§ 165-22.1. Administration and funding.
§ 165‑22.1. Administration and funding.
(a) The administration of the scholarship program shall bevested in the Department of Administration, and the disbursing and accountingactivities required shall be a responsibility of the Department of Administration.The Veterans Affairs Commission shall determine the eligibility of applicants,select the scholarship recipients, establish the effective date ofscholarships, and may suspend or revoke scholarships if the said VeteransAffairs Commission finds that the recipient does not comply with theregistration requirements of the Selective Service System or does not maintainan adequate academic status, or if the recipient engages in riots, unlawfuldemonstrations, the seizure of educational buildings, or otherwise engages indisorderly conduct, breaches of the peace or unlawful assemblies. TheDepartment of Administration shall maintain the primary and necessary records,and the Veterans Affairs Commission shall promulgate such rules and regulationsnot inconsistent with the other provisions of this Article as it deemsnecessary for the orderly administration of the program. It may require ofState or private educational institutions, as defined in this Article, suchreports and other information as it may need to carry out the provisions ofthis Article. The Department of Administration shall disburse scholarshippayments for recipients certified eligible by the Department of Administrationupon certification of enrollment by the enrolling institution.
(b) Funds for the support of this program shall be appropriatedto the Department of Administration as a reserve for payment of the allocablecosts for room, board, tuition, and other charges, and shall be placed in aseparate budget code from which disbursements shall be made. Funds to supportthe program shall be supported by receipts from the Escheat Fund, as providedby G.S. 116B‑7, but those funds may be used only for worthy and needyresidents of this State who are enrolled in public institutions of higher educationof this State. In the event the said appropriation for any year is insufficientto pay the full amounts allocable under the provisions of this Article, suchsupplemental sums as may be necessary shall be allocated from the Contingencyand Emergency Fund. The method of disbursing and accounting for funds allocatedfor payments under the provisions of this section shall be in accordance withthose standards and procedures prescribed by the Director of the Budget,pursuant to the Executive Budget Act.
(c) Allowances for room and board in State educationalinstitutions shall be at such rate as established by the Secretary of theDepartment of Administration.
(d) Scholarship recipients electing to attend a privateeducational institution shall be granted a monetary allowance for each term orother academic period attended under their respective scholarship awards. Allrecipients under Class I‑B scholarship shall receive an allowance at onerate, irrespective of course or institution; all recipients under Classes I‑A,II, III and IV shall receive a uniform allowance at a rate higher than forClass I‑B, irrespective of course or institution. The amount of saidallowances shall be determined by the Director of the Budget and made knownprior to the beginning of each fall quarter or semester; provided that theDirector of the Budget may change the allowances at intermediate periods whenin his judgment such changes are necessary. Disbursements by the State shall beto the private institution concerned, for credit to the account of eachrecipient attending said institution. The manner of payment to any privateinstitution shall be as prescribed by the Department of Administration. Theparticipation by any private institution in the program shall be subject to theapplicable provisions of this Article and to examination by State auditors ofthe accounts of scholarship recipients attending or having attended privateinstitutions. The Veterans Affairs Commission may defer making an award or maysuspend an award in any private institution which does not comply with theprovisions of this Article relating to said institutions.
(e) Irrespective of other provisions of this Article, theVeterans Affairs Commission may prescribe special procedures for adjusting theaccounts of scholarship recipients who for reasons of illness, physicalinability to attend class or for other valid reason satisfactory to theVeterans Affairs Commission may withdraw from State or private educationalinstitutions prior to the completion of the term, semester, quarter or otheracademic period being attended at the time of withdrawal. Such procedures mayinclude, but shall not be limited to, paying the recipient the dollar value ofhis unused entitlements for the academic period being attended, with acorresponding deduction of this period from his remaining scholarshipeligibility time. (1967, c. 1060, s. 8;1969, c. 720, ss. 4, 5; c. 741, s. 4; 1971, c. 458; 1973, c. 620, s. 9; 1975,c. 19, s. 71; c. 160, s. 3; 1977, c. 70, s. 27; 1985, c. 39, s. 3; 2002‑126,s. 19.3(d); 2003‑284, s. 18.5(a).)