or work-study program, including grants, scholarships, tuition waivers, and third-party payments.

SB95-SSA1,5,2 (e) “Institutional gift aid” means gift aid that is funded by the board, a district board, or a technical college.

SB95-SSA1,5,8 (f) “Private scholarship” means a scholarship of $5,000 or less awarded by a Wisconsin-based company, private foundation, nonprofit organization, or service group. “Private scholarship” does not include an award funded by a private organization that is affiliated with the board, a district board, or a technical college and that requests that the board, a district board, or a technical college provide assistance in selecting recipients.

SB95-SSA1,5,9 (g) “Wisconsin-based company” means any of the following:

SB95-SSA1,5,10 1. An entity that has its primary place of business located in this state.

SB95-SSA1,5,13 2. A local or state branch of an entity that has its primary place of business located in the United States if the local or state branch of the entity has its primary place of business located in this state.

SB95-SSA1,5,16 (2) Financial aid reduction restrictions. (a) A technical college may reduce a student's institutional gift aid offer as a result of a private scholarship award only as described in one or more of the following manners:

SB95-SSA1,5,24 1. Subject to par. (b), if a student's total gift aid from all sources exceeds the student's financial need, a technical college may reduce the student's institutional gift aid until the student's total gift aid no longer exceeds the student's financial need. Before a technical college may reduce the student's institutional gift aid offer in accordance with this subdivision, the technical college shall alert the student that the student may request the technical college to reassess the student's cost of attendance figure, and the technical college shall reassess the student's cost of attendance figure if requested by the student.

SB95-SSA1,6,5 2. In addition to the reduction authorized under subd. 1., a technical college may further reduce a student's institutional gift aid if the technical college receives approval from the company, private foundation, nonprofit organization, or service group that awarded the private scholarship that triggered the reduction authorized under subd. 1.

SB95-SSA1,6,8 3. A technical college may reduce a student athlete's institutional gift aid in order to comply with a governing national intercollegiate athletic association's individual or team financial aid restrictions.

SB95-SSA1,6,22 (b) If the award of a private scholarship causes a student's total aid from all sources to exceed the student's financial need, a technical college may reduce the student's institutional gift aid until the student's total aid no longer exceeds the student's financial need if, before reducing the institutional gift aid, the technical college first attempts to correct for the excess by reducing the portion of the student's total aid associated with a loan or a work-study program or, if applicable and to the extent permitted by the federal department of education, replacing some or all of the student's expected family contribution amount with an amount associated with a loan or work-study program. If, after this attempt, the student's total aid still exceeds the student's financial need, before the technical college may reduce the student's institutional gift aid, the technical college shall alert the student that the student may request the technical college to reassess the student's cost of attendance figure, and the technical college shall reassess the student's cost of attendance figure if requested by the student.

SB95-SSA1,7,5 (c) If a student has received a private scholarship that has been awarded to the student in a manner that constrains how the technical college may apply the private scholarship amount to the student's cost of attendance, the technical college shall make a sincere attempt to contact the private scholarship award provider and ask for the private scholarship to be rescinded and re-awarded to the student in a way that does not constrain how the technical college applies the private scholarship to the student's cost of attendance. The provider of the private scholarship is not required to comply with the technical college's request.

SB95-SSA1,7,7 (d) This subsection shall be implemented to the maximum extent that federal law permits.

SB95-SSA1,3 Section 3 . 39.55 of the statutes is created to read:

SB95-SSA1,7,10 39.55 Financial aid reduction restrictions. (1) Definitions. In this section:

SB95-SSA1,7,11 (a) “Cost of attendance” has the meaning given in 20 USC 1087ll.

SB95-SSA1,7,17 (b) “Expected family contribution” means the amount determined in accordance with 20 USC 1087nn, except that, upon implementation of section 702 of the FAFSA Simplification Act, Title VII of Division FF of P.L. 116-260, as affected by section 102 of the FAFSA Simplification Act Technical Corrections Act, Division R of P.L. 117-103, “expected family contribution” shall be determined consistently with requirements for determining the student aid index under 20 USC ch. 28.

