ENGROSSED
COMMITTEE SUBSTITUTE
FOR
COMMITTEE SUBSTITUTE
FOR
Senate Bill No. 431
(By Senators Jackson, Tomblin (Mr. President), Craigo, Wooton,
Chafin, Plymale, Prezioso, Bailey, Hunter, Minard, Walker,
Snyder, Anderson, Dittmar, Kessler, Edgell, Sharpe, Ross,
Schoonover, Love, Mitchell, Ball, Unger, Redd, McCabe, McKenzie,
Sprouse and Minear)
____________
[Originating in the Committee on Finance;
reported March 3, 1999.]
____________
A BILL to amend chapter eighteen-c of the code of West Virginia,
one thousand nine hundred thirty-one, as amended, by adding
thereto a new article, designated article six, relating to
establishing the "West Virginia providing real opportunities
for maximizing in-state student excellence scholarship
program"; setting forth findings and purpose; defining terms; appointment of board; setting forth the powers of the board;
authorizing the board to promulgate rules; setting forth the
minimum requirements for the scholarship; creating the
scholarship fund; and creating the scholarship program
supplemental fund.
Be it enacted by the Legislature of West Virginia:
That chapter eighteen-c of the code of West Virginia, one
thousand nine hundred thirty-one, as amended, be amended by adding
thereto a new article, designated article six, to read as follows:
ARTICLE 6. WEST VIRGINIA PROVIDING REAL OPPORTUNITIES FOR
MAXIMIZING IN-STATE STUDENT EXCELLENCE
SCHOLARSHIP PROGRAM.
§18C-6-1. Title.
This article shall be known and may be cited as the "West
Virginia providing real opportunities for maximizing in-state
student excellence (PROMISE) scholarship program".
§18C-6-2. Legislative findings and purpose.
The Legislature hereby finds and declares that:
(a) The state's college-going rate does not compare favorably
with the member states of the southern regional education board average, nor with the national average;
(b) West Virginia must have an educated work force in order to
attract and retain the high wage, high skill jobs of the next
century;
(c) The percentage of West Virginia's adult population over
the age of twenty-five with at least a bachelor's degree is only
fourteen percent and does not compare favorably with the member
states of the southern regional education board average or with the
national average;
(d) Increases in the level of education increases the income
earned by an individual which enhances his or her quality of life;
(e) During the year one thousand nine hundred ninety-seven, an
individual holding a bachelor's degree had an average earned income
which was one hundred seventy-seven percent of the average income
earned by a high school graduate;
(f) Students at all levels should have an incentive to perform
at a high academic level;
(g) There is a need to provide parents with all tools possible
to aid them in helping their children understand the importance of
high achievement in high school and college;
(h) There is a financial need for many students who wish to
attend state institutions of higher education within the state;
(i) The West Virginia higher education grant program is a
vitally important source of financial assistance for needy
residents of the state and should continue to receive strong
financial support; and
(j) It is the intent of this article to establish a West
Virginia PROMISE scholarship program to deal effectively with the
findings set forth in this section.
§18C-6-3. Definitions.
(a) "Eligible institution" means;:
(1) A state institution of higher education as is defined in
section two, article one, chapter eighteen-b of this code;
(2) Alderson-Broaddus college, Appalachian bible college,
bBethany college, the college of West Virginia, Davis and Elkins
college, Ohio vValley college, Salem-Teikyo university, the
university of Charleston, West Virginia wWesleyan college and
Wheeling jJesuit university, all in West Virginia:
Provided, That
if any institution listed in this subdivision is not regionally
accredited, it shall not be included as an eligible institution; or
(3) Any other regionally accredited institution in this state,
public or private, approved by the board.
(b) "Board" means the board of the West Virginia PROMISE
scholarship program as provided for in section four of this article.
(c) "Tuition" means the quarter, semester or term charges
imposed by a state institution of higher education and all
mandatory fees required as a condition of enrollment by all
students.
§18C-6-4. Appointment of board of the PROMISE scholarship
program; compensation; proceedings generally.
