South Carolina General Assembly
117th Session, 2007-2008

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A40, R59, S322

STATUS INFORMATION

General Bill
Sponsors: Senators Hayes, Hawkins, Vaughn, Peeler, Leatherman, Leventis, O'Dell, McConnell, Cromer, Patterson, Knotts, Land, Mescher, Martin and Alexander
Document Path: l:\council\bills\ggs\22680sj07.doc
Companion/Similar bill(s): 3434

Introduced in the Senate on January 24, 2007
Introduced in the House on February 27, 2007
Last Amended on May 16, 2007
Passed by the General Assembly on May 22, 2007
Governor's Action: June 4, 2007, Signed

Summary: National Guard College Assistance Program Act

HISTORY OF LEGISLATIVE ACTIONS

     Date      Body   Action Description with journal page number
-------------------------------------------------------------------------------
   1/24/2007  Senate  Introduced and read first time SJ-5
   1/24/2007  Senate  Referred to Committee on Education SJ-5
   1/31/2007  Senate  Recalled from Committee on Education SJ-4
   1/31/2007  Senate  Committed to Committee on Finance SJ-4
    2/9/2007  Senate  Referred to Subcommittee: O'Dell (ch), Peeler, Reese, 
                        Short, Fair, Verdin
   2/14/2007  Senate  Committee report: Favorable with amendment Education 
                        SJ-13
   2/15/2007          Scrivener's error corrected
   2/21/2007  Senate  Amended SJ-22
   2/21/2007  Senate  Read second time SJ-22
   2/22/2007  Senate  Read third time and sent to House SJ-15
   2/22/2007          Scrivener's error corrected
   2/27/2007  House   Introduced and read first time HJ-6
   2/27/2007  House   Referred to Committee on Ways and Means HJ-7
   5/15/2007  House   Committee report: Favorable with amendment Ways and 
                        Means HJ-6
   5/16/2007  House   Amended HJ-81
   5/16/2007  House   Read second time HJ-84
   5/16/2007  House   Roll call Yeas-93  Nays-0 HJ-84
   5/17/2007  House   Read third time and returned to Senate with amendments 
                        HJ-12
   5/17/2007          Scrivener's error corrected
   5/22/2007  Senate  Concurred in House amendment and enrolled SJ-29
   5/29/2007          Ratified R 59
    6/4/2007          Signed By Governor
    6/6/2007          Copies available
    6/6/2007          Effective date See Act for Effective Date
   6/15/2007          Act No. 40

View the latest legislative information at the LPITS web site

VERSIONS OF THIS BILL

1/24/2007
2/14/2007
2/15/2007
2/21/2007
2/22/2007
5/15/2007
5/16/2007
5/17/2007


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

(A40, R59, S322)

AN ACT TO AMEND CHAPTER 114, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SOUTH CAROLINA NATIONAL GUARD TUITION ASSISTANCE ACT, SO AS TO ENACT THE "SOUTH CAROLINA NATIONAL GUARD COLLEGE ASSISTANCE PROGRAM ACT", TO DEFINE CERTAIN TERMS, TO PROVIDE FOR COLLEGE ASSISTANCE PROGRAM GRANTS TO BE ADMINISTERED BY THE COMMISSION ON HIGHER EDUCATION, TO PROVIDE ELIGIBILITY REQUIREMENTS TO QUALIFY FOR THE GRANTS, TO PROVIDE FOR THE MANNER IN WHICH THE GRANTS SHALL BE DISBURSED AND REIMBURSEMENTS MADE IF REQUIRED, TO PROVIDE THAT THESE GRANTS ARE SUBJECT TO FUNDS BEING APPROPRIATED BY THE GENERAL ASSEMBLY, AND TO PROVIDE THAT THE COMMISSION ON HIGHER EDUCATION SHALL PROMULGATE REGULATIONS; TO AMEND SECTION 59-111-75, RELATING TO THE LOAN REPAYMENT PROGRAM FOR MEMBERS OF THE NATIONAL GUARD SERVING IN AREAS OF CRITICAL NEED, SO AS TO PROVIDE THAT THE LOAN REPAYMENT PROGRAM MAY NOT ACCEPT NEW PARTICIPANTS, PROVIDE THAT MEMBERS OF THE SOUTH CAROLINA NATIONAL GUARD WHO HAVE RECEIVED LOANS BEFORE THE 2007-2008 ACADEMIC YEAR MAY CONTINUE TO RECEIVE THEIR LOANS AND HAVE THEIR LOANS FORGIVEN PURSUANT TO THE PROVISIONS UNDER WHICH THE LOAN PROGRAM BEGAN, TO REVISE THE ADMINISTRATION FEE THE COMMISSION ON HIGHER EDUCATION MAY RETAIN FOR THE COST OF ADMINISTERING THE LOAN PROGRAM, AND TO PROVIDE THAT ANY FUNDS REMAINING IN THE LOAN REPAYMENT PROGRAM SHALL BE TRANSFERRED TO THE COLLEGE ASSISTANCE PROGRAM; AND TO REPEAL ARTICLE 6, CHAPTER 111, TITLE 59 RELATING TO ONE-HALF TUITION FOR MEMBERS OF THE SOUTH CAROLINA NATIONAL GUARD.

Be it enacted by the General Assembly of the State of South Carolina:

National Guard College Assistance Program Act

SECTION    1.    Chapter 114, Title 59 of the 1976 Code is amended to read:

"CHAPTER 114

South Carolina National Guard College Assistance Program Act

Section 59-114-10.    This chapter may be cited as the 'South Carolina National Guard College Assistance Program Act'.

Section 59-114-20.    As used in this chapter:

(1)    'Academic year' means a period of three hundred sixty-five days beginning with the first day of enrollment for a course of instruction by a National Guard member.