SB95-SSA1,7,23 (c) “External scholarship” means a scholarship of $5,000 or less awarded by a Wisconsin-based company, private foundation, nonprofit organization, or service group. “External scholarship” does not include an award funded by an external organization that is affiliated with private higher education institution and that requests that the private higher education institution provide assistance in selecting recipients.

SB95-SSA1,7,25 (d) “Financial need” means a student's cost of attendance minus the student's expected family contribution.

SB95-SSA1,8,2 (e) “Gift aid” means all financial aid that is not a loan or work-study program, including grants, scholarships, tuition waivers, and third-party payments.

SB95-SSA1,8,4 (f) “Institutional gift aid” means gift aid that is funded by a private higher education institution.

SB95-SSA1,8,7 (g) “Private higher education institution” means a private, nonprofit institution of higher education that is a member of the Wisconsin Association of Independent Colleges and Universities.

SB95-SSA1,8,8 (h) “Wisconsin-based company” means any of the following:

SB95-SSA1,8,9 1. An entity that has its primary place of business located in this state.

SB95-SSA1,8,12 2. A local or state branch of an entity that has its primary place of business located in the United States if the local or state branch of the entity has its primary place of business located in this state.

SB95-SSA1,8,15 (2) Financial aid reduction restrictions. (a) A private higher education institution may reduce a student's institutional gift aid offer as a result of an external scholarship award only as described in one or more of the following manners:

SB95-SSA1,8,24 1. Subject to par. (b), if a student's total gift aid from all sources exceeds the student's financial need, a private higher education institution may reduce the student's institutional gift aid until the student's total gift aid no longer exceeds the student's financial need. Before a private higher education institution may reduce the student's institutional gift aid offer in accordance with this subdivision, the private higher education institution shall alert the student that the student may request the private higher education institution to reassess the student's cost of attendance figure, and the private higher education institution shall reassess the student's cost of attendance figure if requested by the student.

SB95-SSA1,9,5 2. In addition to the reduction authorized under subd. 1., a private higher education institution may further reduce a student's institutional gift aid if the private higher education institution receives approval from the company, private foundation, nonprofit organization, or service group that awarded the external scholarship that triggered the reduction authorized under subd. 1.

SB95-SSA1,9,8 3. A private higher education institution may reduce a student athlete's institutional gift aid in order to comply with a governing national intercollegiate athletic association's individual or team financial aid restrictions.

SB95-SSA1,9,23 (b) If the award of an external scholarship causes a student's total aid from all sources to exceed the student's financial need, a private higher education institution may reduce the student's institutional gift aid until the student's total aid no longer exceeds the student's financial need if, before reducing the institutional gift aid, the private higher education institution first attempts to correct for the excess by reducing the portion of the student's total aid associated with a loan or a work-study program or, if applicable and to the extent permitted by the federal department of education, replacing some or all of the student's expected family contribution amount with an amount associated with a loan or work-study program. If, after this attempt, the student's total aid still exceeds the student's financial need, before the private higher education institution may reduce the student's institutional gift aid, the private higher education institution shall alert the student that the student may request the private higher education institution to reassess the student's cost of attendance figure, and the private higher education institution shall reassess the student's cost of attendance figure if requested by the student.

SB95-SSA1,9,25 (c) If a student has received an external scholarship that has been awarded to the student in a manner that constrains how the private higher education institution may apply the external scholarship amount to the student's cost of attendance, the private higher education institution shall make a sincere attempt to contact the external scholarship award provider and ask for the external scholarship to be rescinded and re-awarded to the student in a way that does not constrain how the private higher education institution applies the external scholarship to the student's cost of attendance. The provider of the external scholarship is not required to comply with the private higher education institution's request.

SB95-SSA1,10,9 (d) This subsection shall be implemented to the maximum extent that federal law permits.

SB95-SSA1,10,10 (End)