(a) The board of the PROMISE scholarship program consists of
thirteen members and shall include the chancellor of the university
of West Virginia board of trustees; the chancellor of the board of
directors of the state college system; the state superintendent of
schools or his or her designee; the secretary of education and the
arts; the chair of the Senate committee on finance or his or her
designee who is a member of the committee; the chair of the House
of Delegates committee on finance or his or her designee who is a
member of the committee; the chair of the Senate committee on
education or his or her designee who is a member of the committee;
the chair of the House of Delegates committee on education or his
or her designee who is a member of the committee; and five other
appointed members with knowledge, skill and experience in an
academic, business or financial field. At least four of the five
appointed members shall be residents of the state. The five appointed members shall be appointed by the governor with the
advice and consent of the Senate. No more than three of the five
appointed members may be from the same party. No more than two of
the five appointed members may be from the same congressional
district.
(b) Appointed members shall serve a term of five years and may
be reappointed at the expiration of their terms. In the event of
a vacancy among appointed members, the governor shall appoint a
person representing the same interests to fill the unexpired term.
A person appointed to fill a vacancy shall be appointed only for
the remainder of that term and is eligible for reappointment.
Unless a vacancy occurs due to death, resignation or removal
pursuant to subsection (e) of this section, an appointed member of
the board shall continue to serve until a successor has been
appointed and qualified as provided for in subsection (a) of this
section. Of the initial appointments, the governor shall appoint
one member to a one-year term, one member to a two-year term, one
member to a three-year term, one member to a four-year term and one
member to a five-year term. Thereafter, all terms shall be for
five years.
(c) Members of the board shall serve without compensation, but
shall be reimbursed by the office of the secretary of education and the arts for expenses, including travel expenses, actually incurred
by a member in the official conduct of the business of the board at
the same rate as is paid the employees of the state.
(d) The secretary of education and the arts is the chairman
and presiding officer of the board. A majority of the members of
the board constitute a quorum for the transaction of the board's
business.
(e) The members appointed by the governor may be removed by
the governor for official misconduct, incompetence, neglect of duty
or gross immorality, and then only in the manner prescribed by law
for the removal by the governor of the state elective officers in
accordance with section five, article six, chapter six of this
code.
§18C-6-5. Powers of the board.
In addition to the powers granted by any other provision of
this article, the board has the powers necessary or convenient to
carry out the purposes and provisions of this article and the
powers delegated by any other law of the state or any executive
order of the state including, but not limited to, the following
express powers:
(a) To adopt and amend bylaws;
(b) To propose legislative rules for promulgation in accordance with the provisions of article three-a, chapter twenty- nine-a of this code to effectuate the purposes of this article:
Provided, That the board shall not promulgate emergency rules;
(c) To invest any of its funds at the board's discretion, with
the West Virginia investment management board in accordance with
the provisions of article six, chapter twelve of this code. Any
investments made under this article shall be made with the care,
skill, prudence and diligence under the circumstances then
prevailing that a prudent person acting in a like capacity and
familiar with such matters would use in the conduct of an
enterprise of a like character and with like aims. Fiduciaries
shall diversify plan investments to the extent permitted by law so
as to minimize the risk of large losses, unless under the
circumstances it is clearly prudent not to do so;
(d) To execute contracts and other necessary instruments;
(e) To impose reasonable requirements for residency for
students applying for the PROMISE scholarship. However, nothing in
this subdivision may be construed to establish residency
requirements for matriculation or fee payment purposes at state
institutions of higher education;
(f) To contract for necessary goods and services, to employ
necessary personnel and to engage the services of private persons for administrative and technical assistance in carrying out the
responsibilities of the scholarship program;
(g) To solicit and accept gifts, including bequests or other
testamentary gifts made by will, trust or other disposition,
grants, loans and other aids from any source or to participate in
any other way in any federal, state or local governmental programs
in carrying out the purposes of this article;
(h) To define the terms and conditions under which
scholarships shall be awarded with the minimum requirements being
set forth in section six of this article; and
(i) To establish other policies, procedures and criteria
necessary to implement and administer the provisions of this
article.
§18C-6-6. Requirements for rules promulgated by the board.