(2)    'College assistance program' means the South Carolina National Guard College Assistance Program.

(3)    'Commission' means the South Carolina Commission on Higher Education.

(4)    'Eligible institution' means:

(a)    a public institution of higher learning as defined in Section 59-103-5 and an independent institution of higher learning as defined in Section 59-113-50; and

(b)    a public or independent bachelor's level institution chartered before 1962 whose major campus and headquarters are located within South Carolina; or an independent bachelor's level institution which was incorporated in its original charter in 1962, was granted a license to operate in 1997 by the Commission on Higher Education, has continued to maintain a campus in South Carolina, and is accredited by the Southern Association of Colleges and Secondary Schools. Institutions whose sole purpose is religious or theological training, or the granting of professional degrees do not meet the definition of 'public or independent institution' for purposes of this chapter.

(5)    'National Guard' means South Carolina Army or Air National Guard.

(6)    'Tuition and fees' means the amount charged for registering for credit hours of instruction, costs of textbooks, and other fees and charges associated with attendance at an eligible institution as approved by the commission.

Section 59-114-30.    Qualifying members of the National Guard may receive college assistance program grants up to an amount equal to one hundred percent of college tuition and fees, provided, however, the total of all grants received may not exceed eighteen thousand dollars. A member may not qualify for college assistance program grants for more than one hundred thirty semester hours or related quarter hours. Grants are not to be awarded for graduate degree courses. A new application must be submitted for each separate academic year.

Section 59-114-40.    (A)    Members of the National Guard enrolled or planning to enroll in an eligible institution may apply to the commission for a college assistance program grant. To qualify, an applicant must:

(1)    be in good standing with the active National Guard at the beginning of each academic year and remain a member in good standing with the active National Guard throughout the entire academic year for which benefits are payable;

(2)    have valid tuition and fee expenses from an eligible institution;

(3)    maintain a cumulative grade point average that the institution requires to remain as a student; and

(4)    satisfy additional eligibility requirements as may be promulgated by the commission.

(B)    Individuals joining the National Guard become eligible for college assistance program grants on the day of enlistment. Enlisted personnel shall continue their service in the National Guard during the term of the courses covered by the grant received. Officers shall continue their service with the National Guard for at least four years after completion of the most recent grant awarded or degree completion.

(C)    National Guard members receiving a full Reserve Officer's Training Corps (ROTC) scholarship are not eligible for college assistance program grants.

Section 59-114-65.    Grants provided pursuant to this chapter are subject to the availability of funds appropriated by the General Assembly. Up to five percent of the amount appropriated to the college assistance program may be used to defray administrative costs incurred by the commission associated with the implementation of this chapter.

Section 59-114-75.    The commission shall disburse grants awarded pursuant to this chapter to the eligible institutions to be placed in an account established for each eligible student. In the event that a student who has received a grant withdraws, is suspended, or otherwise becomes ineligible, the institution must reimburse the college assistance program for the amount of the grant for the applicable term pursuant to the refund policies of the institution. The institution is responsible for collecting any amount due to the institution from the student. The commission shall administer the provisions of this chapter and shall promulgate regulations necessary to implement the provisions of this chapter."

Loan repayment program revised

SECTION    2.    Section 59-111-75 of the 1976 Code is amended to read:

"Section 59-111-75.    (A)    The Commission on Higher Education, in consultation with the staff of the South Carolina Student Loan Corporation, shall develop a loan repayment program through which talented and qualified state residents may attend state public or private colleges and universities for the purpose of providing incentives for enlisting or remaining in the South Carolina National Guard in areas of critical need. Areas of critical need must be defined annually for that purpose by the Commission on Higher Education in consultation with the State Adjutant General. The Commission on Higher Education shall promulgate appropriate regulations to set forth the terms of the loan repayment program. The regulations must define limitations on monetary repayment amounts, successful participation within the National Guard, successful school matriculation, and other requirements for participation in the loan repayment program. In case of failure to complete the term of enlistment, failure to participate successfully in the National Guard, noncompliance by a borrower with the terms of the loan, or failure to comply with regulations of the program, the borrowers participation in the loan repayment program may be terminated and the borrower remains subject to those provisions as provided in the loan documents. The borrower shall execute the necessary legal documents to reflect his obligation to the lending entity and the terms and conditions of the loan. The loan program, as implemented in this section, must be administered by a separate student loan provider. Of the funds appropriated by the General Assembly for the loan repayment program, these funds must be retained in a separate account and used on a revolving basis for purposes of the loan repayment program and its administration. The State Treasurer shall disburse funds from this account as requested by the Commission on Higher Education and upon warrant of the Comptroller General; provided, however, that no more than five percent of the funds annually appropriated to the Commission on Higher Education for this program may be used for the cost of administering the program. Funds in the account and earnings from it may be carried forward in succeeding fiscal years and used for the purposes of the loan repayment program. The Commission on Higher Education shall review the loan program annually and report to the General Assembly on its progress and results.

(B)    Beginning with the 2007-2008 academic year, the loan repayment program established pursuant to this section may not accept new participants. Members of the National Guard who have received loans pursuant to this section before the 2007-2008 academic year may continue to receive their loans, including loans for subsequent academic years, and have their loans forgiven pursuant to the provisions under which the loan program began. Any funds remaining in the loan repayment program, provided for in subsection (A), shall be transferred to the College Assistance Program in accordance with regulations prescribed by the commission."

Repeal

SECTION    3.    Article 6, Chapter 111, Title 59 of the 1976 Code is repealed.

Time effective

SECTION    4.    This act takes effect upon approval by the Governor and applies beginning with the 2007-2008 academic year.

Ratified the 29th day of May, 2007.

Approved the 4th day of June, 2007.

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