(a) The board shall propose rules which shall include at least
the following:
(1) A requirement that a scholarship will not pay an amount
that exceeds the cost of tuition at state institutions of higher
education and may include an allowance for books and supplies;
(2) A requirement that a scholarship in combination with aid
from all other sources shall not exceed the cost of education at
the institution the recipient is attending;
(3) Minimum requirements for eligibility for the scholarship
which include;;::
(A) A provision that a student is only eligible to apply for
a scholarship within two years of the time he or she graduates from
high school:
Provided, That if a student has entered the United
States armed services within two years after he or she graduates
from high school, the student is eligible to apply for a
scholarship within seven years of the time he or she enters
military service:
Provided, however, That once discharged from the
military, the student is only eligible to apply for one year from
the date of discharge;
(B) For individuals with zero to fifteen credits from an
institution of higher education, that the individual attain at
least a "B" average at the secondary level as defined by the board;
(C) For individuals with more than fifteen credits from an
institution of higher education, that the individual attain and
maintain at least a "B" average at the undergraduate education
level as defined by the board; and
(D) For all individuals, additional objective standards as the
board considers necessary to promote academic excellence and to
maintain the financial stability of the fund;
(4) A provision requiring the student to be enrolled in or in
the process of enrolling in an eligible institution as defined in
section three of this article;
(5) Provisions for making the highest and best use of the West
Virginia prepaid tuition trust act set forth in article thirty,
chapter eighteen of this code;
(6) A determination of whether to require scholarship
recipients to repay the amount of their scholarship, in whole or in
part, if they choose to work outside the state after graduation;
(7)
A determination of whether to set aside a portion of the
scholarship funds for targeted scholarships for applicants accepted
or enrolled in an engineering program, science program, technology
program or other designated programs;
(8) A determination whether to require persons to file federal
financial aid forms before they may receive a PROMISE scholarship;
and
(9) A determination of what other sources of funding for
higher education, if any, should be deducted from the PROMISE
scholarship award.
(b) The board shall use the services of the senior
administrator and any employees of the senior administrator in
drafting the rules. The rules shall be submitted to the legislative oversight commission on education accountability on or
before the first day of December, one thousand nine hundred ninety- nine.
§18C-6-7. West Virginia PROMISE scholarship fund created.
(a) There is hereby created a special revenue fund in the
state treasury which shall be designated and known as the "PROMISE
Scholarship Fund". The fund shall consist of all appropriations to
the fund and all interest earned from investment of the fund and
any gifts, grants or contributions received by the fund.
(b) The board may expend the moneys in the fund to implement
the provisions of this article.
§18C-6-8. PROMISE scholarship program supplemental fund recreated,
and promulgation of rules.
(a) The Legislature recognizes that the PROMISE scholarship
program may lead to an increased number of individuals attending
the state institutions of higher education, and therefore, it may
contribute to increases in expenses greater than the additional
tuition income generated by increased enrollment. Therefore, there
is hereby created a special revenue fund in the state treasury
which shall be designated and known as the "PROMISE scholarship
supplemental fund". The fund shall consist of all appropriations
to the fund and all interest earned from the investment of the fund and any gifts, grants or contributions received by the fund. The
board shall expend the moneys in this fund to implement the
provisions of this article and may only expend the moneys for state
institutions of higher educations.
(b) The board shall promulgate rules for administering the
fund in accordance with article three-a, chapter twenty-nine-a of
this code:
Provided, That the board shall not promulgate emergency
rules. The rules shall include the following:
(1) Provisions for distributing the moneys from the fund to
state institutions of higher education:
Provided, That the
distribution of the moneys from the fund shall be completely
independent of the distributions in accordance with the resource
allocation model and the resource allocation policies:
Provided,
however, that the funds shall be divided among the state
institutions of higher education in a reasonable manner to reflect
the actual distribution of PROMISE scholarship students among the
institutions; and
(2) A procedure for submitting a budget request to the
governor:
Provided, That nothing in this article shall require any
appropriation by the Legislature.
SB431 SFA JACKSON 3/3 #1
Hager, 7871
Senator Jackson moved to amend the bill on page twelve,
section six, after line forty-three, by inserting a new
subdivision, designated subdivision (7), to read as follows:
"(7) A determination of whether to set aside a portion of the
scholarship funds for targeted scholarships for applicants accepted
or enrolled in an engineering program, science program, technology
program or other designated programs;";
And by renumbering the remaining subdivisions;
And,
On page fifteen, after line thirty-three, by inserting a new
section, designated section nine, to read as follows:
§18-6-9. National guard member recipients.
The amount a student receives from the PROMISE scholarship
program is not considered in determining eligibility to qualify for
or in determining the amount of a grant or scholarship given
pursuant to section twenty-one, article one-b, chapter fifteen of
this code. Additionally, a grant or scholarship given pursuant to
section twenty-one, article one-b, chapter fifteen of this code is
not considered in determining eligibility to qualify for or in
determining the amount of a scholarship awarded under the PROMISE
scholarship.
Adopted
Rejected